This Week in SaaS is back! Recorded late last night with Harry Stebbings and Jason M. Lemkin 🔥
Harry’s summary here:
Agenda:
1. Wiz: Should they have accepted the $23BN? What went down?
2. Crowdstrike: WTF happens now? Bull and bear case?
3. $1BN in legal tech in a day with Clio and Wiz. Say what?!
My top 6 takeaways and why you should listen over Taylor Swift today:
1. Is Crowdstrike F****d?
– No one is going to churn. They’re growing 33% at $4BN in revenue.
– They rely on selling 30 products. Upsell is going to be brutal.
– It’s going to be a rough NRR year. The GRR is going to stay high, as is the logo retention.
2. Why $23BN for Wiz is not Expensive
– They have gone from $0-$500M in just 4 years.
– Growing 120% YoY.
– Crowdstrike in the public markets was traded at almost 30x.
– This Wiz deal was not expensive.
3. We Have a Liquidity Crisis in Venture
– There has been 3 years of no liquidity.
– Brian Halligan was right, the Figma deal was the end of big M&A.
– We need to solve the liquidity crisis.
4. Why You Need $500M to Go Public*
– To go public you need $500M revenue & 30% YoY growth.
– It is possible to IPO at $200M, but you need to be growing at 50-60%.
– There just aren’t enough of those candidates.
5. Why 2025 is the Year of AI Parity
– 2025 will be the year of AI parity.
– Every SaaS vendor in each vertical will have the same features, the same messaging.
– 2025 will be the year of commoditization of features and SaaS parity.
6. The Question Every LP Should Ask Every GP
– Your job in venture is not to modulate your pace, it’s to up the game.
– There is a company like Wiz every year. Don’t miss them.
– Every LP should ask every GP ‘Why weren’t you in Wiz?’
The post New This Week in SaaS with Harry + Jason: Wiz Says No, CrowdStrike Will Endure, Clio at $3 Billion, and More! appeared first on SaaStr.
via https://www.aiupnow.com
Jason Lemkin, Khareem Sudlow
