“code suggestions are on track to be generally available later this year.”

In context

“Sid Sijbrandij (CEO): Thank you for joining us today. We delivered a strong quarter. Revenue grew 38% year-over-year and we continue to demonstrate significant operating leverage in our model. We also reached a major milestone. Gartner and Forrester issued reports officially recognizing DevOps platforms. This is the category we created, and these reports validate the category's significance and importance. We also proved that the market is moving from point solutions to platforms. I'm thrilled with where these industry analysts place GitLab within the category. We were named a leader in the Gartner Magic Quadrant for DevOps platforms and we scored the highest in our ability to execute of all the participants. We were also the only leader in the Forrester Wave integrated software delivery platforms. These reports show significant momentum for GitLab. We also reinforced a consistent team right here. Customers want to develop better, faster, and more secure software and we want to do more with less. I'd like to discuss key topics today. First, how we're innovating to create further differentiation for our DevSecOps platform. Second, how we're capturing the large DevSecOps opportunity with a strong go-to-market motion. And third, how we are continuing to drive responsible growth in the business, and Brian will cover this topic in even more detail. We helped our GitLab 16 product launch event last quarter. We shared new features and capabilities of our AI-powered DevSecOps platform. We'll also discuss the roadmap for the coming year. GitLab is uniquely able to help companies overcome the complexity of developing software. One area on which we focused was compliance. Our DevSecOps platform helps compliance leaders set the right controls and governance frameworks. We shared several new compliance capabilities. These include centralized policy management, expanded reports and controls, and compliance dashboards. Another focus area was security; GitLab enables companies to strengthen their software supply chain security. Point solutions make it difficult for teams to ship software faster while maintaining strong security. In contrast, our DevSecOps platform enables companies to shift their security practices left and do it earlier in the life cycle. It helps developers catch vulnerabilities earlier in the development process. Please let me provide a customer example. BetterCloud is a market-leading SaaS workflow automation platform. They turned to GitLab to secure their software supply chain. In Q2, they renewed their business with GitLab to consolidate the fragmented tool chain. As a result, BetterCloud deprecated multiple security point solution providers. This strengthened data security posture while also enhancing automation and increasing developer satisfaction. GitLab enables customers to make their software more secure without sacrificing speed. This differentiated value proposition resonates across all verticals. One particular example is the public sector. Speed to mission is imperative in this vertical. GitLab customer Navy Black Pearl demonstrates this value proposition well. Navy Black Pearl is a DevSecOps service developed and managed by Sigma Defense. This service creates mission applications for the U.S. Department of Navy. Black Pearl uses GitLab to quickly create new applications and continuously modify code in response to evolving requirements and priorities. Using GitLab, Navy Black Pearl's teams have designed and created custom operational software environments within days rather than months. Many of our customers have complex security compliance and regulatory requirements. We address these needs with GitLab Dedicated. This is a single-tenant SaaS offering that became generally available in Q2. With GitLab Dedicated, we fully manage and deploy the DevSecOps platform, and this enables customers to save on operational costs. It also provides the control and compliance of a self-hosted solution. GitLab Dedicated offers full data and source code isolation, data residency, and private networking. Let me provide another customer example. One of the world's leading advisory and asset management firms chose GitLab Dedicated over GitHub in Q2. They had a SaaS first initiative. Their security teams would not allow a multi-tenant SaaS solution. They chose us because GitLab Dedicated met their security and compliance requirements. GitLab Dedicated also enabled this customer to accomplish other objectives. These include eliminating duplicate tools, increasing operational efficiency, and accelerating their move to the cloud. GitLab integrates all aspects of software development into the same platform. Customers can improve their productivity and efficiency across the entire life cycle. This includes enterprise agile planning and value stream management. In Q2, we expanded business with a multinational financial services company. The customer wanted to drive greater efficiency by integrating an enterprise agile planning solution with the rest of their software development practices. They moved thousands of business users from Jira to GitLab. AI continues to be a key area of product innovation. We are developing AI-powered capabilities across the entire software development life cycle. Let me share just a few of these capabilities. Code suggestions use generative AI to suggest code to developers; suggested reviewers leverage AI to identify the most appropriate reviewers of code; explain this vulnerability provides details about potential security vulnerabilities in code; and code suggestions are on track to be generally available later this year. We differentiate our approach to AI in several ways. We have a commitment to privacy and transparency in our use of AI and we also deliver AI throughout the entire software development life cycle. Today, we released the findings of our state of DevSecOps study. This study illustrates the importance of our AI differentiation even further. In June 2023, we surveyed more than 1,000 respondents. These included individual contributors and leaders in software development, IT operations, and security. We found that 79% of respondents are concerned about AI tools accessing private information or intellectual property. We also found that developers only spend 25% of their time writing code; that's why we believe delivering AI beyond just code suggestions is essential. The second topic I want to discuss is how we intend to capture the large DevSecOps market opportunity with a strong go-to-market motion. Strategic partnerships are an important part of our go-to-market execution, and I would like to highlight Google Cloud and AWS as two of the most significant. GitLab and Google Cloud are strongly committed to delivering secure enterprise AI offerings across the software development life cycle. We are thrilled to be working with Google Cloud on delivering our vision of AI-powered workflows. We are leveraging foundational models, including the new coding model family to deliver new AI-powered experiences to all users involved in creating secure software. Our partnership with Google extends even further. At this year's Google Cloud Next, we announced our plans to integrate GitLab into the Google Cloud console. GitLab also received the 2023 Google Cloud Partner of the Year Award for the third consecutive year. Google recognized GitLab for our achievements in application development within the Google Cloud ecosystem. Another key partner is AWS. In Q2, AWS introduced support for GitLab in AWS CodePipeline. This is a fully managed continuous integration and continuous delivery service. This new AWS capability allows developers to leverage their gitlab.com source code repository to build, test, and deploy code changes with AWS CodePipeline. Last quarter, we also embarked on our DevSecOps world tour. We're taking GitLab on the road to 14 cities in four countries. These events bring together developers, security, and operations technology leaders. They can learn how organizations use GitLab to build more secure software faster; we're happy to feature many partner and customer speakers. Examples include Delta Airlines, Lendlease, and Cisco. In Q2, we announced the appointment of Chris Weber as our Chief Revenue Officer. Chris brings more than 20 years of sales leadership experience from Microsoft. This includes building multi-billion-dollar sales organizations. Chris’ customer-first approach will be instrumental as GitLab scales in our next phase of growth. In closing, I'm pleased with our second quarter results. They demonstrate continued momentum and solidify our category leadership. With our recent analyst and customer validation, we are well positioned to win in the estimated $40 billion market opportunity. I'd like to thank our customers for trusting GitLab. I would also like to thank our team members, partners, and the wider GitLab community for their contributions this quarter. I'll now turn it over to Brian Robins, GitLab's Chief Financial Officer.”