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Interesting. My initial instinct is to compare them to MongoDB which IPO'd about a year ago. They seem to be doing quite well since, but then again, who hasn't in the tech sector? I will say I very much enjoy Elastic's suite of products, I can't say the same for MonogoDB. |
MongoDB (the company), has been very strategic about defending themselves from Amazon. Likely due to the AGPL licensing on MongoDB (the database), Amazon doesn't offer a hosted MongoDB - you have to buy MongoDB Atlas which runs on multiple cloud providers, including AWS, GCP and Azure. Coincidentally, Atlas subscriptions are the fastest growing part of MongoDB Inc's revenue, which is why investors are bullish on the company.
Elastic (Apache licensed) has actually had their lunch eaten by Amazon to a much larger degree. Many businesses are purchasing hosted ES instances directly from Amazon via Amazon Elasticsearch service. The problem is bad enough that Elastic Inc had to write a marketing blog post about it [0].
Say what you will about MongoDB (the database), but MongoDB Inc. is the most successful open source software-based company since Red Hat. You can see it in the outperformance of $MDB compared to similarly timed open-source IPOs such as Hortonworks ($HDP) and Cloudera ($CLDR).
[0] - https://www.elastic.co/blog/hosted-elasticsearch-services-ro...