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Cover Page - shares	9 Months Ended
Cover Page - shares	Apr. 30, 2020	May 31, 2020
Entity Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Apr. 30, 2020
Document Transition Report	false
Entity File Number	001-37883
Entity Registrant Name	NUTANIX, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	27-0989767
Entity Address, Address Line One	1740 Technology Drive, Suite 150
Entity Address, City or Town	San Jose,
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	95110
City Area Code	(408)
Local Phone Number	216-8360
Title of 12(b) Security	Class A Common Stock, $0.000025 par value per share
Trading Symbol	NTNX
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Central Index Key	0001618732
Current Fiscal Year End Date	--07-31
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q3
Amendment Flag	false
Common Class A
Entity Information [Line Items]
Entity Common Stock, Shares Outstanding (in shares)		184,459,787
Common Class B
Entity Information [Line Items]
Entity Common Stock, Shares Outstanding (in shares)		15,103,994

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands

Apr. 30, 2020

Jul. 31, 2019

Current assets:

Cash and cash equivalents

$ 262,331

$ 396,678

Short-term investments

469,806

512,156

Accounts receivable, net

236,690

245,475

Deferred commissions—current

63,177

46,238

Prepaid expenses and other current assets

63,189

74,665

Total current assets

1,095,193

1,275,212

Property and equipment, net

149,688

136,962

Operating lease right-of-use assets

^[1]

132,519

Deferred commissions—non-current

137,598

107,474

Total intangible assets, net

53,738

66,773

Goodwill

185,260

185,180

Other assets—non-current

19,345

14,441

Total assets

1,773,341

1,786,042

Current liabilities:

Accounts payable

68,232

74,047

Accrued compensation and benefits

85,641

99,804

Accrued expenses and other current liabilities(1)

^[1]

21,829

28,797

Deferred revenue—current

503,311

396,667

Operating lease liabilities—current

^[1]

34,371

Total current liabilities

713,384

599,315

Deferred revenue—non-current

618,749

513,377

Operating lease liabilities—non-current

^[1]

123,470

Convertible senior notes, net

482,199

458,910

Other liabilities—non-current

^[1]

19,578

27,547

Total liabilities

1,957,380

1,599,149

Commitments and contingencies (Note 7)

Stockholders’ equity (deficit):

Preferred stock, par value of $0.000025 per share— 200,000 shares authorized as of July 31, 2019 and April 30, 2020; no shares issued and outstanding as of July 31, 2019 and April 30, 2020

Common stock, par value of $0.000025 per share—1,200,000 (1,000,000 Class A, 200,000 Class B) shares authorized as of July 31, 2019 and April 30, 2020; 188,595 (168,155 Class A and 20,440 Class B) and 199,526 (184,447 Class A and 15,079 Class B) shares issued and outstanding as of July 31, 2019 and April 30, 2020

Additional paid-in capital

2,151,175

1,835,528

Accumulated other comprehensive income

1,625

669

Accumulated deficit

(2,336,844)

(1,649,309)

Total stockholders’ equity (deficit)

(184,039)

186,893

Total liabilities and stockholders’ equity (deficit)

$ 1,773,341

$ 1,786,042

Common stock, shares authorized (in shares)

1,200,000,000

[1]

During the first quarter of fiscal 2020, we adopted Accounting Standards Update ("ASU") No. 2016-02 using the modified retrospective method and elected the transition option that allowed us not to restate the comparative periods in our condensed consolidated financial statements in the year of adoption. For additional details, refer to Note 1.

CONDENSED CONSOLIDATED BALANCE SHEETS (parenthetical) - $ / shares	Apr. 30, 2020	Jul. 31, 2019
Preferred stock, par value (in dollars per share)	$ 0.000025	$ 0.000025
Preferred stock, shares authorized (in shares)	200,000,000	200,000,000
Preferred stock, shares issued (in shares)		0
Preferred stock, shares outstanding (in shares)	0
Common stock, par value (in dollars per share)	$ 0.000025	$ 0.000025
Common stock, shares authorized (in shares)	1,200,000,000	1,200,000,000
Common stock, shares issued (in shares)	199,526,000	188,595,000
Common stock, shares outstanding (in shares)	199,526,000	188,595,000
Common Class A
Common stock, shares authorized (in shares)	1,000,000,000	1,000,000,000
Common stock, shares issued (in shares)	184,447,000	168,155,000
Common stock, shares outstanding (in shares)	184,447,000	168,155,000
Common Class B
Common stock, shares authorized (in shares)	200,000,000	200,000,000
Common stock, shares issued (in shares)	15,079,000	20,440,000
Common stock, shares outstanding (in shares)	15,079,000	20,440,000

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2020	Apr. 30, 2019
Revenue:
Total revenue	$ 318,273	$ 287,624	$ 979,808	$ 936,267
Cost of revenue:
Total cost of revenue	72,294	75,077	219,718	235,165
Gross profit	245,979	212,547	760,090	701,102
Operating expenses:
Sales and marketing	299,162	245,703	895,936	655,907
Research and development	141,346	137,982	418,640	371,550
General and administrative	35,644	33,040	103,083	89,167
Total operating expenses	476,152	416,725	1,417,659	1,116,624
Loss from operations	(230,173)	(204,178)	(657,569)	(415,522)
Other expense, net	(5,640)	(3,212)	(16,543)	(10,314)
Loss before provision for income taxes	(235,813)	(207,390)	(674,112)	(425,836)
Provision for income taxes	4,858	2,423	13,423	1,005
Net loss	$ (240,671)	$ (209,813)	$ (687,535)	$ (426,841)
Net loss per share attributable to common stockholders—basic and diluted (in dollars per share)	$ (1.23)	$ (1.15)	$ (3.56)	$ (2.38)
Weighted-average shares used in computing net loss per share attributable to common stockholders—basic and diluted (in shares)	196,366	182,963	192,896	179,235
Product
Revenue:
Total revenue	$ 180,756	$ 184,794	$ 586,747	$ 646,072
Cost of revenue:
Total cost of revenue	15,990	29,528	57,899	114,755
Professional Services
Revenue:
Total revenue	137,517	102,830	393,061	290,195
Cost of revenue:
Total cost of revenue	$ 56,304	$ 45,549	$ 161,819	$ 120,410

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2020	Apr. 30, 2019
Statement of Comprehensive Income [Abstract]
Net loss	$ (240,671)	$ (209,813)	$ (687,535)	$ (426,841)
Other comprehensive loss, net of tax:
Change in unrealized gain on available-for-sale securities, net of tax	487	478	956	1,331
Comprehensive loss	$ (240,184)	$ (209,335)	$ (686,579)	$ (425,510)

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY Statement - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Accumulated Other Comprehensive Loss	Accumulated Deficit
Stockholders' equity, beginning balance (in shares) at Jul. 31, 2018		172,858,000
Stockholders' equity, beginning balance at Jul. 31, 2018	$ 326,779	$ 4	$ 1,355,907	$ (1,002)	$ (1,028,130)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock through employee equity incentive plans, net of repurchases (in shares)		2,629,000
Issuance of common stock through employee equity incentive plans	3,680		3,680
Issuance of common stock from ESPP purchase (in shares)		1,128,000
Issuance of common stock from ESPP purchase	26,318		26,318
Issuance of common stock in connection with an acquisition (in shares)		2,451,000
Issuance of common stock in connection with an acquisition	102,978		102,978
Stock-based compensation	65,925		65,925
Vesting of early exercised stock options	70		70
Other comprehensive income (loss)	(166)			(166)
Net loss	(94,265)				(94,265)
Stockholders' equity, ending balance (in shares) at Oct. 31, 2018		179,066,000
Stockholders' equity, ending balance at Oct. 31, 2018	431,319	$ 4	1,554,878	(1,168)	(1,122,395)
Stockholders' equity, beginning balance (in shares) at Jul. 31, 2018		172,858,000
Stockholders' equity, beginning balance at Jul. 31, 2018	326,779	$ 4	1,355,907	(1,002)	(1,028,130)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(426,841)
Stockholders' equity, ending balance (in shares) at Apr. 30, 2019		185,900,000
Stockholders' equity, ending balance at Apr. 30, 2019	305,446	$ 5	1,760,083	329	(1,454,971)
Stockholders' equity, beginning balance (in shares) at Oct. 31, 2018		179,066,000
Stockholders' equity, beginning balance at Oct. 31, 2018	431,319	$ 4	1,554,878	(1,168)	(1,122,395)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock through employee equity incentive plans, net of repurchases (in shares)		2,968,000
Issuance of common stock through employee equity incentive plans	3,341		3,341
Stock-based compensation	72,565		72,565
Vesting of early exercised stock options	50		50
Other comprehensive income (loss)	1,019			1,019
Net loss	(122,763)				(122,763)
Stockholders' equity, ending balance (in shares) at Jan. 31, 2019		182,034,000
Stockholders' equity, ending balance at Jan. 31, 2019	385,531	$ 4	1,630,834	(149)	(1,245,158)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock through employee equity incentive plans, net of repurchases (in shares)		2,980,000
Issuance of common stock through employee equity incentive plans	3,154		3,154
Issuance of common stock from ESPP purchase (in shares)		880,000
Issuance of common stock from ESPP purchase	30,900	$ 1	30,899
Issuance of common stock in connection with an acquisition (in shares)		6,000
Issuance of common stock in connection with an acquisition	327		327
Stock-based compensation	94,832		94,832
Vesting of early exercised stock options	37		37
Other comprehensive income (loss)	478			478
Net loss	(209,813)				(209,813)
Stockholders' equity, ending balance (in shares) at Apr. 30, 2019		185,900,000
Stockholders' equity, ending balance at Apr. 30, 2019	$ 305,446	$ 5	1,760,083	329	(1,454,971)
Stockholders' equity, beginning balance (in shares) at Jul. 31, 2019	188,595,000	188,595,000
Stockholders' equity, beginning balance at Jul. 31, 2019	$ 186,893	$ 5	1,835,528	669	(1,649,309)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock through employee equity incentive plans, net of repurchases (in shares)		2,620,000
Issuance of common stock through employee equity incentive plans	2,608		2,608
Issuance of common stock from ESPP purchase (in shares)		959,000
Issuance of common stock from ESPP purchase	21,337		21,337
Stock-based compensation	81,426		81,426
Other comprehensive income (loss)	565			565
Net loss	(229,300)				(229,300)
Stockholders' equity, ending balance (in shares) at Oct. 31, 2019		192,174,000
Stockholders' equity, ending balance at Oct. 31, 2019	$ 63,529	$ 5	1,940,899	1,234	(1,878,609)
Stockholders' equity, beginning balance (in shares) at Jul. 31, 2019	188,595,000	188,595,000
Stockholders' equity, beginning balance at Jul. 31, 2019	$ 186,893	$ 5	1,835,528	669	(1,649,309)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	$ (687,535)
Stockholders' equity, ending balance (in shares) at Apr. 30, 2020	199,526,000	199,526,000
Stockholders' equity, ending balance at Apr. 30, 2020	$ (184,039)	$ 5	2,151,175	1,625	(2,336,844)
Stockholders' equity, beginning balance (in shares) at Oct. 31, 2019		192,174,000
Stockholders' equity, beginning balance at Oct. 31, 2019	63,529	$ 5	1,940,899	1,234	(1,878,609)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock through employee equity incentive plans, net of repurchases (in shares)		2,480,000
Issuance of common stock through employee equity incentive plans	2,414		2,414
Stock-based compensation	85,615		85,615
Other comprehensive income (loss)	(96)			(96)
Net loss	(217,564)				(217,564)
Stockholders' equity, ending balance (in shares) at Jan. 31, 2020		194,654,000
Stockholders' equity, ending balance at Jan. 31, 2020	(66,102)	$ 5	2,028,928	1,138	(2,096,173)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock through employee equity incentive plans, net of repurchases (in shares)		2,512,000
Issuance of common stock through employee equity incentive plans	858		858
Issuance of common stock from ESPP purchase (in shares)		2,360,000
Issuance of common stock from ESPP purchase	29,293		29,293
Stock-based compensation	92,096		92,096
Other comprehensive income (loss)	487			487
Net loss	$ (240,671)				(240,671)
Stockholders' equity, ending balance (in shares) at Apr. 30, 2020	199,526,000	199,526,000
Stockholders' equity, ending balance at Apr. 30, 2020	$ (184,039)	$ 5	$ 2,151,175	$ 1,625	$ (2,336,844)

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands

9 Months Ended

Apr. 30, 2020

Apr. 30, 2019

Cash flows from operating activities:

Net loss

$ (687,535)

$ (426,841)

Adjustments to reconcile net loss to net cash provided by (used in) operating activities:

Depreciation and amortization

69,715

55,740

Stock-based compensation

259,137

233,322

Change in fair value of contingent consideration

(832)

Amortization of debt discount and issuance costs

23,290

21,802

Operating lease cost, net of accretion

22,340

Impairment of lease-related assets

3,002

Other

(33)

(1,837)

Changes in operating assets and liabilities:

Accounts receivable, net

9,027

16,734

Deferred commissions

(47,063)

(24,819)

Prepaid expenses and other assets

12,371

(5,095)

Accounts payable

(5,675)

18,461

Accrued compensation and benefits

(11,456)

(10,366)

Accrued expenses and other liabilities

(1,333)

(31,180)

Operating leases, net

(21,076)

Deferred revenue

211,774

206,735

Net cash provided by operating activities

(163,515)

51,824

Cash flows from investing activities:

Maturities of investments

498,611

460,563

Purchases of investments

(524,568)

(324,581)

Sales of investments

70,878

Purchases of property and equipment

(72,073)

(94,815)

Payments for business combinations, net of cash and restricted cash acquired

(19,017)

Net cash provided by (used in) investing activities

(27,152)

22,150

Cash flows from financing activities:

Proceeds from sales of shares through employee equity incentive plans, net of repurchases

56,515

67,277

Payment of contingent consideration associated with a business combination

(1,040)

Payment of debt in conjunction with business combinations

(991)

Payment of issuance costs related to convertible senior notes

(75)

Net cash provided by financing activities

56,515

65,171

Net increase (decrease) in cash, cash equivalents and restricted cash

(134,152)

139,145

Cash, cash equivalents and restricted cash—beginning of period

399,520

307,098

Cash, cash equivalents and restricted cash—end of period

265,368

446,243

Restricted cash

^[1]

3,037

1,124

Cash and cash equivalents—end of period

262,331

445,119

Supplemental disclosures of cash flow information:

Cash paid for income taxes

14,658

26,731

Supplemental disclosures of non-cash investing and financing information:

Issuance of common stock in connection with business combinations

103,305

Purchases of property and equipment included in accounts payable and accrued liabilities

7,934

11,671

Vesting of early exercised stock options

$ 0

$ 157

[1]	Included within other assets—non-current in the condensed consolidated balance sheets.

OVERVIEW AND BASIS OF PRESENTATION

9 Months Ended

Apr. 30, 2020

Accounting Policies [Abstract]

OVERVIEW AND BASIS OF PRESENTATION

Organization and Description of Business

Nutanix, Inc. was incorporated in the state of Delaware in September 2009. Nutanix, Inc. is headquartered in San Jose, California, and together with its wholly-owned subsidiaries (collectively, "we," "us," "our" or "Nutanix") has operations throughout North America, Europe, Asia Pacific, the Middle East, Latin America and Africa.

We provide a leading enterprise cloud platform that consists of software solutions that power many of the world’s business applications by digitizing the traditional silos of enterprise computing. We seek to provide an enterprise cloud platform that empowers our customers to unify various clouds - private, public, distributed - into one seamless cloud, allowing enterprises to choose the right cloud for each application. Our enterprise cloud platform natively converges compute, virtualization, storage, networking, desktop and security services into one integrated, simple-to-consume solution, which allows enterprises to simplify the complexities of a multi-cloud environment with automation, cost governance and compliance. Our solutions are primarily sold through channel partners, including distributors, resellers and original equipment manufacturers ("OEMs") (collectively, "Partners"), and delivered directly to our end customers.

Principles of Consolidation and Significant Accounting Policies

The accompanying condensed consolidated financial statements, which include the accounts of Nutanix, Inc. and its wholly-owned subsidiaries, have been prepared in conformity with accounting principles generally accepted in the United States ("U.S. GAAP") and are consistent in all material respects with those included in our Annual Report on Form 10-K for the fiscal year ended July 31, 2019, filed with the Securities and Exchange Commission ("SEC") on September 24, 2019. All intercompany accounts and transactions have been eliminated in consolidation. The condensed consolidated financial statements are unaudited, but include all adjustments of a normal recurring nature necessary for a fair presentation of our quarterly results. The condensed consolidated balance sheet as of July 31, 2019 is derived from audited financial statements, however, it does not include all of the information and footnotes required by U.S. GAAP for complete financial statements. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes in our Annual Report on Form 10-K for the fiscal year ended July 31, 2019, which was filed with the SEC on September 24, 2019.

Use of Estimates

The preparation of interim condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Such management estimates and assumptions include, but are not limited to, the best estimate of selling prices for products and related support; useful lives and recoverability of intangible assets and property and equipment; allowance for doubtful accounts; determination of fair value of stock-based awards; accounting for income taxes, including the valuation allowance on deferred tax assets and uncertain tax positions; warranty liability; purchase commitment liabilities to our contract manufacturers and OEMs; sales commissions expense and the period of benefit for deferred commissions; whether an arrangement is or contains a lease; the incremental borrowing rate to measure the present value of operating right-of-use assets and lease liabilities; and contingencies and litigation. Management evaluates these estimates and assumptions on an ongoing basis using historical experience and other factors and makes adjustments when facts and circumstances dictate. As future events and their effects cannot be determined with precision, actual results could materially differ from those estimates and assumptions.

In response to the ongoing and rapidly evolving global outbreak of a respiratory illness caused by a novel strain of the coronavirus that was identified in late 2019 and subsequently named in February 2020 by the World Health Organization as COVID-19 (collectively with any future mutations or related strains thereof, "COVID-19"), we considered the impact of the estimated economic implications on our critical and significant accounting estimates, including assessment of collectibility of customer contracts, valuation of accounts receivable, provision for purchase commitments to our contract manufacturers and OEMs and impairment of long-lived assets, right-of-use assets, and deferred commissions.

Concentration of Risk

Concentration of revenue and accounts receivable—We sell our products primarily through our Partners and occasionally directly to end customers. For the three and nine months ended April 30, 2019 and 2020, no end customer accounted for more than 10% of total revenue or accounts receivable.

For each significant Partner, revenue as a percentage of total revenue and accounts receivable as a percentage of total accounts receivable, net are as follows:


	Revenue												Accounts Receivable as of
	Three Months Ended April 30,						Nine Months Ended April 30,
Partners	2019		2020		2019		2020		July 31, 2019		April 30, 2020
Partner A	26	%	29	%	23	%	29	%	27	%	26	%
Partner B	13	%	14	%	12	%	14	%	18	%	13	%
Partner C	⁽¹⁾		⁽¹⁾		⁽¹⁾		⁽¹⁾		⁽¹⁾		10	%
Partner D	⁽¹⁾		⁽¹⁾		10	%	⁽¹⁾		⁽¹⁾		⁽¹⁾
Partner E	10	%	⁽¹⁾		11	%	⁽¹⁾		⁽¹⁾		⁽¹⁾

(1)Less than 10%

Summary of Significant Accounting Policies

Except for the accounting policy related to operating lease right-of-use ("ROU") assets and lease liabilities discussed in the "Recently Adopted Accounting Pronouncements" section below, there have been no changes to our significant accounting policies described in our Annual Report on Form 10-K for the fiscal year ended July 31, 2019, filed with the SEC on September 24, 2019, that have had a material impact on our condensed consolidated financial statements.

Recently Adopted Accounting Pronouncements

In February 2016, the Financial Accounting Standards Board (the "FASB") issued Accounting Standards Update ("ASU") 2016-02, Leases ("ASC 842"), which requires the recognition of ROU assets and lease liabilities on the condensed consolidated balance sheets and additional disclosures around key information about leasing arrangements. We adopted the standard effective August 1, 2019, using a modified retrospective transition method. As a result, our consolidated balance sheet as of July 31, 2019 was not restated and continues to be reported under the previous lease standard ("ASC 840"), and is therefore not comparative. We elected the package of practical expedients permitted under the transition guidance, which allowed us to not reassess whether existing arrangements contain leases, not reassess lease classification and not reassess initial direct costs. The standard had a material impact on our condensed consolidated balance sheet, but did not have an impact on our condensed consolidated statement of operations or cash flows. The most significant impact was the recognition of ROU assets and lease liabilities for operating leases. We recognized ROU assets and lease liabilities of $120.2 million and $142.1 million, respectively, on our condensed consolidated balance sheet on August 1, 2019, which included reclassifying lease incentives, prepaid rent and deferred rent as components of the ROU asset. Refer to Note 6 for additional details.

We determine if an arrangement is or contains a lease at inception by evaluating various factors, including whether a vendor’s right to substitute an identified asset is substantive. Lease classification is determined at the lease commencement date when the leased assets are made available for our use. Operating leases are included in operating lease right-of-use assets, operating lease liabilities—current and operating lease liabilities—non-current in our condensed consolidated balance sheet as of April 30, 2020. We did not have any material financing leases in the periods presented.

ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make payments arising from the lease. Operating lease ROU assets and liabilities are recognized at the lease commencement date based on the present value of lease payments over the lease term. The difference between the total ROU assets and total lease liabilities recorded as of August 1, 2019 is due primarily to the derecognition of deferred rent liabilities that were included in accrued expenses and other current liabilities and other liabilities—non-current in our consolidated balance sheet as of July 31, 2019. The operating lease ROU asset also includes any lease payments made prior to commencement date and excludes lease incentives. Lease payments consist primarily of fixed payments under the arrangement, less any lease incentives, such as rent holidays. Variable lease payments not dependent on an index or a rate are expensed as incurred and are not included within the ROU asset and lease liability calculation. Variable lease payments primarily include reimbursements of costs incurred by lessors for common area maintenance, property taxes and utilities. We use an estimate of our incremental borrowing rate ("IBR") based on the information available at the lease commencement date in determining the present value of lease payments, unless the implicit rate is readily determinable. In determining the appropriate IBR, we consider information including, but not limited to, our credit rating, the lease term and the currency in which the arrangement is denominated. For leases which commenced prior to our adoption of ASC 842, we used the IBR as of August 1, 2019. Our lease terms may include renewal options, which are not included in the lease terms for calculating our lease liability, as we are not reasonably certain that we will exercise these renewal options at the time of the lease commencement. Lease costs are recognized on a straight-line basis as operating expenses within our condensed consolidated statements of operations. We present lease payments within cash flows from operations within the condensed consolidated statements of cash flows.

For our operating leases, we elected to account for lease and non-lease components as a single lease component. Additionally, we do not record leases on the condensed consolidated balance sheet that have a lease term of 12 months or less at the lease commencement date.

In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income, which provides companies with an option to reclassify stranded tax effects resulting from the enactment of the Tax Cuts and Jobs Act ("TCJA") from accumulated other comprehensive income to retained earnings. We adopted the new standard effective August 1, 2019 and the adoption had no impact on our condensed consolidated financial statements.

In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes, which simplifies the accounting for income taxes by removing certain exceptions to the general principles in Topic 740 and clarify and amend existing guidance. The new standard is effective for fiscal years beginning after December 15, 2020, with early adoption permitted, including interim reporting periods within those fiscal years. We early adopted the new standard effective November 1, 2019 and the adoption had no impact in our condensed consolidated financial statements.

Recently Issued and Not Yet Adopted Accounting Pronouncements

In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which requires the measurement and recognition of expected credit losses for financial assets held at amortized cost, including trade receivables. ASU 2016-13 replaces the existing incurred loss impairment model with an expected loss model that requires the use of forward-looking information to calculate credit loss estimates. It also eliminates the concept of other-than-temporary impairment and requires credit losses related to available-for-sale debt securities to be recorded through an allowance for credit losses rather than as a reduction in the amortized cost basis of the securities. The new standard is effective for fiscal years beginning after December 15, 2019, with early adoption permitted, including interim reporting periods within those fiscal years. ASU 2016-13 is effective for us in the first quarter of fiscal 2021. We do not expect the adoption of this new standard to have a material impact on our consolidated financial statements and related disclosures.

In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement, which eliminates, adds and modifies certain disclosure requirements for fair value measurements as part of the FASB's disclosure framework project. The new standard is effective for fiscal years beginning after December 15, 2019, with early adoption permitted, including interim reporting periods within those fiscal years. ASU 2018-13 is effective for us in the first quarter of fiscal 2021. We do not expect the adoption of this new standard to have a material impact on our quarterly or annual disclosures.

REVENUE, DEFERRED REVENUE AND DEFERRED COMMISSIONS

9 Months Ended

Apr. 30, 2020

Revenue Recognition and Deferred Revenue [Abstract]

REVENUE, DEFERRED REVENUE AND DEFERRED COMMISSIONS

ue and Revenue Recognition

We generate revenue primarily from the sale of our enterprise cloud platform, which can be delivered pre-installed on an appliance that is configured to order or delivered separately to be utilized on a variety of certified hardware platforms. Software can be delivered separately or on a configured-to-order appliance. When the software is not portable to other appliances, it generally has a term equal to the life of the associated appliance, while subscription term-based licenses typically have a term of one to five years. Configured-to-order appliances, including our Nutanix-branded NX hardware line, are typically sold through Partners and can be purchased from one of our OEMs or directly from Nutanix. Our enterprise cloud platform is typically purchased with one or more years of support and entitlements, which includes the right to software upgrades and enhancements as well as technical support. A substantial portion of sales are made through channel partners and OEM relationships.

The following table depicts the disaggregation of revenue by revenue type, consistent with how we evaluate our financial performance:


	Three Months Ended April 30,						Nine Months Ended April 30,
	2019		2020		2019		2020

	(in thousands)
Subscription	$	168,447	$	260,963	$	452,779	$	745,403
Non-portable software	88,719		41,917		366,910		178,619
Hardware	21,853		3,786		92,319		22,052
Professional services	8,605		11,607		24,259		33,734
Total revenue	$	287,624	$	318,273	$	936,267	$	979,808

Subscription revenue — Subscription revenue includes any performance obligation which has a defined term, and is generated from the sales of software entitlement and support subscriptions, subscription software licenses and cloud-based software as a service ("SaaS") offerings.

•Ratable — We recognize revenue from software entitlement and support subscriptions and SaaS offerings ratably over the contractual service period, the substantial majority of which relate to software entitlement and support subscriptions. These offerings represented approximately $96.1 million and $269.7 million of our subscription revenue for the three and nine months ended April 30, 2019 and approximately $129.2 million and $367.9 million of our subscription revenue for the three and nine months ended April 30, 2020, respectively.

•Upfront — Revenue from our subscription software licenses is generally recognized upfront upon transfer of control to the customer, which happens when we make the software available to the customer. These subscription software licenses represented approximately $72.3 million and $183.1 million of our subscription revenue for the three and nine months ended April 30, 2019 and approximately $131.8 million and $377.5 million of our subscription revenue for the three and nine months ended April 30, 2020, respectively.

Non-portable software revenue — Non-portable software revenue includes sales of our enterprise cloud platform when delivered on a configured-to-order appliance by us or one of our OEM partners. The software licenses associated with these sales are typically non-portable and have a term equal to the life of the appliance on which the software is delivered. Revenue from our non-portable software products is generally recognized upon transfer of control to the customer.

Hardware revenue — In transactions where we deliver the hardware appliance, we consider ourselves to be the principal in the transaction and we record revenue and costs of goods sold on a gross basis. We consider the amount allocated to hardware revenue to be equivalent to the cost of the hardware procured. Hardware revenue is generally recognized upon transfer of control to the customer.

Professional services revenue — We also sell professional services with our products. We recognize revenue related to professional services as they are performed.

Contracts with multiple performance obligations — Some of our contracts with customers contain multiple performance obligations. For these contracts, we account for individual performance obligations separately if they are distinct. The transaction price is allocated to the separate performance obligations on a relative standalone selling price ("SSP") basis. For deliverables that we routinely sell separately, such as software entitlement and support subscriptions on our core offerings, we determine SSP by evaluating the standalone sales over the trailing 12 months. For those that are not sold routinely, we determine SSP based on our overall pricing trends and objectives, taking into consideration market conditions and other factors, including the value of our contracts, the products sold and geographic locations.

Contract balances — The timing of revenue recognition may differ from the timing of invoicing to customers. Accounts receivable are recorded at the invoiced amount, net of an allowance for doubtful accounts. A receivable is recognized in the period we deliver goods or provide services, or when our right to consideration is unconditional. In situations where revenue recognition occurs before invoicing, an unbilled receivable is created, which represents a contract asset. Unbilled accounts receivable, included in accounts receivable, net on the condensed consolidated balance sheets, was not material for any of the periods presented.

Payment terms on invoiced amounts are typically 30-45 days. The balance of accounts receivable, net of allowance for doubtful accounts, as of July 31, 2019 and April 30, 2020 is presented in the accompanying condensed consolidated balance sheets.

Costs to obtain and fulfill a contract — We capitalize commissions paid to sales personnel and the related payroll taxes when customer contracts are signed. These costs are recorded as deferred commissions in the condensed consolidated balance sheets, current and non-current. We determine whether costs should be deferred based on our sales compensation plans, if the commissions are incremental and would not have been incurred absent the execution of the customer contract. Commissions paid upon the initial acquisition of a contract are amortized over the estimated period of benefit, which may exceed the term of the initial contract if the commissions expected to be paid upon renewal are not commensurate with that of the original contract. Accordingly, the amortization of deferred costs is recognized on a systematic basis that is consistent with the pattern of revenue recognition allocated to each performance obligation and included in sales and marketing expense in the condensed consolidated statements of operations. We determine the estimated period of benefit by evaluating the expected renewals of customer contracts, the duration of relationships with our customers, customer retention data, our technology development lifecycle and other factors. Deferred costs are periodically reviewed for impairment.

Taxes assessed by a government authority that are both imposed on and concurrent with specific revenue transactions between us and our customers are presented on a net basis in our condensed consolidated statements of operations.

Deferred revenue — Deferred revenue primarily consists of amounts that have been invoiced but not yet recognized as revenue and primarily pertain to software entitlement and support subscriptions and professional services. The current portion of deferred revenue represents the amounts that are expected to be recognized as revenue within one year of the condensed consolidated balance sheet date.

Significant changes in the balance of deferred revenue (contract liability) and deferred commissions (contract asset) for the periods presented are as follows:


	Deferred Revenue		Deferred Commissions

	(in thousands)
Balance as of July 31, 2019	$	910,044	$	153,712
Additions	187,554		57,846
Revenue/commissions recognized	(122,324)		(39,533)
Balance as of October 31, 2019	975,274		172,025
Additions	214,530		62,790
Revenue/commissions recognized	(133,220)		(45,681)
Balance as of January 31, 2020	1,056,584		189,134
Additions	202,993		54,214
Revenue/commissions recognized	(137,517)		(42,573)
Balance as of April 30, 2020	$	1,122,060	$	200,775

During the three and nine months ended April 30, 2019, we recognized revenue of approximately $89.8 million and $216.3 million pertaining to amounts deferred as of January 31, 2019 and July 31, 2018, respectively. During the three and nine months ended April 30, 2020, we recognized revenue of approximately $125.1 million and $293.4 million pertaining to amounts deferred as of January 31, 2020 and July 31, 2019, respectively. The majority of our contracted but not invoiced performance obligations are subject to cancellation terms. Revenue allocated to remaining performance obligations represents contracted revenue that has not yet been recognized ("contracted not recognized"), which includes deferred revenue and non-cancelable amounts that will be invoiced and recognized as revenue in future periods and excludes performance obligations that are subject to cancellation terms. Contracted not recognized revenue was approximately $1,133.6 million as of April 30, 2020, of which we expect to recognize approximately 45% over the next 12 months, and the remainder thereafter.

FAIR VALUE MEASUREMENTS

9 Months Ended

Apr. 30, 2020

Fair Value Disclosures [Abstract]

FAIR VALUE MEASUREMENTS

The fair value of our financial assets and liabilities measured on a recurring basis is as follows:


	As of July 31, 2019
	Level I		Level II		Level III		Total

	(in thousands)
Financial Assets:
Cash equivalents:
Money market funds	$	33,156	$	—	$	—	$	33,156
Commercial paper	—		103,029		—		103,029
U.S. government securities	—		119,933		—		119,933
Corporate bonds	—		9,996		—		9,996
Short-term investments:
Corporate bonds	—		354,549		—		354,549
Commercial paper	—		92,851		—		92,851
U.S. government securities	—		64,756		—		64,756
Total measured at fair value	$	33,156	$	745,114	$	—	$	778,270
Cash							130,564
Total cash, cash equivalents and short-term investments							$	908,834


	As of April 30, 2020
	Level I		Level II		Level III		Total

	(in thousands)
Financial Assets:
Cash equivalents:
Money market funds	$	100,550	$	—	$	—	$	100,550
Commercial paper	—		10,992		—		10,992


Short-term investments:
Corporate bonds	—		370,210		—		370,210
Commercial paper	—		46,375		—		46,375
U.S. government securities	—		53,221		—		53,221
Total measured at fair value	$	100,550	$	480,798	$	—	$	581,348
Cash							150,789
Total cash, cash equivalents and short-term investments							$	732,137

Financial Instruments Not Recorded at Fair Value on a Recurring Basis

We report our financial instruments at fair value, with the exception of the 0% Convertible Senior Notes, due in January 2023 (the "Notes"). Financial instruments that are not recorded at fair value on a recurring basis are measured at fair value on a quarterly basis for disclosure purposes. The carrying values and estimated fair values of financial instruments not recorded at fair value are as follows:


	As of July 31, 2019						As of April 30, 2020
	Carrying Value		Estimated Fair Value		Carrying Value		Estimated Fair Value

	(in thousands)
Convertible senior notes, net	$	458,910	$	527,275	$	482,200	$	495,938

The carrying value of the Notes as of April 30, 2020 was net of the unamortized debt discount of $87.9 million and unamortized debt issuance costs of $4.9 million.

The total estimated fair value of the Notes was determined based on the closing trading price per $100 of the Notes as of the last day of trading for the period. We consider the fair value of the Notes to be a Level 2 measurement due to the limited trading activity.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

BALANCE SHEET COMPONENTS

9 Months Ended

Apr. 30, 2020

Organization, Consolidation and Presentation of Financial Statements [Abstract]

BALANCE SHEET COMPONENTS

Short-Term Investments

The amortized cost of our short-term investments approximates their fair value. As of July 31, 2019 and April 30, 2020, unrealized gains and losses from our short-term investments were not material. As of July 31, 2019 and April 30, 2020, unrealized losses from securities that were in an unrealized loss position for more than 12 months were not material. Unrealized losses related to our short-term investments are due to interest rate fluctuations, as opposed to credit quality. As a result, at July 31, 2019 and April 30, 2020, there were no other-than-temporary impairments for these investments.

The following table summarizes the estimated fair value of our investments in marketable debt securities by their contractual maturity dates:


	As of April 30, 2020
	(in thousands)
Due within one year	$	332,705
Due in one to two years	137,101
Total	$	469,806

Prepaid Expenses and Other Current Assets

Prepaid expenses and other current assets consists of the following:


	As of
	July 31, 2019		April 30, 2020

	(in thousands)
Prepaid operating expenses	$	37,864	$	32,355
VAT receivables	5,068		8,181
Tenant improvement allowance receivables	—		8,056
Prepaid income taxes	19,690		1,477
Other current assets	12,043		13,120
Total prepaid expenses and other current assets	$	74,665	$	63,189

The decrease in prepaid expenses and other current assets from July 31, 2019 to April 30, 2020 was due primarily to the receipt of an $18.0 million corporate income tax refund in the first quarter of fiscal 2020, partially offset by the addition of $8.1 million of tenant improvement allowances, which are recorded within prepaid expenses and other current assets on the condensed consolidated balance sheet as of April 30, 2020 as a result of our adoption of ASC 842 during the first quarter of fiscal 2020.

Property and Equipment, Net

Property and equipment, net consists of the following:


	Estimated Useful Life	As of
				July 31, 2019			April 30, 2020

	(in months)	(in thousands)
Computer, production, engineering and other equipment	36	$	200,762		$	235,429
Demonstration units	12	59,981			66,149
Leasehold improvements	⁽¹⁾	46,520			65,056
Furniture and fixtures	60	12,868			16,386
Total property and equipment, gross		320,131			383,020
Less: accumulated depreciation ⁽²⁾		(183,169)			(233,332)
Total property and equipment, net		$	136,962		$	149,688

(1)Leasehold improvements are amortized over the shorter of the estimated useful lives of the improvements or the remaining lease term.

(2)Includes a $1.2 million write-off related to the impairment of certain leasehold improvements for the fiscal quarter ended January 31, 2020. For additional information on this lease-related impairment, refer to Note 6.

Depreciation expense related to our property and equipment was $16.4 million and $43.3 million for the three and nine months ended April 30, 2019 and $19.8 million and $56.7 million for the three and nine months ended April 30, 2020, respectively.

Goodwill and Intangible Assets, Net

The change in the carrying value of goodwill during the nine months ended April 30, 2020 was not material.

Intangible assets, net consists of the following:


	As of
	July 31, 2019		April 30, 2020

	(in thousands)
Developed technology	$	79,300	$	79,300
Customer relationships	8,860		8,860
Trade name	4,170		4,170
Total intangible assets, gross	92,330		92,330
Less:
Accumulated amortization of developed technology	(21,210)		(32,293)
Accumulated amortization of customer relationships	(3,392)		(4,562)
Accumulated amortization of trade name	(955)		(1,737)
Total accumulated amortization	(25,557)		(38,592)
Total intangible assets, net	$	66,773	$	53,738

Amortization expense related to our intangible assets is being recognized in the condensed consolidated statements of operations within product cost of revenue for developed technology and sales and marketing expense for customer relationships and trade name.

The estimated future amortization expense of our intangible assets is as follows:


Fiscal Year Ending July 31:	Amount
	(in thousands)
2020 (remaining three months)	$	4,345
2021	17,380
2022	16,183
2023	10,856
2024	3,210
Thereafter	1,764
Total	$	53,738

Accrued Compensation and Benefits

Accrued compensation and benefits consists of the following:


	As of
	July 31, 2019		April 30, 2020

	(in thousands)
Accrued commissions	$	31,703	$	28,603
Accrued vacation	15,475		21,424
Payroll taxes payable	8,504		9,490
Contributions to ESPP withheld	20,778		6,608
Accrued bonus	11,413		3,435
Other	11,931		16,081
Total accrued compensation and benefits	$	99,804	$	85,641

CONVERTIBLE SENIOR NOTES

9 Months Ended

Apr. 30, 2020

Debt Disclosure [Abstract]

CONVERTIBLE SENIOR NOTES

In January 2018, we issued Convertible Senior Notes with a 0% interest rate for an aggregate principal amount of $575.0 million, due in 2023 (the "Notes"), in a private placement to qualified institutional buyers pursuant to Rule144A under the Securities Act. This included $75.0 million in aggregate principal amount of the Notes that we issued resulting from initial purchasers fully exercising their option to purchase additional notes. There are no required principal payments prior to the maturity of the Notes. The total net proceeds from the Notes are as follows:


	Amount
	(in thousands)
Principal amount	$	575,000
Less: initial purchasers' discount	(10,781)
Less: cost of the bond hedges	(143,175)
Add: proceeds from the sale of warrants	87,975
Less: other issuance costs	(707)
Net proceeds	$	508,312

The Notes do not bear any interest and will mature on January 15, 2023, unless earlier converted or repurchased in accordance with their terms. The Notes are unsecured and do not contain any financial covenants or any restrictions on the payment of dividends, or the issuance or repurchase of securities by us.

Each $1,000 of principal of the Notes will initially be convertible into 20.4705 shares of our Class A common stock, which is equivalent to an initial conversion price of approximately $48.85 per share, subject to adjustment upon the occurrence of specified events. Holders of these Notes may convert their Notes at their option at any time prior to the close of the business day immediately preceding October 15, 2022, only under the following circumstances:

1)during any fiscal quarter commencing after the fiscal quarter ending on April 30, 2018 (and only during such fiscal quarter), if the last reported sale price of our Class A common stock for at least 20 trading days (whether or not consecutive) during a period of 30 consecutive trading days ending on, and including, the last trading day of the immediately preceding fiscal quarter, is greater than or equal to 130% of the conversion price on each applicable trading day;

2)during the five business day period after any five consecutive trading day period (the "measurement period") in which the trading price per $1,000 principal amount of Notes for each trading day of the measurement period was less than 98% of the product of the last reported sale price of our Class A common stock and the conversion rate for the Notes on each such trading day; or

3)upon the occurrence of certain specified corporate events.

Based on the closing price of our Class A common stock of $20.49 on April 30, 2020, the if-converted value of the Notes was lower than the principal amount. The price of our Class A common stock was not greater than or equal to 130% of the conversion price for 20 or more trading days during the 30 consecutive trading days ending on the last trading day of the quarter ended April 30, 2020. As such, the Notes are not convertible for the fiscal quarter commencing after April 30, 2020.

On or after October 15, 2022, holders may convert all or any portion of their Notes at any time prior to the close of business on the second scheduled trading day immediately preceding the maturity date, regardless of the foregoing conditions.

Upon conversion of the Notes, we will pay or deliver, as the case may be, cash, shares of our Class A common stock or a combination of cash and shares of Class A common stock, at our election. We intend to settle the principal of the Notes in cash.

The conversion rate will be subject to adjustment in some events, but will not be adjusted for any accrued or unpaid interest. A holder who converts their Notes in connection with certain corporate events that constitute a "make-whole fundamental change" per the indenture governing the Notes are, under certain circumstances, entitled to an increase in the conversion rate. In addition, if we undergo a fundamental change prior to the maturity date, holders may require us to repurchase for cash all or a portion of their Notes at a repurchase price equal to 100% of the principal amount of the repurchased Notes, plus accrued and unpaid interest.

We may not redeem the Notes prior to the maturity date, and no sinking fund is provided for the Notes.

In accounting for the issuance of the Notes, we separated the Notes into liability and equity components. The carrying amount of the liability component of approximately $423.4 million was calculated by measuring the fair value of a similar liability that does not have an associated convertible feature. The carrying amount of the equity component of approximately $151.6 million, representing the conversion option, was determined by deducting the fair value of the liability component from the par value of the Notes. The difference between the principal amount of the Notes and the liability component (the "debt discount") is amortized to interest expense using the effective interest method over the term of the Notes. The equity component of the Notes is included in additional paid-in capital in the condensed consolidated balance sheets and is not remeasured as long as it continues to meet the conditions for equity classification.

We incurred transaction costs related to the issuance of the Notes of approximately $11.5 million, consisting of an initial purchasers' discount of $10.8 million and other issuance costs of approximately $0.7 million. In accounting for the transaction costs, we allocated the total amount incurred to the liability and equity components using the same proportions as the proceeds from the Notes. Transaction costs attributable to the liability component were approximately $8.5 million, recorded as debt issuance costs (presented as contra debt in the condensed consolidated balance sheets), and are being amortized to interest expense over the term of the Notes. The transaction costs attributable to the equity component were approximately $3.0 million and were net with the equity component within stockholders’ equity.

The Notes consisted of the following:


	As of
	July 31, 2019		April 30, 2020

	(in thousands)
Principal amounts:
Principal	$	575,000	$	575,000
Unamortized debt discount ⁽¹⁾	(109,956)		(87,897)
Unamortized debt issuance costs ⁽¹⁾	(6,134)		(4,903)
Net carrying amount	$	458,910	$	482,200
Carrying amount of equity component ⁽²⁾	$	148,598	$	148,598

(1)Included in the condensed consolidated balance sheets within convertible senior notes, net and amortized over the remaining life of the Notes using the effective interest rate method. The effective interest rate is 6.62%.

(2)Included in the condensed consolidated balance sheets within additional paid-in capital, net of $3.0 million in equity issuance costs.

As of April 30, 2020, the remaining life of the Notes was approximately 32 months.

The following table sets forth the total interest expense recognized related to the Notes:


	Three Months Ended April 30,						Nine Months Ended April 30,
	2019		2020		2019		2020

	(in thousands)
Interest expense related to amortization of debt discount	$	6,997	$	7,475	$	20,650	$	22,059
Interest expense related to amortization of debt issuance costs	390		417		1,152		1,231
Total interest expense	$	7,387	$	7,892	$	21,802	$	23,290

Note Hedges and Warrants

Concurrently with the offering of the Notes in January 2018, we entered into convertible note hedge transactions with certain bank counterparties, whereby we have the initial option to purchase a total of approximately 11.8 million shares of our Class A common stock at a conversion price of approximately $48.85 per share, subject to adjustment for certain specified events. The total cost of the convertible note hedge transactions was approximately $143.2 million. In addition, we sold warrants to certain bank counterparties, whereby the holders of the warrants have the initial option to purchase a total of approximately 11.8 million shares of our Class A common stock at a price of $73.46 per share, subject to adjustment for certain specified events. We received approximately $88.0 million in cash proceeds from the sale of these warrants.

Taken together, the purchase of the convertible note hedges and the sale of warrants are intended to offset any actual dilution from the conversion of the Notes and to effectively increase the overall conversion price from $48.85 to $73.46 per share. As these transactions meet certain accounting criteria, the convertible note hedges and warrants are recorded within stockholders’ equity and are not accounted for as derivatives. The net cost incurred in connection with the convertible note hedge and warrant transactions of approximately $55.2 million was recorded as a reduction to additional paid-in capital in the condensed consolidated balance sheets as of July 31, 2019 and April 30, 2020. The fair value of the note hedges and warrants are not remeasured each reporting period. The amounts paid for the note hedges were tax deductible expenses, while the proceeds received from the warrants were not taxable.

Impact to Earnings per Share

The Notes will have no impact to diluted earnings per share ("EPS") until they meet the criteria for conversion, as discussed above, as we intend to settle the principal amount of the Notes in cash upon conversion. Under the treasury stock method, in periods when we report net income, we are required to include the effect of additional shares that may be issued under the Notes when the price of our Class A common stock exceeds the conversion price. Under this method, the cumulative dilutive effect of the Notes would be approximately 3.9 million shares if the average price of our Class A common stock was $73.46. However, upon conversion, there will be no economic dilution from the Notes, as exercise of the note hedges eliminate any dilution that would have otherwise occurred. The note hedges are required to be excluded from the calculation of diluted earnings per share, as they would be antidilutive under the treasury stock method.

The warrants will have a dilutive effect when the average share price exceeds the warrant strike price of $73.46 per share. As the price of our Class A common stock continues to increase above the warrant strike price, additional dilution would occur at a declining rate so that a $10 increase from the warrant strike price would yield a cumulative dilution of approximately 4.9 million diluted shares for EPS purposes. However, upon conversion, the note hedges would neutralize the dilution from the Notes so that there would only be dilution from the warrants, which would result in an actual dilution of approximately 1.4 million shares at a common stock price of $83.46.

LEASES

9 Months Ended

Apr. 30, 2020

Leases [Abstract]

LEASES

We have operating leases for offices, research and development facilities and datacenters. Our leases have remaining lease terms of one year to approximately nine years, some of which include options to renew or terminate. We do not include renewal options in the lease terms for calculating our lease liability, as we are not reasonably certain that we will exercise these renewal options at the time of the lease commencement. Our lease agreements do not contain any residual value guarantees or restrictive covenants.

Total operating lease cost was $10.0 million and $28.9 million for the three and nine months ended April 30, 2020, respectively, excluding short-term lease costs, variable lease costs and sublease income, each of which were not material. Variable lease costs primarily include common area maintenance charges. Total lease expense recognized prior to our adoption of ASC 842 was $9.4 million and $25.0 million for the three and nine months ended April 30, 2019, respectively.

During the second quarter of fiscal 2020, we ceased using certain office spaces in Bangalore, India. As the carrying value of the related right-of-use assets exceeded fair value, we recorded a $3.0 million impairment in our condensed consolidated statements of operations for the nine months ended April 30, 2020. Of the $3.0 million impairment, approximately $1.8 million relates to the impairment of the operating lease right-of-use assets and approximately $1.2 million relates to the impairment of leasehold improvements. Additional charges related to asset impairments may be recorded in the future.

Supplemental balance sheet information related to leases is as follows:


	As of April 30, 2020
	(in thousands)
Operating leases:
Operating lease right-of-use assets, gross	$	154,689

Accumulated amortization	(22,170)
Operating lease right-of-use assets, net	$	132,519

Operating lease liabilities—current	$	34,371
Operating lease liabilities—non-current	123,470
Total operating lease liabilities	$	157,841

Weighted average remaining lease term (in years):	4.0
Weighted average discount rate:	5.3		%

Supplemental cash flow and other information related to leases is as follows:


	Nine Months Ended April 30, 2020
	(in thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	30,593

Lease liabilities arising from obtaining right-of-use assets:
Operating leases	$	41,888

The undiscounted cash flows for our operating lease liabilities as of April 30, 2020 were as follows:


Fiscal Year Ending July 31:	Amount
	(in thousands)
2020 (remaining three months)	$	9,713
2021	44,225
2022	43,801
2023	41,987
2024	29,952
Thereafter	7,931
Total lease payments	177,609
Less: imputed interest	(19,768)
Total lease obligation	157,841
Less: current lease obligations	(34,371)
Long-term lease obligations	$	123,470

As of April 30, 2020, we have additional operating lease commitments of approximately $3.5 million on an undiscounted basis for certain office leases that have not yet commenced. These operating leases will commence during the remainder of fiscal 2020, fiscal 2021 and fiscal 2022, with lease terms of two to five years.

As previously disclosed in our Annual Report on Form 10-K for the fiscal year ended July 31, 2019, the following table summarizes the future minimum payments due under our operating leases as of July 31, 2019, reported under ASC 840:


Fiscal Year Ending July 31:	Amount
	(in thousands)
2020	$	39,540
2021	41,909
2022	41,332
2023	40,695
2024	30,240
Thereafter	3,511
Total	$	197,227

COMMITMENTS AND CONTINGENCIES	9 Months Ended
COMMITMENTS AND CONTINGENCIES	Apr. 30, 2020
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES Purchase Commitments In the normal course of business, we make commitments with our contract manufacturers and OEMs to ensure them a minimum level of financial consideration for their investment in our joint solutions. These commitments are based on revenue targets or on-hand inventory and non-cancelable purchase orders for non-standard components. We record a charge related to these items when we determine that it is probable a loss will be incurred and we are able to estimate the amount of the loss. Our historical charges have not been material. As of April 30, 2020, we had up to approximately $76.9 million of non-cancelable purchase obligations and other commitments pertaining to our daily business operations, and up to approximately $121.5 million in the form of guarantees to certain of our contract manufacturers and OEMs. Legal Proceedings Beginning on March 29, 2019, several purported securities class actions were filed in the United States District Court for the Northern District of California against us and two of our officers. The initial complaints generally alleged that the defendants made false and misleading statements in violation of Sections 10(b) and 20(a) of the Exchange Act and SEC Rule 10b-5. In July 2019, the court consolidated the actions into a single action, and appointed a lead plaintiff, who then filed a consolidated amended complaint (the "Original Complaint"). The action was brought on behalf of those who purchased or otherwise acquired our stock between November 30, 2017 and May 30, 2019, inclusive. The defendants subsequently filed a motion to dismiss the Original Complaint, and the court granted that motion on March 9, 2020, while providing the lead plaintiff leave to amend. On April 17, 2020, the lead plaintiff filed a second amended complaint (the "Current Complaint"), again naming us and two of our officers as defendants. The Current Complaint alleges the same class period, includes many of the same factual allegations as the Original Complaint, and again alleges that the defendants violated Sections 10(b) and 20(a) of the Exchange Act, as well as SEC Rule 10b-5. The Current Complaint seeks monetary damages in an unspecified amount. The defendants filed a motion to dismiss the Current Complaint on May 22, 2020, and a hearing before the court has been scheduled for August 12, 2020, during which the parties will argue their positions on the motion. This case is in the very early stages and we are not able to determine what, if any, liabilities will attach to the Current Complaint. Beginning on July 1, 2019, several shareholder derivative complaints were filed in each of the U.S. District Court for the Northern District of California, the Superior Court of California for the County of San Mateo and the Superior Court of California for the County of Santa Clara, naming (i) fourteen of Nutanix’s current and former officers and directors as defendants and (ii) the Company as a nominal defendant. The complaints generally alleged claims for breach of fiduciary duty, waste of corporate assets and unjust enrichment, all based on the same general underlying allegations that are contained in the securities class actions described above. The Superior Court complaints additionally alleged insider trading and violation of California Corporations Code Section 25402, and the Santa Clara County Superior Court complaints further included additional claims for "abuse of control" and "gross mismanagement." On January 7, 2020, the U.S. District Court for the North District of California consolidated the federal actions and, on March 6, 2020, the plaintiffs filed a stipulation designating a lead plaintiff and deeming the lead plaintiff’s original complaint as the operative complaint in the matter (the "Operative Complaint"). On April 22, 2020, (i) the individual defendants filed a motion to dismiss the Operative Complaint on the grounds that it fails to state a claim, and (ii) we filed a motion to dismiss the Operative Complaint on the grounds that the plaintiffs failed to make a demand on our Board of Directors before filing the Operative Complaint. On May 22, 2020, the plaintiffs proposed to the defendants that they file an amended complaint rather than an opposition to the motions to dismiss, and the defendants agreed to that. The parties will submit a proposed schedule to the court for the filing of an amended complaint and the defendants' response to it. In August 2019, the Superior Court of California for the County of Santa Clara consolidated the Santa Clara derivative actions into a single action and, in January 2020, the court stayed the consolidated Santa Clara action in deference to the federal derivative actions described above. On September 17, 2019, the Superior Court of California for the County of San Mateo granted the plaintiff’s request for voluntary dismissal without prejudice. The remaining derivative cases are in the very early stages and we are not able to determine what, if any, liabilities will attach to those complaints. We are not currently a party to any other legal proceedings that we believe to be material to our business or financial condition. From time to time, we may become party to various litigation matters and subject to claims that arise in the ordinary course of business.

STOCKHOLDERS’ EQUITY	9 Months Ended
STOCKHOLDERS’ EQUITY	Apr. 30, 2020
Equity [Abstract]
STOCKHOLDERS’ EQUITY	STOCKHOLDERS’ EQUITY We have two classes of authorized common stock, Class A common stock and Class B common stock. As of April 30, 2020, we had one billion shares of Class A common stock authorized, with a par value of $0.000025 per share, and 200 million shares of Class B common stock authorized, with a par value of $0.000025 per share. As of April 30, 2020, we had 184.4 million shares of Class A common stock issued and outstanding and 15.1 million shares of Class B common stock issued and outstanding.Holders of Class A common stock are entitled to one vote for each share of Class A common stock held on all matters submitted to a vote of stockholders. Holders of Class B common stock are entitled to 10 votes for each share of Class B common stock held on all matters submitted to a vote of stockholders. Except with respect to voting, the rights of the holders of Class A and Class B common stock are identical. Shares of Class B common stock are voluntarily convertible into shares of Class A common stock at the option of the holder and are generally automatically converted into shares of our Class A common stock upon a sale or transfer. Shares issued in connection with exercises of stock options, vesting of restricted stock units, or shares purchased under the employee stock purchase plan are generally automatically converted into shares of our Class A common stock. Shares issued in connection with an exercise of common stock warrants are converted into shares of our Class B common stock.

EQUITY AWARD PLANS

9 Months Ended

Apr. 30, 2020

Share-based Payment Arrangement [Abstract]

EQUITY AWARD PLANS

EQUITY INCENTIVE PLANS

Stock Plans

We have three equity incentive plans, the 2010 Stock Plan ("2010 Plan"), 2011 Stock Plan ("2011 Plan") and 2016 Equity Incentive Plan ("2016 Plan"). Our stockholders approved the 2016 Plan in March 2016 and it became effective in connection with our initial public offering ("IPO"). As a result, at the time of the IPO, we ceased granting additional stock awards under the 2010 Plan and 2011 Plan and both plans were terminated. Any outstanding stock awards under the 2010 Plan and 2011 Plan will remain outstanding, subject to the terms of the applicable plan and award agreements, until such shares are issued under those stock awards, by exercise of stock options or settlement of restricted stock units ("RSUs"), or until those stock awards become vested or expired by their terms.

Under the 2016 Plan, we may grant incentive stock options, non-statutory stock options, restricted stock, RSUs and stock appreciation rights to employees, directors and consultants. We initially reserved 22.4 million shares of our Class A common stock for issuance under the 2016 Plan. The number of shares of Class A common stock available for issuance under the 2016 Plan will also include an annual increase on the first day of each fiscal year, beginning in fiscal 2018, equal to the lesser of: 18.0 million shares, 5% of the outstanding shares of all classes of common stock as of the last day of our immediately preceding fiscal year, or such other amount as may be determined by the Board. Accordingly, on August 1, 2019, the number of shares of Class A common stock available for issuance under the 2016 Plan increased by 9.4 million shares pursuant to these provisions. As of April 30, 2020, we had reserved a total of 45.3 million shares for the issuance of equity awards under the Stock Plans, of which 12.8 million shares were still available for grant.

Restricted Stock Units

Performance RSUs — We have granted RSUs that have both service and performance conditions to our executives and employees ("Performance RSUs"). Vesting of Performance RSUs is subject to continuous service and the satisfaction of certain performance targets. While we recognize cumulative stock-based compensation expense for the portion of the awards for which both the service condition has been satisfied and it is probable that the performance conditions will be met, the actual vesting and settlement of Performance RSUs are subject to the performance conditions actually being met.

Market Stock Units — In October 2018, the Compensation Committee of our Board of Directors approved the grant of 100,000 RSUs subject to certain market conditions ("MSUs") to our Chief Executive Officer, with a weighted average grant date fair value per unit of $25.16. The MSUs will vest based upon the achievement of an average stock price of $80 over a performance period of approximately 4.5 years (the "Performance Period"), subject to his continuous service on each vesting date. The average stock price is calculated based on the average closing price of one share of our Class A common stock, as reported on the Nasdaq Stock Market during the 180-day period ending on the last trading day prior to each measurement date (as applicable, the "Average Stock Price"). The Average Stock Price is measured once per quarter during the Performance Period, and:

•If the Average Stock Price on any given quarterly measurement date does not equal or exceed $80, then none of the MSUs will vest that quarter, and any unvested MSUs will carry over to the next quarter (the "Carryover MSUs");

•If the Average Stock Price on any given quarterly measurement date equals or exceeds $80, then 1/18th of the MSUs plus the applicable Carryover MSUs, if any, would vest; and/or

•If the Average Stock Price never equals or exceeds $80 during the Performance Period, the MSUs would terminate at the end of the Performance Period.

In December 2019, the Compensation Committee of our Board of Directors approved the grant of 200,000 additional MSUs to our Chief Executive Officer, with a weighted average grant date fair value per unit of $20.80. The MSUs will vest based upon the achievement of an average stock price of $65 over a performance period of approximately 4.5 years (the "Second Performance Period"), subject to his continuous service on each vesting date.

In February 2020, the Compensation Committee of our Board of Directors approved the grant of 75,000 MSUs to our Executive Vice President of Worldwide Sales, with a weighted average grant date fair value per unit of $20.80. The MSUs will vest based upon the achievement of an average stock price of $65 over a performance period of approximately 3.9 years (the "Second Performance Period"), subject to his continuous service on each vesting date.

The average stock price is calculated based on the average closing price of one share of our Class A common stock, as reported on the Nasdaq Stock Market during the 180-day period ending on the last trading day prior to each measurement date (as applicable, the "Second Average Stock Price"). The Second Average Stock Price is measured once per quarter during the Second Performance Period, and:

•If the Second Average Stock Price on any given quarterly measurement date does not equal or exceed $65, then none of the MSUs will vest that quarter, and any unvested MSUs will carry over to the next quarter (the "Carryover MSUs");

•If the Second Average Stock Price on any given quarterly measurement date equals or exceeds $65, then 1/18th of the MSUs plus the applicable Carryover MSUs, if any, would vest; and/or

•If the Second Average Stock Price never equals or exceeds $65 during the Second Performance Period, the MSUs would terminate at the end of the Second Performance Period.

We used Monte Carlo simulations to calculate the fair value of these awards on the grant date. A Monte Carlo simulation requires the use of various assumptions, including the stock price volatility and risk-free interest rate as of the valuation date corresponding to the length of time remaining in the performance period and expected dividend yield. We recognize stock-based compensation expense related to these MSUs using the graded vesting attribution method over the Performance Period or Second Performance Period, as applicable. As of April 30, 2020, 375,000 MSUs remained outstanding.

Below is a summary of RSU activity, including MSUs, under the Stock Plans:


	Number of Shares	Grant Date Fair Value per Share
	(in thousands)
Outstanding at July 31, 2019	22,136	$	36.72
Granted	12,598	$	27.66
Released	(6,578)	$	33.94
Forfeited	(3,337)	$	34.63
Outstanding at April 30, 2020	24,819	$	33.26

Stock Options

We did not grant any stock options during the nine months ended April 30, 2020. A total of 1.0 million stock options were exercised during the nine months ended April 30, 2020, with an average exercise price per share of $5.62. As of April 30, 2020, 7.7 million stock options, with a weighted average exercise price of $5.14 per share, a weighted average remaining contractual life of 3.9 years and an aggregate intrinsic value of $118.3 million, remained outstanding.

Employee Stock Purchase Plan

In December 2015, the Board adopted the 2016 Employee Stock Purchase Plan, which was subsequently amended in January 2016 and September 2016 and approved by our stockholders in March 2016 ("Original 2016 ESPP"). The Original 2016 ESPP became effective in connection with our IPO. On December 13, 2019, during our 2019 Annual Meeting of Stockholders, our stockholders approved certain amendments to the Original 2016 ESPP. Under the amended and restated Original 2016 ESPP ("2016 ESPP"), the maximum number of shares of Class A common stock available for sale is 11.5 million shares, representing an increase of 9.2 million shares.

The 2016 ESPP allows eligible employees to purchase shares of our Class A common stock at a discount through payroll deductions of up to 15% of eligible compensation, subject to caps of $25,000 in any calendar year and 1,000 shares on any purchase date. The 2016 ESPP provides for 12-month offering periods, generally beginning in March and September of each year, and each offering period consists of two six-month purchase periods.

On each purchase date, participating employees will purchase Class A common stock at a price per share equal to 85% of the lesser of the fair market value of our Class A common stock on (i) the first trading day of the applicable offering period or (ii) the last trading day of each purchase period in the applicable offering period. If the stock price of our Class A common stock on any purchase date in an offering period is lower than the stock price on the enrollment date of that offering period, the offering period will immediately reset after the purchase of shares on such purchase date and automatically roll into a new offering period.

During the nine months ended April 30, 2020, 3.3 million shares of common stock were purchased under the 2016 ESPP for an aggregate amount of $50.6 million. As of April 30, 2020, 9.2 million shares, which includes the 9.2 million additional shares approved by our stockholders, were available for future issuance under the 2016 ESPP.

We use the Black-Scholes option pricing model to determine the fair value of shares purchased under the 2016 ESPP with the following weighted average assumptions on the date of grant:


	Nine Months Ended April 30,
	2019		2020
Expected term (in years)	0.84		0.92
Risk-free interest rate	2.5	%	0.1	%
Volatility	69.0	%	73.4	%
Dividend yield	—	%	—	%

Stock-Based Compensation

Total stock-based compensation expense recognized in the condensed consolidated statements of operations is as follows:


	Three Months Ended April 30,						Nine Months Ended April 30,
	2019		2020		2019		2020

	(in thousands)
Cost of revenue:
Product	$	953	$	1,367	$	2,523	$	3,937
Support, entitlements and other services	4,542		5,959		11,072		15,850
Sales and marketing	35,257		33,177		81,325		92,137
Research and development	42,265		39,462		107,953		113,484
General and administrative	11,815		12,131		30,449		33,729
Total stock-based compensation expense	$	94,832	$	92,096	$	233,322	$	259,137

As of April 30, 2020, unrecognized stock-based compensation expense related to outstanding stock awards was approximately $793.2 million and is expected to be recognized over a weighted average period of approximately 2.6 years.

INCOME TAXES	9 Months Ended
INCOME TAXES	Apr. 30, 2020
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXES The income tax provisions of $2.4 million and $1.0 million for the three and nine months ended April 30, 2019, respectively, primarily consisted of foreign taxes on our international operations and U.S. state income taxes. The income tax provision for the nine months ended April 30, 2019 was partially offset by a $5.8 million U.S. valuation allowance release in connection with an acquisition and a tax benefit related to the change in tax law. The net deferred tax liability recorded in connection with this acquisition provided an additional source of taxable income to support the realizability of the pre-existing deferred tax assets and as a result, we released a portion of our U.S. valuation allowance. The income tax provisions of $4.9 million and $13.4 million for the three and nine months ended April 30, 2020, respectively, primarily consisted of foreign taxes on our international operations and U.S. state income taxes. We continue to maintain a valuation allowance for our U.S. Federal and state deferred tax assets.

NET LOSS PER SHARE

9 Months Ended

Apr. 30, 2020

Earnings Per Share [Abstract]

NET LOSS PER SHARE

Basic net income (loss) per share is computed using the weighted average number of common shares outstanding during the period. Diluted net income (loss) per share is computed by giving effect to potentially dilutive common stock equivalents outstanding during the period, as their effect would be dilutive. Potentially dilutive common shares include participating securities and shares issuable upon the exercise of stock options, the exercise of common stock warrants, the exercise of convertible preferred stock warrants, the vesting of RSUs and each purchase under the 2016 ESPP, under the treasury stock method.

In loss periods, basic net loss per share and diluted net loss per share are the same, as the effect of potential common shares is antidilutive and therefore excluded.

The rights, including the liquidation and dividend rights, of the holders of our Class A and Class B common stock are identical, except with respect to voting. As the liquidation and dividend rights are identical, our undistributed earnings or losses are allocated on a proportionate basis among the holders of both Class A and Class B common stock. As a result, the net income (loss) per share attributed to common stockholders will, therefore, be the same for both Class A and Class B common stock on an individual or combined basis.

The computation of basic and diluted net loss per share attributable to Class A and Class B common stockholders is as follows:


	Three Months Ended April 30,						Nine Months Ended April 30,
	2019		2020		2019		2020

	(in thousands, except per share data)
Numerator:
Net loss	$	(209,813)	$	(240,671)	$	(426,841)	$	(687,535)
Denominator:
Weighted average shares—basic and diluted	182,963		196,366		179,235		192,896
Net loss per share attributable to common stockholders—basic and diluted	$	(1.15)	$	(1.23)	$	(2.38)	$	(3.56)

The potential shares of common stock that were excluded from the computation of diluted net loss per share attributable to common stockholders for the periods presented because including them would have been antidilutive are as follows:


	Three and Nine Months Ended April 30,
	2019	2020

	(in thousands)
Outstanding stock options and RSUs	32,338	32,525
Employee stock purchase plan	1,657	4,472
Contingently issuable shares pursuant to business combinations	748	506
Common stock subject to repurchase	6	—
Common stock warrants	34	34
Total	34,783	37,537

SEGMENT INFORMATION

9 Months Ended

Apr. 30, 2020

Segment Reporting [Abstract]

SEGMENT INFORMATION

Our chief operating decision maker is a group which is comprised of our Chief Executive Officer and Chief Financial Officer. This group reviews financial information presented on a consolidated basis for purposes of allocating resources and evaluating financial performance. Accordingly, we have a single reportable segment.

The following table sets forth revenue by geographic location based on bill-to location:


	Three Months Ended April 30,						Nine Months Ended April 30,
	2019		2020		2019		2020

	(in thousands)
U.S.	$	158,263	$	166,780	$	519,923	$	533,919
Asia Pacific	66,105		65,726		205,115		196,851
Europe, the Middle East and Africa	52,853		71,907		177,260		204,301
Other Americas	10,403		13,860		33,969		44,737
Total revenue	$	287,624	$	318,273	$	936,267	$	979,808

As of July 31, 2019 and April 30, 2020, $161.9 million and $146.8 million, respectively, of our long-lived assets, net were located in the United States.

OVERVIEW AND BASIS OF PRESENTATION (Policies)	9 Months Ended
OVERVIEW AND BASIS OF PRESENTATION (Policies)	Apr. 30, 2020
Accounting Policies [Abstract]
Principles of Consolidation and Significant Accounting Policies	Principles of Consolidation and Significant Accounting Policies The accompanying condensed consolidated financial statements, which include the accounts of Nutanix, Inc. and its wholly-owned subsidiaries, have been prepared in conformity with accounting principles generally accepted in the United States ("U.S. GAAP") and are consistent in all material respects with those included in our Annual Report on Form 10-K for the fiscal year ended July 31, 2019, filed with the Securities and Exchange Commission ("SEC") on September 24, 2019. All intercompany accounts and transactions have been eliminated in consolidation. The condensed consolidated financial statements are unaudited, but include all adjustments of a normal recurring nature necessary for a fair presentation of our quarterly results. The condensed consolidated balance sheet as of July 31, 2019 is derived from audited financial statements, however, it does not include all of the information and footnotes required by U.S. GAAP for complete financial statements. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes in our Annual Report on Form 10-K for the fiscal year ended July 31, 2019, which was filed with the SEC on September 24, 2019.
Use of Estimates	Use of Estimates The preparation of interim condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Such management estimates and assumptions include, but are not limited to, the best estimate of selling prices for products and related support; useful lives and recoverability of intangible assets and property and equipment; allowance for doubtful accounts; determination of fair value of stock-based awards; accounting for income taxes, including the valuation allowance on deferred tax assets and uncertain tax positions; warranty liability; purchase commitment liabilities to our contract manufacturers and OEMs; sales commissions expense and the period of benefit for deferred commissions; whether an arrangement is or contains a lease; the incremental borrowing rate to measure the present value of operating right-of-use assets and lease liabilities; and contingencies and litigation. Management evaluates these estimates and assumptions on an ongoing basis using historical experience and other factors and makes adjustments when facts and circumstances dictate. As future events and their effects cannot be determined with precision, actual results could materially differ from those estimates and assumptions. In response to the ongoing and rapidly evolving global outbreak of a respiratory illness caused by a novel strain of the coronavirus that was identified in late 2019 and subsequently named in February 2020 by the World Health Organization as COVID-19 (collectively with any future mutations or related strains thereof, "COVID-19"), we considered the impact of the estimated economic implications on our critical and significant accounting estimates, including assessment of collectibility of customer contracts, valuation of accounts receivable, provision for purchase commitments to our contract manufacturers and OEMs and impairment of long-lived assets, right-of-use assets, and deferred commissions.
Concentration Risk	Concentration of RiskConcentration of revenue and accounts receivable—We sell our products primarily through our Partners and occasionally directly to end customers. For the three and nine months ended April 30, 2019 and 2020, no end customer accounted for more than 10% of total revenue or accounts receivable.
Recently Issued and Adopted Accounting Pronouncements	Recently Adopted Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (the "FASB") issued Accounting Standards Update ("ASU") 2016-02, Leases ("ASC 842"), which requires the recognition of ROU assets and lease liabilities on the condensed consolidated balance sheets and additional disclosures around key information about leasing arrangements. We adopted the standard effective August 1, 2019, using a modified retrospective transition method. As a result, our consolidated balance sheet as of July 31, 2019 was not restated and continues to be reported under the previous lease standard ("ASC 840"), and is therefore not comparative. We elected the package of practical expedients permitted under the transition guidance, which allowed us to not reassess whether existing arrangements contain leases, not reassess lease classification and not reassess initial direct costs. The standard had a material impact on our condensed consolidated balance sheet, but did not have an impact on our condensed consolidated statement of operations or cash flows. The most significant impact was the recognition of ROU assets and lease liabilities for operating leases. We recognized ROU assets and lease liabilities of $120.2 million and $142.1 million, respectively, on our condensed consolidated balance sheet on August 1, 2019, which included reclassifying lease incentives, prepaid rent and deferred rent as components of the ROU asset. Refer to Note 6 for additional details. We determine if an arrangement is or contains a lease at inception by evaluating various factors, including whether a vendor’s right to substitute an identified asset is substantive. Lease classification is determined at the lease commencement date when the leased assets are made available for our use. Operating leases are included in operating lease right-of-use assets, operating lease liabilities—current and operating lease liabilities—non-current in our condensed consolidated balance sheet as of April 30, 2020. We did not have any material financing leases in the periods presented. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make payments arising from the lease. Operating lease ROU assets and liabilities are recognized at the lease commencement date based on the present value of lease payments over the lease term. The difference between the total ROU assets and total lease liabilities recorded as of August 1, 2019 is due primarily to the derecognition of deferred rent liabilities that were included in accrued expenses and other current liabilities and other liabilities—non-current in our consolidated balance sheet as of July 31, 2019. The operating lease ROU asset also includes any lease payments made prior to commencement date and excludes lease incentives. Lease payments consist primarily of fixed payments under the arrangement, less any lease incentives, such as rent holidays. Variable lease payments not dependent on an index or a rate are expensed as incurred and are not included within the ROU asset and lease liability calculation. Variable lease payments primarily include reimbursements of costs incurred by lessors for common area maintenance, property taxes and utilities. We use an estimate of our incremental borrowing rate ("IBR") based on the information available at the lease commencement date in determining the present value of lease payments, unless the implicit rate is readily determinable. In determining the appropriate IBR, we consider information including, but not limited to, our credit rating, the lease term and the currency in which the arrangement is denominated. For leases which commenced prior to our adoption of ASC 842, we used the IBR as of August 1, 2019. Our lease terms may include renewal options, which are not included in the lease terms for calculating our lease liability, as we are not reasonably certain that we will exercise these renewal options at the time of the lease commencement. Lease costs are recognized on a straight-line basis as operating expenses within our condensed consolidated statements of operations. We present lease payments within cash flows from operations within the condensed consolidated statements of cash flows. For our operating leases, we elected to account for lease and non-lease components as a single lease component. Additionally, we do not record leases on the condensed consolidated balance sheet that have a lease term of 12 months or less at the lease commencement date. In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income, which provides companies with an option to reclassify stranded tax effects resulting from the enactment of the Tax Cuts and Jobs Act ("TCJA") from accumulated other comprehensive income to retained earnings. We adopted the new standard effective August 1, 2019 and the adoption had no impact on our condensed consolidated financial statements. In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes, which simplifies the accounting for income taxes by removing certain exceptions to the general principles in Topic 740 and clarify and amend existing guidance. The new standard is effective for fiscal years beginning after December 15, 2020, with early adoption permitted, including interim reporting periods within those fiscal years. We early adopted the new standard effective November 1, 2019 and the adoption had no impact in our condensed consolidated financial statements. Recently Issued and Not Yet Adopted Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which requires the measurement and recognition of expected credit losses for financial assets held at amortized cost, including trade receivables. ASU 2016-13 replaces the existing incurred loss impairment model with an expected loss model that requires the use of forward-looking information to calculate credit loss estimates. It also eliminates the concept of other-than-temporary impairment and requires credit losses related to available-for-sale debt securities to be recorded through an allowance for credit losses rather than as a reduction in the amortized cost basis of the securities. The new standard is effective for fiscal years beginning after December 15, 2019, with early adoption permitted, including interim reporting periods within those fiscal years. ASU 2016-13 is effective for us in the first quarter of fiscal 2021. We do not expect the adoption of this new standard to have a material impact on our consolidated financial statements and related disclosures. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement, which eliminates, adds and modifies certain disclosure requirements for fair value measurements as part of the FASB's disclosure framework project. The new standard is effective for fiscal years beginning after December 15, 2019, with early adoption permitted, including interim reporting periods within those fiscal years. ASU 2018-13 is effective for us in the first quarter of fiscal 2021. We do not expect the adoption of this new standard to have a material impact on our quarterly or annual disclosures.
Revenue Recognition	We generate revenue primarily from the sale of our enterprise cloud platform, which can be delivered pre-installed on an appliance that is configured to order or delivered separately to be utilized on a variety of certified hardware platforms. Software can be delivered separately or on a configured-to-order appliance. When the software is not portable to other appliances, it generally has a term equal to the life of the associated appliance, while subscription term-based licenses typically have a term of one to five years. Configured-to-order appliances, including our Nutanix-branded NX hardware line, are typically sold through Partners and can be purchased from one of our OEMs or directly from Nutanix. Our enterprise cloud platform is typically purchased with one or more years of support and entitlements, which includes the right to software upgrades and enhancements as well as technical support. A substantial portion of sales are made through channel partners and OEM relationships.

OVERVIEW AND BASIS OF PRESENTATION (Tables)

9 Months Ended

Apr. 30, 2020

Accounting Policies [Abstract]

Schedules of Concentration of Revenue and Accounts Receivable

For each significant Partner, revenue as a percentage of total revenue and accounts receivable as a percentage of total accounts receivable, net are as follows:


	Revenue												Accounts Receivable as of
	Three Months Ended April 30,						Nine Months Ended April 30,
Partners	2019		2020		2019		2020		July 31, 2019		April 30, 2020
Partner A	26	%	29	%	23	%	29	%	27	%	26	%
Partner B	13	%	14	%	12	%	14	%	18	%	13	%
Partner C	⁽¹⁾		⁽¹⁾		⁽¹⁾		⁽¹⁾		⁽¹⁾		10	%
Partner D	⁽¹⁾		⁽¹⁾		10	%	⁽¹⁾		⁽¹⁾		⁽¹⁾
Partner E	10	%	⁽¹⁾		11	%	⁽¹⁾		⁽¹⁾		⁽¹⁾

(1)Less than 10%

REVENUE, DEFERRED REVENUE AND DEFERRED COMMISSIONS (Tables)

9 Months Ended

Apr. 30, 2020

Revenue Recognition and Deferred Revenue [Abstract]

Revenue by Arrangement, Disclosure

The following table depicts the disaggregation of revenue by revenue type, consistent with how we evaluate our financial performance:


	Three Months Ended April 30,						Nine Months Ended April 30,
	2019		2020		2019		2020

	(in thousands)
Subscription	$	168,447	$	260,963	$	452,779	$	745,403
Non-portable software	88,719		41,917		366,910		178,619
Hardware	21,853		3,786		92,319		22,052
Professional services	8,605		11,607		24,259		33,734
Total revenue	$	287,624	$	318,273	$	936,267	$	979,808

Deferred Revenue, by Arrangement, Disclosure

Significant changes in the balance of deferred revenue (contract liability) and deferred commissions (contract asset) for the periods presented are as follows:


	Deferred Revenue		Deferred Commissions

	(in thousands)
Balance as of July 31, 2019	$	910,044	$	153,712
Additions	187,554		57,846
Revenue/commissions recognized	(122,324)		(39,533)
Balance as of October 31, 2019	975,274		172,025
Additions	214,530		62,790
Revenue/commissions recognized	(133,220)		(45,681)
Balance as of January 31, 2020	1,056,584		189,134
Additions	202,993		54,214
Revenue/commissions recognized	(137,517)		(42,573)
Balance as of April 30, 2020	$	1,122,060	$	200,775

FAIR VALUE MEASUREMENTS (Tables)

9 Months Ended

Apr. 30, 2020

Fair Value Disclosures [Abstract]

Schedule of Financial Assets and Liabilities Measured on Recurring Basis

The fair value of our financial assets and liabilities measured on a recurring basis is as follows:


	As of July 31, 2019
	Level I		Level II		Level III		Total

	(in thousands)
Financial Assets:
Cash equivalents:
Money market funds	$	33,156	$	—	$	—	$	33,156
Commercial paper	—		103,029		—		103,029
U.S. government securities	—		119,933		—		119,933
Corporate bonds	—		9,996		—		9,996
Short-term investments:
Corporate bonds	—		354,549		—		354,549
Commercial paper	—		92,851		—		92,851
U.S. government securities	—		64,756		—		64,756
Total measured at fair value	$	33,156	$	745,114	$	—	$	778,270
Cash							130,564
Total cash, cash equivalents and short-term investments							$	908,834


	As of April 30, 2020
	Level I		Level II		Level III		Total

	(in thousands)
Financial Assets:
Cash equivalents:
Money market funds	$	100,550	$	—	$	—	$	100,550
Commercial paper	—		10,992		—		10,992


Short-term investments:
Corporate bonds	—		370,210		—		370,210
Commercial paper	—		46,375		—		46,375
U.S. government securities	—		53,221		—		53,221
Total measured at fair value	$	100,550	$	480,798	$	—	$	581,348
Cash							150,789
Total cash, cash equivalents and short-term investments							$	732,137

The carrying values and estimated fair values of financial instruments not recorded at fair value are as follows:


	As of July 31, 2019						As of April 30, 2020
	Carrying Value		Estimated Fair Value		Carrying Value		Estimated Fair Value

	(in thousands)
Convertible senior notes, net	$	458,910	$	527,275	$	482,200	$	495,938

BALANCE SHEET COMPONENTS (Tables)

9 Months Ended

Apr. 30, 2020

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of Investments in Marketable Debt Securities, by Contractual Maturity Date

The following table summarizes the estimated fair value of our investments in marketable debt securities by their contractual maturity dates:


	As of April 30, 2020
	(in thousands)
Due within one year	$	332,705
Due in one to two years	137,101
Total	$	469,806

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure

Prepaid expenses and other current assets consists of the following:


	As of
	July 31, 2019		April 30, 2020

	(in thousands)
Prepaid operating expenses	$	37,864	$	32,355
VAT receivables	5,068		8,181
Tenant improvement allowance receivables	—		8,056
Prepaid income taxes	19,690		1,477
Other current assets	12,043		13,120
Total prepaid expenses and other current assets	$	74,665	$	63,189

Schedule of Property, Plant and Equipment

Property and Equipment, Net

Property and equipment, net consists of the following:


	Estimated Useful Life	As of
				July 31, 2019			April 30, 2020

	(in months)	(in thousands)
Computer, production, engineering and other equipment	36	$	200,762		$	235,429
Demonstration units	12	59,981			66,149
Leasehold improvements	⁽¹⁾	46,520			65,056
Furniture and fixtures	60	12,868			16,386
Total property and equipment, gross		320,131			383,020
Less: accumulated depreciation ⁽²⁾		(183,169)			(233,332)
Total property and equipment, net		$	136,962		$	149,688

(1)Leasehold improvements are amortized over the shorter of the estimated useful lives of the improvements or the remaining lease term.

Schedule of Finite-Lived Intangible Assets

Intangible assets, net consists of the following:


	As of
	July 31, 2019		April 30, 2020

	(in thousands)
Developed technology	$	79,300	$	79,300
Customer relationships	8,860		8,860
Trade name	4,170		4,170
Total intangible assets, gross	92,330		92,330
Less:
Accumulated amortization of developed technology	(21,210)		(32,293)
Accumulated amortization of customer relationships	(3,392)		(4,562)
Accumulated amortization of trade name	(955)		(1,737)
Total accumulated amortization	(25,557)		(38,592)
Total intangible assets, net	$	66,773	$	53,738

Schedule of Indefinite-Lived Intangible Assets

Intangible assets, net consists of the following:


	As of
	July 31, 2019		April 30, 2020

	(in thousands)
Developed technology	$	79,300	$	79,300
Customer relationships	8,860		8,860
Trade name	4,170		4,170
Total intangible assets, gross	92,330		92,330
Less:
Accumulated amortization of developed technology	(21,210)		(32,293)
Accumulated amortization of customer relationships	(3,392)		(4,562)
Accumulated amortization of trade name	(955)		(1,737)
Total accumulated amortization	(25,557)		(38,592)
Total intangible assets, net	$	66,773	$	53,738

Schedule of Finite-Lived Intangible Assets, Future Amortization Expense

The estimated future amortization expense of our intangible assets is as follows:


Fiscal Year Ending July 31:	Amount
	(in thousands)
2020 (remaining three months)	$	4,345
2021	17,380
2022	16,183
2023	10,856
2024	3,210
Thereafter	1,764
Total	$	53,738

Schedule of Accrued Liabilities

Accrued Compensation and Benefits

Accrued compensation and benefits consists of the following:


	As of
	July 31, 2019		April 30, 2020

	(in thousands)
Accrued commissions	$	31,703	$	28,603
Accrued vacation	15,475		21,424
Payroll taxes payable	8,504		9,490
Contributions to ESPP withheld	20,778		6,608
Accrued bonus	11,413		3,435
Other	11,931		16,081
Total accrued compensation and benefits	$	99,804	$	85,641

CONVERTIBLE SENIOR NOTES (Tables)

9 Months Ended

Apr. 30, 2020

Debt Disclosure [Abstract]

Net Proceeds from Notes

The total net proceeds from the Notes are as follows:


	Amount
	(in thousands)
Principal amount	$	575,000
Less: initial purchasers' discount	(10,781)
Less: cost of the bond hedges	(143,175)
Add: proceeds from the sale of warrants	87,975
Less: other issuance costs	(707)
Net proceeds	$	508,312

Components of Notes

The Notes consisted of the following:


	As of
	July 31, 2019		April 30, 2020

	(in thousands)
Principal amounts:
Principal	$	575,000	$	575,000
Unamortized debt discount ⁽¹⁾	(109,956)		(87,897)
Unamortized debt issuance costs ⁽¹⁾	(6,134)		(4,903)
Net carrying amount	$	458,910	$	482,200
Carrying amount of equity component ⁽²⁾	$	148,598	$	148,598

(2)Included in the condensed consolidated balance sheets within additional paid-in capital, net of $3.0 million in equity issuance costs.

Interest Expense Recognized

The following table sets forth the total interest expense recognized related to the Notes:


	Three Months Ended April 30,						Nine Months Ended April 30,
	2019		2020		2019		2020

	(in thousands)
Interest expense related to amortization of debt discount	$	6,997	$	7,475	$	20,650	$	22,059
Interest expense related to amortization of debt issuance costs	390		417		1,152		1,231
Total interest expense	$	7,387	$	7,892	$	21,802	$	23,290

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.22)
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=114775744&loc=d3e28541-108399

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=109259400&loc=d3e21506-112644

Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(e),(f))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=114775744&loc=d3e28551-108399

Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=109259400&loc=d3e21521-112644

Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=109259400&loc=d3e21538-112644

Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 942
-SubTopic 470
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=75038535&loc=d3e64711-112823

Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 55
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=114775985&loc=d3e28878-108400

Reference 10: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=109259400&loc=d3e21475-112644

+ Details

LEASES (Tables)

9 Months Ended

Apr. 30, 2020

Leases [Abstract]

Assets and Liabilities, Lessee

Supplemental balance sheet information related to leases is as follows:


	As of April 30, 2020
	(in thousands)
Operating leases:
Operating lease right-of-use assets, gross	$	154,689

Accumulated amortization	(22,170)
Operating lease right-of-use assets, net	$	132,519

Operating lease liabilities—current	$	34,371
Operating lease liabilities—non-current	123,470
Total operating lease liabilities	$	157,841

Weighted average remaining lease term (in years):	4.0
Weighted average discount rate:	5.3		%

Lease, Cost

Supplemental cash flow and other information related to leases is as follows:


	Nine Months Ended April 30, 2020
	(in thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	30,593

Lease liabilities arising from obtaining right-of-use assets:
Operating leases	$	41,888

Lessee, Operating Lease, Liability, Maturity

The undiscounted cash flows for our operating lease liabilities as of April 30, 2020 were as follows:


Fiscal Year Ending July 31:	Amount
	(in thousands)
2020 (remaining three months)	$	9,713
2021	44,225
2022	43,801
2023	41,987
2024	29,952
Thereafter	7,931
Total lease payments	177,609
Less: imputed interest	(19,768)
Total lease obligation	157,841
Less: current lease obligations	(34,371)
Long-term lease obligations	$	123,470

Schedule of Future Minimum Rental Payments for Operating Leases


Fiscal Year Ending July 31:	Amount
	(in thousands)
2020	$	39,540
2021	41,909
2022	41,332
2023	40,695
2024	30,240
Thereafter	3,511
Total	$	197,227

EQUITY AWARD PLANS (Tables)

9 Months Ended

Apr. 30, 2020

Share-based Payment Arrangement [Abstract]

Schedule of RSUs Activity

Below is a summary of RSU activity, including MSUs, under the Stock Plans:


	Number of Shares	Grant Date Fair Value per Share
	(in thousands)
Outstanding at July 31, 2019	22,136	$	36.72
Granted	12,598	$	27.66
Released	(6,578)	$	33.94
Forfeited	(3,337)	$	34.63
Outstanding at April 30, 2020	24,819	$	33.26

Schedule of ESPP Valuation Assumptions

We use the Black-Scholes option pricing model to determine the fair value of shares purchased under the 2016 ESPP with the following weighted average assumptions on the date of grant:


	Nine Months Ended April 30,
	2019		2020
Expected term (in years)	0.84		0.92
Risk-free interest rate	2.5	%	0.1	%
Volatility	69.0	%	73.4	%
Dividend yield	—	%	—	%

Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs

Total stock-based compensation expense recognized in the condensed consolidated statements of operations is as follows:


	Three Months Ended April 30,						Nine Months Ended April 30,
	2019		2020		2019		2020

	(in thousands)
Cost of revenue:
Product	$	953	$	1,367	$	2,523	$	3,937
Support, entitlements and other services	4,542		5,959		11,072		15,850
Sales and marketing	35,257		33,177		81,325		92,137
Research and development	42,265		39,462		107,953		113,484
General and administrative	11,815		12,131		30,449		33,729
Total stock-based compensation expense	$	94,832	$	92,096	$	233,322	$	259,137

NET LOSS PER SHARE (Tables)

9 Months Ended

Apr. 30, 2020

Earnings Per Share [Abstract]

Schedule of Basic and Diluted Net Loss Per Share

The computation of basic and diluted net loss per share attributable to Class A and Class B common stockholders is as follows:


	Three Months Ended April 30,						Nine Months Ended April 30,
	2019		2020		2019		2020

	(in thousands, except per share data)
Numerator:
Net loss	$	(209,813)	$	(240,671)	$	(426,841)	$	(687,535)
Denominator:
Weighted average shares—basic and diluted	182,963		196,366		179,235		192,896
Net loss per share attributable to common stockholders—basic and diluted	$	(1.15)	$	(1.23)	$	(2.38)	$	(3.56)

Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share


	Three and Nine Months Ended April 30,
	2019	2020

	(in thousands)
Outstanding stock options and RSUs	32,338	32,525
Employee stock purchase plan	1,657	4,472
Contingently issuable shares pursuant to business combinations	748	506
Common stock subject to repurchase	6	—
Common stock warrants	34	34
Total	34,783	37,537

SEGMENT INFORMATION (Tables)

9 Months Ended

Apr. 30, 2020

Segment Reporting [Abstract]

Schedule of Revenue by Geographic Area

The following table sets forth revenue by geographic location based on bill-to location:


	Three Months Ended April 30,						Nine Months Ended April 30,
	2019		2020		2019		2020

	(in thousands)
U.S.	$	158,263	$	166,780	$	519,923	$	533,919
Asia Pacific	66,105		65,726		205,115		196,851
Europe, the Middle East and Africa	52,853		71,907		177,260		204,301
Other Americas	10,403		13,860		33,969		44,737
Total revenue	$	287,624	$	318,273	$	936,267	$	979,808

OVERVIEW AND BASIS OF PRESENTATION (Details) - USD ($)
$ in Thousands

3 Months Ended

9 Months Ended

12 Months Ended

Apr. 30, 2020

Apr. 30, 2019

Apr. 30, 2020

Apr. 30, 2019

Jul. 31, 2019

Aug. 01, 2019

Concentration Risk [Line Items]

Operating lease right-of-use assets

^[1]

$ 132,519

$ 0

Operating lease, liability

$ 157,841

Accounting Standards Update 2016-02

Concentration Risk [Line Items]

Operating lease right-of-use assets

$ 120,200

Operating lease, liability

$ 142,100

Partner Concentration Risk | Revenue | Partner A

Concentration Risk [Line Items]

Concentration risk percentage

29.00%

26.00%

29.00%

23.00%

Partner Concentration Risk | Revenue | Partner B

Concentration Risk [Line Items]

Concentration risk percentage

14.00%

13.00%

14.00%

12.00%

Partner Concentration Risk | Revenue | Partner D

Concentration Risk [Line Items]

Concentration risk percentage

10.00%

Partner Concentration Risk | Revenue | Partner E

Concentration Risk [Line Items]

Concentration risk percentage

10.00%

11.00%

Partner Concentration Risk | Accounts Receivable | Partner A

Concentration Risk [Line Items]

Concentration risk percentage

26.00%

27.00%

Partner Concentration Risk | Accounts Receivable | Partner B

Concentration Risk [Line Items]

Concentration risk percentage

13.00%

18.00%

Partner Concentration Risk | Accounts Receivable | Partner C

Concentration Risk [Line Items]

Concentration risk percentage

10.00%

[1]

REVENUE, DEFERRED REVENUE AND DEFERRED COMMISSIONS - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2020	Apr. 30, 2019
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Total revenue	$ 318,273	$ 287,624	$ 979,808	$ 936,267
Revenue recognized, amount deferred in prior period	125,100	89,800	293,400	216,300
Subscription
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Total revenue	260,963	168,447	745,403	452,779
Subscription and Circulation, Software
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Total revenue	131,800	72,300	377,500	183,100
Subscription and Circulation, Software Entitlement and Support Subscription [Member]
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Total revenue	$ 129,200	$ 96,100	$ 367,900	$ 269,700
Minimum
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Software, license term			1 year
Maximum
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Software, license term			5 years

REVENUE, DEFERRED REVENUE AND DEFERRED COMMISSIONS - Schedule of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2020	Apr. 30, 2019
Condensed Income Statements, Captions [Line Items]
Total revenue	$ 318,273	$ 287,624	$ 979,808	$ 936,267
Subscription
Condensed Income Statements, Captions [Line Items]
Total revenue	260,963	168,447	745,403	452,779
Software
Condensed Income Statements, Captions [Line Items]
Total revenue	41,917	88,719	178,619	366,910
Hardware
Condensed Income Statements, Captions [Line Items]
Total revenue	3,786	21,853	22,052	92,319
Professional Services
Condensed Income Statements, Captions [Line Items]
Total revenue	11,607	8,605	33,734	24,259
Accounting Standards Update 2014-09
Condensed Income Statements, Captions [Line Items]
Total revenue	$ 318,273	$ 287,624	$ 979,808	$ 936,267

REVENUE, DEFERRED REVENUE AND DEFERRED COMMISSIONS - Deferred Revenue/Commissions (Details) - USD ($) $ in Thousands	3 Months Ended				9 Months Ended
	Apr. 30, 2020	Jan. 31, 2020	Oct. 31, 2019	Apr. 30, 2019	Apr. 30, 2020	Apr. 30, 2019
Movement in Deferred Revenue [Roll Forward]
Deferred revenue, beginning balance	$ 1,056,584	$ 975,274	$ 910,044		$ 910,044
Additions	202,993	214,530	187,554
Revenue recognized	(137,517)	(133,220)	(122,324)
Deferred revenue, ending balance	1,122,060	1,056,584	975,274		1,122,060
Movement in Deferred Commissions [Roll Forward]
Deferred commissions, beginning balance	189,134	172,025	153,712		153,712
Additions	54,214	62,790	57,846
Commissions recognized	(42,573)	(45,681)	(39,533)
Deferred commissions, ending balance	200,775	$ 189,134	$ 172,025		200,775
Revenue recognized, amount deferred in prior period	125,100			$ 89,800	293,400	$ 216,300
Contracted revenue not recognized	$ 1,133,600				$ 1,133,600
Percent expected to be recognized in next year	45.00%				45.00%

FAIR VALUE MEASUREMENTS - Fair Value of Financial Assets and Liabilities (Details) - USD ($) $ in Thousands	Apr. 30, 2020	Jul. 31, 2019
Financial Assets:
Short-term investments:	$ 469,806	$ 512,156
Recurring
Financial Assets:
Total measured at fair value	581,348	778,270
Cash	150,789	130,564
Total cash, cash equivalents and short-term investments	732,137	908,834
Recurring \| Corporate bonds
Financial Assets:
Short-term investments:	370,210	354,549
Recurring \| Commercial paper
Financial Assets:
Short-term investments:	46,375	92,851
Recurring \| U.S. government securities
Financial Assets:
Short-term investments:	53,221	64,756
Recurring \| Money market funds
Financial Assets:
Cash equivalents:	100,550	33,156
Recurring \| Commercial paper
Financial Assets:
Cash equivalents:	10,992	103,029
Recurring \| U.S. government securities
Financial Assets:
Cash equivalents:		119,933
Recurring \| Corporate bonds
Financial Assets:
Cash equivalents:		9,996
Recurring \| Level I
Financial Assets:
Total measured at fair value	100,550	33,156
Recurring \| Level I \| Corporate bonds
Financial Assets:
Short-term investments:	0	0
Recurring \| Level I \| Commercial paper
Financial Assets:
Short-term investments:	0	0
Recurring \| Level I \| U.S. government securities
Financial Assets:
Short-term investments:	0	0
Recurring \| Level I \| Money market funds
Financial Assets:
Cash equivalents:	100,550	33,156
Recurring \| Level I \| Commercial paper
Financial Assets:
Cash equivalents:	0	0
Recurring \| Level I \| U.S. government securities
Financial Assets:
Cash equivalents:		0
Recurring \| Level I \| Corporate bonds
Financial Assets:
Cash equivalents:		0
Recurring \| Level II
Financial Assets:
Total measured at fair value	480,798	745,114
Recurring \| Level II \| Corporate bonds
Financial Assets:
Short-term investments:	370,210	354,549
Recurring \| Level II \| Commercial paper
Financial Assets:
Short-term investments:	46,375	92,851
Recurring \| Level II \| U.S. government securities
Financial Assets:
Short-term investments:	53,221	64,756
Recurring \| Level II \| Money market funds
Financial Assets:
Cash equivalents:	0	0
Recurring \| Level II \| Commercial paper
Financial Assets:
Cash equivalents:	10,992	103,029
Recurring \| Level II \| U.S. government securities
Financial Assets:
Cash equivalents:		119,933
Recurring \| Level II \| Corporate bonds
Financial Assets:
Cash equivalents:		9,996
Recurring \| Level III
Financial Assets:
Total measured at fair value	0	0
Recurring \| Level III \| Corporate bonds
Financial Assets:
Short-term investments:	0	0
Recurring \| Level III \| Commercial paper
Financial Assets:
Short-term investments:	0	0
Recurring \| Level III \| U.S. government securities
Financial Assets:
Short-term investments:	0	0
Recurring \| Level III \| Money market funds
Financial Assets:
Cash equivalents:	0	0
Recurring \| Level III \| Commercial paper
Financial Assets:
Cash equivalents:	$ 0	0
Recurring \| Level III \| U.S. government securities
Financial Assets:
Cash equivalents:		0
Recurring \| Level III \| Corporate bonds
Financial Assets:
Cash equivalents:		$ 0

FAIR VALUE MEASUREMENTS - Non-recurring Basis (Details) - USD ($) $ in Thousands	Apr. 30, 2020	Jul. 31, 2019
Convertible Debt
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Unamortized discount	$ (87,897)	$ (109,956)
Unamortized debt issuance cost	(4,903)	(6,134)
Reported Value Measurement \| Fair Value, Measurements, Nonrecurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Convertible senior notes, net	482,200	458,910
Estimate of Fair Value Measurement \| Fair Value, Measurements, Nonrecurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Convertible senior notes, net	$ 495,938	$ 527,275

BALANCE SHEET COMPONENTS - Short-Term Investments (Details) - USD ($) $ in Thousands	Apr. 30, 2020	Jul. 31, 2019
Debt Securities, Available-for-sale, Maturity, Fair Value, Rolling Maturity [Abstract]
Due within one year	$ 332,705
Due in one to two years	137,101
Total	$ 469,806	$ 512,156

BALANCE SHEET COMPONENTS - Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands	Apr. 30, 2020	Jan. 31, 2020	Jul. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Prepaid operating expenses	$ 32,355		$ 37,864
VAT receivables	8,181		5,068
Tenant improvement allowance receivables	8,056		0
Prepaid income taxes	1,477		19,690
Other current assets	13,120		12,043
Total prepaid expenses and other current assets	$ 63,189		$ 74,665
Income taxes receivable		$ 18,000

BALANCE SHEET COMPONENTS - Property, Plant and Equipment (Details) - USD ($) $ in Thousands	3 Months Ended			9 Months Ended
	Apr. 30, 2020	Jan. 31, 2020	Apr. 30, 2019	Apr. 30, 2020	Apr. 30, 2019	Jul. 31, 2019
Property, Plant and Equipment [Line Items]
Total property and equipment, gross	$ 383,020			$ 383,020		$ 320,131
Less: accumulated depreciation	(233,332)			(233,332)		(183,169)
Total property and equipment, net	149,688			149,688		136,962
Impairment of leasehold		$ 1,200
Depreciation and amortization				69,715	$ 55,740
Property, Plant and Equipment
Property, Plant and Equipment [Line Items]
Depreciation and amortization	19,800		$ 16,400	$ 56,700	$ 43,300
Computer, production, engineering and other equipment
Property, Plant and Equipment [Line Items]
Estimated Useful Life				36 months
Total property and equipment, gross	235,429			$ 235,429		200,762
Demonstration units
Property, Plant and Equipment [Line Items]
Estimated Useful Life				12 months
Total property and equipment, gross	66,149			$ 66,149		59,981
Leasehold improvements
Property, Plant and Equipment [Line Items]
Total property and equipment, gross	65,056			$ 65,056		46,520
Furniture and fixtures
Property, Plant and Equipment [Line Items]
Estimated Useful Life				60 months
Total property and equipment, gross	$ 16,386			$ 16,386		$ 12,868

BALANCE SHEET COMPONENTS - Intangible Assets (Details) - USD ($) $ in Thousands	Apr. 30, 2020	Jul. 31, 2019
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross	$ 92,330	$ 92,330
Less:
Accumulated amortization	(38,592)	(25,557)
Total intangible assets, net	53,738	66,773
Developed technology
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross	79,300	79,300
Less:
Accumulated amortization	(32,293)	(21,210)
Customer relationships
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross	8,860	8,860
Less:
Accumulated amortization	(4,562)	(3,392)
Trade Names
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross	4,170	4,170
Less:
Accumulated amortization	$ (1,737)	$ (955)

BALANCE SHEET COMPONENTS - Future Amortization Expense (Details) $ in Thousands	Apr. 30, 2020 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
2020 (remaining three months)	$ 4,345
2021	17,380
2022	16,183
2023	10,856
2024	3,210
Thereafter	1,764
Total	$ 53,738

BALANCE SHEET COMPONENTS - Accrued Compensation Benefits (Details) - USD ($) $ in Thousands	Apr. 30, 2020	Jul. 31, 2019
Employee-related Liabilities, Current [Abstract]
Accrued commissions	$ 28,603	$ 31,703
Accrued vacation	21,424	15,475
Payroll taxes payable	9,490	8,504
Contributions to ESPP withheld	6,608	20,778
Accrued bonus	3,435	11,413
Other	16,081	11,931
Total accrued compensation and benefits	$ 85,641	$ 99,804

CONVERTIBLE SENIOR NOTES - Proceeds from Notes (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended		9 Months Ended
	Jan. 31, 2018	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2020	Apr. 30, 2019	Jul. 31, 2019
Debt Instrument [Line Items]
Payments for convertible note hedges	$ (143,200)
Proceeds from issuance of warrants	88,000
Convertible Debt
Debt Instrument [Line Items]
Principal amount	575,000	$ 575,000		$ 575,000		$ 575,000
Less: initial purchasers' discount	(10,781)
Payments for convertible note hedges	(143,175)
Proceeds from issuance of warrants	87,975
Debt issuance cost, gross, noncurrent	707
Less: other issuance costs		$ (417)	$ (390)	$ (1,231)	$ (1,152)
Net proceeds	$ 508,312

CONVERTIBLE SENIOR NOTES - Additional Information (Details) $ / shares in Units, shares in Millions	1 Months Ended	9 Months Ended
	Jan. 31, 2018 USD ($) day $ / shares shares	Apr. 30, 2020 USD ($) $ / shares shares
Debt Instrument [Line Items]
Number of securities called by warrants or rights (in shares) \| shares	11.8
Payments for convertible note hedges	$ 143,200,000
Exercise price of warrants (in dollars per share) \| $ / shares	$ 73.46
Proceeds from issuance of warrants	$ 88,000,000.0
Transaction cost	$ (55,200,000)
Dilutive effect of convertible securities (in shares) \| shares		3.9
Share price threshold for dilutive effect of convertible debt (in dollars per share) \| $ / shares		$ 73.46
Dilutive effect of $10 increase in share price (in shares) \| shares		4.9
Dilutive effect of warrants (in shares) \| shares		1.4
Share price threshold for dilutive effect of warrants (in dollars per share) \| $ / shares		$ 83.46
Common Class A
Debt Instrument [Line Items]
Share price (in dollars per share) \| $ / shares		$ 20.49
Convertible Debt
Debt Instrument [Line Items]
Interest rate, stated percentage	0.00%
Face amount	$ 575,000,000.0
Convertible debt	$ 75,000,000.0
Conversion ratio	20.4705
Conversion price (in dollars per share) \| $ / shares	$ 48.85
Threshold trading days \| day	20
Threshold consecutive trading days \| day	30
Threshold percentage of stock price trigger	130.00%
Redemption price, percentage	100.00%
Carrying amount of liability component	$ 423,400,000
Carrying amount of equity component	151,600,000
Unamortized discount and debt issuance costs, net	11,500,000
Unamortized discount, net	10,781,000
Debt issuance cost, gross, noncurrent	707,000
Transaction costs attributable to liability component	8,500,000
Transaction costs attributable to equity component	3,000,000.0	$ 3,000,000.0
Debt instrument, term		32 months
Payments for convertible note hedges	143,175,000
Proceeds from issuance of warrants	$ 87,975,000
Convertible Debt \| Common Class A
Debt Instrument [Line Items]
Threshold percentage of stock price trigger	98.00%

CONVERTIBLE SENIOR NOTES - Components of Notes (Details) - USD ($) $ in Thousands	Apr. 30, 2020	Jul. 31, 2019	Jan. 31, 2018
Debt Instrument [Line Items]
Convertible senior notes, net	$ 482,200	$ 458,910
Convertible Debt
Debt Instrument [Line Items]
Principal amount	575,000	575,000	$ 575,000
Unamortized discount	(87,897)	(109,956)
Unamortized debt issuance cost	(4,903)	(6,134)
Carrying amount of the equity component	$ 148,598	$ 148,598
Effective interest rate	6.62%
Payments of offering costs	$ (3,000)		$ (3,000)

CONVERTIBLE SENIOR NOTES - Interest Expense (Details) - Convertible Debt - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2020	Apr. 30, 2019
Debt Instrument [Line Items]
Interest expense related to amortization of debt discount	$ 7,475	$ 6,997	$ 22,059	$ 20,650
Interest expense related to amortization of debt issuance costs	417	390	1,231	1,152
Total interest expense	$ 7,892	$ 7,387	$ 23,290	$ 21,802

LEASES - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended			9 Months Ended
	Apr. 30, 2020	Jan. 31, 2020	Apr. 30, 2019	Apr. 30, 2020	Apr. 30, 2019
Lessee, Lease, Description [Line Items]
Operating lease, cost	$ 10,000			$ 28,900
Operating leases, expense under topic 840			$ 9,400		$ 25,000
Impairment loss		$ 3,000		3,002	$ 0
Right-of-use asset, impairment loss		1,800
Impairment of leasehold		$ 1,200
Lease not yet commenced, undiscounted amount	$ 3,500			$ 3,500
Minimum
Lessee, Lease, Description [Line Items]
Remaining lease term				1 year
Lease not yet commenced, term of contract	2 years			2 years
Maximum
Lessee, Lease, Description [Line Items]
Remaining lease term				9 years
Lease not yet commenced, term of contract	5 years			5 years

LEASES - Supplemental Balance Sheet (Details) - USD ($)
$ in Thousands

Apr. 30, 2020

Jul. 31, 2019

Leases [Abstract]

Operating lease right-of-use assets, gross

$ 154,689

Accumulated amortization

(22,170)

Operating lease right-of-use assets, net

^[1]

132,519

$ 0

Operating lease liabilities—current

^[1]

34,371

Operating lease liabilities—non-current

^[1]

123,470

$ 0

Total operating lease liabilities

$ 157,841

Weighted average remaining lease term (in years)

4 years

Weighted average discount rate:

5.30%

[1]

LEASES - Supplemental Cash Flow and Other Information (Details) $ in Thousands	9 Months Ended
	Apr. 30, 2020 USD ($)
Leases [Abstract]
Operating cash flows from operating leases	$ 30,593
Lease liabilities arising from obtaining right-of-use assets from operating leases	$ 41,888

LEASES - Remaining Maturity Under Topic 842 (Details) - USD ($)
$ in Thousands

Apr. 30, 2020

Jul. 31, 2019

Leases [Abstract]

$ 9,713

44,225

43,801

41,987

29,952

7,931

177,609

Less: imputed interest

(19,768)

Total operating lease liabilities

157,841

Less: current lease obligations

^[1]

(34,371)

$ 0

Long-term lease obligations

^[1]

$ 123,470

$ 0

[1]

LEASES - Remaining Maturity Under Topic 840 (Details) $ in Thousands	Jul. 31, 2019 USD ($)
Leases [Abstract]
2020	$ 39,540
2021	41,909
2022	41,332
2023	40,695
2024	30,240
Thereafter	3,511
Total	$ 197,227

COMMITMENTS AND CONTINGENCIES (Details) $ in Millions	Apr. 30, 2020 USD ($)
Non-contract Vendors
Loss Contingencies [Line Items]
Purchase obligation	$ 76.9
Contract Manufacturer
Loss Contingencies [Line Items]
Purchase obligation	$ 121.5

STOCKHOLDERS’ EQUITY (Details)	Apr. 30, 2020 class vote $ / shares shares	Jul. 31, 2019 $ / shares shares
Class of Stock [Line Items]
Common stock, number of classes of stock \| class	2
Common stock, shares authorized (in shares)	1,200,000,000	1,200,000,000
Common stock, par value (in dollars per share) \| $ / shares	$ 0.000025	$ 0.000025
Common stock, shares issued (in shares)	199,526,000	188,595,000
Common stock, shares outstanding (in shares)	199,526,000	188,595,000
Common Class A
Class of Stock [Line Items]
Common stock, shares authorized (in shares)	1,000,000,000	1,000,000,000
Common stock, shares issued (in shares)	184,447,000	168,155,000
Common stock, shares outstanding (in shares)	184,447,000	168,155,000
Common stock number of votes per share \| vote	1
Common Class B
Class of Stock [Line Items]
Common stock, shares authorized (in shares)	200,000,000	200,000,000
Common stock, shares issued (in shares)	15,079,000	20,440,000
Common stock, shares outstanding (in shares)	15,079,000	20,440,000
Common stock number of votes per share \| vote	10

EQUITY AWARD PLANS - Additional Information (Details)			1 Months Ended			9 Months Ended
EQUITY AWARD PLANS - Additional Information (Details)	Dec. 13, 2019 USD ($) purchase_period shares	Aug. 01, 2019 shares	Feb. 29, 2020 $ / shares shares	Dec. 31, 2019 $ / shares shares	Oct. 31, 2018 $ / shares shares	Apr. 30, 2020 USD ($) plan $ / shares shares	Apr. 30, 2019 USD ($)	Jul. 31, 2016 shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of equity incentive plans \| plan						3
Exercises in period (in shares)						1,000,000.0
Weighted average exercise price (in dollars per share) \| $ / shares						$ 5.62
Options outstanding (in shares)						7,700,000
Outstanding options, weighted average exercise price (in dollars per share) \| $ / shares						$ 5.14
Contractual term						3 years 10 months 24 days
Options outstanding, intrinsic value \| $						$ 118,300,000
Compensation not yet recognized \| $						$ 793,200,000
Period for recognition (in years)						2 years 7 months 6 days
Proceeds from stock plans \| $						$ 56,515,000	$ 67,277,000
RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)						12,598,000
Granted (in dollars per share) \| $ / shares						$ 27.66
Released (in dollars per share) \| $ / shares						$ 33.94
Employee Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of eligible compensation (up to)	15.00%
Monetary cap \| $	$ 25,000
Share cap (in shares)	1,000
Offering period duration (in months)	12 months
Number of six-month purchase periods \| purchase_period	2
Purchase price of common stock, percent	85.00%
ESPP stock issued during period (in shares)						3,300,000
Proceeds from stock plans \| $						$ 50,600,000
Common Class A \| Employee Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares reserved for future issuance (in shares)	11,500,000
Number of additional shares authorized	9,200,000
Employee Stock Purchase Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares reserved for future issuance (in shares)						9,200,000
2016 Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares reserved for future issuance (in shares)						45,300,000
2016 Plan \| Common Class A
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares reserved for future issuance (in shares)								22,400,000
Annual increase (in shares)						18,000,000.0
Annual increase, percent of outstanding shares						5.00%
Number of additional shares authorized		9,400,000
Number of shares available for grant (in shares)						12,800,000
Market Stock Units \| RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)			75,000	200,000	100,000
Granted (in dollars per share) \| $ / shares			$ 20.80	$ 20.80	$ 25.16
Released (in dollars per share) \| $ / shares			$ 65	$ 65	$ 80
Award vesting period			3 years 10 months 24 days	4 years 6 months	4 years 6 months
Percent of awards to vest if average stock price exceeds threshold				0.06	0.06
Equity instruments outstanding (in shares)						375,000

EQUITY AWARD PLANS - RSU (Details) - RSUs - $ / shares	9 Months Ended
EQUITY AWARD PLANS - RSU (Details) - RSUs - $ / shares	Apr. 30, 2020	Jul. 31, 2019
Number of Shares
Outstanding, beginning balance (in shares)	22,136,000
Granted (in shares)	12,598,000
Released (in shares)	(6,578,000)
Canceled/forfeited (in shares)	(3,337,000)
Outstanding, ending balance (in shares)	24,819,000
Grant Date Fair Value per Share
Outstanding (in dollars per share)	$ 33.26	$ 36.72
Granted (in dollars per share)	27.66
Released (in dollars per share)	33.94
Canceled/forfeited (in dollars per share)	$ 34.63

EQUITY AWARD PLANS - ESPP (Details) - Employee Stock Purchase Plan	9 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected term (in years)	11 months 1 day	10 months 2 days
Risk-free interest rate	0.10%	2.50%
Volatility	73.40%	69.00%
Dividend yield	0.00%	0.00%

EQUITY AWARD PLANS - Stock Based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2020	Apr. 30, 2019
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 92,096	$ 94,832	$ 259,137	$ 233,322
Cost of revenue, product
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	1,367	953	3,937	2,523
Cost of revenue, support, entitlements, and other services
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	5,959	4,542	15,850	11,072
Sales and marketing
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	33,177	35,257	92,137	81,325
Research and development
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	39,462	42,265	113,484	107,953
General and administrative
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 12,131	$ 11,815	$ 33,729	$ 30,449

INCOME TAXES (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
INCOME TAXES (Details) - USD ($) $ in Thousands	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2020	Apr. 30, 2019
Income Tax Disclosure [Abstract]
Provision for income taxes	$ 4,858	$ 2,423	$ 13,423	$ 1,005
Valuation allowance release				$ 5,800

NET LOSS PER SHARE - Computation of Basic and Diluted Net Loss Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended						9 Months Ended
	Apr. 30, 2020	Jan. 31, 2020	Oct. 31, 2019	Apr. 30, 2019	Jan. 31, 2019	Oct. 31, 2018	Apr. 30, 2020	Apr. 30, 2019
Earnings Per Share [Abstract]
Net loss	$ (240,671)	$ (217,564)	$ (229,300)	$ (209,813)	$ (122,763)	$ (94,265)	$ (687,535)	$ (426,841)
Weighted-average shares used in computing net loss per share attributable to common stockholders—basic and diluted (in shares)	196,366			182,963			192,896	179,235
Net loss per share attributable to common stockholders—basic and diluted (in dollars per share)	$ (1.23)			$ (1.15)			$ (3.56)	$ (2.38)

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

NET LOSS PER SHARE - Antidilutive Securities (Details) - shares shares in Thousands	9 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	37,537	34,783
Outstanding stock options and RSUs
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	32,525	32,338
Employee stock purchase plan
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	4,472	1,657
Contingently issuable shares pursuant to business combinations
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	506	748
Common stock subject to repurchase
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	0	6
Common stock warrants
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	34	34

SEGMENT INFORMATION (Details) $ in Thousands	3 Months Ended		9 Months Ended
SEGMENT INFORMATION (Details) $ in Thousands	Apr. 30, 2020 USD ($)	Apr. 30, 2019 USD ($)	Apr. 30, 2020 USD ($) segment	Apr. 30, 2019 USD ($)	Jul. 31, 2019 USD ($)
Revenues from External Customers and Long-Lived Assets [Line Items]
Number of reportable segments \| segment			1
Total revenue	$ 318,273	$ 287,624	$ 979,808	$ 936,267
U.S.
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenue	166,780	158,263	533,919	519,923
Long-lived assets	146,800		146,800		$ 161,900
Asia Pacific
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenue	65,726	66,105	196,851	205,115
Europe, the Middle East and Africa
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenue	71,907	52,853	204,301	177,260
Other Americas
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenue	$ 13,860	$ 10,403	$ 44,737	$ 33,969