Here we go. Is this on? Here we go. Good morning, everyone. Welcome to Absolute Software's Financial Analyst Day, coming to you live and in person from New York City. I'm Joo-Hun Kim, and I head Investor Relations here at Absolute Software. I wanna thank everyone for taking the time, and the effort to be here with us, whether you're in person or on the webcast. The last time we had this Analyst Day was in 2019, right before the COVID hit, and I think everyone would agree that this is a long time in coming. Just some logistics. There is gonna be no break until lunch. However, there will be coffee and snacks being served outside in the hallway, so feel free to partake of that. The other thing is, we do have a question Q&A time right before lunch and after all the presentations are done. If you don't mind just refraining from asking questions until that allotted time period. With that, safe harbor. No. You okay? It's the weather turning. I'm sure everybody's familiar with that. Just raise your hands when you're finished reading it, and I'll move on. There we go. Everybody's quick. Okay. Without further ado, Absolute Software's President and CEO, Christy Wyatt. Thank you. Well, thank you all for braving the New York rain. Everybody told me they were very concerned about getting out in the rain, but it's actually looking quite nice out there to me. Thank you for coming out. Now, normally, you know, we're gonna spend most of the day today talking about where we're going from here, with Joo-Hun Kim. But I did wanna start with kind of a look back because the last time I saw many of you was the last time we did this, which was in 2019. Just before the pandemic was our last Analyst Day. This first slide was one of my first slides from that presentation. For those of you who we haven't met before, you know, I wanna give a brief introduction to Absolute. I'm gonna kick things off this morning. This is kind of what we were talking about back then, and it's interesting to me. Some things have changed not at all, as in who we are and where we're going, and some things have changed a lot. At that time, we were listed on the Toronto Stock Exchange. We had 12,000 customers, 130 patents. If I look at the last three years, even just within our company, not to mention what's happened outside of our walls, you know, things look very, very different. We've more than doubled in size. We've done the U.S. listing, which is where I first met many of the folks in this room. We've grown our customer base by about 50%. We've grown our IP in the process, some of that organically, some of that inorganically. One of the things that you're gonna probably hear us say quite frequently is that we crossed over the Rule of 40. I think it was probably at the 2019 Analyst Day that I first said that we would be a Rule of 40 company. At that time, I think we were Rule of 26. I think our guidance for the coming year was something like 4%-7% revenue growth at the time. We said we would be a Rule of 40 company, and we're all very proud that we've actually, in fact, been a Rule of 40 company for two full years now. We are a very different company today. You're gonna hear from a lot of different folks on the team. I know many of you talk to me quite a lot, but you don't get a chance to meet our product folks or our go-to-market folks, and so many of them are here, and you're gonna meet a lot of them as we go through the day. There's really four things I want you to take away from today. Four things I want folks to remember about who Absolute is. The one that's not on this page is that we are the coolest security company that nobody's ever heard of. We're gonna change that this year, and the team's gonna share with you how. We continue to be the only provider of embedded self-healing security solutions. We're gonna talk about why that's so critically important in the world that we're living in right now. We're gonna talk about how we've built on that platform to build a portfolio of solutions around resilient zero trust, and why that is incredibly important to organizations today who are starting on that journey. In that 2019 conversation, I talked about our Horizon 2 ecosystem strategy, where we were gonna build out the catalog of APaaS partners and Persistence as a Service. We're gonna talk a little bit about where we are in that journey with our partners, with our OEM partners, our ISV alliance partners, and where that's going. Of course, I said you're gonna hear this many, many times. We're very proud of the fact that we continue to just focus on strong, consistent, profitable growth. We, you know, we've said from the very beginning that we believe that a profitable growth strategy is the right strategy for Absolute. We've never veered off that path. We continue to execute against that path, and what you're gonna hear today is more of our plans. We also talked in 2019 about our vision, which was to be the world's most trusted security company. I like to think that visions need to be a little bit controversial and a little bit aspirational. You know, in a world of 3,000 security vendors, why would Absolute be the world's most trusted security partner? The word trust means something very unique to us. You know, in a world. At that time, we knew the world was gonna shift to endpoint security. What was happening on the devices that users use was going to make the most difference in whether an organization was gonna be secured. Now, as we stood here in November 2019, we had no idea that just six months later, everybody was gonna go start working from home, which accelerated a lot of what we sort of believed to be true. We've always sort of believed that security on these devices needs to be rooted in something. It has to be real. If that's what you're relying on, then it has to be standing on something solid. That foundation is what is very unique to Absolute, because we are the only security platform that is rooted in the hardware itself across over 500 million devices. In fact, over 600 million devices, as we go back and continue to recalculate. I get asked a lot by folks, especially folks who are getting to know us for the first time, exactly what we mean by persistence. How is it? What is a BIOS, and why are we in it, and how does that work? So forgive me if I just sort of go through that very quickly one more time. Our technology is a little piece of code that actually sits in the hardware itself, and it does very, very little. There are 28 PC manufacturers that have been putting us into their products for a very, very long period of time, since 2005. They do this because we have today over 18,000 customers that have come to rely on it, and we'll talk a little bit about what we do with that platform. But it really does nothing. We can't talk to it, we can't see it until you purchase a license of Absolute Software, any application within, from within Absolute or any one of our ISV-enabled partners. Then it will activate that piece within the BIOS. From that point on, that piece of software and that hardware will never forget one another. You can reinstall the operating system. We wake up before the operating system, and we will notice that something is not working. It has gone missing, and we will do what we call self-healing. Being very intentional about this 'cause you're gonna hear these words about 5,000 x in the next 4 hours, I want people to be very clear about what we mean when we say persistence and self-healing and resilience to the point where I'm actually gonna publish the vocabulary. When we talk about self-healing, we really talk about resilience. When we talk about persistence, it is that permanent lifeline to that device. It is what allows us to still connect to a device even when it's been overcome by ransomware. It is what allows us to heal that device, to repair or restore the security controls, even if somebody's removed them or tampered them or taken them offline. The concept of resilience is really that ability to snap back, right? How do we restore security back to its original state? Because we are spending a tremendous amount of money on security, and we wanna make sure that it's actually working. Now, over the past couple of years, I think the industry has really accelerated. We'd like to believe somewhat in our direction. There's been several key drivers that are sort of fueling a lot of the activity or a lot of the conversations we're having with our customers. First, you know, we would not be the first person to tell you that the number of breaches and attacks we're seeing across the industry only accelerates. They get more sophisticated. They get more clever. Every year they are new, and that keeps all of us in the cybersecurity industry on our toes. It also keeps us spending a lot of money, right? As an industry, we have spent more on cybersecurity each successive year over the last 10 years, and I'll show you some of those numbers in just a moment. What's very unique over the past couple of years is we've shifted from maybe 6% of an enterprise's employee population working remotely to over 90% of their employees working remotely. Over 96% of companies today say they're gonna continue to support a hybrid or remote work strategy. Even when you hear about the Googles and the Apples and the Facebooks of the world that are asking everybody to come back to the office, you know, many of them are still talking about hybrid approaches, two, three days in the office, still a lot of flexibility for the employees. What that means to our customers is that they have to ensure the same level of security and supportability no matter where that user is. It's not the same as a sales rep who was on an airplane who said, "Well, that certain set of tasks I'll just do when I get back to my desk," or, "Something broke on my laptop. I'll just wait till I get back, and IT will fix it." We have to assume that that user can be productive all the time, and we have to assume that that user is going to be secured all the time, not just much of the time. That's a pretty high bar, so despite the amount that we've been spending on cybersecurity over the past couple of years. We've talked a lot about what we call the critical third question, which is, you know, as an industry, we all sort of pat ourselves on the back and say, "This is amazing. We've spent a ton of money. We've bought CrowdStrike and Tanium and fill in the blank encryption, and we have identity and access management and multi-factor authentication." The acronyms in our industry are astounding, and yet nobody really knows, are they working? If you talk to your CIO or CISO after something bad happens in your organization. CFO left his laptop in the taxi. What was on that laptop? Well, I don't know. Has it been backed up? I don't know. If the backup, they all have to go, "Oh, yeah, not everything was getting backed up." But was it encrypted? I think so. I know we installed encryption at some point in time, so I'm pretty sure it was working. You know, was there unique information taken off of that device before an employee left the building? I don't know. Let's go check the log files. Oh, yeah, that agent stopped calling in a couple of weeks ago. Nobody noticed. That last missing mile between I understood risk, and I purchased something to address the risk. I installed that thing, and was it actually working when I needed it? That is the big missing piece, and that is the piece that we are uniquely positioned to close the gap on. We have said for quite a long period of time now that we think most organizations walk around with a false sense of security. Because they spend so much money, and they've put cyber experts, and they talk to the board, and they've had. You know, we've definitely raised the level of awareness, and so we're all very sensitive to how much we're spending on preventing bad things from happening, detecting when bad things are going or are either happening or about to happen. We've seen spend grow dramatically, right? This is a Gartner number that says by 2026, as an industry, our annual spend will be $262 billion on the security category as a whole and about $90 billion of that specifically on endpoint security that lands on laptops and mobile devices and things that people use. An astronomical number, goes up every single year, and yet compliance has not gotten better. This challenge that I just talked about, where the security controls and the security posture becomes compromised, is actually very broadly and very well known. 25% of devices have unhealthy security controls installed in them right now. This is according to a variety of different research sources, including some of our own. 25% of devices have unhealthy security controls installed in them right now. 51% of organizations have seen evidence of compromised endpoints being used to access company data. Oftentimes, by the way, they're seeing that well after the fact, and trying to sort of unpack what happened way back in time. 76% of organizations see security risks are higher when employees are not in the office. Why is that true? Because when these people are all sitting in a building, you have other layers of security watching those users. You have things that are watching the network traffic. You have things that are watching the firewall. You have things that are observing the user that are not necessarily installed on the laptop. When that user is home or in an airport or in a hotel like here, those things don't exist, right? You're either VPN-ing or coming back into your enterprise, or, you know, you're working unprotected. The only thing you have to connect you back to your organization's security posture is the security applications you've installed on that device itself. This won't shock you, but that is really, really hard to do. It was really, really hard to do even when everybody was still in the office. If you talk to CIOs and CSOs, they'll tell you that there's a tremendous amount of fatigue from alerts that keep pinging them, and it could be bad things happening, you know, events coming in from different security applications. A lot of the noise that they get has to do with compliance. Joe's laptop stopped calling in two weeks ago. Fred should walk over to Joe's desk and make sure that he's reinstalled whatever thing stopped calling in. Or so and so is on the road, or this employee, you know, just left, and we're telling him to give back his laptop. How do we make sure that, you know, nobody can walk over to the desk and just pick it up and bring it home, right? He's got to FedEx it. He's got to box it. Where is it gonna go? What's going to happen? With all of that security spend spent on agents getting installed on your devices. Every year, we see the number of security applications being installed on enterprise devices going up. When we first started publishing our research, it was like nine. We're up to 11, 12. I think if you talk to any sizable organization, think about a financial institution that's highly regulated, you probably have closer to 20 or more. This is encryption, this is malware detection, this is your multi-factor authentication. It's all the special stuff that they put on your laptop to make you safe. The more complexity you inject into a device, the more likely it is to fail because they conflict with one another. If you have 20 security applications installed on your laptop, that means on Patch Tuesday, you have a lot of different things that are checking for updates. Those downloads of those updates and patches can get interrupted. The files can be corrupted. You can have two applications calling the same port at the same time. The number of reasons why these things can fail is really actually endless. That's why this is the hardest problem to solve in IT and security. If you were to talk to one of our advisors, Charles Blauner, a former Citigroup executive, and he would say this is, again, the third question. Nobody ever asked for accountability. It was one of the hardest things to solve. As I said earlier, with people moving home, it's only gotten harder. The broad number of breaches that we see are a result of a control or security technology or vulnerability that you actually already were aware of. You already knew this was out there. You knew a patch was supposed to be put out. For whatever reason, it just didn't land on that device at that moment in time. Why are we so passionate about this particular problem? Because of course, we're uniquely in a position to solve it. When everything else is an application running on the operating system, there is one thing that is actually connecting before the operating system, and that is us because we are sitting in the BIOS. Why does resilience matter? If I can explain to you, and we tend to fall in love with graphics, so you might see this one more than once today. I'll apologize up front. We first started writing about the vulnerability of security several years ago. Since then, we've done a lot of work on our data platform and analytics, and you'll hear a lot about that today. On the left-hand side, what you see, each one of these columns represents an application installed across millions of devices. I think in whole, this is several billion transactions over a period of two weeks. In our product, you can set up two different policies. One is report and one is repair. Report means everybody is supposed to have encryption turned on, tell me if it's not working. That's going to tell you how frequently things are failing. Another is called repair, which is encryption is supposed to be turned on, and if it fails, fix it. Reinstall it, redownload it, repair it, restore the config file, whatever it takes to kind of make that work. As this is animating through that two-week period, you can see that the same application, so application A on the left and application A on the right are the same application. It's the same vendor. We're not naming names. We're not here to sort of name and shame our peers. You can see that these applications are actually really struggling across, again, these are across millions of devices, to remain compliant, right? When you see a burst, that usually means somebody has actually injected some hygiene to kind of restore those controls and get them back up and running. If 90% is your compliance line that you say, "I need most of my security running at least 90% of the time," which by the way, I think is not a lot to ask. You can see that some don't even come close. If you turn on resilience and you turn on the ability to heal, to not just tell you something bad happened, but actually fix it, we're able to maintain more than 90% compliance across all five of these applications. That's why it matters, right? We're not buying security so that it could work some of the time, 27% of the time or 41% of the time. We're assuming that when we buy security, it's going to work all the time. Nothing is infallible, but I think that there's a threshold of acceptable performance. As I said before, this is not bad hygiene on behalf of these vendors, right? When we work with our customers, it's not that, it's not that they're writing bad code, it's that the complexity on these devices is so granular. The network they're sitting on, the security controls, the configuration, the updates, what version is the operating system? It is endless. There's no test harness in the world that would allow you as an ISV to fix this on your own. You have to shift away from trying to prevent the risk and focus on what do you do when bad things happen. When bad things happen, you need to restore service. That's what we do. This concept of shifting focus from detection and prevention to resilience is actually, since a couple of years ago, has actually become quite thematic. Gartner published a report called Embrace the Breach a few months ago. They've actually said, listen, in many cases, organizations may have actually overspent on detection and prevention. Because at some point, you know, it's like a curve. You're not necessarily going to improve detection and prevention much more after a certain point. You need to actually shift your focus on assuming the inevitable. Things will fail, things will break, bad things will happen. How do you ensure that you can restore service and snap back? This is where we believe that we really have a fair amount of expertise. When we talk to our customers about what do they do in the middle of a ransomware attack? What do they do when their security controls are starting to decay, right? We are very much focused on restoration of service. We're a very unusual cybersecurity company because we're not hunting bad guys and not looking for insiders. We have a lot of data that our customers could use to enhance some of those solutions, but we are not in the traditional sort of detection and prevention space. We are in the resilience space. We are here to ensure quality of service and try to boost the entire security ecosystem around us. That's exactly what our products do today. Now, you're gonna spend most of this morning listening to our product team, and they're gonna go through each one of these. If I really boil it down to kind of the basics, right? This is really, really simple stuff. We wanna make sure that you can see your assets. Not just the ones that could connect or that didn't become compromised. We want to... You can use our data to validate the data you're getting from a lot of other solutions. You wanna see your stuff, you wanna know that it's connected. In a world where 96% of your employees are not in the office, if they can't connect, they can't work, so that's a problem. They also can't be secured. All of that amazing technology that you've spent money on to protect your data and your assets is kind of invisible to you, because if that device has forgotten how to connect, you can no longer access that device until somebody reinstalls that. You wanna know that your devices remain compliant no matter where they are. You wanna know that you can respond if something starts to decay or go offline. From when we spoke last time is our product portfolio. We spent a lot of time since 2019 working on the platform itself. We talked about leveraging our Persistence platform to support an entire security ecosystem. We talked about persistence, resilience, and intelligence. Intelligence being the tremendous amount of data that we collect about all of the devices that connect to our system, and how there was an opportunity for us to deliver that data back to the customer. That this was data that was, you know, visible within our reports but not readily available back to the customer. We talked about how this platform had the ability to support pretty much almost any application. You could ask yourself, "If I was the only undeletable malware solution, would I be great? If I'm the only undeletable management solution, would I be great?" The answer to all of the above is, of course, you would. Being resilient is something that every security application should have the ability to access. It's been our belief since the beginning that resilience needs to be a platform that enables an ecosystem. It is a foundational component that should not just exist in our software, but also in the software of a broader ecosystem. You've continued to see us build on that functionality. We continue. You'll hear about our traditional products, visibility, control, and resilience. These were how you find your stuff, how you manage your stuff, and how you heal third-party applications. That's really in our Secure Endpoint portfolio. Secure Access, which is a set of applications that came to us last year as a result of our NetMotion acquisition. It became very clear to us as we went into the pandemic that if you can't connect to a device, you can't manage it and you can't secure it. That a great user experience could not be limited to just those who were sitting in the office. You needed to be able to deliver a great user experience to the end user, no matter where that user was, and not compromise security. That's really the opportunity we saw within Secure Access and the investments they were making in their ZTNA products. You'll hear more about that from Joe in just a little bit. We've also talked a little bit about building this ecosystem. There's our PC OEM partners, which you'll hear a little bit about this morning, how we work with them, what the opportunity there is. We'll talk a little bit about our Application Persistence-as-a-Service platform. Just as a refresher, you know, if you want self-healing applications, you can buy our Resilience product, and we will heal over 60+ applications. Or we can work directly with those ISVs and give them the ability to embed self-healing into their application as well. We think there's a sizable long-term opportunity for us as a company as we build out that sort of microservices platform. Ed will give you an update on where we are with that, as well as some of the investments we're making in new resellers, service providers, et cetera. Across all of this, we have delivered against our commitment on the data. You saw us announce it in the second half of last fiscal year, our data insights product. We've worked really, really hard to focus on how we bring together the data for the customer, how we deliver that back in a new product and platform. The team will talk a little bit about that, and how we're building out the strategy against each one of those three pillars. Persistence, resilience, and intelligence. By the end of the day. Even in your sleep, you'll be saying, as I do, "Persistence, resilience, intelligence." Here's just a sampling of some of the logos that we support, that customers have the ability to heal or enable using our resilience platform. John and the team will give you a lot more information about this. Since we last spoke, we've also, I think, evolved quite a bit in our customer and our go-to-market organization. As we stand here today, we have over 18,000 customers around the world. Many of them across the Fortune 500, and we'll give you a little bit of a glimpse of what that looks like. Many of them in some of the toughest environments. You know, 12 of the world's 50 largest banks or financial institutions. 220+ of the Fortune 500. We'll give you a glimpse into some of who those are. We've done very well in government, although there's more work to be done, and we'll give you a bit of an update on FedRAMP and some of the investments we've been making over the past year to really do so much more within the federal market space, which is a huge opportunity still ahead of us. A lot of traction across many of these vertical markets that our go-to-market team will actually take you through. Now, one of the things that we're incredibly proud of is our customer-focused culture. NPS is one of the metrics that I talk about quite frequently on the earnings call. It's because it's a great measure of how our customers feel about us. We can fall in love with our technology, but if our customers aren't raving fans, then it really doesn't matter. We're incredibly proud of the customer support, especially through the last year, as we've brought the various different parts of the portfolio together. Our NPS scores have been better than we've ever seen. Our Net Dollar Retention has continued to improve year- over- year. One of the consistent themes that we hear, and this is very unusual for a security company, which is why I measure it here, is that it's very unusual that you hear an end user, not a customer, not a CIO or a CISO who's looking at mitigating risk, but an end user actually be a raving fan for a security product. It's almost unheard of because there's a common philosophy that security and user experience are polar opposites, and you can't possibly deliver security if you are actually not interfering with the user experience. I think that both the Secure Access products, in terms of how they deliver an optimized user experience to users that are trying to connect to enterprise assets, as well as in our ability to just automatically make things go for the end user so that the degradation of the security applications on their device don't interfere with their ability to get work done, means that users are just working and don't have to think about whether they can connect or be secured. We see that come out in our NPS numbers. We see it come out in customer feedback, things like the G2 reviews. It is a very, very unusual part of conversation for a security company, and I know you're gonna hear the team talk about it in a little bit more. How do we take all of that, great technology and that great customer base and use it to do more? We, as we stand here today, feel like we are at the beginning of an amazing opportunity. We have always believed that being the only provider of resilient self-healing security is an amazing opportunity. One of the things that the Secure Access integration has also given us is the opportunity to take that great platform into a very large and growing market around zero trust. Very different from the world of Absolute before, where we'd talk to customers and say, "Hey, we have this amazing technology. We can make your security better." And they'd say, "Show me the Gartner report that says, you know, that this is something that I should be doing. Show me." You know, it was a bit of an educational sales journey that we had to take folks on. As opposed to today, where we know that the market is actively moving towards zero trust, aggressively moving towards endpoint security, and we have some really differentiated technology to be able to take into that large and growing market. We're continuing to see a lot of the positive feedback coming back from Gartner and Forrester as they call out our differentiation as we go into this space. The product team will talk a little bit about that as well. Finally, you know, I would very much love to stop saying that we are the coolest security company that nobody's ever heard of. I would very much like when I tell folks to say, you know, we work for Absolute, that they don't ask me if that's the vodka. It's not a bad thing. Our path to that is really getting a lot closer to our customers. You are gonna hear from our go-to-market team to talk about the continued investments we're going to make throughout this year and going forward. As we make that shift from being a very helpful IT and asset management tool to a security partner with our customers. I've talked quite a lot about why that's implied a different kind of selling motion, a different kind of selling talent, different processes, different conversations. Over this past year, we've made a lot of those investments. You're gonna hear about some of that later this afternoon. Then you're gonna hear about how we're going to take that in driving growth up to the next level. How do we continue to execute against our Rule of 40 and come closer on that goal? I keep saying the right place for us in the Rule of 40 is 20/20. We're gonna continue to do what we do. Every quarter, we get a little stronger and a little stronger. We're gonna continue to innovate. The kinds of applications and capabilities we can build on this platform is really unlimited. As I said, there's really nothing in the security space that couldn't benefit from having some of the attributes of our platform. We're gonna continue to land and meet new customers. We've talked about the opportunity with international. We've talked about the opportunity in with new customers, new seats within existing customers, which takes us to expand. We've only begun to scratch the surface in terms of how we cross-sell SA with SE and talk about expansion even within an existing customer base. We're gonna talk about each one of these things as we go through the day. You have an amazing group of individuals who are gonna quickly cycle through this microphone on the stage and take you through it. I'll let each of them introduce themselves when they stand up and take the microphone. We've organized the day into two halves. This morning, we will really focus on product. We'll have a product Q&A just before lunch. This afternoon, we'll talk about go-to-market and business and financials. We'll have a second Q&A with that group this afternoon. I will be around, all throughout to answer any questions. Before I hand over the mic, I'm just gonna go back to the four things I wanna remind you. These are the four things I want everybody, hopefully, to take out of today. That we continue to be the only provider of self-healing, resilient security solutions, and that presents an amazing opportunity to us. We've turned that opportunity into a very differentiated product set going into a high-growth resilience or a zero trust market. We have a very large and supportive ecosystem and customer or partner base, and you'll actually hear a little bit via video from some of them today. We're gonna continue to execute against our long-term profitable growth strategy. That's it. Now I'm gonna hand the mic over to John Herrema to talk a little bit more about our product and strategy. I have mic'd up on my belt, so I don't think I need the handheld. Thanks so much, Christy. That is a wonderful tee up to what I'm going to cover, and hopefully I'll do a great job of teeing up what comes next from the rest of the team. I'm John Herrema. I'm our Executive Vice President of Product and Strategy. I've been with the company about a year now. Actually, my anniversary will be next year. I know Christy and Nick well. We all worked together previously at Good Technology, so it's just great to be back with this team and executing on this awesome opportunity that we have. Christy, when she, you know, teed things up, we kinda went through some of these, the tailwinds here that are really driving the opportunity for us. If we kinda drill in on those a little bit, more specifically, the attack acceleration and cost. We're seeing 2x the number of attacks, every one of them getting more expensive. There's, you know, real dollars at stake here when people are vulnerable. The other thing we've seen over the last couple years is this shift to work from anywhere, where, you know, based on our own data, which part of our product, we actually collect geolocation information, we can see and locate devices. What we've observed from pre-COVID to now is that the average number of locations that users are actually connecting and doing work from has gone from roughly one to two to actually four over that period of time. The interesting thing about COVID, a lot of people think it's like, well, work is happening from home. That's what being remote means. But actually, what we're finding is being remote means being almost anywhere. It could be coffee shops, it could be home, it could be wherever you're traveling, it could be your cottage. This notion of work from anywhere becomes really critical because the key part of this is that the IT stakeholders no longer own or control the networks that users are using most of the time to connect and stay productive. That comes with both security implications as well as productivity implications because you cannot control the quality of services the same way you can when you're sitting inside your own four walls. We'll touch on more about why that's so critical. Christy talked about the accelerating security spend doubling. The key thing and that critical question that Christy highlighted at the end of the day, is it working? This is where we feel with the combined portfolio we have, we can really address that key critical piece for the CISO and the other stakeholders, not just from a security perspective, but also very uniquely from a user experience perspective. Because what we can do with our application resilience platform, our network resilience capabilities that I'll go into a little bit, and that Joe will take us much more deeply into the insights and intelligence that we can gather about how things are working, where they're performing, where they're not performing. What that ultimately leads us to do is not just have a better security outcome for our stakeholders. We can actually give better user experience and productivity to the end user. As Christy said, I've been doing security for a long time, a lot of different flavors, and this tension between the user experience outcome and the security outcome, it's really, really hard to get those in balance. We think with our capability set, for almost the first time in the history of this industry, we can actually optimize both those vectors at the same time, and that has not been an easy thing to do. When we look into that and we say, okay, what does that mean in terms of how we actually execute? Like, what is it that we most uniquely do? Then you'll see in the coming slides, how do we actually turn that into a set of products, a platform that allows us to seize that opportunity? It starts with what we uniquely do. We are completely unique in our ability to have this endpoint security that is embedded in 600 million devices. This gives us that basis of persistence, and you'll hear the mantra, persistence, intelligence, resilience. That gives us that basis of persistence on which we can build all the other things that we do. The other awesome thing we have based on the acquisition of NetMotion, and Joe will go more deeply into this, we actually, on the access side, have the only Secure Access technology based on the way it's architected and how it leverages some unique things on the endpoint along with a server gateway that I'll talk about. We can actually actively self-heal and optimize the connectivity for the user. You'll see how that traditionally has been critical in field, in logistics, in public safety and other scenarios like that. When you consider that now 90% of my workers 90% of the time are actually working on networks, maybe four or more on average, that I don't own or control, that criticality of connectivity is now everybody's problem. It's not just particular companies that are doing a lot of things in field service. It's not just public safety. Every company now needs that level of optimization. Otherwise, you just can't stay productive in the world that we find ourselves in. The other thing that allows us to uniquely do, and particularly in the context of zero trust, I'm sure all of you have heard that phrase many, many times. One of the interesting things about the zero trust security model is a lot of folks actually focus primarily on the right-hand side of it. Because it gets very strongly associated with this zero trust network access. That's critical, no doubt. At the end of the day, you wanna get people connected. That's what you're trying to do. You're trying to keep them productive. The interesting part about that is that if you're only kinda looking at it from the network point of view, is the user accessing a resource that I expect them to? Are they accessing it from a trustable network? Have I proven their identity? That is all fantastic. You need to do all those things, but if you're not taking it back to what's the state of the endpoint, what's the state of the controls? The interesting things with a lot of zero trust models, they focus on if I authenticate the user, I take a look what they're connecting to, everything's cool. Let's say I am John, I've been properly identified, I'm accessing corporate sensitive resources, but then I bring them back onto an endpoint that doesn't have encryption enabled, or where the endpoint protection tool is not running, or the detection response tool is not running, or the management tool has been explicitly taken out by malware. Almost the worst thing you could have done in that situation was actually identify the user and then allow them to access. With our approach, we're able to apply zero trust and apply those principles which are critical, and that fundamental principle is you have to verify everything before you allow that access to proceed, before you allow the access to data. We can bring that all the way back to the point of boot of that machine, and we can start assessing that security state from the moment of boot-up through the initial attempt to access and making sure that the controls are in place. When we provide access, we can do that in a very optimized way. We believe that if you're not doing zero trust in this manner and taking it all the way from the time of firmware boot all the way out through the access, you're just missing something, and you're gonna leave yourself vulnerable or exposed as a result. When we look at the network access part of it a little bit more deeply, and Jill will go more into this, we have some really unique capabilities there, and it starts with this on the endpoint. We actually have a dynamic policy engine resident on the endpoint. What we're able to do now with a combination of our capabilities, we can do the traditional network access zero trust things. Is the user authenticated? What's the reputation of what they're accessing? Does that fit within their usage and access patterns? We can do all those things, but very importantly, we can now bring in all those assessments of the endpoint state at the same time and ensure that before we allow the access to proceed, we're actually factoring in all the state of the device, the application and controls, and then we proceed with allowing the connection to happen. Now, what we do here, and this is where this network resilient part comes in, we actually are able to set up a resilient tunnel that on any network of any quality can ensure that the connectivity stays in place. Even if you have intermittent network, low bandwidth, packet loss, moving between networks, we're able to maintain that resilient tunnel securely and with an optimal user experience so that all of your applications on the other end keep working. Even if the connection drops, they keep running. They don't realize that the connection dropped. We bring it back automatically. They don't realize that packets are being lost. We make that resilient and transparent for the user. Then based on policy, we can allow the customer to connect to whatever resource they want based on the policy. It could be public cloud, private, or on-premises, and we support all those models. Another really interesting thing that we can do, because we have this presence on the endpoint, is sometimes customers actually don't wanna route public internet traffic through their own tunnel, through their own resources. The cool things we can do there is that because of that local proxy, we can still maintain visibility into what's happening on the public internet, even if the customer chooses not to route that traffic through the resilient tunnel. It's a very cost-optimal solution, but they still have the visibility if they choose to deploy that way. That's a very unique capability we have there as well. When we look at this from an ecosystem perspective, you know, I've been describing some things that we do very specifically within our solution. The other really important part about zero trust and that security model is there's no single vendor that can provide every aspect of it. What we are able to do with our platform is ensure that all the necessary steps of verification are happening, so that from every part of the model, from the time of firmware boot through checking the security controls, verifying identity, verifying access, we can perform all those steps. Now, what's important here is that anything in green, we explicitly do that. We have a platform, and we have solutions for our customers that explicitly enable those capabilities. What we then do with our application resilience ecosystem is we can enable resilience for all of the other things you see on here that are indicated with the stars and the gray. The important part of this is that we don't have to provide every one of those security controls. The customer can choose whichever solution they want. We don't have to provide all the identity or every form of networking solution they might need, but we can ensure that they all remain resilient and that every step of the way, we can ensure this resilient zero trust. The other really critical part about that is for many solutions. If they come across a scenario where, let's say, they try to verify the presence of an access control, and it's not there, it's not running, it's not resilient, encryption is disabled, endpoint protection is not healthy, the main problem they have is that they are generally forced to then block the access. They see something wrong, they say, "Oh, I can't let this proceed." What they're not able to actually do is repair. When you think about this from both a security perspective and a user outcome perspective, it's one thing to check that something is not running and decide, "I don't like it, I'm going to block." In some respect, that may be the perfect security outcome, but it doesn't lead to what we want over here, which is that optimal user experience. We actually want to get the user connected. What we're able to uniquely do is not just see when things are wrong, but actually bring them back to a healthy state, so we can ultimately give the user what they want, which is an optimized, secure connection. The really great thing about our ecosystem is that we know whether it's UEM, endpoint management, data loss prevention, endpoint protection, and detection and response, there's no single vendor, there's no single solution that every customer is going to choose and deploy. The great thing about our platform approach and the ecosystem we already support is that whichever solution our customer is using or whichever mix of solutions our customer is using for these critical security controls, we can ensure that they're resilient, and we don't have to provide every one of them. We have, for example, our ZTNA solution, which we directly provide, but we don't have to provide every one of these solutions. That makes us very, very flexible for our customers and allows us to better fit in this overall ecosystem. Whether you're deploying a zero trust model or not, for example, some of our customers can be at different stages on their zero trust journey. We can start by ensuring that all the controls they do have today in their current environment are working, because even if you're not yet doing zero trust, you're almost certainly doing EPP, EDR, UEM, and so on. Then when they get ready to go on that journey towards zero trust, we have solutions there as well. We can meet the customer where they are with this platform and ensure that we can take them on that journey no matter which set of solutions they wanna use. Before I hand off to Joe and Will, or rather Will and then Joe, to talk more about our Secure Endpoint, Secure Access portfolio, just to leave you with a thought, everything we're doing is we're building this now in this platform that allows us to take these three capabilities, key capabilities, that persistence, intelligence, and resilience, out to whichever market we wanna serve. By delivering this as a platform, we're extremely flexible and able to support different go-to-markets, and you'll hear more about that throughout the rest of the day. Without further ado, I'll have Will come up. He's the head of our Secure Endpoint team from an engineering perspective. Thanks very much, Will. Thank you, John. Thank you, everybody. Good to be here. I'm Will Morris, and as John mentioned, I lead the product development team for Secure Endpoint. I'm gonna take you through aspects of Secure Endpoint and why resilience is a foundational tool for security. It's really you'll get to see this repeated throughout the day. First of all, just to give you an overview of the product. The first area, as Christy mentioned earlier, is that unbreakable connection because we're in the firmware, in the BIOS. Our customers love this because they're able to get the peace of mind if the device is wiped, hard disk removed, we can restore our own agent, which can then start putting the security back onto that device. That unbreakable connection gives visibility, control, and resilience into the endpoints that the customer might have. I'll talk a little bit about each of these areas. When we go to market, we have three different product families that we offer. First of all is Absolute Visibility. This is what we call the source of truth for device and application health. Wanting to know your security posture, what is the health of my security controls on that device? As a security team, what are the ones that are not compliant that I need to be concerned about? Secondly is control. That's really to give the lifeline and the connection to those devices that are most at risk of cyber threats. Here we add on the ability for customers to do security actions. Say the device goes to a location where it perhaps shouldn't be going to, the security administrator is able to freeze or quarantine that device and prevent things happening to it, remove files from the device or even wipe the device clean. Absolute Resilience, which is our self-healing and ransomware recovery. Here we add on other features. I talk about self-healing and ransomware recovery. They're very important areas of the portfolio that we have. We have a lot of other additional features there, including a powerful what we call Reach, which allows remotely from the cloud to execute over 100 different workflows and scripts against those endpoints to protect them and to heal them. Let me talk about application resilience. This is a really important feature in the security world, but our customers really love this because this allows them. This automatically detects, repairs, and reinstalls unhealthy applications. We have a catalog of over 60 of the most important applications that our customers use. You saw some of the logos that John showed a few moments ago. Just imagine this. You don't need an IT administrator to go onto that device or physically get the device. We are there with self-healing to fix those critical applications, get them back to their baseline state, all done automatically, from the cloud onto that device. What does this mean? This means security controls are working as expected. Christy mentioned earlier that there can be 11 different security applications or agents working on a device at any one time. With application resilience, we're working to make sure those security controls are all healthy at their baseline state, so to protect those devices and have that security run. Secondly, I see in the room here there's a lot of you end users that are using devices, using endpoints every day, and you just wanna get your work done. With application resilience, it's there to look at different parts of the application ecosystem that may be taking too much memory. An application might be conflicting with another one. Application resilience can restore those applications and bring up the user experience so you can get your work done. And then back to that persistence. We protect against accidental or intentional removal of those third-party applications. Someone may have deleted something by accident. With our persistence technology, we can reinstall that automatically. It's all automatic here. Now we support, as I said, 60 of the most important applications across many different categories today. This year we're working to expand on that in two different ways. We're expanding our ecosystem. The first one is to expand and go further to even more applications over 1,000 applications and versions. The second one is you'll hear from Ed Choi later on about Absolute Persistence as a Service. This is where ISVs can take that same persistence technology, put it into their applications so they can get the benefit of self-healing. My team's responsible for that technology and making it really easy so we can turbocharge those ISVs and let them get the self-healing capabilities into their applications. Our customers are really loving and using application resilience, and it's a really important part of the security story. Now another part is ransomware recovery. We all know that ransomware is a big security and cybersecurity threat. We've heard about it across many different industries. You see headlines every week about how big of a threat this is. Now it's getting even more targeted and sophisticated. Ransomware will look at disabling security controls on the devices, on the endpoints, and that prevents a ransomware attack being discovered, but it also prevents easy recovery. That's where we step in, and we can help the customer restore that. We do that in these kind of four ways. We first engage with the customer to assess their existing security risk on their endpoints, help them through that, set up the Secure Endpoint product so they can be protected with the critical applications they need. We then monitor that. Our product, our Secure Endpoint offering is doing continuous monitoring of the health of each and every one of those endpoints. Is there data at risk on those devices? We can let the customer know. Are the applications healthy? We will fix them automatically. We're continuously monitoring the hygiene and fixing those issues automatically. Then on step four is where we work with the customer to recover against ransomware attacks and restoring the endpoints to the known baseline state pre-ransomware. This is a really powerful tool that helps on ransomware recovery, which is a major cyber threat today. Let me turn now to our intelligence. Our teams recently launched what we call Insights for Endpoints. We were very excited to get that launched. Christy mentioned some of what we've said previously at Analyst Day, which is we have a really unique way of getting all of the data that customers need. We have that visibility because of where we're based in the firmware. It's the customer's data, so we wanna give that data back to them so that they can really see endpoint security issues, health issues, among other types of use cases. This is a really powerful product that we released that allows them to get security, compliance and health and utilization categories in dashboards that they can easily view. Give you an example. If you're a CISO at a company, you wanna know what is the health of my endpoints and what are the outliers? What are the areas that we should be most concerned with? They have that ability to get rich dashboards and customizations to really pinpoint using their data to focus on what they need to know. It's real time as well as given historical device and security trends. It's very, very powerful, very customizable, and has a deep level set of search capabilities, so someone can easily dig into specific areas. Very powerful product in security intelligence across your endpoints. Okay. Finally, I just wanna talk a little bit about FedRAMP, which is focused on expanding our federal business. Federal is a really massive opportunity, a big opportunity for us for growth as we move forward. Today, we sell into the federal government without certification. Now we're focused on FedRAMP certification. We've invested heavily in this as an organization in the past two years. For those that are not aware of this is a high security bar. It's one of the highest security bars out there that the federal government sets for you to do business with them. It's really important. It's continuously monitored and audited every year. It's not a checkbox, it's a high security standard. This is really important for our federal business. It will allow us to sell even more into federal, but also because it's a high security standard, it's gonna be attractive to all of our large, customers as well. I want now to hand over to Joe Savarese. He's gonna talk about Secure Access. Thank you very much. Thank you. You did great. Which button is forward? Green one. All right. Can everyone hear me? All right. I'm Joe Savarese. I'm the Executive Vice President of the Secure Access product. I also happen to be the CTO and the founder of NetMotion Software. Christy asked me to come up here and go over what the Secure Access product is. Secure Access is NetMotion rebranded. All right. I'll start with our vision for the company. Our vision for the company was to build a product that end users demand, not just the security professionals in the organization. We wanted to build something that was so differentiated, it actually improved the user's experience. Hopefully, I'll be able to go over some of how that works. We have three pillars of value. We have the enterprise VPN, the software-defined perimeter, and the experience monitoring. I'll go over each one. Built inside our product is an agent. It's client server software. There's an agent on a client, and there's a server that sits in the back end. Sometimes we host it, and sometimes the customer runs it on premise. It works either way. Embedded in each client is a firewall, a proxy server, a secure web gateway, policy management, and digital experience management, all right? It's a very powerful agent inside each client. We support iOS, Android, Mac, Windows, all the big popular OSes you would expect. Now, our enterprise VPN is patented, of course, but it is designed from the ground up for mobility and modern networks. Modern edge, if you will. 5G, Wi-Fi 6, even home networks, cable networks, et cetera. It's built for the person who's outside the firewall. It's built to optimize and correct errors and improve their experience. The secret sauce in our product built into it is a WAN optimization controller, okay? Some companies sell those as separate categories. We embedded one in our VPN. Next is our software-defined perimeter. Our software-defined perimeter, it's centrally configured. You can go up into the cloud and configure this. It will globally push down its configuration and then execute and enforce locally, so on the agent, because we have that powerful firewall, proxy server, et cetera, in each client. It too is patented, and it's well known for its usability and the fact that it's the secret sauce in our ZTNA, and I'll go over that a little bit later. It reduces the attack surface. I'll explain how that works, and it can be based on risk. It knows everything you're doing, what applications you're running, what networks you're doing it on. It knows your risk profile as an individual, and it makes decisions based on that. We have our experience monitoring. Our experience monitoring software, unlike our competitors, doesn't just tell you how you're doing. It actually improves the network underneath you, improves the way applications work, and if it detects something wrong with the network, it corrects it. There's one thing I'd really like you to take away. The VPN, the software-defined perimeter, and the experience monitoring all work together to not only secure you, but also improve your experience. I'll get into some details here. Now, resilience. The first thing Christy asked my team to do when we were, you know, part of Absolute was to implement on our agent the BIOS-based hardware persistence that gives resilience to our agent. All right. We made our agent resilient. It is now tamper-proof. If someone misconfigures it, if there's malware that tries to shut down services or disable it gets self-healed. All right. That's using Absolute's built-in BIOS-based technology in the hardware. You can't get rid of it. There is an always-on tunnel. In addition to the agent resilience, we also have something we call network resilience. We had that before the acquisition. We can keep your connections, your TCP connections alive as you move through coverage gaps. Literally go into an elevator or a tunnel or roam some place in your home where you don't have Wi-Fi, we'll keep your applications alive, and when you come back, things pick up where they left off. Even a file transfer. Be in the middle of a file transfer. Go someplace where there's no network. We'll stop it right on the byte it left off, and when you come back, it'll pick right back up, you know, where it left off and things will just keep running. You lose no work. You don't have to reauthenticate, right? Seamless. It's the reason why people ask for the product. Now, this resilience, this network resilience improves your productivity. All right? We have dashboards because when we're selling the product, we like to show our customers the return on investment they're getting. We have dashboards we call it our impact statement that will tell our customers how many minutes per day we're saving them. In this particular case, it's just a snapshot of someone's dashboard I took for the presentation. We were saving that customer 56 minutes per day, per user. That's real money when you have a high value user, like an engineer or a lawyer working outside the firewall from home or roaming around, guys and gals in trucks like field service and utilities. It's real money savings. ROI. Now, because we keep the network alive, our users focus on their task, their job, not on the network. That was our goal. Now, going into our software-defined perimeter, our policy management, that is our secret sauce for how we do ZTNA. All right? Because we have a firewall and a proxy server, software on the agent, on the device, meaning iPhone or iOS, I mean, Android, Windows, Mac clients, unlike our competitors, we can secure you and do ZTNA and policy without sending all of your data up into the cloud. That's what our competitors do. They send it up into the cloud, and then they do security on it. They analyze it. We do it right on the client. We do that because we wanna reduce the attack surface. Most of the data you create, you go back far enough to where the data originated, it started on the endpoint with the user. We protect it there. All right. That's one of our big differentiators. If our customers don't wanna go through our gateway, they don't need to. We'll still watch everything they're doing, and we'll still secure and do the policy management needed to do the zero trust access. All right? It reduces the attack surface. It eliminates choke points. What do I mean by a choke point? Think of a traffic jam, everybody, 10,000 users all sending their data up at the same time into the cloud. We consider that a choke point because everybody's gotta get through that spot in order to do their work. Well, we don't have to do that, right? We can just secure it on the endpoint. It protects the data at the device, and then true to my heart, one of our goals was to build a product that actually improves your experience. Because we're not going through the choke point, you get a better user experience, your network's faster. Dynamic policy also hides applications, and it can disarm malware on the fly, on the device before you go to the malware. We've got AI and machine learning running in the background all the time. It never sleeps, it never rests. It watches everything you do. If it sees something risky going on, it stops it. All right. The administrator, he's got full control. The manager of the deployment, he can go up into the cloud, and he could do things like this. I want three apps, three applications. I want them to be able to go to three different destinations, and that's it. That's all the user is authorized to do. Centrally configured, globally distributed. Now it's going to be locally enforced, and we can block things that are risky. We know what network you're on. We know how risky the network is. We know how risky you are as an individual. You might. You know, the field worker might be more of a risk than, say, the CEO. Maybe the opposite. I don't know. We can tell based on risk, and we can execute policy that way. Here's a blow-up of a particular dashboard where we're telling the customer how many times we've blocked malicious websites and malicious URLs. Because we're on phones, we can watch your text messages. If someone sends you a link that's malformed or a phishing attack, smishing attack, we can block those dynamically on the fly. Okay. Now, reputation category. It's a pretty interesting concept for us because we have a very broad set of customers. If you're in public safety, you might encourage your employees to go learn about bomb making. If you're an airline, that's a bad thing, right? Now, we let them customize it. I'm gonna create my liability category, and, you know, I'm gonna put in it what's important to me, what I need to stop, and then we'll do policy management based on that. Okay? It's very powerful. Based on your destination, which countries you're going to, which applications you launch, we see the process, down to the process level because we're on the device, what users, et cetera. Now, this is actually my favorite slide because it helps me tie together how everything works together, the three pillars I talked about, the VPN, the software-defined perimeter, and the digital experience management, ties together how they improve your experience. The upper right, that is a dashboard in our product. Tells you what kind of network experience you're having. They tell me that color is orange, not brown. I'm color blind. The orange line there is a poor network. The red is a network that doesn't work at all. Very, very poor. This is a mobile user in Seattle. He got off the ferry, and he's driving through a concrete jungle, right, with tall buildings. I see it even here in New York, where I don't have coverage in between buildings. That red spot is no network connectivity. It's really cool to me that we can tell you you're having a bad experience there. That part about tying it all together, how it works together to improve your experience, the digital experience management software can tell the Secure Access VPN that it now needs to reconstruct the network with things like forward error correction and our application persistence to hide the network problems from the application and the user. It happens so quickly, the user doesn't even know he's on a bad network, okay? All three parts of the pillars of the value work together to secure you and improve your network. Improving the network. Why? We learned a long time ago that if the security software gets in your way, you're more likely to try to remove it or work around it. If it helps you're just gonna go with the flow, right? We've literally had customers where they've tried to remove it, and the customers, the end users, have said, "Put it back. It makes me more productive." Right? The charts in the middle. We collect telemetry data. Our goal was to make it as easy to manage things outside the firewall as inside the firewall. We looked at how people did things pre-COVID. Post-COVID, we wanted to make it as easy to manage things on networks you don't own or control. Your users are on Verizon, AT&T, they're on their home Wi-Fi. You're an IT administrator. You're a manager. You have no visibility, no control on those networks. We collect lots of telemetry data so you can get visibility into what your employees are doing. This particular chart in the middle, it's showing which applications are running over time and how much data they're sending. I've circled that one peak there. One click in our product, I know it was user Frank that's running a news application at 2:00 P.M., okay, when he should be working. As his manager, I have an option. I can just turn it off, centrally configure it, globally distribute it. Doesn't matter where Frank is. It's gonna be locally enforced. He can no longer run that application until I say, and maybe that's after 5:00 P.M., I'll let him listen to the news when he should be working. Why is that important? It improves the productivity of the deployment. We also have customers that use the same concepts to lower their costs because sometimes networks cost money. Even my ISP service into the office is finite. All of the things I just talked about, the optimizations, the telemetry data, the power of the policy management, works for the high-valued worker outside the firewall. As much as it works for public safety, first responders, utility companies, we're in logistics, et cetera. Okay? Now, there's a lot of innovation in the product. My team is still with me. We're all here. We're all staying at Absolute, and we continue to innovate. This is just a little breakdown, a rundown of what we've done just in the last year since the acquisition. We added the Resilient Client. It's tamper-proof. Try to uninstall it, the BIOS puts it back. We added something that I think is very interesting. We have a lot of very big companies, logistics companies, airlines, things like that, use our product. They're global. They're in data centers all over the world. We've added the ability to have back-end infrastructure that shares state across the world, and if, say, for example, the data center in Europe goes down, we'll automatically roam your end users to North America. The user doesn't even know what happened. It's just keeping him, his network running. It's resilience. So you'll hear resilience over and over. Resilient agent. That's why Absolute was interested in us. We have a resilient network, and now we have resilient back-end infrastructure. It all just makes sense, the self-healing aspects of it, right? It's multi-regional. We added diagnostics for new modern networks, and I'll just go reauthentication policy. We check the risk. I get tired of reauthenticating every time I go someplace. Well, we changed how we do it. You know, we're monitoring the risk of you, your network, the apps you're running, where you're going, and if everything's okay, we don't ask you to reauthenticate. If we think the risk is high, we say, "Hey, can you just validate it's you again?" Right? It helps the user experience, improves it. Customer configurable GDPR. We collect a lot of data, and our customers, depending on where they are, have said, "We'd like to be able to turn that off at will when we want to." We gave them the tools to do that. It's part of the policy, the software-defined perimeter. Centrally configured. Configure it. I don't wanna collect data after five o'clock. I don't wanna collect data in Germany, say. Right? We'll just push down a configuration, and we will do it under those circumstances for that customer. We added dashboards for demonstrating the ROI, a couple of which I showed you today. The one with the ROI minutes saved, that's been in there for a little while. The one with security telling you which applications and networks and processes we've blocked, that's new, and it's there so our sales team can better sell the product. It makes it easier, reduces sales friction. They drop it in, they let it run for a week, they come back, and they go, "Let me show you what we did for you." Right? We continue to innovate. That's my product, you know, what I'm very proud of. I'm gonna turn it over to Nicko, who's gonna talk more about the innovation that's coming, the future stuff. Thank you. Okay, thanks. Thanks, Joe. I'm Nicko van Someren. I'm Chief Technology Officer at Absolute Software. I've been here not quite as long as Christy. I think she called me up 60 days into the her being on the job. I'm gonna talk a bit about the innovation that we're doing for the future and where we hope to build new technology which will enable us to better serve our customers' needs going forward. You've heard it from Christy, you've heard it from John. Absolute's a platform, not a product, and it's sort of key to understand that we're building something that is gonna support a whole ecosystem. We have foundations that deliver persistence, not just for what we build, but we can deliver persistence to all of the tools that all of our customers need, no matter what they're doing. We've got the tools which allow our platform to repair and reinstall and keep running in an efficient state all of those capabilities that organizations rely on. In the process of doing this, we collect an enormous amount of data, which is hugely valuable to both your IT organization and your security organization to allow them to better understand how service is being provided and how systems are operating and what they can do to more efficiently target the manpower that they deploy in their organization to keep things running smoothly. That helps our customers reduce their cost. This is a platform that allows us to deliver solutions but enables a whole ecosystem, because it's all about keeping whatever our customers want to do resilient. This is the sort of basis upon which we aim to innovate and go forward because ultimately we're not in a static market. The world is changing all the time. The customer's needs are changing all the time, so we have to keep moving. You know, our innovation strategy spans a number of dimensions. You know, ultimately, we need to be able to deliver a highly scalable solution. We've got, I can't remember the number this week. I think it's around 14 million clients calling in on a regular basis. In a little bit, Ed Choi is gonna talk to you about why that might be an order of magnitude larger in the not too distant future. We've got to continue to build solutions that scale up and do so efficiently. We've got to work out ways to allow our platform to grow faster, deliver new features and functionality faster, make it easier for our partners to deliver their functionality faster. Velocity is a key to the innovation direction that we take. We also need to bring down the cost of delivering service. You know, we're all keen to not just grow, but grow profitably. Anything that we can do in our platform to improve the way that we deliver our solutions so that the costs go down in the process, whether that's OpEx or whether that's CapEx, anything we can do there is incredibly valuable. Flexibility just allows us to deliver our solution for more problems and more rapidly roll out what we need to do. I'd be remiss in not pointing out that I'm a geek with a PhD in computer science, and I employ a lot of really smart people, and creativity is crucial to what we do. It's crucial both because it allows us to come up with radical new ideas for how we will do all of the above, but it also allows us to create defensible IP, which keeps us in this space. You know, ultimately, this is all about serving our customers better, whether it's directly or whether it's through our ecosystem. It's about serving our customers better and doing it profitably. Some of the areas that we seek to serve our customers better, you know, we build a real-time system. You know, we've got stuff that's doing real-time networking. We've got stuff that's doing real-time security management. We've got stuff that's doing real-time policy enforcement. Anything that we can do to improve the speed, reduce the latency, is valuable to our customers 'cause it gets stuff done faster. We need to make sure that things stay reliable, whether that's about the reliability of a connection or whether it's about the reliability of an application. It's all about reliability. How can we drive more reliable systems? How can we roll out the features that customers want faster? If you say you want a new application installed or you want a new feature set installed because we don't license all of our features at one flat price, you sometimes have to buy an extra feature. If you wanna switch that on an endpoint, we need to be able to do that real-time rather than having somebody go in and actually have to manage that machine. Those policies that we want to enforce need to get more intelligent. Those policies need to be able to run when the device is offline, doesn't have to have a network connection, and those policies are getting more complex 'cause we want more nuanced policies, so more intelligence at the edge. It's also valuable for our customers to have more rapid feature development. The work that we do innovating in our platform, which allows us to do our working, our code development faster, is actually valuable directly to the customer 'cause customers always want new features, and we want to be able to deliver those as rapidly as possible. We're very customer-focused in the way that we approach our innovation. One of the areas that we're spending a lot of time on is how do we leverage the enormous amount of data that we collect. We were collecting plenty of data on all sorts of aspects of the hardware and software and applications that are installed on endpoints using the, what's now our Secure Endpoint technology. We also collect an enormous amount of information about which applications are accessing which network services and how and when and why through our Secure Access technology. We've built neural network technology, which is applying machine learning to do very nuanced analysis of network behavior, for instance. We can actually see when somebody inside the organization changes role. We actually see the behavior changes, can actually flag that. We've got machine learning running to analyze the geolocation data that we collect. We did a project where one of the major public school districts in the country had reported that a significant fraction of their machines didn't get returned at the end of the year. We actually automatically understood where all of their schools were, and we sent them a list of which machines we thought were missing for them. That sort of machine learning on these datasets that we collect is incredibly powerful and stuff that we're productizing. We're unifying the data that we collect from laptops and now also from mobile devices using the Secure Access technology, which allows us to bring together more information about how does a user behave even when they're switching between devices. That sort of analysis allows us to deliver these really powerful solutions to solve real-world customer problems. As I mentioned, we're growing, and we're continuing to grow just in the mainline business, but also, as Ed will talk to you in a bit, we're growing our reach in our ecosystem. This is increasing the amount of information flowing through our systems. As we go about our innovation strategy, we think a lot about how do we scale this up. If you try to get 15 million simultaneous connections into a single web service, the scalability problems. You know, if we try to just do that the way Amazon Web Services would like us to do that, it would be cripplingly expensive. We built a new technology to do something called client-side load balancing, which allows us to vastly reduce the cost of delivering that sort of scalable service. We've been bringing a more cloud-native approach to the way that we deliver our solutions. Historically, we had a couple of data centers, and we actually ran our own hardware in our own data centers. It's very old-school approach to delivering a SaaS service. We want to be able to more rapidly bring up new instances of our system. We don't want to have to wait for somebody to deliver us actual hardware. We wanna be able to bring it up instantly. Transitioning to a more cloud-native deployment process reduces our CapEx, increases our ability to rapidly scale up for our customers. New network architectures that we've created within the Secure Access model significantly reduce our costs when deploying our ZTNA solution. Many of the players in the ZTNA space have to stand up their facilities around the world to provide points of presence. Those cost real money. They cost bandwidth. They cost hardware. We've found better ways to do that which significantly drive down those costs. You know, anything that we can do in our platform to bring down our cost of operations, bring down our CapEx, is incredibly valuable to us and ultimately to you guys. We also spend a lot of time thinking about how do people inside the company who are building our product have to go about that development process. If we rebuild our frameworks so that they are higher level, provide more abstraction, we can actually develop our code faster. We spend time innovating in the way that we structure our applications and the structure of the frameworks that they're built on to allow faster development cycles. That increased abstraction and reduced cognitive load actually means that we can hire more fresh graduates and have to have fewer highly experienced, highly paid architects, or take the ones that we've got and focus them on harder problems that we can solve, which will ultimately deliver more value. Driving those improvements in our frameworks and abstractions is incredibly powerful. We're also working on how do we deploy faster, reduce those cycle times for rollout of new features, because that just keeps our customers happy. When they ask for a feature, they don't want to have to wait multiple quarters as we go through multiple testing cycles to roll this out. They want it to be delivered instantly. Improving our tooling to improve those rollout cycles is incredibly valuable as well. Ultimately, it's all about continuous innovation. You know, we operate in a fast-moving world. We're gonna continue to innovate. We have to balance this. I mean, as CTO, I would love Christy to just give me all the resources, and I'll go and build really cool stuff, and you know, I could innovate until the cows come home. We balance how do we do enhancements, incremental enhancements to our product? How do we roll out big blocks of new features? How do we do the quantum stepwise innovations? We actually do a certain amount of earmarking of resources for the various longer-term things so that we can continue to have those those technology leaps coming down the road while delivering rapid rollout of the important immediate features that our customers are needing. We also spend a lot of time nurturing creativity. I think it's you know, probably most of you work in organizations that have had struggles to hire great people and struggles to maintain maintain and retain great people and it's getting harder. We spend a lot of time nurturing creativity and innovation because it actually keeps our engineers happy. Keeping engineers happy makes them more productive, and it makes them stay around longer. You know, things that we can do to foster collaboration and cooperation and cross-fertilization of ideas between teams, as well as fostering those creativity streaks within them is just a great way to keep great talent and stop having to spend so much money with recruiters to replace them. That's all I'm gonna say about innovation. I'll be around in the Q&A and happy to talk more. I'm gonna hand over to Ed Choi now, who's gonna talk a bit more about our partner ecosystem. Thanks, Nicko. Excellent. Good morning. Edward Choi leading the Global Alliances effort here at Absolute Software. I've been with Absolute about a little over a year, and prior to Absolute, I was at Samsung Mobile, leading the global B2B alliances effort there out of headquarters in Korea, and saw some interesting innovation, mobile platform innovation, where it was embedded in 1 million devices that we sold every day and active in 2 billion devices worldwide. I've seen the power of the right embedded platform with the right ISV partners we enable and leverage that platform to better serve the mobile customers at scale. Okay. I'm very excited to be talking to you about the B2B partner strategy and focusing more on APaaS and how we're working with ISVs to deliver our technology globally. Now, John touched on our common platform and how it serves and underpins our B2E, the business-to-enterprise products and our B2B, business-to-business products. Now, for our B2B ecosystem, we have three specific plays, right? For the service providers, carriers, MSPs, we leverage the B2E solutions to extend their portfolio so they can rapid manage services, manage support to strengthen and provide around our solutions. Now, for the OEM play. We've taken out the most popular consumer small office, home office components like Find My Device, Lock, Wipe, Recover My Device, and provide it as a white label offering. Where I'm most excited about is with ISVs, where I spend most of my time on relaunch of our Application Persistence as a Service. Christy and John touched on how the market drivers are creating this massive opportunity now for B2B. We wanna leverage this tailwind by better serving our partners. Now, for example, for ISVs, they also have these questions every day from their clients. Is it working? Is our investment in your application yielding the right results? With the ISVs that are partnering with APaaS, Application Persistence as a Service, they can confidently say, "Yes, it is working," and much more. We provide the auto self-healing that's delivered from our Persistence platform. They also get this incredible insight and telemetry with what happens with the application in the wild. They see when things are working well, but have very little visibility and insight when the things are not. This gives them an incredible competitive advantage against theirs in the market. Some of the ISVs are actually using this new enhanced, more healthy version of software to drive more revenue. To give you a little bit of understanding of the APaaS solution, Application Persistence as a Service, let's start with our core offering. As you've heard, a lot of our PC OEM, 28 of them, embed our Persistence technology from the factory. When an Absolute customer subscribes to our Resilience solution, they have access to 60 powerful global brand of applications they can turn on. Then from that point on, we'll remediate, we'll provide you some insights through some incredible reports, portals, and much more. Now, we've taken the most powerful bits of our technology and our core platform, and we're extending it as a service to ISVs. When the ISV customer downloads the application that's incorporated with APaaS, it activates the Persistence in the firmware. It from that point on monitors and heals the application and provides this incredible insight back to the ISV across their whole entire customer base. One point to note here, these ISV customers do not have full access to the Resilience portal, the report, the control, the visibility of data and device that the Resilience customers do. Now, Christy did a fantastic job covering this dynamic chart of why resilience matters, right? I would say in many of my meetings with ISV partners, I spend quite a bit of my time on this slide because this is one of those show-me slides. Because what Nicko and the data intelligence team evaluated, analyzed 3.1 billion performance records for these six applications. In a lot of those meetings they'll ask, "Ed, what are the key factors that impact application health?" Well, some of them are users intentionally or unintentionally disabling the application. Applications will sometimes collide with other application, impacting performance. Naturally, they will decay over time. Of course, a lot of the application or some of the application will be hacked and compromised. What we see most often is something as simple as they're installed incorrectly, missing files and registry keys, and then also have an incorrect version out in the wild. Right? As you can see, these and thousands of other reasons of how it impacts your application, Absolute Persistence as a Service can address and heal. The application ISVs don't have to worry about that. Yes, it does matter to the end customer. Couple months ago, I went to the RSA Conference, very excited to meet with partners for the first time face-to-face, and was able to sit down with our partners and ask the question, "Why is APaaS, Application Persistence as a Service, important to your business, your application?" The chief product officer from Ericom, a ZTNA software company, CEO of Plurilock, an identity access management software company, had this to say. I think the sound is off. Ericom Software and our security platform, ZTEdge, has been now combined with Absolute. It was really interesting for me personally as the Chief Product Officer when I encountered Absolute. I was like, "Wow, this could save me a lot of time here." We decided to kind of put those two pieces together. Now, the reason why Application Persistence is so important in our line of business is because we have a piece of software that runs on the endpoint that connects users to our cloud, and the corporate environment needs to make sure that that corporate device or asset is always secure. Basically, you can't have a situation where the users can just turn stuff off and compromise the security posture of the environment. By combining these two pieces together, whenever a user boots up their laptop, our software kind of silently runs in the background, connects to our cloud, and if the user were to try to turn it off, they can't. If they were to try to uninstall it'll just reinstall itself. It really gives our customers kind of that peace of mind to know that they're always going to be secure because it's always going to be enabled and always going to be connected. One of the issues that we were running up against is in a bring your own device setting, in a BYOD setting, it was often the case where the enterprise didn't have control over the endpoint. Perhaps the user was logging into a VPN. Perhaps the user was logging into a virtual desktop environment from their physical personal PC or personal Mac. Our endpoint agent does require to be run on the edge device, on that PC, on that Mac. We needed a way of enforcing the fact that that agent was running when they were connecting. That was the reason why from a customer standpoint, we reached out to Absolute and we wanted to partner and get that APaaS capability to ensure not only that our agent was running, but also that we had the telemetry to prove to the enterprise that it was running effectively. Because if you can't prove that the agent is running, you don't have that same level of assurance or that same level of confidence that the protection is actually in place. Great. You saw how persistence matters to the end customer because it ensures the application is running so they're more productive. You just heard from the ISV partners why it matters to their business and the application. Now, why does it matter to Absolute? It is a critical component of our B2B strategy. It leverages, you heard, 600 million endpoints that's persisted in the firmware. Multiply that by about 11 applications or actually 11.7 to be exact. It's about 7 billion endpoint applications that only Absolute can deliver this auto self-healing from the firmware. The best part, APaaS is a brand new revenue engine. It doesn't cannibalize our core business that we're doing so well with. It is incremental. Also every time we sign up an ISV partner to APaaS, we take that application and put it and add it to that library application for the core customer. We have 60 today, and every time we add an ISV to APaaS, it gets added to the core library as well. We deliver that much-needed awareness, increase the awareness of our persistent technology to the ISVs and through the ISVs to the larger base of customers. These opportunities are priorities. Simple. We're gonna focus on the platform. We got a ton of great learnings from three years ago working with some of the key OEM partners. We're leveraging that with a measured approach with a handful of early ISV partners to figure out how do we scale. We're gonna also focus on the telemetry portal, which is a tremendous value for ISVs to give them insight on how the application is performing in the wild, and really have some focus on building out the ISV ecosystem of partners. I'm excited to connect with you later today. I'll be available for the Q&A. Mark? Thank you, Ed. My name's Mark Race. How is everyone this morning? I am gonna just spend a few minutes and walk you through our PC OEM business, and then we're gonna get you over to a product Q&A, and then we'll get you to lunch, which is coming up soon. I will be brief. I've got the privilege of running our PC OEM business as well as our channel go-to-market teams. The question I often get, as many of us do, is why do they do business with us? It's a great question. Really where I land is it really comes down to kind of these three buckets. This technology integration, as you heard about all morning, we enjoy this incredible precious real estate within the firmware, within the BIOS by 28 manufacturers. Since about 2005, the big three, Dell, HP, Lenovo, Panasonic, 17 years we've been integrated with them, continuing to evolve not only their engineering relationship, but also our go-to-market relationship. You know, that factory level stamp that goes out the door with every single one of these PCs is unparalleled. We're the only ones that have that engineering relationship. As our agent has continued to evolve, we've evolved with them and their engineerings and their product teams, for features and functionality of what that agent can not only do for our product, but also some of their own strategies, which I'll touch on. The second big one is this concept of customer shared value. We've got 17,000-18,000 customers shared with these OEMs that go out the door. As most of you that have followed us for a long time, we've been traditionally very much bolted to hardware. That's really less than half of our business today, where we're bolted to hardware going out the door. That's really important for a couple reasons. One, we're not as sensitive or exposed to the ebbs and flows of the PC demand cycle, as well as some of the supply chain shortages that happen across the PC business. It gives us an opportunity to work with them not only to expand our existing kind of shared customer base, but also go after net new customers, not just with a hardware sale, because we've seen the PC OEMs also evolve and not just be hardware sellers or, as I affectionately call them, box pushers. They're evolving into solutions and services experts. You see a lot of energy around certainly the big three talking about their services organizations, being solution providers. We're really core to that solution strategy as we work together with them to take advantage of that engineering relationship and ultimately go to market. The last one, that kind of segues into, you know, they've got their own security strategy right now. They see this big growing security market, and they are creating their own OEM strategies to take advantage of that TAM that's out there, and we're just a core foundation of that because we've been such a security partner for so long. I'll give you a couple examples of what that looks like. This is some of the collateral from the PC OEMs, not ours. Here's Dell specifically. If you followed the Dell security portfolio, they've continued to trade out some of the players over the years. I think they've been at this for about six years. They've moved folks in and out in the EDR space or the identity theft protection place, and they go after a couple of these different markets. But we've stayed constant, and we are a core part of that kind of foundation, being in the firmware and kind of being that historical partner with them. What's great about this is this just is not a product or a marketing initiative for them. In order to be in this portfolio, you have to really be connected to the go-to-market sales teams, which means the products that are in here are directly tied to the salespeople's quota, and that is the magic trick that we've been able to perfect with these partners. All these partners have large software libraries, large peripheral libraries, but it doesn't mean that every hardware-carrying rep across the globe gets paid on those products, and that's what this represents. This is how they pay attention to you. This is how you get into their call center. This is why they take meetings with you. This is why you have account mapping sessions and QBRs jointly with them if you are in this club, and it's very important that Absolute remains in this club, especially as we look to expand globally with these teams. A similar story is with Lenovo. You know, they've developed their security strategy, and they call it ThinkShield. They spend a lot of energy in that, and they've been working through the past couple of years identifying the right players that make sense in that security portfolio, but we're not just one component of it. We're several pieces of this, of their endpoint security strategy, as they go after trying to differentiate themselves from a Dell, from an HP, and we've had the privilege of working probably the closest recently with those engineering teams to develop a lot of white label Lenovo branded products. We are the engine behind their Lenovo Patch product. They've got a great product called Lenovo Smart Lock. They've got a great product called their Lenovo ThinkShield Remote Supervisor Password. We are the engine behind that to continue to add value to their solution. If you follow Lenovo closely like I do, they actually renamed a major division of their company last year, called Services and Solutions to really start to say, "Hey, we're just not a hardware provider." They lead with this kind of messaging offering value to differentiate themselves. The branded offerings that we have, I just spoke on here. Here's a couple of examples. Their own Lenovo Patch, as well is also powered by Absolute. We utilize our firmware agent to engage and to enable those type of products. This just goes to where our go-to-market relationship has not only grown, but it's grown with our engineering teams, both at Lenovo in Raleigh, North Carolina or Beijing, as well as our Absolute teams. This has gotten a lot of coverage very recently. This is their consumer small business offering. They call it a Smart Lock. They're leading, I think, the efforts with the subscription-as-a-service, some of the consumption components that are out there in the marketplace. Lenovo is very focused on that. Their Vantage program, they call it, which is their cloud subscription model to download software titles because they know that preloads don't work. They know many companies wipe the box when they get that box. They completely re-image the box. Preloads are really a thing of the past because they don't stick. What Lenovo is ahead of the game with is they are launching this Vantage product, and we are a kind of a key original player with that. This Lenovo Smart Lock provides that, where consumers, small business owners buy a box. They go into the Vantage product, and they download our software. It's heavily Lenovo branded, but as you can see, it's really powered by Absolute. We're really excited about where that can lead and upsell with that. One of our executive sponsors that we have is a gentleman by the name of Matt Zielinski, and he is the President of Lenovo Go-to-Market Sales and was on the forefront of breaking out that solution and service provider initiative that they have. We got a great clip if they're ready for the audio in the back. I'll hit play and give you kind of a sample of Matt talking about the channel strategy. You're talking our world-class hardware and our services. We're also known industry-wide for channel-first, right? Like, we're committed to the channel, and part of that is also building those alliance partners like Absolute into our channel go-to-market strategy. Can you talk for a minute about how Lenovo and Absolute are growing that partnership, both between the two companies and also with the channel? First of all, we're humble people, and we realize we can't solve all the world's problems by ourselves. We are also smart enough and lucky enough and blessed enough to have the most advanced loyal channel network on the planet. We believe that. Whether it's us or whether it's if we look at Absolute and we look at the future of Absolute, the fact that we have the biggest sales force multiplier in the industry, that is our channel out there selling our products, selling our PCs, selling our services, selling our hopefully more data center kit, you know, in the future, is really something that sets us apart from others. We're loyal to it. We're not schizophrenic about it, and we truly are very deliberate in that we are going to benefit mutually using the best Salesforce multiplier to go to market. I think, again, Absolute's right in the center of that. I've seen what they've done with their channel strategy over the last three or four years, and I think they also recognize, and they're capitalizing on that too. Thank you, Matt. You know, we're really excited about the ability with Matt and his team as they're going after this market, and it really makes the 15-year investment we've made with them really start to pay off for us going forward. HP, if you follow HP, they've got a product as well. Their security portfolio is called HP Wolf Security. They are going after a very similar strategy, identifying both internal solutions and external partners to help them on their way, whether that is printer security, whether that's hardware security. Their three buckets are device, identity, data protection. We really play in that one, that one on the right, that data protection component. We go to market with HP through their HP services organization, their warranty products, their Care Pack, how they protect their customers through their professional services group. That's us over there on the right. We're in that protect component, and we go to market with their Care Pack opportunity. We're able to build relationship not only with their services and go-to-market teams, but also in a similar fashion to the other OEMs, we're able to connect directly with the core teams that drive quota and are paid on our products. I'll leave you there, and I will turn it over to the team for product Q&A. Thank you. Jeff, just give us a minute while we set up for Q&A. One thing, I've been getting a lot of emails on whether the presentations will be available. At 3:00 P.M., they'll drop on the Investor Relations section of the website, so you can just pull them down from there. Sorry. You're supposed to get out of the camera. We got new chairs. We've got legs. Bring your own chair. Okay. All right. Oh, thank you. Let's make a change. Not BYOD. Here we go, Nicko. Bring your own chair. Now we have to sit in the chairs. There you go. Teamwork. Yep. Yeah, we're still mic'd. Yeah. Teamwork. Got the- Teamwork and- We good? Yeah. Okay. Raise your hand, and I'll come around and give you the mic. Cece's in the back too. You don't get a chair. Sorry, man. Sorry. All right. Lots of product questions, so little time. We'll start it off. Scott Berg, Needham here. I guess this question is for Will. You were talking about the Insight solution earlier, and it popped a thought into my head is when I talk to customers in the industry or partners. I think the awareness of the Absolute solution in terms of what it does specifically and where it sits has been kind of a perpetual item to improve there. But can you use that Insight solution maybe from a pre-sales process to drop into a customer's network to show them maybe where they're failing today versus a product that's sold later? Yeah, it's very good. Thanks for the question. With Insights for Endpoints, it's certainly something that our sales organization does proof of values with our customers, and it's really key as one of those tools with the sales team to show the opportunity that their data has and what visibility and intelligence they can get. It is utilized today. I just add to that, we don't just use it in pre-sales for initial selling, but we also proactively use it for upselling, because we start to collect all the data as soon as they get any of our product, even if they haven't bought the higher values. Okay. Thank you. Adam Tindle from Raymond James. Joe, I thought your presentation was really interesting, and obviously a key part of the story here today is expanding the platform. One of the things that Absolute brought to former NetMotion was to make your agent resilient. I wonder if you could maybe talk a little bit about the process to that, the time involved, your thoughts on, you know, what if you could do that on your own? Then lastly, what this did to your business. Is this priced separately? Has it enhanced win rates? Just give us a sense of what Absolute brought with that resilience capability to the access product. Okay. Can you guys hear me? Yeah. Could we have done it on our own? No. We're not in the BIOS, and they start from the BIOS. It was a big value add for us. You can't remove it if it's in the hardware. It's part of the device. As far as how long it took, we were early in the process. It took us about three months. We were going through what it takes to do this, sometimes for the first time with Will's team, but only three months. It was very easy, and it takes a lot less time now that we've gone through that process. You had one other thing you asked. Just what- What has it done to the business? Yeah. We have, I'll let Ed talk about that part of it there. For- We have thousands of users that we can see downloading it and using it. Ed can talk about it. It's been fantastic because we've been approaching it in a very measured way by enabling this client, the Secure Access client with our Absolute Persistence. We're seeing how a lot of the end customers are downloading it, and they're going through different phases of testing, piloting, and rolling out. We're seeing it climb every day. We're up to about 250 companies that download it. Again, going through multiple phases of rolling it out, north of about 20,000 endpoints already lit up with the Secure Access with the Persistence enabled. We're very excited about it. I was actually just had one comment. In Will's presentation, one of the other things we're doing, if you caught the bit about turbocharging the ISV ecosystem. Mm-hmm. As part of this process, we're actually working towards enabling essentially ISV self-service. As we do more and more of these applications, whether internally or with these partners, we're figuring out how to automate and just make that process. Our goal over the course of the next year is to literally have a self-service model where somebody can put an installer into a cloud, we enable it, they get the output back out, they can hand it to customers. That's where we wanna be. That three-month timeframe shrinking all the time, and we wanna get to the point where it's essentially near instantaneous. That's our objective there. Hi, it's Mike Walkley with Canaccord Genuity. Just wanna follow up on the application persistence as a service. You've already grown the ecosystem to 60. You know, how quickly does it take to add new companies into that ecosystem? And why wouldn't companies be coming to you to want to be part of this ecosystem, given you can make their software work better, like, say, CrowdStrike or some of the bigger endpoint providers? Great question. It's interesting. A lot of the companies and customers are asking their companies to come to us. In fact, many of the ISVs been asked by their end customers to go to Absolute. We need our investment to be protected and persisted. We have 60 days today, and it takes anywhere from few days to few weeks to enable the persistence because we have to look at, model it, create the right module that we have to ensure that we can always snap back to that ideal healthy state, because every application is slightly different. It's all up to how fast I can get the APaaS business going, which we're really excited about. This is Doug Taylor, also with Canaccord Genuity. Just to follow up on that, can you provide any more insight into how you envision the business model for that partnership and for the ISV, I don't know, its co-branded product or going to market together, what that should look like as you know, go to more of a B2B versus B2E strategy? From an APaaS perspective, again, working through the ISVs, it's a micro-transaction-focused business model, and it's based on the sale and consumption of the ISV's application that's enabled persistence. It's still early days since the relaunch, so we're really excited about it. Again, as I mentioned in the presentation, we have this incredible base of 600 million endpoints with a lot of application that we need to enable. That's where we're gonna be focusing on in the upcoming months. Maybe I'll leverage David Kwan at TD. Maybe I'll leverage in on the APaaS questions. Can you talk about maybe I don't know if this is for Ed kinda where the business is right now in terms of size and how big you think that can grow? Secondly, how much work is involved from your end versus with the various ISVs that you're working with? Let me break it down to a couple of really good questions there. I think again, we're in very early days of the relaunch since I joined, and we launched in around December of last year. The opportunities are massive. We're really excited about that. The amount of work is based on each ISV. Luckily for me, Will's team takes care of a lot of the enabling of the Persistence for every ISV that we bring on board, not only through APaaS, which is the extension of our Persistence to an application, but also in our core product in Resilience, which is still the most popular, most powerful platform that not only enables the application for Persistence, but gives them incredible tools to do much more with it, right? You got the portal, the dashboard, and a lot more features baked in. We're really excited about the opportunity, the enablement of ISVs. We're getting better every day, and the Will's team is all over that. John touched on this self-healing turbocharging approach, which I'm excited about. He mentioned it before, but he kinda leaned into it today, so I'm really excited about that. Hi, Stephen Machielsen from BMO. I'm just wondering if you can speak to where you guys are with respect to leveraging the OEM partnerships as a channel for the NetMotion products or the ZTNA? Sure, sure. I'll take that one. ZTNA. Still early days for that integration. To be clear, the PC OEMs can sell the NetMotion product today. It's queued up. As you heard me touch on quickly, that it's just not about loading it up in a price book. It really is about training and enabling the sales teams, getting the incentives right, getting them very comfortable with the talk track because they're not selling security products every day. As we've learned the hard way, if the OEMs are not comfortable talking about product, they will not bring it up at all. We're going through a launch process over the next several months. We'll see one of those activate this quarter. We'll see another one activate next quarter. I think as we get into the next calendar year, you'll start to see us where we wanna be and have them trained and enabled. Anybody else? Kind of a follow-up for you, Mark. Scott Berg from Needham again. Your discussion on the white label products I thought was interesting 'cause it's a different sales motion than just loading up the SKU book, as you kinda talked about before, which is the historical sales process of working through those OEMs. I guess, how do we think about that opportunity over time? I assume there's more focus from, you know, Lenovo or an HP because it's their own branded solution, but how do we kinda, you know, measure and maybe get comfortable with the, you know, broader sales opportunity that those white label solutions have? Sure, absolutely. I mean, it's certainly a bit of an experiment right now because we know that we can leverage the brand of a Lenovo or an HP, and we've seen that resonate a lot more with the customers. As they continue to get deeper and deeper into a security strategy, it's a really smart move as we start to see these pay off and things like activations continue to be where they should be. But ultimately, from our standpoint, it's just leveraging the marketing vehicle to get that message out there and get it into the hands of more customers than we could do ourselves that really sets us up to go expand. I mean, 'cause that's really what it is. It's in some ways just a fantastic lead to get in there. Those ones I showed you are somewhat stripped down products that are all built for upside and expansion for our CRO's sales team that you're gonna hear about after lunch. Yeah. If I just add one comment, one thing we've done on the platform side of that is to make sure that, as we are supporting those different go-to-markets, it's all leveraging the same investment, same underlying feature set. As Mark said, we have some really powerful capabilities to sort of turn on different sets of capabilities, so we can actually tailor an offer and the price through the channel in a way that makes sense, not cannibalize our core business, and actually leave lots of room for upside and upsell. It's a great way to get awareness of the product on a particular use case with a customer, and then we have the opportunity as they become more aware of what we're doing, to come and find the broader portfolio. We're making sure that everything on the technology and delivery side is Totally leverage, and so that anything we're building there, we can leverage in the core product and vice versa. Super efficient way to reach just a lot more devices that we can attach to a lot more customers. Okay. I think that's it for Q&A. Thank you, everybody. Thank you. Lunch is in the room across from the hall, and we'll reconvene at 1:00 P.M. Thank you very much. In the interest of time, let's just get going. To start off the second half of the Analyst Day is our Chief Revenue Officer, Matthew Schoenfeld. Thank you. Hope everyone had a good lunch. Similar to John, who spoke at the beginning of the day, I've been at Absolute about 15 months. I'm the Executive Vice President and Chief Revenue Officer, managing the go-to-market function. Prior to Absolute, I spent six years at FireEye Mandiant running the Americas business there. Prior to that, VMware and other tech stack companies that everyone would know. Ultimately, been here about 15 months. I wanted to start with this slide. I know everyone has seen this slide before. Christy presented this slide. I know John made reference to it, this evolution of the cyber landscape and the shift to resilience. I wanted to speak to it through the lens of someone who spends a lot of their time in front of our prospects, in front of our customers, and more specifically, someone who speaks a lot with economic buyers of those customers. The point I wanted to make there is that the feedback that I get from them is that this shift to resilience is legitimate, it's real, it's where they're spending time, effort, dollars. They've spent the last nine or 10 years focused on detection and prevention, and while those tools are viable, they can't continue to spend money, go up and to the right on the security maturity curve, and continue to expect to keep going up to the right regardless of how much money they spend. There's a clear trend, at least from the conversations that I have, of those dollars shifting to the resilience side of the equation. As we look at this, the landscape has shifted primarily because they've figured out that detection and prevention doesn't work in and of itself, right? People have spent a ton of money, they're still getting breached. Obviously there's a point of no return where you spend money and you can't continue to get more secure. I think the ultimate goal as you spend money on resilience is to get back to this BAU state, right? How do we get back to BAU is the ultimate goal. As customers buy into resilience, I think that we believe that the correct way to focus on that strategy is to be able to access the endpoint at any time, control the endpoint, and really control who and who doesn't have access to the endpoint. Being that as this company comes together with NetMotion and the legacy Absolute teams, two decades of being subject matter experts in both these pieces, both the edge, endpoint, and connectivity, puts us in a position to be able to speak about this topic in a subject matter expert type way versus some of the legacy detection and prevention type vendors. The analogy I use when people come into the sales org, specifically ones that join us from the more legacy type security companies, the McAfees, you know, the FireEyes, is the analogy of we're at a point where if I try to break into your house, it's pretty hard to stop us at this point, right? You can get in if you really wanna get in. We try to get in through the front door, you know, you put an alarm system in. Back door, same thing. If you wanna get in, you get in. The point being that it's no longer about trying to prevent us from getting in, it's more about how long have we been in that matters, right? There's a big difference, and I kinda explain this to the newer reps here. If I'm in there for 10 minutes and, you know, your significant other's shaken up and okay, no harm, no foul, you're out. That's a big difference than if we're in there for six months, you don't know where the kids are, the safe's empty, and it takes another year to get back up and get your house back to where its current state was or its BAU was. Understanding that and focusing on getting back to BAU and putting dollars and time and effort into that is clearly where the market's headed. The point there is that as opposed to just putting dollars into a defensive strategy, we feel that the better strategy is to look at still doing detection and prevention, but also looking at the resilience side of the house. I bring this slide up. Christy mentioned this slide. A lot of success. We've seen a lot of early indicators of success from all the things that we see on this front. The first being we folded customer success, professional services, and renewals into one umbrella under go-to-market. The purpose here was as we shift to more of these security use cases, we wanted the go-to-market teams to start to look at customers and prospects through their life cycle, through their journey, and not just about a specific product in that stack that we sell. That was the first thing we did. We realigned our PSO organization under Jeff Laskowski, an industry known, came from Mandiant, ex-government, but also helped clean up a lot of the breaches, that everyone knows about. We started to wanna look at data from both portfolios, right? From the SE and SA side, and how can we create differentiated services that show gap and risk, but that ultimately show the market that we are the experts in resilience and zero trust. That was the second piece. We realigned our operations function. This was somewhat a segmented function, you know, going back a couple of years, but we wanted this to be more data-centric so that we can make more data-driven decisions about where we're going to invest. We acquired, obviously, and integrated NetMotion, you know, over the last year. We organically expanded our talent pool to the already great pool that existed. We started to delineate renewals from the new business teams, right? I think this plays an important role here, right? Cause, A, it allows the new teams to focus more of their time, and moving into this year, 100% of their time on new ARR, but it also allows that team to truly focus on NDR and truly focus on that customer life cycle that I mentioned earlier. We expanded the international business, and we saw immediate upticks here. Larger deals, new markets, and ARR started to increase there. In fact, more of our large transactions and high six-, seven-figure deals are coming out of that market right now. We're doing the same in North America, but if we look at the numbers, that is strong internationally across all the markets there. Then we expanded our routes to market. Mark talked a little bit about how we plan to take our OEM, our hardware OEM relationships to 2.0, but we also wanted to expand that to the traditional security VARs, right? And not necessarily 'cause we care where they procure from, but we wanted to make sure we're getting in front of these personas now that these VARs have access to. It's kind of a joint strategy. We wanna continue to expand with our hardware OEMs. We wanna leverage the relationships that have been in place there. We obviously wanna leverage us being embedded, you know, in the hardware, but we also wanna look at other partners that can help us get in front of the CISOs and DevSecOps and security ops to talk about things like resilience and other use cases that we're now able to fulfill. All of the above on this sheet was done in the last year. Now that we've lined up the dominoes, this slide, areas of focus and investment now talk about how do we knock them down. Here's where my organization is maniacally focused. These are the areas where we think the dollars get the biggest bang for the buck in terms of growth and return. I wanted to walk through a couple of these. A few of these will be handed by a few of the executives from the go-to-market org, which I'll talk about in a minute. The first here is scale SDR capabilities. This is about top of funnel, focus on market awareness, how do we really get our personnel to go to prospects and customers and create pain? It's one thing to go find pain, right? The problem is, a lot of times pain, customers and prospects don't know it exists. Part of our job is to explain dormant pain and what happens if we show them that, and what's the risk associated to that pain no longer being dormant. We're going through a training exercise. We brought Force Management in-house, and I'll talk a little bit about that. This SDR organization, now sitting within go-to-market, will focus on that aspect of the top of funnel. Not just how we get volume, but how we make sure that converts because they understand true value of the portfolio, and they truly understand pain that exists within their potential environment. We're doubling down on international. I just made a couple comments about larger deal size and new markets, new ARR, et cetera. We're gonna expand into our primary markets there, and we're gonna, in a very specific way, look at a few markets. Not just in terms of capacity. I think that's sometimes some of the mistakes. Just add heads, we'll automatically see growth. This is about building the ecosystem around international communication, VARs, distribution, and we plan to go pretty heavy there, starting this year, moving into the next few years. We expect to see some results there fairly quick. Lead with professional services. Jeff's gonna double down on this, in the next section, but ultimately there's two goals here. We wanna make sure the market understands that we are the subject matter experts in terms of resilience and self-healing. We think that having a professional service organization where we're taking the data from both our unique sides of the portfolio and leveraging that in some unique services offerings will help show the market that we are focused in terms of reducing risk. Two, we believe it to be the tip of the spear, right? If we can kinda show them that, does that give us a warmer opportunity to go in and explain what our products can do to help mitigate risk over time? Matt will spend some time on optimized renewals, but again, you know, the early indicators here were pretty positive. We moved a large portion of renewals under one umbrella last half. We saw a lot of good metrics and results that come out of that. Moving into this year, we're moving all renewals under that umbrella, aligned with our customer success team, to ensure that we're looking at that customer journey. This also allows our field teams to focus 100% of their time on new ARR, which hasn't been the case in a long time here. Kind of delineation of responsibilities, but also allowing us to focus on that customer journey and experience. The last we talked about expanding routes to market. You know, as I mentioned earlier, this isn't necessarily about how they procure our products. You know, we kinda remain as neutral as possible there. This is about getting us to the new personas where we feel we're extremely viable now with where the product has evolved to over the past 12-18 months. Within these broader set of investments, I think the arrow at the bottom really speaks to what we're focused on. All of these investments are focused on these four areas. How do we get new logos? How do we get in front of these new personas? How do we cross-sell into a large customer base? How do we sell additionally to the Fortune 500, right? Where the product is now viable, we're able to do things that we weren't able to before, and able to get in front of personas that we weren't able to get to before. We talked a little bit about where the investments were made the previous year, where we're focused in terms of dollars, types of investments going into the next year. I wanted to put up a slide here just to kinda show where are the early indicators of acceleration, and I wanted to focus on a few areas in this first column. Pipeline growth, or PG, is the primary area where this organization is focused. Again, this is across two realms, expansion into our current customers with the new product base that we have, but also net new through the SDR org, through the field teams being able to spend 100% of their time on this, while renewals are focused on by Matt and his organization and customer success team. We're also seeing those large deals increase as well. High six- and seven-figure dollars out of a broad set of the international market. Not just EMEA, but also APAC and LATAM. Some very large wins that are not just one-off buys or the exception. They are continually buying, they are continually expanding, and so that's why we've chosen to double down in those areas. This FedRAMP, I think, is interesting. We've seen FedRAMP before, but why I think it's unique here is there's a couple cycles that you go through when you start to sell to government, right? First is you have to get FedRAMP certified, but then you go through this procurement cycle that tends to take another full year before you start to see the lagging indicators of revenue and funnel. We are in a unique position here. Because of our relationships with the hardware OEMs, we will, once FedRAMP certified later this year, be able to see a much quicker trajectory to insertion into those deals. That is a very big deal. It gives us two trajectory curves, the normal one through the procurement cycle and our field teams that are focused on, you know, getting into those accounts directly, and a quicker trajectory curve through the Dell and Lenovo and the other partners in Mark's organization that already trust us, they understand and view us as the subject matter experts, and it's more about aligning, you know, resources to make sure we're in part of those deals. I see that as a quicker trajectory curve than the normal. The new use cases and verticals is really interesting. We're starting to see some trends with mobile workers in some specific areas of the market, specifically transportation and airlines, to the point where we're starting to spend some dollars and do some additional market research here. There's multiple use cases that we're seeing from these two verticals, above the wing, below the wing. You'll hear about some of these use cases later on our customer panel. It's to the point where we're looking to invest here. You'll see some stats later on how many of the you know the accounts in these sectors are doing business with us. They're certainly good to see that there's some leading indicators in verticals that may have not spoken to us before, but these are real business problems that they're seeing now that the combined product or certain aspects of the product are able to solve. This is not a connect the dots, but I think this is a relevant slide because this graph represents the Fortune 500. The green dots are where we have some aspect of our portfolio in. If you can see this band on the bottom, we are in 228 of the Fortune 500. I think the point that I wanted to get across here is just in this segment, right, just in this area of the business, there is massive opportunity for pipeline growth, right? Not just in our current customers that have some aspect of the portfolio where we can expand, cross-sell, but now to the other 272 that we can align to, whether it's through these new routes to market, whether it's these new parts of Dell and Lenovo and our other HP hardware OEMs that we do business with. To see this type of potential in terms of pipeline growth just in this segment is really good to see. I'll leave you with this. These are the three takeaways. You know, if we have a set of products that solve real pain points at this point, I just mentioned a few with airlines and transportation. We're mitigating risk, we're increasing resilience. We have the right team to execute. This team are the subject matter experts in resilience and self-healing, and we've literally spent the last year investing in operational readiness to make sure that this organization is ready to go after this market. I'll call up Jeff now, and we'll kinda speak more about how professional services will be the tip of the spear. Jeff. Handoff. Thank you, Matthew. Good afternoon. I know everybody just finished lunch, so hopefully we'll keep things going and exciting. I wanted to share a little bit of my background first as we start to talk about professional services, because I think it'll help you all understand the direction and some of the principles and the focus of the professional services team. I've spent years doing consulting and we've included some firms like Booz Allen, which is why I felt like I had to wear a tie today. Still ingrained. I spent over a dozen years with Lockheed, and that's really where I started chasing some of the nation-state-like threat attackers. I've really always been passionate about cybersecurity. I've over the three decades of experience, I've seen attacks grow from like simple, very simple script type things to probably the most sophisticated, disciplined attacks that really all of the world is facing now. When I apply that, those cybersecurity concepts, and most recently, I've spent the last six and a half years at a company called Mandiant, which is now, I guess, acquired by Google as of yesterday, I think. It just happened this week. Through that, I've seen everything from, you know, the attacker kill chain or from the headline breaches that I've been very fortunate to, not only respond to, but also help them recover. That insight has been invaluable. Instantly, it was funny this morning as I heard a lot of our product team. I've been with Absolute about seven months now. By the first 30 days, I had already talked with nearly all of the folks in the product team, certainly everybody in the sales organization about here's what ransomware really looks like. Here's what it's like to really respond in these incidents. I can tell you the teams were like a sponge. They really incorporated it. I'm actually very proud, you know, when I see the product evolution and the adoption of real-world practitioner expertise being baked and driven into all of the solutions that we provide. I've taken that perspective and really driven it into the professional services organization. I make no mistake that we're a, you know, cybersecurity solution provider, and there isn't the intent or the appetite to grow a ginormous, you know, a massive professional services group. However, there's two core objectives that really I hold for my team. First and foremost is product pull-through, upsell, and cross-sell. So we're hyper-aligned to that, and we know. Not only is that really important to us, and I'm gonna share with you in a slide or two, a sample service, just to give you a flavor for some of the things that we do to help bring those things to fruition. But also, as Matthew said, you know, some of these are continued conversations with the C-suite and those security personas. By improving our credibility, and again, with some of these services, there was a question earlier that someone mentioned, with the insights product and using that as a pre-sales type tool. Some of the services that I'm developing are certainly can be used from a pre-sale perspective, but I also wanted to make sure that they were aligned to the ability to upsell or the ability to kinda work through, our channel partners, which we have down here at the bottom. The team itself is focused to support both Secure Access and Secure Endpoint. Within our team, we have the, I guess, ability to support the entire platform, if you will. We also support, like, the traditional, either technical consulting or outsource management of the console, as well as integration type things. Earlier you heard a little bit of things like the ransomware response, some of the cyber initiatives, and that's the cyber advisory group that really leads the charge there. All of those pieces, though, are fundamentally enabled by a channel strategy that is really our key to growth. From that perspective, we have folks that are aligned to Mark's OEMs or the VARs or some of... Even, you know, we've talked to some of the ISVs, and talking to them around enablement of delivery products, training, and, you know, we've heard today. I loved when, you know, Christy talked about the best security company that no one's heard of. Part of our role in the professional services team is to help with that education. Not only is it on the customer side, but also those partners and working with those OEMs, so that they know where we fit and how we can help them do what they do. One of the services that we're coming out with, and we're actually beta testing this with some of the customers now, is around an endpoint risk assessment. It's an area that we're certainly experts in. It does not encompass an entire security program, but it's designed to fit within other, like, channel assessments or things of that nature. You know, arguably in all of the years of doing breach response and assessing organizations, one of the things that I quickly realized, especially when in the context of Absolute, is that, you know, much like in a medical context, you know, your skin is your largest organ, and a lot of people don't see that. I think from an Absolute perspective, you realize that those endpoints are truly that largest attack service. There's a lot of leaders that are focused on back-end infrastructure and server infrastructure, and there's a lot of focus there. But what I think a lot of people maybe still struggle with, and you saw some of the health statistics of our data that shows that those endpoints really continue to be a struggle to manage and also secure. When I designed the endpoint risk assessment, I wanted to leverage the capabilities that we already had today. This couldn't be something that I went to, you know, Will and the product team and said, "I've got this great idea and you've got to go build it." Well, it was much more aligned to, you know, I need something that's recognizable. I went out and I looked at the National Institute of Standards and Technology, NIST. Everybody loves that. Every boardroom I think I've reported to has, you know, the Cybersecurity Framework and uses that. Well, I aligned this to the Risk Management Framework. If you're familiar with that, it has seven steps to it. What I liked about it was as I looked through our product, you know, when you're talking about risk, it starts with the data itself. It turns out that years ago we had purchased and integrated a, you know, it's similar to a data loss prevention tool where it can do data discovery. What better way to start a risk discussion by looking across all the endpoints in the fleet and say, "Well, what data is really there?" I can already see some of these conversations because I've already had them, where the CIO says, "Well, all my data lives in the cloud, Jeff. Nothing's on these endpoints." You know, almost nothing could be further from the truth than when you can actually show them, and this is from an evidence perspective, like, "Hey, it really is here. There is risk." Someone used the example earlier about someone leaving a laptop in the car. Well, Absolute can tell you what was important or what is sensitive that was on that device. That's very important. obviously, the tie to this though is then looking at those, if you have, you know, sensitive data, being able to look at that device, see what those applications are, see the health, and then see the, you know, the efficacy of those controls on that. As you know, you think about this, you know, staying focused on the attack surface, the kind of largest attack surface, being aligned with a recognizable framework, I think was very important. Then also, like, using those existing capabilities was again, probably the third key point there. The last piece of risk management though here is monitor, and that's really where the upsell portion of this comes in. Because there could be customers that maybe they're an existing control or visibility customer. Well, they don't have the same self-healing features that you have in the Resilience product. That's where really as we start to open those discussions and we show them, "Here's the data, here's the health of those controls," that is now the conversation to have with that C-suite or those different personas as Matthew talked about, right? Different than what we've been able to do in the past. I'll finish with this slide and talking a little bit about the results of what this, you know, I feel uniquely. I haven't seen this offered before. Basically, we're tying together that specific sensitive data aligned to the health of those controls. That's the first time that we're... You know, we've talked about the health of the controls, and that's one discussion, but I think it's almost a next level. Like, you know, what I wanna create out of this assessment is a sense of urgency. Like, why now? Why do I have to do something? That's because now you see, like, this is real risk from the data that is out there, and you've seen these degraded controls. There's a few ways to fix it. It opens up that conversation to say, if it's a new logo, this is something that we can implement. If it's an upsell capability from those visibility or control customers, or even if you're an existing resilience customer, I can now have that conversation on a services-only perspective to say, "Hey, how do we fix this? How do we make this better?" Now, some of the graphics that you see up here on the upper right-hand side, the spider graph, it shows an overlay of the data that, you know, the volume of the data you have based on an overlay with the health of the controls. What's interesting about that is that in the areas that aren't overlaid, the green color here off to the right-hand side would show you that you have a high amount of data, but the controls are highly degraded. So what does that mean, right? It would be unmitigated risk or an area that you could have, you know, significant, really significant impact of a cyberattack. Now on the left side of that, where it shows, hey, I've got this or I don't have this data, but I have a high. You know, my controls are very healthy, that could be an area that's overspent or that you have, you know, basically invested in or maybe it's overlap, you know, and I commonly see that. On the bottom of the charts here, and this is another thing that I wanted to showcase to, you know, to our customers that are using this service, would also be an industry comparison to kind of let them know, here's where you rank to others. Again, that talks about the data lake, and you heard John and some of the product team folks talk about that earlier. That's again, it's a very powerful data that we have amassed, and then we can make that relevant to this customer and say, "Here's how your technologies, the investments that you've made are basically protecting the valuable data, the sensitive data that you have across your fleet." Again, as I talked earlier about enabling the channel partners, enabling our VARs, that is, you know, 100% our growth strategy behind this. I expect this service to not only be delivered by Absolute consultants, but also those resellers. Many of them have security assessments. In fact, companies that I formerly worked with, we had all sorts of assessment kind of capabilities. What they didn't do was have this deep dive into the endpoints and into the areas that we, I feel like, are very uniquely positioned to provide visibility and health and that resilience discussion with folks where they wouldn't have that. I think it could be a very collaborative approach with some of these partners and as we help enable them. With that, hopefully that helps paint a little bit of a picture of some of the services. There are more that are coming, and I'll leave those for the next Analyst Day. There's certainly a lot of potential here, and I'm super excited to be a part of this and looking forward. With that, I'll turn it over to Matt Meanchoff. He's gonna talk about customer experience. Okay. Good afternoon. My name is Matt Meanchoff. I am responsible really for the onboarding, the retention, and ultimately the growth of our customers. I've been with Absolute for 13 years, so a bit of a departure from some of the folks you've heard here today, and I know a few of you were asking me about different chapters in Absolute's history. We are in a super exciting chapter here today between our product and our go-to-market teams and everything coming together. This is a great time. A little bit about who our customers are, and I know we have some customers in the room, so you're gonna meet some live ones very shortly. Our customers represent really a number of almost all major vertical and horizontal markets. We have customers that span, you know, government, education, healthcare, oil and gas. You name it, we've got a very broad set of customers here. What really binds these customers together, there are a few common hallmarks or characteristics, if you will. They are customers, whether they're big or small, they're customers that have highly distributed mobile user bases, right? Where they're often on network or off network, perhaps off network more often than on network today. Secondly, they are organizations that absolutely rely on critical security controls in order to keep their data, devices, and brands intact. The third characteristic is that these organizations all have IT teams that are challenged trying to balance an end user experience with defending the organization from external threats and internal threats. That notion of end user experience features prominently into all of our customers. Where we meet our customers, as Mark and others have described today, is often through a channel-led introduction, right? We have an extensive channel network. These help us elevate our brand and get into new customer logos, and we often arrive in these customers around a department or an office, typically around one or two fairly simplified use cases. They might need to have better visibility of some assets. They might need to understand the state of some off-network assets. They might be looking at a VPN solution. These are common ways that we get introduced to our customers. Once we're introduced, typically my teams get engaged, and they help to work this customer through an onboarding and various phases of the customer journey. As we work through that, the first order of business is to get our agents installed and activated in their environment. Once we get those agents installed and activated, we begin to collect very important telemetry. Very unique telemetry from their endpoints and from their network that gives us the ability to become ultimately a source of truth for that organization. Once we've become a source of truth, we then are a very legitimate candidate for expansion and upsell conversations. If we've come in with a partner, we continue to work with that partner, but often Absolute will then lead that sales journey through the expansion and upsell and cross-sell components of the sales phases. We have 18,000 customers. You've heard that a lot today. We're very proud of our 18,000 customers. Frankly, our 18,000 customers really like us too, and we're very proud of that. We use a net promoter style survey, net promoter survey. It's an industry standard way of measuring customer satisfaction with an organization. We began our NPS journey many years ago, and we certainly didn't have a 65 NPS. Just if you're interested in benchmarking this, the B2B SaaS industry standard is about a 38, 39. Okay. We're currently at a 65. That is literally truly a world-class result, and we're very proud of that. That's evidenced too by how our customers are sticking with us. We've just come off of yet another quarter of posting internally a renewal record in terms of our ARR retention. We're also continuing to see consecutive growth around our Net Dollar Retention, where we're not only keeping our customers, but we're also steadily growing our customers. We have upside there, and we've got an opportunity to continue to develop that. Particularly with the NetMotion acquisition, we now have a strong opportunity to cross-sell Secure Endpoint to Secure Access customers and Secure Access to Secure Endpoint customers. That is a significant part of our go-to-market strategy for this coming year. My teams are the customer experience teams. We are responsible for everything that happens to a customer after they convert from being a prospect into a paying customer. We work them through a structured customer journey as they move through an onboarding phase, through the first 15 days, where we ensure that they've achieved first value, are they getting business value from our products within 30 days of buying the product. We transition them over to our customer success team, who nurtures them through an acceleration journey. We're ultimately focused on trying to land these customers as strong advocates of our technology. That means they're willing to talk to other customers or even folks like yourselves, as we have some customers in the room here today, or they're willing to try new stuff and act as a beta customer and give us feedback. We're helping to serve each other's needs. It also is a great opportunity for us to be able to expand, upsell, cross-sell. We've earned the right and legitimately to share our other offerings with those customers. My teams are focused really on these three things ultimately, right? We wanna realize value for our customers, make sure they're getting value quickly for all the features and capabilities that they've licensed, and we wanna make sure that our products are deeply ingrained in the workflows of that organization. That is, we are literally part of how they do their job, and we have frequent recurring usage of our products. Secondly, as we talked about earlier, customer satisfaction. Not only do we wanna create a great experience for our customers, we wanna listen to our customers. We work really hard through our customer success teams to be listening posts for our customers, and we feed a lot of that back into our organization, whether it's on the go-to-market side or on the product side, to try to eliminate friction points within our product and within our experience to try to make that smooth and easy for them. Ultimately, what we're focused on, if we've done those first two things right, is being able to renew our customers on time and earn the right to have upsell and expansion conversations so that we can continue to grow our Net Dollar Retention rate. A few little case studies here as we before we transition actually into some live customers. I'll step aside here. Just really quickly, we're gonna just flash through these. We had one customer, a North American media giant. A perfect example of landing through an OEM. We landed with about 30,000 licenses into this account. We originally landed around an asset management kind of use case. They wanted to be able to see their stuff on and off network. Rapid shift to work from home, work from anywhere, like we all saw. Suddenly their IT teams were terrified of risks of the off-network devices that they weren't able to reach out to. They weren't able to remediate some of their response tools. They used our scripting capabilities and our application persistence capabilities to remove old stuff, update the new stuff, and now they're used to actually enforce current security controls across nine different applications in their environment. At the same time, they expanded from those 30,000 devices to 112,000 licenses. Great expansion story there. On the Secure Access side, mid-market investment bank, this kinda reminds me of some of you folks, actually. They had a lot of folks like you who are out in the field doing work on client companies, a lot of sensitive data on their laptops, whether it ought to be or ought not to be. They were very concerned about data privacy. They were also very concerned about wanting to make sure that their analysts were always connected to their environment, that is, they were covered by their security controls, and that there was literally no disruption to the end users because that meant money. They implemented the Absolute Secure Access solution and came back and reported to us that they were seeing zero network-related outage or impediment tickets from their analysts. It was quite incredible. They were also able to boast that as an IT team who had to deploy security controls, that their brand reputation inside the organization was heightened considerably. Lastly, another Secure Access customer today, actually. They were a Zscaler customer. Again, a financial organization experienced the rapid shift to work from home. Because they were using Zscaler across other parts of their infrastructure, they tried to use Zscaler to support a VPN solution for their users. They had some issues, so they decided to put the Secure Access solution head-to-head against the Zscaler solution, and the Secure Access solution came out ahead in terms of user experience, the insights, the cost, and also provided a much more flexible hosting model that they needed by virtue of where they were located. So what they also remarked upon was that by going with the Absolute Secure Access solution, it accelerated their path on the ZTNA journey by implementing a VPN tool that had all of its policy engine driven at the endpoint to really start that ZTNA journey. Okay. With that, I think I'm gonna pass it back to Matthew Schoenfeld, there he is, for our customer panel. Thank you. I think we're just gonna bring some stools up here, but I figured I'd introduce our panelists while we do that. So first up, Al Agnes, who leads the mobility team at UPS. Al. Thank you. Anil Nomula, who's the Global Enterprise Architect at Genpact. And last but not least, Chris Withrow, Managing Security Operations Engineer at Mr. Cooper. Oh. What do we do with the Oh, four. All right. Sorry. That was broken. That was broken already, just for the record. Here, Al, sit here. I'll stand, yeah. There you go, yeah. Make sure this is. I might stand for this. All right, so welcome, everyone. I appreciate you guys taking time out of your schedules to join us today. I figured we'd start out just with a general question from everyone on the panel. Maybe you could just introduce yourselves, companies you work for, and your respective roles and responsibility. Okay. I'll go first since I kinda broke the ice for the day. Al Agnes. I'm the telecom lead for mobility for UPS. Been with the company for 23 years. I kinda moved up in the ranking. Pretty much enjoyed working with NetMotion, now Absolute. It's been a fun ride going through our different difficulties, UPS transformation, and really just tooling ourself with your product and stuff. 23 years is like a newbie at UPS. Yeah, I'm still a baby. Anil? Hi, my name is Anil Nomula. I'm a Global Enterprise Architect at Genpact. For those who don't know Genpact is a professional services and a managed services company. We have about 700 customers around the world. We operate out of 25 different countries with about 110,000+ endpoints around the world. We have been an Absolute customer for a little over four years. We started on the journey like four years ago and never looked back. We really love the product. Excellent. Welcome. I'm Chris Withrow. I'm the Manager of Security Operations Engineering at Mr. Cooper. If I ask a handful of y'all in the room to raise your hand and say, "Do you have a mortgage with Mr. Cooper?" I'm guessing I'll get several before it's all said and done. I've been with them now for a little about two and a half years. I originally came on board as the lead DLP engineer and then was promoted about six months later to my current role. Before that, I've been a customer of, or a user of Absolute Software for about six or seven years and had used it at a previous organization, both in a security role and in an IT operations role from an endpoint perspective. Excellent. Thank you. Welcome, everyone. Anil, let's start with you 'cause something stuck out that you said. You have over 110,000 employees, I think you mentioned, right? Yeah. How did your life change when COVID hit and you suddenly had to support your fellow workers from home in a very large quantity? Oh, yeah. I think COVID in general was, like, a very bad thing to happen to humanity in general. For technology projects, it accelerated a lot of stuff for us. We were given the task of basically mobilizing and, like, moving people into a work-from-home setting. We had to sort of send about 95,000 employees home, globally, and we were given, like, under four weeks timeframe. It was one of the most challenging projects that we worked on in the recent past, and we had to do this in about 25 different countries we operate out of, and that was very challenging. We relied on a lot of legacy endpoint management solutions before the pandemic hit. As we started moving people home, we realized things, those legacy endpoint management solutions were not working, and we had to come up, like, with a new strategy. That's where we kinda picked Absolute and Tanium as a combination to kind of enable that work-from-home staff. One of the things that it immediately did for us was, like, irrespective of where people are around the world, they always kinda lit up on our consoles, and we were able to sorta manage those endpoints for our employees. It was like a difficult project, but overall, I think with Absolute and our endpoint management journey and the persistent solutions that we built with Absolute and everything else kinda made it very easy for us. Excellent. What's the going forward work-from-home strategy? Is it to continue to allow everyone to just be remote, or is that changing or? Some people wanna come back to the offices. I have, like, three children. I wanna go and go to the office every now and then. If- A lot of people have decided to kinda stay home, especially with like the people who we used to commute, like, an hour or two hours to work and everything, and nobody wants to do that anymore. A lot of people live, like, I would say about 70% of our employees are deciding to kinda stay home. Understood. How is Absolute helping you manage that expanded workload? I talked about Genpact having about 700 customers, right? We work our endpoints basically are configured to work in, like, a customer environment. When an employee starts their workday, they usually log into a customer VPN, and they work in the customer environment for the duration of the day. There are times when the employees basically don't leave their machine on for us to service that machine. Right. That's where Absolute, especially the offline Device Freeze feature that we've enabled for employees sort of comes in, right? If the employees don't leave their machine on for a long enough time, we just basically freeze their machine and force them to basically keep it on for us to service them, like, over the internet. That kinda makes it very easy for us. Before that was in place, everything was manual. We used to basically send out email blasts and, like, phone messages and everything else. None of them worked as good as, like, the Absolute offline Device Freeze capability. Very interesting. Chris, question for you. Mm-hmm. I mentioned in my presentation that we're evolving to the personas we talked to, right? We historically dealt with or interfaced with IT Ops, and now we're starting to have more security-focused discussions. You're in an interesting position because you've leveraged the product from both those personas. It'd be good to understand if you could talk about your journey with Absolute through both those personas. Yeah. Yeah. Of course, I can talk about that. I started using Absolute, like I said, about six or seven years ago, from a service desk system administration standpoint. With that company, which was not Mr. Cooper, the pain point was asset management and recovery, right, initially. Over time, I transitioned into the security role, and then I realized, kind of in that same trajectory, Absolute had evolved itself. We utilized it to deliver both an endpoint AV and DLP change of tools using that PowerShell capability that you have, and delivered that to remote employees across the country in the field, most of which at the time didn't even have a VPN to dial into and receive an update. After that, when I came on board with Mr. Cooper, it was interesting. Again, I came in as the lead DLP engineer, and I started looking for, okay, what can I do to live off the land? What tools do I already have? They issue my laptop, I start looking at the services, and then there was a, "Aha. There it is. That's what I needed right there." Because I was familiar with Absolute, I knew endpoint data discovery was a capability, and we deployed it there. Then when I became a manager of security operations engineering and my scope went from just DLP to everything endpoint, from a security perspective, it was like, "Okay, now we need app persistence, now we need this, now we need this," and when we started deploying all of those. That was kind of our trajectory there. Just a subset question to that. At Mr. Cooper, did the security team speak to IT Ops about the various use cases? Did you help drive that? Oh, it's a constant conversation. We've evolved with it. At this point, we have four apps that we're using Persistence for in different categories. We're using it pretty effectively at this point to ensure that we actually have the security tools in place that we're supposed to have on the endpoints. You know, in a work-from-home environment at Mr. Cooper, we call it home-centric, but what it effectively amounts to is a distributed workforce. That challenge is making sure that anything that's out there is out there and it's up to date. Whether it's our EDR, whether it's our encryption status, whether it's our web proxy, whatever the case may be, we just need it to all be functioning. Understood. Al, can you tell us about how you use Secure Access, NetMotion and why having a resilient connection at UPS is so important? From a UPS standpoint, resilient is number one, right? We need to maintain uptime and operational standpoint. That's number one requirement from our side. The way we use NetMotion is primarily for analytics for Absolute. What we utilize the analytics for is really to be able to manage all the mobile carriers, to be able to see all the data analytics, understand where the outages maybe occur, become more of non-reactive, more proactive based, right? Primarily, we cover all global operation. Just wanna make sure that we have insights to every single cellular carrier information, including the signal strength, connectivity state, device status, so that we could operate and be able to kind of provide contingency mode in case of outages and so forth. That's interesting. I would assume the ideal desired state at UPS would be some sort of metric that ties to if a resilient connection wasn't there, what's the dollars lost or the ability for UPS to not be able to do their job? Is that- Yeah. It is something in the future that we're looking to try to stitch. The end goal for us is to really see how we could actually be able to eliminate a lot of the finger-pointing here, right? A lot of finger-pointing between the apps and the actual network-related issues. Primarily for us, I think there's a new strategy to really look at even closer. The major thing for me is be able to see the logs that you guys produce together with the logs with the app, and then create a much more intelligent automatic detection of an actual problem. Right. That actually leads to my next question. In the interim, is there a way to quantify the benefits of having that resilient connection? Yeah. That's the primary thing is really from trying to quantify. It's very difficult because each incident varies. Right. What we found out is that UPS obviously engaging carriers, engaging our technical team, we have to deploy out. The environmental impact to having somebody drive, you know, a few thousand miles to go- Right. Check for signal quality and so forth is tremendous. What we decided to do is having this tool sets being in play eliminates a lot of that, determining what's the signal then? What's the actual coverage? Now you could just rewind the clock and be able to kinda see what's the actual true measure from the device standpoint. Yeah. Just from that, you could actually, as you mentioned earlier, you know, from a plane perspective, under the belly of the plane, near the engine, within the tarmac gateway, we're able to map out where they should be actually operating. Yeah, very interesting. I mentioned this earlier, where we're starting to see some trends above and below the wing across those two verticals. That's interesting. Anil, are there any metrics you could share that illustrate the benefits or ROI from using Absolute? Yeah. From a ROI standpoint, I think one of the fundamental thing that Absolute does well is just kind of keep the endpoints on the console. We use Absolute Persistence and Device Freeze as a combination for us, and that kinda works very well. The key endpoint security tools, we have a near 100% penetration even with this remote distributed staff impact. Because we are persisting some of the endpoint management tools from the security tools that are actually essential to, like, patch machines and everything else, because we have such a high rate of penetration, our patching and other numbers also kind of improved over time. We meet most of the patching metrics. Like I said, we have near 100% penetration with our security tools on the endpoints. I know you're using us to persist Tanium. Any plans to use us to persist other parts of the business? We are in conversations to expand into the whole resilience module. At some point, we wanna basically persist AV, antivirals, AV encryption, and other, you know, policies and tools also. We are in that journey of expanding it. Excellent. Chris, I'm almost hesitant to ask this question, but you've been using Absolute a long time. Are there any features or functions that you'd like to be added? I've mentioned this to you guys, and probably beat you all to death ad nauseam about it. You know, we want to be able to integrate with your APIs much more efficiently. The other big one is keep going in the direction that you're going. Kind of an MDM Lite kinda scenario. You know, the ability, for example, to deliver a GPO up through Absolute or something like that. Then the increased tool stack that you can use through apps through Absolute Persistence. That one's a positive trend line. Keep going there. There's always other tools that are out there, whether they're in the security space or in the operational space. They both work pretty well. The value here for us is that I can basically train an intern to operate this software, to deliver this. I mean, it's not hard. I can have somebody up and running just like that. Excellent. Al, last question for you. What are the top IT priorities at UPS, and how do you see your relationship evolving with Absolute? Well, I'll tell you, cloud is number one for us, right? Trying to distribute the access for Absolute across the region, zones, trying to have all these mobile devices technically communicate out in the cloud. That's our number one requirement. The second thing for us is that as we evolve our relationship further, I think the main thing is to understand our relationship just not with us, but also the relationship with the other OEM, also the providers as well. Excellent. Well, so that, yep. Let me try that. You guys hear me? To ask some questions, but please limit the questions to their user experience. You know, don't go beyond those boundaries or else. Okay? We'll just, we have time for a couple questions. Anybody? Anil, I would just be curious if you could maybe help delineate, you know, there's probably some overlap between what Tanium is doing and what Absolute is doing. Just kinda the ability for those two tools to coexist, and what lanes each sits in. Yeah, there's definitely a little bit of an overlap, not much. I've been a Tanium customer for the same amount of time that I was an Absolute customer. It's two different tools. They have some complementary things, like they do hardware asset inventory and software asset inventory, for example. They're like two different products for us. Like for policy management, patching to everything else, we kinda do software distribution and all of that, we do it with Tanium. Absolute, we have like three primary use cases, hardware and software inventory, offline Device Freeze and app persistence. The first product that actually installs Tanium on an endpoint is Absolute. You don't see a scenario where Tanium would take over some of the functionality that Absolute's providing. You see them kind of standing in their own lanes? I can't speak to Tanium's roadmap, but I mean, from where I've seen and how I've used the product, I don't see them like getting into that scenario. Okay, thank you. Thank you. Careful. Good, I can see it. Okay. Ready to go? Okay. Sounds like we're up. Okay. Sorry. He's noticing that interim is not on your slide. Oh. You trying to tell us something? No, no, no, no. I'll introduce myself. A lot of you already know me, but for those who don't, I'm Ron Fior. I am the interim CFO here. Just a little bit of background. I've been a CFO for over 30 years, and 17 of those were actually as a public company CFO. I've worked with Christy on and off a couple of times. Most recently, actually, before this, at Good Technology, I was her CFO there. But no, I'm still the interim CFO, and that's the way it is. Let me talk a little bit about, you know, why Absolute Software. These are kind of four really important bullets from a financial point of view. You know, at the end of the day, it's gonna be all about ARR, and it's driving that growth and driving that long-term shareholder value. At the end of the day, what do you need to do that? Well, number one is because it's ARR, it's recurring, and we have 97% of our revenue recurring now, which is really good. We just completed our second full year of Absolute hitting the Rule of 40 performance, which again, a major milestone. You're gonna see a really cool chart later on this. 2022 was actually a really transformative year. We had lots of investment. You heard about that already during the early parts of this meeting. We had accelerating ARR growth. We continued to grow our business in a great manner. Finally, at the end of the day, cash is reality, right? Strong cash conversion gives us lots of opportunities to manage our debt, to deal with our capital structure, all those kinda things. That's the thing, some things just to remember as we go through the slides. Where are we today? We ended the year with $209.5 million of ARR, 16% year-on-year growth rate, some really impressive highlights. Obviously, the 97% recurring, which I mentioned already. In the middle box here, ARR by end market. Enterprise and government grew 17%, which was a really significant number in the quarter. What was also interesting, though, is in spite of having a really hard compare, education grew 12%, which is, you know, really an important part of that business. There are some charts you're gonna see later that are gonna talk more about those two pieces. ARR by geography. What's notable there is international grew 45%. It's a smaller piece. It's 22% of our business. However, it has great opportunity, and we keep running into seeing more and more opportunity in those areas. Latin America has been really, really strong for us. Asia, you know, Japan has been strong for us. So there's a lot of areas that we can really continue to grow in. Matt Meanchoff mentioned earlier today, he showed the slide. One of the things that's important about this, not only just this, is to understand that this diversity actually gives us some, I wanna call it protection, or it gives us some balance to the markets. If you think about right now, we're dealing with inflation, we're dealing with people talking about, you know, PC shipments, we're dealing with people talking about, you know, jobs, all those kind of things that are uncertain. What we found during the COVID time was that some pieces go up and some pieces go down. We have got just if you take a look at this information, and I don't think we've actually published this before. I think this is the first time, this split of this detail. But look, we're in education, government, healthcare, public safety, professional services, financial services. Another one that's really interesting, and you heard it, I think, earlier from Matthew, is transportation and logistics. You know, some of the airlines. It's really an important part for some of those people. There's all these different verticals that we have an opportunity to play in. The second piece is our customer count by size. Small customers, which is under 1,000 employees, accounts for 80%, over 80%. Medium, 15%, and that's 1,000 to basically 10,000. Anything over 10,000 is in the large. Again, we've got good diversification in these, in these areas. It really kinda gives it a little bit of protection. That's why one of the reasons we feel confident going forward, even in these uncertain times. Compelling profitability and cash conversion. I keep coming up with cash conversion. I keep talking about cash, but cash is really important. Adjusted EBITDA is what's driving that cash. At the end of the day, you can see that, you know, we've gone from 2018, 10%, all the way up to 27% at the end of 2022. Again, a really strong performance, and it's a function of the revenue growth and maintaining our cost structure and matching those two and keeping a nice balance to those two. On the cash flow from operations, you can see our strong cash flow. In 2022, I will point out that what we've done here is we've just added in our actual reported number was $39.8 million. If you can remember, the Q1 of last year, we had talked about that we ended up having a payout about $10 million in fees related to the acquisition, which were taken out of operations. That would have likely have been more like a $49.8 million if you hadn't had that in there. We also talked in last quarter about the fact that we had a delay in receiving a payment. That did not get added back here. I've kinda taken a conservative point of view on that. Nevertheless, again, very strong cash flow. To me, this is an amazing story when you think about it. Christy started, I think it was 2018. Take a look at that. Single-digit revenue growth, single-digit EBITDA. You know, EBITDA. You're going, "Huh, okay." Now take a look at it. 2021, when we didn't have NetMotion, almost 42% on the Rule of 40. We buy a company almost, about 1/3 of our size. So a much larger company, still made it, still did it again, and made that 40, almost 42% again, Rule of 40. I think that's a big accomplishment, the fact that we were able to do that in the middle of transitioning, adding a new company, integration, all those kinda things, and managing to grow the business in such a way. I think that's a real accomplishment by the team at Absolute Software and the team that came on to us from NetMotion, Joe and his team. I mentioned earlier that it's important to actually look at these individual pieces. From an Absolute dollar point of view, you can see the growth. I will tell you, this is as reported. You'll say, "Oh, that 82-163 doesn't make sense, 17.3%." That's the actual growth rates are on a like-for-like basis, so that as if we had combined the two in the prior year. You can see that 17.3%. What's interesting, you see when we talk back to the point that I made about the flexibility or the differences that occur in different times in COVID. 2021 is a COVID year. Enterprise and government, it had an impact, had a negative impact on the growth rate. On the other hand, what happened in education? Huge increase in education. Here we have still a 12.3%. A really tough compare because obviously the COVID thing has kinda settled out a bit. I mean, it's still there. It's still an issue, but it's settled out a bit. We've had that balance. Things go up, things go down. It's part of this whole diversification that I think gives us a little bit of an edge. Matt Meanchoff also mentioned about, you know, or one of the Matts actually mentioned about, you know, Net Dollar Retention, continued solid improvement. This is something that, you know, I think if you look at a lot of the things that have gone on in Absolute, we've told you what we're gonna do and what's been intriguing to a lot of you guys, and we've heard it from more than a few people that you actually did what you said you were gonna do. This is kind of good, I think. That's a good practice, I think. This is another one of the examples. We're slow and steady. We're showing improvement. As we continue to grow and grow at a faster rate, hopefully we can improve that even at a faster rate. When we look at just ending, how did that end in 2022? Just to kinda recap this, $210.4 million of revenue, up 15.4%. EBITDA margin, 26.5%. Cash flow from ops, $39.8 million. As we look forward now, we think about the 2023 guidance, and you heard it all, and there's no change on this number from what we told you previously. You look at this, and we're showing, you know, if you take the midpoint of our adjusted revenue growth rate, it's around 16%, so it's moving it up the chain. You can see at the high end, it's 17%. Now, Christi said our target is always gonna still be 2020. We wanna get there. This is the guidance. This is the starting point, and we gotta take our steps one at a time. I wanted to kind of just summarize. Why do we feel excited about an opportunity and see this big opportunity ahead of us here? Well, you heard it in all the presentations that went on before this. We started off, you know, we had Will and John and Joe talking about their investments in new products. There's some really cool things going on there. Those are gonna drive our potential revenue growth here. You know, we had Matt Meanchoff talking about Net Dollar Retention. He talked about the improving renewal rates, reducing churn, you know, increasing the endpoint expansion. Those are the kind of things that we needed to really focus on. Sorry, Matthew Schoenfeld came on. There's too many Matts here. I mean, it's like I got two Matts in my group. It's like there's Matts everywhere, so. Matthew, I'll call him Matthew, it's easier to remember that way. Matthew and his team and the go-to-market team in total, they're talking about new logo growth, they're talking about increased five, you know, Fortune 500 penetration, they're talking about international expansion, they're talking about business- to- business. They actually increased their go-to-market capacity, which is a really important part. In our last conference call, we talked about the capacity or the pipeline was strong. The coverage ratios were very strong comparatively. Then finally, you had Jeff talking about cyber resilience and that whole advisory process. These are all things, and these are just a few of them. There were so many things that came up today. I just picked a few of them. These are the things that are gonna help us drive us forward in longer term. Where does that leave us? Our long-term operating model or what a concept. What I wanted to do here was just, you know, try to show, you know, if you look at all these things, this is where we see ourselves going to. It's a target model. You've heard the target from an ARR point of view that Christy has mentioned, but from a revenue growth point of view, we're talking 18%-22% growth. Those are improvements. Gross margin, 86%-88%. Sales and marketing, 34%-36%. R&D, 18%-20%. G&A, 9%-11%. Gets it to an adjusted EBITDA margin of 20%-25%. I think if you go and look, you compare these to other SaaS companies, other security companies, I think these are all in the right ballpark. You know, let's be clear, we're actually not that far off with some of these. We're not that far off on some of these. My last slide, one that probably people all wait for, about the debt. On the debt, look, we have our debt and it's in place. You know, we're trying to take a disciplined point of view on this. We're looking at this debt, and we take a disciplined point of view on it. We're gonna look at it. We continue to look at it from opportunities to invest in the business, you know, maybe selective acquisitions, return of capital, you know. As we go forward, what we are going to do is think about, you know, the application of some of the excess cash to the debt. That's what we're thinking about doing. We will continue to. You know, this is a discussion at every single one of our board meetings. It's a discussion internally, you know, that we talk about this stuff. It's important to us. I think what you can see is we're looking at, you know, just naturally, this company is gonna deleverage pretty fast. So if you think about, and it's a combination of cash expansion and EBITDA expansion. As we continue to add cash to our balance sheet, and we continue to do nice EBITDA numbers, we're gonna reduce that leverage number significantly. If you look on the left side, you've got the net debt and adjusted EBITDA for the last two years. Then the 2023 is using the midpoint of our guidance. You can see when we took out the debt, we were at 4.6x. And that's a, you know, that's a pretty big leverage ratio. Dropped it already to 3.7x in 2022. As I said, using the midpoint, you would get to a 3.5x, and hopefully we, you know, we have an opportunity to get better than that or, you know, and make that even a lower number. Our two-three year goal on that is to get this below 2x, and I think that would be a good target for us. On that note, I think that's all I had, and I'll pass it back to Christy. Thank you. All right. I think we might need to. Joo-Hun's gonna go grab another mic. Oh, I'm just standing here. We're doing Q&A. I'm just standing here, okay. I think the previous slide was just to remind, you know, lest you forget the four things I wanted everyone to remember for today. I'll just sort of leave them on the screen so that they linger peripherally. All right. Let's bring our afternoon speakers up. Yes. Do we have enough? Yes. I'd rather sit last with the last. Yeah. I'll stand. Thanks. Okay. I stole Joo-Hun's microphone because I'm always the one that doesn't have something to click, pockets and everything to sort of hide hardware in. If you have a question, raise your hand, and I'll come around with the mic. Thanks for the content today, by the way, everyone. It was quite helpful. Scott Berg here with Needham again. Question, Ron, on your target operating model. I think all of us know that you all are trying to target that 20, you know, percent revenue growth range or ARR growth range. It's not a secret. You also talked about that on the fourth quarter call, the goal there exiting the year here. How do we think about the acceleration kind of in the business? You have a lot of different components that can help drive that, whether it's improving NRR, which could just be less churn, it could be more cross-sell, upsell expansions. You have new products that you're selling, your persistence as a service or application persistence as a service. If you look at all those opportunities to move that ARR growth goal from 17% to 20% or 22%, which of those opportunities looks most visible to you in the near term to help drive that? Well, I mean, is this mine? Is that working? It's not working. Let me take that. I'll try to use this. Okay. Sorry. Yeah, I mean, I think one of the things from a just strictly financial point of view, I can look at the capacity model, and I can say, you know, just looking at that and the quotas and everything else, I can see us making significant strides on that just right there. That's assuming kind of the similar types of attainment that have happened in this past year. I pass it actually to Matt to think about, and he can talk more about maybe the particular product areas. Yeah, I think shorter term, there's a couple things that stick out to me, nothing that I can quantify in terms of numbers. I would say the delineation of the organization that's allowing field reps to focus on new ARR and Matt's team to focus strictly on NDR, that will have a significant material impact in the shorter term. I think segment-wise, I would probably say that Fortune 500, right? Where we have a firm hold, where we have the ability to get into the other remaining portions of the Fortune 500 through these new use cases. The ability to go back into the ones that we already have because of the product elevating, I think will have shorter term uplift as well. The last one I'll mention, and I mentioned this two or three times, I do think the FedRAMP one puts us at an advantage versus some of the other. Typically, you'd have to wait a whole year for that. I can't necessarily quantify it into does it raise us by X, but I can say that we have a path to quicker trajectory than I would normally see at other companies where I've been at. I think, just one, if I could add just to that. It took everyone through a lot today, right? We talked about short-term initiatives. We talked about long-term investments. We talked about investments we made in the last 12 months to get ready for this fiscal year. Mm-hmm. I think I said on the last earnings call, you know, there's nothing in our AOP, our annual plan for this year. There's not some big product introduction. There's not some big hockey stick. There's not some big FedRAMP certification, right? We came into the year with everything we need to execute as we come into this year. The investments we made in top of the funnel and in capacity that Ron touched on, the product releases we put out in the second half of the year. A lot of what we've shared today is really sort of giving you a longer-term view, and if you exit that conversation with saying, "Well, there's a lot of moving pieces, and there's a lot of low-hanging fruit," the answer is yes. I don't need to get them all right, and I don't need them all this year, right? I think that we have everything we need to go execute against our plan for this year. Yeah. One quick follow-up for Matthew is on the sales side of the house, one of the things that's come up in our own due diligence is over the last maybe year and a half, your ability to get close to your customers has been noticeable at least, instead of just selling as a SKU from the OEMs necessarily that's out there. I guess, where are you in that journey to be close enough to your customers to help kind of, you know, push sales, push product, you know, to be able to capture those opportunities? Are you fully there yet, or is there still part of that journey that you're, you know, unveiling here today to get to that final end goal? Yeah, really good question. I would say early innings but trajecting quickly. I mentioned a couple things that are gonna accelerate that, the new routes to market, the fact that we're delineating the field teams to focus on new ARR, so they're now focused on going after those security personas. It's not something that I expect to take years, but, you know, we just executed on some of these organizational changes over the last quarter to two quarters. I would expect to see them, some bear fruit this year. Matt, this is. Sorry. Matt from Turn/River Capital. Matt, question for you along the same lines. As you think about this year with the investment in the field sales and all that, do you expect that the pipeline generation should come still a similar like ratio from the channel? Or do you expect the reps to generate some of their own pipeline this year? Like does that shift at all in your mind, or you know, how do you see that playing out? Yeah, definitely. Yeah, it'll come from multiple sources. It'll continue to come from the hardware OEMs, but from different parts of those OEMs, right? We mentioned FedRAMP as an example, Fortune 500, where we slow-rolled that a little until the product was at a point where we can leverage those parts of this. We did it in a very systematic way. I mentioned the SDRs, right? We've 4x the size of that, you know, over the last, what, six months and in the middle of enablement cycle there. We expect top of funnel to come from there. Certainly from the field now spending 100% of their time focused on that, but also from those other routes to market that we talked about, right? We hired a dedicated VP that rolls into Mark's org, but into the broader go-to-market org that's solely focused on bringing those legacy security VARs up to speed very quickly. I don't think there's a single thing there, but I think it's all four of those things trajecting quicker than they normally have and having more of those avenues for pipeline generation than we've historically had, where it came just through the hardware OEMs. Then, as you think about that pipeline moving through the conversion stages of your funnel, are there any, like, big process changes that you're sort of focused on in the sales process that can maybe help with, like, the conversion rates, you know, outside of just generating more top of funnel? When you say process changes, such as? Like, the way in which, like, the sales team converts leads or, you know, kind of who's handling what or if you've changed like. Oh. the geographic, you know, layout, any of those kind of changes. Yeah. I think the predominant thing there, it's really cross-sell, right? It's two areas, right? It's. Again, now that all of that's housed, you know, under our renewals organization with customer success, they're fully focused on enabling for how to have those cross-sell discussions. So it's not just about how do we get the renewal per se, but it's, "Hey, you know, does your security team understand the benefits of persistence and self-learning and self-healing?" All of that type of stuff. So having an org solely focused on and having the cycles to be enabled in that manner, I think will produce fruits. It's also to your point, you know, it is the field team still being able to have more strategic discussions because that responsibility is delineated now, right? They're not worrying about, "Okay. Yes, I wanna go have that discussion with this Fortune 500 customer, but I gotta make sure this renewal gets in, and that's very time-consuming. I think those two things will produce results on the cross-sell quicker. I think the other point, you know, I wanted to make there is cross-sell for us is only a quarter old, right? We were focused on integrating the product and the organization and making these organizational changes. It's only about a quarter since these field teams and the renewals team being under one umbrella, that they just started to focus on how do we go to customers and explain these broader use cases, you know, for cross-sell. The other piece on the process change, I would just add, is that, and Matthew even talked about this, is all the teams, whether they're renewal teams or new business teams, have all been now fully cross-trained in Force Management methodology. Yeah. Adam Tindle at Raymond James. I just wanna kind of build off that discussion a little bit with Matthew and Matt. You know, if there's one thing that we know it's sales teams respond to incentives. I believe the Absolute sales team and NetMotion team had different comp packages to work through in the past. Matthew, you talked about a new ARR focus. Matt, you talked about strong cross-sell opportunity with NetMotion, that being a significant go-to-market part for the coming year. As you think about new ARR, as you think about cross-sell, can you tie that into changes that you're making to incentives at the sales force to hold them accountable and drive those two things? Yeah, I can. I wanna make one point of clarification. When I say that's delineation of time, right? I mentioned bringing in a new global ops leader who we brought in to kinda look at these such things, right? This was very delineated. It was siloed. Now that we have better data, we have a function now that is looking at this. I think more tactically, all of the groups within go-to-market are incentivized for cross-sell, upsell. Right? It's not just the field saying, you know, "I'm focused on that." Matt's organization is also compensated to ensure that cross-sell happens. It's still one team, right? I talk about the delineation of responsibility in terms of where they're spending time, but in terms of the compensation model that drives the broader go-to-market org, all of them are focused on cross-sell. They all wanna be getting in front of the personas and pitching the real-life business value that we add now in terms of the use cases. I don't think that'll be delineated. It won't just be one team focused on it. It'll be the broader go-to-market org. It's all aligned with one compensation model. Hello. Hello. It's Michael [Junghans] from Cowen. I've a couple of questions here on your medium-term growth strategy with regards to public sector clients. Yeah. The first one is on the revenue mix here. You showed us about 17% of ARR generated with public sector clients. Can you give us any kind of information here, your expectations of how much of revenue exposure you're targeting over the next two, three years? Another question I have is on the deal sizes you're generating with these public sector clients. What kind of deal sizes are we talking about here? Another one is on the pricing environment here in that vertical. How does this compare to your remaining ones you are selling to? The last question I have here on public sector client is. Sorry. How do you want to cut out the OEM middleman in order to sell directly to the FedRAMP customer base in the future? Thank you. I'll take the third one, then I'll pass the other two to Ron. Let me be clear. We do not wanna cut out the hardware OEM. I wanna be emphatic on that. This isn't about us moving from one model to another. It's about multiple routes to market, depending on what persona we wanna talk to, right? There's still a lot of value, right? A lot of our business, close to 50%, comes through those hardware OEMs. I think even within the hardware OEM business, we're looking to uplevel to that 2.0 model, and how can they sell the rest of the portfolio? How can we leverage them in terms of vehicles for customers to buy, whether it's financing? How can we leverage other parts of those OEMs relative to public sector and Fortune 500? These are all things that up to this point have been untapped, right, within that hardware OEM model. Make no mistake about it, this is not this was and now we're doing this. This is a multiple routes to market. I mentioned earlier in my presentation as well, these other routes to market is not necessarily a procurement vehicle for us. We kinda remain neutral in that. This is about who can get us to the personas that understand our value prop relative to those use cases the quickest. How they decide to procure, whether if those traditional legacy VARs still end up going through the back end, through the Dells and the Lenovos and the HPs of the world, we try to stay as neutral as possible in that. Again, this is strictly about top of funnel and who can get us in front of the right persona. Ron? Or Chris? Yeah, I mean. Okay, so I mean on. Yeah. Two mics. It's working now. Actually, you know, it's actually a simple answer. We actually do not disclose FedRAMP on that information on the amount of sales or in fact the size of the. For that matter, we don't disclose it on most any of our products right now. Yeah. Sorry. Just the last one I have here. The pricing environment here with public sector clients, is there a significant difference compared to your remaining verticals? Is this- There's not a different pricing schedule at this point for federal customers than there are for the rest of our customers. Largely because that is flowing through our OEM partners. I think one of the maybe subtle but important parts that Matthew made in his presentation is that as a software vendor, and FedRAMP is specifically for cloud-hosted solutions, right? Typically what would happen is you would pursue certification even with a given agent, specific agency or with the JAB, which is what we're doing. It's a general certification that would apply to any agencies that subscribe to it. It's a much broader application. In terms of building a market within federal, and there's many folks within the company who've done this before, right? That budget cycle is really critical, right? You get into procurement and contracting, where there's generally multiple vendors and you have to. You know, the picture we're describing is slightly different. Our customers can buy our products one of two ways. They're either looking at us as a software platform, and we're having a very software-focused conversation, or they're buying a large number of hardware assets, and they're looking for an attribute built within that RFP that is inherent within that hardware attribute. We see this in a lot of our RFPs within the education and the public safety space as well, where, you know, they are benchmarked. They're making a large acquisition or procurement, and they're benchmarking a lot of different vendors, and one of the attributes that every solution coming through must have is that it should have some application of resilience. We've seen this in international RFP opportunities. We've seen this in education RFP opportunities. It's our belief, as we're going into this process, that as we partner with our OEMs, there's an opportunity for them to take the same approach and be able to service their federal clients with this new capability as well. That's the alternate path that I think Matthew was trying to describe earlier. The applicability of cross-sell in that space too is huge, right? Because once we get in, you know, with partnering with our hardware OEMs on the IT Ops side of the house, our ability to then take our direct reps and go, you know, partner with other parts of that organization becomes very realistic. Obviously, in Fed, that's a little smoother, right? Because when they see it used in other parts of the organization or that other part of the federal, you know, department, that makes that conversation, that second or third conversation much easier than it may be in other parts, other segments of the enterprise, where they may not care that IT Ops is using it. You know, my experience with federal is that they do. Hi, it's Mike Walkley with Canaccord Genuity. I guess first question for you, Christy, just as you try to go from the coolest software company nobody's heard of to educating the market. You know, how is the hiring environment now? It seems like there's a lot of momentum behind the company with some of the people on stage. My follow-up question was, you know, for Jeff, just on the endpoint risk assessment product. Have you shown that to customers now? What's the feedback? How often is your team, you know, brought into some of these Fortune 500 companies to try to upsell, cross-sell? Why don't you go first? From a perspective of getting brought in on these deals, we certainly work very closely with, I mean, there's no, it's by intention that we report through the go-to-market team, and so we are, you know, fully like linked in with the pre-sales team, as well as on the delivery side with some of the folks on the renewal side. You know, professional services, again, is an enabler for the company to get closer to those customers and to work across those seams. I do think, you know, even as what Matthew was saying earlier, I think, you know, professional services can really be that glue that helps us educate, you know, all of the folks that we're dealing with on the customer side, but also in the OEMs and those channel partners and enabling those resilient discussions because I feel like that's where we're very unique in the space. It’s just, you know, something that we can provide because of the data and the perspective that we have. I think that's very unique to us. There's a couple enablement cycles there as well, right? Again, I've said early innings before, but this is something that we spent a lot of time to make sure that the service was, a, delineated and differentiated, right, from anything else that you see from the predominant players that do IR and consulting services. The other piece of this as we transition to go-to-market orders, how does the sales teams have trusted advisor type conversations, right? It's no longer just about, here's what this product does, the what. It's now, "Okay, look, you may have some risk in your environment that you either know or probably more relevant, you don't know about, and here's how we can help through us being the subject matter experts and with regards to self-healing and resilience." There's two cycles that we're pushing very quickly. One is on, you know, this broader leadership team, you know, and myself to leverage Force Management to allow a rep to go in and have that discovery where it doesn't start with, "Here's what we do." It starts with, "Here's what happens if you get this wrong." Right? You don't see a lot of that in the market, right? It's automatically to the features, and you see the eyes gloss over. We're spending a lot of time and double-clicking on that enablement piece, not just with Jeff and his team in terms of end users, but how does Jeff interface with the rest of my sales leaders so that the teams and the field reps start with that type of discussion. Let me, I guess, just answer. The last part of that question was around, like, the early feedback from it. I think it's been extremely positive. There was some initial concern about, you know, we use our agent to collect some of the data, which there's, you know, there's hurdles that's involved. You know, thankfully, we've got 20-some years of experience deploying this agent, so it's a very low risk for a lot of environments. Certainly that was, I think, probably the only caution that we had. From my perspective, like I'll head those things off right up front. Like, "This is how we do what we do." I've built in mechanisms so that if a customer already has an existing DLP product, like we'd be happy to pull that data in and then apply our health data that is very unique. I've tried to think through a lot of those different angles, and that's through feedback from our different board members and other folks that have some beta customers that we have a beta program already. There's just a lot of natural things that make it much easier to bring these services to market. On the hiring. Well, I guess very timely, they're sort of connected. We talk about how we've been spending a lot of time doing the training on just, not just the services, but the cross-selling and telling the bigger story. I talked on the earnings call about how we had just hosted our company kickoff in Vancouver and invited the entire company into Vancouver to be able to spend a week really focusing on getting folks ready to come into this year. Clearly behind that, we wanted to have as many of our roles filled as we came into the year so that they could benefit from that training. So we did a lot of that investing in Q4. We talked a little bit on the call. The hiring market has opened up a little bit. It certainly hasn't gotten cheaper, despite some theories. It has gotten easier, and I think it's, you know, we continue to grow, we continue to hire, and I think there's an amazing opportunity here for folks who take a look at it. I think it's gotten easier. You know, we keep on going. The only thing I'll add to that from the hiring front, 'cause we spend a lot of time making sure right person, right role is, some of the roles that we're looking for are a very specific skill set, right? We talked about this, you know, a couple minutes ago, is that we don't want them just going in and pitching a product per se. Finding that skill set is not as easy as just, you know, the historical. We still need that historical as they interface with the IT Ops side, but so I guess the point there is we're really triple clicking to make sure we have the persona that can either be coached to that model or that has historically done that or worked with Force Management, and they know how to go in and either find or create pain. Doug Taylor here with Canaccord Genuity as well. Net Dollar Retention rate creeping up towards 110%, really started to allow you to compound your sales growth and your new customer adds makes that 20% target look a lot more visible. I guess the question here is, a lot of what we've been talking about is cross-sell and upsell as a driver of that Net Dollar Retention expansion. I wonder if we could just kinda close the loop and talk about your ability to pass on pricing in an inflationary world. I guess the last piece of a Net Dollar Retention rate would be your logo retention as well, and what trends you're seeing and expect to see there. Thank you. I'll let maybe Matt talk about the logo retention 'cause I think you know I think we shared some of it earlier. There's lots of good news to share there. I think in terms of pricing, one of the activities, and John Herrema has been sort of the leader of it within the organization, is as we brought in NetMotion and added Secure Access products to the catalog, it gave us an opportunity to go back and relook at pricing. We haven't for a really long time as a company. Really think about and as we rationalize the discounting and pricing schedules for the two companies, kind of reset that. It is a longer process for us than most organizations 'cause it's not, we're not a, you know, an 80% direct selling organization, so we can't just flip the bit and go. I think between John and Mark and the team, there's been a very thoughtful sort of stepping that through our OEM channel partners to sort of right-size not just the pricing, but also the volume bands and the discounting structure. Especially as we've seen more of our sales flowing through direct and resellers, we wanna make sure that there's an intelligent sort of rationalization across strategies that's invisible to the customer, right? The customer, we want them to see value for what they're paying for an Absolute product independent of where they procure it. We very much believe that different partners bring different value and therefore, you know, they're sort of on a different schedule. That's something we're actively in the middle of, kind of right at this moment. Then do you wanna talk about logo retention? Sure. Absolutely. On the logo retention side, it's not a number we publish. However, it's been something where we've made considerable and steady progress for many years now. One of the ways that we've accelerated that is listening and learning about what's driving that, and there are really two themes that emerged for why customers were leaving. It was a change of stakeholder or reliance on Absolute for a single and often legacy use case. When we rolled out our customer success motion, we built programs for the team to elicit more users and to really broaden our user base. We started tracking things like not just how many people are accessing the console, but how many people would log in this week and next week and the week after and the week after, as a function of understanding the recurrence of those users, which is really an expression of loyalty and dependence on our product. We also built deep telemetry around our products to be able to understand exactly which use cases, which features were being used, which weren't being used, which were being used across each vertical, and which were being used very intensely. We used that to track steady progress across our top customers. We've seen tremendous movement around our weekly active recurring users, as well as around the feature adoption of high-value features, and those two things have played into our logo retention quite considerably. Somebody had the mic behind. Oh, no? Okay. I realize the ISV business is a modest part of the business currently, but if we fast-forward three or four years, how should we think about how large that business might be as a part of your revenue mix? And can you speak to the pricing or economic model for it? Sure. The first one, you know, I think we try very hard not to telegraph sort of futures by product or by initiative, but it is. Primarily, the business model is a consumption-based model. We tend to take a look by application. It's important to understand that ISVs when they sign up for Application Persistence as a Service, we look at them as an instance, that application as an instance. Essentially, we would be collecting data that says, for this application, we've seen, you know, X number of unique devices use that service within that month. There's a monthly recurring charge. Think of it as a micro-transaction. You know, we are. Again, it is one feature of the Resilience product. They don't have access to the console. They don't get all the telemetry and data. They have just the self-healing feature, and then a reporting capability where we give them feedback about the health of their environment. So micro-transaction's very tiny. You shouldn't think of it as a material part of our financials in the immediate future. It's truly not something we're sort of baking into this year. But when you think about, and I think Edward did a nice job of trying to describe, if you have 500 million devices, and on average, they have 11, 12 security applications on them, it doesn't take all that many of them reporting in per device for even micro-transactions to get interesting over time. The other thing I always describe this as a Horizon two initiative, and the reason why we've been quite thoughtful and quite plotting is that, you know, for all of the infrastructure and the pieces, the investments we've been making to support scalability and stability, it also. We need to make sure that we're putting the infrastructure in place that we have the right controls around this. We talked about automation and that we're gonna move more towards an ISV self-serve model, but you should think of it more like the App Store as opposed to they can download an SDK and just make something self-healing. There will never be a moment where somebody is using our capabilities in the BIOS that we shouldn't be aware of, right? There's lots of language in those engagements that prevents them from passing that ability on downstream to other folks within their supply chain. You know, we're trying to be very thoughtful about how we protect and secure our customers from the wrong things becoming self-healing in the wrong way. There's sort of piece by piece we're putting into place. Hope that's helpful. Hi. David Kwan at TD. A couple questions. First off, you've talked about the sales team and just changes in responsibilities in particular, taking, say, the renewals out, and then having them focus on the new deal, focus on winning new deals. Can you talk about maybe the mix between your sales reps that are focused on kind of direct customer wins versus ones that are focused on working with your channel partners, particularly the OEMs. Then secondly, when you guys do risk assessments that highlight some of these vulnerabilities and show them the ROI data, I think with NetMotion, they talked about the hours saved. But in those instances where you don't get the deal closed, like what are the reasons behind that? Is it a budget issue? Is it timing issue? Is it something else? In terms of the second question, in terms of risk assessments? Yeah, just like when you're going out to the customers and you're showing like you've got these vulnerabilities that, you know, or expose them to potentially some very bad things happening, whether it's malware attacks, et cetera, et cetera, or, you know, you show them kind of the hours saved, I think that was for NetMotion, and you can kind of show them that ROI, but you don't get the deal closed. What are the main reasons behind that? Okay. I'll let Jeff expand on that piece of it. Remember, this is just going live. I don't know that we've started to look yet. You're basically saying we do a risk assessment. What's the time between when we do that and then maybe product uplift or drag? Yeah. I'm just trying to get a sense of, you know, whether there's a delay or just- Yeah. Like you said, they're saying maybe, is it not now? That's what Yeah. Look, I think the objective there is to not be too salesy with that transition either, right? I think we both had experience where that's too quick, and then it takes away from the value of that service. I do think over time, as those services get, you know, pushed into the market, the sales team's understanding how to leverage that in the right way, becomes the pivot point. I don't think we have any data yet that says if we've lost or won. I would say if somebody. Because even pre-assessment, we've been using the data. We generate reports that we would bring into a control customer to show them what Resilience would do within their environment or, you know, we've had a number of different ways where we've been using the data to kind of open those conversations and those opportunities. I'd say one thing is, when we were going in and talking about self-healing, is that this was, again, a use case that they didn't know existed. If they were looking at us for control, or they were looking at us, and you heard from some of our customers in the room today, they were looking at us for one or two use cases. We use the data to show them that we can do more. You know, didn't budget for that this year would be something that would not be unusual for us to have been hearing, especially in the Secure Endpoint side. One of the things I touched on earlier is that one of the interesting pieces that moving into ZTNA has brought us is that many organizations do have funded ZTNA initiatives happening over the next 24 months. Having Secure Endpoint sort of tuck into that sort of preexisting shift to zero trust initiative is a nice way to sort of apply that into kind of a modern set of use cases that they're working right now. Just to follow up, on the services front, remember the initial or the shorter term value of doing these services is to start to show the market that there's a broader value from this company outside of just the legacy use cases and IT Ops, right? It's to show them that we are the subject matter experts in resilience and things of that nature. We wanna be really slow about trying to then go get the product drag piece. We think that will come, but the initial value is to show them that there's a unique value in our ability to deliver this service that other traditional cyber providers are not able to provide. That's one. On your first question, we're talking about these parts of the org almost, and they appear as they're silos, they are not. Matt's customer success org, Mark's go-to-market in terms of his channel go-to-market org, those are all part of the broader go-to-market org. There is no delineation between reps doing one thing or the other. I spoke earlier, and I think the question came over here is the caliber of field rep needs to be a little broader than it was in the past 'cause they have to be able to assess off of a use case, where do they go internally, right? Do they go to a security persona based on the discovery part of that sales cycle and maybe leverage a traditional VAR like an Optiv? Do they see a new device purchase coming, and so it makes more sense to go leverage Mark's resources? It truly is one team. You hear that thrown around a lot, but I think it really is something that I see coming to fruition here quickly because all these parts of the org are starting to talk to each other in a big way, and that's because we made these investments, what, close to a year ago now, where the rep knows there's a renewal coming, so they're going to talk to that renewal rep. They're understanding where there might be an expansion or a cross-sell. They're thinking more. You know, they're being more thoughtful about what's the right route to market here based on that use case. So it's not just Dell, right? Or you know, Optiv. So there's a lot more thought going into where those resources, but all these resources talk to each other in a very regular collaborative manner. It's not siloed pieces of the organization. Anybody else? Hi, this is Priya from Turn/ River Capital. Had a two-part question on endpoint activations. The first part is, you know, historically, you know, how have those activations occurred, you know, post an initial sale? Has it primarily been driven by the OEMs, you know, or customers raising their hand or, you know, direct sales team folks from Absolute, you know, going to those customers? Second, you know, what has been the biggest challenge in driving those activations, you know, in the existing customer base? I just wanna make sure we're not skipping a step in there. There's the piece of the technology that's embedded in the device. There's a purchase, right? Which may or may not happen when somebody buys the laptop, right? The majority of the devices we activate are happening on existing hardware. The lifespan of the customer that Matt Meanchoff talked about, you know, the customer may. If we meet them through an OEM, they may be buying 10,000 laptops. They have 90,000 already, right? And so they may be introduced to us for the first time through that purchase. Matt Meanchoff's team then is responsible for making sure that they activate, and he talked about how he has his 15- and 30-day sort of time to activation, time to value. I don't think we've ever talked about kind of when we report out on the 14 million active devices today. There is some latency between when somebody buys licenses and when they fully deploy them. I don't think we've ever actually given the timeline on that. We don't spend a lot of time measuring it. We're not. We don't typically have a big overhang on sort of stuff that's sitting on a shelf, I guess, for lack of a better term. Your question about why would somebody not activate. Resources. Yeah. Projects get hung up. Yeah. Project priorities is typically where we might see some delay there. Yeah. It's punted, not deferred infinitely. If you had looked at Absolute a long time ago, like go back, we'll call it five plus years, one of the reasons would've been they wouldn't have known they had it, right? There was a lot more of what we'd call blind attach, which meant a Dell or a Lenovo rep would attach it to a customer, sort of throw it in the box, kinda the equivalent to a preload. One of the reasons why somebody wouldn't attach or activate is 'cause they either didn't know they had it or it was given to them, or they didn't know. You know, I think that's something that we've systematically engineered out of the business, you know, where we've constantly looked at, let's make sure that if somebody gets an Absolute license, they purchased it. They know they're an Absolute customer. They're not shocked when somebody from our organization calls and says, "Hi, you know, we'd like to talk about whether you're enjoying your experience or not. Got it. Thank you. I think, we're out of time now if you have any concluding remarks? All right. I wanna thank everybody. Hopefully, it won't be another three years until we all get back in a room together, and hopefully, there won't be another pandemic in between. Yeah. Taking an entire day to spend with us is a huge investment, and so I wanna thank everyone for giving that to us, and I hope it was as helpful for you as it was for us to see all of you. Thank you.