Snowflake Inc., a prominent data analytics provider, has raised its annual product revenue forecast and announced a strategic partnership with AI company Anthropic.

This collaboration aims to enhance Snowflake’s cloud services by integrating Anthropic’s large language models, enabling customers to develop and refine AI applications more effectively.

The partnership is expected to empower Snowflake’s AI agents to perform tasks such as in-depth data analysis and visualization generation.

Following this announcement, Snowflake’s share value surged by 19% in extended trading. The company now forecasts its 2025 revenue to be $3.43 billion, up from the previous estimate of $3.36 billion. Additionally, Snowflake’s fourth-quarter product revenue projection exceeds analyst expectations, forecasting between $906 million and $911 million, compared to the anticipated $884.5 million. These developments reflect Snowflake’s strategic direction under its new CEO amidst growing competition in the AI software market.

Key Facts:

• Partnership with Anthropic: Snowflake has indeed partnered with Anthropic, a leading AI company known for its focus on building safe and helpful AI systems. This collaboration aims to integrate Anthropic’s large language models (LLMs) into Snowflake’s data cloud platform.  
• Revenue Forecast Increase: Snowflake has raised its annual product revenue forecast for 2025, indicating strong demand for its services and a positive outlook for the company’s future.  
• Q4 Revenue Exceeds Expectations: Snowflake’s projected fourth-quarter product revenue surpasses analyst expectations, further solidifying the company’s strong financial performance.  
• Stock Surge: Following these announcements, Snowflake’s stock price experienced a significant increase, reflecting investor confidence in the company’s future prospects.  

Significance:

• AI Integration: The partnership with Anthropic signifies Snowflake’s commitment to integrating AI capabilities into its platform. This will allow customers to leverage the power of LLMs for various data analysis tasks, such as generating insights, creating visualizations, and automating workflows.  
• Market Leadership: Snowflake is positioning itself as a leader in the evolving data cloud market, capitalizing on the growing demand for AI-powered data solutions.  
• Strong Financial Performance: The increased revenue forecast and strong Q4 projections demonstrate Snowflake’s robust financial health and its ability to capitalize on market opportunities.