At midnight last night, the entire SF Bay Area was ordered to Shelter in Place. There are more than 7 million people in the SF Bay Area. AAPL SQ TWLO OKTA COUP GH WORK FSLY ROKU GOOG FB MDB ESTC CRWD PAYC ZEN ZS TSLA SPLK NVDA INTC NKTR MDB WORK ZM and the list goes on and on and on. The majority of the SaaS companies are here.
This means that at least until April 7th all these companies’ employee are ordered to stay home. It’s a pretty big deal and it will certainly affect the results of these companies for at least a quarter.
I’ve been working in IT from my home office for over 25 years. The idea behind “cloud” is that you don’t have to be there. Quite simply, the WWW changed the work paradigm forever. SaaS, at least the ones that took precautions, should not be overly affected.
It’s a pretty big deal and it will certainly affect the results of these companies for at least a quarter
For engineering tasks, that is a lower impact, because most of what we do (am engineer) can be done pretty easily working from home. Tasks we do: Reading and writing specifications documents, discussing plans and designs, writing code or designing logic and circuits, all of that is pretty easy at home IF you have a large monitor like you should have at work. Online meetings are easy, video or not. We can talk, display our monitors with slide sets and documents.
My employer (one of those you listed above) has already given permission for employees to take monitors and other personal scale computing equipment home. And we have a huge server farm with Linux servers upon which we do our designing and simulation testing. So we can do our Windows kind of tasks and our heavy lifting both from home.
Factory, shipping and receiving, face to face things, those will be hit hardest.
Best to all.
OT, but worth it: If you can donate a little charity somewhere to ameliorate the pain of others, please do so. You will be happy you did.
I just talked to my daughter whi lives in San Fran. She went out jogging today. When I asked her if that was ok she said you are allowed to exercise but must keep a distance of 10 feet. You can go to store to buy food or go to the doctors.
I am having visions of akk these people conjugating at Trader Joes to visit and catch up with friends.
This means that at least until April 7th all these companies’ employee are ordered to stay home.
Companies are allowed to have a low number of critical employees on site.
This would include security and people to keep the servers running, for example.
My company is San Jose-based and we’ve got mandatory work from home for the foreseeable future. Should have limited impact on everyone because we’re a tech company and we use what we sell.
However, current issue for us isn’t worker productivity, it’s that our customers have stopped buying because they’re focused on keeping the doors of their own companies open. If you’re working at Marriott, Walmart, Johnson & Johnson, etc you’ve got bigger issues to deal with. Expanding your IT infrastructure is a low priority right now unless it enables your employees work from home. I’m sure that corporate networks everywhere are being stretched to their limits because no one could foresee having a majority of their workforce working remotely.
Chris…my Sister lives alone in SF. Any ideas re where to order FOOD, if they can’t go out? Besides Amazon.
Portfolio shrinks…sold only PLNT…gyms closed. Glad AYX is doing better! INMD, too. STJ