That being said, there’s leverage in the model to get there different ways if we need to. And kind of stack ranking, I think I’ve gone through this before, but kind of stack ranking where that opportunity lies. It’s probably number one in G&A, two in sales and marketing, and three in R&D. We’ll continue to want to innovate over the years and continue to drive innovation to kind of feed that top line.
Brian Essex: Got it. I guess maybe just real quick. It looks like, I don’t know if my math is right, because I’m remote today, but did it go down sequentially? And if so, where did some of the cost rationalization come from looking at on non-GAAP basis?
Tim O’Brien: Did overall spend go down?
Brian Essex: Yes.
Tim O’Brien: Yes. On a non-GAAP basis, it was both flat quarter-over-quarter, looking at Q4 versus Q1. It was off year-over-year. But now, I think generally spend overall and from a non-GAAP OpEx perspective was flat sequentially.
Brian Essex: Okay. Great. Thank you.
Operator: [Operator Instructions] The next question comes from the line of Matthew Hedberg of RBC Capital Markets. Your line is now open. Please go ahead.
Mike Richards: Hey, good morning, guys. It’s Mike Richards on from Matt. Maybe just going back to MDR, I was just wondering how that’s tracked relative to your expectations now that we have over a quarter under our belt and sort of what you’re seeing on the top end of the market versus the lower end of the market and any competitive dynamics there that were maybe different from what you expected?
John Pagliuca: Thanks for the question, Mike. So MDR, it’s early days. We really kicked this off in the U.S. in Jan. We had some pre-activity a little bit in Q4 and then we went worldwide later on in the first quarter. And it’s exceeding expectations both on the level of bookings and even more so on the number of lands. And it’s been encouraging. On the low end, we’re finding a lot of greenfields, right? And we’re really allowing a smaller MSP to now provide security services that are required at the SME. And so, if you’re a small shop, a five or 10 person managed service provider, and you’re trying to stay up with larger MSPs or really even just trying to service your existing customer base, you need a level of security offering and someone that can help you with a 24×7 and keeping an eye on all the threats that are out there.
And so we’re finding it to be a welcome new offering combining technology and human services at the low end that allows them to keep their customers safe, but also frankly presents as a much larger capability of an organization. At the high end, we’re finding greenfield, we’re also finding some rip and replace. There are some legacy vendors in there that are not necessarily bespoke for an MSP. And what I mean by that is our offering is unique in that we provide eyes on glass for MSPs. Some MDR services, it’s like a black box service, right? The MSP just kind of gets the output of that. We provide a level of transparency for our managed service providers, which they love, because now they can see the same thing that our SOC analysts are looking at.
And as a result, it’s more transparency. They can better inform their customers. So I’ll call it a rip and replace, but I actually believe it’s more of a next-gen offering that we’re providing at the high end, and that’s why it’s been resonating. So we’re quite bullish on it. Again, it’s early days, but it’s an offering that’s being well received at the low end and the high end.
Mike Richards: Great. Thanks, guys.
Operator: As there are no additional questions waiting at this time, I’d like to hand the conference back over to John Pagliuca for closing remarks.
John Pagliuca: Thank you all for joining us today and your continued interest in N-able and look forward to seeing you again in the future.
Operator: Ladies and gentlemen, thank you for joining today’s call. You may now disconnect your lines.
