Happy to be Opensource when you are taking advantage of free labor to make your product better.

Not so happy anymore when another company learns how to monetize your product better than you can. https://www.elastic.co/blog/why-license-change-AWS
MongoDB built a better product than AWS could deliver AND built a better SaaS service for that product and their stock is up like 10x in the past 4 years.

Elastic had all the expertise to out maneuver AWS - they had all the time in the world.
For YEARS folks complained how bad AWS Elasticsearch was.

Where was Elastic? They could have built a far superior solution to be THE PLACE to run your Elasticsearch workloads. But for some stupid reason they must not have wanted to be in the SaaS game?
This point still boggles my mind.

You are the creator of the database - you have all the technical experience to deliver a superior service...and instead you just LET AWS take your market share.

Congrats. You played yourself.
Let's look at Postgres. Another Open Source product out there.

You can run Postgres on AWS via RDS and Aurora.

You can also run Postgres using @EDBPostgres

EDB seems to have no problem building a huge business that's directly competitive to AWS.
Instead, Elastic ceded the high ground on building a SaaS offering for Elasticsearch.

How does http://Logz.io  even exist? That started off as basically just hosted ELK.

No one wanted to run ELK, they wanted to USE ELK.
This could make an amazing HBS case study showing Elastic making the greatest product strategy failure of the last decade.
AWS has both Kinesis and Managed Service for Kafka (MSK).

Yet somehow Confluent has managed to build and grow a business around Kafka that is valued over 4.5B and likely to IPO.

AWS is surprisingly easy to complete with - you just need a better UX than them. LOW BAR.
Final thoughts, because if I have to hear the billionaire software founder get upset about being the poor little guy getting crushed by another billionaire i'm gonna lose my mind.

This move by Elastic is going to drive even MORE business to AWS Elasticsearch.
You can follow @petecheslock.
Tip: mention @twtextapp on a Twitter thread with the keyword “unroll” to get a link to it.

Latest Threads Unrolled:

By continuing to use the site, you are consenting to the use of cookies as explained in our Cookie Policy to improve your experience.