The CEO of $74 billion Snowflake says that its new data marketplace is taking on the 'advertising world obviously totally dominated by Google and Facebook'
- The CEO of Snowflake said on Monday his firm is helping companies find their own advertising data.
- Frank Slootman said Snowflake is helping companies “compete with what we call the walled gardens.”
- Snowflake is also rolling out a developer platform, and marketing and support program this week.
- See more stories on Insider’s business page.
The $74 billion data company Snowflake is rolling out new products this week, including a data-sharing “marketplace” that will provide an alternative to the “advertising world obviously totally dominated by Google and Facebook,” CEO Frank Slootman said on Monday.
The expanded Snowflake Data Marketplace is being announced Tuesday at the company’s virtual Data Summit, along with new products for developers and companies looking to build programs and campaigns around Snowflake’s tools for storing vast amounts of corporate data.
In a video conference call on Monday ahead of the event, Slootman said that “Snowflake is helping many of the media companies use their data for maximum advertising efficiency so they can compete with what we call the walled gardens” of Facebook, Google, and Amazon.
Slootman, who took over as Snowflake CEO in early 2019, has likened himself to World War II legend General George Patton when it comes to fighting rivals like Amazon and Microsoft. That hard-driving attitude has sometimes caused controversy, most recently by questioning efforts to bring more diversity to tech hiring. (Slootman walked back his comments on diversity in a blog post on Monday, pledging to review the company’s diversity and inclusion initiatives.)
The new rollouts show how Snowflake, which broke records with its September 2020 initial public offering, plans to help customers make the most of the vast “data cloud” of information stored via its products.
The products rolled out this week were previewed by companies or used in pilot programs previously, but are now greatly expanded and widely available, the company said.
Essentially, Snowflake is building a proprietary platform where it wants companies to use its software to build apps, websites and services that store all the data they care to collect — and then use the Snowflake Data Marketplace to sell or otherwise swap that data directly to other companies. This marketplace will also host data from third-party providers, including from firms like FactSet and S&P Global, to complement that data.
Behind the platform is the reassurance that the data governance built into Snowflake will protect them from running afoul of rules like the EU’s General Data Protection Regulation or the California Consumer Privacy Act.
“It’s really important for us to be well-managed and manage risk,” Capital One Senior Vice President Biba Helou said in a testimonial for Snowflake. Helou will speak this week at the conference about how Snowflake has helped her company, which was hit with a massive data breach two years ago.
Of all the new rollouts, the data marketplace for media companies may best show the broad ambitions of the company, which has seen its stock decline 35% since December, and locked horns with rival Databricks, as it matures under the weight of high investor expectations.
Under the marketplace program, which is currently being used by NBCUniversal, media companies and advertisers connect to share data and targeting information without using insights from Google, Facebook, or Amazon, all of which collect data often used to estimate the cost of advertising.
In a March press release, NBC said its program was “ushering in a new era of data interoperability and partnership with privacy solutions in mind.”
Slootman said Snowflake offers its customers access to data “clean rooms,” online places where they can share anonymized data insights for the Data Marketplace. The clean rooms, which he called “the killer app of the data cloud,” address government compliance regulations because companies can share data there securely, Slootman said.
The advertising program is part of several product rollouts coming Tuesday at Snowflake’s virtual event. A new platform called Snowpark will help developers build applications directly with Snowflake, rather than building them elsewhere and relying on connectors back to data stored in the company’s products.
“There is now such a thing as a Snowflake application,” Slootman said. He called the developer platform “a very, very strategic platform for a Snowflake that we’ve been working on for several years.”
The company is also announcing a program called “Powered By Snowflake” that helps its partners with support, marketing, and data governance. The financial technology firm BlackRock has used the program for several months, prompting a wider rollout, Snowflake says.
Facebook, Google, and Amazon did not immediately reply with comments.
Source: Read Full Article