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Fortinet NSE8-810 : Fortinet Network Security Expert 8 Written (FortiOS 5.6) Exam

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Exam Number : NSE8-810
Exam Name : Fortinet Network Security Expert 8 Written (FortiOS 5.6)
Vendor Name : Fortinet
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NSE8-810 test Format | NSE8-810 Course Contents | NSE8-810 Course Outline | NSE8-810 test Syllabus | NSE8-810 test Objectives


Name: NSE 8 - Network Security Expert 8 Written test (810).
Available worldwide at: Pearson VUE Test Centers
Number of questions: 60
Time allowed to complete: 120 minutes
Scoring method: Answers must be 100% correct for credit. There are no partial credit given or deductions for incorrect answers. You will receive a document containing a general pass or fail result, and indication as to which sections you passed or failed.
Type of questions: Multiple choice and multiple select
Time required between attempts: 15 days

The practical test is an in-person test. They offer multiple NSE 8 test locations across the world. The practical test is a two-day, hands-on evaluation. During the practical exam, you must successfully configure and validate a complete network topology involving multiple Fortinet products.

Available at: Fortinet offices Ė Check the schedule for upcoming sessions
Number of tasks: 38
Time allowed to complete: 2 days, proctored
Scoring method: Answers must be 100% correct for credit. There are no partial credit given or deductions for incorrect answers. Type of tasks: Hands-on configuration and troubleshooting
Time required between attempts: 15 days
Scoring: You will receive a document containing a general pass or fail result. No further details or assistance will be provided.
Number of attempts allowed: 3 attempts

1. Security Architectures
a) Fortinet cloud security solutions
i) FortiGate VM models and licensing
ii) FortiGate VM deployments
iii) Fortinet on private clouds
iv) Fortinet on public clouds
b) Designing resilient solutions
i) Fortinet solutions advanced high availability features
ii) Fortinet solutions operation and deployment modes
iii) FortiGate Cluster protocol
iv) FortiGate Session Life Support protocol
v) Session-aware load balancing clustering
vi) Load balancing
vii) Fault tolerance
c) Designing enhanced Fortinet solutions
i) Fortinet solutions for specific scenarios
(1) Secure access networks
(2) Web application security
(3) Advanced threat protection
(4) Cloud security
(5) Enterprise firewall
d) Fortinet high-end solutions
i) FortiGate 3000 Series
ii) FortiGate 5000 Series
iii) FortiGate 7000 Series
2. Hardware acceleration
a) Hardware acceleration overview
i) Content processors
ii) Security processors
iii) Network processors
iv) FortiGate blades
v) FortiGate chassis
b) Traffic in Fortinet products
i) Traffic offloading
ii) Life of a packet
iii) Fortinet communication ports and protocols
3. Networking
a) Advanced routing
i) Static routing
ii) Dynamic routing
iii) Routing and high availability
iv) Asymmetric routing
v) Secure SD-WAN
b) Advanced NAT
i) Central NAT
ii) NAT64
iii) NAT46
iv) DNS64
c) VPN technologies
i) Advanced IPsec
ii) Advanced SSL
d) Network troubleshooting
i) Debugging tools
ii) Diagnostic tools
iii) Routing and VPN troubleshooting
iv) CLI in Fortinet solutions
4. Authentication
a) Authentication with Fortinet products
i) Advanced single sign-on
ii) RADIUS
iii) Two-factor authentication
iv) 802.1x
v) Certificate-based authentication
vi) Troubleshooting
5. Content inspection
a) Inspection modes
i) SSL/SSH
ii) Certificate
iii) Sandbox inspection
b) FortiOS security profiles
i) Antivirus
ii) Intrusion prevention systems (IPS)
iii) Application control
iv) Web filtering
v) DNS filtering
vi) VoIP inspection
vii) Session helpers
c) FortiGuard services
6. Security operations
a) Fortinet solutions APIs
i) Rest API
b) Handling security events with Fortinet solutions
i) FortiSIEM
ii) FortiAnalyzer
iii) Log analysis
iv) Event management
c) Fortinet central management solutions
i) FortiManager
ii) FortiCloud
7. Integrated Solutions
a) Integrate Fortinet solutions for advanced threat protection
b) FortiLink
c) Fortinet wireless solutions
d) Fortinet authentication solutions
e) Fortinet hybrid solutions (traditional network and cloud)
8. Enhanced Technologies
a) Fortinet enhanced solutions including:
i) FortiWeb
ii) FortiADC
iii) FortiDDoS
iv) FortiAuthenticator
v) FortiMail
1. FortiOS Administration
a) VDOMs
b) Proxies
c) Resilient networking
2. FortiOS Networking
a) VPN deployments
b) IPv6 networking
c) Advanced routing
3. Authentication
a) Single sign-on
b) Authentication methods
4. Content Inspection
a) Traffic inspection
b) Traffic control
5. Security Fabric
a) Fortinet Security Fabric
6. Secure Access
a) Fortinet Secure Access solutions
7. Security Operations and Management
a) FortiManager operation
b) FortiSiem operation
c) FortiAnalyzer operation
8. Enhanced Technologies
a) FortiWeb to secure web applications
b) Protection against DDoS attacks
c) FortiMail to secure mail applications
d) FortiADC to load balance traffic



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Fortinet 8 test contents

Fortinet, inc (FTNT) Q2 2021 salary call Transcript | NSE8-810 Study Guide and test Cram

a close up of a logo: Fortinet, inc (FTNT) Q2 2021 Earnings Call Transcript © offered by using The Motley idiot Fortinet, inc (FTNT) Q2 2021 earnings call Transcript

Fortinet, inc (NASDAQ: FTNT)

CONSTELLATION manufacturers, INC.

Q2 2021 earnings name

Jul 29, 2021, 4:30 p.m. ET

Contents:
  • organized Remarks
  • Questions and answers
  • call members
  • organized Remarks:

    Operator

    respectable day, and thank you for standing through, and welcome to the Fortinet 2nd Quarter 2021 income name. at the moment, all contributors are in a hear-best mode. After the audio system' presentation there could be a query-and-reply session. [Operator Instructions] Please be informed that modern-day conference is being recorded. [Operator Instructions]

    i would now like to hand the conference over to your speaker these days, Peter Salkowski, vp of Investor members of the family. Sir, please go ahead.

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    this text is a transcript of this convention call produced for The Motley idiot. while they try for their silly most fulfilling, there may be error, omissions, or inaccuracies in this transcript. as with any their articles, The Motley fool does not assume any responsibility in your use of this content, and they strongly inspire you to do your personal analysis, including being attentive to the name your self and studying the enterprise's SEC filings. Please see their phrases and conditions for extra details, together with their necessary Capitalized Disclaimers of liability.

    The Motley fool recommends Fortinet. The Motley fool has a disclosure coverage.

    Peter M. Salkowski ` -- vice chairman, Investor relations

    thank you, Katherine. first rate afternoon, each person. this is Peter Salkowski, vice chairman of Investor family members at Fortinet. i'm completely happy to welcome everybody to their name to discuss Fortinet's fiscal consequences for the 2nd quarter of 2021, which we're hosting from inner of their new building. speakers on present day call are Ken Xie, Fortinet's Founder, Chairman and CEO; and Keith Jensen, their Chief monetary Officer. this is a live call that should be available for replay via webcast on the Investor relations web site.

    Ken will start their name by offering a high-stage standpoint on their company. Keith will then evaluate their fiscal and operating effects for the 2nd quarter earlier than offering counsel for the third quarter and updating the complete yr. they will then open the demand questions. [Operator Instructions]

    before they start, i might like to remind each person that on latest call, they can be making forward-looking statements and these ahead-searching statements are area to dangers and uncertainties, which might cause exact effects to vary materially from those projected. Please seek advice from their SEC filings, in specific, the possibility components in their most contemporary kind 10-okay and form 10-Q for more assistance. All ahead-looking statements replicate their opinions most effective as of the date of this presentation, and they undertake no obligation and primarily disclaim any responsibility to update forward-looking statements.

    also, all references to financial metrics that they make on latest name are non-GAAP, except brought up in any other case. Their GAAP consequences and GAAP to non-GAAP reconciliations is discovered in their profits press unencumber and in the presentation that accompanies present day remarks, both of which can be posted on the Investor members of the family site. finally, all references to increase are on a yr-over-12 months foundation until stated in any other case.

    i'll now turn the name over to Ken.

    Ken Xie -- Founder, Chairman of the Board, and Chief government Officer

    Thanks, Peter, and thanks to all and sundry for becoming a member of modern-day call to review their remarkable 2d quarter 2021 results. Billings improved 35% to $961 million driven by strong execution and become the ideal it has been due to the fact that 2015. comfortable SD-WAN accounts for 14% of 2nd quarter billings. complete income grew 30% to $801 million with product earnings up 41%. Product income growth changed into the maximum for basically 10 years. Free money circulate became $395 million, a quarterly listing level. With powerful enterprise momentum, they remain focused on increase.

    nowadays, they announced expansion of their FortiCare FortiGuard protection capabilities, adding a brand new security provider known as FortiTrust. FortiTrust security service present person-based mostly licensing that comply with the user throughout the operations whole protection platform. This enable organizations to with ease manipulate and at ease purchase their network, endpoint and cloud, which historically has been siloed. initial provider degree are being offered for zero-have faith network access and id verification. They raise the latest FortiCare safety services, which cover all Fortinet security material product with same level of features to together with 24/7 technical assist and well timed challenge resolution.

    additionally, FortiTrust protection provider has been high-quality-tuned for different segments with added particular person features for commercial enterprise, bundle for business and the applications for SMB, leveraging business-main hazard intelligence from FortiCare Lab.

    FortiCare at ease service present market-main AI-enabled, secured skill that always adjust coverage across the Fortinet protection material. these days, they announced a brand new FortiGate 3500F the industries high-efficiency subsequent-era firewall. They integrate uTrust newer access and ransomware insurance plan, powered through the Fortinet MG7 SBU the 7,500 app presents a normal six times greater efficiency than other aggressive items in keeping with their protection compute studying. This makes a Fortinet app the premier protection for high-pace inner network on base centers. They continue to peer the momentum and adoption of their SD-WAN new have confidence me entry and cloud options among the, worlds greatest service suppliers.

    In might also, Fortinet changed into recognized because the winner of the Microsoft protection client affect award. final week, Fortinet become named Google category 2020 security partner of the yr, identified for creative pondering, dazzling consumer carrier and premier-in-class use of their cloud products and services.

    before turning the name over to Keith, i would like to thank their personnel, customers and companions international for their persevered support and tough work.

    Keith F. Jensen -- Chief monetary Officer

    thank you, Ken. And so as to add to your comments, they should still observe that as within the prior quarter, billings boom, product earnings increase and complete revenue growth, all accelerated sequentially. definitely, all three growth prices have been at five-year Fortinet highs and product earnings increase was at its optimum in over 9 years. k, let's birth with a extra precise Q2 discussion with income. total revenue of $801 million was up 30% driven by means of trade-leading product revenue boom of 41%.

    The product profits growth was large-based across geographies, FortiGate and non-FortiGate items and throughout use situations illustrating market acceptance and customer demand for their built-in single platform security fabric strategy throughout consumer infrastructures. Their monetary approach contains a Rule of 40 pursuits. They target the full of the earnings boom percentage and working margin to be at least 40. within the 2nd quarter, powerful demand and execution drove this precise total to be a Rule of 55. FortiGate product income growth was 40%, whereas they continue to peer powerful growth from their secure SD-WAN functionality.

    the vast majority of the boom changed into driven with the aid of FortiGate income from other capabilities, which can be embedded in the FortiGate working gadget. Non-FortiGate product profits increase turned into over forty% for the 2nd consecutive quarter and became driven by means of from their built-in protection cloth products. One additional touch upon their product profits increase, the product profits increase became a reflection of their endured mighty biological growth, and never the outcome of a couple of gigantic deals, drawing down backlog, nor an bizarre variety of delayed transactions from the prior quarter or pulled into future periods.

    carrier revenue of $503 million turned into up 24%. help and connected functions salary of $230 million become up 26%, while safety subscription functions revenue of $273 million become up 23%. relocating to the mixture of FortiGate and non-FortiGate platform profits, FortiGate product and capabilities profits increased 26%, pushed through very powerful demand for both branch and high-end FortiGate items.

    excessive-conclusion items included 10 MP7 powered FortiGate models, representing approximately 25% of excessive-end FortiGate shipments. Their ASIC-pushed FortiGates supply clients 5 times to 10 instances more computing vigor than firewalls operating on normal CPUs. The superior computing vigor creates additional velocity and skill to continue so as to add functionality to their operating equipment, further driving their fee for efficiency talents.

    The aggregate of the ASIC talents and the regular working system throughout products can enable provider consolidation, decreasing complete charge of ownership and lengthening automation. Non-FortiGate products and capabilities salary grew 39% and accounted for about 30% of complete profits, up over two percentage facets.The integrated safety material incorporates a complete latitude, which closed -- reversal for all their arms meeting later on nowadays. so that you've got an internal scoop on what Patrice goes to say. They birth once more, if i'll. Non-FortiGate products and services revenue grew 39% and accounted for about 30% of complete salary, up over two percent elements.

    The built-in protection textile incorporates an entire range of kind factors and beginning strategies, including physical and virtual methods, together with physical and virtual appliances, cloud, SaaS and perpetual application, in addition to hosted and nonhosted solutions. together, they supply a number security solutions and form factors, enabling built-in insurance policy for the hybrid environments and the increasing digital attack surface from network information centers to endpoints to the cloud.

    Let's flip to salary through geo. The summary is on slide 5. revenue in EMEA accelerated 34%. The Americas revenue improved 29% and APAC posted revenue growth of 24%. The Product salary growth for both the Americas and EMEA regions was over 40%.

    relocating to billings. second quarter billings were $961 million, up 35%. They saw amazing increase in both the FortiGate and non-FortiGate phase of the protection material platform. The FortiGate phase delivered billings increase of over 30%, accounting for 71% of complete billings.

    As proven on slide 6, department and excessive-conclusion FortiGates posted very potent billings increase. The non-FortiGate segment accounted for over 29% of total billings and delivered billings boom of over forty five%, using a two-aspect combine shift to non-FortiGate items and features. Given the persevered mighty performance, they agree with their non-FortiGate platform is on a tempo to be a $1 billion business this year. comfy SD-WAN billings, represented 14% of complete billings and is a key performance for an built-in SASE solution.

    in terms of billings by way of geo, EMEA outperformed all geos, adopted via the Americas and APAC. Europe had a pretty good quarter, and growth in the Americas was driven by means of the USA, which became up sequentially by means of greater than 30 percentage elements. Latin the usa continued to recover from the pandemic-prompted slowdown, closing billings growth within the mid-20s for the second consecutive quarter.The regular contract term turned into approximately 28 months, up two months from the 2nd quarter of 2020 and one month within the first quarter of 2021. deals over $1 million improved from fifty nine to seventy nine, and the pipeline for deals over $1 million continues to seem to be good for the remainder of the yr. relaxed SD-WAN offers over $1 million improved from 13 to 19.

    moving to worldwide billings by means of trade verticals. Billings by way of vertical illustrate diversification in their company model and importantly, imply the present possibility panorama is riding safety investments in industries that may also have historically shown lower funding degrees. as an instance, the verticals which have traditionally no longer been in their accurate 5 mixed for billings boom of over seventy five%. service providers accounted for 14% of complete billings and had been up 25%.

    relocating lower back to the income statement. Product income boom of 41% drove a 3 point shift within the product and services income mix. And along with it, a gross margin reduce of one hundred sixty foundation points to 77.5%. Product gross margin enhanced 70 groundwork features to sixty one.7%. functions gross margin diminished one hundred sixty foundation facets to 86.9% with information middle investments in FX accounting for approximately 100 basis points of the have an effect on. working margin of 25.four% became at the proper conclusion of the suggestions range despite a 350 groundwork aspect headwind from the gross margin decline, a weaker US dollar and multiplied trip and advertising adventure costs. They ended the quarter with a complete headcount of 9,043, a rise of 17%.

    moving to the commentary of cash move summarized on slide 7 and 8. Free cash move for the second quarter got here in at a quarterly listing of $395 million, profiting from robust income growth, good month one linearity and reduce capital bills. in the quarter, they repurchased about 455,000 shares of typical stock for a total cost of $92 million at an ordinary share expense of approximately $201. The ultimate share repurchase authorization at the end of the second quarter changed into 921 million with the authorization set to run out at the end of February 2022. They ended the first half of the year with total money and investments of $three.four billion, a rise of $1.7 billion. The boost comprises the proceeds from their $1 billion funding-grade debt issuance all over the primary quarter of 2021.

    DSOs again to pre-pandemic degrees, reducing seven days year-over-yr and 15 days quarter-over-quarter to sixty six days. stock returns expanded to 2.7 instances from 2.2 times, reflecting robust product revenue within the quarter. Capital bills for the quarter have been $24 million, and they have begun to circulate into the new Sunnyvale building. They estimate third quarter capital costs to be between $65 million and $75 million, which contains a $30 million charge for the brand new campus building. They estimate 2021 capital fees to be between $175 million and $200 million. With the acceleration of the boom and a little greater understanding of the put up-pandemic work patterns, we're turning their consideration to reviewing their facilities footprint and the essential office and warehouse capability in the US and Canada. As they work via this system, it's feasible that their estimated capital expenses over the following few quarters will increase as they prepare for the next phase of their boom.

    looking ahead, their purpose continues to be to balance boom and profitability. And given the boom opportunities that they believe lie ahead, they continue to are expecting to tilt their bias inside this framework more towards boom for at least the next a couple of quarters. The alternatives they see are supported by means of a powerful pipeline, expanded income effectiveness, the starting to be success with a single integrated protection platform approach and the convergence of safety and networking, the response to the current risk environment and their development efforts, which include continuing to put money into their ASIC potential, which allows for a shared working equipment throughout the safety fabric platform drives their fee for performance capabilities, boost the potential to add points and features while retaining cost aspects.

    And now i can assessment their outlook for the third quarter, summarized on slide 9, which is subject to disclaimers regarding forward-searching counsel that Peter provided initially of the call. For the third quarter, they predict billings in the latitude of $940 million to $960 million; revenue within the latitude of $800 million to $815 million. Non-GAAP gross margin of seventy seven.5% to 78.5%, non-GAAP working margin of 24.5% to 25.5%, which includes an estimated 200 basis point headwind from foreign alternate and multiplied commute and advertising charges.

    Non-GAAP income per share of $0.90 to $0.95, which assumes a share count of between $169 million and $171 million. They expect a non-GAAP tax fee of 21%. With that, we're elevating their 2021 suggestions and are expecting billings within the latitude of $3.870 billion to $3.920 billion, which the midpoint represents boom of about 26%. profits in the range of $three.210 billion to $three.250 billion, which at the midpoint represents increase of about 24.5%.

    complete provider earnings in the range of $2.045 billion to $2.075 billion, which represents increase of approximately 23% and it implies full year product profits increase of about 28%. Non-GAAP gross margin of seventy seven% to seventy nine%, non-GAAP working margins of 25% to 27%, which contains an estimated 200 groundwork aspect headwind from overseas trade and expanded go back and forth and marketing costs.

    Non-GAAP salary per share of $3.75 to $3.ninety, which assumes a share count number of between 168 million and one hundred seventy million. They expect their non-GAAP tax price to be 21%. They expect money taxes to be approximately $ninety million. together with Ken, i would want to thank their partners, customers and the Fortinet crew for all their tough work, execution and amazing success in the first half of 2021.

    i'll now hand the call again over to Peter for the mp;A session.

    Peter M. Salkowski ` -- vp, Investor family members

    Thanks, Keith. Operator, Catherine, we're able to open the call for questions, please.

    Questions and solutions:

    Peter M. Salkowski ` -- vp, Investor members of the family

    [Operator Instructions] And their first query is from Brian Essex of Goldman Sachs. Please go forward.

    Brian Essex -- Goldman Sachs -- Analyst

    top notch. thank you for taking the query and congratulations on the consequences. definitely high-quality set of effects this quarter. probably to beginning off, Ken, i do know you will have talked for years about not having exposure to firewall refresh cycles inside your company. could you perhaps unpack a bit bit the product revenue performance? Are you starting to see in all probability some exposure to the refresh cycles of others? is that this greater rip and substitute infrastructure improvements or expansions? possibly if you can perhaps supply us a little bit of an realizing of what's occurring behind the product revenue boom this quarter?

    Ken Xie -- Founder, Chairman of the Board, and Chief government Officer

    sure. Thanks, Brian. wonderful query. I believe the business even if all through the pandemic or after the pandemic probably in some form of a structure changing. it's now not the natural border variety of firewall may be sufficient. You should extend into the WAN aspect like comfortable SD-WAN and 5G and additionally inside has to do just like the internal segmentation, replacing the swap with comfortable swap and the Wi-Fi to evade all this sort of resin of sort of interior attack. So it really is where -- and also a consolidation additionally happening and additionally deserve to have an built-in like a different a part of infrastructure to integrate together to protect the entire attack from multi kind of tech carrier coverage there. So this is the place they see it be a large change for the complete structure of, how to architect the brand new coverage structure to offer protection to the entire infrastructure security there.

    So that's probably diverse than just refresh the usual firewall, nevertheless it's the brand new increased infrastructure should be -- have all coverage there. So this is what they see like the product they introduced today sort of a hundred is extra go inside the high-pace community atmosphere to do all this kind of interior segmentation, within facts center protection and all these sort of things.

    and then also, they see very strong growth, even if the CQS manufacturer and also the 5G world. it truly is a lot of company trial face working domestic solution there. it truly is where the unit boom probably even an awful lot sooner there. So they see the whole infrastructure being changed all ecall comfortable-pushed networking delivery type of extra adopt by way of each enterprise and additionally a different variety of vertical.

    Brian Essex -- Goldman Sachs -- Analyst

    bought it. that is tremendous useful. might be to comply with up, provider provider changed into a bit of decrease as a percentage of earnings this quarter. I remember that on the product revenue facet, in the high conclusion, you noticed a whole lot stronger growth. however is that -- may still they believe about that phase, notably to the extent that they may be promoting via for SASE otherwise you might possibly be getting enhanced traction with OPAQ. How should still they feel about boom of the carrier provider market? Is that still to come? Or is that a greater stable sort of mid-20s grower segment for you?

    Ken Xie -- Founder, Chairman of the Board, and Chief executive Officer

    considered a ramp-up stage, nevertheless within the early stage of ramp-up compared to final quarter, likely like down about 15%. This quarter, grew about 25%. So beginning ramp up, like i mentioned, they're sort of constructing infrastructure, no matter if for the 5G, SD-WAN or SASE, which we've a unique strategy.

    Our SASE method definitely fairly a special doubtless very differentiated from other player. So they have a dual strategy. we're probably the only one working with provider company to constructing their SASE. And on the same time, like the carrier earnings, they form of reduce the margin or not it's there additionally investing some on infrastructure if some clients won't have a provider issuer or need to work with that without delay, they even have a sort of SASE solution there, which additionally combine with the DOS. inside for the DOS, they have got a building SASE have faith network access and a few other ingredients, it be also sort of a unique the competitor.

    and at last, they additionally hope they can use an ASIC or a earnings to add further computing vigour to their variety of on-website answer there. So it truly is the place they feel or not it's a long-term funding. however once we've it, they now have a big talents compared to different opponents.

    Brian Essex -- Goldman Sachs -- Analyst

    that's positive color. thanks very a good deal and congrats once again.

    Ken Xie -- Founder, Chairman of the Board, and Chief govt Officer

    thanks.

    Operator

    Our next question from Hamza Fodderwala of Morgan Stanley. You might also go ahead

    Hamza Fodderwala -- Morgan Stanley -- Analyst

    Hamza Fodderwala>: howdy, guys. thank you for taking my question. I had a comply with-up concerning the prior question on one of the drivers of product earnings growth. So Ken, as your customers beginning coming returned into the workplace or as they circulate into this greater hybrid work environment, you talked a great deal about these larger network transformation deals. i used to be wondering, what do you see the pipeline searching like for those greater deals heading into the lower back half and beyond? And do you suppose that one of the crucial issues that they noticed in the past 12 to 18 months is going to be an accelerant for these greater greater infrastructure type deals?

    Ken Xie -- Founder, Chairman of the Board, and Chief government Officer

    Yeah, they see the pipeline very potent for the better numerous product deal, which like method -- I mean, cover numerous part of infrastructure. And additionally, the product profits boom like forty one% is also the place strong, they think that their product is in reality different than the natural or some greater competitors the use of the CPU handiest.

    So they have the existing CPU for their industry, however also they developed ASIC within the final 21 years. similar to the product they introduced nowadays, the 3500F in line with their calculation, they name secure computing area basis, for the same charge, what's the function efficiency in comparison to other rivals or business regular.

    So they will have a six enhanced performance actually like -- because the computing power vent is massive from their own ASIC. So that's we're changing the panorama of just like the product or even if the community security product or another leveraged ASIC. This huge computing vigor gave us tons greater feature and better performance that can quite simply exchange a lot of their competitors.

    on the identical time, they did see the expansion to the addressable market, no matter if they are able to or home or kind of a secure interior network internal the company, internal statistics middle, which also drives loads of excessive-end product increase. So the high product percentage additionally, they see doubtless fairly high, possibly the maximum in the last few quarters or even closing few years.

    Hamza Fodderwala -- Morgan Stanley -- Analyst

    obtained it. it truly is effective. and perhaps just a observe-up query for Keith or Ken. Keith, you outlined the operating margin within the returned half having about 200 basis points impact from FX.

    i was just wondering, just for your spending plans round hiring, what you are seeing there? it's surely very competitive market for talent at the moment. and i'm wondering if that's been factored at all into your e book?

    Keith F. Jensen -- Chief financial Officer

    Yeah. I suppose they most likely pay attention to their recruiting and to their attrition costs. I believe the metric that they gave become that their overall headcount multiplied 17%. i'd present that the earnings headcount definitely grew tremendously more than that. So I don't -- I consider that we're in a bit of a sweet spot and it form of relates to what Ken was saying in only a moment ago when it comes to the success that we're having.

    I believe you might examine through to the excessive conclusion FortiGate is doubtless being information middle deployments and probably taking expertise of some rivals which are going via a refresh cycle. And at the same time one of the most branch FortiGates, possibly reflective of digital transformation, and that i consider the audience of salespeople, understand that and that they see the opportunities there.

    Hamza Fodderwala -- Morgan Stanley -- Analyst

    got it. thanks.

    Operator

    And sir their next query from Sterling Auty of JPMorgan. You might also go forward.

    Sterling Auty -- JPMorgan -- Analyst

    Yeah. Thanks guys. For my one question, I simply wanted to dive into, Keith, in your prepared remarks you made the remark that the majority of increase changed into driven via FortiGate, are driven via FortiGate earnings from other capabilities embedded in the working device.

    I questioned in case you might form of peel returned the onion there. What does that mean? And what capabilities have been you referring to that have been in particular demand within the quarter?

    Keith F. Jensen -- Chief economic Officer

    Yeah. I believe that they tried to make the point in the past that the -- some people think about the firewall a bit of simplistically, they doubtless song close to 12 to fifteen distinct firewall use cases whether you need to talk about micro segmentation, IPS, et cetera.

    All of these -- the totality of these -- the growth there changed into, contributed greater, if you will, than SD-WAN. SD-WAN, itself nevertheless obviously contributed very nicely at 14% of their total billings, which probably places us near about 35% or doubtless fifty five% boom.

    So I believe there is a protracted record of things that a firewall is used for. And they have been very joyful with the success that they noticed throughout that suite of choices.

    Ken Xie -- Founder, Chairman of the Board, and Chief executive Officer

    additionally, mainly the FortiOS 7, we're building and nil trust community access and constructing SASE there. They see very mighty interest during this enviornment, each from the carrier issuer or commercial enterprise on work-on-home solution there.

    Sterling Auty -- JPMorgan -- Analyst

    Understood. thanks.

    Keith F. Jensen -- Chief economic Officer

    thanks.

    Operator

    Our next question from Rob Owens of Piper Sandler. You might also go ahead.

    Rob Owens -- Piper Sandler -- Analyst

    exquisite. thank you guys for taking my question. And following the lead of Mr. Auty, i might like to ask one query. may you complicated a little bit on your commentary around some of these non-ordinary verticals which are beginning to tick up meaningfully in spend. is that this greater onetime in nature or these verticals are just starting to wake up to probably the most protection considerations that we're analyzing about in the media daily. And to that and maybe you could remark a bit bit around your OT success in your approach there? Thanks.

    Keith F. Jensen -- Chief financial Officer

    Yeah. And Rob, I believe you did a fine job of laying the entire dots to join there. They talked -- we're taking a look at industries or verticals similar to manufacturing, transportation, energy, utilities or what have you ever, and to see the dramatic increase that they noticed in that section of the business. now they have traditionally said their top five fiscal functions, govt, service issuer, tech and retail. and they've been very constant about that 65%, 66%. however they saw a big shift this quarter to these others, and it changed into simply the sheer increase that they noticed on those others. And the point that you just alluded to, OT. OT performed very, very strongly in the quarter. and i feel it really is in keeping with what they saw with that vertical boom and people different verticals that I simply mentioned.

    Rob Owens -- Piper Sandler -- Analyst

    thank you very a whole lot.

    Operator

    Our next query is from Shaul Eyal of Cowen and company. You might also go ahead.

    Shaul Eyal -- Cowen and enterprise -- Analyst

    thanks. also single query on my conclusion. once they seem on the building up aspect, income up that you just printed, can you have an effect on for us the combine between new trademarks and the present put in base? Any qualitative color and dialogue might be liked?

    Keith F. Jensen -- Chief monetary Officer

    Yeah. Shaul, it be Keith. New emblems have been very robust within the quarter, probably up about 50% year-over-yr. and i've given numbers in the past to variety of imply that 5,000 customers that they had within the quarter, undoubtedly, a extremely powerful quarter is going to be north of that. First part of the response. 2d a part of the response, you would no longer constantly predict to look that the new purchasers within the preliminary quarter would be enormous contributors to earnings however fairly contributors to profits growth over a longer period of time. but there become a extremely powerful efficiency from the brand new logo segment when it comes to customers that signed up with us in the quarter.

    Shaul Eyal -- Cowen and business -- Analyst

    thank you.

    Operator

    Our next query from Saket Kalia of Barclays. Please go forward.

    Saket Kalia -- Barclays -- Analyst

    ok. outstanding. hiya, thanks for taking my query here. Ken, might be for you. You touched on this a little bit to your organized remarks, but can you simply talk a little bit concerning the new pricing alternatives that you just introduced lately? especially, do you believe like there's demand for that per consumer pricing for sort of entry to the broader FortiCare and FortiGuard portfolio? And what became variety of one of the early comments as you possibly proven those alternatives?

    Ken Xie -- Founder, Chairman of the Board, and Chief government Officer

    We do see, going ahead, particularly like work from home or remotely the producer training, which could cowl numerous devices, together with the cell working own machine to earn a living from home and also inner interior commercial enterprise enterprise there like cover multiple like not just the FortiGate as they go during the zeta network entry, however additionally every other like an internet or can also or another software or variety of a part of infrastructure statistics core, they want access. So that is per user license will make it tons more straightforward for the person, for the consumer to actually the usage of the safety provider within the distinctive half infrastructure, carbon dissimilar product there.

    So it is the place they suppose here's additionally very critical and on excellent of the current FortiCare, which cover all the items we've and also the FortiGuard cover the product need a real-time replace on the subscription, all these kind of things there. So they do that for believe is doubtless the fashion sooner or later, but nonetheless wants a while to ramp up peculiarly they see the Zero trust network access starting to have short growth probability, which they -- Forticare have all this constructing. And also the identity, a way to kind of be certain the id throughout multipart infrastructure and simply type of management person, they do all this to service additionally kind of get very crucial. Assuming some time to ramp up, however they do see there's an important raise well known from the client. it truly is additionally the cause they launched this FortiTrust provider.

    Saket Kalia -- Barclays -- Analyst

    acquired it. thanks.

    Ken Xie -- Founder, Chairman of the Board, and Chief government Officer

    thanks.

    Operator

    Our subsequent questions are from Michael Turits of KeyBanc. Please go forward.

    Michael Turits -- KeyBanc -- Analyst

    hi there everybody. satisfactory quarter, of path. I think for each Keith and for Ken. lots of people had been circling around and making an attempt to take note the energy and the upside. but I guess i would want to simply are attempting to examine where the demand became ultimate yr right through 2020 to where it is that this 12 months and why it looks so a whole lot superior? Has there been a shift say, from far flung entry focus to more breach? Or what has modified each qualitatively and quantitatively that we're seeing this acceleration?

    Ken Xie -- Founder, Chairman of the Board, and Chief executive Officer

    I suppose remaining year, they're probably extra like rush assisting anything could make it working remotely. however this yr, they definitely see the infrastructure to be working to be changed to more help in this future. So it is where they see lots of new infrastructure design and how to guide not simply work remotely, but additionally cozy the whole infrastructure different part of infrastructure from the WAN access to the interior segmentation and also even the 5G or SD-WAN or inner WiFi. So there is a lot of at ease architecture cowl distinct ingredients of their product. it's a extremely mighty pastime. And additionally Keith outlined the OT some others is on account of even if the 5G or TOT, additionally that part also reasonably powerful.

    Keith F. Jensen -- Chief fiscal Officer

    sure, Michael, I think i would consider Ken completely and perhaps just to add, if you suppose again about Q2 2020 certainly, as a minimum for us, it changed into a quarter that was characterised probably by means of lots of software. They did very neatly with their application in the second quarter ultimate yr. however on the flip side, anything that requires somebody to be on-premise in a data center or taking over a huge deployment or phase deployment or something like that. Q2 of ultimate yr truly wasn't much of that. absolutely, today, I suppose or not it's a year later; it be a extremely, very diverse ambiance in that regard. and that i do consider you might be also seeing the chance environment and things like the OT a part of the enterprise do very, very smartly.

    Michael Turits -- KeyBanc -- Analyst

    extremely good. Thanks guys.

    Operator

    Our next query from Jonathan Ho of William Blair. You may additionally ask your question.

    Jonathan Ho -- William Blair -- Analyst

    hi. good afternoon. I just wanted to be mindful, when you are working into any concerns around the provide chain or abilities chipset shortages. And does this cause any advantage impact to your order cadences at all?

    Keith F. Jensen -- Chief economic Officer

    howdy Jonathan, i might like to say that we're absolutely resistant to chip shortages and such, but I cannot say that. Yeah, I do believe that as they said remaining quarter, the proven fact that their inventory turns of around two are counseled that we've six months of stock available.

    We do and some of the chip producers, we're relatively focused on a fifty two-week lead-time. I consider I suppose very, very respectable about how the manufacturing and operations crew performed within the second quarter, and how they are going about things for the third quarter and for the relaxation of this yr.

    i might present that as a part of the forecasting method and the suggestions atmosphere process, that has become a greater massive enter, if you will, into that process and making sure that they have now accounted for it in terms of their estimates of any challenges that they may have as they movement in the course of the rest of the 12 months.

    Jonathan Ho -- William Blair -- Analyst

    thanks.

    Operator

    Our subsequent query is from Ben Bollin of Cleveland research. Sir, you may go forward.

    Ben Bollin -- Cleveland analysis -- Analyst

    Yeah. good afternoon everybody. Thanks for taking my questions. Ken, traditionally, when there are intervals like this where you see accelerated purchase behavior and a bit little bit of a run on provide, in case you will.

    Inevitably, there's a bit of of a digestion length after the truth as purchasers learn the way to installation and eat what they simply bought. could you talk a little bit about how material in the broader corporation, either in earnings or the channel is addressing or considering that potential risk into the long run?

    Ken Xie -- Founder, Chairman of the Board, and Chief executive Officer

    Yeah. definitely further and further purchasers see the improvement of the material Fortinet material, which come diverse items in maid automate collectively. So it is also making the non-FortiGate increase sooner than the FortiGate and will be over $1 billion will be over $1 billion this 12 months.

    So it's client by means of this multiple product, most of them are already like even if they're a consumer or already examine them on the part. and then, simply maintain expanding beyond what the initial buy there.

    So they do see the interest as a good deal more advantageous and the non-FortiGate additionally protecting increase much faster than the FortiGate, which conserving expanding from something the present installation base within the large business.

    it's additionally the Gartner forecast see the mixing, the consolidation beginning kind of further and further essential for this big business. because to control distinct products from distinctive companies is a much better charge compared to just like the platform strategy, that could distinctive products cover different part infrastructure, additionally combine automate along side the Fortinet cloth product we've.

    Keith F. Jensen -- Chief monetary Officer

    Ben, it be Keith and to variety of construct on Ken's comment, I consider the -- it truly is the company strategy, correct? If they look at their installed base with valued clientele and spot how their adoption progresses in terms of the variety of fabric items that they had, over what duration of time, they would actually expect that to continue on.

    after which in case you appear in the latest quarter, the brand new customers that they added, these are mostly -- those are buying firewalls, in case you will, and maybe one or two issues, if you will, from the textile suite. but as we'd are expecting them, as a result of I understand they should digest and deploy the firewalls. but as they get -- as they get to understand and keep in mind their product and their integration strategy more and more, that they are going to find a way to come back returned in and sell them additional items and functions as they go forward.

    Ben Bollin -- Cleveland analysis -- Analyst

    thanks.

    Operator

    And their subsequent query from grey Powell of BTIG. You may additionally now ask your query.

    grey Powell -- BTIG -- Analyst

    okay. terrific. Thanks. sure. So i'd want to stick to the subject of non-FortiGate and cloth and cloud and just kind of the power that you've been seeing there. within textile and cloud, what are just like the greatest product add-ons which have essentially the most momentum? after which how should they believe about just the sustainability of that demand long term?

    Keith F. Jensen -- Chief monetary Officer

    The non-FortiGate, we've practically 30 products, many of the developed internally and so or not it's tremendous not surrender anybody product since it's up and down quarterly and additionally relatively much all contribute sort of to the boom. They do not see anyone or two too lots type of compared to the others. So it's doubtless perhaps sometime later, they will birth get certainty out.

    however at this stage, they do see -- or not it's also stylish on the client ambiance, counting on the sales assisting like some of them like to have an e mail, they are able to with FortiGate some is a domain, some is endpoint, some is sort of a community entry control or some kind of sandboxing and cloud product. it's quite a large cage of variety of even cowl all these like 2030 product. So it truly is where it's very complicated to escape and then are attempting to peer the fashion. however they do see that the ordinary message in fact consolidate, combine, automatic method in fact has a massive benefit compared to their separate product come from distinctive companies.

    gray Powell -- BTIG -- Analyst

    received it. that's a good suggestion. thank you very a great deal and congratulations on the exceptional results.

    Keith F. Jensen -- Chief economic Officer

    yes. thank you

    Operator

    [Operator Instructions] And their subsequent query from Adam Tindle of Raymond James. You may additionally now ask your query.

    Adam Tindle -- Raymond James -- Analyst

    k. i wanted to ask a strategic query to Ken. You had listing quarterly free cash movement, so continues doing a bad job at managing that greater productive stability that you simply referred to at the Analyst Day. however all joking apart, Ken, you may have bought significant liquidity attainable, each on the stability sheet and you can imagine lenders beating down your door. So in case you may double click on on the key tech areas that you'd accept as true with to raise the price proposition. i might just think about that SASE is accelerating. you're the SD-WAN chief. for example, a few of those comfortable internet gateway avid gamers in the private markets are more mature and would that be a neighborhood of consideration or another key areas that you'd consider bettering the cost proposition inorganically? thanks.

    Ken Xie -- Founder, Chairman of the Board, and Chief govt Officer

    We're definitely retaining intently staring at out of the change in the business and additionally new expertise ever considering. but additionally, they wish to keep the innovation at the way of life they now have within the closing 21 years and also hold the biological increase very robust. I likely the cash level and the funding strategy to Keith to cowl that.

    Keith F. Jensen -- Chief fiscal Officer

    yes. I believe for us, I suggest, they analyze their R&D spending as a source of funding, no longer a standard capital allocation, however they are -- have historically been a purchase versus pardon me, a build versus buy a company, and that's to -- they believe strongly in regards to the significance of getting the platform to be integrated. You do see us doing tuck-in acquisitions. every so often it takes a little bit longer to bring to market in all probability since the applied sciences are issues that they need to work with a bit bit more earlier than they carry them out. So I don't consider it is a surprise.

    I don't know that, that precludes us from doing some thing better sooner or later, but they will examine those opportunities as they arrive up. The continuing center of attention should be finding the alternatives to rebalance the balance sheet with a bit little bit of and deploying some of the money that they raised with debt providing, possibly to repurchase some share buyback, in case you will. And on the equal time, additionally, as they look out for the subsequent three to five years, and they expect persisted growth, in all probability a little extra investment, if you will, in their amenities footprint.

    Adam Tindle -- Raymond James -- Analyst

    that is helpful. thanks.

    Operator

    Our subsequent question from Irvin Liu of Evercore ISI. Sir, you may additionally go forward.

    Irvin Liu -- Evercore ISI

    hi. Thanks for letting me in. and i would also want to add my congratulations on the extremely good quarter. I had a question on SD-WAN. i used to be wondering in case you can possibly unpack probably the most drivers in the back of the persevered momentum here. no matter if the latest hybrid work ambiance has been a contributor at the back of this power? and might you assist us take note what worker's steadily returning to workplaces means for you?

    Keith F. Jensen -- Chief fiscal Officer

    Irving, decent question. The SD-WAN, they nonetheless see very, very powerful demand and also massive talents. The method they now have integrated protection from their beginning and leverage the FortiGate has an incredible computing vigor a part of the FortiOS, FortiGate. They see a massive potential in comparison to some other competitor, even if using the usual CPU or any other method, which is intricate to add any feature since the enterprise energy difficulty from a affordable CPU. So it is where they do consider they might be the chief, the number one leader in SD-WAN space. If not now, truly may be quickly. And SD-WAN offer type of massive skills like reliability, the cost saving compared to the typical networking protocol NPLs or some other part.

    And also a lot of service issuer additionally starting variety of greater focused on the SD-WAN or 5G, another half, which additionally form of see in their sort of lengthy-term greater image, they call cozy-pushed networking, which can be compared to these days, the entire networking just during the connection and the pace after which the comfy community additionally need to seem to be an utility, the content material, the equipment in the back of the user, in the back of an even different type of vicinity there. So it really is where they see how the kind of safety characteristic and on correct of networking has big skills and which SD-WAN, the protection SD-WAN additionally only one part of it, but additionally the comfortable 5G and also internal comfortable switch in comfy Wi-Fi, they do see a lot of competencies to preserve in protection cover the entire infrastructure.

    Irvin Liu -- Evercore ISI

    obtained it. thanks.

    Keith F. Jensen -- Chief economic Officer

    thanks.

    Operator

    Our subsequent query from Imtiaz Koujalgi of Guggenheim partners. Sir, you might also go ahead.

    Imtiaz Koujalgi -- Guggenheim companions -- Analyst

    hello guys. Thanks for taking my query. I had a question on the attach of support and subscription to your associate this quarter because it appears like you had potent momentum in product their amazing billings momentum additionally. It feels like the upside in product didn't result in maybe form of an identical upside in billings. changed into there a difference in product mix, which led to difference in attach cost between subscription and assist this quarter?

    Keith F. Jensen -- Chief financial Officer

    No. I consider they tune their attach fees and their renewal rates, in case you will, within those bands. you've gotten seen on the analyst day of plus or minus 2%. and i suppose that they had been with no trouble internal these bands. So there became nothing extraordinary in that regard. I believe that the features billings in complete have been probably -- and if they go lower back in check, it is the most reliable quarter that we've had in 4 years. So I suppose -- I suppose they feel first rate about each the functions and the product efficiency within the quarter.

    Imtiaz Koujalgi -- Guggenheim companions -- Analyst

    acquired it. And only 1 observe-up. You gave us the mixture of billings between FortiGate and non-FortiGate, is that had the same variety of mix you have got in the product line additionally. The 70-30 roughly, is that the mix of non-FortiGate and FortiGate in the product line? Or is that combine different for product?

    Keith F. Jensen -- Chief fiscal Officer

    sure. I should not have that quantity in entrance of me, but I don't have a motive. I do not take into account them being drastically distinct they now have looked at them, and i'm attempting to do not forget what they made in the script just a second ago in terms of product revenue. yes. I consider we've offered FortiGate product revenue increase in the script in addition to non-FortiGate product growth. And they said they were each FortiGate turned into 40% and non-FortiGate was over 40%.

    Ken Xie -- Founder, Chairman of the Board, and Chief executive Officer

    those are increase rates. They haven't given a breakdown through combine for both per product. They have not given FortiGate product and non-FortiGate product as a mix, they haven't given.

    Imtiaz Koujalgi -- Guggenheim companions -- Analyst

    bought it. Very helpful. Thanks guys.

    Operator

    Our subsequent query is from Patrick Colville of Deutsche bank. You may additionally go ahead.

    Patrick Colville -- Deutsche financial institution -- Analyst

    thanks so a good deal for taking my query. I mean 41% product increase is extremely unbelievable. I wager the question is we're fielding from investors around the cyclicality or kind of, I guess, even if it's secular growth. And so might you simply help us remember the place the onetime benefits as a result of contemporary hacks or trigger some fresh activities or post coronavirus that resulted in this type of very powerful number? Or are you feeling that the following market, there are some secular dynamics that they may still be aware about?

    Ken Xie -- Founder, Chairman of the Board, and Chief executive Officer

    yes, they do see loads of products beginning to go into the -- a lot of the brand new a part of their infrastructure or kind of a brand new enviornment. And that has additionally, like Keith outlined, anyway the excellent 5 vertical, they do see the other vertical grow quicker, a lot quicker than the correct five vertical is the govt provider provider, finance provider, education, excessive tech, something like that. nevertheless it's -- but additionally like amongst infrastructure, they do see like whether set up on the WAN aspect, on the something the smart metropolis or every other variety of interior infrastructure within data core and even work-from-home. there is a reasonably a extensive variety of like a buying pattern in comparison to before.

    and that is the reason additionally they do accept as true with they eventually will drive the extra provider as a result of as soon as the product salary go up and the consumer provider earnings will come in later. And additionally plus the introduction of the new FortiTrust service they consider also add extra layer of potential service for the longer term. it's actually not -- in fact the less difficult like i discussed earlier, they see the trade of the safety infrastructure. it's no longer form of refresh or replace the common firewall, which additionally, on occasion, need to be upgraded because the network has sooner and quicker, however additionally expanding into the new infrastructure part and additionally type of a new enviornment or form of grow faster than the common clinical finance provider or some other part.

    Keith F. Jensen -- Chief fiscal Officer

    Yeah. i would just add to Ken's comments. I think it turned into 1 / 4 and it has been for a while now that they simply noticed lots of tailwinds. The tailwinds included whether it changed into SD-WAN or OT, as an example.

    The refresh chance, if you will, is really an opportunity for us to evaluate as an opportunity to displace the incumbents as in comparison to Fortinet that has 500,000 valued clientele in 70 different firewall fashions. And they even these days, they introduced a new firewall in their press free up.

    it's now not as if historically, you might have viewed blips with us in terms of spikes from refresh. but on the flipside, one of the most competitors, the legacy avid gamers have a shorter list of customers and a shorter list of items. and maybe you are now not doing as smartly in Gartner Magic Quadrants as we're. So they view that as a chance. I do feel that other tailwinds that got here into the quarter, they talked in regards to the verticals Ken mentioned it once again. And additionally when I examine their customer sizes, no matter if SMB the entire approach to the international 2000 did very, very neatly.

    I consider one factor that stood out for us turned into the mid-enterprise or the industrial part of the company. That came on very, very robust in the quarter as well. So I suppose there became a long checklist of tailwinds for us that labored in their want on that product income growth number.

    Ken Xie -- Founder, Chairman of the Board, and Chief executive Officer

    Yeah. also, the few, the reset introduction of the new product, the competing call advantage come from ASIC is bigger and greater in comparison to other competitor, which not most effective helping like changing some of their setting up base, but additionally expanding the new enviornment the inside network in high-velocity atmosphere, however additionally has a a good deal extra function beyond the common network safety like their VPN like they mentioned, whether from zero-trust community access also extra like SASE or different half like SD-WAN and the 5G protection, which not one of the ordinary firewall have.

    and that's the reason also what drives additional like earnings on the product and also the long run carrier, which is not refresh compared to the average firewall, which they shouldn't have that feature or do not need the computing energy to maintain out further characteristic of the existing efficiency stressful. So that's where they consider the strategy we've leveraged ASIC energy knowledge and provides us further function and additional function and further efficiency, a whole lot reduce cost and starting working reasonably neatly.

    Patrick Colville -- Deutsche financial institution -- Analyst

    top notch. thanks so a lot.

    Keith F. Jensen -- Chief fiscal Officer

    thank you.

    Operator

    Our next query is from Tal Liani of financial institution of america. You may also go ahead.

    Liani -- financial institution of the united states -- Analyst

    hello fantastic. thanks. brilliant, I wish to focus on gross margin. If i am correct, and if i am no longer, or not it's not going to be the primary time. but if i'm suitable, your gross margin had gone down about 140bps sequentially.

    and i also checked it versus consensus. Its reduce -- 100bps than consensus this quarter, next quarter and 200bps under consensus for the year for the assistance, so -- do I have a mistake in my calculation? Or if now not, can you elaborate on gross margin? Why is it decrease sequentially in the guidance?

    Keith F. Jensen -- Chief economic Officer

    Yeah, I believe what you might be seeing, Tal, is the combine shift, correct, the product combine shift versus the functions mix shift. you could do some pretty standard math within the 2nd quarter, and you may get to -- if in case you have 41% product income growth, or not it's 61%, 62% gross margin versus the features it is pretty steady at 23% and 88% gross margin.

    That 25% swing in gross margin. in the event you take that lower back and you look at a 20-element or 25-element over performance in product, it really works out to be almost one point, might be just a little bit north of one aspect on the gross margin line.

    Ken Xie -- Founder, Chairman of the Board, and Chief govt Officer

    Yeah. also, you could seem on the product gross margin line.

    Keith F. Jensen -- Chief economic Officer

    yes. also, that you can seem on the product gross margin, they basically greater 12 months-over-year. Even the cost type of boost, however they do enhance the product gross margin. And additionally, they do trust with the product increase of 21%, they are able to have loads of future growth within the provider. it is also the purpose they raise the 4-tier and FortiGuard and FortiTrust, which they do trust we're protecting -- making the long run -- I mean, the provider starting to develop quicker going ahead.

    Liani -- bank of america -- Analyst

    Is there any exchange within the pricing environment?

    Keith F. Jensen -- Chief financial Officer

    there isn't any trade within the discounting. Discounting for the quarter turned into impartial for us, if you will. they have taken definite steps as they look ahead to probably the most changes in the cost constitution that we're seeing from their suppliers. And we've got taken definite steps in terms of their own pricing going -- have not basically hit yet, but they will hit in time for when they really see these expenses in their earnings observation.

    Liani -- financial institution of america -- Analyst

    can you intricate on the closing point? What does it mean? So do you are expecting the margins to decline? Or do you predict to increase prices in anticipation?

    Keith F. Jensen -- Chief economic Officer

    I do not are expecting -- I don't expect margins to decline, no, past what's going to take place with the mix shift, in case you will, between items and services, right? To the extent they proceed to over operate within the product line the style they simply did, or not it's going to place drive on the gross margin line. but bear in mind, the operating margin came in appropriate at the excessive end of the range. So I suppose they efficiently managed that. And it be actually very in line with what they foreshadowed prior in the year, the place they pointed out within their framework, this was a yr wherein they might tilt towards growth. They undoubtedly did that placing up 35% billings boom and 41% product boom, and on the equal time, providing 25% operating margin plus, right?

    Ken Xie -- Founder, Chairman of the Board, and Chief government Officer

    We additionally did extra investment on the infrastructure, which is kind of making the service profits gross margin lower a little bit, however also will assist sooner or later additional carrier are available.

    Liani -- financial institution of america -- Analyst

    top notch. thank you.

    Operator

    Our next query from Ittai Kidron of Oppenheimer. You can also ask your question.

    Ittai Kidron -- Oppenheimer -- Analyst

    Thanks. And first-rate effects as well guys. Ken, i was hoping you form of -- you gave lots of extremely good colour on the backdrop and what you're doing and how you're executing neatly within the box. but maybe which you can tie it up additionally with the competitors discussion. possibly that you may sort of help us take note what you are seeing out of your rivals at the moment. And who do you see is most inclined for share loss? it be clear that you are going to continue to profit share during this marketplace for the foreseeable future. but who do you see are -- is the extra vulnerable companies here that are more likely to see to you and others that convey to the table what that you would be able to convey to the desk?

    Keith F. Jensen -- Chief financial Officer

    Go ahead.

    Ken Xie -- Founder, Chairman of the Board, and Chief government Officer

    And -- however they simply have some long-time period concepts funding which provide us greater advantage no matter if from the ASIC chip, which they began to build 21 years ago are starting building different a part of fabric ago are starting building other part of fabric product, which combine automate from day one in comparison to competitor more consolation acquisition makes it very complicated to do the integration and automation and upkeep and organic boom there.

    but on the different facet, they do see the certain market shift changing. They additionally are looking to take the time like their SASE approach. they now have doubtless the most effective vendor working with a carrier provider to look their SASE want lengthy-term decent product for them on the same time, building some infrastructure as some other component combine within the FortiGate for the OS is a single OS product can cowl each the SASE access or any other half like SD-WAN security, making the product variety of a greater handy for clients to set up and seeing the huge ambiance, sooner atmosphere, an awful lot-plenty stronger, so, that as they proceed to have this variety of lots of lengthy-term strategy, and they do see the -- will provide us like an extended-time period improvement going ahead.

    Ittai Kidron -- Oppenheimer -- Analyst

    Very first rate. Make experience. Thanks guys.

    Keith F. Jensen -- Chief fiscal Officer

    thank you.

    Operator

    audio system that might be their remaining question for this name. and i'll turn it back over to Peter Salkowski. Sir go forward.

    Peter M. Salkowski ` -- vp, Investor relations

    thank you, Catherine. i might like to thank every person for becoming a member of the call today. Fortinet should be attending here investor -- virtual investor conferences all over the third quarter.

    We're doing the Oppenheimer convention on August 10th and KeyBanc on August eleventh hobbies with presentations may be webcast and those webcast hyperlinks are going to be up on their web page or in reality they're already up on their web site as of now.

    when you have any questions following this call, please feel free to attain out to me.

    With that, have a good day. And take care, all and sundry.

    Operator

    [Operator Closing Remarks].

    period: 61 minutes

    call contributors:

    Peter M. Salkowski ` -- vice chairman, Investor family members

    Ken Xie -- Founder, Chairman of the Board, and Chief executive Officer

    Keith F. Jensen -- Chief financial Officer

    Brian Essex -- Goldman Sachs -- Analyst

    Hamza Fodderwala -- Morgan Stanley -- Analyst

    Sterling Auty -- JPMorgan -- Analyst

    Rob Owens -- Piper Sandler -- Analyst

    Shaul Eyal -- Cowen and company -- Analyst

    Saket Kalia -- Barclays -- Analyst

    Michael Turits -- KeyBanc -- Analyst

    Jonathan Ho -- William Blair -- Analyst

    Ben Bollin -- Cleveland analysis -- Analyst

    gray Powell -- BTIG -- Analyst

    Adam Tindle -- Raymond James -- Analyst

    Irvin Liu -- Evercore ISI

    Imtiaz Koujalgi -- Guggenheim companions -- Analyst

    Patrick Colville -- Deutsche financial institution -- Analyst

    Liani -- financial institution of the us -- Analyst

    Ittai Kidron -- Oppenheimer -- Analyst

    greater FTNT evaluation

    All salary call transcripts

    AlphaStreet Logo © supplied with the aid of The Motley idiot AlphaStreet emblem




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