Google and are discussing an alliance that could see the two bundle Web-based applications, according to reports in the Wall Street Journal.

The newspaper said that details of the potential partnership are yet to be decided but that an announcement is due in the coming weeks.

US-based representatives of both companies were unavailable for comment.

Google, the dominant search engine on the internet, reaches millions of people with its web-based Gmail email service and other applications such as online calendars, notebooks and instant messaging. is a pioneer in on-demand, software-as-a-service (SaaS) applications for the corporate market, such as customer relationship management (CRM) systems.

They both compete against Microsoft, which is starting to corral its online services together under the Windows Live banner.