ADSK
#Yes.
We're not going to, obviously, forecast FY17, at this point.
I would tell you, though, the free cash flow and the operating cash flows will follow closely along with the billings, as opposed to anything in the reported revenues in the P&L.
Both.
It's both.
Both things strongly grew.
And like I said, I think desktop subscriptions will have a more consistently increasing profile, whereas I think EBAs will still be subject to that seasonality.
But I think both will continue on an upward trend.
But what I was referencing ---+ both of those substantially grew.
Yes.
One of the things I would say is that, as you work your models, it's very different when you're at 13% or 15% because your expenses and revenue aren't aligned.
When it comes about ---+ because of the way we account for it, in some ways you're putting money in the bank.
And so the growth rate you can see in EPS or operating margin is dramatically different than happens under normalized conditions.
In some ways, the dollar you put away today that you don't recognize comes back, even though, to some extent, most of the expense of that is already ---+ we've already spent that money.
So I think we've spent a lot of time looking at this.
And what you get, as you come out of this, is dramatic increases unlike increases we've seen in any other year.
And that speaks to the ---+ how well we will do in that year.
What we're really doing is, we're just putting money in the cookie jar right now.
So I think, if you look at it through that lens ---+ kind of simplistic corner store mentality lens ---+ you get it.
The only reason it's not dropping to the bottom line now is through the accounting rules, not due to the fundamental economics of the business.
Yes.
<UNK>, the subscriptions numbers are still overwhelmingly driven by maintenance subscriptions.
And so while we're seeing strong growth in both cloud and desktop ---+ certainly strong growth, year-on-year, but sequentially, very strong growth ---+ in those numbers, they're still small.
And so we're still overwhelmingly driven by maintenance subscriptions.
As the other two become material and we think there's a benefit in breaking that out, of course, we'll do so.
No.
I wouldn't think about it that way.
As we talked about before, we've said, in the first year, we can provide incentives for folks to get there.
There's nothing that says we need to do that in subsequent years.
And I really think of the economics of each of these customers differently.
The other customers have paid a large, up-front amount and, to some degree, deserve to pay less per year, whereas the ones who get this lower, up-front cost can pay more over time.
But I think, in terms of getting people into the system, we will definitely continue to experiment with different price points and see what the results of that are.
And that's one of the things that we've talked about.
But if I read through the lines in what you're saying, I would not model these two things as identical.
I think that would be a large mistake.
Yes.
The other lever there, Walt, of course, is to use value to attract customers to the cloud and desktop offerings, based on the value they provide and differentiate the value of those offerings versus maintenance.
Thanks.
Yes.
So what I would say in the short term ---+ I think, looking at the short term, of moving the millions of people who are non-subscribers on, I think this will be an ongoing thing.
I don't think there's any short-term phenomena there.
I think there will be incentives; there will continue to be incentives.
The places that we encourage them to move will change as the programs change.
But many of the 3 million customers are happy, loyal customers.
And what we're trying to do is change the commercial arrangement between us.
And we will continue to do that by making a variety of offerings.
So there's nothing like ---+ that ended or expired.
There's still a lot of options, in terms of how we go addressing ways to get those customers into the new model.
Yes.
<UNK>, I think you hit the nail on the head.
I think it's a really important point.
Yes, what we've seen is subscribe to Autodesk, which is a flexible licensing program for everyone from our smallest to our mid-sized customers ---+ the people who aren't involved in like those EBAs ---+ those are mostly replacements, in our mind, for suites.
Certainly, some people that have single products will also find that attractive.
It also starts to deal with some of the network licensing things.
Even on our single products, there's a network licensing component.
Many of our customers, even on LT deploy, these in groups, and subscribe to Autodesk begins to address that as well.
We haven't announced detailed plans.
But just to answer your question more pointedly, it will have a bigger impact the following year than it will this year.
Okay.
Got it.
