Matt Sheerin: Yes, thanks and good morning. I’m hoping, Chris, that you can elaborate on the comments about the weakness in the international markets. You’re not the first one calling out that specifically in Europe. So is that something that you saw throughout the quarter? And Al, you did mention that you expect that softness to continue over the next couple of quarters. So anything more you can add would be great.
Chris Leahy: Yeah. Good morning Matt. On the international front, we did start to see a downtick in Q2, which we mentioned on our last call. And I would just say, it continues with a steepness we hadn’t anticipated in the third quarter. And that is across the business, very, very similar to what we’ve seen in the US throughout the year. And our expectation is, as Al mentioned, is we’re probably a couple of quarters behind on the international front. That’s both the UK and Canada in terms of performance and demand and the certainty in the market there. So that’s what we’re seeing.
Matt Sheerin: Okay, great. Thank you. And just regarding PCs, there’s been buzz recently about AI enabled PCs down the line and potentially being another catalyst for upgrade cycle, are you curing that at all from customers and suppliers? And is that something that folks will get excited about at some point?
Chris Leahy: Yeah. Matt, it’s a great question. AI is on everybody’s mind. And I think the short answer to your question is, yes, we do expect customers to get excited about AI enabled client devices. And if we just take a step back, and I mentioned in my prepared remarks that we’re at the front end of commercialization and development, but obviously, it’s going very quickly. And the way we think about it is we’re building what I would call our end-to-end full stack capabilities. AI is going to be integrated into all technology products across the full stack. It’s going to need the infrastructure optimized to support AI. It’s going to need services to be able to move from arrival to adoption. And so we are very much aligned with all of our partners, in fact, building practices with our partners around AI enabled technology.
And so yes, we think customers will be excited. And again, CDW is well-positioned to help them make across the full stack and in particular, client devices. It’s just there’s more choice in complexity in the market. And thinking years back, Matt, where customers had to think about the technology choice, the brand choice, then we had consumption, then we have CapEx versus OpEx models. Now we’ve got intelligence across all of the full stack, it’s getting more complicated. That said, there’s a very high expectation within all of our customers that their CTOs and CIOs and their line of business leaders are thinking about how artificial intelligence can help drive their efficiency and their experiences for their customers. So look, we see it as an accelerant I think from a timing perspective, it will move fairly quickly, but we are still at the very front end stages.
Operator: And our next question comes from George Wang from Barclays. George, your line is now open. Please go ahead.
George Wang: Well, hey, guys. Thanks for taking my questions. I have two quick ones. Firstly, can you just maybe talk about share gains, especially by geo you guys talked about kind of weaker international UK, Canada. Just curious if the fit industry weakness or maybe some share shifts? Maybe you can kind of double collect on the share gains, both in the US and also in the overseas markets?
Chris Leahy: Yeah, I think the question was on share gains. Hi, George, good morning. Look, here’s what I’d say. We hold ourselves accountable over the long term to outperforming the market by 200 to 300 basis points. And we feel very confident that we’re continuing to do that. When I think about other periods when we had weaker hardware environment 2016 comes to mind. And in that environment, we had hardware declines, but we noted that our netted down solutions, which in those — back in 2016 would have been software and software assurance and things like that. We’re growing at a faster base, fast forward to now. And when we look at the customer spend, what customers are investing through CDW, we’re seeing a delta of more than 5%. So it’s a fairly big delta, and we feel very confident that we continue to take share across our markets, and we’ll do so in 2023 and over the long run.
George Wang: Okay. Great. Just a quick one, if I can, just as a follow-up. Just in terms of any tuck-in kind of bolt-on deals, given just netted down kind of margin accretion and the kind of bad guidance. Just curious, any thoughts and color you can share just on so they continue to sort of roll up kind of tuck-in deals seeing any segments do you want to cut off?
Chris Leahy: Yeah. I would say on the M&A side, I think about that as a vehicle for investing behind our strategy. And you’ve seen us invest both organically and through acquisitions very successfully. And again, kudos to the team for on companies that we’ve joined with on both sides for both moving quickly and creating more value for our customers as a result of those investments. And those have been primarily, as you know, along capabilities there are advanced solutions related, cloud, security, digital things that you are now seeing really strength in the market and strength in our business. So we’ll continue to look at M&A opportunistically. And if it’s the right fit, we certainly would consider moving forward is always on the docket. We’re never out of the market. But I’ll have Al chat a little bit about cash position.
Al Miralles: Yeah, George, I would just add. Obviously, M& A is always front and center for us. And as we think about our capital priorities, we’re going to balance strategically where are the opportunities that are going to add value to us as well as the tactic where our valuations and where can we kind of best deploy our money. So stay tuned on that. You can see that kind of we do have a — a cash position in place, and it is a volatile and variable environment. So we certainly value optionality with respect to our capital in this environment. George, to your comment about where can we expect we’re going to look across and we’ll continue to look across the ecosystem of opportunities. Our last acquisition was Enquizit that was in the cloud space, mostly focused in federal.
So you can imagine some of those revenue streams would have a higher concentration than netted down. But I wouldn’t per se that’s part of our strategy. It’s going to be more about the capabilities. So more to come on that front.
Operator: And our next question comes from Ruplu Bhattacharya from Bank of America. Ruplu, your line is now open.
