Snowflake said it has inked a multi-year deal to bring Anthropic's Claude models to Snowflake Cortex AI. Anthropic's Claude will be a part of Snowflake Intelligence and Cortex Analyst.
The partnership with Anthropic will be part of Snowflake's agentic AI strategy.
In a statement, Snowflake said Claude 3.5 models will be available with in Cortex AI, which is built on AWS. The news landed as Snowflake reported earnings. Snowflake has been building out its AI offerings.
- Snowflake bolsters Cortex, launches AI and ML Studio, Snowflake Trail
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- Constellation ShortList™ Automated Cloud Data Warehouse Services
Key points of the Anthropic partnership include:
- Anthropic's Claude language models will be used to enhance data agents within Snowflake.
- Snowflake's Horizon Catalog, which is integrated into Cortex AI, will provide controls and guardrails to Claude 3.5 models.
- Snowflake's data platform and Anthropic's models can be accessed via Amazon Bedrock. Anthropic's Claude 3.5 Sonnet will be available in AWS regions where Amazon Bedrock is available.
- Snowflake has committed to using Claude as one of the core models behind its agentic AI offerings. Snowflake's Cortex Playground has multiple models available in Cortex AI.
- Snowflake will optimize its offerings for Claude and the company will use Anthropic's flagship models internally.
For Anthropic, the Snowflake deal gives it more enterprise throughput. Anthropic has been building collaboration workflows to make Claude more of a digital coworker in enterprises.
- Anthropic's Claude 3.5 Sonnet model can use your computer
- Anthropic adds more collaboration features to Claude for Pro, Team customers
- Anthropic launches Claude 3.5 Sonnet, Artifacts as a way to collaborate
As for earnings, Snowflake reported better-than-expected third quarter earnings. The company reported a third quarter net loss of $324.3 million, or 98 cents a share, on revenue of $942.09 million. Non-GAAP earnings in the quarter were 20 cents a share.
Wall Street was looking for a non-GAAP profit of 15 cents a share on revenue of $898.46 million.
Snowflake said it had 542 customers in the quarter with trailing product revenue above than $1 million.
Sridhar Ramaswamy, CEO of Snowflake, said the company is driven to "to produce product cohesion and ease of use." He added that Snowflake is winning new business and expanding wallet share with existing customers and displacing competitors.
As for the outlook, Snowflake projected fourth quarter product revenue of $906 million to $911 million, up 23%. For fiscal 2025, Snowflake is projecting $3.43 billion in product revenue, up 29%.
Separately, Snowflake said it acquired open data integration platform Datavolo. The move is designed to add creation, management and observability of multimodal data pipelines for enterprises.
Ramaswamy said Datavolo will bring the ability to ingest both structured and unstructured dataflows. Datavolo's platform is built on Apache NiFi, a technology for secure data processing and distribution. Snowflake has made a series of recent moves in open source.
Constellation Research's take
Constellation Research analyst Andy Thurai said the Anthropic partnership is the headliner and a notable move for enterprises. For Snowflake, Anthropic gives it some LLM heft.
"Based on my conversation with enterprises, Anthropic seems to be the best performing model among the LLMs to date. Anthropic, co-founded by OpenAI employees, seems to be more efficient than the parent at a much cheaper cost. As of now, Anthropic's Claude 3.5 Sonnet is one of the top performing model in the market."
