Question-and-Answer Session
Operator
(Operator Instructions)
Our first question today is from Alan Cooke from Merrill Lynch.
Alan Cooke - Merrill Lynch
Murray, thank you very much and congratulations on the quarter. Why do you think there is such a large change? Was it purely execution on your part or was there a macroeconomic element to it, as well?
Vivek Ranadivé
We think it was a couple of things, Alan. One is that the changes that we had put into play earlier in the year finally started taking hold. So, it was execution. And the other thing is, we have been holding firm, in terms of our pricing. And I cannot compare it to being in the detox program, where you suffer a few quarters--and you do that--but I think eventually it starts paying off.
And so, it was a combination of factors. And, of course, Q4 is seasonably always strong for us.
Alan Cooke - Merrill Lynch
Okay. And in terms of your outlook for next year, you mentioned that you remain confident about spending. What gives you that confidence that spending is going to be strong into Q1 and the rest of fiscal '08?
Vivek Ranadivé
From what we saw in Q4, as an example, we’ve actually had great strength in the fiscal services sector and even companies that were not doing so well. We closed a big deal with Citibank, as an example.
And so our feeling is that people are continuing to spend in this area almost independent of what their situation is. And the early indications from what we are seeing so far also give us that confidence.
Alan Cooke - Merrill Lynch
How does your pipeline coverage look at this point, versus the same point last year?
Vivek Ranadivé
Well, it looks positive. We feel very good about it.
Alan Cooke - Merrill Lynch
Okay. And then with respect to Spotfire, can you breakout the license revenues that you got from Spotfire?
Murray Rode
So, Alan, we're lumping Spotfire on a go-forward basis, really, with the business optimization category; I think we talked about that last quarter. Roughly though, it was about half of the business optimization number for license.
Alan Cooke - Merrill Lynch
Okay, all right. Thank you. And then last question, in terms of your M&A, you mentioned M&A for next year is a way to help out with growth. Are there any particular product areas that you are looking to beef up?
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