Mongodb Inc (NASDAQ: MDB) stock fell 13.18% on January 10th, 2019 after Amazon introduced cloud-based database software DocumentDB, that represents direct competition and supports MongoDB workloads. However, the stock slightly recovered over 1.3% this morning (as of 10:51 am GMT-5; Source: Google finance). Developers can use the same MongoDB application code, drivers, and tools as they do today to run, manage, and scale workloads on Amazon DocumentDB and enjoy improved performance, scalability, and availability without having to worry about managing the underlying infrastructure. Customers can easily migrate their on-premises or Amazon Elastic Compute Cloud (EC2) MongoDB databases to Amazon DocumentDB with virtually no downtime using the AWS Database Migration Service (DMS). There are no up-front investments required to use Amazon DocumentDB, and customers only pay for the capacity they use.
Cloud deployments are a growing part of MongoDB’s business. The company offers a cloud-based version of its own database software atop the AWS computing and storage infrastructure, as well as on other clouds, including Microsoft Azure. AWS salespeople have been able to co-sell MongoDB’s software running on AWS.
Meanwhile, AWS customers use MongoDB as a document database to store, retrieve, and manage semi-structured data. Customers like using the MongoDB Application Programming Interface (API) and expressive language query to help them quickly build and evolve applications, but they often only take advantage of a fraction of the functionality the API offers. Customers also find it challenging to build performant, highly available applications on MongoDB that can quickly scale to multiple Terabytes (TBs) and hundreds of thousands of reads and writes-per-second because of the complexity that comes with setting up and managing MongoDB clusters. As a result, customers spend a lot of time and expense managing MongoDB clusters at scale, including dealing with the undifferentiated heavy lifting of securing, patching, and operating MongoDB. Just like on-premises deployments, managed MongoDB systems face data replication challenges and they suffer from long recovery times in the event of failure. As a result, customers are struggling to get the performance, scalability, and availability their growing applications need over time
Amazon DocumentDB supports network isolation using Amazon Virtual Private Cloud (VPC), encryption-at-rest using keys customers create and control through AWS Key Management Service (KMS), and encryption-in-transit using Transport Layer Security (TLS Amazon DocumentDB is available in US East (N. Virginia), US East (Ohio), US West (Oregon), and EU (Ireland), and will expand to additional AWS Regions in the coming year.
Oppenheimer analyst Ittai Kidron maintained a Buy rating on MongoDB Inc (MDB) yesterday and set a price target of $90.