I don’t know if Jeff or Chuck, you’d add anything to that.
Jeff Clarke: Well, I think it lies in the PC side. I just did a quick look in our webdeck. Last Q3, we did $16.6 billion of CSG revenue. This Q3, it’s $13 billion, there probably lies .
Toni Sacconaghi: The only thing I explicitly, as you commented about service weakening during the quarter. You didn’t really comment that PCs were weakening throughout the quarter. And I’m wondering whether that was indeed the case because if it wasn’t, it’s not really clear why the guidance is where the guidance is, unless you’re expecting real changes in ASPs.
Tom Sweet: Yes. Look, I think we saw — as you think back to our Q2 commentary, what we talked about the fact that we saw PCs — consumer PCs have been soft, and we saw commercial PCs weakening. So I think that’s pretty self-explanatory.
Operator: We’ll take our next question from Shannon Cross with Credit Suisse. Please go ahead.
Shannon Cross: Tom or Chuck, I’m not sure who mentioned it. I wanted to go back to one of the comments that was made, which is that you’re seeing increasing interest in subscription models. I don’t know if you can talk a bit about what customer bases are interested in them. How we should think about — I know they’ll have a little bit of a dampening impact to revenue, but obviously locking in recurring revenue. So, maybe if you can just discuss a bit of what you’re hearing from customers. Thank you.
Chuck Whitten: Yes. Thanks, Shannon. It’s Chuck. I’ll start. Look, it’s — that’s been our APEX business, which in Q2, we highlighted that we sort of hit the $1 billion milestone and saw it growing at a continued healthy rate and adding new customers. We’ve been consistent that we’re going to be thoughtful about how we discuss progress there. We’re not — certainly not going to provide sort of quarter-to-quarter updates. And so, we can share metrics that can be traced clearly back to the P&L. But what I would tell you is interest remains very high in our subscription offers. We saw again triple-digit customer growth and healthy ARR growth in the quarter. And we continue to invest in the portfolio and our webdeck as a whole series of new APEX offers that we’ve released since we last spoke in August.
We tend to see broad-based interest. Right now, it does tend to be concentrated at some of the larger companies in the medium-sized businesses in the world, but we’re getting a lot of interest in conversations from customers as they try to navigate this macro environment as you would imagine. It’s not sizable enough relative to our $100 billion trailing 12-month business to sort of go much more beyond that. We are getting a lot of customer interest.
Jeff Clarke: I’m sorry, Shannon. I was going to add the new backup target service that we just announced. It’s a pretty exciting offer. What we’ve done around expanding our geographic capability, and our channel capability and our customer managed option capability around ADSS, I think, is another extension that we can continue to grow on. And then the two as-a-service offers that we’ve extended one, the Red Hat offer that we announced back in September. And then secondly, the new one, which is the APEX high-performance computing service, I think, is another opportunity for us to grow. And I can tell you the pipeline is full of continued APEX offers.
