Salesforce.com Soars to $1.7 Billion Mark

By

There’s nothing nebulous about Salesforce.com’s success in peddling cloud computing solutions. The San Francisco-based company is anticipating revenue of about $2 billion in fiscal 2012, which ends in January.

“After taking a decade to achieve our first billion dollar year in fiscal 2009, we believe that our strong growth this year will allow us to deliver approximately $2 billion in revenue in fiscal 2012, making Salesforce.com the first cloud computing company to achieve that milestone,” said Marc Benioff, chairman and CEO Salesforce.com, in a press release.

Results for Salesforce.com’s fiscal third quarter include total revenue of $429 million, an increase of 30 percent on a year-over-year basis. Subscription and support revenues reached $403 million, an increase of 31 percent on a year-over-year basis. And professional services and other revenues hit the $26 million mark, an increase of 10 percent on a year-over-year basis.

Salesforce.com’s meteoric rise over the past 10 years stems from one of the fastest-growing Web industries: cloud computing. Cloud computing lets enterprises and government agencies rent additional storage space and processing power over the Internet, eliminating the need for companies to spend millions of dollars on high-priced servers.

Once the exclusive domain of government agencies and research labs, cloud computing is now widely considered a mainstream alternative to in-house storage and data processing. Amazon, Microsoft and Google are only a handful of industry stalwarts that have jumped on the cloud computing bandwagon. These are now joined by a bevy of smaller cloud computing players, including GoGrid, Nirvanix and The Planet.

In fact, Gartner, Inc., predicts that by 2012, 80 percent of Fortune 1000 enterprises will pay for some cloud-computing service, while 30 percent of them will pay for cloud-computing infrastructure.

There are drawbacks to cloud computing including privacy and security concerns. But these factors haven’t stopped Salesforce.com from winning over loyal customers. According to the company’s third-quarter results, net paying customers rose approximately 4,800 during the quarter. The number of total net paying customers at the end of the fiscal third quarter was approximately 87,200.




Edited by Tammy Wolf
Get stories like this delivered straight to your inbox. [Free eNews Subscription]

TechZone360 Contributing Editor

SHARE THIS ARTICLE
Related Articles

Your Post-Quantum Readiness Starts at Y2Q Summit

By: TMCnet News    5/27/2026

Y2Q Summit is an executive conference focused on helping enterprises prepare for the coming era of quantum computing disruption, cybersecurity transfo…

Read More

Why Award Marketing Should Be Part of Every B2B Tech Company's Growth Strategy

By: Erik Linask    5/20/2026

Award marketing matters for B2B tech companies because industry recognition can strengthen trust, support sales and partner relationships, improve con…

Read More

Why Email Is Still the Most Underrated Layer of Modern Software Infrastructure

By: Contributing Writer    5/15/2026

Take, for example, the following scenario. A user requests a password reset, waits a few seconds, refreshes their inbox and nothing arrives. They try …

Read More

Jitterbit's Visionary Status Signals a Shift in the iPaaS Market

By: Contributing Writer    4/7/2026

As enterprise ecosystems grow more complex, integration has become less of a backend IT function and more of a strategic driver of business performanc…

Read More

Cyber Extortion over hoax Breach: Lessons from a Fabricated story about IDMERIT

By: Contributing Writer    3/3/2026

Cybercriminals are increasingly staging fake data breaches to launch extortion attempts against KYC-AML companies. Recently, hackers devised a new met…

Read More