Okay very good. Thanks.
Operator
And next we’ll go to Mark Murphy with Piper Jaffray.
Brian Schwartz for Mark Murphy – Piper Jaffray
Hi this is Brian Schwartz for Mark Murphy. Murray I was wondering if you can just talk about what’s going on, on the government side of your business. It looks like a record contribution that vertical. Is the stimulus bill starting to increase demand in that sector or are you adding sales reps in that vertical and do you see that vertical continuing to perform well for the rest of the year here?
Vivek Ranadive
We were slow in getting traction in the government sector. We were slow to arrive there but we kept at it and its starting to finally pay off. Initially we are seeing success at the federal level in defense and intelligence where messaging and so on is becoming somewhat of a standard, but we’re also starting to see success at the state level now. We aren’t seeing, I can’t point to something specific that says we are getting benefit from the relief that you see, the relief effort, but we are well positioned. We’re excited about the opportunities we have in this market and so it’s just that we’ve been at it for a while and its finally starting to pay off. Again, Murray, do you want to add anything to that?
Murray Rode
No, only I think just to reinforce the, if you think about the kinds of things that is core to the value that we add to the customers, integrating a whole variety of systems, moving information around in real time, improving efficiency of processes, those are all things that are major areas of focus for the government now in a way that I don’t think has been there for a long time so, that is to us a really good opportunity.
Vivek Ranadive
Yeah, and in addition to the areas I mentioned like defense and intelligence, there’s lots of opportunity at the state level just tying silos of information together and also as we get into healthcare and tying that together and into the energy grid and tying that together. We see lots of opportunities for the company.
Brian Schwartz for Mark Murphy – Piper Jaffray
That’s helpful and Sydney you mentioned in your commentary that the maintenance was strong and your renewals were steady. Is it possible to comment on what you saw in regards to your pricing on maintenance and if that revenue did grow either year-over-year or sequentially. Thanks.
Sydney Carey
We have continued to have strong maintenance renewal rates in the 90% to 95%, both on a year-over-year and sequentially. Maintenance revenue did grow. We are seeing that our maintenance rates for new license maintenance are staying strong and relatively unchanged from last year. And our renewal rates also are very strong.
Vivek Ranadive
In fact I just want to comment on pricing power in general. Even in this environment we have maintained very, very strong pricing power and so the revenues we’ve achieved have been, we haven’t done the, give everything away for a million dollar deal. It’s been very, very strong pricing power. I would even say it’s been the strongest and we’ve been working towards achieving this and we’re seeing that.
Brian Schwartz for Mark Murphy – Piper Jaffray
That’s very helpful. Thank you for taking my questions today.
Vivek Ranadive
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