Operator: Thank you. And I show our next question comes from the line of Brad Sills from Bank of America Securities. Please go ahead.
Brad Sills: I wanted to ask if you could provide some more color, please, on the updates you mentioned to the cloud offering. What are those? And might that be a catalyst for that business? And then, also any observations on the macro impact on Terraform versus Vault and the core offerings, is Vault seeing more resilient results here given that it’s going after security perhaps more of an outsized impact that you saw last quarter to Terraform? Just any observation on that interplay? Thank you so much.
Armon Dadgar: Sure. Yes. Thanks, Brad. Yes. So some of the key cloud updates, and this is from our June HashiDays event in Europe was really a security focus set of thematics that we shared among a bunch of other updates. So across the board, Dave mentioned the Boundary one certainly was a big launch for us was the introduction of Boundary Enterprise, which was our self-managed product as well as a set of advanced privileged access management features like session recording and that’s what driving a lot of customer conversation around what is a modern PAM tool and cloud solve for. And those updates span both our self-managed Boundary Enterprise as well as our cloud-delivered HCP Boundary. On the — with the other security tools, we introduced a net new cloud service around Vault.
So this is called Vault Cloud Secret. So we introduced that in a public data and made that available for the first time, really multi-tenant, much easier to use, quicker to onboard. And I think we’ve seen great adoption and interest in that, really looking at how do we make it push button and very easy to onboard into Vault and continuing to see strong demand from customers looking for simpler solutions to get started quickly. Around Terraform Cloud, there was a whole bunch of different updates around different capabilities, really focused on different areas around policy, cost management and ease of use and onboarding. So, Terraform import was a key thing to bring unmanaged resources into Terraform, a femoral workspaces to allow better cost management, so users can basically deprovision dev test environments when they’re not using them to reduce their cloud cost.
And then with Consul, we introduced a few different cloud capabilities around observability and workflow management. So really for our at-scale customers looking for how do I do global management of multiple Consul clusters, how do I do observability to understand to save these clusters. And so there was — I think what we’re seeing is the net new state of capabilities that are coming to cloud are differentiating the cloud offering from the self-management and continue to drive a healthy rate of adoption and inbound interest to the cloud. In terms of the — how are we seeing the macro impact? And is there any sort of delta between the various core products. I think by and large, we’re not really seeing any difference. I think Terraform continuing to benefit as customers want to go multi-cloud, Gen AI certainly helpful there.
I think cyber remains very robust. So lots of interest in our security portfolio and the Zero Trust tools around boundary Vault, Consul. So I think we’re not seeing a whole lot of differential demand.
Dave McJannet: I’d just maybe add one comment, I think, I understand the essence of your question about cloud. I just — I’m going to pull it back and say, historically, the cloud consumption has come from our corporate segment, the SMB segment. I think as we continue to invest a steady cadence like the ones that Armon announced, we are seeing increasing interest from the enterprise customers. Certainly, lots of green shoots from some of the very, very largest companies that are inclined to consume those as managed services. But as we’ve always said, infrastructure is a lot more deeply considered than, say, a database. And so, it is happening on a measured pace, but we’re super optimistic given the green shoots that we do see and the continued investment we’re putting into our cloud offering that we’ll continue to see steady growth there. But for now, it is largely the smaller cohort of customers.
