Snowflake To Boost Collaboration With Nvidia - What's Going On?

Snowflake Inc. SNOW shares are trading higher in the premarket session on Thursday.

During an interview with CNBC’s Jim Cramer on Wednesday, Snowflake CEO Sridhar Ramaswamy hinted at an increased collaboration with Nvidia Corporation NVDA, a prominent AI company, the media house reported.

Check This Out: Snowflake Q1 Earnings: Revenue Beat, EPS Miss, ‘Strong Customer Interest’ For AI Products And More

“We collaborated with Nvidia on a number of fronts: Our foundation model, Arctic, was, unsurprisingly, done on top of Nvidia chips. There’s a lot to come and Jensen’s, of course, a visionary when it comes to AI,” Ramaswamy said, referencing Nvidia chief Jensen Huang, CNBC added.

Ramaswamy mentioned that at Snowflake’s Data Cloud Summit in June, there’ll be further talks on AI and new product reveals, the report read. The summit, to be held in San Francisco, will feature a conversation with Nvidia CEO Huang. Ramaswamy expressed enthusiasm for accelerated computing, CNBC noted.

Yesterday, after the bell, the company released first-quarter results, where revenue increased 33% year-over-year to $828.7 million, beating the consensus estimate of $785.87 million, according to Benzinga Pro.

Snowflake also announced it intends to acquire certain technology assets and hire key employees from TruEra, an AI observability platform. 

The company said it now has 485 customers with trailing 12-month product revenue greater than $1 million and 709 Forbes Global 2000 customers, representing 30% and 8% year-over-year growth, respectively. 

Snowflake exited the quarter with cash and equivalents of $1.33 billion along with short-term investments of $2.2 billion.

Price Action: SNOW shares are trading higher by 4.08% to $170.00 premarket at last check Thursday. 

Photo via Shutterstock