Arista Networks Inc (ANET) 2019 Q1 法說會逐字稿

Welcome to the First Quarter 2019 Arista Networks Financial Results Earnings Conference Call.

歡迎參加 Arista Networks 2019 年第一季財務業績電話會議。

(Operator Instructions) As a reminder, this conference call is being recorded and will be available for replay from the Investor Relations section at the Arista website following this call.

（操作員說明）謹此提醒，本次電話會議正在錄音，並可在本次電話會議後在 Arista 網站的投資者關係部分重播。

I will now turn the call over to Mr. Charles Yager, Director of Product and Investor Advocacy.

我現在將把電話轉給產品和投資者宣傳總監 Charles Yager 先生。

Sir, you may begin.

先生，您可以開始了。

Thank you, operator.

謝謝你，接線生。

Good afternoon, everyone, and thank you for joining us.

大家下午好，感謝您加入我們。

With me on today's call are Jayshree Ullal, Arista Networks President and Chief Executive Officer; and Ita Brennan, Arista's Chief Financial Officer.

參加今天電話會議的有 Arista Networks 總裁兼執行長 Jayshree Ullal；以及 Arista 財務長 Ita Brennan。

This afternoon Arista Networks issued a press release announcing the results for its first quarter ended March 31, 2019.

今天下午 Arista Networks 發布新聞稿，宣布截至 2019 年 3 月 31 日的第一季業績。

If you'd like a copy of the release you can access it online at the company's website.

如果您想要該版本的副本，可以在該公司的網站上線上存取。

During the course of this conference call, Arista Networks' management will make forward-looking statements, including those relating to our financial outlook for the second quarter of the 2019 fiscal year, industry innovation, our market opportunity, the benefits of recent acquisitions and the impact of litigation, which are subject to the risks and uncertainties that we discuss in detail in our documents filed with the SEC, specifically in our most recent Form 10-K, and which could cause actual results to differ materially from those anticipated by these statements.

在本次電話會議期間，Arista Networks 管理層將做出前瞻性聲明，包括與我們 2019 財年第二季度的財務前景、行業創新、我們的市場機會、最近收購的好處以及訴訟的影響，這受到我們在向SEC 提交的文件中詳細討論的風險和不確定性，特別是在我們最新的10-K 表格中，並且可能導致實際結果與這些聲明中預期的結果有重大差異。

These forward-looking statements apply as of today, and you should not rely on them as representing our views in the future.

這些前瞻性陳述從今天起適用，您不應依賴它們來代表我們未來的觀點。

We undertake no obligation to update these statements after this call.

我們不承擔在本次電話會議後更新這些聲明的義務。

Also, please note that certain financial measures we use on this call are expressed on a non-GAAP basis and have been adjusted to exclude certain charges.

另請注意，我們在本次電話會議中使用的某些財務指標是在非公認會計原則的基礎上表示的，並已進行調整以排除某些費用。

We have provided reconciliations of these non-GAAP financial measures to GAAP financial measures in our earnings press release.

我們在收益新聞稿中提供了這些非公認會計原則財務指標與公認會計原則財務指標的調節表。

With that, I will turn the call over to Jayshree.

這樣，我會將電話轉給 Jayshree。

Thank you, Charles.

謝謝你，查爾斯。

Thank you, everyone, for joining us this afternoon for our first quarter 2019 earnings call.

感謝大家今天下午參加我們 2019 年第一季的財報電話會議。

Our profitability growth combination was once again demonstrated with a non-GAAP revenue of $595.4 million, while non-GAAP earnings per share grew to a record $2.31.

我們的獲利能力成長組合再次證明，非 GAAP 收入為 5.954 億美元，而非 GAAP 每股收益成長至創紀錄的 2.31 美元。

Services contributed approximately 15% of revenue.

服務貢獻了大約15%的收入。

We delivered non-GAAP gross margins of 64.5%, influenced by a strong performance from both our enterprise vertical and services.

受我們的企業垂直領域和服務的強勁業績影響，我們的非 GAAP 毛利率為 64.5%。

We registered a record number of million-dollar customers in Q1 just as we did in Q4 2018, and we continue to drive our new customer expansion at the rate of 1 to 2 per day.

正如 2018 年第四季一樣，我們在第一季註冊的百萬美元客戶數量創歷史新高，並且我們繼續以每天 1 到 2 個的速度推動新客戶的擴張。

In Q1 2019, the cloud titan segment was our largest vertical.

2019 年第一季度，雲泰坦細分市場是我們最大的垂直領域。

The modern enterprise segment is now consistently our second largest, with financials in third place, supported by a strong solid contribution from our Metamako acquisition.

現代企業部門目前一直是我們的第二大部門，財務部門排名第三，這得益於我們收購 Metamako 的強大貢獻。

Tier 2 cloud specialty providers and service providers came in at fourth and fifth place.

二級雲端專業提供者和服務提供者則名列第四和第五位。

In terms of geography, in Q1 2019, the international contribution was 26%, with the Americas coming in at 74%.

從地理來看，2019年第一季，國際貢獻率為26%，其中美洲佔74%。

We delivered 2 major new product announcements during Q1, with the 7368 spine that we developed in close collaboration with Facebook, enabling both our flagship EOS as well as Facebook's OS to be supported on the platform.

我們在第一季發布了 2 個主要新產品，其中包括我們與 Facebook 密切合作開發的 7368 骨幹，使我們的旗艦產品 EOS 以及 Facebook 的作業系統都能在該平台上得到支援。

We also introduced the 7130, the first low latency high-precision network application platform.

我們也推出了首款低延遲高精度網路應用平台7130。

We're pleased with the increased acceptance of our software subscriptions with a record quarter for CloudVision having doubled our bookings from Q1 2018.

我們很高興看到我們的軟體訂閱接受度不斷提高，CloudVision 的預訂量較 2018 年第一季翻了一番，創下了季度記錄。

While 2019 is off to a decent start, we are experiencing somewhat of a speed bump in Q2 2019.

雖然 2019 年有一個良好的開端，但我們在 2019 年第二季度經歷了一些減速。

We saw less than the normal order strength in late March and the month of April.

我們看到 3 月底和 4 月的訂單強度低於正常水平。

We are, therefore, forecasting slower growth in Q2 2019 from our normal and historical patterns.

因此，根據我們的正常和歷史模式，我們預測 2019 年第二季的成長將放緩。

Some of the contributing reasons for this are, one, the massive cloud titan providers fulfilled in 2018 have led to a period of absorption in the first half of 2019.

造成這種情況的部分原因是，一是2018年實現的大型雲端巨頭供應商導致了2019年上半年的吸收期。

In particular, 1 cloud titan has placed most orders on hold for Q2 2019.

特別是，1 雲巨頭已擱置 2019 年第二季的大部分訂單。

We note the lackluster performance of the service provider vertical, and this -- we forecast this to continue in Q2 2019, consistent with industry trends.

我們注意到垂直服務提供者的表現不佳，我們預計這種情況將在 2019 年第二季度繼續存在，這與行業趨勢一致。

To put the volatility of the cloud spend into perspective, as I have shared with you many times, cloud titans typically give us 1 to 2 quarters of forecast.

為了正確看待雲端支出的波動性，正如我多次與大家分享的那樣，雲端巨頭通常會給我們 1 到 2 個季度的預測。

And this time, we are seeing a decreased demand in the first half of 2019 compared to '18.

這次，我們發現 2019 年上半年的需求比 18 年有所下降。

Meanwhile, our enterprise momentum is healthy and very much in its early innings.

同時，我們的企業勢頭很健康，而且還處於起步階段。

Our investments from prior years to the present are now paying off.

我們從前幾年到現在的投資現在正在得到回報。

These enterprises typically require contracts, training, as well as the deployment of Arista's new programmable SDN technologies and can take typically a year or more in sales cycles.

這些企業通常需要合約、培訓以及 Arista 新的可程式 SDN 技術的部署，並且通常需要一年或更長時間的銷售週期。

We do expect 2019 to be a crucial year for both the enterprise data center and connected campus in terms of customer acceptance.

我們確實預期 2019 年對於企業資料中心和互聯園區而言，在客戶接受度方面將是關鍵的一年。

As we look ahead, our new product introductions are slated to ramp in the second half of 2019, and we expect this to create uptick in demand.

展望未來，我們的新產品預計將在 2019 年下半年推出，我們預計這將帶來需求的上升。

You will, of course, hear more about our new product pipeline and customer momentum at our June Analyst Day.

當然，您將在六月分析師日聽到更多有關我們的新產品系列和客戶動力的信息。

But in summary, we foresee a bright opportunity ahead in cloud area networking in the second half of 2019.

但總而言之，我們預計 2019 年下半年雲端區域網路將迎來光明的機會。

Personally, I'm excited by our prospects here as customers migrate to a cloud-like strategy with their unwavering belief in Arista's superior quality and technology.

就我個人而言，我對我們的前景感到興奮，因為客戶堅定不移地相信 Arista 的卓越品質和技術，遷移到類似雲端的策略。

And with that, I'd like to turn it over to Ita for more financial metrics.

有了這個，我想將其交給 Ita 以獲取更多財務指標。

Thanks, Jayshree, and good afternoon.

謝謝，Jayshree，下午好。

This analysis of our Q1 results and our guidance for Q2 '19 is based on non-GAAP and excludes our noncash stock-based compensation impacts, certain acquisition-related charges and other nonrecurring items.

我們對 19 年第一季業績和第二季業績指引的分析是基於非公認會計原則，不包括基於非現金股票的薪酬影響、某些收購相關費用和其他非經常性項目。

A full reconciliation of our selected GAAP to non-GAAP results is provided in our earnings release.

我們的收益報告中提供了我們選擇的 GAAP 與非 GAAP 績效的全面對帳。

Total revenues in Q1 were $595.4 million, up 26% year-over-year and above the midpoint of our guidance of $588 million to $598 million.

第一季總營收為 5.954 億美元，年增 26%，高於我們 5.88 億至 5.98 億美元指引的中位數。

Service revenues remained strong, representing approximately 15.1% of revenue, down from 15.5% last quarter, reflecting a healthy level of renewals for the period.

服務收入依然強勁，約佔營收的 15.1%，低於上季的 15.5%，反映了該期間續約的健康水準。

International revenues for the quarter came in at $156 million or 26% of total revenue, up from 24% in the prior quarter.

該季度的國際營收為 1.56 億美元，佔總營收的 26%，高於上一季的 24%。

Overall, gross margin in Q1 was 64.5%, above the midpoint of our guidance range of 63% to 65% and up from 64.1% last quarter.

整體而言，第一季的毛利率為 64.5%，高於我們指導範圍 63% 至 65% 的中點，高於上季的 64.1%。

Gross margin in the period benefited from healthy enterprise and service contributions combined with the continued focus on cost optimization.

該期間的毛利率得益於健康的企業和服務貢獻以及對成本優化的持續關注。

Operating expenses for the quarter were $160.7 million, essentially flat to last quarter on an absolute dollar and percentage of revenue basis.

本季營運費用為 1.607 億美元，以絕對金額和占收入百分比計算，與上季基本持平。

R&D spending came in at $106.5 million or 17.9% of revenue, up slightly from last quarter.

研發支出為 1.065 億美元，佔營收的 17.9%，較上季略有上升。

We continued to see significant new product-related NRE and prototype spending in the period.

在此期間，我們繼續看到與新產品相關的 NRE 和原型支出大量。

Sales and marketing expense was $43.6 million or 7.3% of revenue, again, essentially flat to last quarter with increased headcount offset by some reductions in other sales costs.

銷售和行銷費用為 4,360 萬美元，佔收入的 7.3%，與上季度基本持平，但員工人數的增加被其他銷售成本的一些減少所抵消。

Our G&A costs were $10.5 million or 1.8% of revenue, down slightly from last quarter.

我們的一般管理費用為 1,050 萬美元，佔營收的 1.8%，比上季略有下降。

Our operating income for the quarter was $223.6 million or 37.5% of revenue.

我們本季的營業收入為 2.236 億美元，佔營收的 37.5%。

Other income and expense for the quarter was a favorable $11.2 million, and our effective tax rate was lower at approximately 20%.

本季的其他收入和支出為 1,120 萬美元，有效稅率較低，約 20%。

The lower tax rate primarily reflected the finalization of certain tax reform positions based on updated IRS and regulatory guidance.

較低的稅率主要反映了根據更新的國稅局和監管指南確定的某些稅收改革立場。

This resulted in net income for the quarter of $187.7 million or 31.5%.

這使得該季度的淨利潤達到 1.877 億美元，即 31.5%。

Our diluted share number for the quarter was 81.2 million shares, resulting in a diluted earnings per share number for the quarter of $2.31, up 39.2% from the prior year.

我們本季的稀釋後股票數量為 8,120 萬股，導致本季稀釋後每股收益為 2.31 美元，比上一年增長 39.2%。

Now turning to the balance sheet.

現在轉向資產負債表。

Cash, cash equivalents and investments ended the quarter at approximately $2.2 billion.

本季末現金、現金等價物和投資約 22 億美元。

We generated $170 million of cash from operations in the quarter, reflecting strong net income performance, offset by new product-related working capital increases and a reduction in overall deferred revenue amount.

本季我們從營運中產生了 1.7 億美元的現金，反映出強勁的淨利潤表現，但被新產品相關營運資本的增加和整體遞延收入金額的減少所抵消。

DSOs came in at 41 days down from 51 days in Q4, reflecting strong collections activity and the timing of billings in the quarter.

DSO 的週期從第四季的 51 天減少到 41 天，反映出本季強勁的催收活動和計費時間。

Inventory turns were 2.5x, down from 3.3x last quarter.

庫存週轉率為 2.5 倍，低於上季的 3.3 倍。

Inventory increased to $347.2 million in the quarter, up from $264.6 million in the prior period.

本季庫存增加至 3.472 億美元，高於上一季的 2.646 億美元。

This primarily reflects increases in raw materials and finished goods as we ramp the supply chain for new products.

這主要反映了隨著我們加強新產品供應鏈，原材料和製成品的增加。

Our total deferred revenue balance was $536.5 million, down from $587.2 million in Q4.

我們的遞延收入餘額總額為 5.365 億美元，低於第四季的 5.872 億美元。

Our product deferred revenue balance decreased by approximately $80 million in the quarter, reflecting customer acceptance of the new features.

本季我們的產品遞延收入餘額減少了約 8,000 萬美元，反映出客戶對新功能的接受度。

This trend is consistent to 2018, and we also had a significant reduction of product deferred revenue in the first half of the year.

這個趨勢與2018年一致，上半年我們的產品遞延收入也大幅減少。

Accounts payable days were 38 days, down from 40 days in Q4, reflecting the timing of inventory receipts and payments.

應付帳款天數為 38 天，低於第四季的 40 天，反映了庫存收付的時間。

Capital expenditures for the quarter were $5.2 million.

該季度的資本支出為 520 萬美元。

In addition, we announced today that our Board of Directors has authorized a 3-year $1 billion stock repurchase program.

此外，我們今天也宣布，董事會已批准一項為期 3 年、價值 10 億美元的股票回購計畫。

This allows us to repurchase shares of our common stock opportunistically and will be funded from working capital.

這使我們能夠機會性地回購普通股，並將由營運資金提供資金。

Now turning to our outlook for the second quarter and beyond.

現在轉向我們對第二季及以後的展望。

As we look forward, we believe that we remain well positioned with our key cloud customers and are focused on expanding our presence in the enterprise and other verticals, especially as we bring new products to market in the second half of the year.

展望未來，我們相信我們在主要雲端客戶中仍處於有利地位，並專注於擴大我們在企業和其他垂直領域的業務，特別是當我們在下半年將新產品推向市場時。

While we executed across -- well across all key financial metrics in the March quarter, we saw some shortfall in demand at the back end of the period primarily from our service provider and cloud verticals.

雖然我們在三月季度執行了所有關鍵財務指標，但我們發現該時期後期的需求出現了一些短缺，主要來自我們的服務提供者和雲端垂直領域。

Our second quarter guidance assumes this trend continues through the June quarter, and we are managing the business on the assumption there may be some impact to the full year.

我們第二季的指導假設這種趨勢持續到整個六月季度，並且我們在管理業務時假設可能會對全年產生一些影響。

On the gross margin front, we would reiterate our overall gross margin outlook of 63% to 65% with customer mix being the key driver and indicating towards the upper end of the range for Q2 '19.

在毛利率方面，我們重申我們的整體毛利率前景為 63% 至 65%，其中客戶組合是關鍵驅動因素，並表明 19 年第二季將達到該範圍的上限。

We continue to invest in the expansion of the business, including the addition of sales headcount and resources.

我們繼續投資於業務擴張，包括增加銷售人員和資源。

We believe that with reasonable top line growth, we can continue to maintain operating margins at or above the previously discussed 35% range.

我們相信，透過合理的收入成長，我們可以繼續將營業利潤率維持在先前討論的 35% 的範圍或之上。

With this as a backdrop, our guidance for the second quarter, which is based on non-GAAP results and excludes any noncash stock-based compensation impacts and other nonrecurring items, is as follows: revenues of approximately $600 million to $610 million; gross margin of approximately 64% to 65%; operating margin of approximately 36%.

以此為背景，我們對第二季度的指導（基於非公認會計準則業績，不包括任何非現金股票薪酬影響和其他非經常性項目）如下： 收入約為 6 億至 6.1 億美元；毛利率約為64%至65%；營業利益率約36%。

Our effective tax rate is expected to be approximately 21% with diluted shares of approximately 81.7 million.

我們的有效稅率預計約為 21%，稀釋後股份約為 8,170 萬股。

I will now turn the call back to Charles.

我現在將把電話轉回給查爾斯。

Charles?

查爾斯？

Thank you, Ita, we are now going to move to the Q&A portion of the Arista earnings call.

謝謝 Ita，我們現在將進入 Arista 財報電話會議的問答部分。

(Operator Instructions)

（操作員說明）

(Operator Instructions) Your first question comes from Jason Ader with William Blair.

（操作員說明）您的第一個問題來自 Jason Ader 和 William Blair。

(technical difficulty)

（技術難度）

Your next question comes from Tejas Venkatesh.

您的下一個問題來自 Tejas Venkatesh。

I did want to dig in a little bit more into the 2Q guidance.

我確實想深入研究第二季的指導。

Given that in 1Q, cloud titans were still the top vertical, should we think that this is basically 1 cloud vendor and the others are pretty healthy?

鑑於在第一季度，雲端巨頭仍然是頂級垂直領域，我們是否應該認為這基本上是 1 個雲端供應商，而其他雲端供應商都相當健康？

And then I also noticed that the Tier 2 cloud in terms of ranking is a little bit below where it used to be.

然後我還注意到，二級雲的排名比以前低了一些。

So are you seeing weakness there as well?

那你也看到那裡的弱點了嗎？

And service provider, I think, was weak in 2018 also, so coming off somewhat of a weak base.

我認為，服務提供者在 2018 年也表現疲軟，因此基礎有些薄弱。

Perhaps you could talk about what's going on there as well?

也許你也可以談談那裡發生了什麼事？

Thanks, Tejas.

謝謝，特哈斯。

I think you successfully combined 3 questions in 1. I'll do my best to answer all 3. I think in terms of cloud titans for Q2, 1 in specific is going to contribute greatly to our different guidance than was expected.

我認為您成功地將3 個問題合併為1 個問題。我將盡力回答所有3 個問題。我認為就第二季度的雲端巨頭而言，具體而言1 個問題將為我們的不同指導做出比預期更大的貢獻。

But it isn't limited to 1, there are a multiple in there.

但不限於1，還有多個。

Some are doing well and some are not.

有些做得很好，有些則不然。

So if you add the puts and takes it's overall a net negative.

因此，如果您添加看跌期權和看跌期權，則總體上是淨負數。

We still expect it to be the #1 vertical in spite of everything.

儘管如此，我們仍然期望它成為排名第一的垂直領域。

It's a strong vertical for us.

這對我們來說是一個強大的垂直領域。

We see a lot of demand.

我們看到了很多需求。

We see strength in products.

我們看到了產品的實力。

We're competitively very strong and superior there.

我們在那裡的競爭力非常強大和優越。

In terms of the Tier 2 cloud specialty providers, they continue to do okay.

就二級雲端專業提供者而言，他們的表現仍然不錯。

I think the message you should read there is that our enterprise and financials are stronger, not so much that the cloud specialty is weak.

我認為你應該讀到的資訊是我們的企業和財務狀況更加強勁，而不是雲端專業能力較弱。

And that was to be expected as we start getting broader in the enterprise and as the Metamako acquisition came in.

隨著我們開始在企業中擴大業務範圍以及收購 Metamako，這是可以預料到的。

Service providers, nothing new, you are right, 2018 was a disappointment, as we said so in the last call.

服務提供者，沒什麼新鮮事，你是對的，正如我們在上次電話會議中所說，2018 年令人失望。

And it's an industry trend.

這是一個行業趨勢。

And Q1 was no different, and I'm not sure Q2 will be any different.

第一季沒有什麼不同，我不確定第二季會有什麼不同。

I expect it to be the last vertical in the segment.

我預計這將是該領域的最後一個垂直領域。

Your next question comes from Jim Suva with Citi.

您的下一個問題來自花旗銀行的吉姆·蘇瓦。

I believe, Jayshree, you mentioned that you typically get 1 to 2 quarters of visibility from your cloud titans.

我相信，Jayshree，您提到您通常會從雲端巨頭獲得 1 到 2 個季度的可見性。

So at this point, when we're -- talking here today in May, have they given you indications that the digestion will be completed as we kind of exit the June-July time period or is it still a little bit of risk or uncertainty?

因此，此時此刻，當我們今天在 5 月在這裡討論時，他們是否向您表明，隨著我們退出 6 月至 7 月的時間段，消化將完成，或者仍然存在一點風險或不確定性？

We're just trying to understand your conviction for the second half of the year.

我們只是想了解您對下半年的信念。

Thanks, Jim.

謝謝，吉姆。

I think we're still forming our conviction for the second half of the year.

我認為我們仍在對今年下半年形成信心。

We don't have a direct answer.

我們沒有直接的答案。

As you can tell, we have 6 weeks of data.

如您所知，我們有 6 週的數據。

6 weeks or even a quarter don't make a trend.

6週甚至一個季度都不會形成趨勢。

We do believe the digestion will complete by the end of Q2.

我們確實相信消化將在第二季末完成。

What we don't have clear visibility to is the new demand for second half of the year.

我們還不清楚下半年的新需求。

Your next question comes from Mitch Steves with RBC Capital Markets.

您的下一個問題來自 RBC 資本市場的 Mitch Steves。

I just want to follow up on the revenue trajectory.

我只是想跟進收入軌跡。

Last quarter, you guys made a public statement saying that you're comfortable, at least with the consensus estimates for the full year at that time was kind of around 21%, give or take.

上個季度，你們發表了一份公開聲明，表示你們感到滿意，至少當時全年的共識估計是 21% 左右。

Is that still the case or should we assume that the numbers should come down from that?

情況仍然如此，還是我們應該假設數字應該從此下降？

Mitch, first of all, I think the numbers should definitely come down for Q2.

米奇，首先，我認為第二季的數字肯定會下降。

And for further detail, I think we would want to be -- we're watching this closely.

對於更多細節，我認為我們希望——我們正在密切關注此事。

We want to be vigilant, and we really don't want to form an opinion until we have more data and can make one definitively.

我們想要保持警惕，並且在我們掌握更多數據並能夠做出明確的決定之前，我們真的不想形成任何意見。

So things were fine when we talked to you at the last call on Valentine's Day.

所以當我們在情人節最後一次通話時一切都很好。

And much of the change happened in the second half of March.

大部分變化發生在三月下半月。

Got it.

知道了。

And then just one quick one on the buyback, just a clarification there, it says opportunistic there.

然後是關於回購的一個簡短的說明，只是對此進行澄清，它說那裡是機會主義的。

What's like the rough metric you guys are using to, I guess, internally in terms of what you believe opportunistic is in terms of buying the stock?

我想，你們內部使用的粗略衡量標準是什麼，也就是你認為購買股票的機會主義是什麼？

Yes.

是的。

I mean we haven't disclosed those externally.

我的意思是我們還沒有對外披露這些。

We're not planning to disclose that externally.

我們不打算對外披露這一點。

I mean, again, we're putting the facility in place, so that we have the freedom to buy back the stock when we feel it's the right time, but we haven't set any hard limits on what that will be.

我的意思是，我們正在建立適當的設施，以便我們在認為合適的時候可以自由地回購股票，但我們沒有對此設定任何硬性限制。

I think it's important to look at this as a framework, and then the specifics will happen as they happen.

我認為將其視為一個框架很重要，然後細節就會隨著具體情況的發生而發生。

Your next question comes from Ittai Kidron with Oppenheimer.

您的下一個問題來自 Ittai Kidron 和奧本海默。

I guess going back to the cloud, Jayshree, I understand the pause.

我想回到雲，Jayshree，我理解這種停頓。

I guess maybe you can help me get some comfort that this is a pause and not something else.

我想也許你可以幫我安慰一下，這只是一個暫停，而不是其他事情。

How do you -- what is it that gives you comfort that this is not a design loss?

您如何—是什麼讓您確信這不是設計損失？

Can you potentially tie the pause to an architectural change that would explain such a pause?

您是否可以將暫停與可以解釋此類暫停的架構變更連結起來？

Historically, you've also mentioned that -- you always mention that you're very tied, very closely -- you have people actually working at your customers, that you have large cloud customers on premise, so they can see the builds.

從歷史上看，您也提到過——您總是提到您之間的聯繫非常緊密——您有人實際上為您的客戶工作，您有大量的本地雲端客戶，因此他們可以看到構建。

They can see when something runs perhaps a bit too hot, too cold, a bit too far from a build standpoint.

他們可以看到某些東西何時運行可能有點太熱、太冷、或與建造的角度有點太遠。

So I'm just, again, trying to understand; maybe can you give me some color that makes me feel that this is, again, a speed bump and not a loss of design or change in architecture or something else.

所以我只是再次嘗試理解；也許你能給我一些顏色，讓我覺得這又是一個減速帶，而不是設計的損失或架構的改變或其他什麼。

Yes, fair point, Ittai.

是的，公平點，Ittai。

Well, as you know, things were fairly linear when we talked to you in February, in fact, we were feeling quite confident.

嗯，如您所知，當我們二月份與您交談時，事情相當線性，事實上，我們感到非常有信心。

And we experienced a sudden change in mid-March and a sudden slowdown in orders, especially from the cloud titans.

我們在三月中旬經歷了突然的變化，訂單突然放緩，尤其是來自雲端巨頭的訂單。

So while I would love to give you comfort, we are watching.

因此，雖然我很樂意給您帶來安慰，但我們正在觀察。

We're not concluding.

我們還沒有下結論。

1 quarter for that matter, 6 weeks don't conclude a trend.

就這一點而言，6 週並不能得出一個趨勢。

But we felt it was really prudent for us to reflect that the health of the cloud titan business suddenly shifted in 6 weeks, right?

但我們認為，雲端巨頭業務的健康狀況在 6 週內突然發生變化，這對我們來說是非常謹慎的，對嗎？

So in terms of answering your question on market dynamics, we don't believe they've changed.

因此，就回答您有關市場動態的問題而言，我們認為它們沒有改變。

It's important to note that we're not experiencing any competitive dynamics that are different from the normal cycle.

值得注意的是，我們沒有經歷任何與正常週期不同的競爭動態。

We continue to gain share and have a tremendous opportunity both in the cloud data center and new markets at the campus.

我們不斷獲得份額，並在雲端資料中心和園區新市場中擁有巨大的機會。

So I wouldn't read anything into this 6 weeks except, as I said, especially 1 cloud titan specifically slowed down and paused most orders in Q2.

因此，我不會對這 6 週進行任何解讀，除非，正如我所說，特別是 1 家雲端巨頭在第二季度特別放慢並暫停了大多數訂單。

And those kind of things have an impact on our guidance.

這些事情都會影響我們的指導。

Your next question comes from Alex Kurtz with KeyBanc Capital Markets.

您的下一個問題來自 KeyBanc Capital Markets 的 Alex Kurtz。

Just to beat a dead horse here, obviously, you guys have had cloud titans in your forecasting process for many years now.

只是為了在這裡打敗一匹馬，顯然，你們的預測過程中已經有雲巨頭很多年了。

As Ittai just said, you're very close to the accounts.

正如 Ittai 剛才所說，你與帳目非常接近。

So I guess what caught you guys off guard as far as either rolling up the forecast from the sales organization and not seeing this coming?

所以我猜是什麼讓你們措手不及，要嘛匯總了銷售組織的預測，卻沒有預見到這一點？

Because obviously there's been volatility in the past with these accounts.

因為顯然這些帳戶過去曾出現過波動。

And I think we're all just trying to understand what changed, from kind of your prior process, around pipeline management.

我認為我們都只是想了解與之前的流程相比，管道管理發生了什麼變化。

Yes.

是的。

No, Alex, that's a good question.

不，亞歷克斯，這是個好問題。

I'm going to ask Anshul, who's the closest, he's our newly appointed COO but the one who lives and breathes this daily, to give you a color.

我要請最親近的 Anshul 給你一種顏色，他是我們新任命的首席營運官，也是每天生活和呼吸的人。

Anshul, you want to say more?.

安舒爾，你還想多說嗎？

Sure.

當然。

So Alex, we are continuing to win in various [cores] for the cloud companies, both within the data center as well as DCI.

因此，Alex，我們將繼續為雲端公司贏得各種[核心]的勝利，無論是在資料中心還是 DCI 內。

There's really no real change there.

那裡確實沒有真正的變化。

However, some of the cloud companies are spending in Q2, but some are just not spending.

然而，一些雲端公司在第二季度進行了支出，但有些則沒有支出。

And that was a very hard shift that they made in late March, as Jayshree mentioned.

正如 Jayshree 所說，這是他們在三月下旬做出的一個非常艱難的轉變。

That's all that there is to it.

這就是全部內容了。

We still work very closely with these companies, the joint R&D is great like you saw with our core development with Facebook.

我們仍然與這些公司密切合作，聯合研發非常棒，就像您在我們與 Facebook 的核心開發中看到的那樣。

So to the previous team, there's no real shift in designs on architecture.

所以對於之前的團隊來說，架構設計並沒有真正的轉變。

We're doing very well.

我們做得很好。

We're still winning all the designs that we have been winning and more.

我們仍在贏得我們已經贏得的所有設計以及更多。

But some of these companies simply paused, absorbing their own inventory buildup and, hence, they're just not spending.

但其中一些公司只是停下來，吸收自己庫存的增加，因此，他們只是不花錢。

Your next question comes from Rod Hall with Goldman Sachs.

你的下一個問題來自高盛的羅德·霍爾。

I guess I won't beat the dead horse anymore.

我想我不會再打敗那匹死馬了。

I want to ask about the -- I do want to ask about -- I think the comment you made before, Jayshree, suggested that maybe you're rethinking the full year growth, though.

我想問一下——我確實想問一下——我認為 Jayshree，你之前發表的評論表明，也許你正在重新考慮全年的成長。

And I just want to be clear that you -- at this point, you guys may come back to us with an update on what you think that growth is.

我只是想明確表示，此時此刻，你們可能會回來告訴我們你們對成長的最新看法。

And then the second question I have is on service providers.

我的第二個問題是關於服務提供者的。

I kind of thought, service providers, you felt that it bottomed out and you're calling it out as a little bit of a negative in the guide.

我想，服務提供者，你們覺得它已經觸底，你們在指南中稱其有點負面。

I don't know is it a small negative or if service providers continue to weaken out from under you in a way that you maybe didn't anticipate?

我不知道這是否是一個小小的負面影響，或者服務提供者是否繼續以一種您可能沒有預料到的方式削弱您的力量？

Okay.

好的。

Yes, Rod, I think, first of all, thank you for not asking the same questions, at least we have some diversity and understanding.

是的，羅德，我想，首先，感謝你沒有問同樣的問題，至少我們有一些多樣性和理解。

We've answered it already as best we can.

我們已經盡力回答了。

Specific to the full year, Ita, I don't know if you want to comment, but I think, at this point, this -- concluding the full year with 6 weeks of data would not be correct.

具體到全年，Ita，我不知道你是否想發表評論，但我認為，在這一點上，用 6 週的數據來結束全年是不正確的。

We're concluding Q2 from a guide, and we'd like your patience.

我們正在結束指南中的第二季度，希望您耐心等待。

And we'd like our vigilance in deciding how it flows through the year.

我們希望在決定這一年如何流動時保持警惕。

Ita, you want to comment on that?

Ita，你想對此發表評論嗎？

Yes, I think Rod, the only I'd add is I think from a spend perspective, from a -- in terms of managing the business, I mean, we are -- obviously, we see what we see for Q2, but we are managing that cautiously as we look to the back half of the year, again, not because we necessarily we have any clear visibility to a plus or a minus there, but we just think that's prudent.

是的，我認為羅德，我唯一要補充的是，我認為從支出的角度來看，從管理業務的角度來看，我的意思是，我們——顯然，我們看到了第二季度的情況，但我們當我們展望今年下半年時，我們正在謹慎地管理這一點，這並不是因為我們一定對那裡的利弊有任何清晰的可見性，但我們只是認為這是謹慎的。

So you will see us kind of invest on the sales side and drive some leverage on the R&D side and help kind of manage earnings and EPS until we know where we stand.

因此，你會看到我們在銷售方面進行投資，在研發方面提高一些槓桿作用，並幫助管理收益和每股收益，直到我們知道自己的處境。

Yes.

是的。

And regarding service providers, no, I would say it contributed a little bit to Q1.

至於服務提供者，不，我想說它對第一季做出了一些貢獻。

We expect it to contribute a little bit to Q2.

我們預計它會對第二季做出一點貢獻。

But the largest shortfall was due to the cloud titans.

但最大的缺口是由於雲端巨頭。

Any -- could you get any update on campus?

任何－你能得到校園的任何最新消息嗎？

I mean I know you won a couple of people last time.

我的意思是我知道你上次贏了幾個人。

Any updates there?

有更新嗎？

Well, I think I'd say 2 things.

嗯，我想我會說兩件事。

You'll hear more about this from our June Analyst Day.

您將在我們的六月分析師日聽到更多相關資訊。

We want to get into more detail there.

我們想在那裡了解更多細節。

But the 2 things I'll generally say is the Mojo acquisition has been very successfully integrated.

但我一般要說的兩件事是 Mojo 收購已經非常成功地整合了。

And that is playing -- they're seeing a lot more activity in campus from that.

這就是玩耍——他們看到校園裡有更多的活動。

But we're also seeing a lot of fundamental cognitive architectural activity.

但我們也看到了許多基本的認知架構活動。

Customers are really liking our approach to a 2-tier campus design, much more focused on client steering, better service assurance, native OpenConfig support.

客戶非常喜歡我們的 2 層園區設計方法，更注重客戶端引導、更好的服務保證和原生 OpenConfig 支援。

Our X3 Splines that our competitors are playing catch up to, a year later, has been very well received and deployed.

一年後，我們的競爭對手正在追趕我們的 X3 樣條曲線，並獲得了廣泛的好評和部署。

And finally, CloudVision for the campus is really coming onto its own.

最後，面向校園的 CloudVision 真正發揮了作用。

So more in June, but a very promising start.

六月的情況更多，但這是一個非常有希望的開始。

Your next question comes from Paul Silverstein with Cowen & Company.

您的下一個問題來自 Cowen & Company 的 Paul Silverstein。

Jayshree, I'm going to ask knowing what the answer is, but any -- can you give us any sense for how much revenue you can generate in campus?

Jayshree，我要問知道答案是什麼，但是任何 - 你能給我們任何關於你可以在校園中產生多少收入的信息嗎？

Either in a range or point number, what you're thinking for the year?

無論是在範圍還是點數上，您對今年的想法是什麼？

Paul, I do -- I actually, do want to answer that question, but can I do so at the Analyst Day?

保羅，我確實想回答這個問題，但我可以在分析師日回答這個問題嗎？

That's what I figured.

我就是這麼想的。

It's better than saying never, right?

這總比說永遠好，對吧？

Yes, I appreciate that.

是的，我很欣賞這一點。

Then I'll apologize, if I may, I am going to go back to the questions that have been asked, again and again.

然後我會道歉，如果可以的話，我會一次又一次地回到已經被問過的問題。

My simple question is, you referenced 1 particular cloud titan is going cold turkey, and the others -- I don't know if you were referencing all the others or most of the others as having "paused".

我的簡單問題是，你提到了一個特定的雲泰坦即將徹底消失，而其他的問題——我不知道你是否提到所有其他或大多數其他雲泰坦已經「暫停」。

The material...

材料...

Sorry, let me just correct you, Paul.

抱歉，讓我糾正你，保羅。

We said 1 particular cloud titan put most of the orders on hold in Q2.

我們說，有一家雲端巨頭在第二季擱置了大部分訂單。

But we also said some of the cloud Titans are doing well in Q2.

但我們也表示，一些雲端巨頭在第二季表現良好。

And then I think 1 or 2 others are -- haven't put their orders on hold but are not doing as well as we'd expect them to.

然後我認為還有一兩個人——沒有擱置他們的訂單，但他們的表現沒有我們預期的那麼好。

So if you sort of balance the pluses and minuses, out of the 5 cloud titans, we had 2 doing well, 2 not doing well and 1 neutral, something like that.

因此，如果你平衡一下優點和缺點，在 5 個雲端巨頭中，我們有 2 個做得很好，2 個做得不好，還有 1 個處於中立，類似這樣。

All right.

好的。

And the difference between the 2 that were somewhat soft and the 1 that was, it sounds like just stopped.

2 號有點軟和 1 號之間的區別是，聽起來就像剛剛停止一樣。

With the other 2, you think that's also digestion of previous deployments as they catch up to demand or there's something different going on there?

對於另外兩個，您認為這也是對先前部署的消化，因為它們趕上了需求，或者那裡發生了一些不同的事情？

No.

不。

We don't think it's all related to digestion.

我們不認為這都與消化有關。

We think it's a combination of digestion and their own decisions on how to spend CapEx.

我們認為這是消化和他們自己關於如何花費資本支出的決定的結合。

And you think the CapEx decisions are just timing decisions or something else?

您認為資本支出決策只是時間決策還是其他決策？

Yes.

是的。

When do they put their new data centers, when do they spend, when do they have leases, and et cetera.

他們什麼時候放置新資料中心、何時花錢、何時租賃等等。

And generally, we don't correlate exactly to a quarter, but eventually we correlate, meaning, you can see a significant shift from all the earnings calls you're seeing on the cloud titans and the CapEx spend reducing from 2018 to 2019.

一般來說，我們不會與季度完全相關，但最終我們會相關，這意味著，您可以看到雲端巨頭的所有財報電話會議發生了重大轉變，並且資本支出從2018 年到2019 年有所減少。

So absorption, the completion of absorption will affect us some, but we would also like to see them spend more in 2019.

所以吸收，吸收的完成會對我們產生一些影響，但我們也希望看到他們在2019年花更多的錢。

And currently, they're spending less, some of them.

目前，他們中的一些人的支出正在減少。

Okay.

好的。

And just 1 quick final question for me.

最後還有一個問題想問我。

On the service provider piece, I'm a little bit surprised to hear you call it out in the sense that service provider has been -- if I'm not mistaken it's proven to be more challenging than you all thought from the get-go.

在服務提供者方面，我有點驚訝地聽到你從服務提供者的意義上說出來——如果我沒記錯的話，事實證明它比你們從一開始就想像的更具挑戰性。

That doesn't sound like it's new and different.

這聽起來並不新鮮和不同。

So when you talk about softness in service provider, I assume you mean softness versus your expectations.

因此，當您談論服務提供者的軟性時，我認為您指的是與您的期望相比的軟性。

And I assume that in turn at least implies that it softened even further than the previous challenge you found in terms of how far, how fast your penetration.

我認為這至少意味著它比你之前發現的挑戰更加軟化，即滲透的距離和速度。

I mean you're a new player in the market, when you first came in.

我的意思是，當你第一次進入市場時，你是市場上的新玩家。

For you it should all be share gain, the total -- the nature in-demand should be relatively less important in terms of your progression.

對你來說，這一切都應該是份額收益，整體來說，需求的本質對你的進步來說應該相對不那麼重要。

I recognize it's not immaterial.

我承認這並非無關緊要。

But again, the simple question would be did it soften further?

但同樣，一個簡單的問題是它是否會進一步軟化？

Yes.

是的。

Simple answer in 1 word is yes.

一言以蔽之，答案是肯定的。

Your next question comes from Simon Leopold with Raymond James.

您的下一個問題來自西蒙·利奧波德和雷蒙德·詹姆斯。

So I wanted to rather than talk about revenue trends maybe see if you could shed some light on your expense trends.

因此，我不想談論收入趨勢，也許看看您是否可以闡明您的支出趨勢。

And specifically, where I'm going with this line of questioning is to get a better sense of really what you need to do to expand market, so to get beyond the cloud for things like success in campus.

具體來說，我提出這個問題的目的是為了更好地了解您需要做什麼來擴展市場，從而超越雲端以實現校園成功等目標。

I noted you had relatively high sales and marketing back in the December quarter, a little bit lighter this quarter, but the trend's higher.

我注意到你們在 12 月季度的銷售和行銷相對較高，本季略有下降，但趨勢更高。

Help us understand what you need to do to broaden your marketplace and be successful in areas like campus from an expense perspective.

幫助我們從費用角度了解您需要採取哪些措施來拓寬市場並在校園等領域取得成功。

Sure.

當然。

Simon, I think Manny covered this, and Anshul, maybe you want to add to it.

Simon，我想 Manny 已經介紹了這一點，Anshul，也許你想補充一下。

But I think there are 3 things we are doing and we need to continue to do in the campus to get stronger.

但我認為我們正在做的三件事，以及我們需要在校園裡繼續做的事情，才能變得更強。

The first is we just have to invest more in enterprise coverage across the world.

首先，我們必須在全球企業覆蓋範圍上投入更多資金。

We're stronger in the U.S. and internationally, but the global footprint, every single major company has a campus.

我們在美國和國際上更強大，但在全球範圍內，每家大公司都有一個園區。

So we've got tremendous TAM there and tremendous opportunity and we got to put more feet on the street.

因此，我們在那裡擁有巨大的 TAM 和巨大的機會，我們必須在街上投入更多的精力。

So you watch us continue to invest there.

所以你會看到我們繼續在那裡投資。

And I think campus will be actually more of a horizontal opportunity for us, more than just a vertical opportunity.

我認為校園對我們來說實際上更多的是橫向機會，而不僅僅是縱向機會。

So that's one.

這就是其中之一。

The second and important thing we have to also do is win quickly with the customers who are most familiar with us, the 5,000 customers who know and love and appreciate EOS and the quality and the single binary image and the CloudVision, state-oriented management and change control.

我們要做的第二件也是重要的事情是快速贏得最熟悉我們的客戶，5000 名了解、熱愛和欣賞 EOS 的客戶，以及品質、單一二進位鏡像、CloudVision、面向狀態的管理和切換控制。

This will be an important -- watch for us to have customer wins there because they obviously have already worked with us.

這將是一個重要的事情——注意我們在那裡贏得客戶，因為他們顯然已經與我們合作了。

And the final is not everything can be a direct customer touch.

最後並不是所有的事情都可以直接與客戶接觸。

You will see Manny and Anshul and the team investing heavily in a very razor-sharp focus on channels.

你會看到 Manny 和 Anshul 以及團隊在通路上投入了大量資金。

Not all channels are equal, but a combination of the lead channels as well as regional channels, geographies and perhaps even some systems integrators will be important.

並非所有通路都是平等的，但領先通路以及區域通路、地理位置甚至某些系統整合商的組合將很重要。

Anshul, do you want to add to that?

安舒爾，你想補充嗎？

No, that's pretty much it.

不，差不多就是這樣了。

And we'll talk more about this on the Analyst Day as well when we talk about campus overall.

當我們談論校園整體時，我們也會在分析師日更多地討論這一點。

Any chance we could maybe get a little bit of quantification around the rate of hiring or rate of expense growth we should expect for the year, what you're budgeting for?

我們是否有可能對今年的招募率或費用成長率進行一些量化，您的預算是多少？

I think from a budget perspective, it's going to be double what we did last year in people.

我認為從預算的角度來看，我們在人員方面的投入將是去年的兩倍。

Yes, and I think what you should expect, Simon, is we'll -- at least for the foreseeable future, we're looking to kind of leverage, drive some leverage in R&D to kind of offset that incremental spending on sales and marketing.

是的，我認為你應該期望的是，西蒙，我們將會——至少在可預見的未來，我們正在尋求某種槓桿，推動研發方面的一些槓桿，以抵消銷售和行銷方面的增量支出。

And then we'll see, at the top line -- kind of we see what happens at the top line, we can -- we'll revisit that.

然後我們會看到，在頂行——我們可以看到頂行發生了什麼——我們將重新審視這一點。

But I think sales and marketing and go-to-market investments are the priority from our perspective at this point.

但我認為，從我們的角度來看，銷售和行銷以及上市投資是目前的首要任務。

Your next question comes from James Faucette with Morgan Stanley.

您的下一個問題來自摩根士丹利的詹姆斯·福賽特。

I wanted to try to avoid killing a different horse, but I'm going to change topics.

我想盡量避免殺死另一匹馬，但我要改變話題。

So the question I have is like when you look at your non-camp or your non-cloud titan, non-service provider customers and that group, you have indicated that those continue to do well.

因此，我的問題是，當您查看非陣營或非雲端巨頭、非服務提供者客戶和該群體時，您已經表明這些客戶繼續表現良好。

I'm wondering if you can give some color in terms of makeup of customers, if that's changing at all, and what's going on from a geographic basis?

我想知道您是否可以就顧客的組成提供一些信息，這種情況是否有變化，以及從地理角度來看發生了什麼變化？

And where you're maybe seeing strength or kind of how that's evolving on a geography by geography basis?

您可能會在哪裡看到力量或力量是如何在各個地理區域基礎上演變的？

And then just a quick other question for Ita is that versus our model at least your tax rate was a lot lower this quarter than we had modeled.

對於 Ita 來說，另一個簡單的問題是，與我們的模型相比，至少本季你們的稅率比我們建模的要低得多。

And I'm just wondering if something was happening there and how we should think about that going forward?

我只是想知道那裡是否發生了一些事情以及我們應該如何考慮未來的情況？

Yes, maybe I'll take that one first.

是的，也許我會先拿那個。

So we did finalize some tax positions around GILTI and some other stuff that came out of the tax reform this quarter and with that saw a reduction.

因此，我們確實圍繞 GILTI 和本季稅收改革中產生的其他一些內容最終確定了一些稅收立場，並隨之減少。

So it was actually 20% in Q1.

所以第一季其實是 20%。

I think structurally, over time, it's probably higher than that.

我認為從結構上來說，隨著時間的推移，它可能會更高。

We're guiding 21% for Q2.

我們對第二季的指引為 21%。

I think that's probably a good place to be until we see how it settles in.

我認為這可能是一個好地方，直到我們看到它如何安定下來。

But it's come down off of -- we were in the 61.5% type range but we've come down from that.

但它已經下降了——我們在 61.5% 的類型範圍內，但我們已經從這個範圍下降了。

So I think 21% is probably a good place to be now.

所以我認為 21% 現在可能是一個不錯的位置。

Thanks, James.

謝謝，詹姆斯。

To answer the question, I didn't have all the information on my fingertips, but what we're seeing is a very healthy uptick in logos both in the United States as well as in EMEA.

為了回答這個問題，我並沒有掌握所有信息，但我們看到美國和歐洲、中東和非洲地區的徽標數量都在健康增長。

So new logos are trending well in Q1.

因此，新徽標在第一季的趨勢良好。

And we expect that to continue through 2019.

我們預計這種情況將持續到 2019 年。

In terms of new verticals, we don't see a trend, but we're definitely seeing strength in media, entertainment, financials, health care.

就新的垂直領域而言，我們沒有看到趨勢，但我們確實看到了媒體、娛樂、金融、醫療保健領域的實力。

These tend to be our top 3 verticals, I think, at the moment and no reason we wouldn't start seeing more in education and some of the other places as well.

我認為，目前這些往往是我們前三名的垂直領域，我們沒有理由不開始在教育和其他一些領域看到更多。

High-tech enterprise generally is a strong vertical for us.

高新技術企業總體上對我們來說是一個強大的垂直領域。

So I think we are continuing to make our verticals horizontal, if you will, by participating in more customers and more mid- to large enterprises.

因此，我認為，如果您願意的話，我們將繼續透過參與更多客戶和更多中大型企業來使我們的垂直行業橫向發展。

Anshul, you had a good statistic on how many Fortune 5000 and Global 2000s are in this, that would be a good data point.

Anshul，您對其中有多少財富 5000 強和全球 2000 強有很好的統計，這將是一個很好的數據點。

Sure.

當然。

At this time, roughly 25% of the Fortune 500 are Arista customers and just under 20% of the Global 2000 are Arista customers.

目前，大約 25% 的財富 500 強企業是 Arista 客戶，近 20% 的全球 2000 強企業是 Arista 客戶。

And these statistics have been improving every quarter.

這些統計數據每季都在改善。

But we are winning in the broad enterprise as well, not just our initial verticals.

但我們也在更廣泛的企業中獲勝，而不僅僅是我們最初的垂直領域。

Yes, that's very promising.

是的，這非常有希望。

Your next question comes from Tal Liani with Bank of America.

您的下一個問題來自美國銀行的塔爾·利亞尼。

First, I always thought that making us work on the Valentine's day evening is a bad karma and now I got my confirmation for that.

首先，我一直認為讓我們在情人節晚上工作是一種惡業，現在我得到了證實。

I want to ask -- yes, yes next time, don't do it that night.

我想問——是的，是的，下次，那天晚上不要這樣做。

Next, I want to ask a question on your routers.

接下來我想問一個關於你們路由器的問題。

You said before that service providers have still difficulties to accept or to take your vision for the routers, that you're seeing more difficulties to sell routers to service providers than you had anticipated.

您之前說過，服務提供者仍然難以接受或接受您對路由器的願景，您發現向服務提供者銷售路由器比您預期的困難更多。

Can you give us an update on what's their vision and if there is any change in the willingness of providers to take your 75R (sic) [7500R]?

您能否向我們介紹他們的願景以及提供者接受您的 75R（原文如此）[7500R] 的意願是否有任何變化？

Yes.

是的。

No, that's a good question, Tal.

不，這是一個好問題，塔爾。

So I think there's really a fundamental difference between routers and routing.

所以我認為路由器和路由之間確實存在根本差異。

Routers were built at the time where you had different kind of LAN and WAN interfaces, generally low port density, generally 10 to 100x the price of a port and generally custom ASICs.

路由器是在具有不同類型的 LAN 和 WAN 介面的時候建構的，通常連接埠密度較低，通常是連接埠價格的 10 到 100 倍，並且通常是客製化 ASIC。

And what Arista's done is to shift that to modern merchant silicon, whether it's Jericho or Jericho Plus or Jericho next gen in the future and cut down the number of layers.

Arista 所做的就是將其轉移到現代商用晶片，無論是 Jericho、Jericho Plus 還是未來的下一代 Jericho，並減少層數。

And -- but service providers, unlike the cloud providers, have needed more time to operationalize it.

而且，與雲端提供者不同，服務提供者需要更多時間來實施它。

They believe the strategy.

他們相信這個策略。

They can't go as fast on the implementation.

他們無法那麼快地實施。

However, we have had success with a couple of use cases.

然而，我們在幾個用例上取得了成功。

Anshul, you want to comment on that?

安舒爾，你想對此發表評論嗎？

Sure.

當然。

Absolutely.

絕對地。

Look, the RFP cycles and the contract cycles are fairly long for the service providers.

看，對於服務提供者來說，RFP 週期和合約週期相當長。

So we do have lots of international activity, but the sales cycles are longer.

所以我們確實有很多國際活動，但銷售週期更長。

In the U.S., the MSOs are steady state products, so we do well over there.

在美國，MSO 是穩態產品，所以我們在那裡做得很好。

We do well in the Telco cloud, which is the data center but that the telcos built.

我們在電信雲端方面做得很好，這是電信公司建造的資料中心。

But the rest of the telco is what's been slow.

但電信公司的其他部分卻進展緩慢。

Yes, and because they have an old RFP and we have a new RFP, so they haven't jived.

是的，因為他們有一個舊的 RFP，而我們有一個新的 RFP，所以他們還沒有動搖。

Got it.

知道了。

I -- can I ask a follow-up question on something that's everyone asked, but I have it -- I want to look at it differently.

我——我可以就每個人都問過的問題提出一個後續問題嗎？但我有——我想以不同的方式看待它。

There is 1 big customer that grew 100-plus percent for you.

有 1 個大客戶為您帶來了 100% 以上的成長。

And it will -- we will understand if that customer is pausing because it's abnormal to see this kind of growth.

我們會了解該客戶是否因為看到這種成長是不正常的而暫停。

The question is what is the growth in cloud in aggregate if you remove that specific customer?

問題是，如果刪除該特定客戶，雲端運算的整體成長是多少？

In aggregate, did this group grow or not grow this quarter or the guidance, I mean?

總的來說，這個群體本季或指導是否成長？

Yes, I don't know that we're going to break that out at this point, Tal.

是的，我不知道我們現在要解決這個問題，塔爾。

I think the concentration on a single customer is probably appropriate.

我認為專注於單一客戶可能是合適的。

But I don't know that we're going to try to -- separate out the vertical, inside of the vertical by [customer], like that -- yes.

但我不知道我們是否會嘗試——將垂直領域、垂直領域內部的[客戶]分開，就像這樣——是的。

Your next question comes from Samik Chatterjee with JPMorgan.

您的下一個問題來自摩根大通的 Samik Chatterjee。

So, a much easier question from me.

所以，我提出了一個更簡單的問題。

I'm just trying to kind of think about the co-products -- switch product that you co-developed with Facebook and kind of the implications around that, given that at OCP, Facebook sounded like very enthusiastic about going through with the implementation quickly as well as kind of, I mean, sounds like a preferred position with the customer.

我只是想思考一下聯合產品——你與 Facebook 共同開發的切換產品以及與之相關的影響，考慮到在 OCP，Facebook 聽起來非常熱衷於快速完成實施我的意思是，這聽起來像是客戶的首選位置。

So can you just help me think about kind of what the implications here are in terms of what you're thinking, in terms of market share opportunity?

那麼您能否幫我思考一下您的想法以及市場佔有率機會的含義是什麼？

And kind of what does this imply in terms of a position with the other cloud providers as well?

這對於其他雲端提供者的地位意味著什麼？

Sure.

當然。

Samik, this is Anshul.

薩米克，這是安舒爾。

I'll take that one.

我會接受那個。

We've often talked about joint development with our cloud titan customers and the announcement at OCP was a perfect example of that.

我們經常談論與雲端巨頭客戶的共同開發，OCP 上的公告就是一個完美的例子。

The world is no longer about build versus buy.

世界不再是建造與購買的問題。

The cloud companies have too many projects to do and very few people to do those.

雲端公司有太多的專案要做，而做這些的人卻很少。

So they do want to build and buy and they look for the right partners to do these joint developments with.

因此，他們確實想要建造和購買，並且他們尋找合適的合作夥伴來進行這些共同開發。

And as you saw, we do have a preferred position there.

正如您所看到的，我們確實在那裡擁有優先地位。

This is one of the examples of things we work on.

這是我們所做工作的例子之一。

We do work on similar projects for other cloud customers as well.

我們也為其他雲端客戶進行類似的專案。

Some of those are never talked about publicly, but we feel very good with our position there as well.

其中一些從未公開談論過，但我們也對我們在那裡的地位感到非常滿意。

So to the earlier comment, we do very well with these companies.

因此，根據先前的評論，我們與這些公司合作得很好。

So this is not to avoid -- mean that we are losing designs or anything like that, I think we are doing very well technology-wise.

所以這並不是要避免的——這意味著我們正在失去設計或類似的東西，我認為我們在技術方面做得非常好。

It's a matter of spend that did not align.

這是一個支出不一致的問題。

But you're right, it's a great opportunity for us.

但你是對的，這對我們來說是一個很好的機會。

And I think we have the best position in the overall market to capitalize on that.

我認為我們在整個市場中擁有最好的地位來利用這一點。

I think this is a very exciting example of joint collaboration which serves Facebook well but also serves all of our enterprise customers well.

我認為這是一個非常令人興奮的聯合合作範例，不僅為 Facebook 提供了良好的服務，也為我們所有的企業客戶提供了良好的服務。

We've turned around and seen a lot of activity with enterprise customers with this product.

我們回過頭來發現，企業客戶對此產品進行了許多活動。

So it's been very good.

所以這非常好。

Your next question comes from Jeff Kvaal with Nomura Instinet.

您的下一個問題來自 Nomura Instinet 的 Jeff Kvaal。

I'd like to stick with the cloud titan.

我想繼續使用雲泰坦。

Let's go a little bit further out a bit.

讓我們再往前走一點。

I think one of the things that we have talked about as a group in prior calls is rising complexity of some of the cloud titan networks.

我認為我們在之前的電話會議中作為一個團隊討論的一件事是某些雲端巨頭網路的複雜性不斷上升。

Can you talk a little bit about to what extent that is helping you now?

您能談談這對您現在有多大幫助嗎？

Are their future design topologies that are in the works that should be helpful in the future?

他們正在開發的未來設計拓樸對未來會有幫助嗎？

Or conversely, is that a risk if other rival vendors are able to use those topologies as an insertion point?

或者相反，如果其他競爭對手供應商能夠使用這些拓撲作為插入點，這是否有風險？

That would be helpful.

那會有幫助的。

Jeff, this is Jayshree.

傑夫，這是傑什裡。

I think one of the biggest virtues of the cloud titans is, they remove the complexity and make it elegant and simple.

我認為雲端巨頭最大的優點之一是，它們消除了複雜性並使其優雅而簡單。

But having said that, one of the virtues or one of the challenges they have is scale and they always need the uptime and availability.

但話雖如此，他們面臨的優點之一或挑戰之一是規模，而且他們始終需要正常運行時間和可用性。

So when you look at what they've done, they've built this tremendously flat fact leaf/spine network.

因此，當你看看他們所做的事情時，他們已經建立了這個極其平坦的事實葉/脊椎網絡。

It's accepted many tiers of leaf and many tiers of spine for different use cases.

它針對不同的用例接受多層葉子和多層脊柱。

I don't view this as complexity.

我不認為這很複雜。

I view that as removing the complexity to address many more use cases which Arista and especially Anshul and the team have done very, very well.

我認為這消除了解決更多用例的複雜性，Arista，尤其是 Anshul 和團隊做得非常非常好。

So when you look at spine, there's regional spine, there's DCI, there's security options, there's different types of routing use cases.

因此，當您查看主幹時，會發現有區域主幹、DCI、安全選項以及不同類型的路由案例。

And obviously, there are also at the very low end, different types of leaf, including integration with Facebook or SONiC in the case of Microsoft.

顯然，在非常低階的領域也有不同類型的 leaf，包括與 Facebook 或 SONiC（例如 Microsoft）的整合。

Another area of great elegance is OpenConfig and the models we develop there.

另一個非常優雅的領域是 OpenConfig 和我們在那裡開發的模型。

So I would say what's happened is the diversity by use cases has led to many more examples of how we can work with the cloud providers, and it's not just 1 design.

所以我想說的是，用例的多樣性帶來了更多我們如何與雲端供應商合作的例子，而這不僅僅是一種設計。

But the word complexity doesn't come to mind, the word elegance comes to mind.

但我的腦海中並沒有出現「複雜」這個詞，而是出現了「優雅」這個詞。

Anshul, I don't know if you want to add some more to that.

Anshul，我不知道你是否想補充一些。

No.

不。

It's really the scale, right?

這確實是一個尺度，對吧？

The scale is getting larger and larger, and they have to design systems to manage that.

規模越來越大，他們必須設計系統來管理它。

But we do very well with these customers, so we're not worried about that.

但我們與這些客戶相處得很好，所以我們並不擔心這一點。

Yes.

是的。

I think it's simply that we've now gone from the first innings of all of this to the second or third, finally.

我認為這只是我們現在已經從第一局終於進入了第二局或第三局。

So there's many more left, but it's no more early days.

所以還有很多事情要做，但現在已經不再是早期了。

Well, maybe let me rephrase a little bit and say as these use cases grow, is there like a -- should we be expecting the pace of your ability to insert into these new use cases to pick up?

好吧，也許讓我換個說法，隨著這些用例的成長，我們是否應該期望您插入這些新用例的能力會加快？

And I'm thinking particularly of routing use cases, for example.

例如，我特別考慮路由用例。

Yes, yes.

是的是的。

Yes.

是的。

No, I think you can expect that and you should have seen that already in the last year when we did, when we moved to 100-gig with many of our cloud titans.

不，我認為您可以預料到這一點，並且您應該在去年我們這樣做時就已經看到了這一點，當時我們與許多雲端巨頭一起遷移到 100 台。

We also moved tremendously fast to routing in those use cases with FlexRoute.

在使用 FlexRoute 的這些用例中，我們也以極快的速度轉向路由。

And the same thing is likely to happen as our customers move from just 100-gig alone to a hybrid combination of 100 and 400.

當我們的客戶從 100 台單獨轉向 100 台和 400 台的混合組合時，同樣的事情也可能發生。

You can expect the familiarity in routing and the pickup to -- and the qualification time to compress.

您可以期待對路線和接送的熟悉程度，以及資格時間的壓縮。

Your next question comes from Erik Suppiger with JMP Securities.

您的下一個問題來自 JMP 證券的 Erik Suppiger。

So on Microsoft, I think last year was 27%, that was up from 16%.

對於微軟，我認為去年是 27%，高於 16%。

I think you had said that you thought it would probably go back to 16% or mid-teens type percent contribution.

我想你曾說過你認為貢獻率可能會回到 16% 或十幾歲左右。

Would you anticipate that it will still be in the mid-teens as a contribution in 2019?

您預計 2019 年的捐款金額仍將維持在十幾歲左右嗎？

I don't know if we can guess that without knowing the second half.

我不知道在不知道下半場的情況下我們是否能猜到這一點。

But I think it's safe to say it's around there for now.

但我認為可以肯定地說它目前就在那裡。

It's as good an answer as the one we gave you in February.

這和我們二月給你的答案一樣好。

Okay.

好的。

So you haven't changed your expectation in terms of the contribution from Microsoft, is that correct?

那麼您對微軟貢獻的期望沒有改變，對嗎？

Based on 1 quarter Q2 guide, no.

根據第二季第一季指南，沒有。

We'll have to see the second half, and then we'll know better.

我們必須看到下半場，然後我們才會知道更多。

Does that make sense?

那有意義嗎？

Yes, that makes sense.

是的，這是有道理的。

One quick one, your deferred revenue came down some.

很快，你的遞延收入就下降了一些。

Was the change in the deferred revenue, was that what you would have expected as you entered the March quarter?

遞延收入的變化是您進入三月季度時所預期的嗎？

Or did the deferred revenue -- your recognition of deferred revenue, did that change at all during the course of the quarter from your expectations?

或遞延收入－您對遞延收入的確認，在本季期間是否與您的預期發生了根本變化？

No, I think we knew that we had -- and we talked a lot about this on the last call, right, we knew that we had some products that were waiting for customer acceptance.

不，我想我們知道我們已經 - 我們在上次通話中談論了很多，對，我們知道我們有一些產品正在等待客戶接受。

And I think there wasn't anything particularly unusual around that.

我認為這並沒有什麼特別不尋常的地方。

And it's also kind of very similar to what we saw in Q1 last year.

這也與我們去年第一季看到的情況非常相似。

So I think that the impact of that is pretty much as you'd expect.

所以我認為它的影響幾乎正如你所期望的那樣。

The real big change, Erik, again, just to be completely transparent and direct was the change in demand for our products in late March and April.

艾瑞克，真正的重大變化，再次，完全透明和直接的是三月底和四月份對我們產品的需求變化。

Your next question comes from Ahmed Badri with Crédit Suisse.

您的下一個問題來自瑞士信貸銀行的艾哈邁德·巴德里。

Even though I'd love to ask a cloud question, I'm not.

儘管我很想問雲端問題，但我不是。

So more specifically -- yes, actually has to do with your margin guidance, both on gross margin and OpEx.

更具體地說，是的，實際上與您的利潤指引有關，包括毛利率和營運支出。

So if we look at sequential moves and it's interesting that your revenue guide in 2Q '19 is coming down which even like, I guess, it's a -- further emphasize why I'm asking this question, should we be expecting to see your operating margins start to level off below your historical record rates you saw in the back half of '18, given your incoming investments into specifically the channel?

因此，如果我們看一下連續的變動，有趣的是，您在19 年第二季的收入指南正在下降，我想，這甚至是——進一步強調為什麼我問這個問題，我們是否應該期望看到您的營運考慮到您對特定管道的投資，利潤率開始趨於平穩，低於您在 18 年下半年看到的歷史記錄水準？

Or do you think you're going to still see the similar comparable type of operating margin profiles you booked in the back half of '18, in the back half of '19, in the back of a slower channel build-out?

或者，您認為在通路擴張較慢的情況下，您仍會看到您在 18 年下半年、19 年下半年預訂的類似可比較類型的營業利潤率？

That would be great just to get an idea on how we should be modeling margins in the back half of the year.

如果能夠了解我們應該如何在今年下半年建立利潤率模型，那就太好了。

I mean it all comes back to customer mix from a gross margin perspective, right?

我的意思是，從毛利率的角度來看，這一切都回到了客戶組合，對吧？

I mean you're seeing an uptick in Q2 because we are seeing less cloud activity and it's weighting toward enterprise than towards some of the others, right?

我的意思是，您在第二季度看到了成長，因為我們看到雲端活動減少了，而且它對企業的權重超過了其他一些，對嗎？

And that's going to drive a higher gross margin, and obviously that will flow through to operating margin, right?

這將推動更高的毛利率，顯然這將轉化為營業利潤，對嗎？

So that's -- it's kind of a counterbalance to some of the top line slowness that we're seeing.

所以這在某種程度上是對我們所看到的一些營收緩慢的平衡。

In terms of spending, our goal is to continue to drive sales and marketing investments that we need to make.

在支出方面，我們的目標是繼續推動我們需要進行的銷售和行銷投資。

And then we'll leverage our -- we'll leverage engineering, right?

然後我們將利用我們的——我們將利用工程，對嗎？

And we've been investing in the engineering side at a really fast clip over the last number of years.

在過去的幾年裡，我們一直在以非常快的速度投資於工程方面。

I think we've had (inaudible) at the top line.

我認為我們已經（聽不清楚）處於頂線。

So there is some room there for us to really -- to drive some leverage there and then use that to fund the sales and marketing.

因此，我們還有一些空間可以真正發揮一些槓桿作用，然後用它來為銷售和行銷提供資金。

And I think that's the strategy.

我認為這就是策略。

Where that comes out exactly in operating margin, we'll have to see.

營業利益率的具體表現如何，我們拭目以待。

I mean you saw a tick-up in the guide for Q2 off of the improved gross margin and then just with the focus that we're going to put on OpEx.

我的意思是，您在第二季的指南中看到了毛利率的提高，然後我們將重點放在營運支出上。

Got it.

知道了。

And then just a very quick question on Mojo.

然後是關於 Mojo 的一個非常簡短的問題。

What percentage of sales were direct?

直接銷售的百分比是多少？

And what percentage of sales went through the channel?

透過該通路銷售的百分比是多少？

The Mojo business model was extremely channel.

Mojo 的商業模式極度依賴管道。

As it becomes more and more part of Arista, it would become more direct, although fulfilled by the channel still.

隨著它越來越成為 Arista 的一部分，它會變得更加直接，儘管仍然由通道來實現。

So I would say, today, given Q1 is still predominantly influenced by Mojo sales itself, it's 80% through the channel.

所以我想說，今天，鑑於第一季仍然主要受到 Mojo 銷售本身的影響，80% 是透過管道實現的。

But if I had to forecast how it would look by the end of this year, it would be probably 50-50.

但如果我必須預測今年年底的情況，可能會是 50-50。

Your next question comes from Aaron Rakers with Wells Fargo.

您的下一個問題來自富國銀行的 Aaron Rakers。

I'll try and slip in two here as well.

我也會嘗試在這裡分成兩部分。

First of all, as you kind of speak to your customers, particularly as we move through March, I'm just curious -- I know that there's a pause dynamic, but have you seen any customers kind of allude to a pause related to maybe new product cycle dynamics going into the back half of the year?

首先，當你與你的客戶交談時，特別是當我們進入三月時，我只是很好奇——我知道存在暫停動態，但你是否看到任何客戶暗示與可能相關的暫停下半年新產品週期動態如何？

Or is it truly just a digestion?

或者它真的只是消化嗎？

Or could we think about product cycle really being a kicker in the back half?

或者我們可以認為產品週期確實是後半段的一個推動者？

And then, with that also, I'm curious of a software-only selling motion within the company.

然後，我也對公司內部的純軟體銷售動議感到好奇。

How should we think about that potentially evolving over the next couple of years?

我們該如何看待未來幾年可能發生的變化？

Those are 2 very, very different but important questions.

這是兩個非常非常不同但很重要的問題。

In terms of the dynamics we saw, it was pretty much we didn't see anything different.

就我們看到的動態而言，我們幾乎沒有看到任何不同。

But it was just as we indicated, it was a pause, right?

但正如我們所指出的，這是一個暫停，對嗎？

It isn't like they're waiting on new products.

他們並不是在等待新產品。

Most of our customers are aware of our road map, not just for the year but also in multi-year.

我們的大多數客戶都了解我們的路線圖，不僅是年度路線圖，而且是多年路線圖。

And -- but they still got a business to run, and so they don't pause.

而且──但他們還有生意要經營，所以他們不會停下來。

They always mix and match the existing products with the new products.

他們總是將現有產品與新產品混合搭配。

So we know how to drive that.

所以我們知道如何推動這一點。

We are very open and transparent about the products.

我們對產品非常開放和透明。

We're also very open and transparent about the migration.

我們對於遷移也非常開放和透明。

So we don't believe we saw any indication of that.

所以我們認為我們沒有看到任何跡象。

However, we do feel that the excitement and enthusiasm of our new products is only going to help us, particularly in the campus and data center in second half of the year.

然而，我們確實認為新產品的興奮和熱情只會對我們有所幫助，特別是在今年下半年的園區和資料中心。

In terms of software selling, we started our CloudVision endeavors, I want to say, 2016, right?

在軟體銷售方面，我們開始了CloudVision的努力，我想說，2016年，對吧？

3 years into it, it's the first time we're really seeing the excitement in our customer base.

三年來，這是我們第一次真正看到客戶群的興奮。

Many, many of our enterprise customers are choosing Arista because of CloudVision in the U.S. And as you know, our products are great too but they are just blown away by the manageability, the change control, the analytics, the automation, the macro segmentation features, the telemetry.

我們的許多企業客戶因為美國的 CloudVision 而選擇 Arista。如您所知，我們的產品也很棒，但他們只是被可管理性、變更控制、分析、自動化、宏觀細分功能所震驚，遙測。

So the software sales and, more importantly, the software expertise in Anshul's systems engineering team driven by Ashwin couldn't be higher.

因此，軟體銷售額，更重要的是，由 Ashwin 領導的 Anshul 系統工程團隊的軟體專業知識再好不過了。

He's putting a tremendous emphasis.

他非常強調。

I think he started this about a year ago.

我認為他大約一年前就開始這樣做了。

And so I think every one of our leaders as well as our systems engineer down to the customer support engineer is, I would say, a software expert first and then obviously all of the networking attributes.

因此，我認為我們的每一位領導者以及我們的系統工程師一直到客戶支援工程師，我想說，首先是軟體專家，然後顯然是所有網路屬性。

It's something that's been happening gradually, but particularly gratifying to see the results of it over this quarter with CloudVision having doubled the bookings from Q1 2018.

這是逐漸發生的事情，但特別令人欣慰的是看到本季的結果，CloudVision 的預訂量比 2018 年第一季增加了一倍。

Your next question comes from Alex Henderson with Needham.

您的下一個問題來自 Alex Henderson 和 Needham。

I was hoping you could talk a little bit about where we are in the 400-gig transition.

我希望您能談談我們在 400 場轉型中的位置。

I assume that most of the transactions, probably 90%-plus this year, will be driven by 100-gig.

我認為大部分交易（今年可能超過 90%）將由 100G 驅動。

But can you give us an update on what you're seeing between you and your competition in terms of the timing of acceptance of those products?

但您能否向我們介紹一下您和您的競爭對手在接受這些產品的時間方面的最新情況？

And does that have any role in the timing of demand out of Web 2.0 cloud titan?

這對 Web 2.0 雲端巨頭的需求時機有什麼影響嗎？

Yes.

是的。

So Alex, as you know, we're very excited about our market leadership in 100-gig, and we hope we will transform that into market leadership in 400-gig through our technology as well.

Alex，如您所知，我們對 100g 市場的領先地位感到非常興奮，我們希望透過我們的技術將其轉變為 400g 市場的領先地位。

We introduced the Broadcom Tomahawk products.

我們推出了 Broadcom Tomahawk 產品。

And I'm going to turn it to Anshul to talk about some of the acceptance we've had there.

我將把它交給 Anshul，談談我們在那裡所獲得的一些認可。

And we're not stopping.

我們不會停止。

We've got many more in the pipeline.

我們還有更多正在籌備中。

All right.

好的。

Thanks, Jayshree.

謝謝，傑什裡。

Alex, the co-development we did with Facebook was actually with Tomahawk 3 as well, but the form factor expressed was 100-gig.

Alex，我們與 Facebook 共同開發的產品實際上也是與 Tomahawk 3 一起開發的，但所表達的外形規格是 100-gig。

400-gig is exciting to cloud companies.

400 千兆位元讓雲端公司興奮不已。

But as we've talked about in the past with all of you, 400-gig deployments in the cloud are not feasible for many architectures without the availability of ZR optics.

但正如我們過去與大家討論過的那樣，如果沒有 ZR 光學元件，雲端中的 400 GB 部署對於許多架構來說是不可行的。

Those come to the market mid next year most likely.

這些產品最有可能在明年年中上市。

So as a result of it, the cloud companies will continue to deploy 100-gig.

因此，雲端公司將繼續部署 100G。

They'll qualify the new products.

他們將對新產品進行資格鑑定。

And over time, they will transition.

隨著時間的推移，他們將會轉變。

They're not waiting for the sudden migration to 400-gig.

他們不會等待突然遷移到 400 台。

They either don't need it or they need the optics before they can migrate to it, to 400-gig architecture.

他們要么不需要它，要么需要光學器件才能遷移到 400 GB 架構。

And I think the key that Anshul and I are really trying to communicate is don't confuse 400-gig-ready with 400-gig being deployed.

我認為 Anshul 和我真正想要溝通的關鍵是不要將 400-gig 就緒與正在部署的 400-gig 混淆。

So Arista is really focused on 400-gig-ready architectures already, we have them now.

因此，Arista 確實專注於 400-gig-ready 架構，我們現在擁有它們。

But when they'll get deployed will be a continuum in time.

但它們何時部署將是一個連續的時間序列。

It may be this year, but much of it will be next year and the year beyond.

可能是今年，但大部分將是明年和後年。

So just to be clearer, there are a number of product cycles around 400-gig, around servers, around some other key components.

因此，為了更清楚地說明，圍繞 400G、伺服器和其他一些關鍵元件存在許多產品週期。

And most of the other companies in the broader macro arena that you're competing in have indicated that they expected weakness in the first half of the year from cloud; you were bucking that trend.

在更廣泛的宏觀領域中參與競爭的大多數其他公司都表示，他們預計今年上半年雲端運算會疲軟；你正在逆潮流而動。

Now you seem to be more in line with the prior commentary from the other companies that are in the space.

現在，您似乎更符合該領域其他公司先前的評論。

To the extent that they were expecting a resurgence in the back half of the year, is that something that we should expect from you as well?

既然他們預計下半年會復甦，那麼我們也該對你抱持這樣的期望嗎？

I think we'll refrain from what you should expect from us.

我想我們會避免你對我們的期望。

We don't want to conclude that for the second half.

我們不想在下半年就得出這樣的結論。

We want to wait, watch and see; stay tuned for more.

我們想要等待、觀察、看；敬請期待更多。

I mean I think we were very optimistic about Q2, in cloud spend as well and it didn't quite turn out that way.

我的意思是，我認為我們對第二季的雲端支出非常樂觀，但事實並非如此。

So before we get optimistic on Q3 and Q4, we'd want to be more sure.

因此，在我們對第三季和第四季持樂觀態度之前，我們希望更加確定。

Alex, to complete that, we are ready with the products, but as I mentioned, the 400-gig transition is longer than what many of you expect.

Alex，為了完成這個任務，我們已經準備好了產品，但正如我所提到的，400 台的過渡比你們許多人的預期要長。

And we just have to go along with that rather than the...

我們只需要同意這一點，而不是......

Can't change the fact that there's no optics to connect to it, right?

無法改變沒有光學器件連接的事實，對嗎？

So a 400-gig electrical-only solution will be a weak solution.

因此，400 GB 純電力解決方案將是一個較弱的解決方案。

But Alex, to answer your question, yes, I think there's a lot of promise.

但是亞歷克斯，回答你的問題，是的，我認為有很多希望。

And this is going to be a mix and match of 100-gig and 400-gig for a long time to come.

在未來很長一段時間內，這將是 100 場和 400 場的混合搭配。

Your next question comes from James Fish with Piper Jaffray.

您的下一個問題來自 James Fish 和 Piper Jaffray。

(technical difficulty)

（技術難度）

Sorry, about that.

對於那個很抱歉。

Just actually going off from the last question.

實際上只是從最後一個問題開始。

It's -- appreciate that color.

這是——欣賞那個顏色。

Maybe you could go into what optic forms those customers are actually taking on because I know there's a debate out there as to which of the two optic form factors.

也許您可以了解這些客戶實際上採用的光學形式，因為我知道對於這兩種光學形式因素中的哪一種有爭議。

We don't debate optics, we just support all of the standard form factors.

我們不討論光學，我們只是支援所有標準外形尺寸。

Andy Bechtolsheim has been a very strong proponent of OSFP.

Andy Bechtolsheim 一直是 OSFP 的堅定支持者。

I feel like saying P-F all the time, given it's a protocol.

鑑於這是一個協議，我一直想說 P-F。

But there's just as many customers who want QSFP-DD.

但需要 QSFP-DD 的客戶也同樣多。

Arista will support both and does support both.

Arista 將支援兩者並且確實支援兩者。

Your next question comes from Steve Milunovich with Wolfe Research.

您的下一個問題來自沃爾夫研究中心的史蒂夫·米盧諾維奇。

Yes.

是的。

I wanted to follow up on Alex's question.

我想跟進亞歷克斯的問題。

Last quarter you guys were a real exception to the digestion that other companies were seeing with the cloud.

上個季度，你們確實是其他公司在雲端方面的消化過程中的一個例外。

And one of the reasons I think you gave was that you were finding new places in the cloud to sell to.

我認為您給出的原因之一是您正在雲端尋找新的銷售地點。

And I don't know if that meant new tiers at current customers, or new types of customers.

我不知道這是否意味著現有客戶的新層次，或新類型的客戶。

And I'm just wondering is that not happening?

我只是想知道這不會發生嗎？

Is that part of what's going on here?

這是這裡發生的事情的一部分嗎？

Or did you just basically underestimate Microsoft, as obviously a huge year last year, so a pause wouldn't be shocking at Microsoft?

或者你只是基本上低估了微軟，因為去年顯然是重要的一年，所以暫停不會讓微軟感到震驚？

Yes.

是的。

So no, I think our use cases, including the regional spine and DCI are alive and well, they're intact and we're continuing to make great progress with many cloud Titans there.

所以不，我認為我們的用例，包括區域骨幹和 DCI 都還活著並且運作良好，它們完好無損，並且我們將繼續與那裡的許多雲泰坦一起取得巨大進展。

I think we underestimated the customer who paused in Q2.

我認為我們低估了第二季暫停的客戶。

And even the customer who paused in Q2 didn't intend to pause in Q2.

即使是在第二季暫停的客戶也不打算在第二季暫停。

So we found that -- we've kind of found that out together.

所以我們發現了——我們一起發現了這一點。

And when we did, we are letting you know.

當我們這樣做時，我們會通知您。

So you, in the sense, didn't have the 3 to 6 months' visibility that you normally would as even the customer kind of surprised themselves with this?

那麼，從某種意義上說，您沒有像通常那樣擁有 3 到 6 個月的可見性，甚至連客戶都對此感到驚訝？

Yes.

是的。

In this particular case, that would be true, yes.

在這個特殊情況下，確實如此，是的。

And I think it's important to go back and remember that we've always said we have 1 to 2 kind of project visibility.

我認為重要的是要回顧並記住我們總是說我們有 1 到 2 種項目可見度。

The order book has always been shorter.

訂單簿一直較短。

That's really good to distinguish.

這確實很好區分。

There's a big difference between orders taken and projects understood.

接到的訂單和理解的項目之間存在很大差異。

And by the way, just to add to that, there've been many times we've been positively surprised by orders in the last few years and didn't forecast that either.

順便說一句，補充一點，過去幾年我們多次對訂單感到驚訝，但也沒有預測到這一點。

So this is one of the rare times where the forecast came in the negative direction.

因此，這是極少數出現負面預測的時期之一。

Your next question comes from Hendi Susanto with Gabelli.

您的下一個問題來自 Hendi Susanto 和 Gabelli。

I want to ask about a forward-looking question on the current cloud titan situation.

我想問一個關於當前雲端巨頭情況的前瞻性問題。

How fast can a cloud titan resume a project that is on hold?

雲端巨頭能夠以多快的速度恢復暫停的項目？

And how much like between that and the resumption of sales of Arista Networks products?

這與 Arista Networks 產品恢復銷售有多大關係？

I'll take an answer to that and I'm sure Anshul can add more color.

我會回答這個問題，我相信安舒爾可以添加更多的色彩。

I think they can resume a product as fast as they put it on hold.

我認為他們可以像暫停產品一樣快速地恢復產品。

They can put things on hold in weeks, and they can resume it in weeks to months.

他們可以在幾週內擱置事情，也可以在幾週到幾個月內恢復。

Is that correct?

那是對的嗎？

Hendi, look, as we've said, the cloud customers' CapEx spending is not correlated with us in a quarter-by-quarter basis mainly because there's many things they spend money on, including building the data centers, buying servers and so on.

Hendi，你看，正如我們所說，雲端客戶的資本支出支出與我們逐季度無關，主要是因為他們花錢的地方很多，包括建造資料中心、購買伺服器等等。

But in the end, in the long run, if they're adding racks and they're adding data centers across the region and they're pairing, then they will need our products.

但最終，從長遠來看，如果他們在整個地區添加機架和資料中心並且進行配對，那麼他們將需要我們的產品。

So it's fairly easy for them to turn it back on as well, simply a matter of when they're ready to spend money on these projects.

因此，他們也很容易重新啟動它，只要他們準備好在這些項目上花錢即可。

Your next question comes from John Marchetti with Stifel.

您的下一個問題來自 Stifel 的 John Marchetti。

Just wanted to follow up, Jayshree.

只是想跟進，Jayshree。

You talked a little bit about the second half recovery or certainly the hopes for that in the second half, a big piece of that obviously being some of the new products that you intend to launch there.

您談到了下半年的復甦，或者當然是對下半年的希望，其中很大一部分顯然是您打算在那裡推出的一些新產品。

How much of this, I guess, or what's new should we expect maybe to be focused on the cloud?

我猜，其中有多少，或者我們應該期望哪些新內容會集中在雲端？

Is it much broader than that?

它比這更廣泛嗎？

Just trying to get a sense of maybe the outlook for the second half.

只是想了解下半年的前景。

How much of that relies on some of these new products versus maybe just some of the demand coming back a little bit for you?

其中有多少依賴其中一些新產品，而可能只是一些需求回來了？

Yes.

是的。

No, thanks, John.

不，謝謝，約翰。

You saved the best for last as a question, I guess.

我猜你把最好的作為一個問題留到了最後。

I think we've always been an engineering company.

我認為我們一直是一家工程公司。

We're very proud of our R&D and new products fuel our customers to enhance their networks, while existing products also carry the way for us in specific use cases.

我們對我們的研發感到非常自豪，新產品推動我們的客戶增強他們的網絡，而現有產品也在特定用例中為我們指明了道路。

So I think the new products, especially in the campus, will definitely help.

所以我認為新產品，特別是在校園裡，肯定會有所幫助。

The new products in the data center and cloud will be a continuation and a continuum of what we've always done.

資料中心和雲端中的新產品將是我們一直以來所做工作的延續和連續體。

So I think if there is any uptick in the second half that we didn't project yet, it would come more from new products in the campus.

因此，我認為，如果下半年有任何我們尚未預測的成長，那麼它將更多來自園區的新產品。

Whereas new products in the data center and in the cloud have already been factored in.

而資料中心和雲端中的新產品已經被考慮。

Okay.

好的。

Thank you all for your bold questions.

謝謝大家提出大膽的問題。

This concludes the Arista Q1 2019 earnings call.

Arista 2019 年第一季財報電話會議到此結束。

For additional information on Arista and our quarterly results, please visit our Investor Relations website.

有關 Arista 和我們季度業績的更多信息，請訪問我們的投資者關係網站。

Thank you for joining, ladies and gentlemen.

女士們、先生們，感謝您的加入。

This concludes today's call.

今天的電話會議到此結束。

You may now disconnect.

您現在可以斷開連線。