Speaker 1: Bloomberg Audio Studios, podcasts, radio news. Snowflake another of the
Speaker 1: tech names that released earnings yesterday after the bell and
Speaker 1: as investors look for signs of AI adoption or disruption.
Speaker 1: It's forecast product revenue for the current quarter will be
Speaker 1: about one point two six billion dollars. That's up twenty
Speaker 1: seven percent. They reported more than nine thousand accounts using
Speaker 1: Snowflake AI features shares you can see of three point
Speaker 1: seven percent. Let's bring in the Snowflake CEO Shida Ramaswami. Shida,
Speaker 1: I'm reading notes from zoo Ho saying bookings were a standout.
Speaker 1: They're talking about the seven nine figure deals that have come.
Speaker 1: Where are those deals coming from? What are those customers
Speaker 1: demanding of you?
Speaker 2: Great to see you, Caroline.
Speaker 3: Yes, we had seven nine figure deals, including a man
Speaker 3: of four hundred million dollar deal. It reflects the confidence
Speaker 3: that our customers have both in where Snowflake is right now,
Speaker 3: but importantly where we are going. We all understand and
Speaker 3: that software is being disrupted by AI in.
Speaker 2: A very very big way.
Speaker 3: But what our customers understand is that for enterprise AI
Speaker 3: to truly succeed, they need a single source of enterprise true.
Speaker 3: They need built in security, auditibility, trust and access. Of course,
Speaker 3: you also need the best models. That's what Snowflakes provides
Speaker 3: for them. And we're creating great products, products like Snowflake
Speaker 3: Intelligence that put the power of data into the hands
Speaker 3: of every business user. The healthcare company, I mean the
Speaker 3: health company loves using us, and there are lots of
Speaker 3: partners that are using products like Cortex Code to speed
Speaker 3: up what can be done with Snowflake. They're really looking
Speaker 3: to the future and making sure that we can deliver
Speaker 3: value with Snowflake, and we are creating the products that
Speaker 3: help them deliver that kind of value, Dane, and they are.
Speaker 3: That's why you are seeing companies, as you said, make
Speaker 3: commitments of four hundred plus million dollars with Snowflick.
Speaker 1: I'm really interested in codex Code with something that was
Speaker 1: talked a lot about and people are adopting swiftly. But
Speaker 1: that partnership model that you have, the fact that you
Speaker 1: have integrations with Anthropic, OpenAI Cloud, also Google Cloud, but
Speaker 1: some of these have very good coding tools of their own.
Speaker 1: How do you see this ecosystem evolving? Because customers get it,
Speaker 1: but the investments have been questioning whether they'll take away
Speaker 1: your market.
Speaker 3: Shaed Well, so there are a lot of things that
Speaker 3: are specific to Snowflake and to data. Absolutely, there are
Speaker 3: coding agents that are often provided by the model companies themselves,
Speaker 3: but we know a lot about how data systems are
Speaker 3: supposed to work, about how Snowflake is supposed to work,
Speaker 3: and Cortex Code is super tightly integrated with the customer's
Speaker 3: Snowflake account.
Speaker 2: Data does not go anywhere. And remember we have earned the.
Speaker 3: Trust of all of these customers with certifications, with the
Speaker 3: guarantee around things like AIUS. We never use customer data
Speaker 3: for things like training models. They get the superior models
Speaker 3: that we get through partnerships with these folks.
Speaker 2: But we also add the secret sauce of data of.
Speaker 3: How Snowflake works into products like Cortex Code, and we're
Speaker 3: seeing amazing wins both internally and also externally. One of
Speaker 3: our partners told us that having Cortex Code was like
Speaker 3: Snowflake supplying them with bulldozers were previously they had shovels.
Speaker 4: SHOULDA One of the core pillars for you to grow
Speaker 4: is to go out and find new customers. And I
Speaker 4: wondered if you just give some detail on what's happening
Speaker 4: in the world of technology in AI that would bring
Speaker 4: a customer to Snowflake for the first time. What is
Speaker 4: it that they need that they didn't before.
Speaker 3: Typically they come to us because they need better insight
Speaker 3: into data it is sitting somewhere. It's hard for them
Speaker 3: to get these insights. But increasingly what we're able to
Speaker 3: do is have our sales team build an honest to
Speaker 3: goodness customize demo of something like a Snowflake Intelligence on
Speaker 3: data that on the kind of data that a customer.
Speaker 2: Is going to have.
Speaker 3: It is that easy access that really is the big
Speaker 3: winner for our customers. And smart customers are also quickly
Speaker 3: realizing that having data in Snowflake means that they can
Speaker 3: think about how this data is going to be used
Speaker 3: in ways that they had not done before.
Speaker 2: Santa Fe, which is an.
Speaker 3: Existing customer, is now is now using Snowflake Intelligence our
Speaker 3: AI products to redefine a lot of workflows, replacing a
Speaker 3: lot of existing software. These are the use cases that
Speaker 3: drive these customers to come to Snowflake and adopt it.
Speaker 2: Shriidah.
Speaker 4: Last night, Jensen Wang, who you know very well, talked
Speaker 4: about profitable tokens, the idea that the output of an
Speaker 4: AI model is worth paying for. Customers do pay, and
Speaker 4: they pay it a price that is greater than the
Speaker 4: compute used to generate it. Are you able to give
Speaker 4: me any evidence through snowflakes lens that you actually see
Speaker 4: that in the real world.
Speaker 3: Well, what I can assure you is getting projects done
Speaker 3: as being changed dramatically. Something like setting up a pipeline
Speaker 3: used to be a multi week task, We can get that.
Speaker 2: Done in a small number of hours.
Speaker 3: My team's come to me just last weekend with speed ucks,
Speaker 3: going from four weeks for a software engineering project that
Speaker 3: they did down to forty minutes.
Speaker 2: That is one hundred x speed up, and we.
Speaker 3: Are happy to spend any number of tokens in those
Speaker 3: forty minutes to save that kind of time. I think
Speaker 3: coding agents are really quite magical in the value that
Speaker 3: they deliver, and I think it's only going to accelerate
Speaker 3: from here, and so these investments are going to be
Speaker 3: pretty foundational in every company you know succeeding and thriving.
Speaker 2: And that's why we're so bullish about codex.
Speaker 1: Code and how much you have to invest in your
Speaker 1: own business. I mean, the bullet case for many is
Speaker 1: you need to keep up with a furious pace of innovation.
Speaker 1: Can you at this moment?
Speaker 3: Briefly, we can because we are organized to drive rapid innovation.
Speaker 3: The team that is driving a product like Snowflake Intelligence
Speaker 3: is not that, but we have structured it in such
Speaker 3: a way that they can make rapid progress. And it
Speaker 3: is more the meta structure of how you set up
Speaker 3: environments where people can get work done quickly and effectively.
Speaker 3: That matters a lot more than things like how much
Speaker 3: hardware you are investing in and things like that. The
Speaker 3: current moment is magical because all of us have access
Speaker 3: to great tools. It really comes down to how effectively
Speaker 3: we set up teams on projects to get things done.
Speaker 3: And that's why we are very bullish on how we
Speaker 3: have set things up at Snowflake because we now have
Speaker 3: a demonstrated capability to be right at the cutting edge
Speaker 3: of where AI is having impact.
Speaker 4: Snowflake CEO Shreeta Ramaswami. Great to have you back on
Speaker 4: Bloomberg Tech. Thank you very much.