Clouded Judgement

FEBRUARY 2, 2024

” Microsoft on Azure : “And I think last quarter, we said one, we are going to continue to have these cycles where people will build new workloads. So what you're seeing is much more of that continuous cycles by customers, both when it comes to AI or whether it comes to the traditional workloads.”

Cost optimization & reporting 161

Cost optimization & reporting Cloud Azure AWS 161

Tom Tunguz

JULY 25, 2023

Both Google & Microsoft announced growth rates in GCP & Azure that held steady from one quarter to the next. There are two forces in tension : overall cost reduction efforts by companies & the desire to invest in AI. The desire for AI is broad. The acceleration is really quite broad.

Azure 196

Azure GCP(Google Cloud Platform) AI Cloud 196

Tom Tunguz

JANUARY 23, 2023

We saw moderated consumption growth in Azure and lower-than-expected growth [elsewhere]. Segment Expected Growth Productivity 12% Office Commercial 6% Office On-Premise -25% LinkedIn 5% Dynamics 13% Intelligent Cloud 18% Azure 26% Server -3% Services -3% 2. At some point, the optimizations will end.

Azure 239

Azure Underperforming Technical Team Machine Learning Artificial Intelligence 239

Clouded Judgement

MAY 10, 2024

And no one raised full year guide >2% The median “beat” (Q1 revenue over Q1 consensus estimates) was 1.5%, which is the lowest it’s been in the last 4 years Overall, it’s been a TOUGH quarter for software companies. So far - you’re either tied to AI tailwinds, or it’s rough out there.

Cloud 161

Cloud Software GCP(Google Cloud Platform) Azure 161

IT World

FEBRUARY 8, 2023

Microsoft has gone all in on artificial intelligence (AI), pouring $10 billion in the OpenAI startup — and that’s just the opening gambit. AI will reap many billions in revenue for the company, particularly its cloud business. Yesterday it unveiled plans to add AI to Bing in a bid to take market share from Google.

AI 96

AI Artificial Intelligence Azure Cloud 96

Clouded Judgement

APRIL 11, 2024

Who are the real AI winners. It looks at the YoY dollar change in quarterly revenue from the hyperscalers (just looking at Azure / AWS because the data goes back further) going back a few years. Q4 Revenue Relative to Consensus Estimates Now let’s dive in to the financial results of Q4 starting with revenue.

Cloud 177

Cloud Software Azure AWS 177

Tom Tunguz

NOVEMBER 28, 2023

“Q3 product revenue grew 34% year-over-year to reach $698 million. " As with many other companies reporting strength in the market, AI & unstructured data workloads are fueling growth. “I don’t even hear the words AI and budget in the same sentence.”

GCP(Google Cloud Platform) 137

GCP(Google Cloud Platform) Azure Data Startup 137

Clouded Judgement

OCTOBER 20, 2023

Hyperscaler Preview Next week Amazon, Microsoft and Google report earnings and we’ll see Q3 data for AWS, Azure and Google Cloud. These are thought to be the early AI winners, largely due to all of the compute they’re selling to power GenAI applications. Revenue multiples are a shorthand valuation framework.

Cloud 161

Cloud Azure AWS Software Review 161

Clouded Judgement

APRIL 28, 2023

AWS (Amazon), Azure (Microsoft), and Google Cloud (Google) all reported this week. Azure reported on Tuesday and gave us that glimmer of hope. Azure : Coming into the quarter, a growth rate that would have satisfied the market would have been ~29%. Azure came in at 31% (constant currency). Follow along to stay up to date!

Cloud 130

Cloud Azure AWS AI Search 130

Tom Tunguz

FEBRUARY 13, 2023

Large customer revenue contribution increased again sequentially to 63% of revenue, up from 57% in the fourth quarter last year. For fiscal 2022, large customers represented 61% of total revenue compared to 54% of total revenue in 2021 and 46% in 2020… Overall NDR fell, but enterprise spending remains steady.

Cloud 224

Cloud Azure Headcount Software Review 224

Clouded Judgement

JUNE 9, 2023

Expansion revenue is still declining (we see this in falling net retention rates), but gross retention remains strong. Usage on Snowflake is driven by queries run on Snowflake Azure: Neutral Tone With Strength in AI Overall I’d characterize Azure’s quarter as a net positive. Top 5 Median: 15.6x

Trends 130

Trends Cloud Azure AWS 130

Clouded Judgement

JULY 28, 2023

AI = Data + Compute I’ll continue beating this drum, but we got two great quotes from Azure and AWS this week. Satya at Microsoft said “Every AI app starts with data and having a comprehensive data and analytics platform is more important than ever.” Subscribe now Busy week! AWS reports next week.

Cloud 130

Cloud Azure AWS GCP(Google Cloud Platform) 130

Clouded Judgement

NOVEMBER 10, 2023

When I think about the monetization of AI (and which “layers” monetize first) I’ve always thought it would follow the below order, with each layer lagging the one that comes before it. Model providers (OpenAI, Anthropic, etc as companies start building out AI). 2024 will be the year of AI applications!

Cloud 183

Cloud Artificial Intelligence AI GCP(Google Cloud Platform) 183

IT World

JANUARY 25, 2023

The Windows-maker reported 29% growth in total cloud revenue to $21.5 Microsoft said it expects its third quarter cloud gross margin to decrease by one percentage point, driven by Azure. billion for the second quarter of fiscal year 2023, slowing from Q1, 2023 where the company posted 31% growth for the segment.

Cloud 96

Cloud Azure AI Enterprise 96

Clouded Judgement

AUGUST 11, 2023

While the overall median revenue multiple of the software universe is ~6x (which is ~25% below the long term average of ~8x), high growth software is currently trading at a premium to it’s long term average (9.4x And everyone hoping for AI acceleration will need to wait. Revenue multiples are a shorthand valuation framework.

Cloud 130

Cloud Trends Azure GCP(Google Cloud Platform) 130

SaaStr

NOVEMBER 18, 2021

ai is one of those enterprise software companies ($2m customers on average) you hear about and see their billboards but are never quite sure what they do. ai, that somewhat mysteriously does “Enterprise AI” It IPO’d to now a $5 Billion valuation and is now at $200m+ in ARR, growing at 29%.

AI 45

AI Azure Cloud Enterprise 45

Clouded Judgement

FEBRUARY 3, 2023

We have companies like BuzzFeed and C3 making loose announcements about how they will incorporate generative AI into their business, sending their stocks up 50-100%+. In the short term, enjoy the ride as the chase continues 😊 Kind of related to all of this - we now have seen the Q4’s from AWS, Azure and Google Cloud.

Cloud 130

Cloud Azure AWS Generative AI 130

Tom Tunguz

APRIL 25, 2024

If it wasn’t clear before, AI is the single biggest revenue driver in cloud. Microsoft’s Azure is winning share directly from Amazon. ” Much of the AI spend is at the enterprise, where a 50% reduction in customer support cost or a 75% increase in engineering capacity filters billions to the bottom line.

Azure 189

Azure AI Search Marketing ChatGPT 189

OpenView Labs

FEBRUARY 9, 2021

While we aren’t going 100% usage-based overnight, if you look at some of the mega-trends in software—things like automation, AI, and APIs—the value of a product normally doesn’t scale with more folks logging in. Public usage-based companies are trading at a 50% revenue multiple premium over their peers. Land-and-expand is real.

Scale 98

Scale Pricing Scaling AWS 98

User Pilot

FEBRUARY 6, 2023

H2O Driverless AI uses machine learning workflows to help you make business and product decisions. Microsoft Azure Machine Learning is a data science tool that helps you create machine learning models at scale so you can prepare data, build and train models, deploy, and then monitor results. Product analytics in Userpilot.

Artificial Intelligence 98

Artificial Intelligence Data Software Review Machine Learning 98

Andreessen Horowitz

MARCH 21, 2024

Generative AI took the consumer landscape by storm in 2023, reaching over a billion dollars of consumer spend 1 in record time. In 2024, we believe the revenue opportunity will be multiples larger in the enterprise. Budgets for generative AI are skyrocketing. This is a massive opportunity for founders.

Generative AI 145

Generative AI AI Enterprise Artificial Intelligence 145

OPEXEngine

OCTOBER 25, 2019

And Microsoft, now the largest SaaS vendor in the world, just beat analysts’ expectations announcing $33B in revenue in the first quarter of 2020 – and new guidance signaling continued growth for the rest of the fiscal year. Microsoft revenues represent 18% of the total market, followed by SalesForce at 11.5%

Trends 40

Trends Marketing SaaS Azure 40

ProfitWell

SEPTEMBER 10, 2020

SaaS revenue is expected to reach $143.7 Running your own server to handle your customer's valuable data requires a huge investment to match the same level of security and reliability that comes baked into services like Amazon AWS and Microsoft Azure cloud. AI Integrations. billion by 2022. billion of that. Verb Technology.

SaaS Payments 66

SaaS Payments Trends Merchant Services Payments 66

SmartKarrot

MAY 11, 2023

“85% of employers say they directly benefit from AI in the workplace” – MIT Sloan Management Review The difference between conversation and conversational intelligence and how they can improve the customer experience. One of the platform’s most interesting features is its Prediction Builder tool. Read more now.

Artificial Intelligence 10

Artificial Intelligence Azure Sales Hiring Machine Learning 10

SaaStr

JULY 19, 2022

Using the Drift Conversation Cloud, businesses can personalize experiences that lead to more quality pipeline, revenue and lifelong customers. More than 5,000 customers use Drift to deliver a more enjoyable and more human buying experience that builds trust and accelerates revenue. Usually, it takes a paradigm shift to grow.

GCP(Google Cloud Platform) 220

GCP(Google Cloud Platform) Artificial Intelligence Enterprise readiness Azure 220

User Pilot

MAY 30, 2023

Salespeople will have interesting ideas about how they can leverage a CDP to boost revenue. Lytics A CDP built for customer-centric experiences, Lytics is the first CDP with native AI built-in. Focus on maximizing revenue with e-commerce integrations. Microsoft Azure dashboard. Sales teams. This tier has custom pricing.

Azure 98

Azure Government Marketplace as a Service Data 98

Clouded Judgement

SEPTEMBER 19, 2023

The rise of foundation models and generative AI only furthers this trend. But this isn’t another post about AI, it’s about the future of data infrastructure. As Frank Slootman (Snowflake CEO) said, “Enterprises are also realizing that they cannot have an AI strategy without a data strategy to base it on.”

Data 130

Data Government Scale GCP(Google Cloud Platform) 130

SmartKarrot

DECEMBER 1, 2021

Power BI is a Microsoft product, and it works with Azure only, now that is a huge limitation. This tool fails to offer some crucial Business Intelligence capabilities like augmented analytics and AI experiences. It can be accessed through the web and on mobile devices. That’s convenient at best! Weaknesses . Like what you are reading?

Underperforming Technical Team 10

Underperforming Technical Team Business SaaS Cloud 10

OPEXEngine

FEBRUARY 15, 2022

Paired with gross margin (GM), cost of goods (COGs) tells investors in a single glance about the profitability of revenues, SaaS business model purity, and company efficiency. It includes the 2020 fiscal year COGs and gross margin data of Bessemer Cloud Index companies, with annual revenues ranging from $250M-$500M.

Benchmarks 52

Benchmarks Artificial Intelligence Systems Review Cloud 52

Navint

AUGUST 26, 2019

Apttus built their applications on the Microsoft Azure platform with the goal of opening new markets, specifically with Microsoft Dynamics CRM. This investment included adding capabilities to support recurring revenue requirements such as contract prorations and support for consumption/usage-based models. Fast-forward to Fall 2018.

Azure 40

Azure Outsourced Development Scale Finance 40

Sales Hacker

AUGUST 9, 2021

Orca Security provides security and compliance for Amazon Web Services , Azure , and Google Cloud Platform. Securiti is an AI-powered PrivacyOps platform that automates functions needed for privacy compliance. In the last year, the company has seen a 10-times YoY revenue increas e. Number of Employees: 251–500. Orca Security.

Cybersecurity 103

Cybersecurity Sales Hiring Scale compliance 103

SaaStr

SEPTEMBER 13, 2020

If you look at the IAS vendors, they passed $130 billion revenue milestone this year. Azure has been gaining on them rapidly and is growing a double that rate. What that does is not only did it accelerate the top line revenue for Shopify, but it dramatically opened up their total addressable market on a revenue basis. .

Sales Hiring 159

Sales Hiring Scale Payments Cloud 159

SaaStr

AUGUST 22, 2020

Five people in the digital team were looking at blockchain projects and three people on that digital team were looking for long term AI transformation. If there’s a social security number and other pieces of AI, then automatically it’s limited to this org or this subset of the org. Aaron Levie: Exactly. Is AWS in the lead?

Sales Recruiting 150

Sales Recruiting Cloud CTO Hire Scale 150

All that Saas

JULY 8, 2021

The software integrates well with over 65 tools like Microsoft Azure, Google Compute Engine, Google App Engine, and many others to deliver a seamless user experience. With the automatic revenue attribution feature, easily compare your campaigns and see which of them are successful and which are not. Key Features.

Software Review 52

Software Review Marketing Software Scale 52

SmartKarrot

JANUARY 18, 2022

A report from Bain & Company predicted that “Indian SaaS companies will reach $30 billion in revenue by the year 2025”. Found in 2011 by Ashish Thusoo and Joydeep Sen Sarma, Qubole works on developing a “cloud-based data lake platform for self-service AI.”

SaaS Payments 11

SaaS Payments Payment Solutions Payment Methods Payments 11