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Posts Tagged ‘Carl Bass’

Autodesk CEO Carl Bass on Autodesk Financials

Tuesday, February 26th, 2013

In a webcast this week, Autodesk CEO Carl Bass addressed the company’s financials. “As we near the 2-year anniversary of the launch of our design and creation suites, we couldn’t be more pleased with their progress and growth. Revenue from Suites increased 50% over that 2-year period. Suites now represent 30% of total revenue, up from 23% just 2 years ago. We’re delivering exceptional value to our customers, who get to utilize and experience more of our broad product portfolio. What’s more, we have seen a meaningful increase in our ASPs. It’s a win-win. Growth in our Suites help drive the record revenue results in both our AEC and Manufacturing business segments.”

Bass went on to say that the investments made over the past couple of years in major account direct sales continue to pay off. In the fourth quarter, Autodesk had a record 45 transactions that exceeded $1 million in value. This is up 25% year-on-year. The total value for these large deals increased 36% year-on-year. For FY ’13, large deals increased by 18%.

Autodesk’s AEC business had record quarterly results. Strong growth in AEC Suites to the growing implementation of BIM across all disciplines of the AEC industry, including infrastructure. BIM 360 wins in Q4 were concentrated in construction, reflecting Autodesk’s leadership role in providing cloud and mobile technologies to that industry.

From a geographic perspective, Q4 revenue was driven by strong results in Asia-Pacific. Strong growth in Japan and China led APAC’s results. EMEA had modest growth as reported, but was better on a constant currency basis. Results in EMEA were led by strong large deal activity in Northern Europe.

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Top Geospatial Predictions for 2013

Monday, December 31st, 2012

On this first day of the Winter Solstice, it is a time of reflection and quiet, noticing how remarkable it is that the planets are all aligned with the sun. It is also a good time to look at what we might find important geospatial topics for 2013.

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Q&A session with Carl Bass

Monday, December 6th, 2010

 

What will we see in terms of cost for infinite computing after it’s in place?

 

You have two things going on simultaneously: you have a deep curve into the climbing price of computing – computing is the only asset that’s going down in price while everything else going up. From the commercial perspective we’re shifting some of the costs from customers back to us. Generally people providing this today are not as computer intensive – like Salesforce.com.

 

We’re affordably doing it; you can now try AutoCAD LT running off the cloud.

 

Right now the spot price for cloud computing is at 3 cents an hour.

 

If I’ve got infinite computing available, when and where do I make the decision to use it?

 

We’re going to have a hybrid computing model. Because of the tablet, there is incredible computing power and you don’t need to be connected. You’ll continue to have local devices – and the cloud for compute intensive jobs. We don’t build out our own cloud, for most of them we are trying to use commoditized resources, if you need an answer within short period of time you pay more; there are some models like this. What if people are able to solve problems they were never able to solve before?

 

We think the cloud is a choice. Some customers no longer want the local choice, where they need power and resources; they want another choice of deployment. Choice is available to all customers. Pricing models are changing; mobile devices are putting pressure on the market. The way we can use infinite computing is by offering different models for those who only need this software two hours a month.

 

I’m not sure if it has any fundamental pressure on pricing in general, what pressure it does introduce is offset by greater capability. The price of fundamental resources goes down while capabilities go far up.

 

What kind of delivery models will you see?

 

You’ll see electronic software downloads rather than boxes, some people deploying through streaming, etc., and other services that purely exist in the cloud only. You’ll have a variety. We’re looking at our subscription program for people to get information on options.

 

What about Autodesk’s growth?

 

Our business without acquisitions is no better or worse than other years, we have 12-15% growth rate in 2010, and that can be changed by economic conditions and by acquisitions. We have factored in the idea of infinite computing but at a low level.

 

Are you addressing multicore?

 

We have done a lot of multicore work on our products. It works only when you’re doing a lot of the same thing, like sorting a lot of data items. Our studies show it accounts for only about 15 percent of what engineers do. That’s why the breakthrough is making the cloud available. We can run a larger analysis process across more iterations.

 

We have some amount of work in foundation stuff, there are some ways to do things in a multithreaded way. It’s a valuable technique, not quite as valuable in general purpose computing as you might think. We’re much more interested in what allows you to optimize an answer to a question.

 

What about the consumer market?

 

Our customers are mostly professionals, 1 percent top account for 30 percent of our revenue, 70% of customers account for other revenue. Historically we haven’t done much with consumers, SketchBook Pro is way past 2 million people who have downloaded it, and it has done amazingly well. It’s phenomenal in what it’s been able to do in terms of generating awareness. Selling SketchBook at $8.99 is not a way to make profitable business but it has done a great job of raising awareness, to understand also what people are looking for. There is a greater influence of the consumer market going back into the professional market.

 

We need to pay attention to the consumer market and see what is going on, such as the community that gets created around Flickr, that social community around professionals. I don’t think our business will change to become a consumer business, although we have more people coming in at the entry stage as new users and students, a feeder population, and are getting people interested in design and math.

 

We need tools that everyone can take advantage of.

 

People are more interested in moving things to mobile devices. Open source was the end of an era – commodization. There is still open source software out there successfully deployed in server based environments, but most of our software doesn’t fall into that category.

 

 

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