In several cases, technology services companies focus on an ISV ecosystem to provide consulting and implementation services around a specific platform. In other posts, we have shared views on different partner ecosystems and their sizes.
Below, we show the traction of distinct ISV ecosystems. We attempt to identify publicly traded software companies with relevant partnership networks. We exclude private businesses where we cannot access current public data (Databricks, Qlik, Cloudera, etc).
The table above is sorted by the 3-year revenue CAGR from 2021 - 2024E. The list includes software names with strong partner networks. Some considerations on the list: hyperscalers show their overall revenue growth, which does not relate to their specific cloud business (AWS tends to grow at a ~25% rate, Azure at ~30%, and GCP at a ~35% clip, corresponding to their respective sizes).
Some key observations:
- Snowflake, a large and top grower with $3.6 billion in 2024 revenue and a CAGR of 44%, is expected to generate more than $800 million of revenue growth in 2024 (our views here https://alten.capital/blog/data-series-snowflake-services-partner-ecosystem-update)
- Appian is the smallest name on the list, with $460 million in 2024 revenue
- ServiceNow is the largest name, with more than 20% growth at $7.2 billion in 2024 revenue (our views here: https://alten.capital/blog/servicenow-services-partner-ecosystem)
- Datadog is the second fastest grower at scale with $1.7 billion in 2024 revenue (our views here: https://alten.capital/blog/datadog-services-partner-ecosystem)
- Twilio is decelerating the fastest, with 61% growth in 2021, ramping down to 5% growth in 2024
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