2014-9-03 Goolge Rebrands Enterprise Business.jpg

Here's a riddle for you: Why is Google rebranding of its Enterprise business?

Last night, Google announced the division that sells Google Drive and Gmail, among other services, is changing its name to Google for Work.

The announcement left a large number of observers underwhelmed. But the long-term vision behind the move may cause a lot of vendors concern about their future in a world where Google is seriously targeting the small business space.

What's in a Name?

The June launch of the Drive for Work offered a combination of Google apps and Google Drive with added security and reporting features along with unlimited storage for $10 per user per month. Now Google for Work is offering the full arsenal, packaged to make it attractive to small or even micro enterprises that are trying to cut back on their IT spend.

In fact from here on, all products under the Google for Work umbrella will have the Google for Work moniker added to the end of their names. So we can no longer talk about Gmail, but rather Gmail for Work. And Google made no bones about where it’s going with Google for Work, noting, "This is one of the big growth opportunities for Google and this kind of branding, the investments that we're making in the product, reflects some of that," said Amit Singh, president of Google for Work."

Google Executive Chairman Eric Schmidt added in a post that appeared on the new Google for Work blog that the concept is based on the belief that work should be meaningful and that technology should help make it easier — not just something to help get things done.

According to Singh, 60 percent of Fortune 500 companies have already bought into that vision in the US and are using a paid enterprise product from Google. In addition, he said 30 million students, teachers and administrators are using Google Apps for Education.

However, he didn’t break that down any further into what services were attracting the interest of enterprises, nor did he explain how much of Google’s enterprise business was generated by big company accounts. It’s clear, though, that is about chasing the small business sector. Schmidt added that the name change: