Elastic Signs Five-Year Strategic Collaboration Agreement with AWS to Accelerate AI Innovation at Scale | ESTC Stock News

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May 28, 2025
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  • Elastic (ESTC, Financial) has entered into a five-year strategic collaboration with Amazon Web Services (AWS) to boost AI innovation.
  • The partnership aims to enhance the deployment of secure, AI-native applications with combined search and generative AI capabilities.
  • Customers can leverage this collaboration for improved AI features, cost efficiencies, and robust data protection, particularly in regulated industries.

Elastic (ESTC), known as the Search AI company, has announced a new five-year strategic collaboration agreement (SCA) with Amazon Web Services (AWS). This partnership is designed to accelerate the development of AI-native enterprises, focusing on enabling faster, more secure, and efficient creation of generative AI-based applications. Through joint product integrations, the collaboration aims to reduce complexity and drive innovation across various industries.

The strategic alliance will leverage Elastic’s Search AI Platform in conjunction with AWS services to empower customers to build intelligent applications at scale. Key components of this collaboration include utilizing high-performing foundation models through Amazon Bedrock, supporting the migration of Elasticsearch workloads to Elastic Cloud on AWS, and achieving cost efficiencies with Elastic Cloud Serverless on AWS.

Furthermore, Elastic and AWS are focusing on agentic AI through advancements in Model Context Protocol (MCP) and agent-to-agent interoperability. This initiative will support highly regulated sectors by ensuring strong data protection and compliance features.

Ash Kulkarni, CEO of Elastic, emphasized the importance of integrating Amazon Bedrock to enhance search capabilities in generative AI scenarios, particularly for cybersecurity and observability applications. Similarly, Ruba Borno, VP at AWS, highlighted the value of this partnership in transforming data and AI usage while ensuring robust protections and streamlined compliance for customers.

Elastic and AWS continue to build on their collaboration, with previous recognition from the AWS Partner Network and competency designations in various sectors, adding to the significance of this SCA. The ongoing partnership will enable customers like Generis and BigID to benefit from enhanced processing speeds and improved data insights, illustrating the transformative impact of Elastic's solutions deployed on AWS infrastructure.

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I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.