JFrog Ltd — Call Transcript 2026

We are live. Thank you, Jeff, for being here. I'm with Jeff Schreiner, Head of IR at JFrog. I'm Andrew Sherman, Analyst covering it. As I get my stuff together. You guys have had an amazing past year or so. Certainly, for the stock and your numbers. Talk about what has driven that. The AI tailwinds you've seen from greater usage, how sustainable are those? What exactly is driving it? All that stuff. Thank you, Andrew. Thank you for having us. We really appreciate attending the conference. I think as it relates to cloud, what we said kind of started last year and has continued on into this year, is that last year we started to see the spark, and it's a spark that we think will eventually lead to a fire. That spark was the introduction of experimentation and the use of coding agents into the enterprise. We started to see that really accelerate here in the first quarter of this year as the adoption and usage has continued to increase year-over-year since last year at this time. I think that's been one of the core drivers as teams within the enterprise are working, just as JFrog's team is doing internally, at training the frontier models. You might use one, you might use two, as in our case, we use multiple models. Training those models, creating those agents, all of this is creating activity. It's not yet necessarily led to the fire that we would describe to where we eventually lead to a higher level of that activity into production binaries. What I think it has done is it has created a lot of activity that has generated a lot of cloud usage, and I think more so what we've seen is that in the era of AI, what has shifted for JFrog is that the era of human interaction is starting to be phased out. In the era of human interaction, that was where people viewed the most importance historically, i.e. source code. I think it's starting to be demonstrated that the real asset starting to emerge in a world of AI is, in fact, the binary. Yeah. Definitely. Q1 cloud grew 50%. You've kind of been in this 45%, 50% range. Some of that is from overages, not commitments, and I know you're only guiding to commitments. If we think about the sustainability of that cloud growth and the building blocks of it, what is the path forward there? What's a normal growth rate number? I know it's probably hard to say. No, I think it's a fair point, and I think it's what we're trying to achieve in the way that you asked your question, Andrew, is how durable is this growth? I certainly think we're back into a time, at least for now, much similar to what I described as the Wild West, the years of 2020 through 2022, where the word budget was somewhat scratched out of the financial software dictionary. I think we're back at that time right now because everyone is pushing towards this, build my AI models, build my autonomous agents. We're all working towards that. Just like that period, I think that eventually we'll have to get back to a period of more normalized, whatever that may look like in an AI world. I think that what we're trying to explain to you guys as durable is how we guide, as you noted. What is committed? What has the customer signed a commitment to JFrog for? For which, in fact, we have a legal recourse in which they must use that amount and pay for that amount. I think that you've seen the floor in our revenue. You want to know the durable growth. Well, that would be the growth without the variability that we've benefited from this high degree of usage above those commitments. That was 116 two quarters ago, 117 last quarter, 118 this quarter. Knock on wood, that during this euphoric stage, we're able to continue to capture some of this into a higher commitment, get a handle on that at some point, hopefully, that would represent at some point of correction or rationalization in budgets a good go-forward growth rate for the company from which to build off of. Wow. It sounds like you have some line of sight to a 120 NRR, I know it's not guidance. We're hopeful. Yeah. We're hopeful. We're at 118 now without the benefit of the overconsumption, and it's on us to continue to try to convert that consumption into a commitment. Right. That's great. Yeah, let's talk about that. Last year you did have some over-consumers commit into higher deals. I know you have 1,000s of cloud customers, you can't chase them all, and some of them just don't mind paying the overages. Eventually there's no reason why they won't convert. They're a happy high using customer. I think what you're describing is, and I described this to our CFO, Ed Grabscheid, that I thought that we would have some people that might get a blank stare when we talked about this, and I can understand it being a finance guy. The world in which you described, Andrew, is the world that we had worked in and were familiar with. Where the customer went over, was very apt to then come back, work with us, work with a rep, and find a higher commitment level to get them off that overusage or that penalty rate if they had in fact gotten to that level at that point. The reverse is what's happening today, which I think is a little hard for people to understand, is that I am not wanting to take the economic value that I may capture and sign in a higher agreement because I'm unsure if that's really going to be enough for me, or is it going to be too much years from now if I'm in an era of experimentation? We've ironically found that there has been pushback from customers to signing a commitment, and much more willingness in an era of, again, they're not receiving pushback from their executives. In an era where I'm being forced to continue to buy that next token, we're continuing to see the customer want to spend and is willing to spend and pay the higher penalty rate in this era that we're in today. As we just discussed, we think that eventually will change over time, but that's how we then capture the commitment, and also in the conservative and prudent philosophy we use in providing you guys guidance and only guiding to what the customer has in fact committed to us. Mm-hmm. Wow. Okay. Great. Is it fair to think about the benefit you, in usage you've seen, a large part is still experimentation, not live AI apps in production, but you've already seen a usage benefit, so is it fair to think about that as a leading indicator and you'd see even more binaries created once these actually go into production? Well, I think that what you're highlighting is, I'll point this out. We just released our State of the Union report, and it kind of tells you about Artifactory and what's been going on inside Artifactory over the last year. Over the last year that we released this report from last summer to this, binary growth inside Artifactory is 136% in the amount of binaries. You're seeing a strong amount of binaries that are in fact being created in the era of AI. I think that this overall consumption of binaries will continue to accelerate because what we've started to see now in the world of AI is that it is no longer good enough. There was always an alternative to JFrog previously, that maybe I was good enough, I supported enough languages for your organization that you didn't need everything that JFrog offered. Well, those customers are now finding that they are in fact exposed even in languages they in fact may not feel that they program heavily in. I think that has been a change for JFrog, and that will then shift how customers are looking to interact with JFrog and the type of commitments over the longer term that they are willing to then engage and enact with us. Wow. That's great. You have some of the AI native companies as customers already, I think three of the top five. What are some of the use cases or what do they have in common? They're cloud versus self-managed, some of them. Is there a pipeline of more out there? Anything like that you could? Sure. As of March 31st, we've described having kind of three of the five. I think the five can be somewhat interchangeable depending on your views of different companies and their models. We're not really able to talk openly about who they are. I would say the three that we've had as of the March quarter, the uniqueness there was that they're all using us with Artifactory primarily, similar to our enterprise. No one has yet taken security, and all of those three are self-hosted. Nothing to report finality yet, but we hope to have something to discuss in a general sense, as Q2 earnings come to pass, and talk about possibly a fourth lab that has worked with JFrog that would be unique, and we won't be able to issue press releases or anything of this nature, but in talking about it, I think the uniqueness that we would bring to you is that they have approached JFrog to work with us in a hybrid nature. Which would be the first one of the AI frontier labs to do that. I don't think that the others aren't precluded at some point in the future of not being hybrid. They've just chosen today that they see that as the differentiator for themselves. Yeah. Wow, that's exciting. I look forward to that call. One thing about this market is you don't have that much competition. I mean, there's a couple, but you kind of own this market, and in the past I've gotten some questions on, okay, this doesn't sound that hard, but you realize it is after covering it for a while. What would you kind of highlight as the top three to four competitive differentiators, reasons why this cannot be replicated? Well, I think it can be captured in one word. It's a word I'm using a lot this quarter. It's the word I hope everyone starts to realize and associate with JFrog, and that's scalability. The scalability of focusing on that one asset. What Shlomi has done and the team has done at JFrog for the better part of almost two decades is say, "Look, I'm that friend of yours that was focused on this one thing," and we all thought he was crazy. Told him, "Hey, come out, come have fun, do this." Then that crazy idea turned into something huge and we're all like, "Wow, I wish we had done that." I think for Shlomi and the team at JFrog, what they did is they stayed focused solely on a certain asset and never deviated from working with that asset and seeing the importance in their eyes of that asset. Now that asset has evolved to where the software industry also recognizes that as a very important asset. Yeah. I think that that's one of the big changes that we've seen, is that in the world of AI, we've shifted from the human interaction to the machine becoming much more important, and I think the scalability of supporting all these languages is starting to become something that's just recent, I would say, Andrew, is things that we're hearing back from customers and talking to some of the key engineering teams inside of JFrog is a unique aspect of the fact that having four languages, as I said before, that I work with primarily, in the past, I might have gone to an open source alternative, a hyperscaler container registry. I can no longer feel safe that because I program in only those four, those are the only four I need to secure, protect, manage. We've had already incidents in which customers have looked at alternatives and then found to be hacked because they were hacked by a language in which they weren't even programming in at the time. I think that scalability of JFrog and building that architecture up to now support 35+ languages and continue to add because I think that the next programming language that's widely used may not even be built, as we discussed. I think that that's been the real differentiator that I think people have missed, is that no per se, to get up to 10 or 12 languages may not be that hard, but it's that incremental, the ability to surpass that and get to the level that `we're at and add functionality like security, add additional languages, and keep everything in terms of speed and security in line in that platform. Yeah. Wow. Great answer. Security, speaking of security, that's been a huge growth driver. It's 10% of ARR. Curation has seen great demand lately. There's a new software supply chain attack seemingly every week now. How is business there? How's the pipeline there? What kind of adoption of the customer base do you think? Is every large customer a potential Curation customer? I know it's a pretty big uplift when they do that. I know you're not sizing it, but, and how's your ability to get budget for that? Has there been an unlock because of what's happened? I think that there was certainly We had the incident budget things occur in Q3 and Q4 of last year where there was an incident, and then there was a budget right away to meet that incident budget. I think that would be more attributable to what some might classify as fear buying, that there were procedural steps skipped by many customers during Q3 and Q4 to implement curation quickly, given the environment you described in which we're now seeing these attacks happen almost hourly, daily, if not, right? I think what we have tried to do in that sense is continue to maintain the ability to support and secure all of those customers, also benefit from the fact that it's becoming widely kind of accepted, or at least all of us in the investment community, I think, look at the fact that a firewall seems to be very logical in the overall way that you structure and protect your software supply chain. JFrog Curation has seen an outsized benefit. I would say that to give you that idea of such was maybe deployment and pipeline before Shai Hulud in Q3 was 50/50 between our JFrog Advanced Security product, which is kind of the inside the castle security, and the firewall and JFrog Curation. Since then, it's been very much more weighted to JFrog Curation. I don't think that this is an incident deterministic type of buying pattern anymore. It's no longer that an incident like Log4j happens, we solve it, kind of subsides. A few years later, another incident happens, that creates some buying motion. I think this is constant and in front of our customers' faces, and I think that they're looking at how and when they'll be deploying Curation, and I think our pipeline continues to show strength in that nature. Wow, that's great. There's no competition for Curation. You guys created it. Customers asked for this, basically, right? Well, there has been no alternative, no. Yeah. I think that others have quickly tried to come up with some alternatives, seen the value there. That brings you back to the fact that, one, knock on wood, that to date, JFrog Curation has not been penetrated. I think that some of these other alternatives have come out claiming to be that good enough solution, and unfortunately for some people, they were then penetrated and had to learn the hard way as it relates to that. I think that we've been able to continue to demonstrate the value of what we created with JFrog Curation, and that it is very beneficial when you create JFrog Curation to be tied in with something as a system of record as Artifactory. Wow. Moving to some of the newer products you talked about at swampUP last year, AppTrust with the DevGovOps, more recently of Skills Registry with NVIDIA. There was also Fly, the agentic repository from last year. How would you kind of stack rank those as far as what we should be paying attention to near term? I think governance is the next big item for JFrog, and that becomes much more critical in the enterprise as we move from training Agent101 to governing Agent101, as he's now working more autonomously and without human interaction. How we equate that and how I think people kind of caught on or the light switched is that, if you think about a courtroom, Andrew, you have the lawyers in a courtroom, and the lawyers are creators, and they're doing their brilliance. But I don't think any of us would want to go into a court situation with something hanging over our head in which only the lawyers were present, and they were trying to deny each other's motions, and there's constant chaos and chaoticness. Yeah. I think where JFrog sits and what differentiates us is that we're not part of the creator class. We're part of the governor judge class and enforcing the policies in which we're trying to say, "Okay, Mr. Lawyer, be brilliant. Do what you do. Here are the rules for my enterprise for which you can do what you do." I think that's what separates JFrog and will separate JFrog even when the machines no longer need us and are no longer really interacting in our language and they begin to create what they really would like to create, which is the binary which goes into production. You're still going to separate the creator and the governor. Yeah. Love that analogy. There's no update on number of customers using any of these new products or anything, right? No, thank you. I think that, again, governance is on the come and is very critical. It is not here yet today. It is not in our 2026 guidance in any major way. We'll see what unfolds as the world moves quickly in 2027. Again, I think this is something that we're building and compiling. You added the Skills Registry. That's the other side of scalability. That's the ability to scale new revenue opportunities inside Artifactory in the world of AI. You think about it, I create Agent101, it has that specific skill and what it needs to do. Artifactory is now being able to then track that agent and say, "What is it doing? What did it last do? Is it hallucinating, and is it acting differently?" We found that customers are willing and ready to happily accept what we're offering as an MCP Registry and Skills Registry. We're seeing some great POC success initially with some of those. That's going to be the next leg, I think, for JFrog, and where people will want to start looking as to the next growth opportunity for JFrog. Yeah. That's great. The agentic or Artifactory Light, is that still with Fly? Fly was built really, Andrew, to help us in a world of these smaller teams who are starting off pure agentic, and they can easily plug and play with Artifactory and make it a learning experience to how agentic problems are solved, maybe at a smaller scale. Take that knowhow, and so when our large enterprise customers come to us and say, "I want to solve this problem," we're able to go back to them from our interactions with Fly and say, "You know what? We solved that, maybe on a lesser scale, but here's how it was implemented in an agentic world." I think that's the value that we're looking to extract from Fly today. Awesome. We're out of time. Thank you, Jeff. Thanks, everybody. Thank you, Andrew. Appreciate it.

Speaker 1: We are live. Thank you, Jeff, for being here. I'm with Jeff Schreiner, Head of IR at JFrog. I'm Andrew Sherman, Analyst covering it. As I get my stuff together. You guys have had an amazing past year or so. Certainly, for the stock and your numbers. Talk about what has driven that. The AI tailwinds you've seen from greater usage, how sustainable are those? What exactly is driving it? All that stuff. We are live. we are live Thank you, Jeff, for being here. thank you jeff for being here I'm with Jeff Schreiner, Head of IR at JFrog. i'm with jeff schreiner head of ir at jfrog I'm Andrew Sherman, Analyst covering it. i'm andrew sherman analyst covering it As I get my stuff together. as i get my stuff together You guys have had an amazing past year or so. you guys have had an amazing past year or so Certainly, for the stock and your numbers. certainly for the stock and your numbers Talk about what has driven that. talk about what has driven that The AI tailwinds you've seen from greater usage, how sustainable are those? the ai tailwinds you've seen from greater usage how sustainable are those What exactly is driving it? what exactly is driving it All that stuff. all that stuff

Speaker 2: Thank you, Andrew. Thank you for having us. We really appreciate attending the conference. I think as it relates to cloud, what we said kind of started last year and has continued on into this year, is that last year we started to see the spark, and it's a spark that we think will eventually lead to a fire. That spark was the introduction of experimentation and the use of coding agents into the enterprise. We started to see that really accelerate here in the first quarter of this year as the adoption and usage has continued to increase year-over-year since last year at this time. I think that's been one of the core drivers as teams within the enterprise are working, just as JFrog's team is doing internally, at training the frontier models. Thank you, Andrew. thank you andrew T hank you for having us. t hank you for having us We really appreciate attending the conference. we really appreciate attending the conference I think as it relates to cloud, what we said kind of started last year and has continued on into this year, is that last year we started to see the spark, and it's a spark that we think will eventually lead to a fire. i think as it relates to cloud what we said kind of started last year and has continued on into this year is that last year we started to see the spark and it's a spark that we think will eventually lead to a fire That spark was the introduction of experimentation and the use of coding agents into the enterprise. that spark was the introduction of experimentation and the use of coding agents into the enterprise We started to see that really accelerate here in the first quarter of this year as the adoption and usage has continued to increase year-over-year since last year at this time. we started to see that really accelerate here in the first quarter of this year as the adoption and usage has continued to increase year-over-year since last year at this time I think that's been one of the core drivers as teams within the enterprise are working, just as JFrog's team is doing internally, at training the frontier models. i think that's been one of the core drivers as teams within the enterprise are working just as jfrog's team is doing internally at training the frontier models You might use one, you might use two, as in our case, we use multiple models. Training those models, creating those agents, all of this is creating activity. It's not yet necessarily led to the fire that we would describe to where we eventually lead to a higher level of that activity into production binaries. What I think it has done is it has created a lot of activity that has generated a lot of cloud usage, and I think more so what we've seen is that in the era of AI, what has shifted for JFrog is that the era of human interaction is starting to be phased out. In the era of human interaction, that was where people viewed the most importance historically, i.e. source code. You might use one, you might use two, as in our case, we use multiple models. you might use one you might use two as in our case we use multiple models Training those models, creating those agents, all of this is creating activity. training those models creating those agents all of this is creating activity It's not yet necessarily led to the fire that we would describe to where we eventually lead to a higher level of that activity into production binaries. it's not yet necessarily led to the fire that we would describe to where we eventually lead to a higher level of that activity into production binaries What I think it has done is it has created a lot of activity that has generated a lot of cloud usage, and I think more so what we've seen is that in the era of AI, what has shifted for JFrog is that the era of human interaction is starting to be phased out. what i think it has done is it has created a lot of activity that has generated a lot of cloud usage and i think more so what we've seen is that in the era of ai what has shifted for jfrog is that the era of human interaction is starting to be phased out In the era of human interaction, that was where people viewed the most importance historically, i.e. source code. in the era of human interaction that was where people viewed the most importance historically i.e source code I think it's starting to be demonstrated that the real asset starting to emerge in a world of AI is, in fact, the binary. I think it's starting to be demonstrated that the real asset starting to emerge in a world of AI is, in fact, the binary. i think it's starting to be demonstrated that the real asset starting to emerge in a world of ai is in fact the binary

Speaker 1: Yeah. Definitely. Q1 cloud grew 50%. You've kind of been in this 45%, 50% range. Some of that is from overages, not commitments, and I know you're only guiding to commitments. If we think about the sustainability of that cloud growth and the building blocks of it, what is the path forward there? What's a normal growth rate number? I know it's probably hard to say. Yeah. yeah Definitely. definitely Q1 cloud grew 50%. q1 cloud grew 50% You've kind of been in this 45%, 50% range. you've kind of been in this 45% 50% range Some of that is from overages, not commitments, and I know you're only guiding to commitments. some of that is from overages not commitments and i know you're only guiding to commitments If we think about the sustainability of that cloud growth and the building blocks of it, what is the path forward there? if we think about the sustainability of that cloud growth and the building blocks of it what is the path forward there What's a normal growth rate number? what's a normal growth rate number I know it's probably hard to say. i know it's probably hard to say

Speaker 2: No, I think it's a fair point, and I think it's what we're trying to achieve in the way that you asked your question, Andrew, is how durable is this growth? I certainly think we're back into a time, at least for now, much similar to what I described as the Wild West, the years of 2020 through 2022, where the word budget was somewhat scratched out of the financial software dictionary. No, I think it's a fair point, and I think it's what we're trying to achieve in the way that you asked your question, Andrew, is how durable is this growth? no i think it's a fair point and i think it's what we're trying to achieve in the way that you asked your question andrew is how durable is this growth I certainly think we're back into a time, at least for now, much similar to what I described as the Wild West, the years of 2020 through 2022, where the word budget was somewhat scratched out of the financial software dictionary. i certainly think we're back into a time at least for now much similar to what i described as the wild west the years of 2020 through 2022 where the word budget was somewhat scratched out of the financial software dictionary I think we're back at that time right now because everyone is pushing towards this, build my AI models, build my autonomous agents. We're all working towards that. Just like that period, I think that eventually we'll have to get back to a period of more normalized, whatever that may look like in an AI world. I think that what we're trying to explain to you guys as durable is how we guide, as you noted. What is committed? What has the customer signed a commitment to JFrog for? For which, in fact, we have a legal recourse in which they must use that amount and pay for that amount. I think that you've seen the floor in our revenue. You want to know the durable growth. I think we're back at that time right now because everyone is pushing towards this, build my AI models, build my autonomous agents. i think we're back at that time right now because everyone is pushing towards this build my ai models build my autonomous agents We're all working towards that. we're all working towards that Just like that period, I think that eventually we'll have to get back to a period of more normalized, whatever that may look like in an AI world. just like that period i think that eventually we'll have to get back to a period of more normalized whatever that may look like in an ai world I think that what we're trying to explain to you guys as durable is how we guide, as you noted. i think that what we're trying to explain to you guys as durable is how we guide as you noted What is committed? what is committed What has the customer signed a commitment to JFrog for? what has the customer signed a commitment to jfrog for For which, in fact, we have a legal recourse in which they must use that amount and pay for that amount. for which in fact we have a legal recourse in which they must use that amount and pay for that amount I think that you've seen the floor in our revenue. i think that you've seen the floor in our revenue You want to know the durable growth. you want to know the durable growth Well, that would be the growth without the variability that we've benefited from this high degree of usage above those commitments. That was 116 two quarters ago, 117 last quarter, 118 this quarter. Knock on wood, that during this euphoric stage, we're able to continue to capture some of this into a higher commitment, get a handle on that at some point, hopefully, that would represent at some point of correction or rationalization in budgets a good go-forward growth rate for the company from which to build off of. Well, that would be the growth without the variability that we've benefited from this high degree of usage above those commitments. well that would be the growth without the variability that we've benefited from this high degree of usage above those commitments That was 116 two quarters ago, 117 last quarter, 118 this quarter. that was 116 two quarters ago 117 last quarter 118 this quarter Knock on wood, that during this euphoric stage, we're able to continue to capture some of this into a higher commitment, get a handle on that at some point, hopefully, that would represent at some point of correction or rationalization in budgets a good go-forward growth rate for the company from which to build off of. knock on wood that during this euphoric stage we're able to continue to capture some of this into a higher commitment get a handle on that at some point hopefully that would represent at some point of correction or rationalization in budgets a good go-forward growth rate for the company from which to build off of

Speaker 1: Wow. It sounds like you have some line of sight to a 120 NRR, I know it's not guidance. Wow. wow It sounds like you have some line of sight to a 120 NRR, I know it's not guidance. it sounds like you have some line of sight to a 120 nrr i know it's not guidance

Speaker 2: We're hopeful. We're hopeful. we're hopeful

Speaker 1: Yeah. Yeah. yeah

Speaker 2: We're hopeful. We're at 118 now without the benefit of the overconsumption, and it's on us to continue to try to convert that consumption into a commitment. We're hopeful. we're hopeful We're at 118 now without the benefit of the overconsumption, and it's on us to continue to try to convert that consumption into a commitment. we're at 118 now without the benefit of the overconsumption and it's on us to continue to try to convert that consumption into a commitment

Speaker 1: Right. That's great. Yeah, let's talk about that. Last year you did have some over-consumers commit into higher deals. I know you have 1,000s of cloud customers, you can't chase them all, and some of them just don't mind paying the overages. Eventually there's no reason why they won't convert. They're a happy high using customer. Right. right That's great. that's great Yeah, let's talk about that. yeah let's talk about that Last year you did have some over-consumers commit into higher deals. last year you did have some over-consumers commit into higher deals I know you have 1,000s of cloud customers, you can't chase them all, and some of them just don't mind paying the overages. i know you have 1,000s of cloud customers you can't chase them all and some of them just don't mind paying the overages Eventually there's no reason why they won't convert. eventually there's no reason why they won't convert They're a happy high using customer. they're a happy high using customer

Speaker 2: I think what you're describing is, and I described this to our CFO, Ed Grabscheid, that I thought that we would have some people that might get a blank stare when we talked about this, and I can understand it being a finance guy. The world in which you described, Andrew, is the world that we had worked in and were familiar with. Where the customer went over, was very apt to then come back, work with us, work with a rep, and find a higher commitment level to get them off that overusage or that penalty rate if they had in fact gotten to that level at that point. I think what you're describing is, and I described this to our CFO, Ed Grabscheid, that I thought that we would have some people that might get a blank stare when we talked about this, and I can understand it being a finance guy. i think what you're describing is and i described this to our cfo ed grabscheid that i thought that we would have some people that might get a blank stare when we talked about this and i can understand it being a finance guy The world in which you described, Andrew, is the world that we had worked in and were familiar with. the world in which you described andrew is the world that we had worked in and were familiar with Where the customer went over, was very apt to then come back, work with us, work with a rep, and find a higher commitment level to get them off that overusage or that penalty rate if they had in fact gotten to that level at that point. where the customer went over was very apt to then come back work with us work with a rep and find a higher commitment level to get them off that overusage or that penalty rate if they had in fact gotten to that level at that point The reverse is what's happening today, which I think is a little hard for people to understand, is that I am not wanting to take the economic value that I may capture and sign in a higher agreement because I'm unsure if that's really going to be enough for me, or is it going to be too much years from now if I'm in an era of experimentation? We've ironically found that there has been pushback from customers to signing a commitment, and much more willingness in an era of, again, they're not receiving pushback from their executives. In an era where I'm being forced to continue to buy that next token, we're continuing to see the customer want to spend and is willing to spend and pay the higher penalty rate in this era that we're in today. The reverse is what's happening today, which I think is a little hard for people to understand, is that I am not wanting to take the economic value that I may capture and sign in a higher agreement because I'm unsure if that's really going to be enough for me, or is it going to be too much years from now if I'm in an era of experimentation? the reverse is what's happening today which i think is a little hard for people to understand is that i am not wanting to take the economic value that i may capture and sign in a higher agreement because i'm unsure if that's really going to be enough for me or is it going to be too much years from now if i'm in an era of experimentation We've ironically found that there has been pushback from customers to signing a commitment, and much more willingness in an era of, again, they're not receiving pushback from their executives. we've ironically found that there has been pushback from customers to signing a commitment and much more willingness in an era of again they're not receiving pushback from their executives In an era where I'm being forced to continue to buy that next token, we're continuing to see the customer want to spend and is willing to spend and pay the higher penalty rate in this era that we're in today. in an era where i'm being forced to continue to buy that next token we're continuing to see the customer want to spend and is willing to spend and pay the higher penalty rate in this era that we're in today As we just discussed, we think that eventually will change over time, but that's how we then capture the commitment, and also in the conservative and prudent philosophy we use in providing you guys guidance and only guiding to what the customer has in fact committed to us. As we just discussed, we think that eventually will change over time, but that's how we then capture the commitment, and also in the conservative and prudent philosophy we use in providing you guys guidance and only guiding to what the customer has in fact committed to us. as we just discussed we think that eventually will change over time but that's how we then capture the commitment and also in the conservative and prudent philosophy we use in providing you guys guidance and only guiding to what the customer has in fact committed to us

Speaker 1: Mm-hmm. Wow. Okay. Great. Is it fair to think about the benefit you, in usage you've seen, a large part is still experimentation, not live AI apps in production, but you've already seen a usage benefit, so is it fair to think about that as a leading indicator and you'd see even more binaries created once these actually go into production? Mm-hmm. mm-hmm Wow. wow Okay. okay Great. great Is it fair to think about the benefit you, in usage you've seen, a large part is still experimentation, not live AI apps in production, but you've already seen a usage benefit, so is it fair to think about that as a leading indicator and you'd see even more binaries created once these actually go into production? is it fair to think about the benefit you in usage you've seen a large part is still experimentation not live ai apps in production but you've already seen a usage benefit so is it fair to think about that as a leading indicator and you'd see even more binaries created once these actually go into production

Speaker 2: Well, I think that what you're highlighting is, I'll point this out. We just released our State of the Union report, and it kind of tells you about Artifactory and what's been going on inside Artifactory over the last year. Over the last year that we released this report from last summer to this, binary growth inside Artifactory is 136% in the amount of binaries. You're seeing a strong amount of binaries that are in fact being created in the era of AI. I think that this overall consumption of binaries will continue to accelerate because what we've started to see now in the world of AI is that it is no longer good enough. There was always an alternative to JFrog previously, that maybe I was good enough, I supported enough languages for your organization that you didn't need everything that JFrog offered. Well, I think that what you're highlighting is, I'll point this out. well i think that what you're highlighting is i'll point this out We just released our State of the Union report, and it kind of tells you about Artifactory and what's been going on inside Artifactory over the last year. we just released our state of the union report and it kind of tells you about artifactory and what's been going on inside artifactory over the last year Over the last year that we released this report from last summer to this, binary growth inside Artifactory is 136% in the amount of binaries. over the last year that we released this report from last summer to this binary growth inside artifactory is 136% in the amount of binaries You're seeing a strong amount of binaries that are in fact being created in the era of AI. you're seeing a strong amount of binaries that are in fact being created in the era of ai I think that this overall consumption of binaries will continue to accelerate because what we've started to see now in the world of AI is that it is no longer good enough. i think that this overall consumption of binaries will continue to accelerate because what we've started to see now in the world of ai is that it is no longer good enough There was always an alternative to JFrog previously, that maybe I was good enough, I supported enough languages for your organization that you didn't need everything that JFrog offered. there was always an alternative to jfrog previously that maybe i was good enough i supported enough languages for your organization that you didn't need everything that jfrog offered Well, those customers are now finding that they are in fact exposed even in languages they in fact may not feel that they program heavily in. Well, those customers are now finding that they are in fact exposed even in languages they in fact may not feel that they program heavily in. well those customers are now finding that they are in fact exposed even in languages they in fact may not feel that they program heavily in I think that has been a change for JFrog, and that will then shift how customers are looking to interact with JFrog and the type of commitments over the longer term that they are willing to then engage and enact with us. I think that has been a change for JFrog, and that will then shift how customers are looking to interact with JFrog and the type of commitments over the longer term that they are willing to then engage and enact with us. i think that has been a change for jfrog and that will then shift how customers are looking to interact with jfrog and the type of commitments over the longer term that they are willing to then engage and enact with us

Speaker 1: Wow. That's great. You have some of the AI native companies as customers already, I think three of the top five. What are some of the use cases or what do they have in common? They're cloud versus self-managed, some of them. Is there a pipeline of more out there? Anything like that you could? Wow. wow That's great. that's great You have some of the AI native companies as customers already, I think three of the top five. you have some of the ai native companies as customers already i think three of the top five What are some of the use cases or what do they have in common? what are some of the use cases or what do they have in common They're cloud versus self-managed, some of them. they're cloud versus self-managed some of them Is there a pipeline of more out there? is there a pipeline of more out there Anything like that you could? anything like that you could

Speaker 2: Sure. As of March 31st, we've described having kind of three of the five. I think the five can be somewhat interchangeable depending on your views of different companies and their models. We're not really able to talk openly about who they are. I would say the three that we've had as of the March quarter, the uniqueness there was that they're all using us with Artifactory primarily, similar to our enterprise. No one has yet taken security, and all of those three are self-hosted. Sure. sure As of March 31st, we've described having kind of three of the five. as of march 31st we've described having kind of three of the five I think the five can be somewhat interchangeable depending on your views of different companies and their models. i think the five can be somewhat interchangeable depending on your views of different companies and their models We're not really able to talk openly about who they are. we're not really able to talk openly about who they are I would say the three that we've had as of the March quarter, the uniqueness there was that they're all using us with Artifactory primarily, similar to our enterprise. i would say the three that we've had as of the march quarter the uniqueness there was that they're all using us with artifactory primarily similar to our enterprise No one has yet taken security, and all of those three are self-hosted. no one has yet taken security and all of those three are self-hosted Nothing to report finality yet, but we hope to have something to discuss in a general sense, as Q2 earnings come to pass, and talk about possibly a fourth lab that has worked with JFrog that would be unique, and we won't be able to issue press releases or anything of this nature, but in talking about it, I think the uniqueness that we would bring to you is that they have approached JFrog to work with us in a hybrid nature. Nothing to report finality yet, but we hope to have something to discuss in a general sense, as Q2 earnings come to pass, and talk about possibly a fourth lab that has worked with JFrog that would be unique, and we won't be able to issue press releases or anything of this nature, but in talking about it, I think the uniqueness that we would bring to you is that they have approached JFrog to work with us in a hybrid nature. nothing to report finality yet but we hope to have something to discuss in a general sense as q2 earnings come to pass and talk about possibly a fourth lab that has worked with jfrog that would be unique and we won't be able to issue press releases or anything of this nature but in talking about it i think the uniqueness that we would bring to you is that they have approached jfrog to work with us in a hybrid nature Which would be the first one of the AI frontier labs to do that. I don't think that the others aren't precluded at some point in the future of not being hybrid. They've just chosen today that they see that as the differentiator for themselves. Which would be the first one of the AI frontier labs to do that. which would be the first one of the ai frontier labs to do that I don't think that the others aren't precluded at some point in the future of not being hybrid. i don't think that the others aren't precluded at some point in the future of not being hybrid They've just chosen today that they see that as the differentiator for themselves. they've just chosen today that they see that as the differentiator for themselves

Speaker 1: Yeah. Wow, that's exciting. I look forward to that call. One thing about this market is you don't have that much competition. I mean, there's a couple, but you kind of own this market, and in the past I've gotten some questions on, okay, this doesn't sound that hard, but you realize it is after covering it for a while. What would you kind of highlight as the top three to four competitive differentiators, reasons why this cannot be replicated? Yeah. yeah Wow, that's exciting. wow that's exciting I look forward to that call. i look forward to that call One thing about this market is you don't have that much competition. one thing about this market is you don't have that much competition I mean, there's a couple, but you kind of own this market, and in the past I've gotten some questions on, okay, this doesn't sound that hard, but you realize it is after covering it for a while. i mean there's a couple but you kind of own this market and in the past i've gotten some questions on okay this doesn't sound that hard but you realize it is after covering it for a while What would you kind of highlight as the top three to four competitive differentiators, reasons why this cannot be replicated? what would you kind of highlight as the top three to four competitive differentiators reasons why this cannot be replicated

Speaker 2: Well, I think it can be captured in one word. It's a word I'm using a lot this quarter. It's the word I hope everyone starts to realize and associate with JFrog, and that's scalability. Well, I think it can be captured in one word. well i think it can be captured in one word It's a word I'm using a lot this quarter. it's a word i'm using a lot this quarter It's the word I hope everyone starts to realize and associate with JFrog, and that's scalability. it's the word i hope everyone starts to realize and associate with jfrog and that's scalability The scalability of focusing on that one asset. What Shlomi has done and the team has done at JFrog for the better part of almost two decades is say, "Look, I'm that friend of yours that was focused on this one thing," and we all thought he was crazy. Told him, "Hey, come out, come have fun, do this." Then that crazy idea turned into something huge and we're all like, "Wow, I wish we had done that." I think for Shlomi and the team at JFrog, what they did is they stayed focused solely on a certain asset and never deviated from working with that asset and seeing the importance in their eyes of that asset. Now that asset has evolved to where the software industry also recognizes that as a very important asset. The scalability of focusing on that one asset. the scalability of focusing on that one asset What Shlomi has done and the team has done at JFrog for the better part of almost two decades is say, "Look, I'm that friend of yours that was focused on this one thing," and we all thought he was crazy. what shlomi has done and the team has done at jfrog for the better part of almost two decades is say "look i'm that friend of yours that was focused on this one thing," and we all thought he was crazy Told him, "Hey, come out, come have fun, do this." Then that crazy idea turned into something huge and we're all like, "Wow, I wish we had done that." I think for Shlomi and the team at JFrog, what they did is they stayed focused solely on a certain asset and never deviated from working with that asset and seeing the importance in their eyes of that asset. told him "hey come out come have fun do this." then that crazy idea turned into something huge and we're all like "wow i wish we had done that." i think for shlomi and the team at jfrog what they did is they stayed focused solely on a certain asset and never deviated from working with that asset and seeing the importance in their eyes of that asset Now that asset has evolved to where the software industry also recognizes that as a very important asset. now that asset has evolved to where the software industry also recognizes that as a very important asset

Speaker 1: Yeah. Yeah. yeah

Speaker 2: I think that that's one of the big changes that we've seen, is that in the world of AI, we've shifted from the human interaction to the machine becoming much more important, and I think the scalability of supporting all these languages is starting to become something that's just recent, I would say, Andrew, is things that we're hearing back from customers and talking to some of the key engineering teams inside of JFrog is a unique aspect of the fact that having four languages, as I said before, that I work with primarily, in the past, I might have gone to an open source alternative, a hyperscaler container registry. I can no longer feel safe that because I program in only those four, those are the only four I need to secure, protect, manage. I think that that's one of the big changes that we've seen, is that in the world of AI, we've shifted from the human interaction to the machine becoming much more important, and I think the scalability of supporting all these languages is starting to become something that's just recent, I would say, Andrew, is things that we're hearing back from customers and talking to some of the key engineering teams inside of JFrog is a unique aspect of the fact that having four languages, as I said before, that I work with primarily, in the past, I might have gone to an open source alternative, a hyperscaler container registry. i think that that's one of the big changes that we've seen is that in the world of ai we've shifted from the human interaction to the machine becoming much more important and i think the scalability of supporting all these languages is starting to become something that's just recent i would say andrew is things that we're hearing back from customers and talking to some of the key engineering teams inside of jfrog is a unique aspect of the fact that having four languages as i said before that i work with primarily in the past i might have gone to an open source alternative a hyperscaler container registry I can no longer feel safe that because I program in only those four, those are the only four I need to secure, protect, manage. i can no longer feel safe that because i program in only those four those are the only four i need to secure protect manage We've had already incidents in which customers have looked at alternatives and then found to be hacked because they were hacked by a language in which they weren't even programming in at the time. We've had already incidents in which customers have looked at alternatives and then found to be hacked because they were hacked by a language in which they weren't even programming in at the time. we've had already incidents in which customers have looked at alternatives and then found to be hacked because they were hacked by a language in which they weren't even programming in at the time I think that scalability of JFrog and building that architecture up to now support 35+ languages and continue to add because I think that the next programming language that's widely used may not even be built, as we discussed. I think that that's been the real differentiator that I think people have missed, is that no per se, to get up to 10 or 12 languages may not be that hard, but it's that incremental, the ability to surpass that and get to the level that we're at and add functionality like security, add additional languages, and keep everything in terms of speed and security in line in that platform. I think that scalability of JFrog and building that architecture up to now support 35+ languages and continue to add because I think that the next programming language that's widely used may not even be built, as we discussed. i think that scalability of jfrog and building that architecture up to now support 35+ languages and continue to add because i think that the next programming language that's widely used may not even be built as we discussed I think that that's been the real differentiator that I think people have missed, is that no per se, to get up to 10 or 12 languages may not be that hard, but it's that incremental, the ability to surpass that and get to the level thatwe're at and add functionality like security, add additional languages, and keep everything in terms of speed and security in line in that platform. i think that that's been the real differentiator that i think people have missed is that no per se to get up to 10 or 12 languages may not be that hard but it's that incremental the ability to surpass that and get to the level that `we're at and add functionality like security add additional languages and keep everything in terms of speed and security in line in that platform

Speaker 1: Yeah. Wow. Great answer. Security, speaking of security, that's been a huge growth driver. It's 10% of ARR. Curation has seen great demand lately. There's a new software supply chain attack seemingly every week now. How is business there? How's the pipeline there? What kind of adoption of the customer base do you think? Is every large customer a potential Curation customer? I know it's a pretty big uplift when they do that. I know you're not sizing it, but, and how's your ability to get budget for that? Has there been an unlock because of what's happened? Yeah. yeah Wow. wow Great answer. great answer Security, speaking of security, that's been a huge growth driver. security speaking of security that's been a huge growth driver It's 10% of ARR. it's 10% of arr Curation has seen great demand lately. curation has seen great demand lately There's a new software supply chain attack seemingly every week now. there's a new software supply chain attack seemingly every week now How is business there? how is business there How's the pipeline there? how's the pipeline there What kind of adoption of the customer base do you think? what kind of adoption of the customer base do you think Is every large customer a potential Curation customer? is every large customer a potential curation customer I know it's a pretty big uplift when they do that. i know it's a pretty big uplift when they do that I know you're not sizing it, but, and how's your ability to get budget for that? i know you're not sizing it but and how's your ability to get budget for that Has there been an unlock because of what's happened? has there been an unlock because of what's happened

Speaker 2: I think that there was certainly We had the incident budget things occur in Q3 and Q4 of last year where there was an incident, and then there was a budget right away to meet that incident budget. I think that would be more attributable to what some might classify as fear buying, that there were procedural steps skipped by many customers during Q3 and Q4 to implement curation quickly, given the environment you described in which we're now seeing these attacks happen almost hourly, daily, if not, right? I think that there was certainly We had the incident budget things occur in Q3 and Q4 of last year where there was an incident, and then there was a budget right away to meet that incident budget. i think that there was certainly we had the incident budget things occur in q3 and q4 of last year where there was an incident and then there was a budget right away to meet that incident budget I think that would be more attributable to what some might classify as fear buying, that there were procedural steps skipped by many customers during Q3 and Q4 to implement curation quickly, given the environment you described in which we're now seeing these attacks happen almost hourly, daily, if not, right? i think that would be more attributable to what some might classify as fear buying that there were procedural steps skipped by many customers during q3 and q4 to implement curation quickly given the environment you described in which we're now seeing these attacks happen almost hourly daily if not right I think what we have tried to do in that sense is continue to maintain the ability to support and secure all of those customers, also benefit from the fact that it's becoming widely kind of accepted, or at least all of us in the investment community, I think, look at the fact that a firewall seems to be very logical in the overall way that you structure and protect your software supply chain. JFrog Curation has seen an outsized benefit. I would say that to give you that idea of such was maybe deployment and pipeline before Shai Hulud in Q3 was 50/50 between our JFrog Advanced Security product, which is kind of the inside the castle security, and the firewall and JFrog Curation. Since then, it's been very much more weighted to JFrog Curation. I think what we have tried to do in that sense is continue to maintain the ability to support and secure all of those customers, also benefit from the fact that it's becoming widely kind of accepted, or at least all of us in the investment community, I think, look at the fact that a firewall seems to be very logical in the overall way that you structure and protect your software supply chain. i think what we have tried to do in that sense is continue to maintain the ability to support and secure all of those customers also benefit from the fact that it's becoming widely kind of accepted or at least all of us in the investment community i think look at the fact that a firewall seems to be very logical in the overall way that you structure and protect your software supply chain JFrog Curation has seen an outsized benefit. jfrog curation has seen an outsized benefit I would say that to give you that idea of such was maybe deployment and pipeline before Shai Hulud in Q3 was 50/50 between our JFrog Advanced Security product, which is kind of the inside the castle security, and the firewall and JFrog Curation. i would say that to give you that idea of such was maybe deployment and pipeline before shai hulud in q3 was 50/50 between our jfrog advanced security product which is kind of the inside the castle security and the firewall and jfrog curation Since then, it's been very much more weighted to JFrog Curation. since then it's been very much more weighted to jfrog curation I don't think that this is an incident deterministic type of buying pattern anymore. It's no longer that an incident like Log4j happens, we solve it, kind of subsides. A few years later, another incident happens, that creates some buying motion. I think this is constant and in front of our customers' faces, and I think that they're looking at how and when they'll be deploying Curation, and I think our pipeline continues to show strength in that nature. I don't think that this is an incident deterministic type of buying pattern anymore. i don't think that this is an incident deterministic type of buying pattern anymore It's no longer that an incident like Log4j happens, we solve it, kind of subsides. it's no longer that an incident like log4j happens we solve it kind of subsides A few years later, another incident happens, that creates some buying motion. a few years later another incident happens that creates some buying motion I think this is constant and in front of our customers' faces, and I think that they're looking at how and when they'll be deploying Curation, and I think our pipeline continues to show strength in that nature. i think this is constant and in front of our customers' faces and i think that they're looking at how and when they'll be deploying curation and i think our pipeline continues to show strength in that nature

Speaker 1: Wow, that's great. There's no competition for Curation. You guys created it. Customers asked for this, basically, right? Wow, that's great. wow that's great There's no competition for Curation. there's no competition for curation You guys created it. you guys created it Customers asked for this, basically, right? customers asked for this basically right

Speaker 2: Well, there has been no alternative, no. Well, there has been no alternative, no. well there has been no alternative no

Speaker 1: Yeah. Yeah. yeah

Speaker 2: I think that others have quickly tried to come up with some alternatives, seen the value there. That brings you back to the fact that, one, knock on wood, that to date, JFrog Curation has not been penetrated. I think that some of these other alternatives have come out claiming to be that good enough solution, and unfortunately for some people, they were then penetrated and had to learn the hard way as it relates to that. I think that we've been able to continue to demonstrate the value of what we created with JFrog Curation, and that it is very beneficial when you create JFrog Curation to be tied in with something as a system of record as Artifactory. I think that others have quickly tried to come up with some alternatives, seen the value there. i think that others have quickly tried to come up with some alternatives seen the value there That brings you back to the fact that, one, knock on wood, that to date, JFrog Curation has not been penetrated. that brings you back to the fact that one knock on wood that to date, jfrog curation has not been penetrated I think that some of these other alternatives have come out claiming to be that good enough solution, and unfortunately for some people, they were then penetrated and had to learn the hard way as it relates to that. i think that some of these other alternatives have come out claiming to be that good enough solution and unfortunately for some people they were then penetrated and had to learn the hard way as it relates to that I think that we've been able to continue to demonstrate the value of what we created with JFrog Curation, and that it is very beneficial when you create JFrog Curation to be tied in with something as a system of record as Artifactory. i think that we've been able to continue to demonstrate the value of what we created with jfrog curation and that it is very beneficial when you create jfrog curation to be tied in with something as a system of record as artifactory

Speaker 1: Wow. Moving to some of the newer products you talked about at swampUP last year, AppTrust with the DevGovOps, more recently of Skills Registry with NVIDIA. There was also Fly, the agentic repository from last year. How would you kind of stack rank those as far as what we should be paying attention to near term? Wow. wow Moving to some of the newer products you talked about at swampUP last year, AppTrust with the DevGovOps, more recently of Skills Registry with NVIDIA. moving to some of the newer products you talked about at swampup last year apptrust with the devgovops more recently of skills registry with nvidia There was also Fly, the agentic repository from last year. there was also fly the agentic repository from last year How would you kind of stack rank those as far as what we should be paying attention to near term? how would you kind of stack rank those as far as what we should be paying attention to near term

Speaker 2: I think governance is the next big item for JFrog, and that becomes much more critical in the enterprise as we move from training Agent101 to governing Agent101, as he's now working more autonomously and without human interaction. How we equate that and how I think people kind of caught on or the light switched is that, if you think about a courtroom, Andrew, you have the lawyers in a courtroom, and the lawyers are creators, and they're doing their brilliance. But I don't think any of us would want to go into a court situation with something hanging over our head in which only the lawyers were present, and they were trying to deny each other's motions, and there's constant chaos and chaoticness. I think governance is the next big item for JFrog, and that becomes much more critical in the enterprise as we move from training Agent101 to governing Agent101, as he's now working more autonomously and without human interaction. i think governance is the next big item for jfrog and that becomes much more critical in the enterprise as we move from training agent101 to governing agent101 as he's now working more autonomously and without human interaction How we equate that and how I think people kind of caught on or the light switched is that, if you think about a courtroom, Andrew, you have the lawyers in a courtroom, and the lawyers are creators, and they're doing their brilliance. how we equate that and how i think people kind of caught on or the light switched is that if you think about a courtroom andrew you have the lawyers in a courtroom and the lawyers are creators and they're doing their brilliance But I don't think any of us would want to go into a court situation with something hanging over our head in which only the lawyers were present, and they were trying to deny each other's motions, and there's constant chaos and chaoticness. but i don't think any of us would want to go into a court situation with something hanging over our head in which only the lawyers were present and they were trying to deny each other's motions and there's constant chaos and chaoticness

Speaker 1: Yeah. Yeah. yeah

Speaker 2: I think where JFrog sits and what differentiates us is that we're not part of the creator class. We're part of the governor judge class and enforcing the policies in which we're trying to say, "Okay, Mr. Lawyer, be brilliant. Do what you do. Here are the rules for my enterprise for which you can do what you do." I think that's what separates JFrog and will separate JFrog even when the machines no longer need us and are no longer really interacting in our language and they begin to create what they really would like to create, which is the binary which goes into production. You're still going to separate the creator and the governor. I think where JFrog sits and what differentiates us is that we're not part of the creator class. i think where jfrog sits and what differentiates us is that we're not part of the creator class We're part of the governor judge class and enforcing the policies in which we're trying to say, "Okay, Mr. Lawyer, be brilliant. we're part of the governor judge class and enforcing the policies in which we're trying to say "okay mr lawyer be brilliant Do what you do. do what you do Here are the rules for my enterprise for which you can do what you do." I think that's what separates JFrog and will separate JFrog even when the machines no longer need us and are no longer really interacting in our language and they begin to create what they really would like to create, which is the binary which goes into production. here are the rules for my enterprise for which you can do what you do." i think that's what separates jfrog and will separate jfrog even when the machines no longer need us and are no longer really interacting in our language and they begin to create what they really would like to create which is the binary which goes into production You're still going to separate the creator and the governor. you're still going to separate the creator and the governor

Speaker 1: Yeah. Love that analogy. There's no update on number of customers using any of these new products or anything, right? Yeah. yeah Love that analogy. love that analogy There's no update on number of customers using any of these new products or anything, right? there's no update on number of customers using any of these new products or anything right

Speaker 2: No, thank you. I think that, again, governance is on the come and is very critical. It is not here yet today. It is not in our 2026 guidance in any major way. We'll see what unfolds as the world moves quickly in 2027. Again, I think this is something that we're building and compiling. You added the Skills Registry. That's the other side of scalability. That's the ability to scale new revenue opportunities inside Artifactory in the world of AI. You think about it, I create Agent101, it has that specific skill and what it needs to do. Artifactory is now being able to then track that agent and say, "What is it doing? What did it last do? No, thank you. no thank you I think that, again, governance is on the come and is very critical. i think that again governance is on the come and is very critical It is not here yet today. it is not here yet today It is not in our 2026 guidance in any major way. it is not in our 2026 guidance in any major way We'll see what unfolds as the world moves quickly in 2027. we'll see what unfolds as the world moves quickly in 2027 Again, I think this is something that we're building and compiling. again i think this is something that we're building and compiling You added the Skills Registry. you added the skills registry That's the other side of scalability. that's the other side of scalability That's the ability to scale new revenue opportunities inside Artifactory in the world of AI. that's the ability to scale new revenue opportunities inside artifactory in the world of ai You think about it, I create Agent101, it has that specific skill and what it needs to do. you think about it i create agent101 it has that specific skill and what it needs to do Artifactory is now being able to then track that agent and say, "What is it doing? artifactory is now being able to then track that agent and say "what is it doing What did it last do? what did it last do Is it hallucinating, and is it acting differently?" We found that customers are willing and ready to happily accept what we're offering as an MCP Registry and Skills Registry. We're seeing some great POC success initially with some of those. That's going to be the next leg, I think, for JFrog, and where people will want to start looking as to the next growth opportunity for JFrog. Is it hallucinating, and is it acting differently?" We found that customers are willing and ready to happily accept what we're offering as an MCP Registry and Skills Registry. is it hallucinating and is it acting differently?" we found that customers are willing and ready to happily accept what we're offering as an mcp registry and skills registry We're seeing some great POC success initially with some of those. we're seeing some great poc success initially with some of those That's going to be the next leg, I think, for JFrog, and where people will want to start looking as to the next growth opportunity for JFrog. that's going to be the next leg i think for jfrog and where people will want to start looking as to the next growth opportunity for jfrog

Speaker 1: Yeah. That's great. The agentic or Artifactory Light, is that still with Fly? Yeah. yeah That's great. that's great The agentic or Artifactory Light, is that still with Fly? the agentic or artifactory light is that still with fly

Speaker 2: Fly was built really, Andrew, to help us in a world of these smaller teams who are starting off pure agentic, and they can easily plug and play with Artifactory and make it a learning experience to how agentic problems are solved, maybe at a smaller scale. Take that knowhow, and so when our large enterprise customers come to us and say, "I want to solve this problem," we're able to go back to them from our interactions with Fly and say, "You know what? We solved that, maybe on a lesser scale, but here's how it was implemented in an agentic world." I think that's the value that we're looking to extract from Fly today. Fly was built really, Andrew, to help us in a world of these smaller teams who are starting off pure agentic, and they can easily plug and play with Artifactory and make it a learning experience to how agentic problems are solved, maybe at a smaller scale. fly was built really andrew to help us in a world of these smaller teams who are starting off pure agentic and they can easily plug and play with artifactory and make it a learning experience to how agentic problems are solved maybe at a smaller scale Take that knowhow, and so when our large enterprise customers come to us and say, "I want to solve this problem," we're able to go back to them from our interactions with Fly and say, "You know what? take that knowhow and so when our large enterprise customers come to us and say "i want to solve this problem," we're able to go back to them from our interactions with fly and say "you know what We solved that, maybe on a lesser scale, but here's how it was implemented in an agentic world." I think that's the value that we're looking to extract from Fly today. we solved that maybe on a lesser scale but here's how it was implemented in an agentic world." i think that's the value that we're looking to extract from fly today

Speaker 1: Awesome. We're out of time. Thank you, Jeff. Thanks, everybody. Awesome. awesome We're out of time. we're out of time Thank you, Jeff. thank you jeff Thanks, everybody. thanks everybody

Speaker 2: Thank you, Andrew. Appreciate it. Thank you, Andrew. thank you andrew Appreciate it. appreciate it