Preview|SNOW CY1Q25: Data Engineering and AI Products Are Customers' Top Priorities
2025 Is a Major Product Year for SNOW
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In our last quarter's SNOW Preview, our interviews revealed:
Iceberg represents net new revenue rather than migration from data warehouse revenue
OpenAI's budget cuts for DDOG benefit SNOW, as OpenAI's new architecture utilizes Grafana+SNOW/Databricks
Data Engineering momentum is extremely strong and was a key growth driver for 2024Q4
These insights were subsequently confirmed in earnings results and management callbacks.
We've provided a detailed analysis of SNOW's new products and AI technology stack in this report.
SNOW and MNDY are experiencing rare product-driven years in 2025, with second and third growth curves simultaneously contributing incremental revenue.
SNOW and NOW are among the few SaaS companies with AI-driven growth, presenting compelling mid-term narratives. This is particularly notable while Databricks, which has an even stronger story, remains private.
This week, we conducted research with two SNOW partners and gathered additional information about SNOW through cross-research methodologies.
In this report, we'll analyze SNOW's sales performance, Snowpark and AI products, holiday and seasonality factors, as well as the collaboration between OpenAI and SNOW.
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