US tech stock Snowflake (NYSE:SNOW) debuted on the New York Stock Exchange yesterday with the most valuable software initial public offering (IPO) ever! After being pitched to sell at around $120, Snowflake shares began trading at $245.
What does Snowflake do?
A cloud software provider, Snowflake allows the analysis and sharing of immense amounts of data with on-demand capacity. It aims its services at small-to-medium-sized companies and offers scaling and pricing flexibility that outperforms competitors.
Google, Microsoft and Amazon are its chief rivals, but it also partners with them to provide its services. Investors have noted this conflict of interest could be a flaw in its system going forward. And Snowflake itself indicated the risks in partnering with competitors in its IPO filing. Nevertheless, it’s clearly not overly worried and is committed to spending $1.2bn on