Clouded Judgement

MARCH 22, 2024

Subscribe now ARR (Annual Recurring Revenue) vs ERR (Experimental Runrate Revenue) ARR (Annual Recurring Revenue) is one of the most popular SaaS (Non-GAAP) metrics. However, it’s also one of the most loosely used metrics, and is frequently misused. I created this subset to show companies where FCF is a relevant valuation metric.

AI 183

AI Revenue Cloud Technical Advisors 183

Clouded Judgement

NOVEMBER 10, 2023

Model providers (OpenAI, Anthropic, etc as companies start building out AI). Hyperscalers (AWS, Azure, GCP as companies look for cloud GPUs who aren’t building out their own data centers) Infra (Data layer, orchestration, monitoring, ops, etc) Durable Applications We’ve clearly well underway of the first 3 layers monetizing.

Cloud 183

Cloud Artificial Intelligence AI GCP(Google Cloud Platform) 183

Stax

APRIL 18, 2024

While they operate under different business models, ISVs and SaaS share similarities in software development, cross-platform accessibility, and industry reach. ISVs and SaaS providers differ in software distribution, licensing models, hosting responsibilities, support options, upgrade and maintenance procedures, and scalability.

Outsourcing Services 88

Outsourcing Services SaaS Payments Payment Services Payment Methods 88

Andreessen Horowitz

MARCH 21, 2024

While they are relying on NPS and customer satisfaction as good proxy metrics, they’re also looking for more tangible ways to measure returns, such as revenue generation, savings, efficiency, and accuracy gains, depending on their use case. 2B run-rate revenue, including spend on OpenAI models via Azure.

Generative AI 145

Generative AI AI Enterprise Artificial Intelligence 145

Frontegg

JUNE 17, 2021

Picking the right SaaS architecture model for your business is very important. This will let you achieve optimal security and performance metrics, but these boxes will not be fully utilized. Multi-tenant SaaS architecture is the better option if you want to create a scalable business model that is flexible and versatile.

ECS (Elastic Container Service) 97

ECS (Elastic Container Service) multi-cloud Kubernetes K8S orchestration (Kubernetes) Scale 97

OpenView Labs

FEBRUARY 9, 2021

Though it was pioneered in the infrastructure layer (think: AWS and Azure), it’s becoming increasingly popular for API-based products and application software. Investors especially love how the usage-based pricing model pairs with the land-and-expand business model. Pick the right usage metric.

Scale 98

Scale Pricing Scaling AWS 98

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. The prevalence and extremity of outliers reflected within this cohort highlight the substantial differences in business models between SaaS companies in 2020.

Benchmarks 52

Benchmarks Artificial Intelligence Systems Review Cloud 52