With the coronavirus spreading, investors are pouring money into cloud software stocks.
All as companies race towards infrastructure that can handle the demand from people working from home, playing at home, gaming at home, and schooling from home. So much so, Microsoft for example just increased its network and data center capacity to help manage a surge in demand for its Azure and Office cloud services.
NVIDIA just announced it’s working with Google on the Google Cloud platform to launch a cloud service powered by NVIDIA’s A100 GPU. Even stocks like Zoom, Okta, and Twilio are exploding to record highs on demand for cloud software.
“As we continue to move through Covid and assess the ‘new normal’, we continue to believe that an element of the WFH [work from home] environment that we have gotten used to, is here to stay,” Evercore ISI analysts led by Kirk Materne said as quoted by CNBC.
Plus, “Even when the Covid-19 situation is behind us, we don’t anticipate customers returning to paper or manual-based processes,” CEO Dan Springer said. “Once they take their first digital transformation steps with us and they realize the time, cost, and customer experience benefits, they rarely go back.”