Snowflake’s CEO, Frank Slootman, said that the movement of the world towards cloud is a kind of ‘modernization’ currently at play, that can make an impact on their company’s future. “There is a couple sort of long-term secular trends that are coinciding and driving the development of the market.” said Slootman in a CNBC interview, talking about the factors that can either make or break their business. “We take advantage of better economics, utility models, and we no longer have to manage capacity.”.
Snowflake Inc.(NYSE:SNOW) is a warehousing company that provides a cloud-based-data that enables its customers to build data-intensive applications more efficiently and easily. Founded last 2012, the leaders of the company were able to organize and manage Snowflake to power the Data Cloud that allowed thousands of organizations to smooth and uninterrupted access to the true value of their data.
“We have had an extraordinary amount of pent up demands in the sense that the premise data centers could only accommodate a ‘very very tiny’ fraction of the real demands for data analytics really is,”. The CEO mentioned that the world is in a situation where technology is ahead of humans in the sense of the capability of imagining what we can actually do. “That is a big part of what you see in Snowflakes’ growth profile. A completely viable paradigm.”.
Frank stated that running out of opportunity and trying to invade adjacent territories to accumulate a new runway is obviously not the case for Snowflake. “We’re in a tremendous marketplace and we are buying talent and technology that we can use to build very specific technologies that are very much built the Snowflake way. We can really enable our platform mission.”.
The company has managed to keep up growth in a year where there is a pandemic and as the world gets closer back to normal, Frank said that because of the lockdowns, “We don’t have a yearning to go back to where we were… But from a business standpoint, there is a lot of positives to the shock of the system that we received.”. He described it as a ‘wake up call’ that is opening their eyes to the opportunity presented on the table.
According to Frank, the ‘work-from-home’ set up can potentially be a long-lasting trend that can reduce the real estate footprint that companies have. He said that “The whole notion of a headquarters is pretty much evaporating in front of our eyes. We’re no longer operating within a physical center of the universe. We’re completely virtual. We’re connecting as needed”. Frank mentioned that they have been communicating virtually the whole year last 2020 and it went just fine which lead everybody to wonder, ‘what is a headquarter anyway?’. He concluded that having a headquarter is just a concept of the past which is now slowly fading away.