Elastic Signs Distribution Agreement with Arrow Electronics for North America

Rhea-AI Summary

Elastic (NYSE: ESTC) has signed a distribution agreement with Arrow Electronics to deliver its Search AI powered Security, Observability, and Search solutions to the U.S. and Canada channel. This strategic partnership aims to simplify the process for channel partners to work with Elastic through ArrowSphere, reducing time and effort for quoting, purchasing, and fulfilling.

The collaboration reinforces Elastic's commitment to helping organizations accelerate migration from legacy vendors. Arrow's extensive network of security partners and solutions lab can assist customers in modernizing their security operations with Elastic's AI-driven security analytics. Elastic recently launched its Express Migration program to provide a quick path for organizations to adopt its AI-driven security analytics solution efficiently.

Positive

• Strategic distribution agreement with Arrow Electronics for North America
• Simplified process for channel partners through ArrowSphere platform
• Access to Arrow's extensive network of security partners and solutions lab
• Launch of Express Migration program for quick adoption of AI-driven security analytics

Negative

• None.

Insights

Market Research Analyst

This distribution agreement between Elastic and Arrow Electronics marks a significant expansion of Elastic's market reach in North America. The partnership leverages Arrow's extensive channel network, particularly in the security sector, potentially accelerating Elastic's revenue growth and market penetration. The integration with ArrowSphere streamlines the purchasing process, which could drive increased adoption of Elastic's solutions.

The timing aligns with the growing demand for AI-driven security and observability solutions, positioning Elastic to capitalize on this trend. The Express Migration program could be a key differentiator, potentially attracting customers from legacy SIEM vendors. However, investors should monitor the execution of this partnership and its impact on Elastic's financial performance in upcoming quarters.

Tech Expert

Elastic's AI-driven approach to security analytics and observability is a strategic move in a rapidly evolving tech landscape. The company's focus on automating complex tasks like data integration and rule conversion addresses critical pain points in the industry. The Elastic AI Assistant, in particular, could be a game-changer for reducing the learning curve and improving efficiency in security operations.

The integration with ArrowSphere not only simplifies deployment but also enhances flexibility, supporting both self-managed and cloud marketplace options. This adaptability is important in today's hybrid and multi-cloud environments. While the technology seems promising, investors should keep an eye on adoption rates and customer feedback to gauge the real-world impact of these AI-driven solutions.

Financial Analyst

While specific financial terms aren't disclosed, this distribution agreement has the potential to positively impact Elastic's top-line growth. Arrow Electronics' extensive network provides Elastic with a significant new sales channel, particularly in the lucrative North American market. The streamlined purchasing process through ArrowSphere could accelerate sales cycles and improve operational efficiency.

Investors should watch for potential increases in customer acquisition rates and changes in sales and marketing expenses in future financial reports. The Express Migration program could also drive short-term revenue growth if successful. However, it's important to consider the competitive landscape and potential margin pressures that may arise from the distribution agreement. Overall, this partnership appears to be a strategic move to expand market share and potentially improve financial performance.

Strategic relationship delivers Elastic’s Search AI powered Security, Observability and Search Solutions through ArrowSphere

SAN FRANCISCO--(BUSINESS WIRE)-- Elastic (NYSE: ESTC), the Search AI Company, has signed a new distribution agreement with Arrow Electronics to deliver Elastic’s Search AI powered Security, Observability and Search solutions to the U.S. and Canada channel. The relationship also reinforces Elastic’s commitment to helping organizations accelerate their migration away from legacy vendors.

The availability of Elastic’s solutions through ArrowSphere simplifies the process for channel partners to work with Elastic, dramatically reducing the time and effort Arrow’s partners require to quote, purchase, and fulfill. Whether self-managed or delivered through hyperscaler marketplaces, ArrowSphere streamlines the entire process, making it easier for partners and customers to manage their Elastic deployments.

“We are pleased to welcome Elastic to our growing roster of leading independent software vendors,” said Matt Brennan, vice president of North America supplier alliances at Arrow. “With the evolution of AI, increased data complexity, and a sharper focus on performance and continuity, Elastic’s modern Search AI solutions can help our channel partners address their customers’ evolving technology needs.”

As a global distributor of leading technologies and services, Arrow will enable an extensive channel ecosystem to sell solutions from Elastic. In particular, Arrow's extensive network of security partners and its solutions lab can help its customers modernize their security operations with Elastic’s AI-driven security analytics.

Elastic recently launched its Express Migration program to provide an accelerated path for organizations to migrate away from legacy SIEM vendors and adopt its AI-driven security analytics solution quickly and efficiently. Elastic is also streamlining SIEM replacement with AI. For example, Automatic Import automates the development of custom data integrations. Elastic AI Assistant lowers the learning curve for practitioner workflows and automates the conversion and creation of detection rules and investigation queries.

“We look forward to working with one of the largest global distributors and expanding our footprint across North America, particularly in the security space,” said Alyssa Fitzpatrick, global vice president, Partner Sales, Elastic. “The combination of Elastic’s solutions with the ArrowSphere platform promises a transformative experience for our partners and customers.”

Read the blog to learn more about the Elastic and ArrowSphere integration.

About Elastic

Elastic (NYSE: ESTC), the Search AI Company, enables everyone to find the answers they need in real-time using all their data, at scale. Elastic’s solutions for search, observability and security are built on the Elastic Search AI Platform, the development platform used by thousands of companies, including more than 50% of the Fortune 500. Learn more at elastic.co.

Elastic and associated marks are trademarks or registered trademarks of Elastic N.V. and its subsidiaries. All other company and product names may be trademarks of their respective owners.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240917795725/en/

Elastic PR

PR-team@elastic.co

Source: Elastic N.V.

FAQ

What is the new distribution agreement Elastic (ESTC) has signed?

Elastic (ESTC) has signed a distribution agreement with Arrow Electronics to deliver its Search AI powered Security, Observability, and Search solutions to the U.S. and Canada channel.

How does the ArrowSphere platform benefit Elastic (ESTC) partners?

ArrowSphere simplifies the process for channel partners to work with Elastic (ESTC), reducing time and effort required for quoting, purchasing, and fulfilling, whether for self-managed solutions or those delivered through hyperscaler marketplaces.

What is Elastic's (ESTC) Express Migration program?

Elastic's (ESTC) Express Migration program provides an accelerated path for organizations to migrate away from legacy SIEM vendors and quickly adopt Elastic's AI-driven security analytics solution.

How is Elastic (ESTC) streamlining SIEM replacement with AI?

Elastic (ESTC) is streamlining SIEM replacement with AI through features like Automatic Import for custom data integrations and Elastic AI Assistant, which automates the conversion and creation of detection rules and investigation queries.