GitLab, the code repository and collaboration service based on open source code is an interesting attempt to break into and win a relatively large market share of an oligopoly like, large, quickly growing and very promising market like cloud computing.
Amazon AWS, Microsoft and Google Cloud are dominating cloud computing and especially its largest segment by far Infrastructure as a Service, IaaS where GitLab is offering its service.
I forecast GitLab could be worth 100 billion USD in 7 year time.
The cloud computing market is currently at a 100 billion USD yearly revenue run rate and cloud computing revenue is growing at more than 20 % year on year. And the net profit margin of Amazon AWS cloud computing offering currently stand at more than 20 %.
So the opportunities for a new, nimble and innovative entrant into IaaS cloud computing are enormous.
Open source software has up till now been shunned by large corporations. But R, Python, SQL are just some examples where bedrock programming languages are based on open source code writing.
GitLab is attacking a large market as cloud computing using a niche targeting strategy. This has worked in the past and I could see it working for GitLab. Organizations like NASA, Goldman Sachs, Siemens, Fujitsu are clients of GitLab, which is a testament in itself.
GitLab's classic lean startup, niche targeting, develop, change as you go strategy could actually work, in my humble opinion.
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