MongoDB Surged 25% After It Beat Earnings Estimates
Founded in 2007, MongoDB has become one of the most valuable open-source company. Through this model, the company puts its code available for free to third parties who then build their own solutions around the existing code. MongoDB makes money by offering add-on services such as customisation, support and consulting services.
On Friday, the company said its quarterly sales grew 44% to $ 199m with its Atlas cloud database growing 83% and now making more than 50% of total sales. MongoDB expects full year sales to reach $ 805m to $ 811m, up from previous indications of $ 784m.
“What we’re hearing from customers is they need to move fast, because they’re feeling a lot of pressure, either from people who are trying to disrupt their businesses or disruptors who are trying to disrupt the large incumbents” MongoDB CEO Dev Ittycheria
MongoDB is joined by the likes of Elastic, Confluent and Databricks. This is one of the largest open-source companies, after recently raising $ 1.6B in a private funding round and at a $ 38B valuation. The company's solutions are build around Apache Spark, which helps company deal with vast amounts of data.
“Post-pandemic something has happened, and I think data and AI, cloud-computing, open-source technologies seem to be more top of mind for leaders of different enterprises, [...] These are secular trends that are going to remain for a long time to come.” Databricks CEO Ali Ghodsi
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