Yandex Cloud Financial Report for 2024

Yandex Cloud: One of the fastest‑growing businesses within the Yandex ecosystemYandex Cloud: One of the fastest‑growing businesses within the Yandex ecosystem

Yandex Cloud is a platform that enables creating digital products. It offers scalable infrastructure solutions, services for data storage, processing, and analysis, AI tools, information security services, and full‑cycle development tools.

The Yandex Cloud platform is focused on providing businesses with a full range of tools to create and develop IT products based on Yandex technologies. With this in mind, we are actively working on our service ecosystem and launching new product areas. Our top‑priority areas are AI and data tools, information security services, and full‑cycle development tools.

Yandex Cloud: Part of the Yandex B2B Tech business groupYandex Cloud: Part of the Yandex B2B Tech business group

Starting 2024, Yandex Cloud is part of Yandex B2B Tech group that creates and develops enterprise solutions. In 2024, the Yandex B2B Tech’s total revenue by its two key areas, Yandex Cloud and Yandex 360, amounted to ₽32.20B.

As estimated by Yandex, the size of the market where Yandex B2B Tech operates was at ₽240B in 2024, with the Yandex B2B Tech share being around 13%. By 2028, the market is expected to double, reaching ₽510B, with the compound annual growth rate (CAGR) around 21%. Meanwhile, Yandex expects Yandex B2B Tech to grow much faster than the market average.

In 2024, Yandex Cloud’s revenue increased by 50%In 2024, Yandex Cloud’s revenue increased by 50%

In 2024, apart from developing new product areas, we worked on adding more deployment options. This way, some Yandex Cloud tools became available for on‑premise deployment. We are working on adding more services to the list, thus increasing our share in the market of hybrid solutions and boosting the relevant revenue by several times.

Yandex Cloud is highly focused on developing its platform’s infrastructure, which includes scalability options, providing utmost security, robust performance, and fault tolerance. In 2024, the investment in this area increased by 200% as opposed to the previous year.

Yandex Cloud clients: Large businesses using more cloud servicesYandex Cloud clients: Large businesses using more cloud services

In 2024, the number of Yandex Cloud clients increased by 50%, exceeding 44,000.

The share of enterprise clients’ cloud consumption amounted to 51%, which is 5 percentage points more than in 2023. The overall cloud service consumption by enterprise and medium clients amounted to 85%.

Yandex Cloud is primarily focusing on providing its platform to external users. This is why the share of cloud service consumption by companies within Yandex Group did not exceed 5% in 2024.

IT and retail companies actively using ML toolsIT and retail companies actively using ML tools

IT, banking, and retail are still the most active industries in terms of using cloud services. Such companies are heavily using ML tools to boost customer service, improve employee skills, and automate routine tasks, such as answering basic support questions or data management. This also applies to developing high‑load transaction processing systems.

Media, insurance, and healthcare companies are those with the largest growth in terms of using cloud services. When it comes to the media companies, the most in‑demand services are security and data analysis tools. The former become popular with a larger number of attacks against websites and apps, while the latter are important amid more intense competition: since it is harder to win the audience, companies have to thoroughly understand how their content is consumed. Meanwhile, insurance companies use machine learning to automate various tasks, such as processing and finalizing internal and customer‑facing documents without a clear structure.

Developing partner programDeveloping partner program

Yandex Cloud continues developing its partner program through collaboration with integration providers, developers, resellers and other companies that employ certified experts and have experience in successfully implementing projects based on Yandex Cloud.

In 2024, the number of active Yandex Cloud partners reached 674, which is 30% more as opposed to the previous year. Meanwhile, the revenue generated by the partner channel increased by 80% compared to 2023.

In early 2024, Yandex Cloud offered better terms for its partner program by increasing the partner margin. 86% of partners rated these changes as positive.

Yandex Cloud services: A full range of business toolsYandex Cloud services: A full range of business tools

The number of services available on the Yandex Cloud platform amounted to 73. The infrastructure‑as‑a‑service (IaaS) tools account for 56% of the revenue, while the share of the platform‑as‑a‑service (PaaS) tools (including data platform, container‑based development, ML, and security tools) is 39%. Meanwhile, the share of ML and container‑based development services increased.

Machine learning: How ML‑based techs help automate workflows and boost business performanceMachine learning: How ML‑based techs help automate workflows and boost business performance

Businesses continue implementing ML techs into their workflows. In 2024, the consumption of Yandex Cloud’s ML services increased by 60%. Our clients use such services for various tasks, such as automating workflows, creating AI assistants, knowledge base smart search, speech recognition and synthesis, conversation analysis in call centers, language model fine‑tuning, and more.

In 2024, 17,000 clients used YandexGPT, and 6,500 used YandexART.

Speech recognition and synthesis services are also becoming more popular. The number of clients that use them for workflow automation and boosting business performance increased by over 100% over 2024. In particular, Yandex SpeechSense, a service for deep analysis of text and voice communication channels, already has over 100 regular users. As for Yandex SpeechKit, a speech recognition and synthesis tool, it was used to voice over more than 100 M minutes of text.

Nowadays, new ML models are emerging at a very fast pace, with new solutions becoming available every few weeks. Testing all options out there requires a lot of resources. Besides, many business tasks require using a few models as opposed to just one, as each model is good for solving its particular “subtask.” We provide our clients with an environment to freely test the available options and opt for the most relevant ones, while also tweaking them according to their needs.

• We at Yandex Cloud made the latest versions of our generative models, YandexGPT and Yandex ART, available for businesses.

• We launched Yandex Cloud AI Studio, a platform for creating AI‑based apps. It leverages the YandexGPT and YandexART generative neural networks, speech recognition and synthesis techs, an interactive environment for neural network training, as well as other Yandex’s ML solutions and tools to integrate them into business.

• We offered the generative response technology to businesses. Using it with YandexGPT, you can integrate smart search into your website, thus merging all info into a single easy‑to‑understand response with an option to narrow down the questions.

• We released an emotion recognition neural network that helps businesses understand what their customers actually feel. This ML service is based on Yandex SpeechKit and enables analyzing phone conversations, thus customizing call centers to specific customer emotions and requirements and quickly respond to non‑routine situations.

• We launched a tool for creating AI assistants. Leveraging YandexGPT and retrieval augmented generation (RAG), it gets integrated with external systems and allows the ML models to generate response using the company knowledge base.

Levering AI to developing security servicesLevering AI to developing security services

Yandex Cloud security services have been ahead in terms of consumption for the second year in a row: over 2024, this figure increased by 110%.

In 2024, Yandex Cloud invested ₽1.30B in security, which is 50% more than in 2023. We highly prioritize cloud security; this is why we invest in our own security services and provide tips for data protection. We also undergo audits on a regular basis and reach higher compliance levels.

• Yandex Cloud created Yandex Security Deck, a service for centralized cloud security management. It helps businesses detect cyber threats, manage employee access to data, and reduce the risk of data leaks in cloud‑based products. With Yandex Security Deck, one can track actions within the entire cloud infrastructure.

• Yandex Cloud launched Web Application Firewall (WAF) as part of Yandex Smart Web Security to provide web apps with highly reliable protection against cyber‑attacks.

Data platform services: Simplifying data management and boosting analytics efficiencyData platform services: Simplifying data management and boosting analytics efficiency

Apart from managed database services, Yandex has its own database, YDB, which became available for on‑premise deployment in 2024.

• We added two new services to our managed database portfolio: Yandex Managed Service for Trino that enables quick analysis for large amounts of data, and Yandex MetaData Hub that helps manage metadata and run cross‑service integration. These additions simplify data management and boost analytics efficiency.

• We continue working on our own database system, YDB, for which we implemented support for analytical processing in 2024. With massively parallel architecture, YDB can store hundreds of terabytes of data and process it quickly, as well as enables creating enterprise data stores.

BI tools: Higher demand for data analytics and visualizationBI tools: Higher demand for data analytics and visualization

Yandex Cloud’s BI tools are quite in‑demand: over 2024, the number of Yandex DataLens users increased by 60%, while the consumption growth rate soared by 100%. Our BI community, the largest in Telegram, has over 13,000 active members.

In 2024, we introduced a new DataLens plan: DataLens Business. Apart from all Standard plan features, it includes styling, SSO and account federation, priority support and SLA, secure integration with external systems, usage statistics, and a new multi‑page document builder for exports and interactive slide decks.

Creating products for full‑cycle developmentCreating products for full‑cycle development

In 2024, Yandex Cloud released a few developer tools based on the Yandex internal expertise.

AI assistant for improving your coding experienceAI assistant for improving your coding experience

Yandex Code Assistant is based on neural networks and can suggest code as you type based on the existing code fragment. Going forward, we will also add the code review feature. Code Assistant supports over 30 programming languages, including C++, Go, Java, Kotlin, Python, and more.

We created our Code Assistant based on the internal feature request; so far, a few thousands of Yandex developers have tried it, and most of them keep using it regularly. Every week, Yandex developers accept around 250,000 lines of code auto‑suggested by Code Assistant. Over the six months of beta testing, thousands of users requested access; such users range from independent contributors to large retail, banking, and other companies.

Later, we included our tool into SourceCraft and renamed it to SourceCraft Code Assistant. Additionally, it is available as a plugin for most widely‑used IDEs.

Software development platformSoftware development platform

With SourceCraft, the developers can create source code, manage its versions, as well as test, build, deploy, and maintain IT projects. Code Assistant was the first to become this platform’s component. Apart from code storage and review tools, SourceCraft will have features for CI/CD, secure development, audit, logging, monitoring, and tracing.

Workflow optimization serviceWorkflow optimization service

Yandex Serverless Integrations makes it possible to quickly create more flexible and scalable apps based on modern event‑driven architecture, helping IT professionals automate their workflows when developing digital solutions.

Yandex Serverless Integrations include:

• Yandex Workflows: Automates development and workflows through a visual‑based builder or YAML without any integration code.

• Yandex EventRouter: Enables cross‑service info exchange on new events.

• Yandex API Gateway: Helps create gateways between cloud and external services.

Service for sending multichannel notificationsService for sending multichannel notifications

Yandex Cloud Notification Service enables sending various types of notifications, from protocol updates and logging to emergency alerts and maintenance notices. We also added quite a few features to Yandex Cloud Postbox that provides a comprehensive solution for configuring and managing notifications. These services help businesses automate notification sending, thus reducing the developer workload and focusing on the core features of the product.

Working on other productsWorking on other products

• In 2024, Yandex Cloud launched Yandex BareMetal, which enables renting dedicated physical servers. This provides businesses with more opportunities for working with high‑load services. Using the Yandex Cloud management console, one can choose the relevant server configuration with the required number of CPU cores and amount of RAM.

• As it grows, the video content industry requires more sophisticated video infrastructure that will meet both the user needs and the security standards. Yandex Cloud Video enables flexibly integrating video reviews and product reviews to websites and web apps, publishing tutorials on LMS platforms, and hosting live broadcasts for a hundred‑thousand audience with minimum time lag.

Investing in IT community developmentInvesting in IT community development

Educational programs: Developing cloud competencesEducational programs: Developing cloud competences

In 2024, over 24,000 students mastered cloud competences thanks to the Yandex Cloud programs that are available both on our platform and on our partner websites, such as Practicum, Netology, OTUS, SkillFactory, Slurm, and others. Over 60,000 users have taken part in our programs since we launched them.

In 2024, Yandex Cloud introduced 13 public online courses that cover such topics as DevOps, security, and data management. Currently, there are 26 courses available. The Greenplum^® for data engineers, ClickHouse^® for data engineers and Kubernetes^® for developers courses feature customized synchronous education.

Additionally, Yandex Cloud launched the certification program for cloud specialists. Out of 300 users that attended the course so far, 28% passed the test and became certified experts. This program targets engineers, developers, analysts, admins, architects, DevOps engineers and other cloud professionals.

Yandex Cloud continues supplying cloud infrastructure to over 90 Russian universities, including Moscow State University, Saint Petersburg State University, HSE, ITMO, and others. In 2024, 10,000 students used Yandex Cloud platform to complete their courses.

Yandex Cloud acted as a partner for over 20 large hackathons, including Digital Breakthrough and some top university events, and hosted its own software engineering tournament, Yandex Cup. In addition, the company continues its collaboration with 10 student accelerator programs.

Yandex Cloud is taking an active part in university programs by helping the students master the state‑of‑the‑art cloud technologies. It launched back‑end and front‑end modules for education courses in 19 universities. The back‑end module is fully based on Yandex Cloud, allowing the students to develop and deploy their own apps in the cloud environment.

Yandex Cloud also has a trainee program aimed to attract promising young pros and develop their talents. In 2024, 106 trainees completed this program, each of them having an opportunity to work on real production projects overseen by experienced mentors. As a result, 62 trainees were onboarded as in‑house employees.

Yandex Cloud Boost: How IT projects get access to cloud technologyYandex Cloud Boost: How IT projects get access to cloud technology

Our Yandex Cloud Boost program helps IT startups get access to cloud technologies. In 2024, 335 startup companies got grants with the overall value of ₽146M.

The Yandex Cloud platform has over 100 partners in the startup market, including venture funds, business education programs, and tech parks. In 2024, the most active partners were Internet Initiatives Development Fund in Russia and Astana Hub in Kazakhstan.

Additionally, in 2024, we extended our grant program, Yandex Cloud Boost AI. Over 100 companies got access to Yandex’s large language models they were able to use for their products over up to 12 months.

Yandex Social Tech: Running socially important projectsYandex Social Tech: Running socially important projects

Yandex Cloud introduced the Social Tech initiative that drives environmental, medical, and educational projects. The main eligibility criteria are scalability, available concept, and feasible implementation timeline.

Core projects in 2024:

1. Tracking (un)detectable particles: A system that prevents ash fall consequences in Kamchatka and enables forecasting volcanic ash dispersion for the next 24 hours, helping to respond to emissions faster.

2. Detecting spina bifida: Based on ultrasonic analysis and the AI, this system finds the signs of the rare disease in the early stages of pregnancy.

3. Federated learning: In collaboration with the Sechenov University, we collected the data from various institutions to diagnose heart diseases. This federated learning approach helps train neural networks even when there is too little data or the access to it is restricted.