Listened to the PANW call. I think the results bode well for the upcoming CRWD results. 80% of PANW’s business is hardware/firewall based and it’s growing revenue at around 17%. Their SW defined cloud security business is 20% of their business and it’s growing at 85%. Some things that were said that are relevant to CRWD:
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customers are trying to save money
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cloud adoption is increasing
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it’s difficult to get new HW based security business because people are not in the office
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cloud and SW based security give companies a lower TCO and better security because updates are instantly implemented to all customers in the cloud rather than requiring customers to get updated on their end
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PANW is continuously replacing their HW based business to SW defined and cloud products/services; in FY2020 their next-gen security offerings grew 105% while the market for HW based security solutions is growing in the low single digits
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PANW expects to continue to make acquisitions to fuel growth and further switch away HW/firewall solutions
The above boses well for CRWD in the short and long term.
Here is a link to the PANW Q4 2020 results:
https://investors.paloaltonetworks.com/investor-relations/ne…