... Try to dig into. ... Of year-over-year, it was 20% before that. The overall market's growing high single digits. We're outgrowing the market, meaning we're stealing share from others out in the marketplace in that business. That's been both in terms of rates that advertisers are paying, meaning the platform's working for them, and I'm sure we'll get into some data on it a little bit. The second part is the volume, meaning the actual number of supply that we're able to have. The increase in both rate and volume is really driving that growth for us. There's a lot of things contributing to the overall story at the top line. Very cool. I love it. I know you talked about your two businesses. There are synergies across those segments. Over the next 12, 24 months, are there new incremental growth drivers that investors should think about? It's perfectly fine to say more of the same, and we have a lot of runway to do that, and we are just getting started. That's also a valid answer. Is there something new, incremental, in your opinion, that could start to become noticeable in the next 18 months or so? Yeah. When we think about what are our priorities for growth in the business, we don't have 100 things. We don't have one thing. We have five things that internally we talk about consistently, and so we're doing more of that with investors and being very transparent with, these are the five things that we're investing in that are going to be growth drivers to continue the momentum above and beyond the momentum we've already been able to generate. Number one for us is data. We've got an enormous amount of first-party data with our device business that helps feed our ad tech business. That's an enormous opportunity that's showing up in our results. I'm sure as we get into AI and other things later in this conversation, I'll talk more about that. Really leveraging our unique data is a very strategic asset to drive growth. The second one for us is our brand business is growing really nice right now. Our brand business is up 50% year-over-year. We're starting to see our in-app being a channel for brand advertisers versus just CTV like Netflix or Max or retail media like Amazon or Walmart or what have you. We're seeing this in-app brand channel really growing. That's the second thing for us. The third is our flywheel. In other words, how do we get all the monetization of the advertising inside apps to feed back, acquiring more users, and then that intends to drive more monetization, and it feeds itself as a flywheel. Really being able to continue to grow that business for us. The fourth thing for us is our Ignite business and growing that with more device supply and more services. We announced, for example, Orange as a new EU account a few weeks ago. Continuing to add more supply, also we've got other services that we're launching on that above and beyond app delivery. The final thing for us that's really more of a long-term driver, but something where the upside is enormous, is in alternative applications. Yeah. This is really the ability to deliver applications that are not necessarily Apple or Google versions of apps. That's $100 billion of free cash today that goes to Apple and Google for the 30% tax that they take off these applications. Whether Digital Turbine exists or not, that's going to get disrupted, and we think we're uniquely positioned to capture that. Awesome. Many layers to unpack there, but I do want to address two or three topics that I've asked each of the execs in this Ad-Tech summit, just to get a thematic point of view from you, Bill. I guess, maybe you already answered this, but more kind of directly asking about how does AI manifest in your P&L today? If investors wanted to point to one or two things, I know obviously your fundamentals are improving, but from a kind of product standpoint or a customer offering standpoint last 12 months, where is it that you think you have invested that is resulting in a positive ROI with AI in mind? Yeah. AI is a tailwind for our business, I think I've seen it shift over the last three to six months with investors now seeing that. When we had the SaaS apocalypse that was going on months ago, it was, oh my God, AI is going to destroy business. It's going to destroy your business. Nobody's going to need apps anymore. That's completely not true. It's the opposite that we're seeing, it benefits us in three ways. The first way it benefits us is it just runs our business more efficiently. For example, we were able to generate a $70+ million increase in revenue year-over-year, and we did that with 4% less headcount. We did that with less cash operating expense. The only way that you're able to grow your revenues and still be able to do that with less people and less cash against it, is because you're driving efficiencies with AI. We use AI in our business on a lot of our back office and things that aren't necessarily exciting, but become more efficient for us. We use AI with our quality assurance. We use AI in our software coding. I mean, we can go down a whole litany of examples of how we use AI to drive efficiency. That's way one. Not the most sexy part, but important in terms of... Yes. ... EBITDA and free cash. Second thing we do is to drive more revenue and growth in the business because we have all this great data, which is the raw materials, and you can have great AI, but AI is only great if you have great data feeding into it. It becomes garbage in, garbage out. But we have got great ingredients with our data to feed into our AI and machine learning platform. We brand that as DT IQ. That is able to then use machine learning to then use the data on device to generate better outcomes for advertisers and end users, which therefore generates more revenue. Part of the revenue growth we just talked about in terms of the rates going up 50% year-over-year in our ad tech business would not be able to be done if we didn't have better data and better AI delivering those outcomes. The third way, which is much more strategic, is we're seeing this trend in the macro environment where the open web is getting crushed right now by AI. The days of me having a cough, I'm coughing and I type into Google, and I say, okay, what's going on? Then you see these links for something like WebMD, and you'll see an ad for Vicks on that website. That's gone. Those brand dollars have gone. People now are spending more time in apps. You've seen the amount of time in apps go up by more than an hour per day over the past decade. That's accelerating. You've seen the number of app submissions in the App Store go up 40%. It'd been pretty consistent for a long time, and you see this big spike now of apps going up 40% year-over-year. The reason for that is it's easy to submit apps now. People can vibe code, and people can get submissions. The question is, you have this huge submission in applications, how the heck are you going to get users? How are you going to monetize these things? I'm spending more time in apps. The idea for companies like Digital Turbine that are in the user acquisition business, that can go help these companies acquire users, versus the only discovery being on your screen of your Google Play or your Apple App Store. You've got another way to acquire users, and there's more competition for those users, which means more dollars being spent for those users. That really opens up a nice tailwind for our business, too. Those are some specific ways that AI's helping us. Okay. I guess just to this idea of token maxing and people are spending too much money on tokens, you have any opinion on that? How are your engineers handling that kind of crunch versus being very efficient? Yeah, I absolutely believe that there's a supply chain crunch that's coming with AI. We've already seen it in the marketplace today, every single technology business, I talk with our CTO about this frequently, which is we want everybody to run Embrace AI. We want to do things, we want to trial, we want to experiment. Because of the GPU shortages that are going on, it's creating price increases for people then to inefficiently use the tokens, which is creating a cost issue for companies. You want to make sure that you really understand what the ROI is going in before you do that, because there's the risk in the short term that many companies will have a double bubble of expenses where you're investing all this AI and token expense on the right hand, but you still haven't seen the efficiencies, and you have all the other people and other investments you're making on the left hand. I think that'll be something to keep an eye out. We're very disciplined in how we think about that and how we use our tokens and what tools we use, and not spread ourselves too thin so we can keep really a lot of focus. You've seen some announcements over the last few weeks from us in terms of different relationships and partnerships to this degree, that we're using companies to do that. Yeah, token maxing is absolutely an issue because GPU shortages are a reality. Okay. I like it. Moving on to your data advantage. I know you talked about your on-device data advantage. Maybe simplify, how does that create synergies across your two segments, and how should investors who are new to the story dig into that? People have followed how SSPs and your acquisition played into that, but just maybe call that out as to what is creating that kind of data advantage that is very hard to replicate, given your on-device signals, your SSP, and just overall. Yeah. One of the things that we know in ad tech, and we can get into a lot of the acronyms and alphabet soup of everything for the investors that want to go second level on some of the specifics. At the end of the day, you want to be able to drive performance and return on ad spend for advertisers in the most efficient way. The way to do that, who has the best data? Obviously companies like Google are known to have great data. Companies like Meta are known to have great data, and we have great data on device as well that other people don't have. Those are incremental signals that the marketplace may not have. Those signals that we get from our on-device business, and those signals could be what apps are on your device, how long have you spent in certain apps, what apps are you using that may be relevant for others, what apps have you deleted? Obviously, where are you? All these different signals that come in that maybe the general market that's bidding on an ad impression, they don't have that information. The people with the best signals are going to generate the best return on ad spend, and therefore can command the better rates to drive better return on ad spend for those customers. I think that's a really big driver for us. As you saw, our rates were up over 40%+ year-over-year. You're not able to deliver better rates for your users if you're not delivering better data with better data signals. Yep. Okay. Are there new categories of data sets or new types of data that become even more valuable for some AI models that you need to train on going forward? Yeah, I think for us, it's not necessarily incremental data, like there's a new signal. It's more of how do we take all of the signals. Here we are, we have all of our ad tech on 3 billion-ish devices around the world today, and those generate signals. We have signals from our different on-device business, how do we integrate that? Again, some of the announcements you saw from us the last few weeks are steps in how we're doing that, how we integrate that data, then get the interplay of all of these different signals that we are able to get to deliver better outcomes depending upon what situation we're in. That's really the name of the game here on it. We've got the raw materials, which is more than half of the battle. I see. Okay. Is there anything particular around your carrier relationships or OEM relationships that make it even harder to replicate? Yeah. I think one thing about our OEM and carrier relationships, I always say the bad news about those relationships is they take a long time. Yeah. The process to bring new carriers and OEMs on tends to take years in many cases. For example, we announced our Orange deal a few weeks ago, but we had been talking to them for many years. Yeah. It didn't just happen. The barriers to entry are really high, which is a negative, but conversely, the barriers to exit are also high because in order to make the investment to put technology on device, and it's important to know, once your technology's on device for a service, unlike in general ad tech, we in effect their decision makers. There's not the same level of competition, and that's one of the unique advantages of having your tech on device. For us, it's about playing the long game and getting those investments to get new devices and new supply into the marketplace. Knowing that then those relationships are very sticky over time. Okay. Very cool. I have to ask you about agentic AI, headless software, all those kind of cool things that are happening in the last four months. You talked about SaaS or CapEx, whatever it is. Anyhow, you get the point. What is your feeling about this ability for software without user interface to do everything that an advertiser needs to do? Where does Digital Turbine fit into that in such a future? Yeah. I think context matters here. We can go back in time and people actually used to exchange paper tickets and buy and advertising back and forth, right? Yeah. Digital came in and specs like OpenRTB c ame ways for different demand and supply to communicate and talk to each other with some common standards to help automate the process. You still needed buyers and sellers and budgets and everything on both sides. We're in the early days, top of the first inning on different elements of agentic now where you can have an agentic buyer and an agentic seller going back and forth, and you'll hear technology of things like AdCP that steps up on top of MCP protocols that are basically the AI's version of OpenRTB. OpenRTB is the digital version of the old ticket exchange, right? These are just different ways to automate and facilitate buying and selling. Within that, you need to have buyers and sellers that are seeing and talking to each other. That market is really, really small today. There used to be an expression of dollars for pennies in terms of when digital first started. Now they're not even pennies in AI. You've seen a lot of companies get investors excited with PR of, hey, we're doing this trial with this AI company. When you actually unpack and talk about the budgets, they're not 7-figure, and in many cases they're barely 6-figure budgets. You have to put a lot of energy into something that isn't necessarily moving the needle in the very short term. I think the timing on a lot of this is important because most of the people spending the money on the advertising side have a lot of issues to figure out in terms of the ROAS, the customer control, the attribution. Anyway, there's all these different issues that will get sorted out as time goes on, this will be another way that inventory gets bought and sold. Again, for a company like us at Digital Turbine, we have inherent advantages. Number one, we're a distribution company. We can help these people find. Two is we have the data to help facilitate making these agents buy and sell things easier. We also don't want to get over our skis where we've got a lot of momentum in where the money is today, and we don't want to chase something that may be still a little bit out there and a little bit still in its infancy with a lot of technical, operational, and business issues still to sort out. I guess that's a fair answer. Is there an argument to be made that wherever there's a human in the loop, perhaps in the agency side or wherever, some of that value could actually accrete to agentic platform, and if you build it right, then you could actually do most of the value that the agencies have been allowed to create? I think that there's absolutely going to be disruption, just like OpenRTB disrupted things where there'll absolutely be disruption in companies. If you're not adding value then you're going to get disrupted if you want to take a longer term view. Again, I'll keep coming back to what makes agentic AI go is data. Data that's feeding the models. Who has the data? I think that is really, really important. Who needs the distribution to go acquire more and more of these users and who has access to the distribution is another issue. Who has the operational pieces to this because one of the things you alluded to it, but I think it's super important for investors to understand, there's all these different layers in this that have to be solved for in terms of budgeting, analysis, market planning, campaigns, creative, blah, blah. The list goes on. You have all these different layers that have to be solved, and some of them will have agentic layers, but agentic throughout the entire stack is a very different proposition. I think you're going to see a lot of issues that still have to get solved where you may see pieces of the agentic connecting to each other, but I think the full stack still a lot of things that have to get ironed out there. I got you. I guess switching over to your mobile app business, can you talk about how does that compare to just in social media you have app business there, have kind of ebbed and flowed around what Apple did, and how does your approach compare to what people might be familiar with what Facebook does versus what Google and Apple also do? Yeah, I think what's important is at the end of the day, there might be different ways to reach the customer, whether that's through social media, whether that's through the search on your Apple App Store, or whether it's through the home screen of your device where we have access to that. There's different ways to reach the customer in terms of how they're interacting with the device. We're the way that connects the operator and the OEM to that application. That doesn't happen through social media. Because the average person looks at this thing 200 times a day, we get first look even before you go to social media. You have to open and go and initiate something, for example, if you're going to go into Instagram or TikTok or whatever you do. Because we get that first look, because we're the ones that have access to the home screen, and that home screen's the beachfront property, that's something that's very attractive to advertisers. Okay. I guess with regards to your own DSP, and your own SSP that you have, do typically most of the app developers use your own DSP to access the inventory? How does that compare to just directly accessing inventory, and how does the actual logistics work? Yeah. Our big word is independent. Our whole thing is to just democratize access, not have walled gardens. We don't care. Yes, we have our own DSP and we have our own data, and we believe our DSP can win because it has its own data, and we can use that DSP to buy into our supply and create a flywheel effect. We also work with other third-party DSPs, Google, DV360, The Trade Desk, Liftoff, Moloco. You can go down to the list of names... Yep ... That investors here on this call are familiar with. They're also customers of ours, and they pay us to access our many billions of devices that have our technology on it. From our perspective is we're going to go compete in that marketplace. We believe we've got unique advantages through our DSP, because it allow us to win. We're also not of the belief that the only way to win is through our own DSP. Okay. You previously mentioned that you have customers like Uber and whatnot. For people who are new to the story, how much is gaming and how much is not in your app growth business? With our app growth business today, it'll fluctuate from quarter to quarter, but it's roughly half, say 50% of our business is non-gaming. When they think non-gaming, think Starbucks, think Uber, think Netflix, think TikTok, all examples of non-gaming. Gaming being the other half, in that, think of King, think of Zynga, think of Playtika, those kinds of names. Okay. Very cool. We have about 10 minutes here. I do want to address the notion of alternative app ecosystems that you mentioned. How meaningful is that opportunity around alternative app stores, alternative distribution, and a dummy question, how would that work for brands? Yeah. So, what we're seeing today is it's not speculative, it's real. You're seeing companies like a Playtika, which is a public company. Yep. Maybe most investors might know. A third of their revenues today are coming from alternative apps. This is not something that is going to take years and years to happen. It's something that is already happening from early adopters of this. We've announced relationships with Playtika as well as Zynga and King and many others that are using our platform today for alternative apps. We anticipate that's going to be something we're going to see more and more of because the driver for this is if you're an app publisher, any of those names I just mentioned, the single biggest line item that you have on your profit and loss statement is the 30% that you're paying to Apple or Google. You're highly motivated to try to f igure out how to lower that expense. If I pay 1% on my Visa or 3% on my American Express, but I'm paying 30% to Apple or Google, clearly that's egregious. I'm sitting here talking to you on my Mac, where I've been side loading any alternative version of any app I want for the last 30 years. People say, oh, it's not private, it's not secure on this. On the Mac that I'm talking to you on right now, it's been safe and secure for 30 years. I think that you're seeing a lot of now software providers that want to get their software distributed waking up and saying, whoa, we need to have a little bit more control of our destiny. I think that similar in e-commerce where you saw people want to sell their things on Amazon, but they also realize they need a customer relationship, so that's why companies like Shopify exist, right? Is to be able to provide the tools so they can have that direct relationship to the customer to complement the Amazon relationship. I think you're going to see something similar in alternative apps. Okay. Nice. Are there new capabilities outside of just cost savings? That's very important, but are there new capabilities that you could unlock or something that couldn't have been through the traditional app download, app growth business? Yeah. I think a couple of things I'd say. Obviously one is a financial benefit, which you stated, which is going to drive a lot of behavior. I think the second big one is control. I gave you the example of the open web, and a lot of companies that had basically banked their entire acquisition strategy on Google Links. Now you saw an existential threat with AI come in, and now you've had all these eggs in a basket of building their entire business model around Google Links. Now if you're an app provider and you're seeing what's going on in the open web today, that's a lot of risk. You better have diversification being able to control your own destiny if there's some existential risk in apps with Google Play Store, the Apple App Store, I can control my destiny. I think you're going to see a lot of people trying to find all their distribution, both direct to the customer as well as potentially other third parties, they're not necessarily have all their eggs in one basket like we're seeing today of what AI is doing to the open web. Okay, cool. I do want to spend a couple minutes on competitive landscape and as in people who I've interacted with, there are elements of AppLovin, elements of Unity, and obviously there is a couple other, like Liftoff went public recently. There is Moloco that might go public. Who do you actually see in the marketplace when it comes to your competitors? Is this a too far fragmented of a space and investors are very siloed and looking at three or four companies? Yeah, no, I think as we think about the space overall, it's a little bit strange with ad tech because all of those names you just mentioned are customers of ours and competitors of ours. Both, right? Yeah. It depends on the circumstance of where we're competing versus where they're actually paying us as a customer. That's just one of the unique things about ad tech is everyone's trying to find the right users, and mix and match the right demand to the right supply. I think ultimately I'll go back to the themes I said is, what are your inherent advantages that give you a moat over those other companies? It starts with data. The second part is having distribution, and the third part is scale. The companies that have those types of things, I think are the best positioned to go win right now. With that being said different companies have different bits and pieces that all contribute to Digital Turbine. Okay. I got you. I did want to talk about supply and device wins. I know you just mentioned Orange. They're a very large company. How much of new supply refresh do you need to keep on doing, or is this something that you already have a lock on, there is not much work left to be done? Yeah. Some of the great things about our business, I mentioned we're doing scale where we're putting our technology on as many devices to get iPhone sold globally, which is great. One of the questions I've been getting from investors a lot is with all this AI and a lot of the chip makers now moving over to HBM chips away from DRAM and DRAM pricing's going up, which creates investor fear that device shipments are going to go down. That's an absolutely true statement. I think you're going to see some OEMs out there feeling some pain as the year goes on. But for us at Digital Turbine, the majority of our revenues come from over the life of the device, not tied to the new device sale. I think that's something that may be a little bit misunderstood with our story right now. For the people that have been around our company for a number of years, in the old days, pre-pandemic, much of our revenue was tied to new device sales. That's not the case today. Our revenue is now over the entire life of the device, and so that's something that insulates us from that. Also furthermore, the new supply that we're bringing in from folks like Orange and others that you'll see from us in our existing relationships that are ramping and growing in other ways, I think that mitigates or offsets the more existential risk that's coming in from DRAM pricing. That's not something that we're forecasting any big increase in devices in any of our guidance, but we think we've got a lot of mitigation strategies against any of the existential risk that investors may be concerned about. Okay. I like it. Kind of couple just checking things off. You are in the process of getting a new CFO, maybe just any updates or anything that you would want investors to remember and timetable. Yeah. First is I just want to make sure Steve did a great job and it was great to get to know him and continue to keep in touch with Steve as his new CFO opportunity's already been announced for another public company. Obviously wish him the best and we'll continue to keep in touch with him. He did a fantastic job for us. We're in the process of doing a search and we're considering both internal and external candidates for that. We're going through a process for us right now. The good news is for us, the profile of the company, the quality of the earnings, the beats, the balance sheet improving, and so on, I think gives us a lot of optimism that we're going to be in pretty good shape for the future. Okay. I know we are at 35 minutes. People who are still online, remember to take the quick poll. I'll close it and just share it with everyone. I guess from a macro standpoint, and just kind of less so from a macro, but just from a cyclical standpoint, some investors are focused on the cyclical tailwinds that are there, be it political advertising or be it live sports and all those things. Is that something that matters to Digital Turbine? Yeah, I think there's absolutely going to be a rising tide that lifts all boats with things like World Cup that are going on right now, political spends are going. Just to be clear, that's not historically our business. Because especially in the app space, we don't do a lot of political specific advertising. Our advertising's much more focused on digital goods and services, versus things that may be cyclical or things that may be subject to tariffs or energy pricing and things like that. That's not where we play. To the extent, rising tide lifts up all boats because some of those factors that would obviously benefit companies like us. I think the thing in terms of, for me, is less about that and more about what we can control, and that's where I was really proud of the team for. Yeah. We're talking 50%+ growth in an industry that's growing single digits. We're going to continue to focus on running our race and given how enormous the many hundreds of billions of dollars that addressable market is for digital advertising, we're obviously a very small player in that. It doesn't take a lot for us to move the needle as we continue to have success. Okay, fantastic. I'm going to close the poll right now, I guess this is just a question I got in an email. You provided annual guidance, rare for an advertising company. What gives you confidence in the full year outlook? Yeah, I think we've got pretty good visibility for a year. We're at a pretty good run rate right now, we're feeling like we've got good visibility for the year and the things that we're doing, we've got an enormous amount of things and shots on goal that we're optimistic about, that gave us confidence to put an annual guide out. Again, given the last five quarters of beating raises in our business, we're at a pretty good rhythm right now. Okay. I love it. Very well said. We covered a lot of ground here, Bill. Just sharing my screen quickly for people who are still online. Last couple minutes here. These are the five questions and these are the answers. The first question was, how worried are you about a recession or a macro softness in online advertising? Mostly positive. Neutral to positive bias here. The second question was, what are you excited about as far as incremental growth in online advertising? People like connected TV a lot. I think, Bill, you've got to do your connected TV. Yeah, we didn't get a chance. We ran out of time. I can give you my two cents on connected TV maybe next time we talk. Okay. Thank you, Bill. Which AI applications for advertising and marketing are you most excited about? People like improving ad targeting and ad attribution and measurement. The fourth question was about M&A in ad tech. Which area of ad tech do you see meaningful M&A to happen? Identity. There is a tie between CTV and retail media. Finally, when we ask which type of company do you think is best positioned for an AI-driven future, again, it's mobile ad growth and connected TV. Those are two things that people think has the most potential. Again, I think, Bill, you're in one of those swim lanes, so that's great. Thank you so much for spending the last 40 minutes with us. Hopefully, people learned a lot about Digital Turbine and why the stock is one of the best-performing names so far year to date. They see the momentum going. With that, any last words, Bill? No, no, thanks, Rohit, for taking some time and for folks listening in. That was quite a rapid-fire session we had. We covered a lot of ground in terms of business and both strategic as well as tactical. Thanks. Great questions, Rohit. Appreciate the time and look forward to the next one. Okay, awesome. Thank you, Bill. Everyone, have a good Friday. If people are still worried about what happens to SpaceX, I think the stock is up 30% and Musk is already the first trillionaire in the world. Everything is all good. I guess, but more importantly, thank you, Bill. Thanks, Brian and Hector, who have been listening patiently, and everybody else as well. Thank you. Thanks, Rohit. Bye bye.