“All these efforts will be supported by our initiatives with mROC partners, which we anticipate will significantly enhance our business scaling by 2026.”

In context

“Sumedh Thakar (CEO): Yes, every customer is at a different stage in their journey, so we don’t break it down by individual modules. We have shared insights on the contribution of TotalCloud, our cloud-native CNAPP solution, which recorded 5% of the bookings for the quarter. We also highlighted Patch Management and Cybersecurity Asset Management, which have been our focus over the past few years, and we’re pleased with the progress we've made there. However, we are shifting our attention towards the Risk Operations Center and ETM solution. Our goal is to elevate customers from VMDR to ETM solutions, similar to our transition from VM to VMDR a few years ago. We have a solid base of vulnerability management customers to upsell and cross-sell ETM to, which already includes Cybersecurity Asset Management. The next step will be upselling them to the Eliminate solution to rectify issues effectively. Customer discussions about the Risk Operations Center have been very positive. One key differentiator for us has been our focus on risk management rather than just providing technical scores, as emphasized during our ROCon Conference in Houston, where we introduced a business track for cybersecurity featuring sessions with CFOs, Board members, and insurance companies. This initiative led to a 20% increase in attendance, as attendees sought to understand the business implications better. Conversations about our Risk Operations Center and ETM solution reveal that customers appreciate our approach, which goes beyond just offering dashboards; we address issues quickly and provide AI-driven insights regarding industry-specific risks, such as potential ransomware impacts and financial implications of vulnerabilities. The feedback has been very encouraging, and we’re excited about these developments. Moving into next year, we are concentrating on ETM and have made internal promotions to align with our go-to-market strategy, collaborating closely with our product management and CISO, Jonathan, who is supporting our efforts in risk operations solutions to effectively enhance our focus on ETM and the potential for upselling. As referenced in the Q1 earnings call, we will prioritize this opportunity moving forward. Additionally, we recognize the presence of various CNAPP solutions in the market; however, what stands out for customers regarding our CNAPP solution is its ability to integrate cloud risk into the overall business risk. Other CNAPP solutions might indicate the number of open public buckets, but they often fail to provide the financial impact of a potential breach. Our cloud security solution is uniquely integrated from a risk standpoint to offer business quantification, which is what we’re hearing from our customers. Looking ahead to next year, our primary focus will be on ETM as a core area for cross-selling to our customers. We will maintain ongoing investments in the federal market and continue innovating with our Eliminate capabilities. All these efforts will be supported by our initiatives with mROC partners, which we anticipate will significantly enhance our business scaling by 2026.”