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Steven Singh, Concur Technologies, Inc. CEO, weighs in on his company's growth, and gives his outlook for the cloud computing sector.
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Sunday night at the Pentagon.
All right well earlier this week I've picked Concur Technologies.
A sort of like compelling socks out to cloud play.
The focus is on software that manages employee travel expenses.
The stock got a pop this week there's been a lot of like takeover activity in this -- -- joining me now with his outlook for his company.
And the sector as a -- -- concurrent technologies CEO -- saying.
-- welcome to this show.
Thank you.
Senate first let's explain to the audience because this is one of these words -- out there and a lot of people here but maybe not really understand what exactly is the cloud.
Sure.
So let -- of cloud computing is.
That you see examples of it with things like Google -- you can log -- -- search for.
What -- looking for.
Amazon -- Parts is and and hadn't shipped directly to your house but there's also a cloud computing that really exists for corporations.
I so for example when you use.
Software.
Internally to -- your expense reports or to -- -- -- proxies.
That all that stuff connection be done over the cloud base would just the same way my log on Google you now log onto a far service like compare and manage -- travel -- -- supporting.
That is a thing those -- when I think about it maybe I'm not.
Maybe you know the average person -- say this seems like a very narrow niche within space that obviously sounds hot exciting but.
King accompanied road just that small -- that it's.
-- -- -- Let's think about the for just secondly -- you've got -- travel booking expense when there's not company in the world.
That doesn't book travel -- our expense sports right if you think about companies in North America and in Western Europe.
They have 75 employees or more there's about a million corporations.
And so it every one of those many corporations.
He's booking travel -- expense reports with corporate rules and policies built into it.
Today we've 151000 of those customers using our products and we've got a little bit headroom as far as you know how how big we can grow as a company.
And I don't know if you had a chance to listen to our last earnings call but we we just provided our outlook for fiscal 2012.
What we actually took our revenue growth -- up substantially above -- any expectations were.
So now here's a thing.
There's been some criticism of the cloud with respect to concerns over.
Over security you know just is that robust again you know people putting a lot of personal information out there.
What would you say to people -- worried about that.
You know.
I think it did it when you really -- -- to.
That is the data security is it you know effectively tamper proof.
-- which -- gonna find -- cloud computing companies like concur sales force was success factors are a number of companies.
That -- security protocols and and infrastructure in our services he's as good or better than any internal like he shot.
I -- our customers include companies like American Express Pfizer DuPont.
Citi.
You know some of the biggest companies -- GE is a customer of ours.
So that's one -- and there I think the security protocols are fantastic.
-- Franken history.
Security is fantastic.
The other side it is really more privacy -- and I think there this is much more philosophical approach -- how are you actually.
I manage customer data in our view was always that that it is did.
-- to add value for our customers it's not to be used in in a model that.
That it can be shared across a number of other.
Companies.
This is -- you mentioned success factor they were required earlier this week -- -- yesterday a bit.
Pretty sizeable premium.
The word has been over the last couple years at the big boys -- just -- in and duplicate what you're doing.
Now feels like perhaps the trend is the other way that they just feel better off going out there in acquiring obviously you've got to make major inroads.
I -- you can't tell us if you gonna be acquired or -- but is that something that you're open to visited the idea.
-- -- I don't something that might -- the look appealing to you particularly 50% premium or better.
-- I am going to be is as open as possible -- -- -- -- the start with why those acquisitions actually occurred.
So one of existing -- watches over the last 4050 years.
-- these shifts in technology trends writes from mainframe to mini to client server to cloud based computing.
Then across each of those shifts when I think this happens -- -- you leaders emerge.
I and so Oracle and ACP became leaders in clients' ever computing.
Companies like Salesforce.com.
Companies that can curtain.
Number one by the way number two largest business card applications companies are really leaders in the next generation technology computing.
I think what you saw -- success factors -- right now I would demand -- is that.
Traditional software providers are realizing that in order to deliver.
Services in these areas in the model of the consumer wants to actually take delivery of it.
That you've actually got to go out and get deep domain expertise in these areas and that's why you would acquire a company like success success factors.
Now I'm not having said that though they're also people industry has said let's and there are things already working that might supplant cloud computing so you gotta hit.
You know why you look at the big boards of on Friday you got to be Kennedy's footsteps behind -- and hey you know what.
What are these guys I -- -- he wants a governor did get a huge premium my good night's exit strategy.
One of the things I love about our company and frankly what I love about a lot of -- cloud computing companies is that the one of the big pieces that's in the DNA of these companies are some particular.
Is -- we adapt quickly to take technology shifts in fact if you look at mobile that's the next big shifting in in the technology landscape.
And we we deliver our services across every mobile device today.
Two years ago I guarantee very few less than 1% of our customers of the fifteen million people use our products.
We're using it on a mobile device three years now -- -- -- 99% of our customers using a mobile device.
Be able to get content from every corner of the world -- -- be able to deliver services at a point of the world.
These are things that you every technology companies to aggressively go after how do you continue to innovate.
And I think when you when you have a company like -- -- -- that frankly.
That with the innovation cycle isn't anywhere near as as competitive read it whereas as fast.
I think it's much more challenging for them.
Right and that's but the only thing they do have is a pocket full -- -- even.
Congratulations first of all you've done a great job and I love your stock have recommended it's a lot of people to keep up the -- work really appreciated Stephenson thanks --
