Mark Kelleher, D.A. Davidson Companies
Great. Thanks for taking the question. I want to go back to the year-over-year growth rate. We have got two divisions that are growing, two product lines that are growing pretty quickly – security and storage. We have got one application delivery that is kind of lagging the growth of those two. Mathematically, the two faster ones growing becoming a bigger part of the revenue stream, we should see over all year-over-year growth increasing. We have a couple of things working against that. We talked about the currency. I am curious getting to my question. My question is that third piece that application delivery that ADC. If that were decelerating that would also be masking some growth on the other two sides.
I was just wondering if you could give some insight into how the ADC piece is going. I do not know. You used to break it out kind of tell us what that part was versus the other two parts. I do not know if you can give us any inside into exactly how that piece is doing. Thanks.
Richard Jenkins, Human Resources General Manager, Ruby Tuesday
Hey, Mark. It is PJ. Let me just reset you a little bit. I got to correct for you. There are three categories we talk about – storage, which has been growing faster than our overall growth, and then that work in application security which also has been growing faster than our overall growth. Then that work in application security we have our NG Firewall, Barracuda Firewall, WAF, and our ADC as a part of that. The ADC is actually in the category that is growing you know faster than our overall growth.
The slower growing category has been content security, which is our spam and virus firewall and our web filter. That one has been growing slower and in fact this year as a category for the industry, it has grown slower than it did the previous year. That is the category that has really been — along with currency with some headwind to where our overall growth ended up.
We feel like in the content security category though we have continued to gain share where the number one unit volume player in that space. I think the move that we made that we feel very good about is that specifically around, there has been two factors that we needed to get out in front of that I think we are doing much better now.
The first has been the move for email to go on to public services like Office 365, [inaudible] and AWS. Just over the last six months, we have made all our products available in those poly clouds with feature enhancements that give a customer reason to deploy them there versus what Microsoft or Amazon would offer for protection. We are now in a position actually to sell our products much better into the public cloud.
The second driver in content security has been the emergence of platforms like the NG Firewall that take features like web filtering or SSL VPN and put them on the platform. When you look at the growth we have in the NG Firewall, our Barracuda Firewall, we believe that given our existing web filtering base, we have the ability to convert them on to our platform very well and we are doing a good job with that.
Content security has been the category growing slower. We think we got the products in a much better place. We continue to take share but that is a headwind to the acceleration in our growth.
