Baillie Gifford Sees AI Supporting Snowflake’s Data Business
The investment manager said Snowflake’s product revenue grew 37% as customers used AI to get more value from its data platform.
Key takeaways
- Snowflake’s product revenue grew 37%, accelerating for a third consecutive quarter.
- Baillie Gifford said AI is helping customers migrate workloads and get more value from Snowflake’s platform.
Baillie Gifford’s US Equity Growth Strategy said Snowflake’s product revenue grew 37%, accelerating for a third consecutive quarter, in its Q3 2026 investor letter. The letter also reported expanded operating margins and said Snowflake contributed positively to portfolio performance during the quarter.
The investment manager said AI is helping customers migrate workloads and extract more value from Snowflake’s data platform. It argued that the company’s systems of record hold authoritative data that AI models cannot replicate.
Baillie Gifford described AI as an amplifier for Snowflake’s business, rather than a threat. Earlier in the year, the manager said, Snowflake shares were caught in a broad software selloff amid concerns that AI could replace established platforms or reduce SaaS profitability.
This article was produced with the help of AI technology. Source: Yahoo Finance
