Good day and welcome to the Palo Alto Networks Third Quarter 2015 Earnings Conference Call. Today's conference is being recorded. At this time, I would like to turn the conference over to Kelsey Turcotte. Please go ahead, ma'am.

Great. Good afternoon and thank you for joining us on today's conference call to discuss Palo Alto Networks fiscal third quarter 2015 financial results. This call is being broadcast live over the web and can be accessed on the Investors section fiscal our website at investors.paloaltonetworks.com. With me on today's call are Mark McLaughlin, our Chairman, President, and Chief Executive Officer and Steffan Tomlinson, our Chief Financial Officer. This afternoon we issued a press release announcing our results for the fiscal third quarter ended April 30, 2015. If you would like a copy of the release, you can access it online on our website. We'd like to remind you that during the course of this conference call, management will make forward-looking statements, including statements regarding our revenue and earnings per share guidance for Q4 of fiscal 2015 and non-GAAP operating margin for Q4 of fiscal 2015 and Q4 of fiscal 2016, as well as our expectations regarding our growth, gross margins, seasonality, future investments, CapEx, leverage, profitability, cash flow, integration with recently acquired CirroSecure, new product and service releases, and competitive position. These forward-looking statements involve a number of risks and uncertainties, some of which are beyond our control, which could cause actual results to differ materially from those anticipated by these statements. These forward-looking statements apply as of today and you should not rely on them as representing our views in the future and we undertake no obligation to update these statements after this call. For a more detailed description of these risks and uncertainties, please refer to our quarterly report on Form 10-Q filed with the SEC on March 3, 2015 and our earnings release posted a few minutes ago on our website. Also, please note that certain financial measures we use on this call are expressed on…

Thank you. We'll take our first question from Philip Winslow with Credit Suisse. Philip A. Winslow - Credit Suisse Securities (USA) LLC (Broker): Thanks, guys. Congrats on another great quarter. I mean obviously you still have good product sales but if I look at the services line and your deferred revenue, it's obviously the attach rate of additional subscriptions keeps trending positively here. I wonder if you can provide us some more color just sort of what you're seeing if there are any sort of – is there any particular subscription that's driving this? And if so, what is that or if it's not kind of just the mix that you're seeing? Thanks. Steffan C. Tomlinson - Chief Financial Officer & Senior Vice President: We see a broad strength across our threat prevention, filtering, and WildFire. Those continue to perform very well. Over the past year or so, we've seen modest uptick in GlobalProtect. So the power of the platform that we're delivering to customers is really resonating. So there's not one in particular that is shining more than the rest, but, over the last year, we have seen an uptick in WildFire in particular. Philip A. Winslow - Credit Suisse Securities (USA) LLC (Broker): Got it. And then just one quick follow up. You guys mentioned the VM series product and the relationship with VMware there. Wondering if you could provide just some more color sort of is there any particular vertical that you're seeing this adoption in? Or is it more widespread? And sort of what is the pipeline you think look for that going forward? Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Yeah. Hey, Phil, it's Mark. We're seeing broad interest across the board. It's not vertically specific. We're definitely seeing it as customers are paying attention to virtualization in a big way, moving to the cloud, those sort of concepts are giving us a fantastic opportunity to enter conversations for something that's brand new, right, conceptually brand new for them and where they want to take the future of their networks. And it's a great entry point for us and having such a powerful partner like VMware who is almost always in those conversations with them really helps us a lot. So we like what we've seen so far from a selling perspective and every quarter the pipeline's getting stronger, so we like that a lot. Philip A. Winslow - Credit Suisse Securities (USA) LLC (Broker): Awesome. Congrats, again, guys. Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Thanks, Phil.

We'll take our next question from Fred Grieb with Nomura.

Hey. Thanks, guys. Two from me. One, could you give us an update on the demand you're seeing in the service provider segment, particularly for the PA-7050 and is this actually becoming a meaningful growth driver for you? Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Yeah, Fred, it's Mark. Generally, service provider's a good vertical for us and it's growing very well for us, partly that's because of the PA-7050. Generally, they're seeing, the service providers want to secure their own networks, the PA-7050 certainly helps in that and we are seeing them want to be more and more partner with us as systems integrators for other enterprises, all of our technology helps in that. But specific to the service providers is customers, that's been strong and growing very nicely for us and they really like the PA-7050.

Great. Thanks. And just as a follow up, moving to Traps. Can you tell us where the budget for Traps is coming from? I guess, specifically, is this new budget that's being created specifically for Traps or is it actually cannibalizing existing endpoint budget? Mark D. McLaughlin - Chairman, President & Chief Executive Officer: I think it's a mix of both. With what we've seen in the market so far, and what I mean by both is, is that as customers more and more come to the recognition and realization that the legacy AV technology is really not helping them much in today's advanced threat environment, a lot of them are starting to say, let me see what's in the market. So they create some budget to go test. Right? And they're bringing folks in. Traps is definitely on that list for them to run those tests. When they make a buying decision which is, I've made my mind up, what we've seen so far at least in the customer base we've sold to is either repurposing the AV budget and going with free AV and repurposing it to Palo Alto or repurposing a portion of the AV budget and they're just going to give a lot to the AV guys than they used to and taking that savings or remainder and putting it into the next-gen which is more and more us.

Next question?

Thank you. We'll take our next question from Karl Keirstead with Deutsche Bank.

Thank you. Question for Steffan. You mentioned again on this call that typically 2Q and 4Q should have their strongest growth. But it feels based on your guide that, this year, the third quarter just reported will end up being the fastest growth, and you also mentioned earlier that the 3Q linearity was better than prior periods. So it feels like 3Q was a stronger quarter than you guys were expecting. So I just wanted to ask you if there was one or two areas where you saw particular growth and if there was any deal pull-forward from the fourth quarter, the July quarter. Thank you. Steffan C. Tomlinson - Chief Financial Officer & Senior Vice President: Well, first on the seasonality part, what we've always said is – it's more of a prospective statement than anything else, because we've been able to blow through typical seasonality patterns, it's just been hard to call where seasonality really will land as we get bigger. We continue to think Q2 and Q4 will be seasonally stronger. As it relates to this fiscal Q3, we saw great strength across all geos. We saw Americas grow very nicely off of a very large base. EMEA grew 42% year-over-year. APAC grew 55%. So geographically, we saw broad contribution. When we look at product lines, our family of appliances and our chassis, they all sold very well. So there's really a broad strength. And it goes back to the power of the platform. We're going into customers and we have the versatility to sell to any enterprise security need both now on the endpoint and on the network and we're seeing that play out. Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Yeah, (22:29), it's Mark. I don't think we saw any pull-in from a deal perspective Q4 to Q3. Pipeline's strong for the fourth quarter.

Got it. Good to hear. Congrats on the quarter. Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Thank you, Karl. Steffan C. Tomlinson - Chief Financial Officer & Senior Vice President: Thank you.

We'll take our next question from Keith Weiss with Morgan Stanley. Keith E. Weiss - Morgan Stanley & Co. LLC: Excellent. Thank you guys and very nice quarter again. I wanted to delve a little bit into the recent acquisition, CirroSecure. And maybe you could just sort of help us understand why this direction in terms of sort of all the adjacent technologies where you could have gone into? What made this one most interesting to you guys and what was it about this technology in particular, because it does look like it was a technology buy for you guys. What's differentiated? What about this technology in particular made you go out and buy these guys? Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Sure. Well, Keith, as you know very well, part of what we're trying to do from a prevention perspective is to make sure that we can always safely enable the use of applications. That's been a guiding principle for us from the very beginning is to make applications that people want to use safe. So, of course there are lots of things going on in the technology land out there around security, but with that as a guiding principle we're really interested in this area because there's such an increasing use of SaaS applications. For a very long time, our platform has done a fantastic job of securing SaaS applications that come across the network, meaning from a threat perspective. What's interesting about this and the reason we really like the Cirro guys is the unique approach they've taken to go a step further in sanctioned, meaning applications that companies want to use. Right? Sanction SaaS applications, and this technology gives us – and it is a technology purchase plus people purchase as well.…

We'll take our next question from Michael Turits with Raymond James. Michael Turits - Raymond James & Associates, Inc.: Michael Turits. Thanks a lot. Hey, guys. A question on the discussion around the firewall spending cycle, if it exists. Obviously, firewall spending, network security spending has been strong in the last couple of years. Is there any sense that that has, in any way, peaked last year? Or there's any shifts in terms of priority of spend this year to other areas besides network security? Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Yeah. You know, well, seems like (26:17) it's a really good question. I mean, across the board, security spending remains very strong, which is fantastic. I mean – and the reason it's great obviously for all security companies, with us in particular, is what the trending is we're seeing. So traditionally, you'd see people refreshing into – from a firewall perspective or other technology perspective, and that would be the opportunity to talk to somebody. Those refresh cycles continue to happen all the time. What's really good for us since we've got the platform, the customer can be inserted or onboarded at any point in that platform for whatever they feel like the most pressing use case may be. It might be the firewall. It might be IPS. It might be Advanced Persistent Threats. It might the endpoint. It doesn't matter in a sense that we can deliver the solutions they need at the time and grow from that. So we see cycles of buying being very strong as a general matter and, specifically, we're pleased with the ability to be differentiated to come in at any point in whatever those buying cycles are. Michael Turits - Raymond James & Associates, Inc.: And just to…

We'll take our next question from Matthew Niknam with Goldman Sachs. Matthew Niknam - Goldman Sachs & Co.: Hey, guys. Thank you for taking the question. Just a couple on CirroSecure. Any color you can share on how you plan on pricing the CirroSecure technology once that's rolled out later this year? And then maybe if you can talk to any sort of incremental spending, whether it's sales and marketing, R&D tied to rolling out that subscription. Want to get a sense of any sort of margin impacts we can expect in upcoming quarters. Thanks. Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Yeah, so from a pricing perspective, we'll give more data around this when we get closer to the fall (29:01), but generally we're anticipating we'd price it on an application user basis and we'll get more specific about that when we bring that to market. And, Steffan, as to the margins? Steffan C. Tomlinson - Chief Financial Officer & Senior Vice President: Yeah. So with the technology acquisition and a small team of people coming over, we plan to absorb this from an R&D standpoint. And from a sales and marketing standpoint, we're not going to be adding an overlay of sales team. This will be sold by our normal teams here. So the impact will be modest. And we've reiterated our low-teens operating margin exiting Q4 and also the 22% to 25% non-GAAP operating margins exiting Q4 of next year. So we feel good about the ability to execute without any dilution. Matthew Niknam - Goldman Sachs & Co.: That's great. Thanks. Steffan C. Tomlinson - Chief Financial Officer & Senior Vice President: Thank you.

We'll take our next question from Shaul Eyal with Oppenheimer. Shaul Eyal - Oppenheimer & Co., Inc. (Broker): Thank you. Hi, good afternoon, guys. Congrats on another set of strong results. Two quick questions on my end. Thank you, guys, for the color on the VMware partnership, on the Westcon. But any color you can share with us on the Splunk relations at this point? Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Yeah. We love Splunk; they're very good partners of ours and I think they feel the same way about us. I think you can see from Splunk results, as they continue down the path of their platform that security becomes an increasingly large use case for them, not surprising, given what they do with the data. And what we have found, and I think they found, from our joint customers consistently tell both of us is, when you put Palo Alto Networks data off of our platform through a Splunk platform, you get very actionable intelligence to use for security purposes and customers like that a lot. So we continue to work with them, not only in the technology side, but also in the go-to-market side as well. Shaul Eyal - Oppenheimer & Co., Inc. (Broker): Got it. We've all heard that over the course of the past few quarters, board of directors have started to get involved in this security decision process, spending process. Mark, what can you tell us on that front? Are you meeting more with boards? Are you being called into those urgent board meetings? Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Yeah. I think boards are definitely becoming more involved. It's a total top of mind issue, right, and it's growing in nature. I do get the…

We'll take our next question from Jayson Noland with Robert Baird. Jayson A. Noland - Robert W. Baird & Co., Inc. (Broker): Okay, great. Thank you. Wanted to ask about AutoFocus first. You mentioned 750 customer requests. Do you have a feel for the size of the market? And what the trajectory of adoption would be? Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Yeah. So what we mentioned there, Jayson, was that when we – if we back up for a minute, at Analyst Day we said, we would do a Community Access program the first thing because that would give us the chance to put the technology into market, let customers play with it and give us fantastic feedback, which we are now getting. When we announced that and said, anybody who would be interested in being part of the Community Access program, we had over 750 of our existing customers show up for that WebEx to raise their hand and say, I want to be in that, which is fantastic. I think it's interesting – I think it's a sign of strong interest in the technology, and then also a sign of hopefully a strong pipeline for folks who may want to purchase the technology when we bring it to market. As far as what the market looks like for that, there is an increasingly high demand for intelligence and analytics in security. I've not yet met a customer that has told me if I'd just had some more data, I would be better off. All of them tell me that what I need is to make sense of what I have, frankly, whether it comes from Palo Alto or anybody else, right? And what AutoFocus does is it takes the data off of literally…

We have a question from Gregg Moskowitz with Cowen & Co. Gregg S. Moskowitz - Cowen & Co. LLC: Okay, thank you. And congratulations on a very strong quarter as well. Steffan, I think last quarter you extended your product lead-times from two weeks to four weeks. Just wondering where that stands today? And what you expect going forward? Steffan C. Tomlinson - Chief Financial Officer & Senior Vice President: Our product lead-times are, again, call it, standard two weeks. We've worked through some of the issues that we had, and we never had any customer satisfaction issues. So we were good on that front. Gregg S. Moskowitz - Cowen & Co. LLC: Perfect. And then on WildFire, Mark, are the paid users primarily coming from mining the installed base just looking over the past 90 days? Or are you seeing higher new customer attach as well? Mark D. McLaughlin - Chairman, President & Chief Executive Officer: We're seeing great attach on new sales as well as the existing customer base. I think the distinction there is no longer relevant between the two. We brought that to market. We gave it for free for a while in the installed base, just to get people to use it. And the free aspect is no longer relevant whatsoever. We're over 6,000 paid customers and growing very rapidly.

We'll take our next question from Rob Owens with Pacific Crest Securities.

Hey, guys. This is Ben on for Rob. Thanks for taking my questions. I wanted to start with the traction that you're seeing in the data centers? Maybe you can provide a little bit of color as far as where you're seeing the most traction. And are you – and what's the split between Internet-facing data centers versus the internal enterprise data center type market? Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Well, we're seeing broad strength across the board in data centers. I think just fundamentally because there's so much increase in application usage, bandwidth and what folks are doing. So it's a very positive trend across the board. But between the two you mentioned, we're seeing a lot of the use cases in the internal side.

Okay, great. And then on the Traps endpoint solution, is there any functionality that we should view as needed to increase the endpoint functionality up to a level that can completely replace the existing endpoint products that are out there? Or do you believe that where it sits right now it provides all of the functionality that is needed? Mark D. McLaughlin - Chairman, President & Chief Executive Officer: That's a great question, Ben. A couple of things. At the very highest levels, the way we've viewed the roadmap from an endpoint perspective, and when we decided to buy Cyvera, we did it against this roadmap concept of saying a great endpoint would have real prevention capabilities. It would have good detection capabilities. And it would also have the ability to do some level of, I'll call it, automated remediation to find that stuff and remediate it. And when it did those things, it would not break the native application experience, and it would use as little compute and battery power as possible. So, before we bought anything, that was our roadmap that we had in mind. If you think through that, the highest order of bit in there is prevention. Of all the things that I just mentioned, the most important would be prevention. So that's why we focus very, very heavily on that. And that's why we bought Cyvera, because it brings real prevention capabilities into the market. And we'll fill out the rest of that roadmap over time. Now your specific question, though, is can you use Traps and replace AV, I think that's what you're asking, right? And what we've seen customers do is to say, they think of it a different way, they say I'm interested in security. Right? So I need secure endpoints. And that roadmap I gave you, gives you secure endpoints, and the most important part is prevention. So I think when they want to have security, they are saying give me something different. It can be different or complementary frankly to my legacy AV, but I need security not AV. Right? So we're seeing some customers, like I mentioned before, run them side by side. We're seeing some customers just say, I'm just going down the security angle, I don't really need the AV since it's not doing a lot for me anyway. It's really a mixed bag. It's a very dynamic market right now, meaning it's moving quickly, and I think it's moving in a direction of security, and that's where we're primarily focused.

Great. Thank you. Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Thank you.

We'll take our next question from Matt Hedberg with RBC Capital Markets.

Thanks for taking my questions, guys. Congrats on the quarter. Mark, I had a follow up to the prior question on Traps. You mentioned several wins in the quarter and obviously some of the features that customers are looking at here. But can you talk about maybe just the pace of business coming out of Ignite? And is there anything else you can help us with to help quantify the trajectory of that as we think to 2016? Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Yeah. We like – so we like the market. It's a big, opportunity that held a lot of interest in it as well. We're selling well in there. We continue to close dozens and dozens of deals every quarter. We've sold multiple millions of dollars' worth of Traps to-date, and we would expect that we'd continue to have a good ramp as we go into 2016 and that 2016 will be a good selling year for us.

That's great. And then Steffan, your hybrid-SaaS model certainly is resonating. Can you remind us about the amount of in-quarter revenue you need to obtain in order to hit the midpoint of your guidance? Steffan C. Tomlinson - Chief Financial Officer & Senior Vice President: No, we don't get into that level of specificity. But what I can tell you is you look at just the mix from a revenue standpoint, and if you look at product revenue this quarter it was about 51.9% so that that product revenue number is typically the go-get number that we need in order to hit the overall guidance. Of course, there is some subscription services that we can count on as revenue in the quarter, but most of that's ratable in nature. So it's really focused on product revenue as the go-get. That's the primary driver. And we've been – we've seen very nice traction with our appliances. You look at the year-over-year growth rates, they've been very healthy. And then we have increasing subscription attach rates. And you're really seeing the power of the overall model when you look at the revenue results.

We'll take our next question from Brent Thill with UBS.

Steffan, you mentioned the Q3 linearity was a lot better than the last year. Is that better sales execution just a sign of the overall demand environment being so good for your sector? Just curious if you could give a little more comment on what you saw in the quarter? Steffan C. Tomlinson - Chief Financial Officer & Senior Vice President: Yeah, it's a combination of things. But as we get more quarters under our belt in sales execution, which is already very high, continues to excel, so that was a big boost when you do a year-over-year comparison. From a market standpoint, we see lots of great traction across all verticals. So there's – we've seen a healthy spending environment, and that's also contributed. So those two factors really help with the linearity.

And just real quick, on the long-term deferred revenue you continued to see acceleration over the last several quarters. Can you maybe just walk through what you're seeing in that line item that is yielding that type of result? Steffan C. Tomlinson - Chief Financial Officer & Senior Vice President: Yeah. So we see very good growth in both short-term and long-term deferred revenue. The dynamic that we're seeing in long-term deferred revenue is we have lots of customers. In fact some of our largest customers are looking to do multi-year deals with us. And that's great and that's goodness because we are now designed into their fabric and we can participate knowing that we have a long-term partner with those customers. The sales force is not – they're not more incented to sell long-term deals. They do have a little bit of skin in the game. They do get commission on long-term deals, but there's no extra incentive on that front, so we feel good about any time we can get long-term deals that are booked-in into the business.

Thank you. We'll take our next question from Gur Talpaz with Stifel. Gur Yehudah Talpaz - Stifel, Nicolaus & Co., Inc.: Great. Thank you. So with CirroSecure, there are a lot of vendors out there trying to do cloud/SaaS security. Can you maybe talk about the advantages Cirro has versus players, like Adallom or Skyhigh or Alaska (43:12), that have been sort of well-funded and picked up a lot of steam over the last year? And then maybe going one step further, the advantages the customer might have by deploying a unified solution with a firewall as opposed to a standalone solution? Thank you. Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Yeah, Gur. Great question. Well, a couple thoughts in there. So there are a lot of players in the market. Just the one commonality I'd put at the very top of the list is enabling SaaS applications is an aspect that should be part of the platform. So just as a general matter, this is I think another example of the market of things that will be part of platforms over time, and as the leading platform provider, we absolutely intend to provide that capability so that customers are not forced to buy yet another point solution in the market. When you think about what those various vendors are doing, there's a whole mix of approaches. One thing they do is they take – they give visibility in the SaaS applications being used. Again and again and again when we talk to our customers, we hear them say, all they're doing is taking your log data from Palo Alto Networks and presenting it. Now they do that in a very nice manner, but that's one of the value props is take the value of the log…

We'll take our next question from Michael Kim with Imperial Capital.

Hi. Good afternoon, guys. You talked a little bit about customer adoption of Traps. Is it primarily new customers to WildFire including Traps, or existing WildFire customers adding Traps? And are you seeing it primarily in the Global 2000, or is it pretty much across the customer base? Mark D. McLaughlin - Chairman, President & Chief Executive Officer: The good news is it's across customer base. So there's not a pattern there in a good way. Right? There's a lot of interest from customers, from smaller customers, larger customers. Doesn't matter in the vertical. I think naturally those customers who are already using Palo Alto technology tend to get the story faster because they have Palo Alto technology from a platform perspective. And those who are using WildFire already have seen the value and benefit of WildFire. And the combination of Traps and WildFire is a very powerful thing. So they get it even faster than others. But just as a general matter, we're seeing interest across the board.

Great. And then just briefly on AutoFocus, is your plan to continue to expand the program beyond the 750 customers before you go GA? Or do you feel comfortable with this kind of level of initial interest to really get you to a comfortable level in GA? Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Yes. That's a really good question. Actually we would have less than 750 people in the Community Access program. So just to run a good program like that, that'll be measured in the dozens not the hundreds. We just mentioned the fact that 750 people wanted to be in it, this is an indication of interest. But just to have a really focused effort to get good feedback, it will be much smaller than that.

We'll take our next question from Jonathan Ho of William Blair. Jonathan F. Ho - William Blair & Co. LLC: Hey, guys. I just wanted to get a sense of what you're seeing out there in terms of competitive win rates and whether you're seeing maybe continued improvement or whether it's become fairly stable at this point? Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Competitive win rates are very high. We continue to take share from all the legacy providers that are out there. When we get into a deal, which we're able to do more and more given just the brand recognition, the size of the team that Mark's running, increased global coverage from a distribution and reseller perspective, we win a very, very high amount of the times. And I think that's not obvious, it's showing through from the results. Jonathan F. Ho - William Blair & Co. LLC: Got it. And then as you broaden sort of the product base, are you seeing more sort of I guess tips of the spear or opportunities to get into accounts with now multiple touch points? And has that helped to sort of bring the platform in from a variety of different angles? Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Yeah, there's two things that are really helpful there. The first is, is that our sales team is very quickly being educated and being able to have conversations, I'll call it the higher strategic level of folks. So it's a platform level conversation. The customer's going to say I have a need or I have a pain point. Right? The sales force knows that before you jump in on that, the right conversation to have with them is what is our philosophy and how do we bring that philosophy to bear with the platform? Because it shows how not only we're going to solve that pain point for you, but other pain points that are associated with that, maybe ones you're not even thinking of yet. And then of course we'll address specifically why they asked us into the room in the first place. We're just going to do it in the context of the platform.

We'll take our next question from Matt Williams with Evercore.

Hi. Good afternoon. Thanks for taking the question. I'm just curious if there's anything or any geos specifically in the international market that you guys are particularly focusing on? I know it's obviously a huge opportunity, so just curious if there's specific sort of sub geos that you're more focused on than others? Or any commentary around that would be great. Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Two just real general comments around it, Matt. One is we like to go where the money is, that might be an obvious statement, but not all of the sub geos inside of theaters are the same from a wallet and spend perspective. So we're – I think we're educated about that. Like, Australia is a great market, for example, and APAC. The Middle East is a fast growing market. There's a lot of money there as well. And then we're also very focused on the Global 2000. And when you actually write them down on a piece of paper, who are they and where are they headquartered, that's pretty telling about where they are – more than 50% of them are in Asia for example. So we're trying to be thoughtful and educated about where we put our resources, and those are two of the just guides that I've given you about how we think about that outside the United States.

Great. That's helpful. Maybe just one quick follow up, if I could. Are customers in that initial commitment to you guys, are you seeing much change in sort of the average initial commitment from a dollar perspective? Meaning, are they more comfortable committing a higher dollar value than maybe they were a couple quarters ago? Is that continuing to trend up in terms of the larger and larger commitments right out of the bat? Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Yeah, two aspects of that. One, just as a general matter, I'll call it the ASP right across the board of all their customers is it continues to rise quarter after quarter. That's just a general deal comment regardless of size of the customer. And then more and more customers, again with a focus on larger accounts, we're definitely seeing folks sign-up to a larger initial purchases and larger follow-on orders as well if they're already using our technology. So the trends are very positive there.

Thank you. We'll take our last question from Andrew Nowinski with Piper Jaffray. Andrew J. Nowinski - Piper Jaffray & Co (Broker): Great. Thanks for squeezing me in. Just two quick questions. So, number one, will customers deploy CirroSecure as a subscription on your firewall or it can be deployed it as a standalone product like Traps, and then will it integrate with WildFire? Mark D. McLaughlin - Chairman, President & Chief Executive Officer: It can be standalone. So it's possible to do it that way. I think the real power will be in using it in conjunction with the firewall, because if you think of what I said earlier we're already basically (51:09) enabling applications across the network from a threat perspective. So that's – there's real power in associating it with the firewall. And yes, it will be integrated with Traps. That's a very good point that I didn't mention before. Very much like we did with... Steffan C. Tomlinson - Chief Financial Officer & Senior Vice President: WildFire. Mark D. McLaughlin - Chairman, President & Chief Executive Officer: ...I'm sorry, with WildFire. So one of the things we'll do right away is we'll take the technology over the next couple of months and integrate it with WildFire. We'll take it off the market, like we did with Traps, we'll do the integration with WildFire, like we did with Traps, and we'll bring it back to market. And WildFire has shown a very compelling value in being able to look at traffic, so we'll definitely provide that capability set with the Cirro technology as well. Andrew J. Nowinski - Piper Jaffray & Co (Broker): Great. And then I just want to go back real quick to one of the high-level spending trends that you mentioned because I think…

That concludes today's question-and-answer session. Mark McLaughlin, at this time, I'll turn the conference back to you for any additional or closing remarks Mark D. McLaughlin - Chairman, President & Chief Executive Officer: Great. Thanks, everybody, for being on the call this afternoon. As I said earlier, we're right in the right place to market at the right time in history with the market's leading breach prevention platform. And I really want to thank all the Palo Alto Networks team for their hard work and their support of our customers and our partners as we continue our march to becoming the global leader in enterprise security. Thanks a lot for your interest and we'll talk with you in September.

That concludes today's conference, and thank you for your participation.