FWIW on a day like today, Micron said in their CC that both the server and the desktop businesses have been very strong since some time in May after a softer April.
Daniel Amir - Lazard Capital Markets
Thanks a lot. All my questions have been answered but can you give maybe some commentary on kind of what you're seeing a bit in terms of customers in the PC space and how or where we're standing in terms of back-to-school orders right now?
Mark Adams
Yes, thanks Dan. It is Mark again. So, we saw kind of analysts and press talking about a softer April, but openly since kind of the May timeframe, we started to see some pretty healthy indications on the back-to-school in the second half of the year. Notably, the server business has been very strong, the desktop business is very strong, and the June OEM numbers around notebooks is very strong. So, despite some concerns or questions early on in our quarter back in April, it has still been fairly strong. We feel pretty good about it.
-------------------------------------------------------------------------
Bob Gujavarty - Deutsche Bank
Great, thanks for taking my question. I thought you guys were a little bit constrained on your server shipments because of the Inotera transition. So I was a bit surprised how strong server was. Do you think server can be strong again in the coming quarter despite some slower bit growth than you'd hoped for perhaps from Inotera?
Mark Adams
Yes, this is Mark Adams again. Yes, absolutely and yes I think your comment is well founded. It’s coming out of last quarter and as I mentioned on this quarter’s call and a couple of other calls in the past, sometimes we make the choice to hold on to certain inventory products that can go into those markets, and if it happens to be over a quarter and we hold it for two weeks after the closing of the quarter, we do so for the profit and customer service rationale. So we’re in pretty good shape right now and we expect as we go through the conversions at Inotera to our stack technology that will again allow us to penetrate and grow our service here.
seekingalpha.com |
