Good day, ladies and gentlemen. Thank you for standing by. Welcome to the Xperi third quarter fiscal year 2021 earnings conference call. During today's presentation, all parties will be in a listen-only mode. Following the presentation, the call will be open for questions. To ask a question, press star one on your telephone keypad at any time. I would now like to turn the call over to Geri Weinfeld, Vice President of Investor Relations for Xperi. Geri, please go ahead.
Good afternoon, everyone. Thanks for joining us as we report our third quarter fiscal year 2021 financial results. With me on the call today are Jon Kirchner, CEO, and Robert Andersen, CFO. Also on the call is Samir Armaly, President of IP Licensing, who will be available along with Jon and Robert to answer questions during the Q&A portion of the call. Before we begin, I would like to provide two reminders. First, today's discussion contains forward-looking statements that are predictions, projections, or other statements about future events, which are based on management's current expectations and beliefs and therefore subject to risks, uncertainties, and changes in circumstances. Please refer to the Risk Factors section in our SEC filings, including our annual report on Form 10-K, for more information on the risks and uncertainties that could cause our actual results to differ materially from what we discuss today.
Please note that the company does not intend to update or alter these forward-looking statements to reflect events or circumstances arising after the call. Second, we refer to certain non-GAAP financial measures which exclude one-time or ongoing non-cash acquired intangibles amortization charges, costs related to actual or planned business combinations including transaction fees, integration costs, severance, facility closures and retention bonuses, separation costs, stock-based compensation, loss on debt extinguishment, and debt refinancing costs and related tax effects. We have provided reconciliations of these non-GAAP measures to the most directly comparable GAAP measures in the earnings release and on the investor relations section of our website. The recording of this conference call will be available on our investor relations website at www.xperi.com. I'll now turn the call over to Jon Kirchner.
Thanks, Geri, and thanks everyone for joining us. We had a strong quarter with better than expected revenue, cash flow, and earnings. Revenue was $219.4 million, up 8.2% year-over-year, mainly due to increases in IP, partially offset by declines in the product business due to supply chain constraints. Non-GAAP earnings per share was $0.53, up 179% year-over-year. We generated $82.9 million in operating cash flow, an increase of 33% year-over-year, and repurchased approximately $25 million of stock. Although we saw an increased impact on the product business from chip and general supply chain constraints, we remain on track to deliver strong financial results for the year. At a high level, we made solid progress on the following growth drivers during the quarter.
DTS AutoSense launched on the BMW iX series in Europe, with more models to come in 2022. DTS AutoStage delivered in new models. In addition to the S-Class, Mercedes has now implemented DTS AutoStage in its C-Class vehicles. Disney+ launched as a streaming partner in our IMAX Enhanced ecosystem. We accelerated adoption of our IPTV solutions and integrated MobiTV to provide a managed service offering. We increased the footprint and available content for the TiVo Stream and advanced discussions toward delivering Stream OS on connected TVs. We made progress toward reestablishing our semi IP business with the addition of YMTC as a new licensee for our hybrid bonding portfolio. Let me now begin with a discussion of our IP licensing business. IP revenue in Q3 was $101.6 million, up 27% year-over-year.
This increase was primarily driven by the success we've had with renewals and expanded licenses over the past year, as well as some new IP agreements signed during Q3. As is typical with IP businesses, these results reflect some agreements that include catch-up or upfront license fees. We continued to make progress on certain key growth drivers in the quarter. In OTT, which represents our largest growth driver, we continue to engage with a strong pipeline of streaming services around expanded renewals and new license agreements. In Canada, we are awaiting a decision in the initial round of litigation. We remain very confident in the relevance of our IP portfolio and in our ability to ultimately achieve a market-based resolution, although predicting timing is always difficult. As a reminder, we filed second rounds of litigation against Vidéotron and Bell Canada earlier this year.
In Semi-IP, we announced a new license with YMTC, a semiconductor memory manufacturer based in China. While we're still in the early stages of reestablishing our semiconductor IP business, this license is another data point underscoring the relevance of our IP and hybrid bonding. YMTC is the first company shipping commercial 3D NAND products that incorporate hybrid bonding. This agreement recognizes the broad fundamental nature of our bonding IP portfolio and our leadership position in that market. It is also a proof point in the continued proliferation of hybrid bonding into an expanding range of semiconductor applications, including sensors, memory, and logic. Our execution year to date. For the IP business as a whole puts us on track to exceed our $350 million average annual baseline by roughly 10% this year.
We are confident that our IP licensing business is better positioned than ever, supported by long-term agreements that generate significant recurring and very profitable cash flows well into the future. Moving to our product business, total product revenue was $117.7 million, down 4% year-over-year. While we saw growth in monetization and IPTV, this was offset by declines in connected car, mobile devices, game consoles, and consumer hardware from supply chain constraints that impacted our customer shipment volumes. First, a comment on the supply chain. Although the year started off strong, beginning in late September, we started to see signs that the impact of supply chain constraints on our product business was greater than in prior quarters. Given this disruption, we are seeing some year-over-year declines in customer volumes impacting our per unit royalties.
Importantly, we've made significant progress on our key initiatives, and as we look ahead, we strongly believe that our product business is solidly positioned for growth. In the consumer experience category, revenue was $46.1 million, down 6% year-over-year. As I mentioned, the decrease in Q3 was mainly driven by unit declines in mobile, game consoles, and consumer hardware. We had another solid quarter for unit sales of the TiVo Stream 4K and continue to make progress on building out the TiVo Stream platform. On the content front, we continue to expand our ad-supported TiVo+ offering with new content partners, including QVC, Hallmark Movies & More, Magnolia Pictures, and Kevin Hart's Laugh Out Loud. We also expanded our relationship with Pluto TV to integrate 33 new channels, including Showtime Selects, Pluto TV 007, the Paramount Movie Channel, and more.
Lastly, we added Acorn TV to our SVOD lineup. We also saw strong growth in connected TV monetization during the quarter as we successfully launched a new connected TV advertising product with unique audience targeting based on TiVo's viewership data. Importantly, on the IMAX Enhanced front, today we jointly announced a new partnership with The Walt Disney Company and IMAX. Beginning November 12th, for the first time ever, Marvel fans will be able to enjoy their favorite titles at home with IMAX Enhanced on Disney+. This is a significant step in expanding the content available in the IMAX Enhanced ecosystem. Moving to our pay TV business, revenue was $54.2 million, down 2% year-over-year. We are very pleased with the success we are seeing as more customers begin to adopt our IPTV solutions.
Additionally, with the smaller than expected year-over-year decline in revenue, our strategy is being proven out as our higher value IPTV solutions are mostly offsetting declines in our traditional interactive program guides. Q3 was our first full quarter with MobiTV following the completion of the acquisition in Q2. The MobiTV integration is progressing well and we're on track to complete integration during the fourth quarter. With the MobiTV integration completed, we'll be able to further scale our overall IPTV offerings and accelerate subscriber growth. During the quarter, we help customers including Cable One, Service Electric Cablevision, Blue Ridge, and Armstrong launch and begin scaling their IPTV offerings. Overall, we continued to see another quarter of strong subscriber growth for our IPTV services.
Moving to the connected car category, revenue was $17.4 million, down 6% year-over-year, as production reports received after the end of the quarter clearly indicate an increased impact from the chip supply constraints on our HD Radio business. Despite the supply chain issues during the quarter, 24 new models launched with HD Radio technology in the U.S. and Mexico. We also launched HD Radio in two new categories: trucks with Daimler and motorcycles with BMW. Additionally, we have been approved for ISO 9001 certification for HD Radio. This is a critical milestone in meeting global auto industry quality standards to ensure our position in the market. DTS AutoStage continued to roll out in Mercedes models. The new C-Class launched with our technology in Europe, with cars arriving in the U.S. at the beginning of 2022.
We continue to work an active pipeline and are participating in RFQs with car companies across Europe, Japan, and North America for programs launching between 2022 and 2025. For DTS AutoSense, BMW launched vehicles with our occupancy monitoring system technology in Europe on the BMW iX. These models will arrive in the U.S. at the beginning of 2022. We are proud to be part of the first OMS solution brought to market. Further, truck lines in Japan continue to launch with our driver monitoring system technology, and we are pleased to see our production DMS solution expanding in Asia with the recent shipment of trucks with our technology in Singapore. Additionally, Xperi is proud to have been recognized by Frost & Sullivan as Company of the Year for connected car media industry best practices.
We believe this third-party validation of our products and team highlights our innovation efforts and enhances our market position in the connected car category. In our Perceive business, we continue to engage with customers across multiple markets in support of their development efforts with the Ergo platform. As we mentioned last quarter, we provided our machine learning tools to select customers. In this quarter, we followed up with additional software, chips, and boards to support customer development efforts. We continue to see significant demand for power efficient, high performance AI capabilities for next generation products. Unfortunately, one of our customers canceled a product originally slated for 2022. That decision is unrelated to the performance and capabilities of our platform. We continue to work with a range of other partners on the development of innovative products utilizing Ergo.
However, given the current supply chain environment and its potential impact on elongating production schedules, the exact timing of when the first Perceive-enabled product will come to market is uncertain, but likely within the next 12-18 months. Lastly, I want to touch on the significant attention and focus being placed on the Metaverse. The move toward greater acceleration of investment, development, and adoption of advanced AR/VR technologies in the creation of an omnipresent digital presence is a big positive from our point of view. Xperi has developed deep IP expertise, products and solutions in the spatial audio, imaging, personalization, discovery, AI, presence, and awareness areas. Many of these enabling technologies are already in the market, and we've been working on others with partners in this space over the past few years. In the end, enabling technologies like these will be essential and fundamental.
Xperi has always been focused on bringing extraordinary experiences into our lives, and the Metaverse is emerging as the next frontier. Exciting times ahead as we participate in this market and create new opportunities for growth. With that, I'll turn the call over to Robert to discuss our financials. Robert?
Thanks, Jon. Let me begin with financial results for the third quarter. Xperi's third quarter revenue was $219.4 million, which was ahead of our expectations for the quarter, primarily from certain deals in our IP licensing business closing earlier than anticipated, offset by the supply chain constraints noted by Jon that impacted our product business. On a non-GAAP basis, our operating expense excluding COGS was $114 million, down $5.3 million or 4.4% year-over-year, mostly due to lower litigation expense and synergy savings, offset by expenses from the acquisition of MobiTV last quarter. Non-GAAP cost of goods sold of $31.9 million was $1.9 million lower than in the third quarter of 2020. Cash taxes paid in the quarter were $7.2 million.
Using the 7.2 million cash tax number, the non-GAAP earnings per share for the third quarter was $0.53. We ended the quarter with 104.8 million basic shares outstanding and 113.1 million non-GAAP fully diluted shares outstanding. Moving to the balance sheet, we finished the quarter with $237.3 million in cash and investments. We also paid down $10.2 million of debt during the quarter, bringing the outstanding balance down to just under $800 million. Operating cash flow for the quarter was $82.9 million, up from $62.6 million a year ago, primarily due to changes in working capital, lower cash taxes, and reduced spending. Our adjusted free cash flow for the quarter was $87.7 million.
Adjusted free cash flow reflects operating cash flow, adjusted for $3.4 million of property, plant, and equipment spend, and $8.2 million of merger and separation-related costs. During the quarter, Xperi paid a quarterly cash dividend of $0.05 per share of common stock. We also repurchased 1.2 million shares of common stock for a total of $24.8 million. Let me lastly comment on our outlook for the year. We are narrowing the year's revenue range to $870 million-$890 million. The lower end of the range reflects continued impact from supply chain constraints on our product business, while the higher end reflects improvement in per unit product shipments and positive outcomes on deal closures for the business as a whole.
For expenses, we are lowering the year's non-GAAP operating expense range to $455 million-$465 million, which reflects reduced spending for the full year, primarily on litigation, personnel, outside services, and marketing. Guidance for COGS, interest expense, and other income remain unchanged, while cash tax is now estimated to be approximately $36 million. We are raising the range for this year's operating cash flow to $205 million-$225 million, which incorporates the impact of reduced spending. As a result, our adjusted free cash flow range also increases to $210 million-$230 million. That concludes our prepared remarks. Let us now open the call to your questions.
Thank you. If you would like to ask a question, please signal by pressing star one on your telephone keypad. If you're using a speakerphone, please make sure your mute function is turned off to allow your signal to reach our equipment. Again, that is star one if you would like to ask a question. We'll pause for just a moment to allow everyone an opportunity to signal for questions. Once again, that is star one if you would like to ask a question. We'll take our first question from Hamed Khorsand with BWS Financial.
Wanted to start off by talking about the OpEx guidance declining. These cost savings that you're talking about, is there any possibility some of them, you know, ratchet up next year, or are these permanent kind of cost savings?
I think this is Robert. There's a bit of both. We have some savings we've experienced this year for personnel expense or outside spending, and some of that won't recur. I think on the other side, we have had lower litigation expense this year, at least compared to our historical past. We would expect that, at least from a run rate basis, to probably increase depending on where we are with some of the cases. We also continue to make investments in growth in the business. I think if we were looking at a year-over-year expense number, again, we're pretty early in terms of looking at 2022. We're still going through that planning exercise. I would expect that spending in general would increase.
Okay. On the IPTV side, you've been seeing, you know, positive activity. Is that because of MobiTV winning the business, or is that, you know, Xperi's own IPTV product that was winning the business?
It's both. We coming into about a year ago had booked quite a bit of business that due to COVID various operators chose not to deploy because there were challenges in getting truck rolls into houses, et cetera, et cetera. We've been working with our partner customers to help them, you know, develop ways, including self-install options that are helping operators more easily and cost-effectively get IPTV into various households. I think as we in particular look ahead, we're going to see more acceleration on both counts, both in the managed service offering, which we feel great about with the acquisition of MobiTV and how that can address an important part of the marketplace, but also within the typical legacy traditional IPTV business that we've had for some time.
Okay. Lastly, on the Perceive, the order cancellation or the partnership cancellation, however you wanna refer to it, was this because of the potential customer redesigning and using something else and going away, or was this purely because of what's going on in the supply chain front?
Neither, actually. It had to do with their view of where they thought they wanted to be positioned in the marketplace and the respective, you know, price point features, et cetera, that they thought would advance their business interests. We don't typically, you know, because we're an ingredient supplier, we don't typically talk about end customers' products. Given that we had originally expected something to occur, let's call it in the earlier part of 2022, and that that has changed, we have a number of other irons in the fire and working with a number of potential partners. I think the bigger question now is just how does that play out over time given what we're seeing in the broader, you know, kind of dynamic environment, and what's the exact timing.
We feel very, very good about, I think, the uniqueness of the platform and where we believe we can take it over time. It's a huge potential opportunity for us.
Great. Thank you.
Our next question comes from Sam Peterman with Craig-Hallum Capital Group.
Hi, guys. Thanks for taking my question. I wanted to ask on Connected Car, that was down quarter-over-quarter. It seems like, you know, you launched on the same number of programs as kind of was anticipated, and it seems like most of that is just from kind of lower OEM production volumes. Is that the right read? Could you just talk about the outlook kind of for 2022 in that segment given the constraints in the industry? Thanks.
For Q3, it was definitely lower unit volumes, and that's what we saw. It's not due to any particular design losses. I think as we look out into 2022, you know, overall volumes are currently forecast to be down year-over-year, although we do expect, you know, some relief from the supply chain issues as we move into 2022. It's really gonna depend on both the product mix and the brand mix, and brand market share, and we'll know a lot more when we get through February. We have a lot of new technologies we've been able to penetrate the automotive market that we also expect will further impact 2022.
Okay, that's helpful. Thanks. I wanted to ask on hybrid bonding. You know, you had the announcement with YMTC, and I guess I'm curious, just kind of at a high level, who else do you guys see as likely early movers in the technology? Any thoughts you could offer on when you guys could start to see a revenue impact from hybrid bonding licensing, whether that's from YMTC or somewhere else?
Hi, this is Samir. We certainly are seeing an increase in the industry discussions around hybrid bonding. It started first in image sensors. It's moved into memory, including some of the NAND discussions we just talked about with YMTC, and we certainly see opportunities in other segments like logic. It still is taking some time for that to penetrate some of those markets. Logic, for example, we probably would be seeing in the 2023, 2024 timeframe. We're pleased both the deals we've done to date with the likes of Samsung and SK hynix and the more recent deal with YMTC really highlight the strength of the company's portfolio and expertise in hybrid bonding. As that market opportunity continues to develop, we're excited about the opportunity it brings for us.
Okay, thanks for that. I think just one more quick for me. On MobiTV, it sounds like integration's almost complete, and that's going well. I was curious if you could give any color on kinda what kind of revenues you think you could see from MobiTV next year, and kinda qualitatively how you know, negotiations with customers are going with those new assets.
Maybe let me take the second question, and I'll let Robert address the first. You know, I would say discussions with the customer base are going very well. You know, we, you know, within 30 or 45 days, even after acquiring the assets, we had successfully, you know, re-signed in the neighborhood of 100 customers. I think people are seeing our commitment to both investing and innovating around the platform as well as being, you know, a long-term partner in the space, that this is, you know, a strong platform to be associated with, and I think that's gonna help us scale it pretty meaningfully. You know, this is very much a game of scale.
I think, you know, we will be looking to see that scale meaningfully change in 2022. Robert, do you wanna take part of the question?
Sure. Just in terms of the numbers, we're expecting, you know, this year really from the time we've acquired MobiTV, sort of mid-single digit revenue, low teens on expenses. Then we expect that to scale, as Jon was describing, and turn a profit. The good thing about the MobiTV structure is that it's scalable, so as it scales, the costs are somewhat fixed, and we can continue to get additional profits out of that business.
Well, as we get on the call in February, we'll provide, you know, a broader macro view of where it can go. We expect it obviously to grow meaningfully between the current run rate level and more.
Okay, that's really helpful. I think that's all for me. Thanks, guys.
Once again, to ask a question, that is star one. We'll take our next question from Matthew Galinko with Maxim Group.
Hey, good afternoon. Thanks for taking my question. Maybe firstly on the Disney win at IMAX Enhanced, can you just talk about, maybe frame the magnitude of what a, you know, sort of significant streaming win in the U.S. does for that piece of the business? You know, kinda does that encourage follow-on adoption in the U.S. market?
Yes. I mean, this is about long-term ecosystem building. You know, in our case, as we talk about ecosystems, you need you know, more relevant content, and you need then more devices in the marketplace, and they kind of feed on each other so that you can deliver the you know, the highest quality experience to the largest group possible, providing advantages to both the content distributors as well as end consumers. You know, this is obviously very important from our perspective in that you've got a you know, a fantastic major service like Disney+, coming online.
We think it will, over time, not only, you know, encourage others to join from a content perspective, but it will, we think there'll be a natural impact on, kind of hardware impact, which again, in turn, will make this more attractive for other people to participate in. You know, I think it will take a bit for this to play out. Overall, you know, this is a partnership we have worked on for some time, and we've got very good relationships there. We think it's fantastic that Marvel fans will be able to really enjoy, you know, the highest possible form of content delivery in their own homes with IMAX Enhanced.
Got it. Thanks. Maybe another follow-up on Perceive, on the, you know, question you answered just before. Is there, you know, to the extent you could say, is there a perception that, you know, there's less consumer impetus for, you know, edge computing and devices that can do, you know, inference at the edge, and that there isn't an incremental value there? Or is there any other kind of takeaway we can hear or glean from that dynamic?
No, in the sense that I don't think, you know, our experience with this in this case as being representative of let's call it a broader trend of consumer lack of interest in, you know, in edge-based computing. I think we just happen to be at the front end of some meaningful innovation in the marketplace.
I think, you know, until it is both, the platform is both easy to implement and people begin to discover a whole range of possibilities that in many cases were never previously possible, coupled with benefits like privacy that can only occur at the edge, I think, you know, as that story plays out, I think you'll see, you know, demand and exploration in and around what can be done at the edge growing very meaningfully. I mean, I think, you know, if you think about it just in simple terms, why wouldn't you wanna be able to have, you know, kind of data center class compute power, I mean, processing performance, you know, at the cost of little to no electrical power.
When you think about that from a product design perspective, and you have to manage things like heat dissipation, you know, it can impact form factor, it can impact obviously battery life performance, and it can impact privacy. I mean, this is the beginning of something much bigger. The challenge is simply, and we've been working aggressively on this as we've openly discussed, which is getting our platform tools in a place where it's easy for third parties to be able to take the technology and implement it, particularly in a dynamic marketplace where, you know, the things are changing and are so dynamic, people are not necessarily, you know, looking to do things that are hard and difficult. It's incumbent upon us to build those tools out.
We feel very good that that process is progressing pretty much consistent with our expectations over the last 12 months. We look ahead, I think to some really exciting engagement.
Thank you. Then maybe one last one from me. You've continued to notch, I think, HD Radio models. You mentioned the ISO 9001 certifications. Can you speak to just, I guess, you know, the supply chain frustrations, you know, what more is there to do in HD Radio, you know, in the market, and how far can you push that solution?
Well, I think there is no doubt incremental market share to be gained if we can continue to lower the cost of the hardware and the implementation. I think over the years we have done that with different partners, and I think we continue to work on that. Because naturally if it's you know, if it's less costly to implement from a hardware perspective, you know, it potentially expands the range of models that might more easily make that decision.
I think secondly, you've got, you know, various, standards, you know, activities that are going on as people explore how to best utilize the spectrum, you know, in the HD Radio system to deal with things like emergency alerts, and other safety-related applications that are very much, you know, on the minds of government and government regulators. I think as that plays out, that may also influence, if you will, the ultimate degree of penetration. I think meanwhile, we need to continue to just work to ensure the technology is available on the platforms that our customers are using, look to proactively drive down cost, and continue to build out the broadcast footprint, helping, you know, both the broadcasters and the automakers understand the benefits that HD Radio can provide in a number of areas.
If we do that, you know, we think we'll continue to see that incrementally grow.
Great. Thank you.
Our next question comes from Michael Cohen with MDC Financial Research.
Yeah. Thank you, Jon, for taking the call, and congratulations on the quarter. I was wondering, regarding the IP licensing business, is that something that you guys are still contemplating spinning out, or is that off the table?
No, we have openly discussed separating the product and IP businesses. You know, we have been targeting, you know, by the middle of next year. I think, you know, we, in the past, we've talked about some of the conditions that are important to be able to effect that separation. They involve everything from making sure, you know, the back end of the business and the systems and infrastructure is such that we're ready to go, which is something we are very, very focused on doing and continue to advance month after month. Another issue that is critical to this is just getting, you know, clarity about the growth prospects for the product business.
We've been working hard to position the business, you know, in a way that we think can not only be very successful on a standalone basis, but one that will help investors understand in a more pure play way, you know, the opportunities and benefits that come with the product business as well as the IP business, which we're equally building for long-term strategic standalone value. The third key element is just what are the market dynamics as you approach separation.
I think, you know, as we handicapped when this might occur, you know, last year, you know, I think, there continues to be things that are, you know, creating challenges and changes, but it's something we're still very much working forward toward. As we get into February, we'll have a better view on how we think 2022 plays out and the exact timing of what we're thinking about there. But, you know, strategically, we think it makes a lot of sense, for a number of reasons, including eliminating some dyssynergy.
The key is that in order to create value for shareholders in a transaction like that, which is our objective and really our only objective, you need to ensure that both businesses are firing on all cylinders in a way that you can effect it and make it a win-win, you know, outcome.
Okay. I have a follow-up regarding the Canadian litigation, if you can answer it. You mentioned that we're waiting a decision out of Canada. I'm wondering if it's gonna come as a single decision or I think more likely two decisions. One would be Vidéotron and one would be BCE and TELUS. Is that correct? That'd be two separate decisions.
That's correct. This is Samir. Certainly there are two separate proceedings ongoing in Canada. They were heard before the same judge, and ultimately, they'll be distinct decisions, whether they happen at the same time or happen at separate times. It's not something we have certainty on. As we've mentioned in the past, we still expect those decisions to happen sometime this year. We're not waiting for that. We've continued to advance our discussions in general and in the Canadian market, as well as pursued a second round of litigation, as you might know, Michael, with some of the folks there in Canada.
Right. I'm not as familiar with Canadian courts. Do you think that they would hand off the decisions to you to press release it? Or is there a chance that it would likely be first on the docket and that's how you would become aware of it?
I think we'll be aware of it as the judge issues it, so I don't think there'll be any surprises there.
Okay. Thank you very much.
At this time, I'm showing no questions in queue. I would now like to hand the conference back over to the speakers for any additional or closing remarks.
Thanks, operator, and thanks everyone for joining us on today's call. We delivered another solid quarter, and I'm particularly pleased with the progress we've made on growth in our IP business, AutoStage and AutoSense deployments, IPTV adoption, and expanding the TiVo Stream platform. I wanna thank our employees for their dedication and commitment to executing on our strategy, and I look forward to discussing our progress with shareholders over the coming months and look forward specifically to seeing some of you virtually at the Wells Fargo fifth Annual TMT Summit in early December. Operator, that concludes today's call. Thank you.
This concludes today's call. Thank you for your participation. You may now disconnect.