Elasticsearch Delivers Performance Increase for Users Running the Elastic Search AI Platform on Arm-based Architectures

Rhea-AI Summary

Elastic (NYSE: ESTC) has announced new benchmarking results for its Elasticsearch on Azure's preview of the Cobalt 100 Arm-based virtual machines (VMs).

The benchmarking showed a performance increase of up to 37% in throughput when using Epsv6 VMs compared to the older Epsv5 VMs.

This was achieved using a macro benchmarking framework for Elasticsearch Rally with the elastic/logs track. Shay Banon, Elastic's CTO, expressed enthusiasm for the collaboration with Microsoft.

The improvements highlight Microsoft's commitment to advancing Azure infrastructure for better performance.

Positive

• Elastic's new benchmarking shows a 37% improvement in throughput performance with Azure's Cobalt 100 Arm-based VMs.
• Collaboration with Microsoft remains strong, with rapid advancements in Azure infrastructure.
• Shay Banon, Elastic's CTO, expressed excitement about the partnership, indicating strong leadership and strategic alignment.

Negative

• The announcement is a preview, meaning the improvements are not yet available for general use.
• No specific financial or market impact data is provided, which limits the immediate assessment of the announcement's effect on ESTC stock.

Insights

Tech Expert

The benchmarking results showing up to 37% increase in performance on Azure Cobalt 100 Arm-based VMs for Elastic Search AI Platform users could indicate significant improvements in processing capabilities. This performance boost can lead to faster data indexing and retrieval, which is critical for users requiring high-speed, real-time data analytics. It also demonstrates the robustness of the Arm-based architecture in a cloud environment, which might serve as a catalyst for more enterprises to consider migrating to Arm-based virtual machines.

Beyond the raw performance improvements, there's a strategic implication here. The collaboration between Elastic and Microsoft Azure signifies a commitment to ongoing innovation in cloud infrastructure, suggesting that Elastic users can expect continued enhancements in the future. For stakeholders, this could mean reduced operational costs and enhanced efficiency, both of which are important in highly competitive markets like cloud computing and data analytics.

However, investors should also consider the cost implications of transitioning to new VM instances, which might involve additional short-term expenses. It’s also worth noting that while performance improvements are significant, the actual business impact will depend on how effectively these enhancements translate into user satisfaction and business outcomes.

Financial Analyst

From a financial perspective, the announcement of a 37% performance improvement in Elastic's operations on Azure Cobalt 100 Arm-based VMs is promising. Such advancements can enhance the company's competitive edge, potentially leading to increased user adoption and customer retention. This collaboration with Microsoft Azure, a leading cloud service provider, also bolsters Elastic's market position and credibility.

Investors should note that while performance gains are advantageous, the actual financial impact will be clearer once adoption metrics are available. The increase in performance could lead to higher levels of customer satisfaction and possibly increased revenues as businesses might be willing to pay more for superior performance. Additionally, Elastic’s ability to leverage these advancements can result in cost efficiencies that benefit their bottom line.

It's important to watch for future earnings reports to gauge the material impact of these improvements. If Elastic can demonstrate a notable uptick in user base or customer spend due to these performance enhancements, it could signal a positive long-term trend.

Benchmarking in preview provides up to 37% better performance on Microsoft Cobalt 100 Arm-based VMs

SAN FRANCISCO--(BUSINESS WIRE)-- Elastic (NYSE: ESTC), today announced new Elasticsearch benchmarking on the preview of Azure Cobalt 100 Arm-based virtual machines. This resulted in up to 37% higher throughput performance when using Epsv6 VMs compared to the Ampere Altra-based Epsv5 VMs on Microsoft Azure. Elastic used a macro benchmarking framework for Elasticsearch Rally with the elastic/logs track to determine the maximum indexing performance on Azure Cobalt 100 Arm-based virtual machines.

“At Elastic, we love working with the Microsoft teams, from silicon to models,” said Shay Banon, co-founder and chief technology officer at Elastic. “The rate of progress on the Azure team is impressive, and we are excited to collaborate with them to bring these benefits to our users as fast as possible.”

“With the introduction of the new Cobalt 100 Arm-based VMs, we aim to deliver Elastic users on Azure up to 37% greater performance compared to the previous generation,” said Paul Nash, Corporate Vice President, product, Azure Infrastructure Platform at Microsoft. “Continual investments like these to deliver better and better performance represent our commitment to provide the best infrastructure powering Elastic Cloud on Azure.”

For more information, read the Elastic blog, and if you wish to learn more about the Azure Cobalt 100 Arm-based Virtual Machines read the Microsoft blog.

About Elastic

Elastic (NYSE: ESTC), 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/20240521745734/en/

Elastic Global PR

PR-team@elastic.co

Source: Elastic N.V.

FAQ

What performance improvements were announced for Elasticsearch on Azure Cobalt 100 Arm-based VMs?

Elastic announced a 37% improvement in throughput performance on the preview of Azure's Cobalt 100 Arm-based VMs compared to the Epsv5 VMs.

What technology was used for benchmarking Elasticsearch on Azure?

A macro benchmarking framework for Elasticsearch Rally with the elastic/logs track was used for testing.

Who is the CTO of Elastic?

Shay Banon is the Co-founder and Chief Technology Officer of Elastic.

What is the stock symbol for Elastic?

The stock symbol for Elastic is ESTC.

Who did Elastic collaborate with for the new benchmarking results?

Elastic collaborated with Microsoft for benchmarking on Azure's Cobalt 100 Arm-based virtual machines.