Q4 2024 Bandwidth Inc Earnings Call
Speaker Change: Good day, and welcome to the Bandwidth fourth quarter and full year 2024 earnings conference call. All participants will be in listen-only mode. If you need assistance, please signal a conference specialist by pressing the star key followed by zero.
Speaker Change: After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on your telephone keypad. And to withdraw your question, please press star then two.
Please note, today's event is being recorded.
Speaker Change: I'd now like to turn the conference over to Sarah Walas, Vice President of Investor Relations. Please go ahead.
Sarah Walas: Good morning. Welcome to Bandwidth's fourth quarter 2024 earnings call. I'm joined today by David Morken, our CEO, and Daryl Raiford, our CFO. They will begin with prepared remarks and then we will open up the call for Q&A.
Our earnings press release was issued earlier today.
Sarah Walas: During the call, we will make statements related to our business that may be considered forward-looking, including statements concerning our financial guidance for the first quarter and full year 2025 and our current product roadmap.
Sarah Walas: We caution you not to put undue reliance on these forward-looking statements, as they may involve risks and uncertainties that may cause actual results to vary materially from any future results or outcomes expressed or implied by the forward-looking statement.
Sarah Walas: Any forward-looking statements made on this call, and in the presentation slides, reflect our analysis as of today, and we have no plans or obligation to update them.
Sarah Walas: For a discussion of material risks and other important factors that could affect our actual results, please refer to those contained in our latest 10-K filing as updated by other SEC filings. With that, let me turn the discussion over to David.
Thank you, Sarah, and good morning, everyone.
David Morken: Welcome to Bandwidth's fourth quarter and full year 2024 earnings call.
David Morken: This morning we are excited to share our 2024 results with exceptional performance across all key metrics.
Speaker Change: Before Daryl dives into the specifics, let me highlight our fourth quarter achievements.
27% revenue growth with record annual non-gap gross margins.
Twenty-five percent EBITDA growth.
122% net retention rate.
Speaker Change: And average annual recurring revenue per customer is now at $226,000 a year.
Our operational momentum was equally strong.
with record-breaking quarterly messaging volume.
successful global rollout of our
Speaker Change: Hundreds of enterprises now utilizing our Maestro platform, while Maestro's AI bridge software enables customers to develop new voice AI capabilities on this award-winning platform.
Speaker Change: and 29% growth in enterprise revenue driven by strong CCAS and UCAS adoption.
Speaker Change: We want to thank our customers worldwide for their continued trust and partnership, many spanning more than a decade.
to our global bandmates.
Your innovation and customer dedication have been extraordinary.
Speaker Change: And I thank God for blessing us and our work together.
Speaker Change: Looking ahead in 2025, we are uniquely positioned to capitalize on the massive opportunity in enterprise communications. Let me explain why. First,
Speaker Change: We've earned the trust of the world's most demanding enterprises for their mission-critical communications needs.
Speaker Change: We are the only provider offering a global communications cloud combined with advanced automation, AI capabilities, and premium human support.
Speaker Change: This unique position has earned us IDC's recognition as a CPAS leader for the fourth consecutive year.
Speaker Change: Bandwidth has been a leader in every major communications transformation throughout our history.
Speaker Change: We pioneered cloud communications APIs on our own network, then revolutionized enterprise messaging at scale. Now, we're driving the most transformative wave yet.
Speaker Change: Conversational AI in voice communications. This isn't just another iteration in technology, it is a revolutionary development in how enterprises interact with their customers.
Speaker Change: Every voice AI application and agent require five critical elements. High fidelity, low latency, rich data and context, and intelligent routing along with seamless app integration.
The Bandwidth Communications Cloud is unique in delivering all five.
Speaker Change: Our open technology approach gives customers freedom to choose their preferred AI solutions, positioning us as the essential platform for enterprise voice AI. Here's an example.
Speaker Change: A leading global hospitality brand is revolutionizing the guest experience by enabling visitors to simply speak to access hotel services. No typing required.
Using Bandwidth's Voice API, they've created a seamless system.
Speaker Change: where guests can naturally interact with a voice AI assistant for everything from room service and housekeeping to concierge services. What's crucial here is that any interaction can instantly transfer to hotel staff when needed.
Speaker Change: This is the future of hospitality and it's built on our platform.
Speaker Change: We're seeing AI drive another major trend, accelerated enterprise cloud migrations.
Speaker Change: Companies are realizing that to leverage AI effectively they need cloud-based capabilities.
Speaker Change: This is where our maestro platform with AI Bridge becomes transformative.
Speaker Change: Turning what used to be months of integration work into something that can be done in hours. Let me share two recent wins that showcase this. First,
Speaker Change: One of the world's largest cruise lines chose bandwidth for their first ever cloud contact center migration, and they did it right before their peak holiday season. That is the ultimate vote of confidence.
They chose us for three reasons.
Speaker Change: our proven CCAS integration capabilities, our comprehensive communications offering, and our track record of mission-critical reliability. But what really sealed the deal was our ready-to-deploy voice AI capabilities, positioning them for future innovation.
Second. Thank you. Thank you.
Speaker Change: A Fortune 25 healthcare provider needed to switch between cloud contact center platforms. Traditionally, a massive undertaking.
Speaker Change: Because Maestro is pre-integrated with leading CCAS platforms, we made this transition seamless.
Speaker Change: Their legacy provider quoted months for the same project. Even more compelling, our platform enables them to integrate AI capabilities that were simply impossible with their previous solution.
Speaker Change: We're also applying AI innovation to transform our own operations. Here's a recent example.
Speaker Change: Our AI analytics engine, which won a Stevie Award for Innovation, detected an incoming surge in call volume for one of our top banking customers.
Speaker Change: Before the bank even noticed the spike, our system had automatically scaled capacity to handle it. This kind of proactive, AI-driven support is why the world's largest companies trust us with their mission-critical communications.
Speaker Change: Before wrapping up, I want to call out Devesh Agarwal's promotion to Chief Operating Officer on January 1st. Devesh has embodied our commitment to customer success and innovation since joining us two years ago as Chief Software Strategy Officer.
Speaker Change: In his new mission, his leadership will be instrumental in executing our strategy, driving operational excellence, and strengthening our global customer partnerships to deliver the next phase of our growth.
In closing...
Speaker Change: 2024 was exceptional, but we believe we are just getting started. We are leading another transformation in cloud communications just as we did with cloud voice 2 decades ago, and enterprise messaging after that.
Speaker Change: The AI revolution represents a shift as fundamental as the Internet itself.
Speaker Change: We are more excited about our opportunity to shape the future of enterprise communications today than we have ever been before. I'll now turn it over to Daryl to walk through the details of our financial results and outlook.
Daryl Raiford: Thank you, David. Bandwidth delivered strong financial results, exceeding guidance for both the fourth quarter and full year of 2024.
Speaker Change: This performance was driven by robust growth in voice and messaging across all customer categories.
Speaker Change: For our Q4 2024 results, total revenue increased by 27% to $210 million.
Speaker Change: With cloud communications revenue reaching $144 million, a 15% year-over-year increase.
Speaker Change: Non-GAAP gross margin improved to 58%, a three percentage point increase.
EBITDA grew by 25% to $23 million.
Speaker Change: Free cash flow saw a significant increase of 130%, reaching $30 million.
Speaker Change: In terms of full year 2024 results, total revenue reached $748 million, a 25% increase year over year.
Cloud Communications revenue was 540 million dollars, up 13% year-over-year.
Speaker Change: Full year non-GAAP gross margin was 57%, a two percentage point increase.
Speaker Change: EBITDA increased substantially by 70% to $82 million, and free cash flow showed remarkable growth of 206%, reaching $59 million.
Speaker Change: Political campaign messaging contributed $62 million to total revenue and $23 million to cloud communications revenue for the full year, in line with our expectations.
Speaker Change: Political campaign message revenue represented four percent of cloud communications revenue.
Speaker Change: Focusing on our full year 2024 cloud communications revenue growth, enterprise voice revenue grew 29% year-over-year, driven by strong demand within key verticals.
Speaker Change: Despite a relatively longer sales cycle, this category shows very positive demand patterns and benefits from margins approximately 20 percentage points higher than our overall company non-gap gross margin.
Speaker Change: as the only global cloud communications voice provider and the only provider of an AI voice orchestration experience.
We hold a unique position to service this market.
Speaker Change: Our largest category, Global Voice Plans, met our expectations at 3% revenue growth year-over-year.
Speaker Change: as the underlying communications provider for all Gartner Magic Quadrant leaders in UC and CX.
Speaker Change: We're encouraged by the stability and growing momentum in this category, especially anticipating our customers' plans to capture value and drive bandwidth cloud usage through their own AI initiatives.
Speaker Change: Programmable messaging accounted for 23% of cloud communications revenue and saw a 46% year-over-year increase.
Speaker Change: driven by demand from customers and key verticals including e-commerce, financial services, retail, and health care, as well as cyclical demand for political campaign messaging.
Speaker Change: Moving to operating metrics, net retention rate for full year 2024 was 122 percent.
and 112% excluding political campaign revenue.
Customer name retention remained well above 99%.
Speaker Change: Average annual recurring revenue per unit reached a record $226,000 or a record $208,000 when excluding the political campaign benefit.
In summary, 2024 saw excellent business model performance.
Revenue grew 25%.
Within total revenue, cloud communications revenue grew 13%.
Gross profit grew 18 percent.
Speaker Change: We set a record annual non-GAAP gross margin of 57 percent.
We invested in our business.
Speaker Change: with over half of our six percentage point operating expense growth going to increases in R&D and innovation.
Speaker Change: All adding up to a remarkable profit growth of 70%, yielding an EBITDA margin of 15%, representing a 5 percentage point increase from 2023.
Now looking ahead to 2025, our business strategy remains consistent.
Speaker Change: As previously mentioned, we believe the wave of voice AI is approaching and will stay focused on three key principles.
strategically investing in our business.
Profitable Growth
and strengthening our capital structure.
Speaker Change: Along with these three principles, our 2025 outlook is shaped by two additional specific factors.
first.
Speaker Change: We factored in the expected off-year fluctuation in political campaign messaging.
Speaker Change: The 2024 election cycle activity generated $62 million in total revenue that, of course, won't reoccur this year.
Second, our 2025 full-year guidance overall represents prudence.
predicated upon the evolving economic conditions moderately stabilizing throughout 2025.
Speaker Change: Taking these factors into account, we expect full year total revenue of $740 to $760 million.
Speaker Change: which reflects growth of 8-11% when normalized for 2024 cyclical political campaign revenue.
Speaker Change: In terms of EBITDA, we expect to continue to benefit from the operating leverage inherent in our business model.
And that's why, like the last two years,
Our guidance shows continued ebidog growth.
Speaker Change: with implied gross margin and free cash flow growth that exceeds our reported top-line growth.
Speaker Change: Accordingly, we expect EBITDA to grow to $86 million at the midpoint.
Speaker Change: Our 2025 Profitability Outlook reaffirms that we're on track to achieve our 2026 target of a 20% adjusted EBITDA margin.
Speaker Change: With that, I'll now turn the call over to the operator for the question and answer portion of today's call.
Speaker Change: Thank you. If you would like to ask a question, please press star with a 1 on your telephone keypad.
Speaker Change: If you are using a speakerphone, we ask that you please pick up your handset before pressing the keys.
Speaker Change: If at any time you'd like to withdraw your question, please press star then two. Once again, that's star then one if you have a question.
Speaker Change: And today's first question comes from Arjun Bhatia with William Blair. Please go ahead.
Yes, perfect. Thank you for taking the question.
Speaker Change: One quick one, if I can just start on the fourth quarter results. It looks like if I am
backing out political, it looks like cloud communications revenue.
Speaker Change: Ex-political growth slowed slightly in Q4. So, Daryl, I'm curious what...
Speaker Change: What kind of, excluding all the political noise, what ends up playing out in the fourth quarter and how you're thinking of fourth quarter results plus that hundred twenty-two percent net retention base as a as a starting point for your 2025 plans here.
Speaker Change: Hey there. Thank you. We were really pleased with the execution this last year in 2024 with our record performance across.
revenue, profitability, and free cash flow.
Speaker Change: For the full year, cloud communications grew 13 percent, and when we adjust for the political campaign revenue, it grew 8 percent.
Speaker Change: For the fourth quarter, those adjustments were cloud communications revenue growing 15% and excluding campaign, 7 point something percent. So I think that it's pretty much, the fourth quarter is really honestly in line with the full year.
Thank you. Thank you.
Speaker Change: Enterprise. It seems like they're certainly getting some traction here with Maestro and Direct Enterprise. Should we expect that to be the...
Speaker Change: big growth driver again in next year as we're looking at the outlook. And could you just please touch on the macro and the demand environment? It sounds like things are improving there, which is great to hear.
Speaker Change: with a midpoint of $750 million, which is 9-10% growth at the midpoint when normalized for the $62 million of political campaign messaging cyclicality.
Speaker Change: So that 9-10% growth at the midpoint is, we think, is sturdy.
Speaker Change: is sturdy and we're seeing that from the expected growth across each of our customer categories.
Speaker Change: Global Voice Plans, Enterprise Voice, and Programmable Messaging. We're actually, with Global Voice Plans, we are expecting that the growth in 2025 to be
more than it was in 2004.
Speaker Change: And that's a large portion of our revenue, and we're seeing, as we said in the prepared remarks, we're seeing...
both stabilization and growing momentum.
Speaker Change: And we're really gratified with what we see as our customers' initiatives in AI, which drives cloud usage across our network. So we're pleased with that. Enterprise Voice continues to be.
in, you know,
Speaker Change: a really good driver out by from a small base. And we see early good traction already in 25 on that. And programmable messaging, we think, we see that pretty much steady on when adjusted for political campaign. Programmable messaging.
Speaker Change: We've been really proud of, in terms of the commercial aspects of that, again, adjusting for the political campaign cyclicality.
Speaker Change: Our commercial programmable messaging growth has well exceeded the growth of others and we believe we're taking market share and we'll continue to take market share.
Thank you. Thank you, Daryl. Appreciate it.
Speaker Change: Thank you. And our next question today comes from Ryan McWilliams with Barclays. Please go ahead.
Hey, guys. Thanks for the questions.
David just...
Speaker Change: I loved your breakdown on why bandwidth was positioned well for the voice AI agent opportunity.
Can you just talk about what, like, your customers are...
Speaker Change: talking like describing their demand for that like is that a like a couple years from now or is that happening now?
And then how does bandwidth...
Speaker Change: relationships with the contact center provider help win those voice AI agents that are attaching either before or on top of the contact center. Does that help your competitive positioning there?
Thanks.
Speaker Change: Thank you, Ryan. Those are great questions and some of the examples we gave in the period I think really highlight the answers.
The leading global hospitality brand that we talked about has...
Speaker Change: an AI agent experience for their customers that are staying in their hotels. And they've really revolutionized the guest experience by allowing that AI agent to always be available.
The customer can speak to access everything from room service.
Speaker Change: to housekeeping. Importantly, when the AI agent needs to escalate, then it gets routed directly to hotel staff. So that leading brand already has an agent in market and used bandwidth in order to give that AI agent a voice.
Speaker Change: The second part of your question, regarding contact centers and what role do they play, I think is really illustrated by the Fortune 25 healthcare provider that we talked about. They were switching cloud contact center platforms.
Speaker Change: And the incumbents gave them an incredibly long time frame for doing so. The incumbents gave them no...
Speaker Change: Maestro equivalent orchestration layer that allowed them to be pre-integrated with the new contact center platform they were migrating to, nor was there any way to integrate AI capabilities that this Fortune 25 health care provider has on its roadmap.
Speaker Change: So, whether it's a leading hotel globally that already has an agent in market that's serving customers, or a Fortune 25 health care provider that's planning for that agent
Speaker Change: AI future, we are watching our enterprise customers make decisions, whether it's to migrate between cloud contact centers or to give an AI agent a voice. We're seeing that today.
Speaker Change: Daryl, just on the first quarter guide, any puts and takes there? I know we're coming off the election, but it just seems a touch more conservative than folks were expecting. And any fluctuations in macro in the fourth quarter or in the first quarter that we should think about? Thanks.
Speaker Change: Thank you, absolutely, Ron. Our first quarter guidance of $169 million at the midpoint is relatively flat year over year from the first quarter of 2004, but it is up 4% normalized for the $8 million of political campaign benefit in the first quarter of 2004, the prior quarter.
Speaker Change: So we are seeing growth there. Now, in terms of the mix within top line cloud communications and surcharges.
Speaker Change: We are expecting surcharges to be lower in the first quarter of 25 than they are in the first quarter of 24. That's just based on mix, and it's based on the fact that there was $5 million of political messaging surcharges in the first quarter of 24 as well. So we have those dynamics going on.
Speaker Change: That essentially explains it across our organic growth. And Ryan, I just want to add to Daryl's comments there. This is the 29th straight quarter.
Speaker Change: And it's all quarters since we've gone public that we are meeting or exceeding our guidance. And that's just the team that we are when we look forward. We make sure that we are projecting what we know we can do. But if I zoom out back to your earlier question about AI agents.
Speaker Change: firm conviction is that the AI agent moment that we're in will exceed as a durable opportunity for us and our space what work from home represented
Speaker Change: back during COVID. That was temporary. Work from home was a fad. The AI future for voice, it's the future. It's no fad. And it represents, we think, an extraordinary opportunity. But the guide that we have is based on the present. Our enthusiasm is based on the future.
I appreciate that perspective and color. Thanks, guys.
Speaker Change: Thank you. And our next question today comes from Patrick Walravens with Citizens Bank. Please go ahead.
Patrick Walravens: Thank you. Two questions. First of all, can you just talk a little bit about what's going on in terms of your
Speaker Change: Enterprise go-to-market and the sales force. So like that hotel deal that you described, David. How do you land something like that? Is that a salesperson? And then, Daryl, if you wouldn't mind touching on where we are on
Patrick Walravens: So the long-term prospects around the debt, that would be awesome. Thank you.
Thank you, Pat.
We have an early channel program.
Patrick Walravens: that is going to market with indirect partners and that's proved to be effective, but these large enterprise customers...
Patrick Walravens: That we're growing and revenue for the enterprise space for us was up 29% year over year in 24, but those customer wins like I talked about.
are
Patrick Walravens: almost always direct right now. Our channel progress is early. We're excited about it, and we've got a lot of catching up to do to compete well in that space with others that are already there. So our go-to-market motion in Enterprise is direct.
We...
Patrick Walravens: have an excellent chief revenue officer and enterprise team. They're active, and these wins represent their hard efforts.
Daryl Raiford: Hey Pat, this is Daryl. In terms of our capital structure and our balance sheet strength and in specific your question around leverage and debt, long-term debt.
Daryl Raiford: Yesterday, it's worth probably remarking, yesterday we entered the market and completed a repurchase of essentially the remaining $35 million of the 2026 notes that will be due in March of next year.
Daryl Raiford: We purchased as much as we could subject to the repurchase rules, and that was just a little short of $30 million. So, you know, that's essentially done, and we did that with just cash on hand.
Daryl Raiford: Looking forward, the March 1st of April, March 2028 notes of 250 million dollars at face amount, we think that that represents
very
Daryl Raiford: very manageable leverage. If you take our last, not next 12 months, but if you take our last 12 months $82 million of EBITDA
Daryl Raiford: and you adjust for the recent repurchase of the almost $30 million on that $35 million of 2026 and you take into account the 250 and you subtract out cash on hand to get to a net debt balance. We're running it just at 2.0 or
Daryl Raiford: on last 12 months' EBITDA, or just slightly less than 2.0 on the round.
Daryl Raiford: of Leverage on Net Debt, and we feel that that is...
Daryl Raiford: extraordinarily manageable and you know really suitable for our size company. So we really don't have a conversation internally anymore around leverage. We're really focused on our growth prospects and our investments in AI.
That's terrific. Thank you both.
Thank you, Pat.
Speaker Change: And our next question today comes from Metta Marshall with Morgan Stanley. Please go ahead.
Metta Marshall: I just wanted to ask a little bit more about kind of maestro traction. Is there a way to kind of
Metta Marshall: say how many accounts have grown on Maestro kind of year over year, or a way to kind of contextualize, are these largely new customers that are coming to the platform or existing customers? And just kind of.
Metta Marshall: What efforts are being made particularly for existing customers to kind of upsell them the maestro product that'd be helpful. Thanks
Thanks, Mita.
Metta Marshall: The customer examples we gave in the period are just a selection of hundreds that have
Metta Marshall: begun using Maestro. And when we say hundreds, keep in mind our average customer spend annually is over $200,000 a year, and we don't have free-to-use customers. The three examples we gave all
Metta Marshall: focus on Maestro as a path forward for them to orchestrate different aspects of their voice solution, and that includes lots of AI agent use cases.
Metta Marshall: So, while we haven't provided KPI or particular metrics yet on maestro revenue or things like that, it's hundreds of enterprise customers.
and that's very significant.
It's not thousands and thousands of developers using for free.
Metta Marshall: These are folks that spend significant money with us today and new to your good second part of your question.
And that layer is often, I think...
Metta Marshall: This layer welcomes everyone to bring the best agents that they've built. And I think that's really unique. AI Bridge similarly allows them to tap into the pre-integrations to some really powerful…
Metta Marshall: AI solutions that are like Google Dialogflow, like Cognigy, and we've added two more. So both the AI Bridge and Maestro components of our solution are vital.
Metta Marshall: to support the enterprises that are thinking about the future. But the only metric we've provided is hundreds of them are already using it since we launched last year.
Great. Thanks so much.
Speaker Change: Thank you. And our next question today comes from Ryan Koontz with Needham. Please go ahead.
Speaker Change: Good morning and congrats on a nice finish to the year here.
These master fees in your
and your guidance for the quarter.
year ahead.
Thanks.
Speaker Change: Yeah, thank you. That's it's a really great question. We we started the year from the first quarter of last year through the fourth quarter with the growing political mix and just the growing political demand campaign demand that was in within the messaging overall sales
Speaker Change: We saw that their attach rate and their mix of surcharges
Thank you. Thank you.
increased.
Speaker Change: and it differed from what the normal mix of surcharges or the attached rate for surcharges would be for our commercial messaging customers in aggregate.
Speaker Change: We do expect that in the first quarter of 2025, that now, absent the political campaign cyclicality,
Speaker Change: and, say, more efficient or a lower attach rate to a dollar earned in commercial messaging, but not just from political campaign, but on average as well. So you're seeing that. So that's a good dynamic to point out, and I'm glad you asked that question.
Speaker Change: Great, thanks. In terms of new developments, you talk a lot about the impact of AI with Maestro on your voice business. Are you starting to see much of an impact from AI implementations maybe from your customers using LLMs on messaging volumes?
Speaker Change: solution that we have related to AI. It's important because messaging has grown but make no mistake.
Speaker Change: The future of AI as an experience in business-to-business and in consumer is in voice.
Speaker Change: So, if you zoom out, ChatGPT and the text-based interface that AI really began with is very, very quickly hurtling toward an elegant voice-to-voice interaction.
Speaker Change: interface and it will be the primary way that most folks engage with and utilize AI. Grok 3's voice service I think drops this week and we've been watching many many go-to-market AI opportunities relative to voice. So we're thrilled and excited to be in the tech stack.
Speaker Change: and in the solution roadmap for AI's primary user experience, which is voice.
Speaker Change: Got it. Really helpful, David. Thank you. And any quick thoughts about RCS and if that starts to impact the messaging business at all?
and 25.
of the messaging strategy, especially for businesses.
Speaker Change: And it's a proof point for our leadership historically in messaging. We are an RBM partner with Google. We were very early to market with them.
Speaker Change: The speed of the U.S. mobile operator rollout is important. Two of the big three are now operational for testing, which is awesome. But yes, RBM, RCS, both game changers for business messaging, and we are going to be a leader for large enterprise.
Speaker Change: on that dimension and just like we are today in SMS.
Great. Dave, thanks so much for the questions.
Thank you very much.
Thank you.
Speaker Change: Thank you. And our next question comes from Will Power of Baird. Please go ahead.
Will Power: Okay, great, thanks. Yeah, I really just kind of want to follow up on some of the previous comments on growth drivers for for 2025, particularly the global voice plan. It sounds like you do expect growth to improve.
Will Power: And I wondered if you could drill down any further as to the drivers there.
Will Power: share gains within UCAS or CCAS or just better trends within one of those customer cohorts? Any other color I guess you can provide on the visibility and the opportunity there?
Will Power: Thanks, Will. You know, we launched the Universal Platform and are watching it...
Thank you.
Will Power: Watching its uptake globally. So footprint, I would describe as the most important first driver that underpins the expansion of our global communications plans that on top of that enterprise adoption of our platform that immediately scales globally. So if you have a US domiciled enterprise that comes on board almost every time they have a global need. And so that drives global communications.
Will Power: plans in our forecast, and then last, as I've talked about,
Will Power: There is not a significant enterprise anywhere that isn't already neck-deep understanding the voice agent opportunity that they have and so that will also drive part of our growth and forecasting for GCP and globally for voice.
Okay, great. Thank you.
Will Power: Thank you, and ladies and gentlemen this concludes our question and answer session and today's conference call. We thank you all for attending today's presentation. You may now disconnect your lines and have a wonderful day.