Clouded Judgement

MARCH 22, 2024

Every week I’ll provide updates on the latest trends in cloud software companies. 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. Follow along to stay up to date!

AI 183

AI Revenue Cloud Technical Advisors 183

Clouded Judgement

MAY 31, 2024

Every week I’ll provide updates on the latest trends in cloud software companies. ” As growth starts to slow, it gets harder and harder to justify using revenue multiples as a primary valuation metric. And the promise of the software business model is as companies mature and go out of growth mode the profits will show up.

Cloud 177

Cloud Software GCP(Google Cloud Platform) AI 177

SaaStr

MAY 16, 2022

But at end of the day, in Cloud, the question is if CIO and related spend will slow down. So follow AWS, Azure and Google Cloud. So there’s much angst and even panic with so many SaaS and Cloud public stocks down 50% or more from their peaks. They are the Cloud. If they stumble, we’re in for a rough patch.

Cloud 245

Cloud Azure AWS Engineering 245

Tom Tunguz

OCTOBER 27, 2022

Microsoft Azure. Google Cloud Platform. Infrastructure revenue growth averaged 33% this quarter, which is astounding considering we’re talking about businesses that sum to more than $50b of revenue per quarter. At a 7x multiple of revenue, that is another $84b of market cap creation, in theory.

Cloud 224

Cloud GCP(Google Cloud Platform) Azure AWS 224

Tom Tunguz

APRIL 25, 2023

Google Cloud Platform (GCP) & Microsoft Azure had strong quarters with about 28% annual revenue growth each. The total customer count for Azure’s OpenAI has grown dramatically. All of that usage is creating a massive business. Amazon, Cloudflare, & Mongo announce later this week.

AI Search 191

AI Search AI Azure GCP(Google Cloud Platform) 191

Clouded Judgement

APRIL 11, 2024

Q4 earnings season for cloud businesses is now behind us. My hope is that this analysis can provide startup entrepreneurs with a framework for how to manage their businesses around SaaS metrics (e.g., We then dipped below the trendline as we hit the period of “cloud optimizations,” and things have started to rebound.

Cloud 177

Cloud Software Azure AWS 177

Clouded Judgement

AUGUST 4, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. Subscribe now Cloud Giants Update “What we're seeing in the quarter is that those cost optimizations, while still going on, are moderating and many maybe behind us in some of our large customers. Follow along to stay up to date!

Cloud 130

Cloud Azure Cost optimization & reporting AWS 130

Clouded Judgement

MAY 10, 2024

Every week I’ll provide updates on the latest trends in cloud software companies. 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.

Cloud 161

Cloud Software GCP(Google Cloud Platform) Azure 161

Clouded Judgement

OCTOBER 20, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. Hyperscaler Preview Next week Amazon, Microsoft and Google report earnings and we’ll see Q3 data for AWS, Azure and Google Cloud. Revenue multiples are a shorthand valuation framework. Follow along to stay up to date!

Cloud 161

Cloud Azure AWS Software Review 161

Clouded Judgement

APRIL 28, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. AWS (Amazon), Azure (Microsoft), and Google Cloud (Google) all reported this week. When the tailwinds of new business start to overcome the headwinds of optimization (or when headwind of optimization becomes a tailwind of net expansion).

Cloud 130

Cloud Azure AWS AI Search 130

Clouded Judgement

JANUARY 6, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. Cloud Downgrades This week UBS came out with a couple research reports citing concerns in AWS / Azure growth. This brings me back to AWS / Azure downgrades. Revenue multiples are a shorthand valuation framework.

Cloud 130

Cloud Azure AWS Underperforming Technical Team 130

Tom Tunguz

JULY 26, 2022

Today, Microsoft & Google revealed the health of their infrastructure business units. Microsoft Azure. Google Cloud Platform. Microsoft Azure grew 40% y/y, tying the fastest quarterly growth rate in the past 5 quarters. Microsoft Azure grew 40% y/y, tying the fastest quarterly growth rate in the past 5 quarters.

GCP(Google Cloud Platform) 176

GCP(Google Cloud Platform) Cloud Azure AWS 176

Clouded Judgement

OCTOBER 28, 2022

Every week I’ll provide updates on the latest trends in cloud software companies. Hyperscalers Report Quarterly Earnings This week we saw AWS (Amazon), GCP (Google) and Azure (Microsoft) report earnings. At the same time, Azure came in below expectations. Follow along to stay up to date! Top 5 Median: 15.8x

Cloud 130

Cloud Azure AWS Cost optimization & reporting 130

Clouded Judgement

APRIL 21, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. Next week we get all 3 hyperscalers reporting (AWS from Amazon, Azure from Microsoft, and GCP from Google). Let’s double click on Azure. Follow along to stay up to date! Q1 Earnings Season We’re on the eve of Q1 earning season.

Cloud 130

Cloud Azure AWS GCP(Google Cloud Platform) 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. “The number of $100 million-plus Azure deals increased over 80% year-over-year, while the number of $10 million-plus deals more than doubled. of revenue in a year.

Azure 184

Azure AI Search Marketing ChatGPT 184

Clouded Judgement

JANUARY 27, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. Azure (Microsoft) Quarter The week the first of the cloud giants reported - Azure. Early Look at 2023 Guides Given the Azure weakness reported on Tuesday, all software tumbled Wednesday morning with most names down 5-10%.

Cloud 141

Cloud Azure Pricing Subscription 141

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 216

Cloud Azure Headcount Software Review 216

SaaStr

JULY 27, 2022

But fast forward to today, and Microsoft truly is a Cloud and SaaS company, with Azure and LinkedIn its fastest growing business units! Azure and other cloud services grew a record 40% and the total Microsoft Cloud grew to a $90 Billion run-rate. MSFT Q4 2022 – Revenue up 12% to $51.9

Azure 283

Azure Cloud B2B Scaling 283

Clouded Judgement

AUGUST 11, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. The weakness they called out was from larger cloud-native businesses. However, they called out strength when looking at new business (ie net new customer signups). Follow along to stay up to date! On the surface, it wasn’t good.

Cloud 130

Cloud Trends Azure GCP(Google Cloud Platform) 130

Clouded Judgement

JULY 28, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. Subscribe now Busy week! AI = Data + Compute I’ll continue beating this drum, but we got two great quotes from Azure and AWS this week. Cycle of Cloud Optimizations Q2 earning season has officially kicked off!

Cloud 130

Cloud Azure AWS GCP(Google Cloud Platform) 130

Clouded Judgement

JUNE 9, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. Expansion revenue is still declining (we see this in falling net retention rates), but gross retention remains strong. Very healthy new business (new customer) acquisition. They were also more constructive on cloud optimizations bottoming.

Trends 130

Trends Cloud Azure AWS 130

Clouded Judgement

MAY 26, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. Azure / Confluent / Datadog reported a few weeks back (they all had March quarter ends), and their commentary suggested the worst was behind us. Revenue multiples are a shorthand valuation framework. Follow along to stay up to date!

Cloud 141

Cloud Azure Trends Retention 141

Clouded Judgement

NOVEMBER 10, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. I think we’re about to see an explosion of good business model AI applications in the near future. Most likely Datadog is seeing trends more unique to their own business. Revenue multiples are a shorthand valuation framework.

Cloud 183

Cloud Artificial Intelligence AI GCP(Google Cloud Platform) 183

Clouded Judgement

FEBRUARY 3, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. 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%+. Revenue multiples are a shorthand valuation framework. Top 5 Median: 14.5x

Cloud 130

Cloud Azure AWS Generative AI 130

Tom Tunguz

JULY 25, 2023

At last, we see a change in slope in the annual growth rates of the cloud services. Both Google & Microsoft announced growth rates in GCP & Azure that held steady from one quarter to the next. Microsoft’s Robotic Process Automation business, Power Automate is growing quickly, too. The desire for AI is 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 234

Azure Underperforming Technical Team Machine Learning Artificial Intelligence 234

Clouded Judgement

FEBRUARY 17, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. As you can tell, there’s a BIG drop-off projected in 2023 Like Azure, they called for a big slowdown of consumption trends in the month of December. Revenue multiples are a shorthand valuation framework. Follow along to stay up to date!

Cloud 130

Cloud Azure Revenue Subscription 130

Clouded Judgement

NOVEMBER 3, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. Pure revenue multiples are trading at a 31% discount to their long term average (5.4x Maybe with the exception of hyperscalers (particularly Azure). 4x NTM revenue for Confluent sounds super cheap. Follow along to stay up to date!

Software Review 161

Software Review Cloud Software Azure 161

Chart Mogul

JANUARY 20, 2022

Configure Amazon S3, Google Cloud Storage, or Azure Blob Storage as a destination in ChartMogul and export your activities for further analysis. ChartMogul is only one part of a larger ecosystem of tools an organization with recurring revenue uses. Combining revenue, product, CRM, and other data sets uncovers powerful insights.

Azure 52

Azure Cloud Forecasting Churn 52

IT World

JANUARY 25, 2023

Microsoft on Tuesday said it expects the growth across its cloud business to temper down through 2023 as enterprises brace for economic headwinds. The Windows-maker reported 29% growth in total cloud revenue to $21.5 These numbers exclude the impact of currency fluctuations.

Cloud 96

Cloud Azure AI Enterprise 96

SaaStr

MARCH 31, 2022

Jessica Alexander, Senior Director Cloud Technology & OEM Partnerships, Crowdstrike. So for the audience, cloud giants are turbocharging startup sales, and the predominant reason for this is because they’re fundamentally changing IT budgets at the customers that we’re all selling to. Rico Mallozzi, Sr.

Scale 196

Scale Marketplace as a Service Cloud SaaS Payments 196

SaaStr

JANUARY 25, 2023

So we took a look at ServiceNow a little ways back at $5B in ARR , but I thought it was worth another deep dive now for a very specific reason: Their very seasoned CEO has sees no real slowdown or downturn in their business. 20,000 employees, so about $350,000 revenue per employee. But new bookings aren’t really down, either.

Azure 251

Azure Cloud Enterprise Subscription 251

SaaStr

NOVEMBER 3, 2022

ChartMogul is an analytics platform to help you run your subscription business. 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. Which means better customer relationships, more data, and new sources of revenue.

Payments 220

Payments Payment Services GCP(Google Cloud Platform) Payment Solutions 220

Clouded Judgement

JUNE 20, 2023

Q1 earnings season for cloud businesses is now behind us. My hope is that this analysis can provide startup entrepreneurs with a framework for how to manage their businesses around SaaS metrics (e.g., Beating consensus revenue estimates is the first aspect of a successful quarter. net retention and CAC payback).

Cloud 161

Cloud Software Benchmarks Scale 161

Tom Tunguz

MAY 31, 2022

Amazon Web Services and Azure, the business units inside Amazon and Microsoft serve and sell to small, medium, and large companies in every major geography. Microsoft Azure. Google Cloud Platform. Here are the revenue growth rates for these businesses broken out by software and infrastructure. ServiceNow.

Azure 189

Azure Software Startup Cloud 189

SaaStr

OCTOBER 6, 2022

Organic search is the single most important channel for growing your business, but the tech and tactics in the space are over two decades old. We help B2B SaaS marketers turn organic search into a source of repeatable revenue through software and coaching. Our mission is simple : We help others grow.

GCP(Google Cloud Platform) 196

GCP(Google Cloud Platform) Azure AWS compliance 196

SaaStr

JULY 19, 2022

Drift® , the Conversation Cloud company, helps businesses connect with people at the right time, in the right place with the right conversation. Using the Drift Conversation Cloud, businesses can personalize experiences that lead to more quality pipeline, revenue and lifelong customers.

GCP(Google Cloud Platform) 215

GCP(Google Cloud Platform) Artificial Intelligence Enterprise readiness Azure 215