Keith Taylor: And Frank, let me just maybe add on to what Charles said there. As we think about our business, and I said this at the Analyst Day two years ago and we’ll certainly update you in the June Analyst Day coming, but when you think about pricing, historically, it was running at about 6% of our bookings. And we’ve said that price increases are in the range of 3% to 5% and our stabilized revenue — our stabilized assets are growing at recurring revenue at 6% right now. So, I think you’re going to get it from a number of different spots: number one, inflation. You’ve got the inflationary impact, and of course, that is going to move the pricing up higher than where we historically have been. And Charles was also alluding to the fact we also are moving list pricing.
And so, when you look at list pricing, plus you’ve got the inflationary increases and then you’ve got the PPIs in addition to adding what we think is great value across our set of products and services, you have a broader influence coming from not just — you have quantity but you have price. And I think that’s something that we’ll continue to sort of track and update you on as we come to the June Analyst Day, as I said.
Frank Louthan: And can you remind me what your average contract length is?
Keith Taylor: Two to three years.
Frank Louthan: Remaining, two to three years.
Keith Taylor: Inside the retail business. xScale, of course, is longer than that.
Frank Louthan: What’s the average kind of outstanding at any — currently?
Keith Taylor: In xScale or in retail?
Frank Louthan: Just in retail?
Keith Taylor: Yes, the average is two to three. Again, I don’t have any more refined than that. That just gives you an indication of how things will renew. And as a result, one of the things I said at least in my prepared remarks is when you look at price increases relative to price decreases, we always talk about net positive pricing actions and you’ve heard us mention that quarter after quarter for years. It’s a reflection that it’s a living and breathing organism. And that there’s always going to be movement and you’re renegotiating with your customers. And some people, you’ll adjust down, but the bias is towards price increases, not only because that’s how the model works, but you’re really going to see that come through as again, you feel the inflationary impacts, you go through the power price increases, and it manifests itself in our — on a currency-adjusted MRR per cabinet number across all three regions.
And that will continue to be something that we will monitor very, very closely.
Charles Meyers: Yes. And Frank, I’d offer that in a sort of — we’ve become very adept at sort of managing and optimizing sort of the overall return profile in the business. And as you look at the current environment, which is strong underlying demand signal, high utilization rates in some markets, particularly we have some markets that are quite tight, it really gives us the opportunity as we look at how to optimize to not only sort of in a rising rate environment, look at how to optimize that and upon renewal, either take unutilized capacity and resell it at significantly higher rates or, in some cases, look to do that proactively. And so, I do think that, that works well for us as we continue to demonstrate that we’ve got a level of pricing power in the business.
Operator: Our next question comes from Michael Rollins with Citi. Your line is open.
