Tanay’s Newsletter • 82 implied HN points • 30 Dec 24
- Databricks is growing faster than Snowflake, with a revenue growth rate of 57% compared to Snowflake's 27%. However, Snowflake remains more profitable at this point.
- Databricks is currently valued higher than Snowflake due to its strong growth potential and better positioning in the AI market. This could lead to a significant payoff for them in the long run.
- Snowflake and Databricks have different business strategies, with Snowflake focusing on profitability and Databricks investing heavily in growth and product development, especially in AI technologies.