祥茂光電 (AAOI) 2021 Q2 法說會逐字稿

Good afternoon. My name is Chris, and I will be your conference operator. At this time, I would like to welcome everyone to Applied Optoelectronics Second Quarter 2021 Earnings Conference Call. (Operator Instructions) Please note that this call is being recorded.

午安.我叫克里斯，我將擔任您的會議操作員。在此，我歡迎大家參加應用光電2021年第二季財報電話會議。 （操作員說明）請注意，此通話正在錄音。

I would now like to turn the call over to Lindsay Savarese, Investor Relations for AOI. Ms. Savarese, you may begin.

我現在想將電話轉給 AOI 投資者關係部門的 Lindsay Savarese。薩瓦雷斯女士，您可以開始了。

Thank you. I'm Lindsay Savarese, Investor Relations for Applied Optoelectronics. And I'm pleased to welcome you to AOI's second quarter 2021 financial results conference call. After the market closed today, AOI issued a press release announcing its second quarter 2021 financial results and provided its outlook for the third quarter of 2021. The release is also available on the company's website at ao-inc.com. This call is being recorded and webcast live. A link to the recording can be found on the Investor Relations section of the AOI website and will be archived for 1 year.

謝謝。我是應用光電公司投資者關係部的林賽·薩瓦雷塞 (Lindsay Savarese)。我很高興歡迎您參加 AOI 2021 年第二季財務業績電話會議。今天收盤後，AOI 發布新聞稿，宣布 2021 年第二季財務業績，並提供 2021 年第三季展望。新聞稿也可在該公司網站 ao-inc.com 上查閱。此次通話正在錄音並進行網路直播。錄音的連結可以在 AOI 網站的投資者關係部分找到，並將存檔 1 年。

Joining us on today's call is Dr. Thompson Lin, AOI's Founder, Chairman and CEO; and Dr. Stefan Murry, AOI's Chief Financial Officer and Chief Strategy Officer. Thompson will give an overview of AOI's Q2 results, and Stefan will provide financial details and the outlook for the third quarter of 2021. A question-and-answer session will follow our prepared remarks.

參加今天電話會議的還有 AOI 創辦人、董事長兼執行長 Thompson Lin 博士；以及 AOI 財務長兼首席策略長 Stefan Murry 博士。 Thompson 將概述 AOI 第二季業績，Stefan 將提供財務詳細資訊和 2021 年第三季的前景。在我們準備好的發言之後將舉行問答環節。

Before we begin, I would like to remind you to review AOI's safe harbor statement. On today's call, management will make forward-looking statements. These forward-looking statements involve risks and uncertainties as well as assumptions and current expectations, which could cause the company's actual results to differ materially from those anticipated in such forward-looking statements. In some cases, you can identify forward-looking statements by terminology, such as believes, anticipates, estimates, intends, predicts, expects, plans, may, should, could, would, will or thinks and by other similar expressions that convey uncertainty of future events or outcomes.

在我們開始之前，我想提醒您查看 AOI 的安全港聲明。在今天的電話會議上，管理階層將發表前瞻性聲明。這些前瞻性陳述涉及風險和不確定性以及假設和當前預期，可能導致公司的實際結果與此類前瞻性陳述中的預期有重大差異。在某些情況下，您可以透過術語來識別前瞻性陳述，例如相信、預期、估計、打算、預測、預期、計劃、可能、應該、能夠、會、將或認為以及其他傳達不確定性的類似表達方式。未來的事件或結果。

Forward-looking statements also include statements regarding management's beliefs and expectations related to the expansion of the reach of our products into new markets and customer responses to our innovations as well as statements regarding the company's outlook for the third quarter of 2021. Except as required by law, we assume no obligation to update forward-looking statements for any reason after the date of this earnings call to conform these statements to actual results or to changes in the company's expectations. More information about other risks that may impact the company's business are set forth in the Risk Factors section of the company's reports on file with the SEC, including the company's annual report on Form 10-K for the year ended December 31, 2020.

前瞻性陳述還包括有關管理層對將我們的產品範圍擴展到新市場的信念和期望以及客戶對我們的創新的反應的陳述，以及有關公司 2021 年第三季度前景的陳述。除非根據法律，我們沒有義務在本次財報電話會議之後以任何理由更新前瞻性陳述，以使這些陳述符合實際結果或公司預期的變更。有關可能影響公司業務的其他風險的更多信息，請參閱公司向 SEC 提交的報告的風險因素部分，包括公司截至 2020 年 12 月 31 日的 10-K 表格年度報告。

Also, with the exception of revenue, all financials discussed today are on a non-GAAP basis, unless specifically noted otherwise. Non-GAAP financial measures are not intended to be considered in isolation or as a substitute for results prepared in accordance with GAAP. A reconciliation between our GAAP and non-GAAP measures as well as a discussion of why we present non-GAAP financial measures are included in our earnings press release that is available on our website.

此外，除非另有特別說明，除收入外，今天討論的所有財務數據均基於非公認會計原則（Non-GAAP）。非公認會計原則財務指標不應被孤立考慮，也不能取代根據公認會計原則編制的結果。我們的 GAAP 和非 GAAP 指標之間的調整以及我們為何提出非 GAAP 財務指標的討論都包含在我們網站上的收益新聞稿中。

Before moving to the financial results, I'd like to announce that AOI management will virtually participate in one-on-one meetings at the Jefferies Semiconductor IT Hardware and Communications Infrastructure Summit on August 31. We hope to have the opportunity to interact with many of you virtually. Additionally, I'd like to note that the date of our third quarter 2021 earnings call is currently scheduled for November 4, 2021.

在公佈財務業績之前，我想宣布 AOI 管理層將以虛擬方式參加 8 月 31 日在 Jefferies 半導體 IT 硬體和通訊基礎設施高峰會上舉行的一對一會議。我們希望有機會與許多人進行互動虛擬的你。此外，我想指出的是，我們 2021 年第三季財報電話會議的日期目前定於 2021 年 11 月 4 日。

Now I'd like to turn the call over to Dr. Thompson Lin, Applied Optoelectronics' Founder, Chairman and CEO. Thompson?

現在我想把電話轉給應用光電創辦人、董事長兼執行長林湯普博士。湯普森？

Thank you, Lindsay. Thank you for joining us today. We delivered revenue and noncore EPS in line with our expectations. However, our gross margin came in slightly below our expectations, mostly due to unfavorable product mix in our CATV segment and increased costs from the component shortage we experienced in the quarter. Total revenue for the second quarter of $54.2 million decreased 16.9% compared to a strong second quarter in the prior year's but was up 9% sequentially.

謝謝你，林賽。感謝您今天加入我們。我們的營收和非核心每股盈餘符合我們的預期。然而，我們的毛利率略低於我們的預期，主要是由於我們的有線電視部門的產品組合不利以及本季組件短缺導致的成本增加。第二季總營收為 5,420 萬美元，與去年第二季的強勁表現相比下降 16.9%，但環比成長 9%。

The strong sequential growth was led by our CATV segment, which, this quarter, decreased our data center business, accounting for 51% of total revenue. The overall CATV demand environment remained strong as MSO, particular in North America, continue to upgrade their network. Total revenue for our CATV products increased more than fourfold year-over-year in Q2, and increased 48.1% sequentially of a strong fourth quarter to a record $27.6 million.

強勁的環比成長是由我們的 CATV 部門帶動的，該部門本季減少了我們的資料中心業務，佔總收入的 51%。隨著 MSO（尤其是北美的 MSO）繼續升級其網絡，整體 CATV 需求環境仍然強勁。第二季度，我們的 CATV 產品總營收年增四倍多，第四季較上季成長 48.1%，達到創紀錄的 2,760 萬美元。

As we expected, we experienced generally soft Q2 conditions in the data center segment. As a result, total revenue for our data center products of $22.4 million decreased 57.4% year-over-year and 13.7% sequentially. We are pleased to report that we secured 2 new design wins with 2 customers for our 400G products during Q2. In addition to the design wins, we had 5 technical qualifications of our 400 products, which Stefan will discuss in more detail.

正如我們預期的那樣，我們在資料中心領域經歷了第二季的普遍疲軟狀況。因此，我們資料中心產品的總收入為 2,240 萬美元，年減 57.4%，季減 13.7%。我們很高興地報告，第二季我們的 400G 產品贏得了 2 家客戶的 2 項新設計。除了設計方面的勝利外，我們的 400 種產品還獲得了 5 項技術資格，Stefan 將對此進行更詳細的討論。

We are encouraged by the traction we are seeing with our 400G products as our customers start to [create]. We expect that order will continue as our customers start to realize the benefit of the performance of our 400G solution. Based on this, we continue to expect our data center business to begin to increase in the second half of the year as our customers begin 400G upgrades and inventory issue around 100G is normalized.

隨著我們的客戶開始[創造]，我們的 400G 產品的吸引力讓我們感到鼓舞。我們預計，隨著我們的客戶開始意識到我們 400G 解決方案效能的優勢，該訂單將會繼續。基於此，我們繼續預計，隨著客戶開始400G升級以及100G左右的庫存問題常態化，我們的資料中心業務將在下半年開始成長。

Turning to our telecom segment. While we did see a real sign of recovery in Q1, we saw mixed conditions in Q2. With some customers present new order, while others continue to use existing inventory. Overall, we see market conditions in the China telecom markets as continuing to be patchy as the timing and cadence of the 5G rollout there remain somewhat opaque. As a result, revenue from our telecom products of $3.3 million was down 46% year-over-year and 25 6% sequentially.

轉向我們的電信部門。雖然我們確實在第一季看到了復甦的真正跡象，但在第二季我們看到了複雜的情況。有些客戶提出新訂單，而有些則繼續使用現有庫存。整體而言，我們認為中國電信市場的市場狀況仍然參差不齊，因為 5G 推出的時機和節奏仍然有些不透明。因此，我們的電信產品收入為 330 萬美元，年減 46%，季減 25±6%。

Looking ahead, we believe China will continue to make investments in both their 5G and fiber-to-the-home infrastructure, and we expect higher revenue in the segment in the second half of this year compared to the first half.

展望未來，我們相信中國將繼續對 5G 和光纖到戶基礎設施進行投資，預計今年下半年該領域的收入將高於上半年。

With that, I will turn the call over to Stefan to review the details of our Q2 performance and outlook for Q3. Stefan?

接下來，我將把電話轉給 Stefan，以審查我們第二季業績的詳細資訊和第三季的前景。斯特凡？

Thank you, Thompson. As Thompson mentioned, we delivered revenue and non-GAAP EPS in line with our expectations. However, our gross margin came in below our expectations, mostly due to unfavorable product mix in our CATV segment and increased costs associated with the component shortages we saw during the quarter.

謝謝你，湯普森。正如湯普森所提到的，我們的收入和非公認會計準則每股收益符合我們的預期。然而，我們的毛利率低於我們的預期，主要是由於我們的有線電視領域的產品組合不利，以及本季組件短缺導致的成本增加。

While we continue to see softness in the data center market and conditions in the China 5G market remained somewhat soft, we are pleased with the continued strength and record results we are seeing in the CATV market. And looking ahead, we are encouraged by the traction we are seeing with our 400G products, which we believe will drive growth in our data center business as order volumes ramp later in the year.

雖然我們繼續看到資料中心市場的疲軟以及中國 5G 市場的狀況仍然有些疲軟，但我們對有線電視市場的持續強勁和創紀錄的業績感到滿意。展望未來，我們對 400G 產品的吸引力感到鼓舞，我們相信隨著今年稍後訂單量的增加，這將推動我們資料中心業務的成長。

Notably, we are pleased to report that we secured 2 design wins for our 400G products during Q2. In total, for the second quarter, we secured 3 new design wins among 3 customers, all of which are existing AOI customers. All 3 of the design wins were in our data center business and 2 of the 3 were for 400G, which I'll discuss in more detail shortly.

值得注意的是，我們很高興地報告，我們的 400G 產品在第二季度獲得了 2 項設計勝利。總的來說，第二季我們在 3 位客戶中贏得了 3 個新設計，這些客戶都是現有的 AOI 客戶。所有 3 項設計勝利都在我們的資料中心業務中，其中 3 項是針對 400G 的，我將很快對此進行更詳細的討論。

Total revenue of $54.2 million decreased 16.9% compared to a strong second quarter in the prior year and was up 9% sequentially. Our Q2 revenue was in line with our guidance range of $51 million to $56 million. As we expected, the headwinds we saw in Q1 continued into the second quarter in the data center market related to the inventory normalization that followed the shift to working from home early last year. We believe these headwinds will begin to subside in the second half of the year, driven by several of our customers, who will begin to ramp 400G deployments. Additionally, we believe that inventory conditions in our 100G business will begin to normalize later in the year.

總營收為 5,420 萬美元，與去年第二季的強勁表現相比下降 16.9%，但環比成長 9%。我們第二季的收入符合 5,100 萬美元至 5,600 萬美元的指導範圍。正如我們預期的那樣，我們在資料中心市場第一季看到的不利因素持續到第二季​​度，這與去年初轉向在家工作後的庫存正常化有關。我們相信，在我們的一些客戶的推動下，這些不利因素將在今年下半年開始消退，他們將開始增加 400G 部署的力度。此外，我們相信 100G 業務的庫存狀況將在今年稍後開始正常化。

On the 400G front. As Thompson and I mentioned, we secured 2 new design wins with 2 customers for our 400G products during Q2. One of the design wins was with a data center equipment manufacturer; and the other was with a hyperscale data center operator, both are U.S.-based companies and both our existing AOI customers.

在400G方面。正如 Thompson 和我所提到的，我們在第二季為我們的 400G 產品贏得了 2 個客戶的 2 個新設計。其中一項設計勝利是與一家數據中心設備製造商合作；另一個是與超大規模資料中心營運商合作，兩者都是美國公司，也是我們現有的 AOI 客戶。

As a reminder, for AOI, a design win occurs, when we have successfully completed both the technical qualification of the product as well as received an initial order from the customer. In addition to these 2 design wins, we also have successfully completed technical qualifications on 5 other 400G opportunities. We are optimistic that many of these qualifications will become design wins in the near future once we receive orders for these products from our customers. The technical qualifications are with 2 different data center operators and a data center equipment OEM, all are U.S. based companies. We are encouraged by the traction we are seeing and expect that 400G will begin its ramp with us later in Q3.

提醒一下，對於 AOI 來說，當我們成功完成產品的技術鑑定並收到客戶的初始訂單時，設計就獲勝了。除了這 2 項設計勝利之外，我們還成功完成了其他 5 項 400G 機會的技術鑑定。我們樂觀地認為，一旦我們收到客戶的這些產品訂單，其中許多資格將在不久的將來成為設計勝利。技術資格擁有2家不同的資料中心營運商和1家資料中心設備OEM，均為美國公司。我們對所看到的勢頭感到鼓舞，並預計 400G 將在第三季晚些時候開始與我們一起升級。

In the second quarter, 51% of our revenue was from CATV products, 41% was from our data center products, with the remaining 8% from FTTH, telecom and other. In our CATV products segment, the overall demand environment remains very strong as MSOs, particularly in North America, continue to upgrade their networks.

第二季度，我們的營收51%來自CATV產品，41%來自資料中心產品，其餘8%來自FTTH、電信等。在我們的有線電視產品領域，隨著 MSO（尤其是北美的 MSO）繼續升級其網絡，整體需求環境仍然非常強勁。

We generated revenue of $27.6 million in Q2, up 48.1% sequentially and up 349% from $6.1 million in Q2 of the prior year. We are still seeing component shortages in our CATV business, and we continue to work with our suppliers to improve delivery schedules for these critical components, and in some cases, adding additional suppliers. We anticipate that these shortages will adversely affect our third quarter revenue by about $3 million.

第二季我們的營收為 2,760 萬美元，比上一季的 610 萬美元成長 48.1%，比上年第二季的 610 萬美元成長 349%。我們的有線電視業務仍面臨組件短缺的問題，我們將繼續與供應商合作，以改善這些關鍵組件的交付時間表，並在某些情況下增加更多供應商。我們預計這些短缺將對我們第三季的收入產生約 300 萬美元的不利影響。

As we work to improve our supply chain, we may continue to have longer than usual backlog for several quarters. Our Q2 data center revenue came in at $22.4 million compared with $52.5 million in the second quarter of the prior year. In the second quarter, 33% of our data center revenue was from our 40G transceiver products and 59% was from our 100G products.

隨著我們努力改善供應鏈，我們的積壓訂單可能會持續幾季比平常更長。我們第二季資料中心營收為 2,240 萬美元，而去年第二季為 5,250 萬美元。第二季度，我們資料中心營收的33%來自我們的40G收發器產品，59%來自我們的100G產品。

Turning to our Telecom segment. Revenue from our telecom products of $3.3 million decreased 25.6% sequentially, primarily driven by continued slow demand in China for 5G upgrades there and 46% from $6.2 million in Q2 of the prior year. Looking ahead, we continue to believe China will increase investments in both their 5G and FTTH infrastructure, and we believe we are well positioned to sell lasers into both of these markets.

轉向我們的電信部門。我們的電信產品營收為 330 萬美元，比上一季下降 25.6%，主要是由於中國 5G 升級需求持續緩慢，比去年第二季的 620 萬美元下降了 46%。展望未來，我們仍然相信中國將增加對其 5G 和 FTTH 基礎設施的投資，並且我們相信我們有能力向這兩個市場銷售雷射。

For the second quarter, our top 10 customers represented 86.8% of revenue, consistent with the 86.9% in Q2 of the prior year. We had 4 10% or greater customers in the second quarter, 2 of which were in the data center market and 2 of which were in the CATV market. These customers contributed 24.1%, 21.3%, 11.2% and 10.9% of total revenue, respectively.

第二季度，我們的十大客戶佔營收的 86.8%，與去年第二季的 86.9% 一致。第二季我們有 4 個 10% 或以上的客戶，其中 2 個在資料中心市場，2 個在 CATV 市場。這些客戶分別貢獻了總收入的24.1%、21.3%、11.2%和10.9%。

In Q2, we generated non-GAAP gross margin of 25%, which was below our guidance range of 25.5% to 27.5% for the reasons I mentioned previously and compared favorably to 23.1% in Q2 of the prior year. We expect the downward pressure on gross margin due to unfavorable product mix in our CATV segment to persist through Q3 before starting to recover to a more normal mix in Q4. We are currently uncertain when the increased costs due to supply chain disruptions will subside, but we also see them persisting through Q3, which will also negatively affect gross margin.

第二季度，我們的非GAAP 毛利率為25%，低於我們25.5% 至27.5% 的指引範圍（原因我之前提到），但與去年第二季的23.1% 相比，毛利率相當不錯。我們預計，由於有線電視領域不利的產品組合而導致的毛利率下行壓力將持續到第三季度，然後在第四季度開始恢復到更正常的組合。目前，我們不確定供應鏈中斷導致的成本增加何時會消退，但我們也認為這種情況將持續到第三季度，這也會對毛利率產生負面影響。

Total non-GAAP operating expenses in the second quarter were $20 million or 36.9% of revenue compared with $20.6 million or 31.6% of revenue in Q2 of the prior year. Non-GAAP operating loss in the second quarter was $6.5 million compared to an operating loss of $5.6 million in Q2 of the prior year. GAAP net loss for Q2 was $8.2 million or a loss of $0.31 per basic share, compared with a GAAP net loss of $18.6 million or a loss of $0.89 per basic share in Q2 of 2020.

第二季非 GAAP 營運支出總額為 2,000 萬美元，佔營收的 36.9%，而上年第二季為 2,060 萬美元，佔營收的 31.6%。第二季非 GAAP 營運虧損為 650 萬美元，而上年第二季營運虧損為 560 萬美元。第二季 GAAP 淨虧損為 820 萬美元，即每股基本股虧損 0.31 美元，而 2020 年第二季 GAAP 淨虧損為 1,860 萬美元，即每股基本股虧損 0.89 美元。

On a non-GAAP basis, net loss for Q2 was $4.1 million or a loss of $0.15 per basic share, which was in line with our guidance range of a loss of $3.8 to $5.6 million or a loss in the range of $0.14 to $0.21 per basic share and compares to a net loss of $5 million or a loss of $0.24 per basic share in Q2 of the prior year. The basic shares outstanding used for computing the net loss in Q2 were 26.9 million.

根據非公認會計原則，第二季淨虧損為 410 萬美元，即每股基本股虧損 0.15 美元，符合我們的指導範圍，即虧損 3.8 至 560 萬美元，或每股虧損 0.14 至 0.21 美元。與去年第二季淨虧損500 萬美元或每股基本股虧損0.24 美元相比。用於計算第二季淨虧損的已發行基本股為2,690萬股。

Turning now to the balance sheet. We ended the second quarter with $50.5 million in total cash, cash equivalents, short-term investments and restricted cash. This compares with $49.3 million at the end of the first quarter and reflects $5.9 million in cash used for operations.

現在轉向資產負債表。截至第二季末，我們的現金、現金等價物、短期投資和限制性現金總額為 5,050 萬美元。相比之下，第一季末為 4,930 萬美元，反映出用於營運的現金為 590 萬美元。

As of June 30, we had $100.4 million in inventory compared to $106.3 million at the end of Q1. Inventory decreased primarily due to utilization of inventory for customer orders. This inventory reduction is consistent with our long-term plan as we focus on rationalizing inventory levels.

截至 6 月 30 日，我們的庫存為 1.004 億美元，而第一季末為 1.063 億美元。庫存減少主要是由於客戶訂單使用庫存。庫存減少符合我們的長期計劃，因為我們專注於合理化庫存水準。

We made a total of $3.2 million in capital investments in the second quarter, including $2.9 million in production equipment and machinery and an immaterial amount on construction and building improvements. We continue to expect 2021 CapEx will be approximately $16 million, although, as we have noted in prior years, there can be significant variability in this estimate as the year progresses.

第二季我們總共進行了 320 萬美元的資本投資，其中包括 290 萬美元的生產設備和機械投資以及少量的建築和建築改進投資。我們仍然預計 2021 年的資本支出約為 1600 萬美元，儘管正如我們在前幾年所指出的，隨著年份的推移，這一估計可能會出現重大變化。

As we disclosed in February of this year, we initiated a new at-the-market offering. To date, we have raised $0.9 million under this new program. We intend to use these proceeds to continue to make investments in the business and including new equipment and machinery for production and research and development use.

正如我們在今年 2 月所披露的那樣，我們推出了一項新的市場產品。迄今為止，我們已根據這項新計劃籌集了 90 萬美元。我們打算利用這些收益繼續對業務進行投資，包括用於生產和研發的新設備和機械。

Moving now to our Q3 outlook. We expect Q3 revenue to be between $51 million and $56 million and non-GAAP gross margin to be in the range of 19.5% to 21.5%. Non-GAAP net loss is expected to be in the range of $6.9 to $9 million and non-GAAP loss per basic share between $0.25 and $0.33 using a weighted average basic share count of approximately 27.7 million shares.

現在轉向我們的第三季展望。我們預計第三季營收將在 5,100 萬美元至 5,600 萬美元之間，非 GAAP 毛利率將在 19.5% 至 21.5% 之間。根據加權平均基本股數約為 2,770 萬股，預計非 GAAP 淨虧損將在 690 至 900 萬美元之間，非 GAAP 每股基本股虧損將在 0.25 至 0.33 美元之間。

With that, I will turn it back over to the operator for the Q&A session. Operator?

這樣，我會將其轉回給操作員進行問答環節。操作員？

(Operator Instructions) Today's first question comes from Simon Leopold with Raymond James.

（操作員說明）今天的第一個問題來自西蒙·利奧波德（Simon Leopold）和雷蒙德·詹姆斯（Raymond James）。

I want to start out first, just if you could clarify the CATV headwind, you quantified it as $3 million headwind due to supply constraints. I guess there are a couple of ways one could interpret that. But I think what I'm imagining you're suggesting is looking at this quarter's sales of roughly $27.5 million and subtracting $3 million from that. But alternatively, I could sort of think of, hey, I was imagining it would be $30 million, but with $3 million of headwinds, it will be $27 million. So I guess I'm trying to understand the baseline or maybe a little bit finer detail the impact of that headwind you highlighted.

我想首先開始，如果你能澄清 CATV 的逆風，你將其量化為由於供應限製而導致的 300 萬美元的逆風。我想有幾種方法可以解釋這一點。但我認為您的建議是查看本季大約 2750 萬美元的銷售額，然後從中減去 300 萬美元。但或者，我也可以這樣想，嘿，我想像的是 3000 萬美元，但如果有 300 萬美元的逆風，那將是 2700 萬美元。所以我想我正在嘗試了解基線，或者可能更詳細地了解您強調的逆風的影響。

Yes, Simon, thanks for bringing that up. So I think the answer is it's more like the latter scenario that you had, not necessarily that those numbers are what we had in mind. But what we were saying is that relative to what we could otherwise deliver, that is based on orders and requested delivery schedules and shipping schedules and all that, we could have delivered $3 million more in our cable TV segment, but for the fact that those raw materials are constrained at this point.

是的，西蒙，謝謝你提出這個問題。所以我認為答案是，這更像是後一種情況，不一定是我們想要的數字。但我們想說的是，相對於我們可以以其他方式交付的東西，即基於訂單和要求的交付時間表和運輸時間表以及所有這些，我們本可以在有線電視領域多交付300 萬美元，但事實上，這些目前原材料受到限制。

And let me just clarify that. Is that $3 million hit in the June quarter? Or is that $3 million headwind in your forecast for September?

讓我澄清一下。六月季度是否達到了 300 萬美元？或者您對 9 月的預測是否存在 300 萬美元的逆風？

It's forecast for the September quarter. So we're saying in the next quarter, in the third quarter, the one that we're in currently, we would have been able to deliver, based on our current forecast, approximately $3 million more revenue than we now believe that we can due to component shortages.

這是對九月季度的預測。因此，我們說，根據我們目前的預測，在下個季度，也就是我們目前所處的第三季度，我們本可以實現比我們現在認為可以實現的收入多約 300 萬美元的收入。由於零件短缺。

Great. And I want to see if maybe you could help us understand how to think about your opportunities in the 400-gig market, and where you see, essentially, competing with ZR products? Because I imagine there's -- your products are probably cheaper than the ZR's, but have shorter reach. And so just trying to get a better idea of how you're thinking about sizing that market opportunity in, let's say, 2022.

偉大的。我想看看您是否可以幫助我們了解如何考慮您在 400 兆市場中的機會，以及您認為與 ZR 產品本質上競爭的地方？因為我想——你們的產品可能比 ZR 的產品便宜，但覆蓋範圍更短。因此，我只是想更了解您如何考慮如何評估 2022 年的市場機會。

Sure. So first of all, I mean, we're pretty excited about the progress that we made in the 400-gig market. We highlighted the -- not only the 2 design wins that we had in the quarter, but also the fact that we have 5 technical qualifications, which, as we noted, is a significant milestone. I would say the technical qualification is typically the biggest hurdle to get over in logging a design win.

當然。首先，我的意思是，我們對 400 兆市場所取得的進展感到非常興奮。我們不僅強調了我們在本季度獲得的 2 項設計勝利，而且還強調了我們擁有 5 項技術資格的事實，正如我們所指出的，這是一個重要的里程碑。我想說，技術資格通常是獲得設計勝利時需要克服的最大障礙。

The remaining hurdle would be really just receiving an order, which typically involves getting set up with proper purchasing codes and negotiating some pricing and things like that. So those hurdles are relatively low. The technical qualification is really the key piece that I think typically takes the longest. So we're pretty excited about the progress that we have with those 2 design wins and the 5 technical qualifications.

剩下的障礙實際上只是接收訂單，這通常涉及設置適當的採購代碼並協商一些定價之類的事情。所以這些障礙相對較低。我認為技術資格確實是關鍵部分，通常需要最長的時間。因此，我們對這 2 項設計勝利和 5 項技術資格的進展感到非常興奮。

With respect to your question about kind of where we fit in, in the ecosystem. I think, as you mentioned, our products are positioned to be a lower-cost version of 400-gig that can be used primarily in intra-data center applications. So distance is up to a couple of kilometers as opposed to longer distances than that, which is where ZR is typically targeted. Now ZR, of course, we'll work at shorter distances, but at a higher price, as you noted.

關於你關於我們在生態系中所處位置的問題。我認為，正如您所提到的，我們的產品定位為 400G 的低成本版本，主要用於資料中心內部應用程式。因此，距離可達幾公里，而不是比這更長的距離，這是 ZR 通常的目標。當然，現在 ZR，我們將在更短的距離內工作，但價格更高，正如您所指出的。

And as far as the market sizing for next year, I can point you to some third-party estimates and things like that for the overall market size. I think what we're hearing from our particular customer base is that they're going to begin implementing 400-gig later in the third quarter and into the fourth quarter.

至於明年的市場規模，我可以向您指出一些第三方的估計以及類似的整體市場規模。我認為我們從特定客戶群聽到的是，他們將在第三季晚些時候和第四季開始實施 400 台。

My anticipation is that, that'll be a relatively slow incremental ramp throughout that time because that's typically how it goes with these customers when they try to implement a new technology like 400-gig. They don't instantly start to implement that technology. They put it in incrementally, test it, make sure everything's working as expected and then begin to ramp up after that. So this kind of 2 phase ramp is what I would expect there. And the second phase, which would probably be a stronger ramp is probably sometime in the middle part of next year.

我的預期是，在這段時間內，這將是一個相對緩慢的增量成長，因為當這些客戶嘗試實施 400-gig 等新技術時，他們通常會遇到這種情況。他們不會立即開始實施該技術。他們逐步投入、測試，確保一切能如預期運作，然後開始加速。因此，這種兩相斜坡正是我所期望的。第二階段可能會在明年中期的某個時候進行，這可能會是更強勁的成長。

Great. And then just maybe a quick one, if I might, is we've seen awards coming out of China for 5G technology. There was a 700 megahertz award a few weeks ago. And then more recently, China Unicom and Telecom made tenders for RAN. Just wondering how we can maybe look at those events in terms of helping, give us some sense of when your China business related to the 5G backhaul, front haul should improve?

偉大的。然後，如果可以的話，也許我們已經看到中國頒發了 5G 技術獎。幾週前頒發了 700 兆赫茲獎。最近，中國聯通和電信對 RAN 進行了招標。只是想知道我們如何看待這些事件以提供幫助，讓我們了解您的中國業務與 5G 回傳、前傳相關的業務何時應該得到改善？

Yes. That's a great question, Simon. I mean the 5G market is a little bit hard to make out right now. As we noted in our earlier remarks, some of our customers in China have begun ordering more products from us, which implies that their inventory levels are down to whatever level they think is comfortable, and they're placing new orders. Other customers haven't yet started to place those new orders yet.

是的。這是一個很好的問題，西蒙。我的意思是，5G 市場現在有點難以確定。正如我們在先前的評論中指出的，我們在中國的一些客戶已經開始向我們訂購更多產品，這意味著他們的庫存水平已降至他們認為合適的水平，並且他們正在下新訂單。其他客戶尚未開始下新訂單。

So I think we're my -- the way I'm interpreting that is that we're in a period where new orders are starting to flow from -- either new orders are starting to flow from the carriers like China Telecom and China Unicom or that there's line of sight to those new orders and some of our vendors are getting ready, while other vendors probably still have some buffer inventory that they want to draw down before they start to place new orders.

所以我認為我們是我的——我的解釋是，我們正處於一個新訂單開始流出的時期——要么新訂單開始從中國電信和中國聯通等運營商流出或者這些新訂單已經在視線範圍內，我們的一些供應商正在做好準備，而其他供應商可能仍然有一些緩衝庫存，他們希望在開始下新訂單之前減少這些庫存。

So it feels like that should start to turn with more of our customers in this quarter or certainly by the fourth quarter. And the data points that you gave around the new bandwidth awards and new product orders coming out of China Telecom and China Unicom, I think those are significant data points to point also in that direction of a gradual recovery in the next quarter or 2.

因此，感覺這種情況應該在本季或第四季開始隨著更多客戶的出現而轉變。您提供的關於中國電信和中國聯通的新頻寬獎勵和新產品訂單的數據點，我認為這些都是重要的數據點，也顯示了下一季或第二季逐步復甦的方向。

The next question comes from Alex Henderson with Needham.

下一個問題來自 Alex Henderson 和 Needham。

Stefan, can you give us a little bit of granularity around what your thoughts are between the data center and CATV and the guide for 3Q? What is -- what are we assuming there? Is the spike up in 2Q an abnormal spike, and it's going to stabilize or decline sequentially back to a more normalized growth or revenue level? Or is that a new base that we' be growing the CATV off of?

Stefan，您能給我們詳細介紹一下您對資料中心和 CATV 以及 3Q 指南之間的看法嗎？我們假設什麼？第二季的上漲是否屬於異常上漲，會趨於穩定還是會依序下降回到更正常的成長或營收水準？還是這是我們發展有線電視的新基地？

And clearly, it's nice getting 400-gig wins, but the data center business declining sequentially into what is normally a seasonally strong quarter, is that now a trend line where it's -- you should expect the 40-gig to roll over a little bit faster going forward as people don't want a 40-gig product in their -- to put into their networks? A little help there.

顯然，獲得 400 兆的勝利是件好事，但數據中心業務連續下降，進入通常是季節性強勁的季度，現在是一條趨勢線 - 您應該預計 40 兆的銷量會略有回升由於人們不希望將40兆產品放入他們的網路中，因此會更快前進嗎？那裡有一點幫助。

Sure. So I'll take your first question first, which is what's the trajectory for cable TV. As I noted in our prepared remarks, our cable TV revenue is limited over the next quarter or perhaps beyond by component availability. And we talked about the magnitude of that in the third quarter being about $3 million. So you can get a pretty good picture that at least in Q3, and I would say that after that -- in subsequent quarters after that, depending on component availability, we should be at about that level as well. So I think we're kind of at a new level in cable TV, and there's opportunities to grow from there, particularly as we overcome some of these supply constraints, which is currently the limiting factor to deliver revenue there.

當然。我先回答你的第一個問題，也就是有線電視的發展軌跡是什麼。正如我在準備好的演講中指出的那樣，我們的有線電視收入在下個季度或之後可能會受到組件供應的限制。我們談到第三季的金額約為 300 萬美元。因此，至少在第三季度，你可以得到一個相當好的畫面，我想說的是，在那之後的接下來的幾個季度，根據組件的可用性，我們也應該處於這個水平。因此，我認為我們在有線電視領域處於一個新的水平，並且有機會從那裡成長，特別是當我們克服其中一些供應限制時，這是目前在那裡提供收入的限制因素。

At the same time then, your second question is about the trajectory in datacom. And I do think Q2 probably represents the low point in datacom revenue for us, at least the local minimum. That is, I think we'll see some incremental improvement in datacom. And as we noted in our prepared remarks, that's going to be driven by 2 factors. One is the 400G design wins and our beginning that first phase ramp that I spoke with Simon about earlier in the 400G business. And at the same time, I also expect to see some recovery in our 100G business as some of the customers that had previously purchased inventory are finally getting that inventory back down to a level that they think is appropriate to begin placing new orders. So those 2 factors, I think, can drive some incremental growth in the data center business.

同時，你的第二個問題是關於數據通訊的發展軌跡。我確實認為第二季可能代表了我們數據通訊收入的低點，至少是當地的最低水準。也就是說，我認為我們將看到數據通訊方面的一些漸進式改進。正如我們在準備好的演講中指出的那樣，這將由兩個因素驅動。其中之一是 400G 設計的勝利以及我們開始第一階段的提升，這是我早些時候在 400G 業務中與 Simon 討論的。同時，我還預計我們的 100G 業務將會復甦，因為一些之前購買庫存的客戶最終將庫存恢復到他們認為適合開始下新訂單的水平。因此，我認為這兩個因素可以推動資料中心業務的增量成長。

So it sounds like data center up modestly a couple of million dollars. You're talking about the other ones probably. Telecom, it sounds like it's up a little bit sequentially off of a fairly low base. So that would suggest that you do expected a little bit of a retrenchment in the CATV to get to your guide, I would assume.

因此，聽起來資料中心的成本適度增加了幾百萬美元。你可能正在談論其他的。電信，聽起來像是在相當低的基礎上連續上漲了一點。因此，我認為，這表明您確實預計有線電視會進行一些縮減以獲取您的指南。

Yes. That's correct. And we highlighted that, that's largely due to component shortages.

是的。這是正確的。我們強調，這主要是因為零件短缺造成的。

Okay. I got it. That's perfect. I wanted to go back to the inventory. Your inventory carry rate is very high relative to your revenue base and relative to industry standards. And I get it that in this environment, that's probably not a bad thing. But do we have any concerns about having, potentially, any issues of having too much of, say, older product or lower speed products that might not be applicable to the future demand picture? Do you have the right inventory in that mix?

好的。我得到了它。那很完美。我想回到庫存。相對於您的收入基礎和行業標準，您的庫存持有率非常高。我知道在這種環境下，這可能不是一件壞事。但是，我們是否擔心可能存在太多可能不適用於未來需求情況的舊產品或低速產品的問題？您在該組合中擁有合適的庫存嗎？

I think we do. If you remember, in some prior quarters, we've talked a lot about the fact that our 400G platform, our 100G platform and our 40G platform share a lot of commonality in terms of the design and the parts. And so to that extent, there's inventory of raw materials and things that may have been applicable to even 40G products that we could still continue to use in 100G.

我想我們做到了。如果您還記得，在之前的一些季度中，我們已經討論過很多這樣的事實：我們的 400G 平台、我們的 100G 平台和我們的 40G 平台在設計和零件方面有很多共同點。因此，從這個意義上說，我們仍然可以繼續在 100G 中使用，甚至可以適用於 40G 產品的原材料和物品庫存。

And certainly, cable TV, while some of the older generation products are maybe slower selling than the current stuff, there's still a lot of demand even for older generation products. So we feel pretty good about the inventory that we have. I should say, we feel good about the quality of the inventory that we have.

當然，還有有線電視，雖然一些老一代產品的銷售速度可能比現在的產品慢，但即使是老一代產品仍然有很大的需求。所以我們對我們擁有的庫存感覺非常好。我應該說，我們對現有庫存的品質感覺良好。

Now your point about inventory level being high is well taken. We did bulk up on inventory quite a bit in the -- actually, even prior to COVID, in the Chinese New Year period going back last spring. And I think that, that -- we probably got a little bit ahead of our skis in terms of the amount of inventory that we have. To your point, it's comforting to have that inventory around with all the uncertainties that we've endured in the last year.

現在，您關於庫存水平較高的觀點得到了充分理解。事實上，甚至在新冠疫情爆發之前，也就是去年春天的農曆新年期間，我們確實大量增加了庫存。我認為，就我們擁有的庫存量而言，我們可能會比我們的滑雪板領先一點。就您而言，在我們去年經歷的所有不確定性的情況下，擁有這樣的庫存是令人欣慰的。

But we do want to continue to draw that inventory level down. We've made some significant progress in that regard. I mean we've pulled our inventory. I think it maxed out at around $113 million, and we're down to just about $100 million at the end of the quarter. So I mean, that's good progress. I want to continue to make progress on that regard and bring that inventory level down to a number that I think would be more appropriate for the business, which is probably in the $80 million vicinity.

但我們確實希望繼續降低庫存水準。我們在這方面取得了一些重大進展。我的意思是我們已經撤回了庫存。我認為最高約 1.13 億美元，到本季末我們已降至約 1 億美元。所以我的意思是，這是一個很好的進步。我希望繼續在這方面取得進展，並將庫存水準降低到我認為更適合該業務的數字，該數字可能在 8000 萬美元左右。

One technical question. You said $0.9 million of mark-to-market that the market issued. Was that shared?

一個技術問題。你說市場發行了 90 萬美元的按市值計價的資金。那是共享的嗎？

That's dollars. That's the amount of net proceeds.

那是美元。這就是淨收益。

The next question comes from Sam Peterman with Craig-Hallum.

下一個問題來自山姆彼得曼和克雷格哈勒姆。

Sam on for Richard here. A couple of questions. I think I'll start with data center. I know you guys have talked about inventory burns ending in the second quarter and starting to recover from there, which it looks like it's going to happen. But even given that data center's down, it looks like a little bit more than expected. I mean, was there kind of worse inventory burns than expected or something else in data center that can kind of explain the weakness there this quarter?

山姆替理查德上場。有幾個問題。我想我將從資料中心開始。我知道你們已經討論過庫存消耗將在第二季結束並開始恢復，這看起來將會發生。但即使考慮到該資料中心的故障，情況看起來也比預期的要多一些。我的意思是，資料中心的庫存消耗情況是否比預期更嚴重，或者是否有其他原因可以解釋本季的疲軟情況？

Well, I don't think that the weakness is kind of a long-term thing. It has to do with just the confluence of order patterns across a couple of different customers. And as we discussed, I think that probably represents a local minimum in terms of data center revenue. And I think the catalyst going forward is, again, inventory normalization with our 100G customers, especially one of our large 100G customers as well as some headwinds -- or excuse me, some tailwinds from the 400-gig as that starts to ramp.

嗯，我不認為這種弱點是長期的事。它與幾個不同客戶的訂單模式的融合有關。正如我們所討論的，我認為這可能代表了資料中心收入的當地最低水準。我認為未來的催化劑再次是我們的 100G 客戶的庫存正常化，尤其是我們的一個大型 100G 客戶以及一些逆風 - 或者對不起，隨著 400G 開始增加，一些逆風。

Okay. Fair enough. Second question on 400-gig. I'm curious with those 5 technical qualifications that you talked about. Are those with new customers or existing customers? Or can you break that down?

好的。很公平。關於 400 場演出的第二個問題。我對你所說的5項技術資格很好奇。是新客戶還是現有客戶？或者你能把它分解嗎？

All of the 400-gig technical qualifications are with existing customers.

所有 400 場的技術資格均屬於現有客戶。

Okay. Great. And then last one for me on cable TV. I know, I think at last call you talked about having visibility in the order book out through the end of the year. I know supply constraints are going to cap that a bit, but can you talk about where you sit in terms of visibility today and if that order book is extending out into next year at all, and any color there would be helpful.

好的。偉大的。最後一個是我在有線電視上看到的。我知道，我想在上次電話會議上您談到了在年底之前保持訂單簿的可見性。我知道供應限制會限制這一點，但是您能否談談您今天的可見度，以及訂單是否會延長到明年，以及任何顏色都會有幫助。

Yes. The order book is extending out into next year. The component availability situation, I mean, I was listening in on CommScope's call, and they're seeing similar things about component availability. So I think it's kind of an industry-wide trend. So we're not seeing customers sort of pulling back on orders and shifting order patterns. I think it's quite the contrary. What we're experiencing is that customers are working with us to try to pull in inventory as quickly as they can rather than trying to move orders to somebody else or something.

是的。訂單簿將延長至明年。我的意思是，組件可用性情況，我正在監聽康普的電話，他們看到了有關組件可用性的類似情況。所以我認為這是一種全行業的趨勢。因此，我們沒有看到客戶取消訂單或改變訂單模式。我認為事實恰恰相反。我們遇到的情況是，客戶正在與我們合作，試圖盡快補充庫存，而不是試圖將訂單轉移給其他人或其他人。

(Operator Instructions) Our next question comes from Dave Cheng with B. Riley.

（操作員說明）我們的下一個問題來自 Dave Cheng 和 B. Riley。

My first question is on gross margin. Revenue is going to be kind of flattish sequentially in third quarter, and yet you're expecting gross margin to decline above 5 points sequentially. Can you just go over some of the factors?

我的第一個問題是關於毛利率。第三季的營收將與上一季持平，但您預計毛利率將比上一季下降 5 個百分點以上。您能回顧一下一些因素嗎？

Sure. There's 2 factors. One is some product mix within our cable TV segment, just different customers sort of waxing and waning in terms of what they're buying. And then the other factor is related to the component shortages that we're experiencing.

當然。有兩個因素。一是我們有線電視領域的一些產品組合，只是不同的客戶在購買的產品方面有所起伏。另一個因素與我們正在經歷的零件短缺有關。

And so we are experiencing increased costs as we try to pull in those components. So we're paying, for example, expedite fees to suppliers. We're, in some cases, qualifying new suppliers that may even be higher-cost suppliers just because they have availability, things like that, that are also negatively impacting our gross margin in the quarter. So we discussed that we think that the cable TV mix is probably a 1 quarter thing. I think it will shift more back towards more favorable product mix in the fourth quarter.

因此，當我們試圖引入這些組件時，我們的成本正在增加。例如，我們向供應商支付加急費用。在某些情況下，我們會對新供應商進行資格審查，這些供應商甚至可能是成本較高的供應商，只是因為他們有可用性，諸如此類的事情也會對我們本季的毛利率產生負面影響。所以我們討論了我們認為有線電視組合可能是一個季度的事情。我認為第四季度它將更多地轉向更有利的產品組合。

The component availability is a little bit unclear how long that is going to last. I think it'll certainly last through the third quarter, may last into the fourth quarter, but it's not totally clear exactly how fast we're going to be able to recover from that. It's a very fluid situation. Some of those component availability situations are caused by, for example, COVID shutdowns in certain parts of the world where suppliers have factories and things. And those -- how those things play out in terms of timing is a little bit difficult to project at this point. But I think it's fair to say it should persist through the third quarter and hopefully, we'll find ways around it in the fourth quarter, but it's not totally clear at this point.

組件的可用性還不清楚它能持續多久。我認為這種情況肯定會持續到第三季度，甚至可能持續到第四季度，但目前尚不清楚我們能夠以多快的速度從中恢復。這是一個非常不穩定的情況。其中一些組件可用性情況是由供應商擁有工廠和物品的世界某些地區因新冠疫情而關閉等原因造成的。而這些——這些事情在時間上如何發揮作用，目前還很難預測。但我認為可以公平地說，這種情況應該持續到第三季度，希望我們能在第四季找到解決方法，但目前尚不完全清楚。

And regarding component shortages, is that just mainly in cable TV? I mean, you're not experiencing a similar situation in the data center market?

至於零件短缺，主要是在有線電視方面嗎？我的意思是，您在資料中心市場上沒有遇到類似的情況嗎？

Yes. And I think a lot of that has to do with the inventory that we talked about earlier. I mean, Alex had a very good point that our inventory levels are rather elevated. And that's a point that we've made also on our last few calls. That's a double-edged sword. Of course, we're tying up cash, and there's always some risk of obsolescence, although, as I mentioned in response to Alex's question, I don't think that's a major concern for us at this point.

是的。我認為這很大程度上與我們之前討論的庫存有關。我的意思是，亞歷克斯的觀點非常好，我們的庫存水準相當高。這也是我們在最近幾次電話會議中提出的觀點。這是一把雙面刃。當然，我們正在佔用現金，並且總是存在一些過時的風險，儘管正如我在回答亞歷克斯的問題時提到的那樣，我認為這不是我們目前主要擔心的問題。

But the bright side to that is that if you do have inventory, then you're not as likely to suffer from supply shortages. So in the data center business where we have a longer history and a more -- a better track record in terms of order patterns, we were able to bulk up on those products ahead of Chinese New Year last year, and that inventory is continuing to help us out when it comes to component shortages in the present time.

但好的一面是，如果你確實有庫存，那麼你就不太可能遭受供應短缺的困擾。因此，在資料中心業務中，我們擁有更長的歷史和更好的訂單模式記錄，我們能夠在去年農曆新年之前大量增加這些產品，而且庫存仍在繼續增加。幫助我們解決當前的組件短缺問題。

The cable TV part of our business, as you can appreciate, was significantly smaller a year ago, and we didn't have the same bulk of inventory going into -- going from pre-COVID times into the first or second quarter of last year. And therefore, we don't have that same cushion of inventory there, and that's where we're sort of scrambling to try to find the inventory that we need to continue to grow the revenue in that segment.

如您所知，我們業務的有線電視部分一年前要小得多，而且從新冠疫情之前到去年第一季度或第二季度，我們沒有同樣大量的庫存。 。因此，我們在那裡沒有相同的庫存緩衝，這就是我們正在努力尋找繼續增加該細分市場收入所需的庫存的地方。

Okay. And my last question is on 400-gig. I'm trying to kind of gauge what kind of trajectory we should be expecting. First of all, I just wanted to clarify, did you say 400-gig will ramp end of third quarter or fourth quarter? And then, like, can you just talk about your expectations, maybe when does it become, like, 10%, 20% of revenues?

好的。我的最後一個問題是關於 400g 的。我正在嘗試衡量我們應該期待什麼樣的軌跡。首先，我只是想澄清一下，你是說 400 場演出會在第三季末還是第四季結束？然後，你能談談你的期望嗎？也許什麼時候它會變成收入的 10%、20%？

So I think I said that the 400-gig will start to ramp at the end of the third quarter, which means it's probably not going to be a big amount of revenue in the third quarter, but it should start to become more meaningful in the fourth quarter. I did also highlight, in answer to -- I believe it was Simon's question earlier that we typically see, in these scenarios, a sort of 2-phased ramp, right?

所以我想我說過 400 場演出將在第三季末開始增加，這意味著第三季的收入可能不會很大，但在第三季應該開始變得更有意義。第四季。我確實還強調了，在回答——我相信這是西蒙之前提出的問題，我們通常會在這些場景中看到一種兩階段的斜坡，對嗎？

So there's an initial phase of ramp, where we go from 0 to some relatively small number that's associated with initial orders from customers who are trying out, putting these products into their actual live networks and making sure that they perform as well in that environment as they did in all the lab testing that they've been doing in the qualification phase. They tend to be appropriately circumspect when it comes to ordering in that first phase. And then once they become more comfortable that everything is working correctly, then there's a second phase where the ramp becomes more substantial, and we expect that phase would probably be sometime in the middle part of next year.

因此，有一個斜坡的初始階段，我們從0 到某個相對較小的數字，該數字與正在試用的客戶的初始訂單相關，將這些產品放入他們的實際網絡中，並確保它們在該環境中表現良好。他們在資格階段所做的所有實驗室測試都進行了。在第一階段的訂購中，他們往往會相當謹慎。然後，一旦他們對一切正常工作感到更加滿意，就會進入第二階段，斜坡變得更加實質性，我們預計該階段可能會在明年中期的某個時候。

And if I can just squeeze in one more regarding 400-gig. How should we think about margins between 100-gig versus 400-gig?

如果我能再擠進一場關於 400 場演出的話。我們該如何考慮 100 GB 與 400 GB 之間的利潤率？

Broadly similar. There can be variations in gross margin among that product family, either the 100-gig or 400-gig based on the particular customers and the particular types of transceivers that are being ordered. But overall, I would expect the margins to be broadly similar between 100-gig and 400-gig.

大致相似。此產品系列之間的毛利率可能存在差異，無論是 100 GB 還是 400 GB，具體取決於特定客戶和所訂購的收發器的特定類型。但總體而言，我預計 100 GB 和 400 GB 之間的利潤率大致相似。

The next question comes from Tim Savageaux with Northland Capital Markets.

下一個問題來自 Northland Capital Markets 的 Tim Savageaux。

Not a lot left here, but maybe I'll follow up on 400-gig timing and maybe kind of the magnitude of the opportunity. It seems that the one area where discussion of 400ZR would be relevant for you guys would be at Microsoft, where they've stated pretty plainly that they need to get that DCI rollout going before they could upgrade inside the data center. And I'm not saying that's one of your design wins, but you're free to add some color on that. But would a scenario like that explain, a, why your design wins are coming kind of maybe a little late in the game; and b, kind of support the kind of small ramp and then bigger ramp in midyear type scenario that you're discussing?

這裡剩下的不多了，但也許我會跟進 400 場演出的時間安排以及機會的大小。看來，400ZR 的討論與你們相關的一個領域是在 Microsoft，他們已經非常明確地表示，他們需要先推出 DCI，然後才能在資料中心內進行升級。我並不是說這是你的設計勝利之一，但你可以自由地添加一些顏色。但是，這樣的場景是否可以解釋，a，為什麼你的設計勝利來得有點晚了？ b，是否支持您正在討論的年中類型情境中的小斜坡和大斜坡？

Yes. I mean, I think you're right in the sense that for all of our customers, and Microsoft certainly has historically been one of, if not our largest data center customer. It has been -- recently, it's been our largest data center customer. And so anything that would affect the timing and magnitude of the rollout of Microsoft's 400G efforts would certainly be of interest to us and could be a partial explanation for some of the ramp rates that we have talked about earlier.

是的。我的意思是，我認為你是對的，對於我們所有的客戶來說，微軟在歷史上肯定是我們最大的資料中心客戶之一，即使不是我們最大的資料中心客戶。最近，它一直是我們最大的資料中心客戶。因此，任何會影響微軟 400G 推出時間和規模的事情肯定都會引起我們的興趣，並且可能是我們之前討論過的一些爬坡率的部分解釋。

That's not to say -- certainly not all the design wins or technical qualifications that we had or even necessarily any of them were with Microsoft, but we have multiple customers that are involved in that. But certainly, we're watching the situation with Microsoft and any of the factors that affect their rollout would likely be affecting us as well.

這並不是說——當然不是我們擁有的所有設計勝利或技術資格，甚至不一定是其中任何一個都來自微軟，但我們有多個客戶參與其中。但當然，我們正在關注微軟的情況，任何影響其推出的因素也可能會影響我們。

Got it. And in terms of the magnitude of that opportunity, should things go reasonably well for you at 400-gig. I mean, can you imagine a scenario sometime next year where your 400-gig business is approaching the size of your current overall data center business on a quarterly basis?

知道了。就機會的大小而言，如果您在 400 場演出中一切順利的話。我的意思是，您能想像明年某個時候您的 400 兆業務按季度接近當前整體資料中心業務的規模嗎？

I could imagine that scenario. I think as you pointed out, a lot of things have to go right. I would expect that 400-gig can approach, say, 10% of revenue at some point next year, which would put it at roughly the level of our current data center business. So I think that, that's achievable. Clearly, we're a little ways out from seeing that actually happen and having a tremendous amount of confidence in that, but I think it's certainly possible.

我可以想像那個場景。我認為正如您所指出的，很多事情都必須順利進行。我預計 400 千兆位元在明年某個時候可以接近收入的 10%，這將大致相當於我們目前資料中心業務的水平。所以我認為這是可以實現的。顯然，我們離看到這種情況真正發生並對此充滿信心還有一段距離，但我認為這肯定是可能的。

This concludes our question-and-answer session. At this time, I would like to turn the conference back over to Dr. Thompson Lin for any closing remarks.

我們的問答環節到此結束。現在，我想將會議轉回給 Thompson Lin 博士做總結發言。

Okay, and thank you for joining us today. As always, thank you to our investors, customers and employees for your continued support, and we look forward to see many of you virtually at our upcoming investment conference.

好的，感謝您今天加入我們。一如既往，感謝我們的投資者、客戶和員工的持續支持，我們期待在即將舉行的投資會議上見到你們中的許多人。

The conference has now concluded. Thank you for attending today's presentation, and you may now disconnect.

會議現已結束。感謝您參加今天的演示，您現在可以斷開連接了。