Path to the Future: Products in the Age of Transformation
00:00 Please welcome the CEO of PTC Jim Hepplemann. Good morning and welcome to LiveWorx 23 It's great to see so many of you here in the audience today. And I know there's about 5000 more online as well. Thank you all for joining us. Because of Covid. It's been four long years since we've held LiveWorx in person like
00:33 this. So much has changed during that time, but every disruption creates new opportunities too. And right now we find ourselves in one of the greatest periods of change for industrial companies that I can recall. And most of it revolves around digital transformation in one form or another. Now, back in 2019, digital transformation was simpler. It meant getting to market faster with lower costs and higher quality.
01:06 But now, now on top of that, there's a push to reshore to make your products more intelligent, your factories more efficient, to build more resilient supply chains, and to make your companies and products more sustainable and compliant and to accelerate growth by complementing your products with services. Digital transformation is key to all of that. Here at LiveWorx. We're going to show you how PTC, together with our ecosystem of partners,
01:37 can help you capture this moment and transform how you do business. Since the last LiveWorx here in Boston, PTC has been very busy. We've invested more than $3 billion in organic development and acquisitions, all to help you capitalize on the opportunities that we'll talk about today. With the acquisition of Onshape and then Arena, followed by the launch of our broader software as a service strategy,
02:10 we've taken on a pioneering role to bring our industry to the SaaS era. We've doubled down in support of the role software plays and manufactured products with our Codebeamer acquisition. We've acquired ServiceMax and positioned it as the core of the world's most powerful solution for efficiently servicing the products that you make. Let me give a special warm welcome to all of the new customers who have joined us here at LiveWorx from the Onshape, Arena,
02:42 Codebeamer and ServiceMax Ecosystems. I promise that this morning and throughout the entire event, you’ll see how important you are to PTC’s vision of the future. Now, these big inorganic moves didn't distract from the core business. They reinforced it. Creo and Windchill have prospered, while ThingWorx, Kepware and Vuforia have matured into powerful business solutions that tap into
03:12 the digital thread. In fact, every year since I last stood on this stage, Creole's growth rate has surpassed that of all other major CAD systems. Meanwhile, Windchill explosive growth rate has propelled PTC into the PLM category leadership position. With a portfolio that’s growing double the rate of our big PLM competitors.
03:45 With so much momentum across both the newer and older parts of the portfolio. PTC now ranks amongst the fastest growing and most profitable companies in our entire industry. Over the course of this morning's presentation, I'm going to show you how all this progress comes together to support a new era of digital transformation. We are helping leading edge industrial companies to move with greater speed and agility to create a digital thread across the full product life cycle
04:19 so they can be more efficient, sustainable and compliant, and to tackle the ultimate transformation by moving to SaaS. Let's dive into it. I want to start by exploring all of those companies that have a need for speed that trumps all else. I'm talking about you fast clock cycle companies that are pioneering new market opportunities like start ups getting their first killer product idea off the ground
04:50 or anybody in fast moving markets that cannot tolerate any process that slows them down. There isn't a one size fits all description for companies in this category. Some of you are looking for short development cycles to stay ahead of market trends. Some of you have much of your product value captured in software and you want to develop it quickly and update it regularly. Some of you are creating cool new high tech products that are highly dependent on electronics, where components get obsoleted quickly and you probably even rely
05:24 on contract manufacturing because you simply don't have the time to build your own factories. A great example that represents a big chunk of this audience is what we see happening in the retail space. Speed is critically important to our retail customers, but their goal is not simply to get products to market sooner. Instead, retailers want to start as late as possible and get done just in time for the upcoming season. That's why we like to call it just in time development.
06:00 This approach helps brands ensure that their new products align well to the latest trends and styles each season. Starting later takes much of the guesswork out of the equation. Digital transformation across the entire waterfront of product development and supply chain is critical because in retail to succeed, brands need to marry very short product development cycles with flexible and nimble supply chains. They require tools that digitize
06:33 the entire product development process, making it very easy to collaborate with existing suppliers or to onboard new ones to get their new products to market just in time. That's what our Windchill FlexPLM software is all about. VF Corporation is one of the world's largest apparel, footwear and accessory companies with a portfolio that includes popular global brands, you know, like the North Face Vans, Timberland and many more. With such a large portfolio of brands,
07:06 VF Corporation has to be very conscious of how trends are changing across several different markets. So they've embraced digital tools to make this possible. Let's take a look. Consumer trends are moving really fast and a historic go to market calendars have been 18 months. So basically by the time you design, develop and ship, the world might have completely changed. Consumers may not want what you thought they wanted. In the past, there's always been a desire to go faster,
07:37 but without digital transformation, what would happen is people would cut off the calendar and a lot of these approaches were unsustainable, unprofitable, impractical to start with. When you digitize it, not only are you making better decisions because you just have more data. Being closer to the market, but it's also about the ability to actually speed up or slow down the design development process based on what the data comes in. So you are more informed, you have more data on your hands. So it's about making better product,
08:07 better decisions faster In a highly fluid marketplace where consumer trends are shifting, purchase patterns are shifting, agility matters more because we may have made the best decision with available information at a certain point. But if the ground realities in the marketplace have shifted, agility is needed to pause and redirect. FlexPLM is the central repository for all product data. Everything feeds off flex. So now data that had to either live on spreadsheets and excel
08:40 or emails can flow straight into the system and is available to all the users in the company. And it's been a game changer because now that those critical pieces are here from the vendors, the sum of the parts is much bigger. VF Corporation’s a great Windchill FlexPLM customer and we're happy to partner with them in their digital transformation journey. Now, while the retail industry moves fast,
09:11 that certainly isn't the only place that we see this need for speed. Perhaps the fastest development clock cycles of all happened in software. Software teams have a word that describes how they achieve their need for speed. The word is agile and Codebeamer excels at Agile. We all know that software is eating the world. Many parts of a product that were once physical are becoming digital and software based. You could say that software is eating the bill of material
09:44 because that's exactly what's happening. Software is becoming the brain of products, the user experience. And with Iot connectivity, the basis for remote control and monitoring plus software is evergreen, and you can keep updating it long after the product's manufactured. If you want to enjoy the benefits of software in your products, you need to start by getting your software development process right. Because while software enables a growing source of capabilities, it can be a growing source of problems too.
10:16 What customers have been asking for is best in class tools for managing the agile development process for software, but doing so in the context of a product bill of material that contains both physical and digital components. That's why PTC has invested hundreds of millions of dollars in application lifecycle management tools, starting with integrity. A decade ago and then the more recent acquisition of the Next Generation Codebeamer Suite a year ago.
10:47 Our goal is to marry best in class ALM capabilities with best in class PLM capabilities so you can manage both the software and hardware elements of your product effectively. One company that's embracing this connection between ALM and PLM is Festo, a leader in factory automation. Let's hear from the Festo team about the the importance of linking ALM and PLM together to gain traceability throughout the development process.
11:23 Festo is a well known company in the field of factory automation. We serve markets from automotive, from electronics, from food and beverage. We see the technologies changing rapidly in many fields and we need to be able to adapt quicker to the market to take up new opportunities. Robots are mechatronic systems and software is playing a more and more important role. The challenge here is that they have a lot of different requirements coming from different companies and you have to handle those requirements and bring it as soon as possible into your product.
11:53 We are trying to have a lean portfolio and make the modification by software, and that means software will explode. And this is what we have to address in our production and also in our development. PTC provides us increased linkage between ALM and PLM tools. Traceability is very important for us. It's very important to have a clean traceability from the requirements to the design to the implementation to tests. Of course, we need the data to be everywhere available to everybody.
12:23 Agile we use mainly in software, but in principle we want to use agile components all over the company. Agile is very important for Festo and I think for all industries. We see time is the new currency. For agile development. The toolset is crucial. Doing Scrum, for example, without the proper toolset just doesn't work. So for us it is crucial to have a tool set that helps us in doing all the requirements and air developments at Festo and Codebeamer helps us with that.
12:59 As you heard, Festo is developing their embedded software using all the modern agile software development practices. Scrum team sprints, Kanban, boards and many of the other tenets of the Agile Manifesto that are widely adopted in standalone software companies like PTC. You also heard an interesting comment from Andreas Holscher who said that in principle they'd like to adopt Agile on the hardware side too.
13:29 He said that because while Agile has become the gold standard for software teams, historically we've seen a different approach used for hardware development. Here the traditional stage gate and waterfall program management techniques remain the mainstream. That's what project Plans and Gantt charts are all about. But what if we could use Agile for hardware too? Is that possible? Let's hear from a leading advocate.
13:59 Famous MIT Professor of Management, Science and Innovation, Dr. Stephen Eppinger, sitting here in the front row to tell us about what we call Agile product development. Historically agile product development was a technique that worked in software projects. Today we can apply it to hardware and other kinds of projects, largely because we have the right tools for many organizations. They've been planning their work in huge increments.
14:31 Here's what we'd like to achieve this year. And often what happens is they get almost there and they're nowhere near finished. And that's been a tremendous disappointment. Agile product development turns that completely around. It says we'll achieve some value, some result , some useful increment much, much more quickly. It won't be complete in the first increment, but we'll have something that demonstrates progress from which we can learn. And that kind of rapid pace of progress is a huge change.
15:01 But it's a welcome change because organizations find that it's incredibly effective. Agile is gaining traction right now because we've just come out of this pandemic where there was a huge shift to remote work. And what this taught us is that distributed teams can be actually incredibly effective if they have the right workflow, if they have the right discipline and if they have the right tools. So Agile provides the right workflow, and Agile provides some of the mechanism to have the right discipline by giving us
15:33 a process to follow. And now we have cloud based tools that allow distributed teams to collaborate very, very effectively. Just as Agile product development has revolutionized the way software is created, I think we're on the cusp of major adoption of Agile for pretty much every other realm of engineering. This is such a powerful idea that enabling Agile product development has become
16:05 the core mission of PTC SaaS Velocity Group, which is comprised of Onshape and Arena. My Velocity colleagues are responding to a growing customer desire to adopt Agile for hardware so they can develop hardware just like they develop software. Our velocity group has created the world's first Agile product development tool suite that works consistently across hardware and software up and down the supply chain. The Onshape and Arena teams are working in concert with the Codebeamer team,
16:37 who already has the Agile program management methodologies nailed, and they're collaborating with artists whose simulation capabilities will ultimately power automated regression tests for hardware iterations similar to how it works on the software side. Let me welcome Dave Katzman, a SolidWorks and Onshape veteran who was recently promoted to lead the Velocity group here at PTC to tell you more about it.
17:09 Thanks, Jim. Onshape has been the market for a while and the business is really gaining momentum. Our customers know that Onshape has matured into a great CAD and PDM system, but what they really love is our real time collaboration as the industry's only cloud native system. Onshape is browser based, runs on any device, even phones and tablets, and makes it easy to instantly pull anybody in, including suppliers and customers, with no setup required. Collaboration becomes real time
17:42 because everybody is working on the exact same data, not a copy that is checked out and won't be checked back in for some time. If you want daily stand ups, you'll need everybody looking at the latest versions. Not to mention Onshape works great with Arena like Onshape. Arena is cloud, native and browser based and is central to transitioning the design into manufacturing by extending the Agile concepts into the supply chain and out to contract manufacturers.
18:13 When it comes to supporting Agile practices, Onshape and Arena stand alone. Enabling Agile product development for hardware is a great charter for Onshape and Arena because so many of our customers are fast moving start ups or companies that simply act that way. What our customers have in common is a desire to innovate across both their product and their design processes. Let's look at a standout example of how Agile methodologies are being applied at
18:43 a group. One of the world's largest online grocery retailers and Ocado's warehouse is fleets of autonomous robots traverse the floor to pick groceries and fulfill customer orders. Let’s hear from Ocado Technologies CTO James Donkin as he explains how these robots come to life through Agile product development. Groceries are a unique marketplace. Margins are razor thin. There's an expectation around freshness,
19:13 multiple temperature regimes and immediacy to customers. Customers need their food when they want it on their terms at the right price. So the heart of our solution is a fleet of bots moving around on top of a grid, moving groceries backwards and forwards and enabling, picking of groceries and our current generation bot the 500. It's a cutting edge piece of technology that delivers on all fronts speed, efficiency, reliability. At Ocado, we don't want to stop at the cutting edge. We want to move forward. So the 600 series had a really fundamental different way of being developed. At its core, it was about using additive techniques and applying
19:45 a lot of software techniques to hardware development. So fast iterations of development. We brought in software engineers to work alongside mechanical electrical engineers. And that kind of mixing of minds and mixing of approaches created something really quite distinct and new to Onshape played a really important part right at the start of Bot 600 as a way of bringing together people from our different parts of the organization being cloud based. It was a much more modern approach in terms of any device anywhere, unlocking the ability for people from non mechanical engineering backgrounds to get involved across different boundaries and enabling us to do more kind of scripting
20:17 and automation around the tooling as well. Features like branching and merging are really fundamental to what we're doing and it allows more individual experimentation It allows more work to be done quickly without blocking other members of the team. And it really allows to adopt a lot of the sort of software development processes into hardware engineering, because branching and merging is really core to software development. So those approaches around kind of code reviews and pair programing, it really facilitates that kind of work. Using the more agile approach to development meant we could get bots on grids really early, we could get prototypes out that would move
20:47 and actually operate on the grid even though they weren't fully functional. We could get something that worked and showed the concept was viable and that the weight reduction was real and that was really powerful in terms of ensuring we were confident of moving forward with the initiative. It's really exciting to see this new approach being played out at Ocado. It's great to feel that we're at the forefront of looking at this stuff and we're learning and developing new techniques rather than simply following the route that other people have taken. As you can see, there's a lot of potential for Agile product development to transform your business.
21:17 If you want to hear more from Ocado and Dr. Eppinger, they're both presenting at LiveWorx this week and an Xtropolis. Our teams will be demonstrating all of the unique ways that Onshape, Arena and Codebeamer work together to support Agile product development, like real time collaboration and branching and merging and Onshape rapid iterations and feedback loops, supplier collaboration and Arena and much more. We hope to see you out there. Back to you, Jim. Thanks, Dave.
21:52 As you know, I am super excited by the breakthrough potential of full, agile product development that we'll have on display here at LiveWorx this week. Now, so far I've been discussing companies where growth is the most important metric. And speed is the ultimate driver of success. And if you come from that world, you probably relate. But many of you work for more established companies that already have a broad portfolio of products on the market. Here, company growth is still important,
22:24 but growth has to be balanced by profitability, which means speed must be balanced with efficiency. Most of you can already appreciate the type of efficiency you can drive by circumventing the 2D drawing process and reusing the 3D models created in engineering as the basis for manufacturing and service processes as well. When product models are reused in downstream processes and versions and configurations link together in a way that provides traceability
22:58 and change control. We call it a model based digital thread. This infinity diagram illustrates the concept of a model based digital thread connecting its way from the digital world to the physical world and back again following the life cycle of a company's product. It starts in the digital world with requirements, planning and system engineering, which then leads to engineering, design, simulation and validation of the product concept.
23:28 And ultimately to the manufacturing process that converts the digital concept into a physical product. Then the end customer takes delivery and operates that product in the physical world. Meanwhile, the manufacturer monitors the product to ensure it's delivering full value and of course provides service and support whenever it's not. Along the way much is learned and this closed loop feedback informs problem reports and engineering change orders that lead to improvements in the product design
23:59 and manufacturing processes. Then we rinse and repeat with a new and better version of the product. This diagram is a simple way to represent the product life cycle, and it explains the need for a broad portfolio of technology that we have. It's a great way to understand our logo too, because it speaks to the yin and yang of physical and digital as expressed in our logo. It might also help you understand why we're so excited about the ServiceMax acquisition. Well,
24:30 Windchill serves as the system of record for all of the digital product data in the left hand side. ServiceMax gives us a powerful new system of record to track and manage the physical product instances or serial numbers on the right side. I like to say that Windchill manages digital product possibilities while ServiceMax manages physical product realities. It's a great yin yang combination. The concept of a model based digital thread is powerful for every industrial company,
25:05 but some of our customers are taking it to the next level by overlaying the digital thread concept on their product platform strategy. Companies with a platform strategy have a very intentional focus on the reuse of modules across the product line, because reuse of modules translates to reuse of factories and part inventories. This approach of reusing modules in the product on top of reusing information about each module across engineering,
25:37 manufacturing and service is incredibly efficient. Indeed, platform strategies are frequently driven more by the chief financial Officer than the engineering department, as this strategy can be the single best way to grow the business while increasing return on capital. However, the product development challenge becomes much more complicated in the platform world due to a proliferation of product configurations. Let's take a real world example.
26:09 Having mastered diversity with scale, Volvo Group is one of the best exemplars of the platform strategy. Volvo's growth and profitability leads their industry in large part because of how effectively they share engines, chassis, axles, cabs and many other systems across their different truck, bus construction and marine applications. When you consider all of the possible combinations of
26:39 the choices that customers are given. Volvo says its products could hypothetically come in ten to the 84th power different configurations. Clearly, we're talking about a lot of configuration complexity. This mandate for sharing takes some freedom away from the vehicle teams. But this is by design. Volvo isn't a startup company, and this more disciplined platform strategy is key to maintaining their high levels of growth and profitability.
27:09 You can imagine that if each vehicle team was given the freedom to create their own engines, for example, then Volvo would be out building new engine factories and their profitability would reflect that. Let's hear more about the platform strategy that Volvo calls cast, an acronym that stands for Common Architecture and Shared Technology from Silvi Laks, Volvo Group's senior vice president of engineering.
27:39 The engine is a very complex product and we want to evolve with the best features, but with the as low cost as possible to serve our customers in the best way. Our target is really to create a platform where we have a modular system with components that we can share around the world in a lot of different products.
28:10 As a base, we have our common architecture and shared technologies, what we call our cost system. And this is really the foundation of how we think and how we want to build our products and to handle the complexity. We really need efficient PLM tools that can both help us to store the information, but also where we can collaborate together
28:43 because we are doing these developments in different parts of the world. And I would say that the collaboration tools, the visualization tools and the simulation tools are really important. We have reduced the amount of complexity by utilizing this methodology, and we have actually seen that even if we have increased the number of products, actually we have reduced the number of parts by a lot.
29:26 We have been collaborating with Volvo for years to ensure we've designed Creo and Windchill and our whole digital thread suite to be excellent tools to support the type of platform strategy that Volvo is using to drive their stellar performance. Creo and Windchill work together seamlessly to enable an engineering process that allows the customer to say, for example, I want an electrified truck and I'd like to use that chassis and that electric powertrain and those batteries in that cab and so on.
29:59 Windchill selects the constituent modules, determines how they'll all fit together and serves up that configuration in Creo. But what's truly possible is that each module of the 3D assembly model carries with it the associated manufacturing and service information. So as we're assembling the unique truck model, Windchill is also assembling the matching model based manufacturing and service information required to bring that vehicle to life.
30:30 This closed loop model based digital thread platform strategy is so powerful that it represents numerous points of incremental margin to customers who implement it. Volvo, a company with nearly $50 billion of revenue, justified a switch of CAD and PLM to get their. Coming back to the Infinity Loop. When an order is configured by the customer, this triggers the manufacturing process to produce the desired variant. Windchill.
31:04 NPM link has a powerful capability that generates the manufacturing bill of material that matches the order plus the bill of operations that will need to be done in the factory up to and including three D. Step by step instructions that could, for example, be augmented onto the product using our Vuforia augmented reality technology. Let's hear from Fresenius, a customer who uses MPM link to leverage their model based information created in engineering to assemble
31:36 the right configuration of information needed to manufacture the product. Fresenius Medical Care. We are an integrated health care provider. We provide all kinds of products and services for people that face chronic kidney disease or even acute kidney failure. We produce products, devices, machines, disposables, plus we have also our own clinics in which we offer dialysis as a service.
32:07 Our manufacturing engineers were already very closely with the R&D people during the actual development cycle in order to make sure that also the Manufacturability is high, which is of course now giving the manufacturing people a nice way in order to have a global definition, but also a possibility to localize how, for example, this machine is being produced in Schweinfurt, whereas it is being produced out of Changshu because we may want to consciously leverage differences and therefore
32:38 the whole concept of manufacturing Bom together with MPM is quite important for us. One of the cases of course, that we have, we would like to adopt one process step in order to make it faster, in order to use less material. In the past, to revise a whole document, it takes more people to look at this to see if this is still consistent and with going more into MPM and really having the deep down digital steps will enable us to do changes more quickly and more often
33:09 and more pointed. So every idea that our engineers on the manufacturing floor have. We would definitely like to look at this and would like to have this also inflow and get the benefit out of this. But if the process around is too clunky, you will never reach those benefits. And this is something that by optimizing and digitizing this type of information, we are really expecting to be faster when only certain process steps need to be changed versus a whole set because it was convoluted altogether.
33:47 As you heard from Oliver Windchill Link's ability to configure manufacturing information is critical to being able to manufacture different product configurations in factories that have different configurations as well. Mastering dynamic configuration of product data is critical to platform strategies because it's simply impossible to author all of the variations of manufacturing and service information in advance, just in case.
34:17 And it would take an army of resources to create this information manually when each order is placed. Let's hear more from Fresenius about their view of smart factories and the importance of using Iot techniques to follow through to ensure the manufacturing process gets executed correctly and actually generates the results they expected. In addition to to our move into MPM, we were also checking on the digitalization of the manufacturing floor
34:50 and we have initiatives ongoing into connectivity of our manufacturing equipment also there to do preventive maintenance, to check on certain conditions for the factory equipment and a highly automated factory with 170 million dialyzers produced a year. There's a lot of automation ongoing, so every unplanned stop is a huge loss for us. And now why don't we bring the piece that we have on our Global PLM program together with the factory machine connectivity pieces,
35:22 and probably there are other things also that we still need to bring together but have this as the grounding foundation for what we would refer to then as our smart, connected manufacturing strategy. You can think about using the feed from the factory in order to just improve the manufacturing process. You could say, okay, there is even an additional layer where on the manufacturing floor we often identify things that may fail, that in addition to something on the manufacturing side, we would also like to adjust something on the design side of our products.
35:54 And this is definitely a feedback loop that we would like to use more in the future to have more and more continuous improvements in our products from using this type of feedback from the shop floor. Monitoring the manufacturing process to identify inefficiency is where our new ThingWorx digital performance management software fits in. DPM uses Iot techniques to collect data from various sensors and control systems throughout the factory to compare
36:24 the actual process throughput to what was expected in the manufacturing process design. DPM helps customers to identify production bottlenecks, then implement changes to the manufacturing process or even the product design and track the effectiveness of those changes on the factory floor. What is so powerful about this feedback loop between manufacturing and engineering is that customers can drive substantial improvement in the productivity of their factories,
36:55 which they can then choose to convert into more revenue by producing more product or less cost by running fewer production chefs. Coming back to the product life cycle. When the product leaves the factory, it travels to the customer site where it will be operated, monitored and serviced. What was once digital has now taken on a physical form factor, which means the rules for changing it or for managing it change dramatically.
37:25 Let me explain. When the product was just a digital idea managed in our Windchill system, it's easy to change. An engineering change can be implemented against any component or system. And like magic, all future products that use that component or system will change accordingly. But once a product becomes physical, if you want to change it, you need a technician with a wrench and replacement parts and a truck to carry them out to the site.
37:57 The technicians will need to separately visit each and every individual product you want changed and some of the products will be changed and some won't. Meaning that you'll have different configurations and they might be distributed all over the world. So at some at any point, some products are changed, some aren't, which means that even when multiple serial numbers are manufactured identically because each serial number has been exposed to different usage conditions
38:28 and received different field changes and repairs over time, they evolved to be increasingly different. That's why for physical products you have to track the configuration of each and every as maintained serial number separately. And in order to keep the records up to date, you have to be involved in the service process where the action happens so that you can capture what changed. This is where ServiceMax fits in. Many of you are aware that PTC recently invested nearly $1.5 billion to acquire
39:04 ServiceMax. It's the largest acquisition in PTC history, and I could not be more excited about it. We made the ServiceMax acquisition for two main reasons. First, we know how important service strategies are to many of our customers as a driver of revenue and profit growth. In many cases, the product can generate ten times more revenue over its life than it did through the initial product sale. Many companies have products installed all over the world,
39:36 and they might employ an order of magnitude more service technicians than engineers. Secondarily, and this is where I get excited. The addition of ServiceMax allows PTC to complete our vision for a closed loop model based digital thread across the full product life cycle from initial idea through a lifetime of use in the field. Focusing on service needs is not new to PTC. Long before ServiceMax we've been building a service lifecycle management
40:08 or SLM suite that already includes Arbortext, Servigistics, ThingWorx and Vuforia. Customers tell me they’re excited about what ServiceMax adds to PTC SLM capabilities. So to share more about that, I’d like to welcome Neil Barua, the CEO of ServiceMax and now President of the full SLM business at PTC. Neil. Thanks, Jim. Super excited. This truly is a remarkable time at PTC with all
40:42 the energy directed towards building world class businesses and products and then making sure customers get the most out of those products. Make no mistake about it, the moves PTC has made. We're the only company bar none that is under one roof. More than 30 years of expertise helping customers both develop and service products. We have a unique blueprint for excellence that can help you truly take that big leap toward next generation business models.
41:13 But it's just not having the experience to know what great looks like. We have the full portfolio of technologies and solutions to get you there. ServiceMax brings a long list of new customers into the PTC fold, but there are also many ServiceMax customers that are already using CAD PLM SLM Iot and AR capabilities from PTC, which really speaks to the alignment between our offerings and the synergies we can develop together.
41:44 One of the common customers that we've been working closely with since the acquisition is Schneider Electric, a company with 128,000 employees in 100 countries. Schneider's purpose is to empower everyone to make the most of our energy and resources, bringing progress and sustainability for all. They call this Life is on with a huge and complex customer, customer and asset base and a long time ServiceMax user and a longtime user of Creo
42:16 and Windchill upstream as well. We've already been discussing with Schneider the benefits of linking ServiceMax and Windchill together, marrying the full digital representation of their products with the physical assets out in the field. Later this morning I'll be joined on stage during my SLM keynote by Jean-Pierre Smilow Schneider’s VP of Service Digital Experience to discuss their asset centric service strategy in more detail, including their near term focus to link service
42:50 and Iot data to become more predictive while unlocking new services. He'll share how they see a great deal of value in bringing service and asset data back to PLM to close the loop and strengthen their design for serviceability ambitions. I can't wait to see what they do next. Aligning the product and service parts of the PTC portfolio creates new superpowers for our customers. Whether you're Schneider
43:20 or any other industrial company with product service needs, you will benefit from our new vision for service and asset centric model that we are developing to power our newly integrated ALM portfolio. We call this an asset centric vision because the as maintained asset definition acts as the hub, serving as the integration point that pulls together the powerful capabilities of the spokes. This approach is unique in our industry
43:52 and critical to servicing complex products with different configurations. Windchill provides access to the initial service bill of material for each new product, along with a detailed 3D digital twin. Likewise, Salesforce CRM provides a 360 degree view of the customer as the hub in the center. ServiceMax manages the as maintain record of the install base,
44:23 which customers understand which products they own and what their service entitlements are. This includes information about each product's configuration, prior issues, previous maintenance parts, replacements and so forth. ThingWorx Iot allows ServiceMax to monitor the product fleet to enable service to be more predictive and preventative nature and in many cases to be done remotely.
44:53 Leveraging as maintained product configuration data in ServiceMax ServiceMax with content and Windchill Arbortext can deliver technical service documentation such as parts catalogs and work instructions specifically configured to match each asset. Similarly, blending ServiceMax configurations with Windchill content. Vuforia enables a service technician or even the end customer to see the 3D service instructions augmented right into the product.
45:26 ServiceMax handles all the necessary field service management activities such as the logistics of scheduling, dispatching field technicians. ET cetera. And with deeper insight into actual service events occurring across the fleet, Servigistics can further optimize spare part costs, saving customer lots of money by reducing spare part inventories to the minimum level necessary to meet service level agreements. This strategy, made possible by combining the strengths of PTC
45:59 and ServiceMax ushers in the era of a service organization that is predictive and remote. First resource optimize customer focused and most importantly, commercially sustainable for the ServiceMax and ALM team. LiveWorx is a great chance to show all of you what's possible for your service and digital strategies. So we hope to see you at the breakout sessions and in the service section of Xtropolis over the next few days.
46:29 I can't wait to show you the path we're already blazing with some of our customers. Jim back to you. All right. Thanks, Neil. As you've seen, there is breakthrough new potential for optimizing the after market service of long life cycle products. Now, thanks to another breakthrough innovation, we have a powerful new way to drive a converged experience that blends characteristics of the physical
47:01 and digital worlds. We call it the industrial metaverse. The term metaverse might imply a consumer gaming or social app to some, but PTC has been working hard for years to apply the Metaverse concept to the business of an industrial company. There's a tremendous need to lubricate how knowledge workers on the digital side collaborate with frontline workers out in the physical world at factories and on service calls.
47:31 Usually this takes time and it might involve airplane tickets and rental cars, but that changes when we apply Metaverse concepts with our new Vuforia industrial Metaverse technology. When we encounter a problem in the real world, we can pull out our phone and quickly capture a spatial digital twin or metaverse that digitizes the real world of the factory or customer site. This happens so quickly. We call it a pop up metaverse.
48:02 Knowledge workers can then teleport into this metaverse with just a click of a mouse. Then the frontline workers who are physically present and the knowledge workers who are virtually present see and hear the same real time experience. Together they explore spatial problems and access information from the digital thread, such as service instructions, parts catalogs or Iot data. In many cases, problems can be solved faster than the time it would take to book
48:32 the airplane ticket. Not only does this approach save incredible amounts of time, but is also cost effective and environmentally friendly, too. Let's take a look at how PTC is industrial metaverse. Technology works through the lens of one of our lighthouse customers, the Swiss based company Burckhardt Compression. Burckhardt Compression is a global leader in industrial compression systems used to transport energy such as today's natural gas or tomorrow's green hydrogen.
49:04 When a burckhardt's product lines is a large gas compression system for transportation of liquid natural gas on large tanker ships. I know these ships because from our headquarters a few blocks away, I watched them deliver LNG to Boston's Harbor every week. Let's hear from Burckhardt's CEO and from their chief digital officer about the value their business sees in the industrial metaverse. Industrial metaverse brings so many new possibilities.
49:35 It creates this interactivity and this aspect of having something permanent that you come back to. You can add to it. You can look around it from a 3D perspective. You have all the complexity you want, but also all the simplicity you need. With the industrial metaverse. You're not only overcoming distance, you're also overcoming time. They give you an example. You have a super tank in the middle of the ocean. There's an incident. You cannot just bring a service engineer. So virtually we beam the engineer there and the local engineer from
50:08 the customer can do the intervention. There is a wingman from our side remotely supporting, even guiding, instructing the person, just using the PTC metaverse you need a mobile device, can be a smartphone, can be a tablet. You scan a 360 degree picture of your surrounding. You upload it to the cloud and it's very simple. Connection can be Wi-Fi, can be a standard phone connection, can be a satellite connection. If you're on a vessel tanker on the ocean, it's not really bandwidth consuming. And once it's installed, you can enter there. You have the helicopter view on top of it.
50:40 You can have the detailed views and it's quite simple. The installation is not over weeks or months. It's minutes or hours. That means we reduce travel time. We have a high efficiency, but also for the field service engineer, it's more convenient they stay in context. So when they enter the metaverse, it's all there, easy to be accessed. And it's not only related to one person, So it's a comprehensive history, documentation, everything there at hand. And that leads in the end to better service,
51:10 faster intervention and higher uptime for the customers. All layers work together from the connectivity, the data flow, the applications, the visualization. And this is really what I love about the PTC approach, which brings all these bricks together and makes it a very interesting user experience. The metaverse is a game changer for us. It's about distribution of knowledge so we can distribute the knowledge to new colleagues joining. We can also distribute the knowledge to existing people that have been servicing
51:40 other machines. So it's a virtual. Universe of collaboration. And that's amazing. All right. That's pretty cool stuff. You've got a taste of how excited Burkhart's top management is about the Metaverse technology and what it means to the business, to their business. Their chief digital officer, Helmut Draxler, will be participating in the Metaverse session and in demos happening here at LiveWorx, so be sure to check that out.
52:11 Innovations like the industrial metaverse make the world more sustainable. And that's something we're all mindful about these days, in part because it's such a hot topic with customers, investors, regulators, even employees. When a manufacturing company aspires to do their part to make the world more sustainable, their primary goal is to minimize the environmental footprint associated with producing, operating and servicing their products.
52:41 But they soon realize you can only tweak the footprint at the margins if you start after the product designs already set. That's because, like with cost drivers, it's estimated that 80% of a product's environmental footprint is committed by engineering decisions made while the product is being designed. After those decisions are final, you're more or less stuck with that envelope. To make meaningful changes to your company's environmental footprint, then you have to affect decisions made in
53:14 a digital world in order to drive better outcomes later in the physical world. To take us deeper into the sustainability topic, I’d like to welcome Catherine Kniker or CK as she is called, who is PTC Chief Strategy and Sustainability Officer. Okay. Thanks, Jim. Thanks, Jim. And you're absolutely right. By redirecting the sustainability focus upstream where it really needs to be.
53:44 Companies can enhance their engineers awareness of the drivers of the environmental footprint that is implied in their design. This includes choices like materials suppliers and manufacturing and operating processes. When engineers understand the footprint associated with their design, they make choices that are far more sustainable. On the one hand, they can make today's products in a much greener way.
54:15 And on the other hand, design next generation green products. For example, Cummins is a global leader in combustion engines that's been around for over 100 years. Cummins has undertaken a bold sustainability initiative called Planet 2050. This includes a commitment to reduce the weight of its engines and to guarantee that each engine part has a circular dimension to it.
54:47 To get there, Cummins is leveraging our Creo generative AI design technology to model parts that use far less material, but without sacrificing strength and durability. Now, conceptually, our generative design technology is like ChatGPT, but for 3D models rather than text. Now making existing products greener is great , but Cummins isn't stopping there.
55:18 They are also creating a fundamentally greener next generation line of hydrogen engines, for example, in the US. Converting medium and heavy duty trucks to clean hydrogen would eliminate almost one quarter of all greenhouse gas emissions from the transportation sector. Now we'll be featuring Cummins at the coming story in our sustainability track,
55:48 so you'll have the opportunity to dive in a lot deeper then beyond. Cummings. There are many PTC customers leveraging our software to drive their sustainability programs. Vestas, who's represented in a big way here at LiveWorx, is a global leader in sustainable energy solutions, and one of the leading producers of wind turbines in the world as of 2021.
56:18 Wind power made up 6.5% of electricity generation, and that's a two fold increase since 2014. Last year, Vestas was named the most sustainable company in the world. Now, that's in part due to their own reduction of their footprint, but more so because of their green products like wind turbines. Those wind turbines have helped their customers avoid billions of tons of carbon
56:53 emissions. Now Vestas is a heavy user of Creo and Windchill, and we continue to work with them to make our products better. Current areas of collaboration include composites, design with Creo and adopting the type of platform strategies that Jim referred to earlier. Now, knowing that product design plays such a critical role in sustainability, we are partnering with hundreds of customers of all types and sizes,
57:26 and we are equipping them with the tools to design, manufacture and service their products more sustainably, with a focus on three key areas Dematerialization energy efficiency and waste reduction. And for all the new green energy companies and other pre-revenue startups out there, we have startup programs for Creo and Onshape, including a recent change to give you Onshape for free. But that's not all.
58:01 Today I am pleased to announce new work with two partners that will help our customers design more sustainably. First, we're expanding our relationship with answers by pursuing more integrated workflows between their grantees, Material Information Management Solution and Creo Windchill. This will allow engineers to assess how the materials used in the product impact the product's performance embodied carbon and recyclability.
58:35 These more integrated workflows will help engineers balance performance and environmental footprint priorities as they design their products. Now, I'm also excited to announce that we've elevated our relationship with aPriori. We will leverage a priori cost manufacturability and sustainability assessment capabilities in Creo and Windchill, so that will enable engineers to understand the implied manufacturing footprints
59:06 and costs associated with their design. And then they can watch how the footprint evolves as their design changes. We have a lot more to share with you about the work we're doing with Ansys and aPriori here at LiveWorx. Now to close out on the sustainability topic, we recognize that PTC that we must walk the walk right alongside what our customers. So I am extremely pleased to announce that PTC has signed
59:37 the science based Target initiative commitment for both short and long term greenhouse gas reductions. And we're doing this for two main reasons. First, we believe it's simply the right thing to do. And second, many of our customers aim to work with sbti committed suppliers. So we now hit the mark. We look forward to sharing a lot more about sustainability over the course of this week. But for now, back over to you, Jim. Great.
1:00:16 Thank you, Kay. A big driver behind sustainability initiatives is the need to comply with new ESG regulations. But for many companies represented here, sustainability is but one more form of regulatory compliance that you're responsible for in what's now a familiar theme. If you want your products to be compliant in the physical world, you'll need to change what you do in the digital world. To be compliant. Companies that operate in regulated industries typically need to formalize
1:00:48 the requirements for their products, link each design change back to a requirement, and forward to test cases that validate the system Still working as it should. Plus, they need to show that feedback from the field is being processed correctly. That's all right up our alley. Which is why many companies in this audience use PTC software, especially PLM and ALM, to institutionalize compliant processes across automotive, medical device, pharmaceutical and defense industries, to name a few.
1:01:20 In the automotive industry, for example, software is definitely eating the world. Software differentiates the product, but a bug in the software can also kill somebody. So the auto industry has to comply with standards like ISO 26262 and automotive spice for safety critical software. Many turned to PTC for the compliance capabilities of our ALM offerings. There's a growing. List of automotive OEMs and suppliers who have now embraced Codebeamer based on
1:01:54 the strength of the product and the momentum we have in the market. I'd argue that Codebeamer is becoming the next generation standard for software compliance in the automotive industry. Meanwhile, if you work in the medical device industry, you're focused on FDA or similar global regulations and you need to implement quality management systems with compliant processes. PTC customers are the who's who of medical device manufacturers, and they use Windchill and Arena
1:02:25 and ServiceMax to institutionalize compliance into their product life cycle processes. Sustainability and compliance are overarching strategies that traverse PTC entire product portfolio. But we have another overarching strategy, and it's a big one software as a service or SaaS. I've spent the majority of my talk so far reflecting on the incredible business value that our software is generating for customers.
1:02:56 But as you can see, there's a lot of technology involved. Customers love the business value, but most don't really love all the care and feeding that the technology requires. They just want to use the software, much like you charge your phone by plugging it into an electrical outlet without having to worry about how to operate the power plant that's supplying the electrons somewhere in the background. SaaS isn't just easier. It provides important new benefits, too. It's a much faster way to get started because the system's already up and running.
1:03:30 You're always on the latest version. No upgrades or patches ever again. SaaS is very democratic because any new employee or supplier can participate with no hardware and software preconditions. It takes collaboration to the next level because you can all work on the same data at the same time rather than checking out and working privately on the latest data. It's more secure and security issues are dealt with much faster. Best of all, the cost of ownership is much lower because even though you pay
1:04:05 the SaaS provider more for the complete service, there's now a long list of hardware and software vendors you can exclude from the payroll going forward because they're no longer needed. It's all part of the service now. That's why the entire universe of enterprise software is moving to the cloud and embracing the SaaS model. The tech industry passed the tipping point last year when more B2B software was delivered as SaaS than on premise. Trust me, we're not going back.
1:04:35 But unlike the broader enterprise software industry, the CAD and PLM part isn't really known for SaaS. The vast majority of CAD PLM software runs on premise today. But that's changing and the pace of change is accelerating dramatically at PTC. For example, now a full 25% of our business is delivered as SaaS. And this part has been outgrowing the on premise part by a significant amount.
1:05:05 If you want to transform your business to capitalize on the strategies I've been discussing today and you want to do it in the easiest, fastest and most efficient way, then you'll ultimately want PTC technology portfolio delivered to you as a service. We made that realization after the last LiveWorx when we concluded that the time had arrived. Our industry's future was clearly going to be SaaS. That led us to acquire Onshape in 2019 and to acquire Arena a year later.
1:05:38 Onshape and Arena are best in class examples of the power of SaaS poster children for how SaaS should be done, and both companies have prospered here at PTC. So leveraging their base of technology and experience. PTC is common SaaS platform called Atlas was born. We chose the name Atlas because, like in mythology, our atlas is designed to carry the entire PTC SaaS world on its shoulders.
1:06:09 Building on our Atlas platform here at LiveWorx 2023, we are unveiling our new plus strategy that brings SaaS to life across all of our mainstream digital thread products. We've created true multi-tenant SaaS versions that are fully upward compatible with their on premise counterparts. We've already delivered Windchill plus Vuforia, Plus and Kepware Plus. And today, for the first time ever, in just a few minutes, you're going to get to see and hear about Creo+ Windchill Plus is a big deal
1:06:47 for many of you here in the audience. It starts with everything you love about Windchill. Plus, it's deployed on a modern SaaS architecture and has important new capabilities for our customers. The deployments are easy. Hardware and software costs are down. Collaboration is a breeze and extending product data to the broader organization has never been easier. One of the early adopters of Windchill plus is Balluff, a leader in industrial automation technologies.
1:07:18 We spoke with Florian Hermle, managing Director of Balluff Worldwide, about why it was time for Balluff to turn to SaaS. PLM Olaf is playing in a market that is highly competitive, highly exchangeable. All in all, we have a portfolio of about 40,000 products and those products require very stable processes and a good internal organization. Balluff comes from a history of hosting all systems on premise here in Germany.
1:07:50 It made it very hard for our subsidiaries to access the system. It was constrained by bandwidth, by performance of the systems. What I see as a tremendous advantage of the cloud solution that PTC offers to us is a constant accessibility around the globe. We have manufacturing and engineering locations across the world, and this is much better represented with a global software platform that can be accessed from everywhere with same level of
1:08:23 speed, same level of security. And this is what helps us to have collaboration and development cross countries across time zones and provide the best service for everybody using the product. PTC is offering not only a software solution to us, but is offering us a integrated development environment. When I look at the world around us, there is so much change in technologies, in regulations, in requirements from our customers.
1:08:55 We need all our energy to focus on providing the best solutions to tackle those challenges. Therefore, we need a development environment that supports us and is not an obstacle with Windchill. Plus, I see us perfectly positioned for that. We are fully transparent, fully digital and are moving at light speed. All right.
1:09:27 So you can see Borlaug really understands and appreciates the value of SaaS and Windchill. Plus, they're presenting at LiveWorx this week so you can hear more about their SaaS journey firsthand. With help from Dhcp services. The business we helped form with ITC PTC is offering customers like Balluff a programmatic turnkey approach to lift and shift their on premise Windchill deployments into the Windchill plus cloud,
1:09:58 which is then run by PTC. You'll have a chance to learn all about that process here at LiveWorx to. For today's big news about Creo+ , I'd like to welcome Brian Thompson. Wow. Thanks a lot, Jim. Hi, everybody. Hi, everybody. I'd like to get right to the point and one of the most exciting developments that I've seen in my 15 plus years in the CAD space.
1:10:29 PTC is bringing Creo into the SaaS era using Atlas. Yeah, it's going to be awesome. So today, alongside an incredibly feature rich release of Creo 10, I'm thrilled to announce Creo+ our first ever SaaS version of Creo. We call it Creo+ because it is everything you love about Creo plus a lot more. Now the most exciting new capability that every Creo+ user can enjoy is dynamic,
1:11:01 real time, multi-user collaboration. You can see on the screens behind me a demo of this powerful new way of working. And your eyes are not deceiving you. There are four four engineers working on this design of the Hill helicopter main rotor assembly all at the same time. They're designing, they're reviewing changes of others. They're branching designs to evaluate possible changes they want to make. And then they're selectively merging what they want back together.
1:11:31 You're probably noticing that the full power and capability of Creo is available while collaborating. We're doing composite design, which by the way, is new in Creo 10 on the main rotor cowling. We're running an Ansys simulation on the full gearbox housing. We're making complex design changes to the casing and creating new mounting brackets, and we're doing it all simultaneously. Can you believe this demo? Come on. It's unbelievable, right?
1:12:01 Look, Onshape Onshape experts in the audience might think that the branching and merging looks familiar to them. And it should, because we're using the underlying collaboration capabilities from Onshape to make this possible. It's another great benefit. Yes, it's great stuff. It's another great benefit to our Atlas strategy. Now, if you want a deep dive on Creo+ and Creo 10, be sure to join the Spotlight session that Paul Sager and
1:12:31 I will be hosting here later today. We have a lot more to dive into and cover. Jim. All right. Great stuff. Thanks, Brian. And congratulations to the whole Creo team for achieving this milestone. You just added another decade or two to the Creo story. All right. As you can see, we are laser focused on this SaaS transformation.
1:13:01 Other vendors may be hand-waving and taking shortcuts, but PTC is doing it the right way, leveraging the best talent and the best and most proven SaaS technology in the industry. We're out front, well ahead of our competitors, and the superior approach we're taking will become increasingly obvious over time. Before we wrap up today, there's one last overarching strategy that's critical to making our vision of digital transformation come to life for industrial companies, and that's PTC. S ecosystem of partners.
1:13:33 What we're trying to accomplish is no small thing. But fortunately, PTC sits at the center of a constellation of companies that collaborate to develop, sell, implement, integrate and support these powerful systems that can transform your businesses. I'm referring to our resellers, our system integrator partners, and our technology partners. I'd like to thank all of our sponsors and all of the partners who are attending LiveWorx to help share
1:14:03 the vision of what we can achieve together. In particular, I'd like to thank Rockwell Automation and their Calypso group who together represent our pinnacle Industrial Automation and Digital Transformation Partner. I'd like to thank Dell, who's our pinnacle partner for End to End Edge Computing Solutions. I'd like to thank Dhcp Services, our Pinnacle Digital Thread Solutions partner who's helping to drive our SaaS strategy. And there's one final pinnacle partner that I need to spend a bit more time
1:14:34 on. This is a company whose name has come up numerous times already, a company with whom we collaborate and co-develop across a growing number of fronts. That company's assets. How boldly would you dream if you knew what the outcome would be? What boundaries would you push? What limits would you surpass if the unknown no longer held you back? Imagine how far you would go. Knowing is power, and it's possible with Ansys.
1:15:06 We simulate the world as ItrillionEALLY works, allowing you to see into the future and create it, revealing one truth after another, determining with certainty what works, what doesn't, and what's next. From the oceans to outer space, from human ingenuity to AI, from the life-saving to the world changing. Ansys sets the future in motion with confidence.
1:15:37 Be daring. Be bold. And take a leap of certainty. I’ve asked a special guest, RJ Gopal, who’s the president and CEO of Ansys, to join me. RJ, thanks for coming alive once again. Thanks, Jim. Firstly, thank you so much for the partnership and thank you for
1:16:09 the opportunity to speak to this incredible audience of this incredible event. Yeah, great. Now, many people in the audience know that PTC is a leader in Canon PLM and Ansys is considered the leader in simulation. Ancis and PTC are a perfect complementary fit because it's two companies who embrace openness and collaboration. Now, originally we launched our Strategic Alliance at LiveWorx in 2018. It's been a great partnership and we've been actively developing solutions ever since.
1:16:40 You know, absolutely, Jim. Look, our relationship has thrived over the past several years for one key reason. We both take a customer centric view. You know, we solve complex problems across industries and around the world. We have many customers in common, and I would imagine that quite a few are in the audience today. Now, earlier, Jim, you had mentioned the importance of reducing time to market. You talked about sustainability of delivering quality products. And these are key ingredients to making our joint customers successful.
1:17:12 Look, there are so many benefits for our open collaborative approach. Together, Answers and PTC are redefining digital transformation. We're helping customers to improve product quality and safety while reducing cost and risk. And we're enabling organizations to reduce their environmental impact in an era, frankly, of increasing product complexity and competition. Now, our initial goal was to embed Ansys simulation into Creo. How do you view that?
1:17:45 Look, we've been able to put simulation into the hands of more users, enabling faster iterations and reducing the cycle time between designers and simulation analysts. Simply put, Jim, when design engineers can simulate their own work up front, they can find and they can fix problems quickly. Look, I think our joint customers will be impressed with the innovations both of our companies are bringing to market and delivering in Creo 10. And I encourage everyone to join our breakout session tomorrow on the future of simulation driven design.
1:18:18 So more recently, we expanded our relationship to include PLM and simulation process data management through Windchill and Ansys Minerva working together. Yeah, look, this integration exemplifies, I think, one of our core beliefs that the entire product development process should be open. We've been enabling an open approach by managing the work in process simulation data and workflows in Ansys, Minerva
1:18:48 and then connecting that to PTC Windchill So this empowers organizations to set up a repeatable simulation process and then capture and manage the results from each run. This this open digital thread gives customers really an unbroken view with traceability from requirements to design and validation to manufacturing. The insights from simulation are delivered to the right people at the right time and in the right context.
1:19:18 Now, you know I share your enthusiasm and passion for an open approach so that we can meet customers where they are and help them evolve to where they want to be in the future. And speaking about the future, I'm very excited about some of the projects we're working on jointly. Yeah, exactly. Look, I believe that PTC and Ansys have only just scratched the surface of what we can do together to benefit customers. You spoke about sustainability earlier, and we are expanding our partnership to extend Windchill's capabilities
1:19:48 for materials management and sustainability with Ansys Grantor. The grantor is the Premier Materials data Management system and that helps customers understand the impact of material choices. And this will revolutionize the way that customers can create, manufacture, sell and reuse products. I mean, it is really exciting. Yeah. I also spoke a lot about our SaaS strategy and Brian Thompson showed Ansys running in Creo+ and there's an existing connection between Onshape and Ansys on scale
1:20:19 and much more we can do together in the cloud. Yeah. Look, both Creo+ and on scale are examples of how we are connecting people and process and technology and data by leveraging this this digital pipeline that combines the that brings together the combined power of PTC and Ansys. Look, all of these strategies fundamentally shift decision making to the left. So that's moving it earlier in the product design process so our joint customers can leverage the insights in design faster
1:20:50 and accelerate time to market even as they improve. Product quality. Okay. Well, thank you, AJ and really all of Ansys for working closely with PTC to connect our products and value propositions tightly together so that we can provide our mutual customers with critical simulation insights across the full product life cycle. So thank you again for joining me. Thanks again. Appreciate it. That brings us to the end. I realize I've given you a fire hose of information,
1:21:25 but we haven't been together like this since 2019, and there was a lot to catch up on. I hope you all found some valuable nuggets to take home with you. For those of you with that need for speed, be it retailers trying to set speed records for just in time, product development software engineers out there writing the code that's eating the world, or high tech startups pursuing agile so you can develop hardware like you develop software, we can help. For more established companies pursuing that balance of growth and profitability,
1:21:55 we can help with efficient platform strategies powered by a model based digital thread that crosses your product lifecycle and powers both top and bottom line growth. When you think about sustainability, about compliance and about SaaS, we can help there too. I hope I leave you with the sense that these may be the golden days in the product life cycle world. The transformation topics we've covered today are on the agenda of your executive team, your CEO and your board of directors.
1:22:27 We're together at the front lines of where industrial businesses are being transformed and value is being created. It's a great time to be in the manufacturing world, to be in industrial software, to be associated with PTC, and to be here at LiveWorx. Thank you to all of our employees for the tremendous hard work that it takes to bring LiveWorx to life and to the customers, partners, investors, influencers and journalists
1:22:57 and even our board of directors for making your way to Boston to be with us here today and to all of those who joined online as well. Between the keynotes, spotlights, track sessions, Xtropolis demos, training classes, and did I mention Dierks Bentley playing right here on this stage? Some of his 20 number one country radio hits. I hope you all have a great time here at LiveWorx 23.