Tom,
<<That is quite an extraordinary statement I would think. Am I missing something or is he saying that we will see some huge revenue increases over the next quarter or two.>>
When SSTI sells a piece of flash, there's a couple of ways in which it's booked. The most common mechanism is an OEM telling SST they need 20K of a particular part, SST contracting one of their fabs to burn off the wafers, SST packaging the dies, and then selling it. Kinda like a reservation. Needless to say, this takes some time.
A lot of this recent business on the other hand has been what's called "turns" business, where SST has an expectation that a particular part will be in demand, and they carry it in inventory. They book and sell the flash in the same quarter, sometimes as fast as 1-2 days. So when you see 52% in bookings, a lot of that affected this quarter's bottom line.
That's not to disparage the number, which I also believe is fairly impressive. Whether those bookings are now, or later, I think it's solid evidence that OEM inventories have burned down, and placed some pricing control back into SST's hands..
Hope this helps, docpaul |
