ADSK
#Thanks, Cal.
Yes, <UNK>.
The one thing when you look year on year and you've got the data now for the full year of FY17, the nonrecurring element of course included six months of sweep perpetual license sales.
There won't be any suite perpetual license sales of course.
That means the total nonrecurring revenue year on year is coming down pretty significantly.
So we gave you a couple of data points earlier.
So we guided revenue into a range of $2 billion to $2.05 billion.
And said in the opening commentary that we expect 90% to be recurring.
If you do the quick math you could say the nonrecurring piece is going to basketball park $200 million.
If you look at what that was last year, that was closer to $500 million.
Where the difference is in the year on year it's certainly we're seeing great growth on the recurring side.
You see that in our ARR guide.
But the nonrecurring element of course is coming down year on year.
You'll see the same thing from Q4 to Q1.
You'll see the nonrecurring elements coming down pretty significantly.
One of the reasons we structured the program the way we did is we were really focused on minimizing the churn off of that maintenance base.
We feel that the way we structured the program, the huge incentives for loyalty that we're giving to maintenance customers is really a churn minimization plan.
We're feeling pretty confident.
Our competitors have historically tried to make incursions into our installed base as we moved to subscription.
The truth of the matter is none of them have been particularly successful.
It's really hard to compete with software that's at prices and accessibility levels that are far below what they've been historically when you come in with more expensive perpetual software.
Competitors try to make incursions.
They haven't been successful.
I think we structured this program as a churn minimization program with a primary goal.
Thanks, <UNK>.
