Autodesk, Inc. (NASDAQ:ADSK) recently reported its second quarter earnings and discussed the following topics in its earnings conference call.
Business Model Transition
Steven Ashley – Robert W. Baird: I guess I would just like to go back to the business model transition. You called it out obviously during your remarks, but also called it out in the press release. You’ve been talking about changes relative to more flexible licensing. But is it also possible that part of the business model transition could include changes to the cost structure or other operational aspects to the business?
Carl Bass – President and CEO: Steve, the way I think about it is mostly in terms of the customer facing choices. What the offerings are and how they are delivered, as a more marginal part of that. Certainly, each one of those involves a difference in margin structure. For the most part, it hasn’t been particularly material and I don’t see that as being – either the driving force behind it or a big byproduct. The more important things that, I think, you really should look at, is the offerings for customers and how we change them as well as we talked about the accounting impacts in terms of ratable revenue.
Steven Ashley – Robert W. Baird: Then your education business, the third quarter is the biggest seasonal quarter – you called out that the impact in this recent quarter was 2%, but in the full year, will be 2%. But in that peak seasonal quarter or the next quarter, how much might the absence of educational revenue be impacting that period?
Carl Bass – President and CEO: I put it in line with the others. It’s again, marginally higher, but not enough to matter. When you look at the buying patterns around the world, it kind of washes out. So, I would think it is 2%.