Matt Hedberg: Got it. That’s super helpful. I’m curious, was there any sign of — any vertical strength that you call out perhaps federal government or any other thing that was noteworthy on the results?
Amit Walia: Not really. We didn’t. I mean Q3 as you all know is the fiscal Q4 of Federal government, so that naturally is built like that from their seasonality point of view. So, there’s nothing special to call out because that’s always the case every year. No we didn’t call out any particular vertical that had an extraordinary effect on our numbers.
Matt Hedberg: All right. Thanks a lot guys.
Operator: We now turn to Brad Zelnick with Deutsche Bank. Your line is open.
Brad Zelnick: Great. Thanks so much and good to see the solid results and some profitability for the full year. Amit I wanted to hone in on partnerships. Informatica has always been a partner of choice for the GSIs and other technology partners, but you really seem to be making a an extra push here. And I’d be curious actually specific to Oracle. I took note of that relationship that you called out that you guys announced around their cloud world. And there’s just so much enterprise data that sits in Oracle database. I’d be curious what’s the initial reception to what you’ve announced? What kind of alignment is there in the field? And is this something that will extend this well to the relationships that they now have with Microsoft Azure?
Amit Walia: All of the above Brad, first of all, terrific question. Look when we think of our business we think long-term, I mean we are not thinking of the next quarter obviously as you can imagine. Oracle is a pretty established large-scale infrastructure company. So, you know that the databases or the data warehouse has tremendous installed base. That allow that installed base was tied to a power center customer also. And then they are actively going after new workloads that over a period of time they will also be aggressively moving towards their cloud and obviously the partnership with Azure, which by the way is a great part for us. So, our belief is that we are the only data management partner of choice with OCI, there’s no one else but us.
They are very well enterprise centric like we are. So, there’s active war that has been going on with our field teams, product teams, and we’re pretty bullish about what this will bear fruit or as we think about 2024 and beyond. A lot of work has to happen in the early days and I think the team has done a lot of that work. You’ve seen they’ve come to our conference, we’ve got to their conference to talk about it. I’m pretty excited about that. And I think as you said with Azure and OCI, Azure being a great partner that creates an even easier way to get in front of our customers and reduces a lot of friction. So, I’m pretty bullish about it.
Brad Zelnick: It’s great to hear. Maybe if I could just follow up on the acceleration that you saw on now 5% of the legacy base having made the migration relative to what was just 4.5% last quarter. Any change in terms of incentives carrot versus stick or big customer cohort that came through? Or anything that should inform what we might think of in the quarters to come as to how that might progress?
Amit Walia: No, on migrations, I think we’ve collectively all talked about it so much. And I now say it in full candor it’s one of those things that I’m extremely happy about. But at the same time, we look at that with I use this word on my own team constructive dissatisfaction because there’s so much more to do over there and it’s a captive base and we want to get them to the cloud sooner than later. And I think we’ve done a tremendous amount of work out. I always said look we wanted to make sure we capture the new workloads and we get to the migration we came to a point where we actively worked in first solving for getting the customer pain points very clear to us getting it behind the partners waiting on the migration utilities.
The last-mile was we learned a lot from our customers in doing a round two or version two of the product. Powers in the cloud addition that we launched in August came out and by the way it was adopted very, very quickly. I think I shared a third of the deals we did in Q3 with Power Center Cloud Edition. Given that the product GA middle of the quarter and we expect the lion’s share of this quarter to be that. I look at that definitely one that absolutely will bend the curve and increase the slope of the curve as we think about next year. And all the work that we have done with partners and other things is naturally going to help us do that. So not a lot on us. That’s an area where we’ve absolutely got a much harder and expect more attention from us in that area as we can call it next year.
Brad Zelnick: It’s a big opportunity at 2 to 1. Thank you so much, Amit, and thank you Mike and Victoria as well. Nice stuff.
Victoria Hyde-Dunn: Next question, please.
Operator: Our next question comes from Andrew Nowinski with Wells Fargo. Your line is open.
Mike McLaughlin: Operator is the line still open?
Unidentified Analyst: This is — hello can you hear me? This is Stephen on for Andy. Can you hear me?
Operator: Ladies and gentlemen, I think we’ve lost connection with our speakers. Thank you for your patience as we reconnect them. [Technical Difficulties] Okay. Ladies and gentlemen, we have our speakers back. Andrew, please continue with your question.
Unidentified Analyst : Can you hear me okay?
Mike McLaughlin: Yeah. Now we can.
Unidentified Analyst: Okay, great. Thanks for taking my question and congratulations on the nice results. our cloud ARR growth was solid and similar to last quarter. Is there any color you can provide as it relates to trends going into the next year?
Amit Walia: Sure. I think philosophically, I think put the trends in two categories things that — I’ll put them in AI and non-AI categories because I think no call would be complete if we don’t touch AI. Look, there is a lot of work that’s happening in the world of data that is not necessarily tied to AI. Customers are still wanting to understand their entire business, whether it’s a Customer 360 use case to do churn, new customer acquisition, supply chain, back-end efficiencies, data governance there is a lot of work that’s happening at data hence data management becomes incredibly important. And the trend over there that we see is that while that demand is very strong, that customers have, after many years of experimenting with multiple things, have also come to the point that, if they have to build the modern data architecture, they cannot stitch it together with 50, 60 unique little, little, little small tools over there the cost and the risk is very high.
And that’s where we have best of breed and our platform solves the case for them. So we see that non-AI, I put purposely on AI that’s still a lot of work going on across the globe. If you go talk to a bank in the middle of nowhere, they’re not necessarily running to AI tomorrow, but they still have a lot of work to do to run that business. Then we come to AI, where basically a tremendous amount of interest. And I think as we all have learned that it’s the fastest slope curve right now. Everybody wants to do something. This year we had a lot of our customers figure out what use cases they want to go into. And in that case we will see the first few use cases get into test and then production next year that’s where the GSIs are working with a lot of our customers with us.
And in that case, good quality data, governance of data becomes paramount. Every enterprise customer is worried about governance of data in the context of Gen AI. We are seeing that. Now that is – basically we see that working into next year as well. So when I look at the business, those are all the things that are happening with simplification of the tech stack and not having a 1000-plus boom, all of those things are the things that you are seeing to our benefit.
