Clouded Judgement

JULY 21, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. Subscribe now Are Software Companies Bad Businesses? There was some talk last week on the All-In podcast about software companies. The gold standard for all public software companies is GAAP net income in the fullness of time.

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Cloud Software Sales Hiring Scale 130

Clouded Judgement

OCTOBER 27, 2023

Every week I’ll provide updates on the latest trends in cloud software companies. I believe one of the bigger reasons software has held up despite the run up in the 10Y to 5% is the expectation for re-acceleration (ie numbers / forecasts going up). Staggering scale already. Follow along to stay up to date!

Cost optimization & reporting 152

Cost optimization & reporting Cloud Azure AWS 152

SaaStr

SEPTEMBER 20, 2023

Discover Bessemer Venture Partners’s annual State of the Cloud report, going through trends, benchmarks, and metrics that underpin the Cloud economy. The past twelve months have been relatively turbulent for Cloud founders. What does this mean for Cloud companies? What does this mean for Cloud companies?

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Cloud Payments Software Review Payment Solutions 237

SaaStr

NOVEMBER 24, 2023

And yes, I know we can argue Databricks is neither really Cloud nor really SaaS. I’d argue that doesn’t much matter — its comparables are the Cloud and SaaS leaders). Canva image from here ) The post Canva and Databricks: The Two Big Potential SaaS / Cloud IPOs of 2024 appeared first on SaaStr.

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Cloud SaaS Enterprise Branding 275

SaaStr

JULY 28, 2021

Byron Deeter, general partner at Bessemer Venture Partners and I caught up on SaaS and Cloud in general and the upcoming Cloud100 awards and learnings. The full session is below and sign up for the Cloud 100 for FREE here. About 25% of the Cloud 100 top private SaaS companies are growing / grew 100% or more at $100m ARR (!).

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Cloud Scale Scaling Investment 359

Clouded Judgement

SEPTEMBER 12, 2023

Q2 earnings season for cloud businesses is now behind us. As you can see from the data below most cloud businesses beat the consensus estimates for Q2 Source: company filings and Pitchbook consensus estimates Historically, the median beat of consensus estimates is closer to ~4%.

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Cloud Software Benchmarks Retention 169

Clouded Judgement

JUNE 20, 2023

Q1 earnings season for cloud businesses is now behind us. The question on everyone’s mind - when will we see software re-accelerate? The real headwinds to software (tougher expansion, longer sales cycles / procurement, slower new business, budget crunches / RIFs, etc) started last August.

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Cloud Software Benchmarks Scale 161

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. The post Cloud Stocks May Be Down.

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Cloud Azure AWS Engineering 239

Clouded Judgement

APRIL 12, 2023

Q4 earnings season for cloud businesses is now behind us. Less than half of the software universe is guiding above consensus, and the median guide has gone from ~2.5% As you can see from the data below most cloud businesses beat the consensus estimates for Q4. At the same time, forward guides are also weakening.

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Cloud Software Benchmarks Retention 161

Clouded Judgement

APRIL 5, 2024

Every week I’ll provide updates on the latest trends in cloud software companies. If we were to come up with a hypothetical software startup that will trade at 10x revenue in the public markets, their seed round might be done at a NM (not meaningful) multiple, as they have no revenue. Follow along to stay up to date!

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Cloud Scale Pricing Revenue 161

Clouded Judgement

MARCH 22, 2024

Every week I’ll provide updates on the latest trends in cloud software companies. Enterprise software businesses strive for 90-95% gross retention (generally the percent of revenue that sticks with you vs churns altogether), with net expansion in the 120%+ range (the aggregate change in expansion - contraction - churned revenue).

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AI Revenue Cloud Technical Advisors 183

Clouded Judgement

JANUARY 19, 2024

Every week I’ll provide updates on the latest trends in cloud software companies. Subscribe now The Bar For Going Public There’s a lot of talk recently about “are IPO markets open” or “what scale do I need to get public.” Subscribe now Share Clouded Judgement Leave a comment

Cloud 177

Cloud Scale Compensation Metrics 177

SaaStr

DECEMBER 11, 2020

Now more than ever, an independent software vendor’s (ISV’s) path to profitability depends upon the strength of their go-to-market strategy. By doing so effectively, you can unlock a path to scaling profits. To assist you with this all-important self-assessment, CloudBlue is introducing our Channel Maturity Scale.

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Scale Scaling Marketplace as a Service Cloud 276

SaaStr

MARCH 31, 2022

Jessica Alexander, Senior Director Cloud Technology & OEM Partnerships, Crowdstrike. This episode is an excerpt from a session at SaaStr Scale. This episode is an excerpt from a session at SaaStr Scale. But with cloud computing spend, it’s concentrated typically with one primary vendor. Rico Mallozzi, Sr.

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Scale Marketplace as a Service Cloud SaaS Payments 191

SaaStr

NOVEMBER 6, 2023

If you’re selling software to SMB merchants and outside of tech like Shopify and Toast and Monday , things are pretty, pretty good, if in some ways still harder than before. If you’re selling sales and marketing software, like Zoominfo, it can seem a lot tougher than 12-18 months ago. With some big caveats.

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Merchant Services Azure Software AWS 257

Clouded Judgement

DECEMBER 20, 2022

Q3 earnings season for cloud businesses is now behind us. As you can see from the data below most cloud businesses beat the consensus estimates for Q3. This quarter more than half of cloud software businesses missed next quarters consensus. Some software companies also have seasonality in the “payback.”

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Cloud Software Review Software Benchmarks 130

Intercom, Inc.

MAY 25, 2022

We are building for the long term – that means ensuring reliability by default, and the ability to accommodate massive scale as we grow. . As these existing customers have grown, and we’ve welcomed bigger and bigger customers, we’ve always focused on saying yes to scale. . At Intercom, we aim to run less software.

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Scaling AWS Software Review Technical Review 252

SaaStr

SEPTEMBER 29, 2023

What Caused This Crowded Software Market? We’re so many years into the Cloud, and here we are at hundreds of billions in annual Cloud spend and growing at 6x over eight years. It has become much cheaper to build software — You can build high-quality products cheaply in your dorm room with a laptop. That’s unbelievable!

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Scale Scaling Startup Sales Hiring 222

SaaStr

NOVEMBER 25, 2022

Scale-ups are exciting. Scaling to satisfy customers’ demands depends on innovation and foresight combined with enterprise-ready technology and the right partners. On top of considerable dedication, creating a scale-up requires a functional edge—a unique and unreplicable capability compared to the players in the industry.

Scale 214

Scale Scaling Marketplace as a Service Entrepreneurship 214

SaaStr

OCTOBER 16, 2021

Bessemer Venture Partners Byron Deeter, Mary D’Onofrio, and Elliott Robinson share a state of the cloud economy, tactical lessons and case studies for early-stage founders, private market analysis, alongside key predictions and trends driving innovation in SaaS around the globe. Enter your email below for the latest SaaStr updates.

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Cloud Mobile Innovation Metrics 235

SaaStr

NOVEMBER 13, 2021

So just how many SaaS, Cloud, B2B/B2D pre-IPO unicorns are there really? So how many of them are like us — SaaS, Cloud software, or fintech that is SaaS-y? So prediction: at the end of 2022, we’ll have 1000 private SaaS/Cloud Unicorns and 50 private Decacorns. I count about 337 Unicorns and 15 Decacorns ; and.

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Cloud Healthcare B2C SaaS 246

How To Buy Saas

APRIL 24, 2024

In today’s moving software development arena the DevOps movement stands out as a game changer bridging the gap, between development and operations teams. This collaboration aims to boost teamwork streamline operations and speed up software delivery. Exploring the Connection Between DevOps and Cloud Computing 1.

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DevOps as a Service Application Development Underperforming Technical Team Cloud 40

SaaStr

JANUARY 5, 2022

In 2015, SaaS cloud-based content management tool Box went public. We restructured all of our messaging around our Content Cloud to create a simplified go-to-market message that says what it does, and does what it says. At Box, we’ve found a lot of success in getting customers to adopt new features within Content Cloud.

Scale 253

Scale Scaling Sales Hiring Software Review 253

SaaStr

NOVEMBER 24, 2020

Check out the low down on our sponsors for SaaStr Scale who are helping to make this event happen. Grab your seat for their 12:30 PM PST workshop on Scaling with Speed: How to Streamline Your Revenue Operations with Conga. Conga eliminates the business bottlenecks through their Digital Document Transformation solutions. Freshworks.

Scale 235

Scale Scaling Outsourced Development compliance 235

SaaStr

MARCH 19, 2021

The Cloud is expanding and moving forward at a phenomenal rate, so we invited the team at Bessemer Venture Partners back to SaaStr to unveil their latest findings in the 2021 State of the Cloud. Is Cloud growth sustainable for the long term? Is Cloud growth sustainable for the long term? Hello Unicorns . trillion.

Cloud 191

Cloud Scale Payment Methods Payment Solutions 191

Intercom, Inc.

DECEMBER 31, 2019

Putting narrative order on the past decade, a 10-year-period that has somehow remained stubbornly nameless, is quite the challenge, but it’s impossible to make sense of the 2010s without understanding the role of software. The scale is extraordinary. Rise of the cloud and SaaS businesses. There are about 3.2

Payment Solutions 259

Payment Solutions Payment Methods Software SaaS Payments 259

Intercom, Inc.

APRIL 13, 2021

A large part of making this belief a reality is the idea of running less software. You can watch a video of that talk below, or read on to learn how we built our Elasticsearch cloud on AWS. This might be an exception to our “run less software” philosophy, but we were determined that it should never feel like it.

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AWS Cloud Software Review Systems Review 249

SaaStr

OCTOBER 20, 2022

One thing that is clear is that public SaaS and Cloud stock prices are way down. And they say 2023 will be a banner year for enterprise software spend at least — growing a stunning 11% to $880 Billion. The post Gartner: Business Software Spend Still Forecast to Rise 11.3% But is spending? I’m not so sure.

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Forecasting Artificial Intelligence Software Business 233

SaaStr

NOVEMBER 18, 2023

They typically give them just enough to see if it will work, and the startup grows and scales to the next stage. SaaS and Cloud growth overall will remain strong. Shopify , Datadog, Crowdstrike , Google Cloud-Azure-AWS, Snowflake , etc. In fact, Gartner predicts enterprise software spend will cross $1 Trillion Dollars (!)

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Startup Venture Capital Azure AWS 301

SaaStr

OCTOBER 13, 2019

subscribers to the SaaStr Cloud Daily on Quora , 9,100,000+ views, and are adding thousands of new followers per week. One benefit from Cloud Daily is our community speaks and upvotes their top stories of the week. 6 Key Signs a VP Can’t Scale Beyond $5m-$10m ARR. 6 Key Signs a VP Can’t Scale Beyond $5m-$10m ARR.

Scale 126

Scale Cloud Scaling PayPal 126

Tom Tunguz

DECEMBER 5, 2023

Mongo announcing earnings yesterday concludes this quarter’s index of software buyers. As the chart above shows, the software market is plateauing & some companies are rebounding. Second, each of these businesses has scaled, doubling or more in the last three years. Why is a flat growth rate something to cheer?

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Cloud Software Scaling Revenue 280

Andreessen Horowitz

AUGUST 4, 2020

Today, about 90% of public SaaS companies and the 2019 Forbes Cloud 100 have subscription-based revenue models. Now new fintech infrastructure companies have made it possible for SaaS businesses to add financial services alongside their core software product.

Scaling 145

Scaling SaaS Cloud Subscription 145

Tom Tunguz

JUNE 7, 2023

The absence of those dollars will flatten & shrink the already modest addressable market for web3 software & infrastructure. Web3 software & infrastructure companies yearning to thrive will need to look beyond the web3 buyer base to new markets with larger willingness to spend. annual spend on software.

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Blockchain SaaS Scale Cloud 273

SaaStr

JULY 27, 2022

So when we started SaaStr waaay back in 2012, I never would have thought of profiling Microsoft and its old fashioned desktop software. But fast forward to today, and Microsoft truly is a Cloud and SaaS company, with Azure and LinkedIn its fastest growing business units! Software is and should be very profitable at scale. #4.

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Azure Cloud B2B Scaling 279

SaaStr

DECEMBER 21, 2022

And my old division of Adobe, Document Cloud, is growing 21% at $2.4 Document Cloud revenue was $2.38 This is how software companies used to work. #2. A reminder to go global in software! #3. One of its oldest products and divisions, Document Cloud, is growing the fastest. Creative Cloud crossed $10B in ARR.

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Scale Cloud Subscription Payment Features 255

Intercom, Inc.

FEBRUARY 26, 2018

The same is true in software. In this battle, I’ve found a secret weapon hidden within one of our core engineering strategies, an idea called Run Less Software. As well as being a critical philosophy behind how we build software, it also represents how I feel about the software industry and technology in general.

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Software Review Outsourcing Services Software Outsourced Development 224

SaaStr

DECEMBER 14, 2023

HashiCorp __ Mary is a partner at Bessemer, where she primarily focuses on cloud software investments. She also developed Bessemer’s Cash Conversion Score and authors the annual Cloud 100 Benchmarks Reports. She serves as a board member or observer for Teleport, Netlify, Imply Data, LaunchDarkly, GetInsured, and Contractbook.

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Venture Capital Benchmarks Cloud compliance 209