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Tightening of infrastructure budgets isn't often easy, you need to invest weeks of engineering time into a mere 6 figure yearly reduction in infra costs.

Aside from that, Cloudflare is growing revenue not just overall but also on a per-customer basis, due to the expansion of products.

Once Cloudflare releases products that allow it to more directly compete with AWS, it'll be repriced by investors. They've already stated that this is their goal. They're missing a compute product and a real database or KV store solution to be at the bare minimum. I think we'll see both, and at least one will happen in the near future.

Cutting infra costs is not easy, especially when the costs of lapsing security spend are so high (how much did Equifax lose on reputational damage + cleanup work?).

($NET shareholder)




They seem like an alright business, I'd wait for it to reach closer to IPO price before buying in.




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