Ryan Campbell's questions to Rackspace Technology Inc (RXT) leadership • Q1 2025
Question
Ryan Campbell asked about the Public Cloud segment, seeking details on where Rackspace is seeing the best win rates for its services business and how to think about the infrastructure resale revenue trend for the rest of the year.
Answer
CEO Amar Maletira stated that the pivot to a services-led motion is driving wins in platform services and data services, supported by a focus on larger enterprise customers. He clarified that infrastructure resale revenue is expected to decline by low to mid-single digits for the year. This is a purposeful strategy to walk away from low-profit deals, which is not expected to harm segment profitability and, in fact, should contribute to double-digit growth in Public Cloud operating profit.