Tim Byers

over 32% and passed $1 billion in a quarter for the first time.

It was really impressive.

This is also a very efficient company, like, for every new dollar of sales and marketing that they invest, they got back $3.74 in revenue.

That's the kind of thing that boosts margins and gets you free cash flow, and they are still producing free cash flow.

So, I think that's good.

But the real story with Datadog here, Travis, is that

They have some AI-powered products.

They have one that observes the behaviors of GPUs.

For those who don't understand Datadog, what Datadog does is it looks at the infrastructure that you have as a company.

It looks at how the software is behaving, how it interacts with systems, and it looks for outliers.

And when it spots outliers, sometimes it takes actions, sometimes it reports on it.

A lot of the output of it is logs, like, have a log that says, hey, all this crap happened.

And that is actually really, really useful.

So useful, in fact, that

They said, this is from CEO Olivier Palmel, one of the co-founders, and apparently he went on CNBC and said, we got seven- and eight-figure deals with two of the world's largest technology companies, and it's for their AI research labs.

Now, that sounds like you are hitting all of the buzzword bingo when you say that on CNBC.

No.

That's what people want to hear.

It's a healthy business that is growing fast, has good margins, has free cash flow, and is doing deals that seem to the point that you made about, hey, maybe we're breaking the SaaSpocalypse thesis here.

It feels like, wait a minute, this is a company that has AI tailwinds.