Good morning everyone and welcome to the Kaltura Second Quarter 2021 Earnings Call. This call is being simultaneously webcast on the Company’s website in the Investors section under Events. For opening remarks and introductions, I’ll now turn the call over to Erica Mannion at Sapphire Investor Relations. Please go ahead.

Thank you, and good morning. With me today from Kaltura are Ron Yekutiel, Co-Founder, Chairman and Chief Executive Officer; and Yaron Garmazi, Chief Financial Officer. Ron will begin with a brief review of the business results for the second quarter ended June 30, 2021 and an overview of Kaltura. Yaron, will then review the financial results for the second quarter, followed by the Company’s outlook for the third quarter and full-year of 2021. We will then open the call for questions. Please note, this call will include forward-looking statements within the meaning of the Federal Securities Laws, including but not limited to statements regarding Kaltura’s future financial results, and management’s expectations and plans for the business. These statements are neither promises nor guarantees, and involve risks and uncertainties that may cause actual results to differ materially from those discussed here. Additional information that could cause actual results to differ from forward-looking statements can be found in the Risk Factors section of Kaltura’s prospectus, filed with the SEC on July 22, 2021, pursuant to Rule 424(b) and other periodic SEC filings, including the quarterly report on Form 10-Q for the period ended June 30, 2021 to be filed with the SEC. Any forward-looking statements made in this conference call, including responses to your questions are based on current expectations as of today, and Kaltura assumes no obligation to update or revise them, whether as a result of new developments or otherwise, except as required by law. All material contained in the webcast is the sole property and copyright of Kaltura with all rights reserved. Please note, this presentation describes the non-GAAP measure, adjusted EBITDA, which is not prepared in accordance with US GAAP. For a reconciliation of this non-GAAP financial measure to the most directly comparable GAAP metric, please refer to our earnings release. Now, I’d like to turn the call over to Ron, Co-Founder, Chairman and Chief Executive Officer.

Thank you, Erica. And thanks to everyone for joining us on the call this morning. We’re excited to report our first quarter as a public company. I want to start off this special call with a few quick acknowledgments and thanks. First for amazing team, employees, partners and long-time shareholders or as we call ourselves, Kalturains, for always dreaming big for your unwavering dedication, passion and resilience, and for your steadfast commitment for founding values of openness, flexibility and collaboration. Second to our loyal customers, for your partnership, trust and support, and look forward to continuing to videofy the world with you, as they say in the Olympics, faster, higher and stronger together. And lastly, most importantly, to our new shareholders, thank you for your vote of confidence. We’re excited to have you join our extended family. Our journey to power any video experience for any organization has only just begun. We are all energized and thrilled to enter this new chapter and strongly believe that the best is very much ahead of us. I’ll start this morning with just a few opening financial highlights from the second quarter, then, because it is our first earnings call, I want to take some time to provide an overview of our business and market opportunity, as many of you may be new to the Kaltura story. After which, I’ll provide more details on the passing quarter and the road ahead. We reported a very strong second quarter, fueled by robust bookings, sales force productivity and net dollar retention rates. Our revenue for the quarter was $41.6 million, up 45% year-over-year. Subscription revenue for the quarter reached $36.5 million, an increase of 46% from the prior year and represented 88% of total revenue. Our annual recurring revenue run rate grew to $145.4 million,…

Thank you, Ron, and good morning, everyone. As I review the second quarter results today, please know that I will be referring to our non-GAAP metrics. The reconciliation of GAAP to non-GAAP financials is included in today’s earnings release, which is available on our website. Given that this is our first quarter as a public company, I want to start sharing some perspectives about our business model, our financial profile, then I will walk through highlights from our second quarter, and finally, I will close with the guidance for the third quarter and the full year before we open up the call for question. As Ron mentioned, we organize businesses in two reportable segments, Enterprise, Education and Technology or EET, and Media & Telecom or M&T. These segments share the common underlying platform, consistent of our API-based architecture as well as the unified product development, operation, and administrative resources. Our EET segment includes revenue from all our products, industry solutions for education customers and media services, except for media services and telecom customers, as well associated professional services for those offerings. Subscription revenues are primarily generated on a per full-time equivalent basis for on-demand and live products and solutions, per host basis for real-time-conferencing products and solutions, and per participant basis for the Virtual Events product. Contracts are generally 12 to 24 months in length. And average implementation time ranges from three to six months. Our M&T segment includes revenues from the TV solution and media services for media and telecom customers, as well as associated professional services for those offerings. Revenues are generated on a per -- and subscribed basis for telecom customers, on a per video play basis for media customers, contracts generally two to five years in length and average implementation time is range from 9 to…

Thank you. At this time, we’ll be conducting a question-and-answer session. [Operator Instructions] Our first question comes from the line of Daniel Bartus with Bank of America. Please proceed with your question.

Hey guys. Congrats again on the IPO, and thanks for taking the question here. First, I wanted to ask about the EET strength. Sounded like you’re certainly seeing broad demand, but can you help us understand what’s driving that strong growth a little bit more, by maybe ranking which products are driving it most in 2Q there?

Sure, Dan. Thank you for joining, and thank you everybody else for your time here again. Broadly, it’s been a record new booking quarter for us. Previous record was Q1 2021. Strong contribution came across all markets. We had a similar contribution to bookings by the way, between new logos and upsells. For EET bookings specifically, a significant part of our deals in the first half of the year in the second quarter were for new products, virtual events, webinars, virtual classrooms, along with town halls. The majority of our new business supported live and RTC experiences. So, to remind you, this is something we started last year. And also the town hall had been there for a while, but all the new ones have added. And now, the fact that this is half of our business for EET is quite significant. Our upsells were balanced between acquisition of more products, in line with our multiproduct per customer approach. And we had also an increase in the number of licenses or in consumption usage; I’d say generally 50-50. On a geo basis, again, EET deals were mainly North America and M&T deals were mainly in EMEA. There’s also an increase in the percent of booking from channels, which we expect to see more throughout the year. One small interesting note is that we started seeing a reduction, as expected of the percent of professional services booking from total bookings. That’s both, by the way in EE&T and an M&T. That’s because of what we expected to see as increased productization, and the trend is also starting to affect revenue impact as well. ARPU remains strong like it was before. Pipeline remains strong. We’re absolutely on route to having a great strong year. Maybe Yaron, you want to add a bit how this affects revenue in EET and maybe also in M&T. Go ahead.

Yes. Thank you, Ron. And Dan, thank you for joining and for the questions. Yes, obviously, as Ron mentioned, we see the growth coming across the board from all segments. By the way, it’s not just EE&T that’s growing very nicely. We are not showing booking number, but I can tell you this also on the M&T. We saw a very significant booking momentum going into this quarter. Actually the booking that we had for this quarter was basically equal to the same booking that we had last year for this quarter. So, down the year, you would probably see a very nice catch-up in terms of the revenue coming also from this segment. The other trend, which is very important and Ron mentioned it, professional services, as a percentage of revenue is going down. So, the acceleration that we see in revenue, both in Media & Telecom, and the Enterprise, Education & Tech OEM is accelerating very nicely, especially in recurring revenue.

Maybe one -- couple points, the fastest growing revenue growing was tech OEM followed by enterprise, then Media & Telecom. And then, lastly, you’re almost referring to Media & Telecom was the only market that was growing under 30%. But as mentioned now, it’s kind of rebounding because of significant booking in post-COVID for Media & Telecom. So, we expect that to grow up strongly into the future. Does that answer your question, Dan?

Yes, certainly. Yes. Thanks for all the color guys. And then, this is a follow-up, maybe for either of you, I wanted to ask about net retention rate a little bit, because that’s improving nicely here, too. Just curious at a high level, with all your new products, where do you think the net retention rate could go from here? And maybe more specifically, Yaron, what do you have baked in your second half’s guidance for net retention rate? Thanks.

Yes. Let me kick it off, and then pass it over to Yaron, okay, general statement about retention rates. So first, in the second quarter, we had about a quarter of our yearly renewals. And we had even better gross retention rates, we’re not reporting on them. But just to understand that even Q1 and last year Q2 last year, they continue to be best-in-class for the enterprise industry. So, our unit churn is also very low, similar to our dollar churn. And gross churn of our new 2020 cohorts of customers was not different than the other cohorts before. So, a lot of what’s fueling us forward is upsells, but also bearing in mind that the gross retention is looking really, really good. Yaron, do you want to talk about net dollar retention? Go ahead?

Yes, a few more comments on the net dollar retention rate. So first of all, it was growing very nicely this quarter, as you mentioned to 121% from 116% last quarter. Just to remind us, the two years before it was 105% and 107%. The growth and acceleration we see across the board. We are not breaking up and we will not be providing guidance into the net dollar retention rate for the future. But, I can tell you that we see that growth in usage and users is coming mostly for media and telecom and tech OEM, absent from enterprise and education with the introduction of the new product is coming across the board. And we expect to see it accelerating going forward. We will not be sharing specific guidance for the numbers going forward for the net dollar retention rate. But, I can tell you that the momentum that we see is very strong, and we feel comfortable on this number going into the next two quarters of the year.

Yes. One last comment, I’d say, we reported on continued increase in the average revenue per customer, it grew by another 27% year-over-year. And that’s fueled both by new and exciting and big products that we’re adding and people are upselling, but also just by the nature of adding multiple products per customer, as that has always been the case. We stated that half our customers are using three plus products. That’s continuing. So, that’s the strong trend.

Thank you. Our next question comes from the line of Michael Turrin with Wells Fargo Securities. Please proceed with your question.

Hey, there. Thanks. Good morning. Q2 metrics continue to accelerate the outlook you’re providing. It does suggest a bit of a slowdown in terms of growth rate, especially heading into Q4. Is there any commentary you can provide around just the overall approach to guidance? How much conservatism, if any, is built into that second half outlook? I know Ron mentioned some of the investments you’re making should start to ramp in the back half as well. I’m just wondering if those could present upside potential or just anything else you can provide in terms of the outlook and color on that. Thank you.

Thank you, Mike. I’ll let Yaron start off and maybe I’ll add a few points after. Go ahead, Yaron.

Obviously, you saw the guidance and the numbers that we have provided for the quarter. You’re right that the second part of the year, there is a deceleration in the growth rate. By the way, it’s much slower trend that what we expected to see. So, numbers are better than what we expected in terms of the deceleration. The growth that we provided for this year is roughly 36% for the overall company for the full year. We obviously started two quarters around 45%. So, you can see that there is some kind of deceleration in the second part of the year as we expected it to be. But few points that are very important. First of all, if you look on the blended between recurring and non-recurring revenue that we had in Q4 last year, which impacted the growth rate -- the basis for the growth rate of this year, you will see that the major part of the increase in Q4 last year was related to non-recurring revenue. Actually 18% of the revenue was non-recurring. If you look on the trend going into the first half of the year, right now, the non-recurring revenue, the professional services revenue is just 13%. We believe that this trend will continue into the rest of the year. So basically, if you do the math in terms of what’s going to be the growth rate of the recurring part of direct business, you will see that it’s definitely not decelerating as a the overall company, and it’s going to get very close to the overall growth rate of the company. So, if we take out of the equation, the non-recurring revenue, definitely the deceleration is much, much slower, smaller, and it’s way better than what we expected. And the main reason that it’s way better is the booking and the churn rate that we faced during Q1 and Q2. So, to make the long story short, it’s very important, if you look on the trends of the recurring revenue, and it definitely getting to the overall, very close to the overall growth rate of the Company, which right now, as I mentioned is in the 36%. And the most important part, as Ron mentioned before, we are increasing the investment in sales and marketing and the fruits of the new products is we are starting to see. As Ron mentioned, it’s very important. But Ron, you can probably highlight more.

Sure, happy to do that. And thanks again for the question. So, look, we expected slowdown in Q3 and Q4, it was there all the way from the beginning in our model, mainly because we’re comparing post-COVID versus post-COVID. Obviously in the first half of the year, we got all the bumps from COVID and as we advance, that’s affecting us. But, it’s not just because of COVID. As you know, for years we maintain sales and marketing spend the same way. And improvement was done mainly because of the improved efficiency. You remember it ultimately went from 5 to 7 to 11 and remained at 11. If it’s not continuing to grow, then efficiencies are as is. And what you’re waiting is for more sales people to come around. So, this is what’s starting to happen. We started increasing our number of sales people at the end of last year, the beginning of this year. They’re mainly coming up and ramping up with the second half of this year. And it’s not just the time that it takes for them to ramp up, it’s the customers, and then the gradual recognition of subscription revenue. It’s all about going to mainly contribute in 2022 into next year. So, that’s quite significant. Then, if you look at the longer term other than the next couple quarters and other than the ramp-up in the sales people, that’s the most important one, we expect the increase in activities with channels and strategic partners, which are going to support the growth. We’re seeing the great traction of our new products. And we just started scratching the surface with this, virtual events, webinars, virtual classrooms. As I mentioned earlier, they’re a big part of what we’re selling right now. It’s just the beginning. And we’re developing a new set of products and solutions during down markets to self-serve and low-touch. And that’s going to enable us to grow faster as well. So, a lot of things going there as well. Go ahead, Yaron.

Yes. And one main point regarding the guidance that we provided. Obviously, we provided the guidance that we believe for the rest of the quarter, but we will work very hard to try to beat those numbers.

Our next question comes from the line of Matt Niknam with Deutsche Bank. Please proceed with your question.

Hey, guys. Thanks for taking the question. Congrats as well on the IPO. I had a question about demand. And I think, Ron, you may have alluded to this a little bit, but maybe if you can expound. We’ve heard some peers starting to talk about moderation or sort of rightsizing of demand in recent weeks, maybe as they start to lap some of the peak initial benefits from COVID last year. I’m just wondering if you can comment on whether you’ve seen anything similar across any of your core verticals. And then, maybe as a follow up there, with the proliferation of the Delta variant, I’m wondering if that’s had any meaningful effect or change on customer demand in more recent weeks. Thanks.

Thanks for the question, Matt. So, we have not seen a slowdown in demand. One thing to remember for us as a company, we’re a very horizontal company, addressing a lot of different markets between enterprise, education, media and telecom, tech OEM embedded all these different things; and also that we’ve not been one of these companies that have pumped up during COVID because of consumption and usage and then come slowing down. If you remember last year, we spoke a lot about the fact that we have FTE-based pricing versus usage and the fact that the growth was not picked up by consumption. If any -- our gross margins were pushed down because of that. So, if any, what we’re seeing is maybe slightly less consumption levels, which are starting to improve our gross margins. We can talk more about that. But we’re not seeing in our pipeline a softening of the demand, because we have also all these new products that are very exciting that we started adding late last year. We’re seeing a lot of demand for these products, which we didn’t cater to before in the last few years. And so, maybe it’s hiding some undercurrent of what generally people want, but where we are in the market right now, we’re seeing a lot of growth. As for Delta, we don’t see a lot of that impact. And I think the reason is that we’re good either way. I mean, definitely, we’re supportive of remote work and remote teaching and learning. But the underlying trends for which we power our customers have been there for the longest time and they’re continuing. I’m going to give you a couple of examples. In teaching and learning, it’s not just about people staying at home and learning. It’s about the continued trend of what’s called the flip classroom where people might be coming back to school in order to do their homework together with their teachers and trainers, but they’re going to stay home in order to listen to the lectures. And so, we definitely see a lot of these trends continuing, and we’re seeing strong renewals as well. That’s very encouraging. In the last few weeks, there were a lot of renewals for virtual events for both virtual and hybrid. Even those that have been considering to have physical events are wanting to have back-to-back virtual events. And the reason for that is they see that as a lifelong tool for engaging their customers and communities. It’s replacing the historical way of doing marketing. So, it’s not just instead of the physical, it’s an addition. So, the short answer is, at this point, we’re not seeing any softening. Does that address your question, Matt?

It does. And if I could just throw in one last follow-up. You talked about the potential for maybe some moderating consumption, which actually is a tailwind to your gross margins. And then, also in the commentary, you spoke a little bit about how professional services may be moving lower as a percent of total revenue. So collectively, those seem like dual tailwinds for profitability. I’m just wondering, I guess, bigger picture, how does that, if at all, affect maybe road map or visibility towards a return to profitability over the next couple of years?

Yes. Maybe this is a good chance for Yaron to talk a bit about gross margin. I’ll add a few things, but let us talk about gross margin. Go ahead, Yaron.

Yes. Obviously, you saw that gross margin for the quarter was 62%, which grew -- it’s even better than what we had in last -- in Q1 this year. If you look on some of the challenges that we saw in the beginning of the year or even the end of last year due to the fact that we had to move to our public cloud, all of it is behind us. So, in many cases, we came back all the way to the gross margin that we had before COVID. We saw it both in Enterprise, Education and Tech OEM, and also in Media & Telecom. Actually, in Media & Telecom, we see a very nice improvement in gross margin, even in a more significant phase going forward. And this is even before the big change. As you mentioned, the portion of nonrecurring revenue is decreasing, definitely at the first part of the year, and we believe that this trend will continue into the future. So, if you take the overall profile of the gross margin, we do see a scenario that it’s definitely balanced itself to the level that we were before COVID. For the short term, for the short term, we are probably -- we are not providing any guidance on gross margin, but we do not expect it to go much lower below the level that it is right now. And for the midterm, definitely, it’s going to improve for some of the reasons that you mentioned, especially the fact that we are reducing the portion of the non-recurring revenue growth, and we are continuing to optimize our system. So, to make a long story short, definitely, we see a very-balanced situation of the gross margin. It’s not going below the 60% as we had some pressure before. And down the road, we will see a scenario that will improve. It’s definitely a trend that will help us to improve the overall gross margin and take us back to profitability. We are not changing the view of the mid to long-term profitability to come back to a run rate of profitability in the next couple of years. It’s still the plan. Obviously, we will monitor it very carefully as we are adjusting our expense base, and we are investing so much to fuel our growth. But definitely, the overall plan didn’t change to take the Company to profitability.

Yes. Thank you, Yaron. I’ll just say that our current 62% consolidated gross margin is not too far from our pre-pandemic consolidated in 2019, which was 63%. And we did have a quarter-over-quarter improvement in our subscription gross margin because of everything that we said, the move to AWS and the consumption levels that are somewhat coming down. But it’s still -- we’re still lower than the pre-pandemic subscription GM, not in Media & Telecom, which improved across everything, both the ratio of recurring and nonrecurring and the subscription GM is much better. But in EE&T, it’s still because of the heavier weight of all the accumulated pandemic storage and some of the consumption, we think it’s still going to improve. And with that improvement in ratio of professional services versus recurring revenue is going to continue to help us. And that’s both in EE&T. So, if you look at virtual events, the first ones we acquired a lot more professional services than the ones that we’re doing now and definitely the ones we’re going to do in the future. So, in the longer term, everything is going to scale towards the same direction that we spoke about in recent weeks and months. And we’re optimistic on the growth of the gross margin. Thanks again for the question.

Thank you. Our next question comes from the line of DJ Hynes with Canaccord Genuity. Please proceed with your question.

Hey guys. Congrats on the IPO and nice start here. Ron, I was hoping you could talk a little bit about the ed tech market and where they are in terms of buying cycles. I would have thought that a lot of higher ed and even K-12 buyers would have made their video bets last year during the pandemic. So, wondering if there’s any risk that sets us up for softness in the vertical over the next couple of buying cycles. Can you just talk about that dynamic and what you’re seeing in that market?

Happy to do that. So, as you know, we power half of the R1 schools in the U.S., including 7 of the 8 Ivy League schools. And we’ve been for years the leading video content management system that runs and manages everything video in all these different schools. Throughout the years, we’ve started to go down market. Part of what we’re doing now is moving deeper into K-12 schools and more government deals that are taking full countries and full regions. And I’d say, more generally, we have moved, as you know, from VOD live to RTC, and with the addition of our virtual classroom product, are in a wonderful place to consolidate the full stack between on-demand live and real time. And that’s something we hadn’t had to-date. This is -- it started at the end of last year. It’s starting now to get into what we do in 2021. And we’re seeing the initial acquisitions of these products that integrate it all together. Now, to be clear, we are integrated into Zoom and into Teams and into all the RTC providers, and we’ve actually launched this quarter a better integration with some of these. So, that enables us to provide even more value for those that are using Zoom or Teams for the virtual classroom element. But the alternative that we offer now that enabled everything to connect to the grade book into the LMS and to have a continuous solution from on-demand live in real time is really, really attractive. So, I think that some schools had put a patch. But, as they look into the future, they’re not looking at just adding remote people, but truly disrupting how education is done in this post-COVID world. And they’re not just interested in piecemeal solutions but a full end-to-end remote solution for on-demand live and real time, and Kaltura’s in a wonderful place to do that. So whether it is increasing wallet share through real-time with existing universities or going down market to K-12 and going global, we still have a lot of juice to go with education.

Got it. Yes, that makes sense. And then, maybe as a follow-up, I want to ask a little bit about the strategy with your meeting solutions, right? I think investors hear that category, and they immediately think, oh my God, Zoom, Teams, Meet, like how is Kaltura differentiating the space, right? Is it really about kind of wrapping the rest of the portfolio around it? Maybe you could just talk a little bit about that. Thank you.

Sure. So, first of all, we’re not really selling at this point aggressively for the collaboration and communication use case for RTC or ergo going after Zoom or Teams. The RTC is in addition to our learning and development internally for training with a virtual classroom, for schools. It’s also externally with webinars and definitely as a piece of our solutions for marketing, integrated into the virtual events platform and any other events that we offer. So, the power of Kaltura is a consolidation integration between VOD, live and RTC, not standalone RTC. So, will you see us in the near future selling to consumer or SMB or regular large even enterprise, the pure-play meeting solution, less so in the future, could that happen? It might. One of the things that we’re seeing is that people definitely on the larger enterprise are consolidating for one vendor that addresses all their video needs to avoid silos and to be able to have less redundancies. And Kaltura is the number one player that does that. But, we’re also, like I said, integrated into all the other players and we’re the video content management platform that brings together even Zoom and Teams. And a lot of these places where they have one or both, they’d like to have it all managed in 1 place and definitely also integrated outside of the scope of, for example, Microsoft products. And so, the short answer is not direct competition, definitely not SMB and consumer with Zoom and Teams, absolutely as it pertains to integrated workflows for learning, marketing and events and larger enterprise and integrated and consolidating all the different use cases to one platform. Does that address your question, DJ?

Yes. Thank you. Our next question comes from the line of Steve Enders with KeyBanc Capital Markets. Please proceed with your question.

I think you mentioned in the script that the channel is improving as a mix and helping drive some bookings there. I was just wondering what you would attribute the strength of channel partners as part of that. And how are the cloud providers ramping as a partner for you at this point?

Yes. Happy to answer that question, Steve. So, channel for years have been kind of the mid-single-digit, high-single-digit part of our new bookings, I’d say, and are now starting to ramp up to be a more significant contributor to that. Part of the issue was how self-serve or low-touch our products are, right? When you deploy things through channels, you’d like it to be, A, addressing a very large array of customers; and B, relatively easy to sell, integrate and deploy. And that’s not what we historically had been. As you look into the addition of RTC as a capability, we’re now coming to solutions that are catering to smaller companies. And we’re -- kind of go to SMEs, whether it’s K-12 for schools, whether it’s SMEs in the enterprise, whether it’s smaller media companies and media and telecom, whether it’s more the broader start-up community and tech developers for the tech OEM side. And as we open up the volumes, then channels become a lot more relevant, and we’re seeing that start to happen. Some of these channels are value-added resellers and integrators that have specific affinity to specific industries. The one that really drive our attention are the global big ones as well that are catering to Infrastructure-as-a-Service. Video is the biggest consumer and accelerator of IaaS consumption. So, there’s a lot of synergy between IaaS, PaaS and SaaS and video and partners like AWS that are now co-selling and reselling us through their marketplace are benefiting through tremendous amount of consumption of their resources, and they have a 1 plus 1 equals 3. So we’re in the process of training salespeople. AWS is a great partner. We’re also in the process of looking into a multi-cloud strategy to address more partnerships. And so, I think there’s a lot more good stuff to come.

Thank you. Our next question comes from the line of Ryan Koontz with Needham & Company. Please proceed with your question.

Thanks for the question. I want to follow up on your channel model there and the types of partners you’re targeting. It seems like a lot of Infrastructure-as-a-Service partners. As they look at their solutions, what other types of products in their portfolio would they be bundling with Kaltura? Thanks.

Thank you. It depends on the type of partner. I mean if it’s a standard IaaS provider, then it’s enough that we’re basically consuming storage delivery and compute, which we do in gross. So, now, the question is really, are they a value-add provider with SaaS solutions. And that could work in two different directions. They could either have a full OEM deal using our Platform-as-a-Service to videofy their products. As you know, we have announced such a relationship with many players, including Oracle, where they add our video capability into theirs. And if it so happens that it runs on their cloud environment, that’s even better. But, there’s others that could sell a long cycle to or be co-sellers. And that’s especially folks that have sales teams that are addressing the customer experiences or the internal learning and development, HCM type sales, and so it varies. We’re looking for all types of partners, but the ones that are most interesting for us have both, alignment around the Infrastructure-as-a-Service, Platform-as-a-Service and the Software-as-a-Service as embedded and/or as a co-sell resell. And I hope we’re going to have some more good announcements in the months and quarters to come.

Thank you. Our next question comes from the line of Ittai Kidron with Oppenheimer. Please proceed with your question.

Thanks and congrats again, guys, on the IPO. Ron, maybe I want to talk about the upsell opportunity. You’ve talked -- you mentioned before that half of your customers are buying three or more of the offerings. Maybe perhaps you can kind of call out for us what are the three most popular offerings right now? And how would you think that would change perhaps in a couple of years?

So, historically, I’d say that the biggest sellers for us were the core platform that includes our media content management capabilities, together with our video portal, together with our learning platform or integration into the LMSs. So, that was -- and I’m putting aside TV for a second because for TV, we’ve moved gradually from OVP for small media companies to full on cloud TV. But in the EE&T, it was content management, video portal learning platform with LMSs. Now from a momentum perspective, the most popular solutions on the enterprise side are webcasting together with virtual events, and we’re seeing the beginning of virtual classroom. But what’s very interesting is that they come together. So, sell them to people go and say, I’d like to have a webcasting without the video portal or I’d like to have a virtual classroom without the LMS integration or that I’d like to have a virtual event that by the way banks on VOD live and RTC without having the rest. So, it’s in addition, it’s not instead, but they drive a lot of acceleration to what we’ve had before.

Thank you. Ladies and gentlemen, that concludes our question-and-answer session. I’ll turn the floor back to Mr. Yekutiel for any final comments.

Yes. I just want to thank you again, everybody, for your time and attention. I know it’s a busy period. You’ve made a lot of time to stay with us. We’ll be happy to provide you further information if and when you are in touch with us, and wish you a great day and remaining of the week. And talk to you soon. Take care.

Thank you. This concludes today’s conference. You may disconnect your lines at this time. Thank you for your participation.