戴爾 (DELL) 2019 Q2 法說會逐字稿

Good morning, and welcome to the Fiscal Year 2019 Second Quarter Earnings Conference Call for Dell Technologies Inc. I'd like to inform all participants this call is being recorded at the request of Dell Technologies. This broadcast is the copyrighted property of Dell Technologies Inc. Any rebroadcast of this information, in whole or part, without the prior written permission of Dell Technologies is prohibited.

早上好，歡迎來到戴爾科技公司 2019 財年第二季度收益電話會議。我想通知所有與會者，應 Dell Technologies 的要求，我們正在對此次通話進行錄音。此廣播是 Dell Technologies Inc. 的版權財產。未經 Dell Technologies 事先書面許可，禁止全部或部分轉播此信息。

As a reminder, the company is also simulcasting this call at investors.delltechnologies.com. A replay of this webcast will be available at the same location for 1 year. (Operator Instructions)

提醒一下，該公司還在 investors.delltechnologies.com 上同時直播了此次電話會議。該網絡廣播的重播將在同一地點提供 1 年。（操作員說明）

I'd like to turn the call over to Rob Williams, Senior Vice President of Investor Relations. Mr. Williams, you may begin.

我想把電話轉給投資者關係高級副總裁 Rob Williams。威廉姆斯先生，您可以開始了。

Thanks, Regina. Good morning, and thanks for joining us. With me today is: our CFO, Tom Sweet; our Vice Chairman, Products and Operations, Jeff Clarke; and our Treasurer, Tyler Johnson. We posted our second quarter press release and our web deck on our website. I encourage you to review these documents for additional perspective. Our Q2 10-Q will be filed on Tuesday, September 11.

謝謝，里賈納。早上好，感謝您加入我們。今天和我在一起的是：我們的首席財務官 Tom Sweet；我們的產品和運營副主席 Jeff Clarke；以及我們的財務主管 Tyler Johnson。我們在網站上發布了第二季度新聞稿和網絡平台。我鼓勵您查看這些文檔以獲得更多觀點。我們的 Q2 10-Q 將於 9 月 11 日星期二提交。

As many of you know, on July 2, we announced that we had completed our strategic review and reached an agreement with the Dell Technologies Special Committee of Independent Directors to exchange, subject to Class V common stockholder approval, the outstanding Class V common stock of Dell Technologies for Class C common stock of Dell Technologies or, at the holder's election, cash. We filed our preliminary Form S-4 with the SEC on August 6 and amended S-4 yesterday. We plan to file a definitive S-4 in the coming weeks, at which time we will set a date for the special meeting.

正如你們許多人所知，7 月 2 日，我們宣布我們已完成戰略審查並與 Dell Technologies 獨立董事特別委員會達成協議，在 V 類普通股股東批准的情況下，交換 Dell Technologies 已發行的 V 類普通股Dell Technologies 的 C 類普通股或現金，由持有人選擇。我們於 8 月 6 日向美國證券交易委員會提交了初步表格 S-4，並於昨天修改了 S-4。我們計劃在未來幾週內提交最終的 S-4，屆時我們將確定特別會議的日期。

We will be hosting an Analyst Meeting in New York on September 18. And we'll hold a series of roadshow meetings in the weeks following to meet with investors in one-on-one and group settings across multiple cities. Today's call is intended to discuss the results for our second fiscal quarter. And as such, we will not address nor will we take questions related to the Class V transaction. It's important that we allow the process to play out over the coming weeks. And we look forward to further engagement with DVMT stockholders on this topic.

我們將於 9 月 18 日在紐約舉辦分析師會議。我們將在接下來的幾週內舉行一系列路演會議，在多個城市以一對一和小組形式與投資者會面。今天的電話會議旨在討論我們第二財季的業績。因此，我們不會解決也不會回答與 V 類交易相關的問題。重要的是我們要讓這個過程在接下來的幾週內完成。我們期待與 DVMT 股東就此主題進行進一步接觸。

Before I turn it over to Tom, I'd like to remind you of a few highlights. During this call, we will reference non-GAAP financial measures, including non-GAAP revenue, gross margin, operating expenses, operating income, net income, EBITDA and adjusted EBITDA. A reconciliation of these measures to their most directly comparable GAAP measures can be found in our web deck and our press release.

在我把它交給湯姆之前，我想提醒你一些要點。在本次電話會議中，我們將參考非 GAAP 財務指標，包括非 GAAP 收入、毛利率、營業費用、營業收入、淨收入、EBITDA 和調整後的 EBITDA。在我們的網絡平台和新聞稿中可以找到這些措施與其最直接可比的 GAAP 措施的對賬。

Our Q2 non-GAAP operating income excludes $2.1 billion of adjustments. The majority of these are noncash and relate to purchase accounting and amortization of intangible assets. Please refer to the supplemental slides beginning on Slide 21 for details on our non-GAAP adjustments. Please also note that all growth percentages refer to year-over-year change unless otherwise specified.

我們第二季度的非 GAAP 營業收入不包括 21 億美元的調整。其中大部分是非現金的，與無形資產的採購會計和攤銷有關。有關我們的非 GAAP 調整的詳細信息，請參閱從幻燈片 21 開始的補充幻燈片。另請注意，除非另有說明，否則所有增長百分比均指同比變化。

Finally, I'd like to remind you that all statements made during this call that relate to future results and events are forward-looking statements based on current expectations. Actual results and events could differ materially from those projected due to a number of risks and uncertainties, which are discussed in our Cautionary Statement section in our web deck. We assume no obligation to update our forward-looking statements.

最後，我想提醒您，本次電話會議期間所做的與未來結果和事件相關的所有陳述都是基於當前預期的前瞻性陳述。由於存在許多風險和不確定性，實際結果和事件可能與預測的結果和事件存在重大差異，這些風險和不確定性在我們網絡面板的警告聲明部分中進行了討論。我們沒有義務更新我們的前瞻性陳述。

Now I'll turn it over to Tom.

現在我將把它交給湯姆。

Thanks, Rob. We are at the beginning of a technology-led investment cycle driven by digital transformation. IDC projects worldwide information and communications technology spending will grow at roughly 2x GDP over the next 4 years. We have created Dell Technologies to meet this opportunity head-on. We operate our complementary family of businesses in close coordination to enable our platform to seamlessly deliver differentiated IT solutions, which is driving revenue, synergies and growth that are increasingly reflected in our company performance.

謝謝，羅布。我們正處於由數字化轉型驅動的以技術為主導的投資週期的開端。IDC 預測全球信息和通信技術支出在未來 4 年內將以大約 2 倍於 GDP 的速度增長。我們創建了 Dell Technologies 來迎接這一機遇。我們密切協調運營我們互補的業務系列，使我們的平台能夠無縫地提供差異化的 IT 解決方案，這正在推動收入、協同效應和增長，這越來越多地反映在我們公司的業績中。

The results for the second quarter exemplify this point. We delivered another strong quarter of top line velocity, and we hit a number of company records across the business with double-digit revenue growth for all 3 of our reportable segments. We generated strong operating cash flow and made progress paying down core debt. The momentum in server, client and VMware that started building last year has extended into fiscal '19 and we're seeing positive progress in storage.

第二季度的業績證明了這一點。我們實現了另一個強勁的季度最高線速度，我們在整個業務中創下了多項公司記錄，我們所有 3 個可報告部門的收入均實現了兩位數增長。我們產生了強勁的經營現金流，並在償還核心債務方面取得了進展。去年開始構建的服務器、客戶端和 VMware 的勢頭已經延續到 19 財年，我們看到存儲方面取得了積極進展。

GAAP revenue for the quarter was $22.9 billion, up 18% with a GAAP operating loss of approximately $13 million. Non-GAAP revenue was $23.1 billion, up 16%, driven primarily by double-digit growth in servers, storage, commercial and consumer client and VMware. Gross margin was up 13% to $7.1 billion and was 30.6% of revenue, which was down 90 basis points as we saw foreign currency impacts, primarily in emerging markets, and mix dynamics within ISG as server growth continued above 25% for the fourth consecutive quarter.

本季度 GAAP 收入為 229 億美元，增長 18%，GAAP 營業虧損約為 1300 萬美元。非 GAAP 收入為 231 億美元，增長 16%，主要受服務器、存儲、商業和消費者客戶端以及 VMware 兩位數增長的推動。毛利率增長 13% 至 71 億美元，佔收入的 30.6%，下降了 90 個基點，因為我們看到外匯影響，主要是在新興市場，以及 ISG 內部的混合動態，因為服務器增長連續第四次超過 25%四分之一。

Operating expense was $5 billion, up 13% and was 21.4% of revenue, which was down 70 basis points as OpEx grew at a slower rate than revenue. Operating income was up 13% to $2.1 billion or 9.1% of revenue, down 30 basis points. Adjusted EBITDA for the quarter was up 13% to $2.5 billion or 10.6% of revenue. On a trailing 12-month basis, adjusted EBITDA was $10 billion.

營業費用為 50 億美元，增長 13%，佔收入的 21.4%，由於運營支出增長速度低於收入，營業支出下降了 70 個基點。營業收入增長 13% 至 21 億美元，佔收入的 9.1%，下降 30 個基點。本季度調整後的 EBITDA 增長 13% 至 25 億美元，佔收入的 10.6%。在過去 12 個月的基礎上，調整後的 EBITDA 為 100 億美元。

Turning to the business segments. Revenue for the Infrastructure Solutions Group was a record $9.2 billion, up 24%. The increase was driven by a 13% growth in storage to $4.2 billion and a 34% growth in servers and networking to $5.1 billion. We are encouraged by the positive signs we've seen in storage as it delivered its second consecutive quarter of double-digit revenue growth. And we performed well relative to the rest of the industry. Jeff will discuss this in more detail later in this dialogue.

轉向業務部門。基礎設施解決方案集團的收入達到創紀錄的 92 億美元，增長 24%。這一增長是由存儲增長 13% 至 42 億美元以及服務器和網絡增長 34% 至 51 億美元推動的。我們對存儲領域的積極跡象感到鼓舞，因為它連續第二個季度實現了兩位數的收入增長。相對於其他行業，我們表現良好。Jeff 稍後將在本次對話中更詳細地討論這個問題。

We continue to see strong demand for PowerEdge servers, coupled with ongoing expansion of our average selling prices, as customers look for higher compute requirements and more richly configured servers associated with software-defined data center solutions and mission-critical activities and workloads, such as data analytics, artificial intelligence and machine learning. Operating income for ISG was $1 billion or 11% of revenue, which is a 230 basis point increase over the prior year, primarily due to improved storage performance and operating expense leverage.

我們繼續看到對 PowerEdge 服務器的強勁需求，加上我們的平均售價不斷上漲，因為客戶尋求與軟件定義的數據中心解決方案和關鍵任務活動和工作負載相關的更高計算要求和配置更豐富的服務器，例如數據分析、人工智能和機器學習。ISG 的營業收入為 10 億美元，佔收入的 11%，比上年增長 230 個基點，這主要是由於存儲性能和運營費用槓桿的提高。

Revenue for our Client Solutions Group was up 13% to $11.1 billion, with double-digit growth across both commercial and consumer. Strong revenue growth in commercial notebooks and workstations helped drive commercial revenue up 13% to a record $8.1 billion. Consumer revenue was $3 billion, up 14% as we saw double-digit revenue growth across all of our consumer notebooks and desktops.

我們的客戶解決方案部門的收入增長了 13%，達到 111 億美元，在商業和消費者領域均實現了兩位數的增長。商用筆記本電腦和工作站的強勁收入增長推動商業收入增長 13%，達到創紀錄的 81 億美元。消費者收入為 30 億美元，增長 14%，因為我們看到所有消費者筆記本電腦和台式機的收入都實現了兩位數的增長。

CSG operating income was $425 million, down 20% and was 3.8% of revenue. This was lower than our expectations as the team worked through some intra-quarter foreign currency impacts, principally in the emerging market economies. As a reminder, in Q2 last year, CSG operating income benefited from a vendor settlement of approximately $70 million, which improved the operating margin rate by 70 basis points. Normalized for that item, operating income was down approximately 8%. We are pleased with the business trajectory and relative performance. Our long-term operating margin targets have not changed. And we will continue to execute on our profitable growth strategy.

CSG 營業收入為 4.25 億美元，下降 20%，佔收入的 3.8%。這低於我們的預期，因為該團隊主要在新興市場經濟體中應對了一些季度內的外匯影響。提醒一下，去年第二季度，CSG 營業收入受益於約 7000 萬美元的供應商結算，這將營業利潤率提高了 70 個基點。對該項目進行標準化後，營業收入下降了約 8%。我們對業務軌跡和相對錶現感到滿意。我們的長期營業利潤率目標沒有改變。我們將繼續執行我們的盈利增長戰略。

The VMware segment had another strong quarter, delivering $2.2 billion of revenue, which was up 11%. Operating income was $736 million or 33.5% of revenue. Based on VMware's standalone results reported August 23, the company saw broad-based strength across its product portfolio with double-digit license bookings growth year-over-year in compute, management, end-user computing, NSX and vSAN, VxRail. Their software-defined data center strategy in cloud, mobility, networking and security solutions form a powerful digital foundation for delivering the apps that drive business innovation and business success.

VMware 部門又迎來了一個強勁的季度，實現了 22 億美元的收入，增長了 11%。營業收入為 7.36 億美元，佔收入的 33.5%。根據 VMware 8 月 23 日公佈的獨立業績，該公司看到了其產品組合的廣泛實力，在計算、管理、最終用戶計算、NSX 和 vSAN、VxRail 方面的許可證預訂量同比增長了兩位數。他們在雲、移動、網絡和安全解決方案方面的軟件定義數據中心戰略為交付推動業務創新和業務成功的應用程序奠定了強大的數字基礎。

We continue to see strong cross-sell opportunities as we leverage both the Dell Technologies and VMware sales forces. VMware expects to realize an estimated $700 million of incremental annual bookings in fiscal '19 working with Dell Technologies. Revenue from our other businesses, which include Pivotal, SecureWorks, RSA Security, Virtustream and Boomi, was $574 million, up 6%.

我們繼續看到強大的交叉銷售機會，因為我們同時利用了 Dell Technologies 和 VMware 的銷售隊伍。VMware 預計在 19 財年與 Dell Technologies 合作實現每年約 7 億美元的增量預訂。我們其他業務（包括 Pivotal、SecureWorks、RSA Security、Virtustream 和 Boomi）的收入為 5.74 億美元，增長 6%。

Now turning to cash flow, the balance sheet and capital allocation. We generated cash flow from operations of $2.6 billion, driven primarily by business momentum and working capital discipline. On a trailing 12-month basis, cash flow from operations was $8.5 billion. Excluding the impact of financing receivables, our cash flow from operations would have been $3.1 billion and $10.3 billion for Q2 and the trailing 12 months, respectively. As a reminder, we initially fund DFS financing receivables with cash on hand, so the growth in DFS impacts our cash flow from operations. This impact is offset in cash flow from financing when we subsequently fund it through third-party financing.

現在轉向現金流、資產負債表和資本配置。我們從運營中產生了 26 億美元的現金流，主要受業務發展勢頭和營運資本紀律的推動。在過去 12 個月的基礎上，運營現金流為 85 億美元。排除應收賬款融資的影響，我們第二季度和過去 12 個月的運營現金流分別為 31 億美元和 103 億美元。提醒一下，我們最初用手頭現金為 DFS 融資應收賬款提供資金，因此 DFS 的增長會影響我們的運營現金流。當我們隨後通過第三方融資為其提供資金時，這種影響在融資現金流中被抵消。

Our cash and investments balance was approximately $21.5 billion. Deferred revenue was $21.7 billion, up approximately $3.2 billion year-over-year and growing slightly faster than top line revenue. Deferred revenue growth benefited from increased software and hardware maintenance and continued interest in our flexible consumption models. We believe this growth is a positive indication that our strategy is working as we offer more software and service solutions across the family of businesses.

我們的現金和投資餘額約為 215 億美元。遞延收入為 217 億美元，同比增長約 32 億美元，增長速度略快於收入增長。遞延收入增長得益於軟件和硬件維護的增加以及對我們靈活消費模式的持續關注。我們相信這種增長是一個積極的跡象，表明我們的戰略正在發揮作用，因為我們在整個企業家族中提供了更多的軟件和服務解決方案。

During Q2, we repaid $2.5 billion of a legacy EMC investment-grade note, as mentioned on the June earnings call, plus another $100 million of amortization, bringing our core debt balance to $37.1 billion. Net core debt, which is core debt less cash and investments, excluding VMware and Pivotal, ended the quarter at $29.9 billion. Total debt was $50.3 billion, down approximately $2.4 billion compared to the prior quarter due to our repayment of the EMC note, partially offset by an increase of approximately $200 million in DFS debt.

在第二季度，我們償還了 25 億美元的遺留 EMC 投資級票據，如 6 月份的財報電話會議所述，再加上另外 1 億美元的攤銷，使我們的核心債務餘額達到 371 億美元。淨核心債務，即核心債務減去現金和投資（不包括 VMware 和 Pivotal），本季度末為 299 億美元。由於我們償還了 EMC 票據，總債務為 503 億美元，與上一季度相比減少了約 24 億美元，部分被 DFS 債務增加約 2 億美元所抵消。

In addition, earlier this week, we prepaid $600 million of our term loan A-3 that matures in December of this year. We intend on repaying the remaining $600 million of the term loan A-3 at maturity using cash from the balance sheet. We are executing on our strategy of paying down core debt. And I am pleased with the steady progress. Since closing the EMC transaction, we've paid down approximately $13.7 billion of gross debt, excluding DFS-related and subsidiary debt, while continuing to make appropriate and timely business investments.

此外，本週早些時候，我們預付了今年 12 月到期的 6 億美元定期貸款 A-3。我們打算在到期時使用資產負債表中的現金償還剩餘的 6 億美元定期貸款 A-3。我們正在執行我們償還核心債務的戰略。我對穩定的進展感到滿意。自完成 EMC 交易以來，我們已經償還了大約 137 億美元的總債務，不包括與 DFS 相關的債務和附屬債務，同時繼續進行適當和及時的業務投資。

Dell Financial Services had a very strong quarter with record originations of $1.9 billion, which was up 18%. We fund this business predominantly through a combination of securitization, syndication and loans, all collateralized by high-quality financing receivables. We finished Q2 with financing receivables of $8.2 billion, which is up $1.5 billion or 22% compared to Q2 of last year.

戴爾金融服務有一個非常強勁的季度，創紀錄的 19 億美元，增長了 18%。我們主要通過證券化、銀團和貸款的組合為這項業務提供資金，所有這些都以高質量的融資應收賬款作為抵押。我們在第二季度完成了 82 億美元的融資應收賬款，與去年第二季度相比增加了 15 億美元或 22%。

We remain confident around our capital structure. We are comfortable with our cash balances and strong cash flow generation. With our net core debt balance now below $30 billion, we will continue to focus on paying down debt to return to investment grade.

我們對我們的資本結構仍然充滿信心。我們對我們的現金餘額和強勁的現金流產生感到滿意。由於我們的淨核心債務餘額現在低於 300 億美元，我們將繼續專注於償還債務以恢復到投資級別。

Now let me turn it over to Jeff to walk you through the operational highlights for ISG and CSG.

現在讓我把它交給 Jeff，向您介紹 ISG 和 CSG 的運營亮點。

Thanks, Tom, and good morning, everyone. We had a strong second quarter and first half of FY '19. We saw sustained top line momentum across ISG and CSG, where we delivered double-digit revenue growth in each of these segments.

謝謝，湯姆，大家早上好。我們在 19 財年的第二季度和上半年表現強勁。我們在 ISG 和 CSG 看到了持續的收入增長勢頭，我們在每個細分市場都實現了兩位數的收入增長。

From the edge to the core to the cloud, digital transformation is now at the forefront of our customers' IT agenda. IDC states that 67% of Global 2000 enterprises now have digital transformation at the center of their corporate strategy. And Dell Technologies is helping our customers navigate the journey and capturing synergy opportunities along the way.

從邊緣到核心再到雲，數字化轉型現在處於我們客戶 IT 議程的最前沿。IDC 指出，67% 的全球 2000 強企業現在將數字化轉型作為其企業戰略的核心。Dell Technologies 正在幫助我們的客戶駕馭旅程並在此過程中抓住協同機會。

A perfect example of this is with a major tech-forward consumer retailer. During Q2, we completed one of the largest VxRail hyperconverged infrastructure deals in our history, implementing a 1,200-store data center refresh. It was another great win across our teams for Dell and VMware. We also saw a deal with a U.S.-based supermarket chain to replace a competitor when building out a new data center using PowerMax. The company already had Tier 1 applications running VMware workloads, so a great example of the cross-sell opportunities we can drive. These are both great proof points of the synergies we are realizing across the Dell Technologies portfolio and how we're differentiated in what we can offer our customers.

一個完美的例子是一家主要的技術領先的消費品零售商。在第二季度，我們完成了歷史上最大的 VxRail 超融合基礎設施交易之一，實施了 1,200 家商店的數據中心更新。這是戴爾和 VMware 團隊之間的又一次偉大勝利。我們還看到與一家美國連鎖超市達成協議，在使用 PowerMax 構建新數據中心時取代競爭對手。該公司已經擁有運行 VMware 工作負載的第 1 層應用程序，因此這是我們可以推動的交叉銷售機會的一個很好的例子。這些都是我們在整個 Dell Technologies 產品組合中實現的協同作用以及我們如何在為客戶提供的服務方面與眾不同的重要證明。

We are pleased with the progress we've seen in ISG as storage had its second consecutive quarter of double-digit revenue growth and servers and networking delivered its seventh quarter of year-over-year revenue growth to hit an all-time high of $5.1 billion. We are also pleased with the growth in operating income for ISG, which increased 56% to $1 billion in Q2.

我們對 ISG 取得的進展感到高興，因為存儲連續第二個季度實現兩位數的收入增長，服務器和網絡實現了第七個季度的同比收入增長，創下 5.1 美元的歷史新高十億。我們也對 ISG 營業收入的增長感到高興，該收入在第二季度增長了 56% 至 10 億美元。

Storage revenue was up 13% in the quarter. Demand was up in file-based arrays, high-end Storage and Data Protection offerings. Our focus remains on driving velocity in the mid-range as this is a key area of growth in the array segment. We are also seeing ongoing strong demand for our market-leading hyperconverged portfolio and other software-defined offers. Our VxRail and VxRack offerings saw triple-digit growth again this quarter on a demand basis. And VxRail now is above a $1 billion annualized run rate.

本季度存儲收入增長了 13%。基於文件的陣列、高端存儲和數據保護產品的需求上升。我們的重點仍然是提高中檔速度，因為這是陣列領域的關鍵增長領域。我們還看到對我們市場領先的超融合產品組合和其他軟件定義產品的持續強勁需求。我們的 VxRail 和 VxRack 產品在本季度的需求基礎上再次實現三位數增長。VxRail 現在的年化運行率超過 10 億美元。

From an industry standpoint, IDC predicted external storage would grow 5.5% on a revenue basis in calendar Q2. IDC Storage Tracker is scheduled to be released later this afternoon. And we expect we will outperform the industry and gain share for the second consecutive quarter when the data is released. Demand for servers remained strong. We became a worldwide leader for x86 servers based on units and revenue in calendar Q3 of last year according to IDC. And based on the results released yesterday for calendar Q2, we again gained share and extended our lead for x86 servers worldwide as our growth outpaced the industry's.

從行業的角度來看，IDC 預測第二季度外部存儲的收入將增長 5.5%。IDC Storage Tracker 計劃於今天下午晚些時候發布。我們預計，當數據發佈時，我們將連續第二個季度跑贏行業並獲得份額。對服務器的需求依然強勁。根據 IDC 的數據，根據去年第三季度的單位和收入，我們成為 x86 服務器的全球領導者。根據昨天發布的日曆第二季度的結果，隨著我們的增長超過行業，我們再次獲得了市場份額並擴大了我們在全球 x86 服務器方面的領先優勢。

We are advancing our strategy in ISG. Specifically, innovation is accelerating as we simplify the portfolio and focus our investments across fewer solutions to better serve our customers, notably as they look to modernize their IT infrastructure to drive better business outcomes through data-driven artificial intelligence and machine learning technologies. We spoke last -- when we spoke last quarter about major product launches at Dell Technology World, including our end-to-end NVMe PowerMax storage solution and new PowerEdge servers built for AI and machine learning workloads. Our innovation engine is driving new solutions and feature enhancements across the portfolio.

我們正在推進我們在 ISG 中的戰略。具體而言，隨著我們簡化產品組合併將投資集中在更少的解決方案上以更好地為我們的客戶服務，創新正在加速，特別是當他們希望實現 IT 基礎架構現代化以通過數據驅動的人工智能和機器學習技術推動更好的業務成果時。我們最後一次發言——上個季度我們談到了戴爾技術世界的主要產品發布，包括我們的端到端 NVMe PowerMax 存儲解決方案和為人工智能和機器學習工作負載構建的新 PowerEdge 服務器。我們的創新引擎正在推動整個產品組合的新解決方案和功能增強。

We recently released updates to the Dell EMC Unity and SC Series, enabling customers to easily upgrade their Dell EMC Unity and SC Series All-Flash and Hybrid storage arrays to improve workload performance, storage capacity, data protection and availability. The new Unity Operating Environment boosts file-based replication, data mobility and security capabilities for file and block workloads. And our Unity portfolio now includes CloudIQ, a native cloud-based application that uses predictive analytics and machine learning to proactively provide a comprehensive health score for each array, which helps customers identify, understand and address potential issues in their storage environment.

我們最近發布了 Dell EMC Unity 和 SC 系列的更新，使客戶能夠輕鬆升級他們的 Dell EMC Unity 和 SC 系列全閃存和混合存儲陣列，以提高工作負載性能、存儲容量、數據保護和可用性。新的 Unity 操作環境增強了文件和塊工作負載的基於文件的複制、數據移動性和安全功能。我們的 Unity 產品組合現在包括 CloudIQ，這是一個基於雲的原生應用程序，它使用預測分析和機器學習主動為每個陣列提供全面的健康評分，幫助客戶識別、了解和解決其存儲環境中的潛在問題。

We also introduced the Integrated Data Protection Appliance, the DP4400, that brings enterprise-class backup, deduplication, replication and recovery and built-in cloud readiness with disaster recovery and long-term data retention to the cloud. It's simple, powerful data protection for mid-sized organizations with incredible scale on-premise and in the cloud without additional hardware, again all aimed at enabling our customers to make their modern data center transformation a reality in the ways that work for their business today and tomorrow as their data needs grow.

我們還推出了集成數據保護設備 DP4400，它帶來了企業級備份、重複數據刪除、複製和恢復以及內置的雲就緒功能，可在雲中進行災難恢復和長期數據保留。它為中型組織提供簡單、強大的數據保護，無需額外硬件即可在本地和雲中實現令人難以置信的規模，同樣所有這些都旨在使我們的客戶能夠以適合其當今業務的方式實現現代數據中心轉型和明天，因為他們的數據需求增長。

And we launched the PowerEdge MX, the first modular server designed for the emerging category of disaggregated data center infrastructure. The PowerEdge MX supports a combination of dense virtualization, software-defined storage, software-defined networking, artificial intelligence and big data projects and its unique no mid-plane design enables it to support multiple generations of technology releases, so customers can grow for years to come. The benefits of this system include flexibility to dynamically respond to the changing needs as it leverages a shared pool of compute, storage and networking assets; increases efficiency by creating policies and workflows; and automating them via software tools. It helps companies protect infrastructure and life cycle investments for improved ROI and greater overall business impact.

我們還推出了 PowerEdge MX，這是第一款專為新興分類數據中心基礎設施類別設計的模塊化服務器。PowerEdge MX 支持密集虛擬化、軟件定義存儲、軟件定義網絡、人工智能和大數據項目的組合，其獨特的無中板設計使其能夠支持多代技術發布，因此客戶可以長期增長來。該系統的優勢包括靈活地動態響應不斷變化的需求，因為它利用了計算、存儲和網絡資產的共享池；通過制定政策和工作流程提高效率；並通過軟件工具使它們自動化。它可以幫助公司保護基礎設施和生命週期投資，以提高投資回報率和提高整體業務影響。

Turning to CSG. We shipped a record number of units in our second quarter. We saw expansion of average selling prices overall, leading to another quarter of double-digit revenue growth. We continue to see strength in our commercial notebooks, desktops and workstations, along with software and peripherals, specifically displays and client peripherals.

轉向南玻。我們在第二季度出貨量創歷史新高。我們看到整體平均銷售價格的上漲，導致又一個季度的兩位數收入增長。我們繼續看到我們的商用筆記本電腦、台式機和工作站以及軟件和外圍設備，特別是顯示器和客戶端外圍設備的實力。

As Tom mentioned, operating income for CSG was lower in the quarter as the team adjusted prices to mitigate foreign currency impacts in certain countries and regions but were unable to offset all of the impacts, especially late in the quarter. From an industry perspective, we outperformed the PC industry in calendar Q2 as we grew 9% compared to the industry at 2.3%. In total, we gained 110 basis points of PC unit share worldwide, marking the 22nd straight quarter of share gains.

正如 Tom 所提到的，CSG 本季度的營業收入較低，因為該團隊調整價格以減輕某些國家和地區的外匯影響，但無法抵消所有影響，尤其是在本季度末。從行業的角度來看，我們在第二季度的表現優於 PC 行業，因為我們增長了 9%，而行業增長率為 2.3%。總的來說，我們在全球的 PC 單位份額增加了 110 個基點，這是連續第 22 個季度份額增長。

We gained share in notebooks, desktops worldwide as well as in commercial and consumer, which allowed us to reach our highest share positions to date for a total worldwide share of 18.2% and for commercial, where we hit 22.8%. Worldwide workstation units for the industry continued to see strong growth in calendar Q2 with growth in all regions and form factors. We grew 13% and remain the industry-leading provider of workstations with 41% share.

我們在全球範圍內的筆記本電腦、台式機以及商用和消費類產品中獲得了份額，這使我們達到了迄今為止的最高份額，全球總份額達到 18.2%，而在商用領域，我們達到了 22.8%。該行業的全球工作站單位在日曆第二季度繼續強勁增長，所有地區和外形規格均有所增長。我們增長了 13%，並以 41% 的份額保持行業領先的工作站供應商。

As the leader in this category, we continue to invest in innovative solutions in this space. In Q2, we announced the world's most powerful one-unit rack workstation and several new tower workstations designed to make it possible for companies of all sizes and budgets to access powerful, affordable and compact industry-leading workstations.

作為該類別的領導者，我們繼續投資於該領域的創新解決方案。在第二季度，我們發布了世界上最強大的一體機機架式工作站和幾款新的塔式工作站，旨在讓各種規模和預算的公司都能使用功能強大、經濟實惠且結構緊湊的行業領先工作站。

As I've mentioned on the last couple of calls, client software and peripherals continues to be an area of strength in our business. In Q2, we saw another quarter of double-digit growth in displays and client peripherals. According to DisplaySearch for calendar Q1, we gained 150 basis points of share to hit our 20th consecutive quarter of being the #1 provider of flat-panel displays worldwide.

正如我在最近幾次電話中提到的那樣，客戶端軟件和外圍設備仍然是我們業務的一個優勢領域。在第二季度，我們又看到了顯示器和客戶端外圍設備的兩位數增長。根據第一季度 DisplaySearch 的數據，我們獲得了 150 個基點的份額，連續第 20 個季度成為全球第一大平板顯示器供應商。

Last week, we made several announcements in conjunction with VMworld that are great examples of how we leverage the innovation across Dell Technologies and our position to win from the edge to the core to the cloud. These new solutions and enhanced integrations provide our customers with a unified, seamless experience across PC and mobile devices, software-defined data centers, hyperconverged infrastructures and multi-cloud platforms. The early feedback we've heard from customers and partners has been overwhelmingly positive.

上週，我們與 VMworld 一起發布了幾項公告，這些公告很好地說明了我們如何利用 Dell Technologies 的創新以及我們從邊緣到核心再到雲的定位。這些新的解決方案和增強的集成為我們的客戶提供了跨 PC 和移動設備、軟件定義數據中心、超融合基礎設施和多雲平台的統一、無縫體驗。我們從客戶和合作夥伴那裡聽到的早期反饋非常積極。

At the edge, we announced enhancements to the Dell provisioning for VMware Workspace ONE service that enables automatic device setup and extends the efficiencies of cloud management to configuration and deployment. We have simplified PC life cycle management with expanded PC-as-a-Service offerings. And we're improving the scalability and stability for customers from the edge to the core to the cloud with new Dell Internet of Things solutions for surveillance.

在邊緣，我們宣布增強 Dell provisioning for VMware Workspace ONE 服務，該服務支持自動設備設置並將雲管理的效率擴展到配置和部署。我們通過擴展的 PC 即服務產品簡化了 PC 生命週期管理。我們正在通過新的戴爾物聯網監控解決方案為客戶提高從邊緣到核心再到雲的可擴展性和穩定性。

To the core, we're increasing workload capacity, performance scalability and control with the new Dell EMC VxRail G560, which delivers greater density in a 2U form factor. We synchronized Dell EMC VxRail appliance and VMware vSAN update releases, so customers get the latest technology features as quickly as possible to address their rapidly changing business needs. We extended vSAN ReadyNode support to the new Dell EMC PowerEdge MX, which provides a high, flexible platform for vSAN ReadyNodes as HCI building blocks.

就核心而言，我們正在通過新的 Dell EMC VxRail G560 提高工作負載容量、性能可擴展性和控制，它在 2U 外形中提供更高的密度。我們同步了 Dell EMC VxRail 設備和 VMware vSAN 更新版本，以便客戶盡快獲得最新的技術功能，以滿足他們快速變化的業務需求。我們將 vSAN ReadyNode 支持擴展到新的 Dell EMC PowerEdge MX，它為作為 HCI 構建塊的 vSAN ReadyNodes 提供了一個高度靈活的平台。

For the cloud, we announced 10 new product enhancements to our cloud portfolio, including the VxRack software-defined data center, pre-integrated and constructed to deliver the latest technology from VMware Cloud Foundation to offer the ultimate infrastructure foundation for realizing a VMware multi-cloud. And finally, we launched a new Dell EMC Cloud Marketplace, bringing the power of the Dell Technologies family together in one place, offering customers a choice of cloud platforms, cloud-enabled infrastructure capabilities, cloud consulting and technology services and cloud consumption models in a self-service portal.

對於雲，我們宣布了雲產品組合的 10 項新產品增強功能，包括 VxRack 軟件定義的數據中心，這些產品經過預先集成和構建，可提供 VMware Cloud Foundation 的最新技術，從而為實現 VMware 多雲計算提供最終的基礎架構基礎。雲。最後，我們推出了一個新的 Dell EMC Cloud Marketplace，將 Dell Technologies 系列的強大功能集中在一個地方，為客戶提供雲平台、支持雲的基礎架構功能、雲諮詢和技術服務以及雲消費模型的選擇自助服務門戶。

In closing, we are very pleased with the performance across the business, notably as the strategic decisions we've made in ISG are driving improvement in the business. We have been clear that we still have work to do. And we are continuing to invest for the long-term growth of the business. We look forward to talking more about this at the Analyst Meeting in a couple of weeks.

最後，我們對整個業務的表現感到非常滿意，特別是因為我們在 ISG 中做出的戰略決策正在推動業務的改進。我們已經很清楚，我們還有工作要做。我們將繼續為業務的長期增長進行投資。我們期待在幾週後的分析師會議上更多地討論這個問題。

With that, let me turn it back over to Tom.

有了這個，讓我把它轉回給湯姆。

Thanks, Jeff. Today, we are well positioned as an integrated end-to-end technology provider to better serve our customers. We have many things going well. We are leaders in most of the key segments in which we compete. And we've had good cross-selling momentum and coordinated innovation across the family of businesses.

謝謝，傑夫。今天，我們作為一家集成的端到端技術提供商處於有利地位，可以更好地為我們的客戶服務。我們有很多事情進展順利。在我們競爭的大多數關鍵領域，我們都是領導者。我們在整個企業家族中擁有良好的交叉銷售勢頭和協調創新。

We are pleased with our relative performance versus our competitors. Our growth is above the industry in most segments and are encouraged by the first half performance in storage. We've seen great velocity in client, servers, hyperconverged infrastructure and VMware, which has helped drive strong cash flow performance and allowed us to make progress on debt repayment. We've seen improvement in the storage business. And we're pleased with the revenue growth we've seen in storage in the first half of this fiscal year. We still have work to do. But we are confident that the decisions in investments we made are the right ones for the long term. And we're optimistic about our progress to date.

我們對我們與競爭對手的相對錶現感到滿意。我們的增長在大多數領域都高於行業，並且受到上半年存儲性能的鼓舞。我們看到客戶端、服務器、超融合基礎設施和 VMware 的發展速度很快，這有助於推動強勁的現金流表現，並使我們在償還債務方面取得進展。我們已經看到存儲業務的改善。我們對本財年上半年存儲業務的收入增長感到滿意。我們還有工作要做。但我們相信，從長遠來看，我們做出的投資決定是正確的。我們對迄今為止的進展感到樂觀。

As we look to the second half of fiscal '19, we want to sustain the growth trajectory even as we fine-tune our business model. We will also continue executing on our strategic areas of focus, which include growing above the market and driving share gains; generating strong cash flow and delevering the balance sheet; executing in ISG and driving profitability by balancing growth and margins; and being a trusted partner for our customers by listening and addressing their needs with our full range of capabilities.

展望 19 財年下半年，我們希望在微調業務模式的同時保持增長軌跡。我們還將繼續執行我們的戰略重點領域，包括超越市場增長和推動份額增長；產生強勁的現金流並去槓桿化資產負債表；通過平衡增長和利潤來執行 ISG 並提高盈利能力；並通過我們的全方位能力傾聽和滿足客戶的需求，成為客戶值得信賴的合作夥伴。

As most of you know, we have not provided guidance since the go-private transaction. And it is not our intention to provide guidance in the future. However, in conjunction with the July second Class V transaction announcement, we thought it was important to provide a framework for performance expectations for this fiscal year. For fiscal '19, given the momentum we've seen year-to-date, we are adjusting the ranges provided on July 2. We now expect non-GAAP revenue between $90.5 billion and $92 billion for the full fiscal year. We now expect non-GAAP operating income to be between $8.4 billion and $8.8 billion and non-GAAP net income between $4.9 billion and $5.3 billion.

正如你們大多數人所知，自私有化交易以來，我們沒有提供任何指導。我們無意在未來提供指導。然而，結合 7 月的第二項 V 類交易公告，我們認為為本財年的業績預期提供一個框架很重要。對於 19 財年，鑑於我們今年迄今看到的勢頭，我們正在調整 7 月 2 日提供的範圍。我們現在預計整個財年的非 GAAP 收入將在 905 億美元至 920 億美元之間。我們現在預計非 GAAP 營業收入在 84 億美元至 88 億美元之間，非 GAAP 淨收入在 49 億美元至 53 億美元之間。

There are a couple of things that you need to keep in mind. We started seeing signs of momentum beginning in the third quarter of last year. So we will face tougher year-over-year comparisons in the second half of fiscal '19. And we also continue to invest in the business in areas such as sales, R&D and our strategically aligned businesses with these investments layering in during the second half of this fiscal year. We are making these decisions with a disciplined approach and for long-term growth of the company. We are committed to our approach of value creation over the mid- to long term and are not running the company to optimize any particular quarter.

您需要記住幾件事。從去年第三季度開始，我們開始看到勢頭跡象。因此，我們將在 19 財年下半年面臨更嚴格的同比比較。我們還繼續在銷售、研發和我們的戰略調整業務等領域投資業務，這些投資將在本財年下半年進行。我們正在以一種有紀律的方式做出這些決定，並為了公司的長期發展。我們致力於在中長期創造價值的方法，而不是為了優化任何特定季度而運營公司。

We are focused on driving improved operating leverage, and we expect sales productivity will continue to ramp beyond fiscal '19, given the investments we've made in our sales force this year. We're confident in how we're managing the business. And we're focused on execution and driving returns on the investments that we've made across the segments.

我們專注於推動提高運營槓桿，並且鑑於我們今年對銷售隊伍的投資，我們預計銷售生產力將在 19 財年之後繼續提高。我們對我們管理業務的方式充滿信心。我們專注於執行和推動我們在各個細分市場所做投資的回報。

With that, I'll turn it back to Rob to begin Q&A.

有了這個，我會把它轉回給羅布開始問答。

Thanks, Tom. Let's get to Q&A. (Operator Instructions) Regina, can you introduce the first question?

謝謝，湯姆。讓我們開始問答吧。（操作員說明）里賈納，你能介紹一下第一個問題嗎？

Our first question will come from the line of Thomas Egan with JPMorgan.

我們的第一個問題將來自摩根大通的 Thomas Egan。

I know -- you guys have been -- as you pointed out, you're doing well across everything right now. And I don't think it's a big surprise that you're taking share on the CSG side because you've been doing that for a while. But the share gains that you've been making on the ISG side are something that you hadn't been doing in the past. So I guess, when you talk to your sales force and when you talk to your customers, what exactly is it that they're telling you the reasons that they're switching either from your competitors to you or that you're getting a bigger piece of the pie than everybody else? You threw out a whole bunch of stuff at us today, Tom, Jeff, in products. You talked about flexible pricing. You talked about better service. I just wondered, what is the main driver outside of what -- the tech lift of all boats, what is driving the share gains that you're seeing in storage and servers?

我知道——你們一直在——正如你所指出的，你們現在在所有方面都做得很好。而且我認為您在 CSG 方面分享份額並不令人感到意外，因為您已經這樣做了一段時間。但是你在 ISG 方面獲得的份額收益是你過去沒有做過的。所以我想，當你和你的銷售人員交談時，當你和你的客戶交談時，他們到底在告訴你他們從你的競爭對手轉向你的原因是什麼，或者你正在變得更大比其他人分得一杯羹？湯姆，傑夫，你今天在產品方面向我們扔了一大堆東西。您談到了靈活定價。你談到了更好的服務。我只是想知道，除了什麼之外的主要驅動力是什麼——所有船隻的技術提升，是什麼推動了你在存儲和服務器中看到的份額增長？

Tom, this is Jeff. Thanks for the question. Look, I don't think there's a one thing. Look, you have a spend environment that's favorable today. You have IT spend that is strong and we continue to see that going forward. The market pundits have certainly suggested that it's going to continue to grow twice GDP over the next handful of years. So you have a favorable spend environment. For us in that favorable spending environment, we have a unique value proposition. Our unique value proposition is from the edge to the core to the cloud that we are a one-stop shop that we can provide a full set of solutions for our customers. That's particularly important as our customers are transforming their business. We talk a lot about this, the digital transformation. Companies are understanding the value of information, turning that information into better business outcomes. And we're providing solutions that help customers navigate from where they've been to being able to work in this, if you will, new way of doing business. And when you think about the combination of our edge devices to our core infrastructure devices and then the solution ability that we've put around that and the power of Dell Technologies and the entire portfolio, it's a very differentiated set of capabilities that our customers can get from us. And we're seeing that across the board. The synergies, whether it be our leadership position in virtualization, primary storage, data protection, CI, HCI, now the undisputed leader in servers for 4 consecutive quarters, the position that we've had on the PC side, again I think it's about our offers, the differentiated solution, our go-to-market ability to talk to and cover many customers. That package together, I think, is certainly leading to why we're distancing ourselves collectively in the industry. You know we've made a lot of changes in our storage or primary storage business over the past year. The product line is certainly far more competitive today. The innovation engine is accelerating with a number of product announcements. We're openly embracing the cloud. Tom and I have referenced, I think, in the 4 calls that I've been on the investments we've made in coverage and capacity. So our go-to-market model continues to be very, very robust and we're investing. I think that combination -- Tom, anything you'd add to that?

湯姆，這是傑夫。謝謝你的問題。看，我認為沒有一件事。看，您今天的消費環境很有利。您擁有強勁的 IT 支出，我們將繼續看到這一趨勢。市場權威人士肯定表示，在接下來的幾年裡，它的 GDP 將繼續增長兩倍。所以你有一個有利的消費環境。對於我們在有利的消費環境中，我們有一個獨特的價值主張。我們獨特的價值主張是從邊緣到核心再到雲端，我們是一站式商店，我們可以為客戶提供全套解決方案。這一點尤其重要，因為我們的客戶正在轉變他們的業務。我們談論了很多關於數字化轉型的話題。公司正在了解信息的價值，並將這些信息轉化為更好的業務成果。我們正在提供解決方案，幫助客戶從他們去過的地方導航到能夠在這種情況下工作，如果你願意的話，新的經營方式。當您考慮我們的邊緣設備與我們的核心基礎設施設備的組合，然後是我們圍繞它提供的解決方案能力以及 Dell Technologies 和整個產品組合的力量時，這是我們的客戶可以提供的一組非常差異化的功能從我們這裡得到。我們正在全面看到這一點。協同效應，無論是我們在虛擬化、主存儲、數據保護、CI、HCI 方面的領先地位，現在連續 4 個季度在服務器領域無可爭議的領先地位，我們在 PC 端的地位，我認為這又是關於我們的報價、差異化的解決方案、我們與許多客戶交談並覆蓋許多客戶的上市能力。我認為，這個組合肯定會導致我們在行業中集體疏遠的原因。你知道我們在過去一年中對我們的存儲或主存儲業務進行了很多更改。如今，該產品線無疑更具競爭力。隨著一系列產品的發布，創新引擎正在加速發展。我們公開擁抱雲。我認為，湯姆和我在 4 次電話會議中提到了我們在覆蓋範圍和容量方面所做的投資。因此，我們的上市模式繼續非常非常穩健，我們正在投資。我認為這種組合 -- 湯姆，你還想補充什麼嗎？

No, Jeff, I think that's right. I think you've done -- look, there's work to do. So nobody's declaring victory here, by the way. But I think we've seen good progress. There's obviously things that we're focused on improving. But I would point back to since the EMC transaction, we have done a series of investments, whether it's in product capability, solution capability, the go-to-market coverage models that we're building out. I think those are key differentiators as we are able to reach the customer base in a more precise and targeted way. So look, Tom, there's more work to do here, so -- but I think we're generally pleased with the progress we're making.

不，傑夫，我認為這是對的。我想你已經完成了——看，還有工作要做。順便說一下，這裡沒有人宣布勝利。但我認為我們已經看到了良好的進展。顯然有一些事情是我們專注於改進的。但我要指出的是，自從 EMC 交易以來，我們已經進行了一系列投資，無論是在產品能力、解決方案能力，還是我們正在構建的上市覆蓋模型方面。我認為這些是關鍵的差異化因素，因為我們能夠以更精確和更有針對性的方式接觸客戶群。所以看，湯姆，這裡還有更多工作要做，所以 - 但我認為我們總體上對我們正在取得的進展感到滿意。

Okay. And then for my follow-up, I know you don't want to talk about the transaction and all, but you left the door open a little bit when you said that you're looking forward to engaging with DVMT shareholders. So I wondered outside of the Analyst Day that you've got coming up, is there a formal process? Or are you just talking about normal course of business?

好的。然後對於我的後續行動，我知道你不想談論交易和所有事情，但是當你說你期待與 DVMT 股東接觸時，你稍微敞開了大門。所以我想知道你即將到來的分析師日之外，是否有正式的流程？或者你只是在談論正常的業務過程？

Hey, Tom, this is Rob. Yes, we'll have the Analyst Meeting on the 18th. And then we will be on the road on the following week, the week of the 24th and then the week of the 1st of October. We'll be in multiple cities meeting one-on-one and in group meetings with shareholders, DVMT shareholders. In addition to that, as we move towards a definitive proxy filing and past the definitive proxy filing, I do expect that there will be ongoing conversations that will be in person and by the phone across the spectrum of the special committee and management team talking and engaging with DVMT shareholders. So we do expect that we'll have multiple opportunities over the course of the next, call it, 6 weeks or so or more. And we do want to make sure that we let the process play out appropriately and give everyone an opportunity to be heard and for the company to also make its case for Dell Technologies and core Dell Technologies. And we'll do that at the Analyst Meeting.

嘿，湯姆，這是羅布。是的，我們將在 18 日召開分析師會議。然後我們將在接下來的一周、24 日那一周和 10 月 1 日那一周上路。我們將在多個城市與股東、DVMT 股東進行一對一會議和小組會議。除此之外，隨著我們朝著最終委託書提交和最終委託書提交的方向邁進，我確實希望特別委員會和管理團隊的各個方面都將親自和通過電話進行持續的對話，與 DVMT 股東接洽。因此，我們確實希望在接下來的 6 週左右或更長時間內有多個機會。我們確實希望確保我們讓流程適當地進行，讓每個人都有機會發表意見，並讓公司也為 Dell Technologies 和核心 Dell Technologies 辯護。我們將在分析師會議上這樣做。

Our next question comes from the line of Shannon Cross with Cross Research.

我們的下一個問題來自 Shannon Cross 與 Cross Research 的合作。

Jeff, I'm wondering now that you have a few months behind you in terms of some of the changes you made to the sales comp plan and the sales structure, where you -- how it's going, how much is some of the upside that we're seeing this quarter? Do you think is being driven by some of the movements? And sort of where you think you are within the plan, are you on track? Or do you think you'd maybe expand it a bit? Then I have a follow-up.

傑夫，我現在想知道，就您對銷售補償計劃和銷售結構所做的一些更改而言，您已經落後了幾個月，您在哪裡 - 進展如何，有多少好處我們看到這個季度？您認為是受到某些運動的驅動嗎？還有你認為你在計劃中的什麼地方，你在軌道上嗎？或者你認為你可能會擴展它一點？然後我有一個後續行動。

Sure. Tom will add to this, I'm certain. I think if you evaluate 2 quarters in, we're pleased where we've seen the momentum on our storage business. As we have referenced before, we made comp plans targeting the sales force to be more -- or to emphasize our higher-margin products. I think we're pleased that it's working that way. I think our performance this quarter is indicative of that. We expect later this afternoon for a very positive sign from share gains in the external storage marketplace. So again, I think encouraged, pleased that it's beginning to work, particularly given our exit rate last year. We'll continue to tweak it, making sure that we get the right performance across all geographies and all segments in the business. But I think if we reflect on the velocity that we've built in the first half of the year, certainly given our previous performance, we're in the ballpark of where we want to be. We've consistently said that we want to outperform the segment. As reported this afternoon, we're pretty positive that will be 2 in a row. So it's working as planned but more tweaking to do, I think.

當然。Tom 會補充這一點，我敢肯定。我想如果你評估兩個季度，我們很高興看到我們存儲業務的發展勢頭。正如我們之前提到的，我們制定了針對銷售人員的補償計劃，以更多地——或強調我們利潤率更高的產品。我認為我們很高興它以這種方式工作。我認為我們本季度的表現表明了這一點。我們預計今天下午晚些時候外部存儲市場的份額增長將出現非常積極的跡象。因此，我再次感到鼓舞，很高興它開始起作用，特別是考慮到我們去年的退出率。我們將繼續對其進行調整，確保我們在所有地區和業務的所有部門都獲得正確的績效。但我認為，如果我們反思一下我們在今年上半年建立的速度，當然考慮到我們之前的表現，我們就處於我們想要達到的目標。我們一直表示我們希望超越該細分市場。正如今天下午報導的那樣，我們非常肯定這將是連續 2 次。所以它按計劃工作，但我認為需要做更多調整。

Hey, Shannon, it's Tom. I would echo that. I do think it's reasonable progress. I think Jeff has done a nice job working with the ISG team around product launch, solution capability, feature functionality. And he's continuing to drive that pretty hard with the innovation that he's pushing. I do expect that we'll continue to invest in the coverage model as it relates to storage though. And I think some of the conversations we've had, I think we have been pretty transparent about that. We'll continue to build out our investment, particularly in the go-to-market capability, so that we're covering the customers in the coverage ratios that we want and that we're working with the appropriate sort of lineup of specialty sales capability as well. So again, I am reasonably happy with how it's gone to date. There's stuff that we're clearly working on. But I think what you're hearing us say now is that we'll continue to fine-tune it and work towards continuing to build acceleration.

嘿，香農，我是湯姆。我會回應。我確實認為這是合理的進步。我認為 Jeff 在產品發布、解決方案能力和特性功能方面與 ISG 團隊合作做得很好。他將繼續通過他所推動的創新努力推動這一進程。我確實希望我們會繼續投資覆蓋模型，因為它與存儲相關。而且我認為我們進行的一些對話，我認為我們對此非常透明。我們將繼續擴大我們的投資，特別是在進入市場能力方面，以便我們以我們想要的覆蓋率覆蓋客戶，並且我們正在使用適當的專業銷售陣容能力也是如此。因此，我再次對它迄今為止的表現感到相當滿意。有些事情我們顯然正在努力。但我認為你現在聽到我們說的是，我們將繼續對其進行微調，並努力繼續建立加速。

If I was to add, I mean, if you look at I was answering specifically around the sales comp side, if you step back and look at the progress we've made in the last year of simplifying the portfolio, improving the competitiveness of the product lines as Tom mentioned, crisping up our marketing campaigns, which you'll see in full flair this second half of this year, they've already begun announcing new products, we'll announce a new one next week. There's been a tremendous amount of improvement in the capability of our performance over the last year. I'm pretty excited about our ability to compete in the external storage marketplace. You couple that with the leadership position we have in servers, HCI and CI, it bodes well. If I link it back to the first question from Tom, this notion of digital transformation and customers wanting to buy a total solution from one partner, we're in a very good position to take advantage of the spending trends going forward.

如果我要補充，我的意思是，如果你看看我是專門圍繞銷售補償方面回答的，如果你退後一步看看我們在去年簡化產品組合、提高競爭力方面取得的進展湯姆提到的產品線，加強了我們的營銷活動，你將在今年下半年看到這些活動，他們已經開始宣布新產品，我們將在下周宣布一個新產品。在過去的一年裡，我們的績效能力有了巨大的提高。我對我們在外部存儲市場競爭的能力感到非常興奮。再加上我們在服務器、HCI 和 CI 領域的領導地位，這是個好兆頭。如果我將它與湯姆提出的第一個問題聯繫起來，即數字化轉型的概念和希望從一個合作夥伴那裡購買完整解決方案的客戶，我們將處於一個很好的位置，可以利用未來的支出趨勢。

Great. That was helpful. And then on the client side, you've had several quarters of strong performance. Can you just give us an idea of where you think we are in terms of some of the Windows 10 upgrade cycle or share gains? I think our expectation is that will continue for a while. But just beyond that, what are some of the trends you're seeing in the PC market? And how sustainable is it, the growth rates that we've seen?

偉大的。那很有幫助。然後在客戶端，你有幾個季度的強勁表現。您能否告訴我們您認為我們在某些 Windows 10 升級週期或分享收益方面所處的位置？我認為我們的期望是這種情況會持續一段時間。但除此之外，您在 PC 市場看到了哪些趨勢？它的可持續性如何，我們看到的增長率？

Well, I think, first and foremost, it is a market that consolidates. It will continue to consolidate and we've been a consolidator. The top 3 manufacturers, if memory serves me right, is roughly 64% share of the industry. We've been a huge benefactor of that over the past 5-plus years, culminating into what are some pretty impressive numbers for us this quarter, record shipments, record revenue, the highest share position we've had at 18.2%. Overall, the highest share position we've had in commercial PCs at 22.8%. There's a lot of momentum behind that. And you know with our model, when we're selling commercial PCs, there's a lot of drag around that with financing, software and peripherals and our services attached, attached, attached, which is uniquely something that we do, I think, over our competition. So I like that backdrop. I see the industry continuing to operate roughly where it's been. So let's call it a flat industry. It's going to consolidate. And we're going to continue to grow in that marketplace and outperform. We were the fastest-growing of the top 3 in Q1 and in Q2. I think we can continue to drive that momentum. And I think we still have a bit of a tailwind of Windows 10 for the next 1.5 years. It's hard for me to tell you exactly where we are in terms of Windows 10 conversion. But I suspect our data suggests we're about halfway through with halfway to go, which is 6 quarters. And that's about right.

嗯，我認為，首先，這是一個整合的市場。它將繼續整合，我們一直是整合者。如果沒記錯的話，前 3 名製造商大約佔行業 64% 的份額。在過去 5 年多的時間裡，我們一直是這方面的巨大恩人，最終在本季度為我們帶來了一些令人印象深刻的數字，創紀錄的出貨量、創紀錄的收入，以及我們擁有的最高份額 18.2%。總體而言，我們在商用 PC 中的最高份額為 22.8%。這背後有很大的動力。你知道我們的模型，當我們銷售商用 PC 時，融資、軟件和外圍設備以及我們的服務附加、附加、附加，這是我們所做的獨一無二的事情，我認為，在我們的競賽。所以我喜歡那個背景。我看到該行業繼續大致在過去的地方運作。所以姑且稱之為扁平化行業吧。它將鞏固。我們將繼續在該市場中發展並超越市場。我們是第一季度和第二季度前三名中增長最快的。我認為我們可以繼續推動這種勢頭。而且我認為在接下來的 1.5 年裡，Windows 10 仍然有一些順風。我很難準確地告訴您我們在 Windows 10 轉換方面的進展情況。但我懷疑我們的數據表明我們已經完成了大約一半，還有一半要走，即 6 個季度。這是正確的。

Jeff, I also think that you've done -- if you just think about it and you talked about it in your talking points around the capabilities you've added to some of the end-user devices, the coordination with VMware and the integration with VMware like Workspace ONE and the differentiation you're driving, I think, are all positive indicators of the Better Together story as you guys -- as we go to market in a more cohesive fashion with some differentiated solutions.

Jeff，我也認為你已經完成了——如果你只是想一想，你在你的談話要點中談到了你已經添加到一些最終用戶設備的功能，與 VMware 的協調和集成我認為，像 Workspace ONE 這樣的 VMware 和你們正在推動的差異化，都是 Better Together 故事的積極指標——因為我們以更具凝聚力的方式通過一些差異化解決方案進入市場。

It is. It's under the mantra of how do we modernize the PC experience. And our recent announcement with Workspace ONE, being able to do deployment of product, configuration of product in a very modern way with our collaboration VMware is very healthy. We extended that with PC-as-a-Service and building the offerings that we have there. I'm optimistic, Shannon, that we can continue to grow this business, continue to be a consolidator. We would also tell you not all share is equivalent. You know where we focus our business. We're biased towards the commercial PC side. We love the gaming sector. We love the high-end consumer sector. Those are important to us.

這是。這是我們如何使 PC 體驗現代化的口頭禪。我們最近宣布與 Workspace ONE 合作，能夠通過我們與 VMware 的合作以非常現代的方式部署產品和配置產品，這非常健康。我們通過 PC 即服務擴展了這一點，並構建了我們在那裡提供的產品。香農，我很樂觀，我們可以繼續發展這項業務，繼續成為整合者。我們還會告訴您，並非所有份額都是等價的。您知道我們的業務重點在哪裡。我們偏向商用PC端。我們熱愛遊戲行業。我們喜歡高端消費領域。這些對我們很重要。

Our next question comes from the line of David Eller with Wells Fargo.

我們的下一個問題來自富國銀行的 David Eller。

Sticking with the CSG segment for a minute, you mentioned that your long-term operating margin targets have not changed. Could you just refresh us on your views on what those operating margins might be? And then also kind of touching on the gaming market that you mentioned, any views on the gaming cycle and seasonality, whether there's been any pull-forward stealing from the holiday quarter?

堅持 CSG 部分一分鐘，你提到你的長期營業利潤率目標沒有改變。您能否讓我們更新一下您對這些營業利潤率的看法？然後也有點觸及你提到的遊戲市場，對遊戲週期和季節性的任何看法，是否有任何從假期季度開始的提前偷竊？

Hey, David, it's Tom. Let me take the first part of that and then I'll have Jeff maybe address the gaming comment or question that you also asked. So from a long-term framework of how we think about the financial framework, I think what we've been saying is that we want to run the CSG business roughly in an operating margin percentage somewhere between 4.8% to 5.2%. Obviously, if you look at the results for this quarter, we're below that. We've been above it -- on it or above it in the prior quarters. As we mentioned in the talking points, we did see some currency dynamics, particularly in Brazil, China in the third -- or in the second quarter that we priced through -- we took pricing actions but couldn't catch it fast enough, so -- but it doesn't change our point of view on ultimately where we were going to run this business and how we think about the business. So that's how we're framed and we'll continue to drive the business forward and make sure we take the appropriate actions to get -- to bring us back into alignment, where we want to be. And then Jeff, on the gaming, maybe you want to try...

嘿，大衛，我是湯姆。讓我來談談第一部分，然後我可能會讓 Jeff 解決您也提出的遊戲評論或問題。因此，從我們如何看待財務框架的長期框架來看，我認為我們一直在說的是，我們希望以 4.8% 至 5.2% 之間的營業利潤率大致運行 CSG 業務。顯然，如果您查看本季度的結果，我們會低於該結果。在前幾個季度，我們一直在它之上——在它之上或之上。正如我們在談話要點中提到的那樣，我們確實看到了一些貨幣動態，特別是在第三季度的巴西和中國 - 或者在我們定價的第二季度 - 我們採取了定價行動但無法足夠快地趕上它，所以——但這並沒有改變我們對最終將在哪裡經營這項業務以及我們如何看待這項業務的看法。這就是我們的框架，我們將繼續推動業務向前發展，並確保我們採取適當的行動來讓我們回到我們想要的位置。然後傑夫，在遊戲方面，也許你想嘗試......

I was just going to add, we continue to make pricing changes through the first part of fiscal Q3 to catch up to those currency changes that continue to move on us.

我只是想補充一點，我們在第三財季的第一部分繼續進行定價調整，以趕上那些繼續影響我們的貨幣變化。

Yes.

是的。

And so we're responding quite well. But those last changes just make it difficult to catch within period. Switching to gaming, as the leader in the sector, I haven't seen a pull-ahead. Our business is performing quite well. We're outperforming the overall segment, great adoption of our Alienware platform and our Inspiron gaming platforms. We continue to see -- and we're going to continue to refresh those platforms and see strong demand globally for gaming.

所以我們的反應很好。但那些最後的變化只會讓人很難在一段時間內趕上。轉向遊戲，作為該行業的領導者，我還沒有看到領先。我們的業務表現良好。我們的表現優於整體細分市場，我們的 Alienware 平台和 Inspiron 遊戲平台得到了廣泛採用。我們繼續看到 - 我們將繼續更新這些平台，並看到全球對遊戲的強勁需求。

Great. And then for my follow-up question, I wondered if you could talk about the potential effect from the next round of tariffs that's currently being contemplated, how much of that you think you could either pass through or other ways you can mitigate the impact? And how much of that is baked into your current operating income guidance for the year?

偉大的。然後對於我的後續問題，我想知道你是否可以談談目前正在考慮的下一輪關稅的潛在影響，你認為有多少可以通過或其他方式可以減輕影響？其中有多少被納入了您當前的年度營業收入指南？

I can answer the last part first and then I'll go to the real crux of the question. Look, we've had a sense of where the tariffs are going to be. Our financial plan contemplates that. There is no change in our guidance. It understands what we're going to be able to do and what we're expecting with tariffs. Tom, I think that's spot-on.

我可以先回答最後一部分，然後再進入問題的真正癥結所在。看，我們已經了解了關稅的去向。我們的財務計劃考慮到了這一點。我們的指南沒有變化。它了解我們將能夠做什麼以及我們對關稅的期望。湯姆，我認為這是正確的。

That's right. I mean, the guidance we provided or just updated to includes our best view at this point in time of the impact of tariffs. Now if we get another list and it has other impacts, then we'll have to work our way through that.

這是正確的。我的意思是，我們提供或剛剛更新的指南包括我們目前對關稅影響的最佳看法。現在，如果我們得到另一個列表並且它有其他影響，那麼我們將不得不努力解決這個問題。

Correct. So back to the original question of tariffs, clearly we're in the camp of pro-free trade. That's important to us. That said, we successfully mitigated the first 2 lists. Our supply chain has been unbelievably resilient. And as we have gone through the third list, that resiliency of our supply chain that's global in nature gives us tremendous flexibility. We do a lot of work planning around business continuity and role-playing different scenarios that would have us change where we build our products. And that planning is serving us quite well now. We've repositioned material. We've repositioned products. And we're taking advantage of our North America footprint. That's what we need to do. That's what the third list is requiring us to migrate to. So the North America capacity and capability we have today, we've made decisions a little while ago to make sure that we are timely implementation of when we think the list will go into effect. And we see minimal impact to our business. That said, there are some costs that we won't be able to mitigate, and we'll see some change in pricing for some classes of products over time.

正確的。回到最初的關稅問題，顯然我們站在支持自由貿易的陣營。這對我們很重要。也就是說，我們成功地緩解了前 2 個列表。我們的供應鏈具有令人難以置信的彈性。當我們瀏覽第三個列表時，我們的供應鏈具有全球性的彈性為我們提供了巨大的靈活性。我們圍繞業務連續性和角色扮演不同的場景做了很多工作計劃，這些場景會讓我們改變我們構建產品的地方。這個計劃現在對我們很有幫助。我們重新定位了材料。我們重新定位了產品。我們正在利用我們在北美的足跡。這就是我們需要做的。這就是第三個列表要求我們遷移到的目標。因此，我們今天擁有的北美能力和能力，我們在不久前做出了決定，以確保我們及時實施我們認為該清單將生效的時間。我們認為對我們業務的影響微乎其微。也就是說，有些成本我們無法降低，而且隨著時間的推移，我們會看到某些類別產品的定價發生一些變化。

Jeff, I would add one thing on that. As we look at that and as we plan our way through that, I would expect that we perhaps could see some growth in inventory as a result of that as we reposition product and parts. So I think we'll have to see whether that's a temporal impact. But we are thinking about that relative to our working capital dynamics.

傑夫，我想補充一件事。當我們審視它併計劃我們的方式時，我希望我們可能會看到庫存的一些增長，因為我們重新定位產品和零件。所以我認為我們必須看看這是否是暫時的影響。但我們正在考慮相對於我們的營運資本動態。

Right. So one of the things that we can do dynamically to reposition material and product is inventory to allow us to make the changes of source of -- where the source of manufacturing originates.

正確的。因此，我們可以動態地重新定位材料和產品的其中一件事是庫存，使我們能夠改變來源——製造來源的來源。

And I would just add, this is Tyler. Just to interject, I mean, from a cash perspective though, whatever inventory we would need or decide to pull forward, it's totally manageable. So it's not going to provide or impact our cash materially.

我只想補充一點，這是泰勒。只是插一句，我的意思是，從現金的角度來看，無論我們需要或決定推進什麼庫存，它都是完全可以管理的。因此，它不會實質性地提供或影響我們的現金。

Our next question comes from the line of Katy Huberty with Morgan Stanley.

我們的下一個問題來自 Katy Huberty 與 Morgan Stanley 的對話。

Appreciate the question. Is there any way for you to break out ISG revenue growth between more traditional data center upgrades and modernization versus real net new infrastructure investment in applications like AI, machine learning and edge compute? I ask just because certainly the latter feels like it's sustainable for many years versus the former may prove more cyclical in nature. Then I have a follow-up.

感謝這個問題。您有什麼方法可以在更傳統的數據中心升級和現代化與人工智能、機器學習和邊緣計算等應用程序的新基礎設施淨投資之間打破 ISG 收入增長？我之所以這麼問，是因為後者確實感覺它可以持續多年，而前者可能在本質上更具週期性。然後我有一個後續行動。

Katy, it's Tom. It's a great question, but our level of visibility in terms of where the infrastructure is going varies depending upon selling motion and channel. So we don't have good data on that other than the relative trends that we see as we talk with our customers around their investment, whether it's modernizing their classic data center or modernizing for AI/ML, big data analytic-type capabilities. So I don't have data that would -- I'd feel comfortable sharing, just given I would guess the softness of the trends. But I will tell you that there's clearly, as Jeff highlighted, interest and customer demand for the type of capabilities and solutions we're driving, given the business model evolutions that are happening with our customers. And so we do feel bullish in the long run about the spend environment. And we would look to the IDC data as reinforcement of that. But for real detailed trends on what percentage of the spend -- of the revenue is going into specific applications or workloads, Jeff, I don't -- we don't have that data at that level.

凱蒂，是湯姆。這是一個很好的問題，但我們在基礎設施走向方面的可見性水平因銷售活動和渠道而異。因此，除了我們在與客戶討論他們的投資時看到的相對趨勢之外，我們沒有關於這方面的良好數據，無論是現代化他們的經典數據中心還是現代化 AI/ML，大數據分析類型的能力。所以我沒有數據可以——我會很樂意分享，只是因為我猜趨勢是軟的。但我會告訴你，正如 Jeff 強調的那樣，鑑於我們的客戶正在發生的業務模型演變，顯然存在對我們正在推動的功能和解決方案類型的興趣和客戶需求。因此，從長遠來看，我們確實對支出環境持樂觀態度。我們會將 IDC 數據視為對此的強化。但是對於支出百分比的真正詳細趨勢 - 收入的百分比用於特定的應用程序或工作負載，Jeff，我沒有 - 我們沒有那個級別的數據。

No, but there are encouraging trends. We see the average CPU, the average memory, the average SSD that we put in a server is greater today that it was a year ago, which for us tells that we're selling deeper into the data center and up the workload stack. And workloads like artificial intelligence and machine learning are driving richer servers. So I know that's a loose correlation. But in our view, when we see the ASP increase that we've seen and the types of customers that are deploying this or buying these servers, it's certainly an indicator to us that we're selling deeper into the data center and into these new, richer workloads.

不，但有令人鼓舞的趨勢。我們看到今天我們在服務器中放置的平均 CPU、平均內存、平均 SSD 比一年前更大，這對我們來說表明我們正在更深入地銷售數據中心和工作負載堆棧。人工智能和機器學習等工作負載正在推動更豐富的服務器。所以我知道這是一個鬆散的相關性。但在我們看來，當我們看到我們所看到的 ASP 增長以及正在部署或購買這些服務器的客戶類型時，這無疑表明我們正在更深入地銷售數據中心和這些新產品，更豐富的工作負載。

And Katy, this is Rob. I would say that while we probably won't get exactly to your question, we will dive into that a little bit more at the Analyst Meeting on the 18th, specifically around data growth, workload growth, how that translates into IT spending growth, so...

凱蒂，這是羅伯。我想說的是，雖然我們可能不會完全回答你的問題，但我們將在 18 日的分析師會議上深入探討這個問題，特別是圍繞數據增長、工作負載增長，以及這如何轉化為 IT 支出增長，所以...

Yes, clearly the dynamic of edge computing and sort of a decentralization is driving more compute and more storage need on the edge of the network, which bodes quite well for us and what's happening in the industry and those usage models that we'll take advantage of that.

是的，顯然邊緣計算的動態和某種分散化正在推動網絡邊緣的更多計算和更多存儲需求，這對我們以及行業中正在發生的事情以及我們將利用的那些使用模型來說是個好兆頭那個。

Okay, perfect. And then as a follow-up, is there anything that we should read into the fact that the fiscal '19 revenue guidance increase largely just flowed through the 2Q beat and not necessary a lot of upside over the next couple of quarters? Are tougher comps, currency, some of those factors playing into that? Or is there just some conservatism as you look into the remainder of the year?

好的，完美。然後作為後續行動，是否有任何我們應該了解的事實，即 19 財年收入指引的增長主要只是通過第二季度的節拍，而在接下來的幾個季度中沒有必要有很大的上漲空間？更強硬的補償、貨幣以及其中的一些因素是否在起作用？或者在您展望今年剩餘時間時是否只是有些保守主義？

Hey, Katy, it's Tom. Look, I think we feel reasonably comfortable about the velocity in the business right now. Obviously, there are tougher comps, as I called out, in the back half of the year as you look -- as we saw where the acceleration really started in the third quarter of fiscal '18. Look, I think we feel good about the state of the business. We don't want to get ahead of ourselves in terms of the business velocity. And look, it's still a very competitive and dynamic market, and there's -- but I think overall, we feel pretty comfortable about it. So I would just tell you that we'll see how the business progresses as we go through the third quarter and into the fourth quarter. But on an annual basis, when you look at just the overall growth of a company of this size, I think it's a pretty good number. And so we'll continue to drive it forward and then we'll see how it progresses.

嘿，凱蒂，我是湯姆。看，我認為我們現在對業務的速度感到相當滿意。顯然，正如我所說，在你看來，今年下半年會有更艱難的競爭——正如我們所看到的，加速在 18 財年第三季度真正開始的地方。看，我認為我們對業務狀況感覺良好。我們不想在業務速度方面超越自己。看，它仍然是一個競爭激烈且充滿活力的市場，而且 - 但我認為總的來說，我們對此感到非常自在。所以我只想告訴你，我們將看到業務在第三季度和第四季度的進展情況。但按年計算，當你只看這種規模的公司的整體增長時，我認為這是一個相當不錯的數字。因此，我們將繼續推動它向前發展，然後我們將看到它的進展情況。

Our next question comes from the line of Jeff Harlib with Barclays.

我們的下一個問題來自 Jeff Harlib 與 Barclays 的對話。

Jeff, can you go into a little bit more detail in storage, just in terms of the recent bookings trends, what you're seeing in the mid-market, I know it was an area you wanted to improve share, and where you are with your product line? Are you still introducing new products that you think will drive share gains? Or is it where it needs to be?

Jeff，你能否更詳細地介紹一下存儲方面的情況，就最近的預訂趨勢而言，你在中端市場看到了什麼，我知道這是一個你想要提高份額的領域，以及你在哪裡與您的產品線？您是否仍在推出您認為會推動市場份額增長的新產品？或者它是它需要的地方？

Well, look, we're continuing to refresh and get the product line increasingly more competitive, whether it's the recent SC and Unity announcements that we've made that increased performance capacity, its replication capabilities, we think that's important. The PowerMax that we introduced in May, the PowerMax 2000 that we've recently introduced, bringing NVMe to price bands 7 and 8 are very important steps for us to have the most competitive portfolio on the marketplace. What we're doing in HCI and the new announcements we've made there, taking cloud capabilities and doing cloud data migration, cloud, if you will, management of our arrays, doing additions of our arrays in the cloud, those are all important attributes of what our customers are asking for and increasing the competitiveness of our portfolio. It's a journey. It's a journey that we've accelerated. And I'm pleased with the progress we've made to date. There's more to do. I've been very clear in these calls that we still have more mid-range products than we'd like long term. It takes a while to develop a new mid-range product in which we are focused on and committed to have next year. And in the interim, we're going to fight with the portfolio we have and increasingly make it more and more competitive, which is what we're doing. So I like the steps there. I like the steps that we've made to simplify it. Behind the curtain, so to speak, there are more developers today working on new technologies and innovating as one single team than we had a year ago. Something I think I've mentioned several times on these calls about the benefits of simplification and focus is getting the very best storage engineers in the industry all focused, working together, driving differentiation and innovation in future products. We're going to continue to do that. As I mentioned moments ago, I think, with Shannon, we'll make another introduction of a new product next week, hint, hint. We're going to continue to do this. We are going to be competitive in the primary storage space. The same is true in data protection. We've recently introduced the DP4400, our Integrated Data Protection Appliance. We just continue to improve the hyperconverged offering with the new VxRail that we just launched. So I guess, that's my long-winded way is we're committed to innovation, committed to building the best products. I think we have the engine now working in a way that's going to do that at a very accelerated rate. And I'm very encouraged.

好吧，看，我們正在繼續更新並使產品線越來越具有競爭力，無論是我們最近發布的 SC 和 Unity 公告，我們已經提高了性能容量，它的複制能力，我們認為這很重要。我們在 5 月推出的 PowerMax，我們最近推出的 PowerMax 2000，將 NVMe 帶到了價格區間 7 和 8，這些都是我們在市場上擁有最具競爭力的產品組合的非常重要的步驟。我們在 HCI 中所做的事情以及我們在那裡發布的新公告，採用雲功能並進行雲數據遷移，雲，如果你願意的話，管理我們的陣列，在雲中添加我們的陣列，這些都很重要我們的客戶要求的屬性，並提高我們產品組合的競爭力。這是一段旅程。這是我們加速的旅程。我對我們迄今為止取得的進展感到滿意。還有更多事情要做。我在這些電話中非常清楚，我們仍然擁有比我們長期想要的更多的中檔產品。開發我們專注於並承諾明年推出的新中檔產品需要一段時間。在此期間，我們將與我們擁有的產品組合進行鬥爭，並越來越多地使其更具競爭力，這就是我們正在做的事情。所以我喜歡那裡的台階。我喜歡我們為簡化它而採取的步驟。在幕後，可以這麼說，與一年前相比，如今有更多的開發人員作為一個團隊致力於新技術和創新。我想我在這些電話會議上多次提到簡化和專注的好處是讓業內最優秀的存儲工程師全神貫注，共同努力，推動未來產品的差異化和創新。我們將繼續這樣做。正如我剛才提到的，我認為，與 Shannon 一起，我們將在下週再次推出新產品，提示，提示。我們將繼續這樣做。我們將在主要存儲空間中具有競爭力。數據保護也是如此。我們最近推出了我們的集成數據保護設備 DP4400。我們只是通過剛剛推出的新 VxRail 繼續改進超融合產品。所以我想，這就是我的長篇大論，我們致力於創新，致力於打造最好的產品。我認為我們現在的引擎將以非常快的速度運行。我很受鼓舞。

And then hey, Jeff, from my side is even as Jeff drives the product innovation and the simplification, we are continuing to invest in selling capacity as well. So one of the areas as we diagnosed the business challenges 18 months ago was we didn't have enough coverage. And so even as Jeff's cleaned up and is driving a product simplification, innovation story, we are still looking at coverage models. We've improved them in the commercial selling organization tremendously. We're mid-range through an investment cycle in the enterprise, selling organization in terms of storage coverage. And we're going to continue to add to that as we get to what we believe are the right coverage ratios to ensure that we're telling our story as effectively as we can and getting it in front of the customers in a way that's appropriate. We're also making investments in our channel go-to-market storage programs to ensure that with our valued channel partners that we're reaching the customer base that we want to reach. So it's sort of a multipronged effort, product, coverage, marketing positioning, compensation programs, all designed to drive the storage framework forward.

然後嘿，傑夫，在我這邊，即使傑夫推動產品創新和簡化，我們也在繼續投資於銷售能力。因此，我們在 18 個月前診斷出業務挑戰的其中一個領域是我們沒有足夠的覆蓋面。因此，即使傑夫清理並推動產品簡化、創新故事，我們仍在研究覆蓋模型。我們在商業銷售組織中極大地改進了它們。我們在企業的投資週期中處於中檔，在存儲覆蓋方面銷售組織。當我們達到我們認為正確的覆蓋率時，我們將繼續增加這一點，以確保我們盡可能有效地講述我們的故事，並以適當的方式將其呈現在客戶面前.我們還對我們的渠道上市存儲計劃進行投資，以確保通過我們重要的渠道合作夥伴，我們能夠接觸到我們想要接觸的客戶群。所以這是一種多管齊下的努力，產品、覆蓋範圍、營銷定位、補償計劃，所有這些都旨在推動存儲框架向前發展。

And we're encourage by the first half. If memory serves me right, we grew 10% in storage in Q1, 13% this quarter. We took share in Q1. I expect when the data comes out this afternoon that we'll have taken share in Q2. To me, those are encouraging signs that we're -- again, Tom said it, we're investing in capacity, improving the competitiveness of the portfolio, have some products like the PowerMax that is the unquestioned leader in the marketplace. And the indicators are good. Typical, without saying, we're pleased but not satisfied.

上半年我們感到鼓舞。如果沒記錯的話，第一季度我們的存儲增長了 10%，本季度增長了 13%。我們在第一季度分享了。我預計今天下午數據出爐時，我們將在第二季度取得份額。對我來說，這些令人鼓舞的跡象表明我們 - 再次，湯姆說，我們正在投資產能，提高產品組合的競爭力，擁有一些產品，如 PowerMax，這是市場上無可置疑的領導者。而且各項指標都不錯。典型的，不用說，我們很高興但不滿意。

Great. And just my follow-up, Tom, just on the margin outlook. And I know you provided the guidance. When we look at sort of the puts and takes, I mean, you talked before about commodity costs potentially being modestly deflationary this year. How do you see that now with the environment with NAND and DRAM? And what are some of the other dynamics? Clearly, you're investing in the channel and other areas. But I know that 4Q is a very strong quarter typically. And you get a lot of operating leverage there. So just wondering with the solid revenue growth in ISG, what kind of leverage there might be.

偉大的。湯姆只是我的後續行動，只是關於利潤前景。我知道你提供了指導。當我們看一些看跌期權時，我的意思是，你之前談到商品成本今年可能會適度通貨緊縮。您現在如何看待 NAND 和 DRAM 的環境？其他一些動態是什麼？顯然，您正在對渠道和其他領域進行投資。但我知道第四季度通常是一個非常強勁的季度。你在那裡獲得了很多經營槓桿。所以只是想知道 ISG 收入的穩健增長，可能會有什麼樣的槓桿作用。

Yes. Hey, look, Jeff, I mean, I think if we step back and think about the guidance we gave you relative to, say, first half performance and last year, I think it denotes a couple of things. One is that we do see a bit tougher comparison in the back half. So obviously, the revenue trajectory on a year-over-year growth basis, back half to back half, is a little bit lighter than what you saw in the first half. But I think that's, I think, where we are with the visibility that we have right now. We are going to layer in some investments in the back half of the year in selling as we've talked about and in some of the product capability. So there is a bit of increased cost coming in. Offsetting that, I do think that commodity costs are going to be flat to slightly deflationary as we look at the back half of the year. Particularly, DRAM has started to come back a little bit for us. So we're working through that dynamic as well. And that's not going to be the headwind that we had a year ago. So Q4 historically has been a strong quarter. We'll have to see how it plays out this year. But I think we're reasonably optimistic about how the year is setting up. I don't want to declare victory. There's still a lot of things that we've got to go do and execute to. But I think the overall framework we gave you is one of -- one that denotes growth, denotes that while profitability may be slow in the back half relative to the first half, we're going to grow operating margin dollars year-over-year, even while we're investing for the long term. So that's the frame that we're running. And I feel, I think, pretty good about where we are at this point in time.

是的。嘿，傑夫，我的意思是，我想如果我們退後一步，想想我們給你的指導，比如上半年的表現和去年，我認為這說明了幾件事。一是我們確實在後半部分看到了更嚴格的比較。很明顯，收入同比增長的軌跡，從一半到一半，比你在上半年看到的要輕一些。但我認為，我認為這就是我們現在所擁有的知名度。正如我們所討論的那樣，我們將在今年下半年對銷售和一些產品能力進行一些投資。因此，成本會增加一些。抵消這一點，我確實認為，在我們展望今年下半年時，大宗商品成本將持平或略有通縮。特別是，DRAM 已經開始為我們一點點回歸。所以我們也在努力解決這個問題。這不會成為我們一年前遇到的不利因素。因此，從歷史上看，第四季度一直是一個強勁的季度。我們必須看看它今年的表現如何。但我認為我們對今年的情況相當樂觀。我不想宣布勝利。我們還有很多事情要做和執行。但我認為我們給你的整體框架是其中一個 - 一個表示增長的框架，表示雖然下半年的盈利能力相對於上半年可能會放緩，但我們將同比增長營業利潤率美元，即使我們在進行長期投資。這就是我們正在運行的框架。我覺得，我認為，我們現在所處的位置非常好。

Our final question will come from the line of Wamsi Mohan with Bank of America Merrill Lynch.

我們的最後一個問題將來自美國銀行美林銀行的 Wamsi Mohan。

In ISG, can you give us some color about the 34% revenue growth you saw in terms of units and ASP? How much of that ASP do you think is sustainable for the richer mix configurations that you have noted versus pass-through on commodity pricing like DRAM and NAND? And I have a follow-up.

在 ISG 中，您能給我們一些關於您在單位和 ASP 方面看到的 34% 收入增長的顏色嗎？您認為與 DRAM 和 NAND 等商品定價相比，對於您所注意到的更豐富的混合配置，ASP 有多少是可持續的？我有一個後續行動。

Well, I think the first thing that is sustainable is the workloads that we're servicing now, where we're being placed in the data center, is driving a richer configuration regardless of the cost of the individual part. So the average SSD, the average amount of memory that we put in the server, specific CPU that we put in a server today is either higher-performing or more capacity, depending on which one of those technologies that I'm talking about. That bodes well as a, I think, marker for us being able to hold our business in this area. Do I think we're going to continue to see the ASP expansion that we've seen over the past handful of quarters? No. Because as you know, there's some of that, that's driven by the commodity increase. But what is sustainable is selling deeper into the data center, taking on bigger workloads with our server portfolio and ultimately driving a richer, a more richer config product in the marketplace. So I'm pretty bullish on our ability to continue to do that.

好吧，我認為可持續發展的第一件事是我們現在正在服務的工作負載，我們被放置在數據中心的地方，正在推動更豐富的配置，而不管各個部分的成本如何。因此，平均 SSD、我們在服務器中放置的平均內存量、我們今天在服務器中放置的特定 CPU 要么性能更高，要么容量更大，這取決於我所說的這些技術中的哪一種。我認為，這預示著我們能夠在這一領域開展業務。我認為我們會繼續看到我們在過去幾個季度看到的 ASP 擴張嗎？不。因為正如你所知，其中一些是由商品增長驅動的。但可持續的是深入數據中心銷售，利用我們的服務器產品組合承擔更大的工作負載，並最終在市場上推動更豐富、更豐富的配置產品。所以我非常看好我們繼續這樣做的能力。

Yes. No, that's helpful. And on the storage side, you guys clearly took a lot of share in the first quarter. You noted taking share here in the second quarter. Can you frame that also in the context of all-flash portfolio, how that's doing and how that's growing? And on the HCI, clearly you have a lot of momentum behind you. And you noted sort of some milestones in VxRail. There are some other leading players that have an OEM relationship with you. Any change in emphasis that, that has happened or you expect here in the near term?

是的。不，那很有幫助。在存儲方面，你們顯然在第一季度佔據了很多份額。你注意到在第二季度在這里分享。您是否也可以在全閃存產品組合的背景下構建它，它是如何做的以及它是如何增長的？在 HCI 上，顯然你有很大的動力支持。您注意到 VxRail 中的一些里程碑。還有一些其他領先的參與者與您有 OEM 關係。重點有什麼變化，這已經發生了，或者你預計在短期內會發生什麼？

Okay, I think that was 3. Let's see if I remember them. When I look at what we've been able to do in all-flash, which I think was the specific question, we certainly aren't giving out what our performance is. We'll see how the market reports this afternoon. But we certainly grew all-flash. We are the all-flash leader. I think that will continue to be the case when this afternoon's numbers are posted. So I'm encouraged what we're doing there. And it's an important category. And you'll continue to see us invest the PowerMax 2000 allows us to continue to drive demand in all-flash, particularly in those 2 price bands that we hadn't been covering before with the PowerMax. So I think that's a good sign. We did see in the quarter, I think we didn't note it, good performance in the high end, good performance in the unstructured category and our storage business and certainly the data protection business. So I'm encouraged by our performance there. The next question was around, help me, team.

好的，我想那是 3 個。讓我們看看我是否記得它們。當我查看我們在全閃存中能夠做什麼時，我認為這是一個具體問題，我們當然不會透露我們的性能。我們將在今天下午看到市場報告如何。但我們當然是全閃存增長的。我們是全閃存的領導者。我認為當今天下午的數字公佈時，情況會繼續如此。所以我對我們在那裡所做的感到鼓舞。這是一個重要的類別。您將繼續看到我們對 PowerMax 2000 的投資使我們能夠繼續推動全閃存的需求，特別是在我們之前沒有使用 PowerMax 涵蓋的那兩個價格範圍內。所以我認為這是一個好兆頭。我們在本季度確實看到了，我想我們沒有註意到，高端表現良好，非結構化類別表現良好，我們的存儲業務，當然還有數據保護業務。所以我對我們在那裡的表現感到鼓舞。下一個問題是，幫助我，團隊。

HCI.

人機交互。

HCI.

人機交互。

HCI.

人機交互。

The OEM relationships.

OEM 關係。

Our HCI performance was triple-digits with our VxRail and VxRack. We continue to see that as a great business. And customers certainly in one form of modernization is picking a hyperconverged product. And we are the leader in this market segment. And we'll continue and I believe the numbers are posted on that segment. We have not changed the relationship with our other OEM HCI provider. It continues to be a solution that customers ask for and we'll fulfill that demand. We're clearly leading with our Dell EMC VxRail product.

我們的 VxRail 和 VxRack 的 HCI 性能是三位數。我們繼續將其視為一項偉大的業務。客戶肯定會以一種現代化形式選擇超融合產品。我們是這個細分市場的領導者。我們將繼續，我相信這些數字已發佈在該細分市場上。我們沒有改變與其他 OEM HCI 提供商的關係。它仍然是客戶要求的解決方案，我們將滿足這一需求。我們的 Dell EMC VxRail 產品顯然處於領先地位。

Okay, great. Thanks, everyone, for joining us. We look forward to ongoing engagement with both the buy side and the sell side at our Analyst Meeting on the 18th. And as I mentioned earlier on the call, as we embark on a roadshow, the week of the 24th and October 1. So thanks for joining us. Have a good day.

好的，太好了。謝謝大家加入我們。我們期待在 18 日的分析師會議上與買方和賣方持續接觸。正如我之前在電話中提到的，當我們開始路演時，即 24 日和 10 月 1 日那一周。感謝您加入我們。祝你有美好的一天。

This concludes today's conference call. We appreciate your participation. You may disconnect at this time.

今天的電話會議到此結束。感謝您的參與。此時您可以斷開連接。