Rumor is the splunk cloud service may be shutdown in the coming year due to lack of scalability and poor support for their single tenant cloud platform. After investing 6 years and tens of millions of dollars to get it up and wonky the outlook is not good as it remains unprofitable.
You don't need to be a McKinsey consultant to understand the economics of hosting a cloud business is working against them. Time and money have run out. It's time for cloud staff to update their resumes and move on.
Selling subscription cloud services requires up front investments with the hope that revenues increase yearly to recoup those upfront costs overtime. Their biggest mistake was to move away from perpetual licensing rather than innovate their software. Does Syslog really need to be hosted outside a company's network? Especially since Splunk Enterprise is not a cloud native application that can support multi-tenancy and is scalable. Their core engineering is working on that but it seems late to the game.
Many friends in Splunk sales are saying out loud that this year the sale of Cloud has been DEcelerated to 80% quota and commission recognition. Heard this from 10+ sales peeps which is troubling that they are even discouraging their sales reps from selling more Cloud
Format all their servers and get it over with.
it helps if you patch the servers.
They've fallen and can't get up the competition from Chronicle, Exabeam, Sumologic, Elastic, AWS Cloudtrail, and others is frightening.
A bunch of sad creatures with no shame that's because they're not humans but animals.
In the last few quarterly earnings reports they have not mentioned their cloud business because it's not great.
I think its imperative that companies that choose to migrate to the cloud understand how to build cloud-first applications and have extensive hosted services experience in a B2B model. @Splunk they don't have top notch talent so they can't be something that they're not which is a success.
I've heard the rumors too and it's not fake news, the layoffs are because their cloud service is a disaster and no money and time left.
Splunk's cloud service is disposable all a company does is bring up their own syslog and shutdown their current Splunk Universal Forwarder and they're toast. That's it.
If you can't scale it then you can't support or secure it. Why would any company allow their syslog to be managed by a third party?
why bother anymore
well said
we said
One wrong move and it's wipe out with rarely second chances to rebuild. They should have stayed in the software licensing model and innovated there, rather than keeping up with the Jones's.