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Predicting Cloud Growth Rates for 2023

Tom Tunguz

I’m watching public company earnings to identify early weaknesses in the software market. Yesterday, Google & Amazon announced earnings which completes the picture. A year ago, AWS, GCP, & Azure averaged 44% annual growth. Google: [GCP] saw slower growth of consumption as customers optimized GCP costs.

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Snow Angels Come Early to Data : Snowflake's Strength Spells Success for Startups

Tom Tunguz

Snowflake announced earnings yesterday, echoing the strength within software companies more broadly & underscoring the shift in enterprise buyer behavior to normal after three quarters of extensive cost cuts. And as a result, our salespeople are really not inclined to do much in GCP.”

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The Critical Question Facing Web3 Infrastructure Startups

Tom Tunguz

That’s much more work than the automatic credit card payment with AWS. Perhaps this dynamic drives consolidation in the market, paralleling the web2 infrastructure hypermarts of AWS, GCP, and Azure. Third, software engineers decentralize only a subset of the app.

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Grey Skies in Cloud Earnings

Tom Tunguz

I’m watching public company earnings to identify early weaknesses in the software market. This week Microsoft, Google/ Alphabet, & Amazon reported their third quarter figures. Google Cloud Platform. The kink downwards in the red line at Q-2 shows a sudden deceleration in AWS’ growth rate.

Cloud 228
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The Health of Cloud Spending in Mid-2022

Tom Tunguz

I’m watching public company earnings to identify early weaknesses in the software market. This week Microsoft, Google/ Alphabet, & Amazon report their figures. Today, Microsoft & Google revealed the health of their infrastructure business units. GCP’s data point is less rosy. Microsoft Azure.

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Thanks to Bee, ChartMogul, Maast, SecureFrame, and StratusGreen for Sponsoring SaaStr Annual 2023!

SaaStr

Our mission is to build powerful and secure cloud software for subscription businesses of all sizes, with a strong emphasis on good design and ease of use. Maast offers payments, banking, lending and more as features in software provider’s platforms – with one relationship, contract and integration.

Payments 227
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The 4 Questions Startups Should Ask Themselves about Building with Generative AI

Tom Tunguz

Layer : application, platform, or infrastructure? In the cloud, AWS, Azure, & GCP have created about as much market cap as all the top 100 B2B & B2C publics built on cloud (Netflix, ServiceNow, AirBnb, etc). The PC increased GDP by 0.006%, according to NBER That alone should turn heads.