Snowflake expects annual product revenue above estimates as AI boosts demand
Snowflake forecast fiscal 2027 product revenue above Wall Street estimates on Wednesday, as booming enterprise demand for artificial intelligence tools drives clients to the company’s cloud-based data analytics platform.
Enterprise clients are increasingly shifting their workloads to the cloud while making investments to develop AI applications, boosting demand for companies like Snowflake.
Shares dropped about 2% in extended trading after Snowflake’s results and forecasts failed to impress investors amid market fears that the growing use of AI tools would erode demand for traditional software.
