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More information on the ppt Auth0 200M ARR 50% Growth 120%+ Net Retention Rate https://investor.okta.com/static-files/83f1811e-2f92-4c08-a16d-76cae00f1255

More information on the ppt Auth0 200M ARR 50% Growth 120%+ Net Retention Rate https://investor.okta.com/static-files/83f1811e-2f92-4c08-a16d-76cae00f1255 https://investor.okta.com/static-files/83f1811e-2f92-4c08-a1... What a great acquisition. Congrats to both teams!

capableweb 6y ago
> What a great acquisition. Congrats to both teams! Great acquisition for those two, what about customers who always seem to lose when companies get acquired? The market now has less competition, people who were using Auth0 is eventually gonna have to modify their infrastructure because of this and things will become more unstable.
- ramraj07 6y ago
  Honestly as auth0 users we were mulling moving over to okta anyway. Auth0s offering has always been slightly rough around the edges and we end up slightly suboptimal implementations because of that.
  - scrollaway 6y ago
    If that were the case, Okta would not have acquired Auth0.
    - mschuster91 6y ago
      Taking over a competitor is always a good idea, simply to reduce the amount of players you compete with. This is why Facebook gobbled up Instagram and Whatsapp.
    - techrat 6y ago
      Acquisitions don't happen exclusively because a company is buying out someone who is better than them. Sometimes they happen so a company can buy out someone so they won't have the chance to become better than them and a serious competitor.
      - capableweb 6y ago
        And for those in the back that don't know, using that as a reason for an acquisition is illegal and considered anti-competitive practice, hence you'll never hear a company publicly state that reason.
        deleted 6y ago
        [deleted]
        cat199 6y ago
        but you will hear: Sometimes they happen so a company can create synergies and improve the scope of their product offerings
- marc__1 6y ago
  Bezos apparently said one that "Your margin is my opportunity". If this merger increases future profitability of new Okta, then you can argue there is a newer genuine market opportunity in authentication. The VC-backed industry is all about creating new opportunities (and by definition disrupting someone else's business), and recirculating investment money, improving our economy
  - cat199 6y ago
    > market opportunity in authentication. As in any publicly traded company - there are 2 markets at play - capital markets, and the market for the actual products > The VC-backed industry is all about creating new opportunities (and by definition disrupting someone else's business), and recirculating investment money, improving our economy 2 words I don't see in this sentence are 'product' and 'customer'
mooreds 6y ago
Those are some killer numbers!
Clewza313 6y ago
Really? $6.5B is over 32x their current run rate, and that's projected revenue, not actual profit.
- f430 6y ago
  we are in a credit bubble after all
- ZephyrBlu 6y ago
  Those numbers are pretty insane though, especially the Net Retention.
- staysaasy 6y ago
  I'm with you that 32x feels insane, but these are crazy times and Okta presumably had to pay a premium to take Auth0 off the market. With those stats and a compelling story (developer tools) they were probably expecting a great IPO in this market. Assuming a 20% premium to take them off the market, 32x doesn't seem that crazy with many public companies trading at 25x or more. But yeah... it does feel a little bit like that moment where you go over the top of a roller coaster...

capableweb 6y ago

> What a great acquisition. Congrats to both teams! Great acquisition for those two, what about customers who always seem to lose when companies get acquired? The market now has less competition, people who were using Auth0 is eventually gonna have to modify their infrastructure because of this and things will become more unstable.

ramraj07 6y ago
Honestly as auth0 users we were mulling moving over to okta anyway. Auth0s offering has always been slightly rough around the edges and we end up slightly suboptimal implementations because of that.
- scrollaway 6y ago
  If that were the case, Okta would not have acquired Auth0.
  - mschuster91 6y ago
    Taking over a competitor is always a good idea, simply to reduce the amount of players you compete with. This is why Facebook gobbled up Instagram and Whatsapp.
  - techrat 6y ago
    Acquisitions don't happen exclusively because a company is buying out someone who is better than them. Sometimes they happen so a company can buy out someone so they won't have the chance to become better than them and a serious competitor.
    - capableweb 6y ago
      And for those in the back that don't know, using that as a reason for an acquisition is illegal and considered anti-competitive practice, hence you'll never hear a company publicly state that reason.
      - deleted 6y ago
        [deleted]
      - cat199 6y ago
        but you will hear: Sometimes they happen so a company can create synergies and improve the scope of their product offerings
marc__1 6y ago
Bezos apparently said one that "Your margin is my opportunity". If this merger increases future profitability of new Okta, then you can argue there is a newer genuine market opportunity in authentication. The VC-backed industry is all about creating new opportunities (and by definition disrupting someone else's business), and recirculating investment money, improving our economy
- cat199 6y ago
  > market opportunity in authentication. As in any publicly traded company - there are 2 markets at play - capital markets, and the market for the actual products > The VC-backed industry is all about creating new opportunities (and by definition disrupting someone else's business), and recirculating investment money, improving our economy 2 words I don't see in this sentence are 'product' and 'customer'

mooreds 6y ago

Those are some killer numbers!

Clewza313 6y ago

Really? $6.5B is over 32x their current run rate, and that's projected revenue, not actual profit.

f430 6y ago
we are in a credit bubble after all
ZephyrBlu 6y ago
Those numbers are pretty insane though, especially the Net Retention.
staysaasy 6y ago
I'm with you that 32x feels insane, but these are crazy times and Okta presumably had to pay a premium to take Auth0 off the market. With those stats and a compelling story (developer tools) they were probably expecting a great IPO in this market. Assuming a 20% premium to take them off the market, 32x doesn't seem that crazy with many public companies trading at 25x or more. But yeah... it does feel a little bit like that moment where you go over the top of a roller coaster...