That’s the GTM playbook behind Dynatrace’s $1B AWS Marketplace milestone - and one that alliance leaders should study.

Dynatrace just crossed $1B in lifetime AWS Marketplace sales, with triple-digit marketplace growth still accelerating.

The company beat guidance across every metric last quarter, raised its full-year outlook, and is about to cross $2B ARR.

But the milestone isn’t the story. The playbook behind it is.

Dynatrace has built one of the most partner-centric GTM strategies. 50%+ of new logos were partner-originated in a recent quarter. The company has passed 50% co-sell with all three hyperscalers.

Today, partners aren’t optional

CEO Rick McConnell stressed in a recent earnings call:

“In an agentic world, engaging in and integrating with an ecosystem of partners, including global system integrators and hyperscalers, will be mandatory. And we are investing to deepen and broaden those relationships.”

Jay Snyder, SVP of Partners & Alliances, laid out the strategy:

“As the company has now close to 90 percent of transactions through the channel… our goal is about 75 percent of our business be co-sell, and a good portion of that be through the marketplace.” (CRN)

Dynatrace isn’t just co-selling — it deeply integrates with all three clouds.

CEO: “In Q3, we announced deeper technical engagements with all of the major hyperscalers.

We’re integrating with Amazon Bedrock Agent Core, embedding Dynatrace with Azure’s SRE agent, and serving as the launch partner for GCP Gemini command line interface extensions and Gemini Enterprise.”

Partners are a productivity multiplier

And it’s showing up in seller economics.

CFO James Benson: “We’ve continued to get significant traction with leveraging our partner channels, notably GSIs, and the hyperscalers continue to be a source of continued improvement in productivity per rep.”

Partners and hyperscalers also pull the company into deals earlier:

“By working more closely with strategic partners, our objective is to participate in digital transformation projects earlier in the purchasing cycle.”

That’s why Dynatrace is committing to “invest in our strategic partner ecosystem”.

Meanwhile, the company disclosed $702.8 million in internal cloud commits...

What alliance leaders should take from this:

1. Co-sell and marketplace are one motion, not two. Dynatrace didn’t build separate marketplace and co-sell plays. They run them together as one strategic GTM.

2. Agentic AI creates new partnership surface area. Dynatrace is embedding into each hyperscaler’s AI agent infrastructure. Every new AI integration becomes a new co-sell trigger.

3. Partners are a productivity multiplier. If your alliance team can’t show that math internally, you’ll keep fighting for headcount.

When partner strategy shows up in earnings calls — not just alliance decks — it’s no longer a channel play.

It’s a corporate strategy.