Company: MSTR
Filing Date: 2025-01-03
Form Type: DEF 14A
Source: 0001140361-25-000231
Chunk: 89

Company: Strategy Inc
Filing Date: 2025-01-03
Form: DEF 14A
Chunk 89
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 Services                                     |     |                          |     |          |     |          |
| Domestic                                                  |     |                   52,528 |     |   42,428 |     | 23.8%    |
| International                                             |     |                   28,651 |     |   18,318 |     | 56.4%    |
| Total subscription services revenues                      |     |                   81,179 |     |   60,746 |     | 33.6%    |
| Total product licenses and subscription services revenues |     |                 $156,530 |     | $147,244 |     | 6.3%     |

Product licenses revenues. Product licenses revenues decreased $11.1 million during 2023, as compared to the prior year, primarily due to an overall decrease in the volume and average size of deals, with two particularly large deals occurring during 2022. During 2023, our top three product licenses transactions totaled $8.9 million in recognized revenue, or 11.8% of total product licenses revenues, compared to $13.1 million, or 15.1% of total product licenses revenues, during 2022. Our product licenses revenues may continue to experience declines in future periods as we continue to promote our cloud offering to new and existing customers. Subscription services revenues. Subscription services revenues are derived from our MCE cloud subscription service and are recognized ratably over the service period in the contract. Subscription services revenues increased $20.4 million during 2023, as compared to the prior year, primarily due to conversions to cloud-based subscriptions

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from existing on-premises customers, a net increase in the use of subscription services by existing customers, and sales contracts with new customers. We expect our subscription services revenues to continue to grow in future periods as we continue to promote our cloud offering to new and existing customers. Product support revenues. The following table sets forth product support revenues (in thousands) and related percentage changes for the periods indicated:

|                                |     | Years Ended December 31, |     |          |     | % Change |
|                                |     |                     2023 |     |     2022 |     |          |
| Product Support Revenues:      |     |                          |     |          |     |          |
| Domestic                       |     |                 $158,308 |     | $159,385 |     | -0.7%    |