CrowdStrike’s MSSP Security Partner Business Grows 150% YoY
CrowdStrike’s revenue driven by MSSP partners has grown more than 150% year-over-year, even as the security software company continues to expand its own MDR (managed detection and response) capabilities.
The MSSP partner growth stat surfaced during CrowdStrike’s Q2 earnings call with Wall Street analysts on August 30, 2022. Indeed, CEO George Kurtz said the CrowdStrike Falcon platform:
“…empowers MSSPs to stop breaches for their customers, simplify operations and drive cost efficiencies. MSSPs are a rapidly growing component of our partner ecosystem, with Q2 year-over-year ending ARR increasing more than 150% and a rapidly growing customer base that is excluded from our reported logo metrics.”
CrowdStrike MDR vs. MSSPs: Channel Conflict FUD?
During the call, Wall Street analysts asked how CrowdStrike remains cooperative “without getting too competitive” with MSSP partners.
Kurtz described rumors of channel conflict as FUD (fear, uncertainty and doubt) spread by some competitors. In reality, MSSPs typically take CrowdStrike’s security solutions and re-bundle them into broader offerings that extend beyond CrowdStrike’s core expertise, Kurtz asserted.
“At the end of the day, the numbers don’t lie in terms of our success there [with MSSP partners]. So that’s what we’re focused on — the facts, not the fiction,” he concluded.
MSSP Alert’s own research confirms CrowdStrike’s channel momentum. Indeed, the company ranks among the top 10 security vendors that empower MSSPs, according to the Top 250 MSSPs survey for 2022.
Still, competition remains fierce. The evidence: SentinelOne is even more popular with MSSPs, according to our research results — which we’ll roll out during our September 15 webcast and at the MSSP Alert Live 2022 conference (September 19-21, Washington, D.C.).
CrowdStrike Financial Results
CrowdStrike’s overall Q2 fiscal 2023 financial results included:
- Revenue of $535.2 million, up 58% from Q2 last year.
- GAAP net loss of $49.3 million, compared to a GAAP net loss of $57.3 million in Q2 last year.
The financial results generally beat Wall Street’s expectations.