Welcome to the Cloud Wars Minute — your daily news and commentary show, hosted by Cloud Wars Founder, Bob Evans. Each episode provides insights and perspectives around the “reimagination machine” that is the Cloud. Today’s topic: Snowflake Increased Revenue by 100%—Again!
0:11 – Snowflake, #9 on the Cloud Wars Top 10, reported numbers for a fantastic Q4 as well as full year results. For Q4, Snowflake finished with revenue up in triple digit and more than 100% for the full year. They also had product revenue increase 106% which was worth 1.1 billion dollars.
1:20 – Snowflake’s remaining performance obligation (RPO) was up 99%. In Q4, they acquired 14 new Fortune 500 customers and 21 new customers from the Global 2000. They are growing rapidly in all the places they wanted to expand.
1:50 – CEO Frank Slootman made it a point to emphasize how important industry solutions and vertical industry focus are for Snowflake. Snowflake is doing a number of things that are different and that is why is growing at 100%. Some of the ways they go to market, some of their technologies, their mindset, their approach, and their pricing are all seen as unique.
2:18 – One of the things that Snowflake did in Q4 was release some platform enhancements that allowed customers to do the same number of queries they had been doing before, but by consuming a smaller number of Snowflake’s services. So, in effect, the price went down for customers and the revenue going back to Snowflake went down 5%. They wanted to invest in their customers and build for the future. Slootman said that this was “Not Philanthropy,” but a way to win customer loyalty.