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- 50% of Enterprises Exceeded Their Cloud Budgets in 2022 ☁️
50% of Enterprises Exceeded Their Cloud Budgets in 2022 ☁️
And also: Salesforce Three New Board Members, Stripe's Plans to go Public, AppFolio Q4
Survey data from Wasabi's 2023 Global Cloud Storage Index reveals that 89% of enterprises have migrated their data from on-premises storage to the public cloud in recent years, with 84% expecting to increase their amount of stored data this year. According to respondents, better performance (48%), scalability (38%), and global access (35%) were significant driving factors for making this change.
Moreover, 51% use cloud storage for critical business applications like enterprise resource planning and customer relationship management rather than backups or archives. This is although 52% exceeded their previous year's budget due to various fees charged by their vendors.
The survey also found that storage fees accounted for 48% of total cloud storage bills, and understanding the billing structure was identified as a significant challenge. Respondents emphasized the need for more clarity regarding pricing arrangements, usage-based billing, and automated cost management solutions to better manage their cloud storage costs.
This data reveals that enterprises are willing to invest in public cloud storage solutions to drive business transformation initiatives such as digital transformation and infrastructure migration. However, they still face challenges managing their cloud storage costs due to a lack of transparency around vendor fees. Organizations can help mitigate these issues by seeking more insight into their cloud storage spending through usage-based pricing models and automated cost management solutions.
Salesforce has appointed three experienced business leaders – Michael J. Donald, Sachin Mehra, and Mason Morfit – to its Board of Directors.
Michael Donald has held numerous leadership positions in multinational corporations and is currently the Chair of the World Travel & Tourism Council.
Sachin Mehra brings deep technology, financial and operational expertise from his time at Mastercard.
Mason Morfit is a Partner, CEO, and CIO of ValueAct Capital, with more than $12 billion in assets under management.
The newly appointed board positions come only about a week after that was revealed that the activist investor Elliott Management had taken a multi-billion dollar stake in Salesforce.
Stripe Inc., a payments and e-commerce services provider, is reportedly considering going public or allowing employees to sell shares through a secondary offering within the next 12 months. The Wall Street Journal reported that co-founders Patrick and John Collison had informed employees of the goal, and Stripe has hired Goldman Sachs Group Inc. and JPMorgan Chase & Co. to advise on both options. With VC exits slowing significantly due to high inflation and interest rates, if Stripe is serious about going public, it will be hoping for a shift in the macroeconomic outlook this year. This could be one of a tech startup's most extensive initial public offerings in recent times.
AppFolio, Inc., a provider of cloud business management solutions for the real estate industry, announced its financial results for the fourth quarter and fiscal year ending December 31, 2022.
The company reported total revenue of $124.1 million in the fourth quarter of 2022, a 30% increase from $95.6 million in the same period last year and beating analyst estimates by $7.43 million. For the full-year 2020, AppFolio's total revenue grew 31% to $471.9 million from $359.4 million in 2021. Loss from operations was slightly higher than expected at 16.1%, but non-GAAP loss from operations was in line with estimates at 2.7%. Cash, cash equivalents, and investment securities totaled $185.2 million as of December 31, 2022.
For the fiscal year 2023, AppFolio provided a revenue outlook in the range of $565 million to $575 million, with a non-GAAP operating margin near breakeven and a non-GAAP free cash flow margin of between 2% and 3%.
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