英特爾 (INTC) 2016 Q4 法說會逐字稿

Good day, ladies and gentlemen, and welcome to the Intel Corporation fourth-quarter 2016 earnings conference call.

女士們、先生們，大家好，歡迎參加英特爾公司2016年第四季財報電話會議。

(Operator Instructions)

（操作說明）

As a reminder, this conference call is being recorded. I would now like to introduce your host for today's conference, Mr. Mark Henninger, Head of Investor Relations. Sir, you may begin.

再次提醒，本次電話會議正在錄音。現在我謹向大家介紹今天會議的主持人，投資者關係主管馬克‧亨寧格先生。先生，您可以開始了。

Thank you, Janelle, and welcome, everyone, to Intel's fourth-quarter 2016 earnings conference call. By now you should have received a copy of our earnings release and the CFO commentary that goes along with it. If you have not received both documents, they are available on our investor website, INTC.com. I'm joined today by Brian Krzanich, our CEO; and Bob Swan, our Chief Financial Officer. In a moment, we'll hear brief remarks from both of them, followed by Q&A.

謝謝 Janelle，也歡迎各位參加英特爾 2016 年第四季財報電話會議。現在您應該已經收到我們的獲利報告以及財務長的評論。如果您尚未收到這兩份文件，它們可以在我們的投資者網站 INTC.com 上找到。今天和我一起的有我們的執行長布萊恩·科再奇和財務長鮑勃·斯旺。稍後我們將聽到他們兩人的簡短講話，然後是問答環節。

Before we begin, let me remind everyone that today's discussion contains forward-looking statements based on the environment as we currently see it, and as such, does include risks and uncertainties. Please refer to our press release for more information on the specific risk factors that could cause actual results to differ materially.

在開始之前，我想提醒大家，今天的討論包含基於我們目前所見環境的前瞻性陳述，因此確實存在風險和不確定性。有關可能導致實際結果與預期結果存在重大差異的具體風險因素的更多信息，請參閱我們的新聞稿。

A brief reminder that this quarter we have provided both GAAP and non-GAAP financial measures. Today, we will be speaking to non-GAAP financial measures when describing our consolidated results. The CFO commentary and earnings release available on INTC.com include the full GAAP and non-GAAP reconciliation.

簡單提醒一下，本季我們同時提供了GAAP和非GAAP財務指標。今天，我們將在介紹我們的合併績效時，談到非GAAP財務指標。INTC.com 上提供的財務長評論和收益報告包括完整的 GAAP 和非 GAAP 調節表。

And finally, I would like to remind everyone that we'll be hosting our annual investor meeting, here at our Santa Clara headquarters, on Thursday, February 9. If you have any questions about the event or logistics, please contact Investor Relations. With that, let me hand it over to Brian.

最後，我想提醒大家，我們將在2月9日（星期四）在聖克拉拉總部舉辦年度投資者會議。如果您對會議或後勤安排有任何疑問，請聯絡投資者關係部門。那麼，現在讓我把麥克風交給布萊恩。

Thanks, Mark. I'd like to cover three things with you today before handing off to Bob: a brief review of our results for the year, an update on the transformation of the Company, and a look ahead at 2017 and Intel's future.

謝謝你，馬克。今天在把發言權交給鮑伯之前，我想和大家談談三件事：簡單回顧一下我們今年的業績，介紹一下公司的轉型進展，以及展望 2017 年和英特爾的未來。

First, the review of our results. Q4 was a strong finish to a record year in which we increased revenue 7% and net income 9%. The Client Computing Group, Data Center Group, Internet of Things, and Intel Security all grew in 2016, with DCG and IoTG setting full-year revenue and volume records.

首先，回顧一下我們的結果。第四季業績強勁，為創紀錄的一年畫上了圓滿的句號，全年營收成長 7%，淨利潤成長 9%。2016 年，客戶端運算事業部、資料中心事業部、物聯網事業部和英特爾安全事業部均實現了成長，其中資料中心事業部和物聯網事業部更是創下了全年收入和銷售紀錄。

The acquisition of Altera added 3 percentage points to our overall growth rate. In the Data Center, cloud service provider revenue grew 24%, while enterprise revenue was down 3% for the full year. Additionally, we are very excited that Com Service Provider revenue grew 19%. And across all of our customer categories, adjacency revenue grew an incredible 21%, with strength in ethernet controllers, Omni-Path fabric controllers and switches, and network ASICs.

收購 Altera 讓我們的整體成長率提高了 3 個百分點。在資料中心領域，雲端服務供應商的收入成長了 24%，而企業收入全年下降了 3%。此外，我們非常高興地看到通訊服務提供者的收入成長了 19%。在我們所有客戶類別中，鄰近業務收入成長了驚人的 21%，其中乙太網路控制器、Omni-Path 光纖通道控制器和交換器以及網路 ASIC 的成長尤為強勁。

IoT revenue was up 15% for the full year, driven by strength in the video, retail, and industrial segment. In Q4, we launched new Apollo Lake and Kaby Lake product, and we won key designs in automotive and video.

受視訊、零售和工業領域的強勁成長推動，物聯網全年營收成長了 15%。第四季度，我們推出了新的 Apollo Lake 和 Kaby Lake 產品，並在汽車和視訊領域贏得了關鍵設計訂單。

Our Memory business finished the year with record quarterly revenue, while full-year revenue was down 1%. This was an investment year for the memory business, but NSG operating margins improved meaningfully in the fourth quarter. We're now shipping 3D NAND from our Fab68, and we just qualified our first 3D cross point-based Optane SSD, which we expect to ship for revenue in the first quarter. And our 3D cross point memory DIMMs are sampled to Data Center customers.

我們的記憶體業務以創紀錄的季度收入結束了這一年，而全年收入下降了 1%。今年是記憶體業務的投資年，但 NSG 的營業利潤率在第四季度有了顯著提高。我們現在已從 Fab68 工廠出貨 3D NAND，並且我們剛剛完成了首款基於 3D 交叉點的 Optane SSD 的認證，我們預計將在第一季度實現出貨並產生收入。我們向資料中心客戶提供 3D 交叉點記憶體 DIMM 樣品。

The Client Computing business achieved impressive results, driven by strong execution and higher ASPs, as customers bought a richer mix of Intel Core product. This was also a breakout year for CCG's wireless communications product line. Our 7360 LTE modem ramped into high volume and we shipped record Wi-Fi units.

客戶端運算業務取得了令人矚目的業績，這得益於強勁的執行力和更高的平均售價，因為客戶購買了更豐富的英特爾酷睿產品組合。今年也是CCG無線通訊產品線突破性進展的一年。我們的 7360 LTE 數據機產量大幅提升，Wi-Fi 設備的出貨量也創下了紀錄。

I'm very proud of the Client Computing business, and what this team has delivered in 2016. Our strategy of delivering consistent product leadership, segmentation, and differentiation paid off. We achieved record i7 units, and overall core mix in 2016. And Client Computing revenue was up 2% for the year, despite the declining PC market.

我為客戶端運算業務以及該團隊在 2016 年的成就感到非常自豪。我們透過持續提供領先產品、細分市場和差異化策略取得了成功。2016 年，我們的 i7 銷售量和整體核心產品組合均創歷史新高。儘管個人電腦市場下滑，但客戶端運算業務的收入全年仍成長了 2%。

The Programmable Solutions Group was up about 7% on a non-GAAP basis over Altera's 2015 results. PSG saw strength across many segments, with particular strength in compute and storage. The Programmable Solutions business sampled the industry's first, and only, 14-nanometer FPGAs this year, known as Stratix 10. This product line has the largest demand pipeline in Altera's history. The integration of Altera into Intel was an important milestone in what was a transformative year for Intel. This team did a great job of meeting integration objectives, while continuing to deliver new products and grow the business.

以非GAAP準則計算，可程式解決方案集團的業績比Altera 2015年的業績成長了約7%。PSG在多個領域都表現出色，尤其是在運算和儲存領域。今年，可程式解決方案業務部門對業界首款也是唯一一款 14 奈米 FPGA（型號為 Stratix 10）進行了樣品測試。該產品線是 Altera 史上需求量最大的產品線。Altera 併入英特爾是英特爾轉型之年的一個重要里程碑。這個團隊出色地完成了整合目標，同時不斷推出新產品並發展業務。

In 2016, we took other important, and in some cases difficult, steps to position the Company for future success, improve the alignment of our resources to our strategy, and accelerate our transformation to the company that powers the cloud and billions of smart and connected devices. Our restructuring initiative focused on our investments on the product and technologies that will fuel our growth. And that work, combined with improvements in 14-nanometer costs, drove a 30% operating margin improvement in our Client business.

2016 年，我們採取了其他一些重要且在某些情況下很困難的措施，以使公司在未來取得成功，更好地將資源與策略相匹配，並加速轉型成為一家為雲端運算和數十億智慧互聯設備提供支援的公司。我們的重組計劃重點放在對能夠推動我們成長的產品和技術的投資上。這項工作，加上 14 奈米製程成本的降低，使我們的客戶業務的營業利潤率提高了 30%。

Our decision to establish McAfee as a separate, independent company was another transformative move. This transaction will give McAfee the flexibility to invest independently, tighten our focus, and allow Intel to share in McAfee's future success as the market demand for world-class security product continues to grow.

我們將 McAfee 設立為一家獨立的公司，這是另一個具有變革意義的舉措。這項交易將使 McAfee 能夠靈活地進行獨立投資，更加專注於自身業務，並讓英特爾能夠分享 McAfee 未來的成功，因為市場對世​​界一流安全產品的需求持續增長。

And finally, looking ahead to 2017 at Intel's future, I am confident we are making the right investments to compete and win, not only in the segments where Intel is strong today, but also in new areas that are poised for growth driven by the emerging flood of data. By 2020, the average person will generate about 1.5 gigabytes of data per day, while smart and connected devices of the future will produce data at many times that rate.

最後，展望 2017 年英特爾的未來，我相信我們正在進行正確的投資，以參與競爭並取得成功，不僅在英特爾目前實力雄厚的領域，而且在新興數據洪流推動下有望增長的新領域。到 2020 年，一般人每天將產生約 1.5 GB 的數據，而未來的智慧連網裝置產生的數據量將是這個速度的數倍。

Autonomous cars, for example, will generate about 4,000 gigabytes of data each day. The resulting explosion of data is creating tremendous opportunity. But data alone isn't valuable. It is the transmission, aggregation, and analysis of the data that results in value and impact. Intel will play a central role in those steps because our products are key to turning raw data into high-value insight and information. Our investments in advanced research and development are making this all possible, while significantly expanding our TAM at the same time.

例如，自動駕駛汽車每天將產生約 4000 GB 的數據。由此產生的數據爆炸式增長創造了巨大的機會。但單憑數據本身並不值錢。資料的傳輸、匯總和分析才能產生價值和影響。英特爾將在這些步驟中發揮核心作用，因為我們的產品是將原始數據轉化為高價值洞察和資訊的關鍵。我們對先進研發的投入使這一切成為可能，同時也大幅擴大了我們的潛在市場規模。

These investments are creating opportunities in segments from autonomous driving, where we are uniquely positioned to be the compute engine in the vehicle and the data center; to 5G where we are building on our momentum in 4G to establish leadership; to artificial intelligence, where we are providing the industry's most complete range of products to accelerate all AI solutions, from the edge to the data center. We are already seeing signs of progress. In autonomous driving, we are winning key designs like BMW, Delphi, and Baidu. In 5G, we are leading in the definition of standards, prototyping, and field trial.

這些投資正在各個領域創造機會，從自動駕駛（我們擁有獨特的優勢，可以成為車輛和資料中心的運算引擎）；到 5G（我們正在鞏固 4G 的發展勢頭，以確立領先地位）；再到人工智慧（我們正在提供業界最全面的產品系列，以加速從邊緣到資料中心的所有人工智慧解決方案）。我們已經看到一些進展的跡象。在自動駕駛領域，我們贏得了寶馬、德爾福和百度等關鍵設計項目。在 5G 領域，我們在標準制定、原型設計和現場試驗方面處於領先地位。

Our Network business saw strong growth as infrastructure moved to Intel architecture in anticipation of 5G. Our design wins and network virtualization innovation position us for leadership share in the wireless access market. Other proof points of our progress include important partnerships with AT&T, SK Telecom, Korea Telecom, and Verizon, and the announcement earlier this month of the industry's first global 5G modem.

隨著基礎設施向英特爾架構遷移以迎接 5G 的到來，我們的網路業務實現了強勁成長。我們在設計上的成功以及網路虛擬化方面的創新，使我們在無線存取市場中佔據了領先地位。我們取得進展的其他證明點包括與 AT&T、SK Telecom、韓國電信和 Verizon 的重要合作關係，以及本月初宣布推出業界首款全球 5G 數據機。

Finally, in artificial intelligence, we believe we have the industry's strongest product portfolio. Intel processors power well over 90% of servers deployed to support machine-learning workload, and we are winning the vast majority of AI solution, based on strong product performance and customer value.

最後，在人工智慧領域，我們相信我們擁有業界最強大的產品組合。英特爾處理器為超過 90% 的用於支援機器學習工作負載的伺服器提供動力，憑藉強大的產品性能和客戶價值，我們在絕大多數人工智慧解決方案市場中佔據優勢。

Wrapping things up, I am very pleased with Intel's performance in 2016. We have important work to do in 2017, as we continue to transfer the Company but the progress we have made leaves me increasingly confident in Intel's growth and Intel's future. And with that, I will hand it over to Bob.

總而言之，我對英特爾在 2016 年的表現感到非常滿意。2017 年我們還有很多重要工作要做，因為我們將繼續推動公司轉型，但我們的進展讓我對英特爾的成長和未來越來越有信心。然後，我就把它交給鮑伯了。

Thanks, Brian. The fourth quarter was an outstanding quarter. Revenue was up 10%, operating income was up 11%, and EPS was up 4% year over year. Revenue set an all-time record at $16.4 billion, and operating income was $4.9 billion. Fourth-quarter operating margin was 30%, flat year over year. Gross margin, at 63%, was down 2 points, primarily driven by a couple of one-time events related to product warranty cost, and long-term IP agreements. Direct spending came in at $5.4 billion, up 4% year over year, and down 2 points as a percent of revenue. Earnings per share of $0.79 was up $0.03 from a year ago. The Client Computing Group had revenue of $9.1 billion, up 4% year over year.

謝謝你，布萊恩。第四季表現出色。營收年增 10%，營業收入年增 11%，每股收益較去年同期成長 4%。營收創歷史新高，達到 164 億美元，營業收入為 49 億美元。第四季營業利益率為30%，與去年同期持平。毛利率為 63%，下降了 2 個百分點，主要原因是與產品保固成本和長期智慧財產權協議相關的幾項一次性事件。直接支出為 54 億美元，年增 4%，但佔收入的百分比下降了 2 個百分點。每股收益為 0.79 美元，比去年同期增長 0.03 美元。客戶端計算集團的營收為 91 億美元，年增 4%。

During the fourth quarter, the worldwide PC supply chain remained healthy, and we saw some inventory burn during the quarter. Client ASPs were up 7% year over year, and core mix was at an all-time high as a result of the success of our segmentation strategies, and strength in gaming and high-end systems. This segment had another quarter of significant profit growth, with operating profit growing 30% from a year ago, as the business continues to benefit from lower spending, richer product mix, and continued improvements in 14-nanometer unit costs.

第四季度，全球個人電腦供應鏈保持健康，我們看到該季度出現了一些庫存消耗。客戶平均售價年增 7%，核心產品組合達到歷史最高水平，這得益於我們細分策略的成功以及遊戲和高階系統領域的優勢。該業務板塊又一個季度實現了顯著的利潤增長，營業利潤比上年同期增長了 30%，這得益於支出減少、產品組合更加豐富以及 14 奈米單位成本的持續改善。

The Data Center Group had record revenue of $4.7 billion, up 8% year over year. In the fourth quarter, we continued to see robust growth in the cloud and com service provider segments of the business, which both grew approximately 30% year over year, partially offset by a 7% decline in the enterprise and government segment over the same horizon. The Data Center Group had operating profit of $1.9 billion, down 14% year over year. Operating margin was impacted by the two one-time items I referred to earlier, and the ramp of 14 nanometer on our server products, which we expect to generate continued cost improvements over time.

資料中心集團營收創歷史新高，達 47 億美元，年增 8%。第四季度，我們繼續看到雲端服務和通訊服務供應商業務部門的強勁成長，這兩個部門的年成長率均約為 30%，但同期企業和政府部門 7% 的下滑部分抵銷了這一成長。資料中心集團的營業利潤為 19 億美元，較去年同期下降 14%。營業利潤率受到我之前提到的兩個一次性項目的影響，以及我們伺服器產品 14 奈米製程的推廣，我們預計隨著時間的推移，這將持續帶來成本改善。

Our Internet of Things business achieved record revenue of $726 million, growing 16% year over year, driven by strength in both retail and industrial segment. Operating profit for the business was $182 million, up 37% year over year.

我們的物聯網業務實現了創紀錄的 7.26 億美元收入，年增 16%，這主要得益於零售和工業領域的強勁表現。該業務的營業利潤為 1.82 億美元，年增 37%。

Our Memory business had a record revenue of $816 million, up 25% year over year, with strong demand for Data Center SSD solutions, with demand signals outpacing supply. We have made great progress ramping Fab68, with yields and unit costs well ahead of expectation. This segment had an operating loss of $91 million, largely driven by cost associated with 3D cross point, and start-up costs for our memory capacity.

我們的記憶體業務收入創下 8.16 億美元的紀錄，年增 25%，資料中心 SSD 解決方案需求強勁，需求訊號超過了供應。我們在 Fab68 產能提升方面取得了巨大進展，良率和單位成本都遠超預期。該業務部門的營運虧損為 9,100 萬美元，主要原因是與 3D 交叉點相關的成本以及記憶體容量的啟動成本。

The Programmable Solutions Group had revenue of $420 million, and operating profit was $80 million. Our Intel Security Group business had revenue of $550 million, and operating profit of $103 million.

可程式解決方案集團的收入為 4.2 億美元，營業利潤為 8,000 萬美元。我們的英特爾安全集團業務收入為 5.5 億美元，營業利潤為 1.03 億美元。

Turning to the full-year 2016, revenue grew 7%, operating margin grew 11%, and EPS grew 9%. Operating margin percent improved by 1 point, while gross margin was approximately 63%, flat to 2015. Spending was $21 billion, or 35.4% of revenue, down 1 point from 2015, primarily from the restructuring programs we began earlier in the year. Operating profit for the year was $16.5 billion. Earnings per share for the year was $2.72, up $0.23 from the prior year.

回顧 2016 年全年，營收成長 7%，營業利益率成長 11%，每股收益成長 9%。營業利潤率提高了 1 個百分點，而毛利率約為 63%，與 2015 年持平。支出為 210 億美元，佔收入的 35.4%，比 2015 年下降了 1 個百分點，這主要是由於我們今年早些時候開始的重組計劃。該年度營業利潤為165億美元。本年度每股收益為 2.72 美元，較上年增長 0.23 美元。

In 2016, the business generated record cash from operations of $21.8 billion. We purchased $9.6 billion in capital assets, paid $4.9 billion in dividends, and repurchased about $2.6 billion of stock. Total cash balance was $17.1 billion, down $8.2 billion. Total debt was $25.3 billion. Our net cash balance, total cash less debt and inclusive of our other longer-term investments, is approximately negative $2.3 billion.

2016年，該公司經營活動產生的現金流創歷史新高，達218億美元。我們買了價值 96 億美元的資本資產，支付了 49 億美元的股息，並回購了價值約 26 億美元的股票。現金總額為171億美元，減少了82億美元。總債務為253億美元。我們的淨現金餘額（現金總額減去債務，並包括我們的其他長期投資）約為負 23 億美元。

Now let me turn to guidance. First, some context. First, our guidance assumes a stable macroeconomic environment, but we have taken a more cautious view of PC consumption versus third parties, particularly in our outlook for the emerging markets including Russia, China, and Latin America. Second, for the Data Center, we continue to expect similar growth rates in the cloud and com segment, but we are not expecting an improvement in enterprise. This gets us to an expectation of high-single-digit growth in the Data Center business.

現在讓我談談指引。首先，交代一些背景資訊。首先，我們的指導意見假設宏觀經濟環境穩定，但我們對個人電腦消費相對於第三方消費採取了更謹慎的看法，尤其是在對包括俄羅斯、中國和拉丁美洲在內的新興市場的展望中。其次，對於資料中心，我們預期雲端和通訊領域的成長率將保持相似水平，但我們預期企業領域不會有所改善。因此，我們預計資料中心業務將實現高個位數成長。

Third, as a reminder, we have one less week as a result of the inclusion of an extra work week in 2016. And last, we have assumed the Intel Security transaction will close in Q2, and our full-year guidance reflects one full quarter of the Group's consolidated results. We have lots of work to do to close this out, and in the event the close happens at the end of the second quarter, we would update our full-year guidance by approximately an additional $500 million of revenue, and $100 million of operating income.

第三，提醒大家，由於 2016 年增加了一週的工作時間，所以我們少了一週。最後，我們假設英特爾安全交易將在第二季完成，我們的全年業績指引反映了集團合併業績的一個完整季度。我們還有很多工作要做才能完成這項工作，如果這項工作在第二季末完成，我們將把全年業績預期上調約 5 億美元收入和 1 億美元營業收入。

As we look forward to the first quarter of 2017, we are forecasting a midpoint of the revenue range at $14.8 billion, up 7% year over year, and down from the fourth quarter. This is at the lower end of our seasonal range and reflects an expectation of lower Core brand mix, and ASP coming off a strong holiday-selling period for gaming and other premium PC systems.

展望 2017 年第一季度，我們預測營收範圍的中位數為 148 億美元，年增 7%，但低於第四季。這處於我們季節性產品範圍的較低水平，反映出核心品牌組合預計會減少，並且由於遊戲和其他高階 PC 系統在強勁的假日銷售期後，平均售價也會下降。

For the first quarter, we expect operating margin percent to increase 4 points, year over year, gross margins to be flat at approximately 63%, and spending to be $5.3 billion, down 1%. We expect EPS to be approximately $0.65, up 20% year over year.

我們預計第一季營業利潤率將年增 4 個百分點，毛利率將維持在 63% 左右，支出將為 53 億美元，下降 1%。我們預計每股收益約為 0.65 美元，年增 20%。

Turning to the full-year 2017, we are expecting revenue to be roughly flat. Revenue is expected to grow in the low-single digits, after excluding the Intel Security Group from both years. We expect operating margin percent to be up 1 point year over year, with flat gross margins, and direct spending as a percent of revenue, down 1 point versus 2016.

展望 2017 年全年，我們預期營收將大致持平。剔除英特爾安全集團這兩年的收入後，預計營收將達到個位數低成長。我們預計營業利潤率將比上年增長 1 個百分點，毛利率將持平，直接支出佔收入的百分比將比 2016 年下降 1 個百分點。

Let me provide a bit more detail on our year-over-year direct spending. Our restructuring plans are on track, including reducing our headcount by approximately 15,000 heads and generating gross savings of $1.6 billion. We are reallocating investments from CCG to higher growth segments, and are continuing to invest in areas that extend our leadership position in Moore's Law, and expand TAM opportunities, such as memory and autonomous driving. We anticipate the net benefit of these actions to result in an additional point of improvement in direct spending as a percent of revenue, in 2017.

讓我更詳細地介紹一下我們逐年直接支出的情況。我們的重組計劃正在按計劃進行，包括裁減約 15,000 名員工，並節省 16 億美元。我們將投資從 CCG 重新分配到成長更快的領域，並繼續投資於能夠鞏固我們在摩爾定律領域的領先地位並擴大 TAM 機會的領域，例如記憶體和自動駕駛。我們預期這些措施的淨收益將使 2017 年直接支出佔收入的百分比再提高一個點。

We expect EPS of approximately $2.80, up 3% year over year. In 2016, we had a fairly significant gain from our ICAP Portfolio. Our 2017 guidance assumes that we'll have gains roughly in line with 2016 levels. The capital spending forecast for 2017 is $12 billion, up $2.5 billion from 2016, as we continue to ramp our memory capacity.

我們預計每股收益約為 2.80 美元，年增 3%。2016年，我們的ICAP投資組合獲得了相當可觀的收益。我們2017年的業績預期是，我們將取得與2016年大致持平的收益。2017 年的資本支出預測為 120 億美元，比 2016 年增加 25 億美元，因為我們將繼續提高記憶體容量。

In closing, 2016 started out slow but finished strong. Our CCG business is focused and executing extremely well in a declining market, and provides the scale that is required to advance Moore's Law, generates significant cash flows, and enables investments for growth.

總之，2016 年開局緩慢，但收尾強勁。我們的 CCG 業務專注於市場下滑，執行力極強，並提供了推進摩爾定律所需的規模，產生了可觀的現金流，並為成長投資提供了可能。

Our growth-oriented businesses were up 15% collectively, as we continue to transform the Company from PC-centric company to a company of smart and connected devices that power the cloud. We are excited about our plans for 2017 as we continue with our transformation, and we look forward to sharing more details with you at our Investor Day in February. With that let me turn it over, back to Mark.

我們以成長為導向的業務整體成長了 15%，我們正不斷將公司從以 PC 為中心的公司轉型為一家為雲端提供支援的智慧互聯設備公司。我們對 2017 年的計畫感到興奮，我們將繼續推動轉型，並期待在 2 月的投資者日上與您分享更多細節。那麼，讓我把鏡頭交還給馬克。

Okay. Thank you, Brian and Bob. Moving on now to the Q&A, as is our normal practice, we would ask each participant to ask one question and just one follow-up if you have one. Janelle, please go ahead and introduce our first questioner.

好的。謝謝布萊恩和鮑伯。接下來進入問答環節，依照慣例，我們會要求每位參與者提出一個問題，如果有後續問題，也只能提一個。Janelle，請介紹一下我們的第一位提問者。

Chris Danely, Citigroup.

克里斯丹尼利，花旗集團。

Hey, thanks, guys. Just digging out on the segments. The CCG operating margins were, I think, the highest in the last few years. DCG was kind of the lowest in the last few years. Can you talk about the trend in operating margins for those two segments, for this year, given the guidance?

嘿，謝謝大家。只是在挖掘這些片段。我認為，CCG的營業利益率是近幾年來最高的。DCG 是近年來的最低水準之一。根據業績指引，您能否談談今年這兩個業務部門的營業利潤率趨勢？

Yes, Chris, the CCG performance -- a couple dynamics that are driving the kind of record margins. One, higher ASPs on the strong mix that Brian referred to. Secondly, real strong unit cost. It has been on 14nm for a while, so we expect that to continue.

是的，克里斯，CCG 的表現——有幾個因素正在推動創紀錄的利潤率。第一，布萊恩提到的強勢組合的平均售價較高。其次，單位成本非常低。它已經採用 14nm 製程一段時間了，所以我們預計這種情況會繼續下去。

And then, constrained investments in the CCG business as we focus more on investing heavier in the higher growth businesses. Real good performance, and those are the dynamics we are expecting in 2017.

然後，我們將限制對 CCG 業務的投資，同時更專注於對高成長業務的加大投資。表現出色，而這正是我們期望在 2017 年看到的局面。

On the DCG front, good in Q4 and then project forward. Nice ASP performance in the quarter, as we migrate from Haswell to Broadwell, and as we think about Skylake in 2017, we expect that to continue. Unit costs in DCG is a little bit higher, because we are coming off great unit cost performance on 22nm, but as we migrate to 14nm. In the earlier stages of that cycle, unit costs are a little bit higher. And then we are increasing our investments in DCG on a year-over-year basis. So, dynamics are relatively good.

DCG方面，第四季表現良好，預計未來一段時間內將保持成長。本季 ASP 表現良好，隨著我們從 Haswell 過渡到 Broadwell，並考慮到 2017 年將推出 Skylake，我們預計這種情況會繼續下去。DCG 的單位成本略高，因為我們在 22nm 製程上取得了非常好的單位成本表現，但隨著我們遷移到 14nm 製程。在這個週期的早期階段，單位成本會略高一些。而且，我們對DCG的投資也逐年增加。所以，動力學性能相對較好。

The one, I referred to it a little earlier, but in terms of Q4, we had a couple one-time items that really weighed on the profitability or operating margins of DCG that we think are well-bounded, and do not expect to continue into 2017. And just quickly, one we entered in a long-term cross-license agreement and patent-purchase agreement particularly in the com space in the quarter. And DCG was impacted by a portion of that cost in the quarter.

我之前稍微提到過，就第四季而言，我們有一些一次性專案確實對 DCG 的獲利能力或營業利潤率造成了影響，我們認為這些影響是可以控制的，預計不會持續到 2017 年。另外，我們本季在通訊領域簽訂了一項長期交叉授權協議和專利購買協議。DCG在本季受到了部分成本的影響。

But secondly, and a little more significant, we were observing a product quality issue in the fourth quarter. We had slightly higher expected failure rates under certain use and time constraints, and we established a reserve to deal with that. We think we have it relatively well-bounded with a minor design fix that we are working with our client to resolve.

但其次，也是更重要的一點，我們在第四季觀察到產品品質問題。在某些使用和時間限制下，我們預期故障率會略高一些，因此我們建立了儲備金來應對這種情況。我們認為，透過一個較小的設計調整，我們已經基本控制住了局面，我們正在與客戶一起解決這個問題。

So those two, one-timers in the fourth quarter weighed on DCG margins, and we do not expect that to continue in 2017.

因此，第四季度的這兩筆一次性支出對 DCG 利潤率造成了壓力，我們預計這種情況不會在 2017 年繼續發生。

Great, thank you. Do I get a follow-up?

太好了，謝謝。我會收到後續回覆嗎？

Yes, please go ahead, Chris.

好的，請繼續，克里斯。

Maybe just expand on the PC market. What do you see driving the strength here? How sustainable is it? Any thoughts on PC unit growth for this year?

或許可以考慮拓展個人電腦市場。你認為推動這種強勁勢頭的因素是什麼？它的可持續性如何？對今年個人電腦銷售成長有何看法？

This is Brian, I can start, and then Bob can add in.

這是布萊恩，我可以先開始，然後鮑伯可以補充。

If you take a look-- Bob mentioned in his portion of the talk, of, hey, we have taken a slightly more conservative view of 2017 than third parties for what we see the overall PC unit market as. And we had extremely strong, I mean, record Core i7s, just record Core mix in the fourth quarter, that as we look at Q1 and we look at 2017, we've factored a little bit of caution into that as well.

如果你仔細看看——鮑勃在他的演講部分提到，嘿，我們對 2017 年的整體 PC 市場的看法比第三方要保守一些。第四季度，我們的酷睿 i7 處理器銷量創下歷史新高，酷睿處理器的整體銷量也創下歷史新高。因此，當我們回顧第一季和 2017 年全年時，我們也考慮了一些謹慎因素。

Those two things put us in the PC market at a unit level in the mid-single-digit decline. That is better if you went back a year ago we were in the high single-digit. Depending on how you looked at it, and where you counted some the 2-in-1 devices.

這兩件事導致我們在個人電腦市場的銷售出現了個位數中段的下滑。如果你回到一年前，情況會好得多，當時我們的感染率只有個位數。這取決於你如何看待它，以及你在哪裡統計了一些二合一設備。

So it is starting to get better, but I don't think we are back at a zero unit or positive unit. But as Bob said, what we have been really focusing on in that space is how do you make money? How do you sell up? How do you do better business performance in that kind of market? And we are comfortable that we can continue that into 2017.

所以情況開始好轉，但我認為我們還沒有回到零單位或正單位。但正如鮑伯所說，我們在這個領域真正關注的是如何賺錢？如何出售？在這種市場環境下，如何才能取得更好的業務表現？我們有信心將這種勢頭延續到 2017 年。

Chris, the only thing I would add is, we think it -- as Brian said, our outlook is a little more conservative than the third parties. And, our view is, that is probably the right posture, and the right caution to have as we go into the year. Obviously, the team has done a great job in adjusting its cost structure for a more cautious outlook, and then, we will see how it plays out during the course of the year.

克里斯，我唯一要補充的是，我們認為──正如布萊恩所說，我們的觀點比第三方政黨保守一些。我們認為，這或許是正確的態度，也是我們在新的一年應該保持的謹慎態度。顯然，該團隊在調整成本結構以採取更謹慎的態度方面做得非常出色，接下來，我們將看看這一年中情況會如何發展。

Great, thanks guys. Nice quarter.

太好了，謝謝各位。不錯的街區。

Thank you.

謝謝。

Joe Moore, Morgan Stanley.

喬摩爾，摩根士丹利。

Great. Thank you. I wonder if I could ask about the DCG commentary of being up high-single digits. Obviously, that is a little more conservative than the longer-term numbers you had talked about. And I guess as you think about that, is there an element of the cloud spending that you think is causing the Enterprise to be weaker? Or maybe some give us the qualitative underpinnings for that change?

偉大的。謝謝。我想問DCG對目前領先個位數高位的看法。顯然，這比你之前提到的長期數字要保守一些。我想，您在思考這個問題時，是否認為雲端支出中的某些因素導致企業實力下降？或者，也許有些人能為我們提供這種變化的定性基礎？

Let me start, and then, again, Bob can jump in on this one.

我先開始，然後，鮑伯也可以隨時加入討論。

As we said, we took a look at the 2017 view on Enterprise to be relatively equivalent to what we saw in 2016. Which says that Enterprise continues to decline. I think that is certainly some of that is that it's moving to a public cloud, it's moving to those areas at a faster rate than, I think, we expected.

正如我們所說，我們檢視了 2017 年的企業狀況，發現它與 2016 年的情況基本上相同。這說明企業持續衰退。我認為部分原因在於它正在向公有雲遷移，而且遷移速度比我們預期的要快。

It also has been a little bit slow about developing private clouds, and we are working with several partners like Microsoft Azure and others, around the private cloud segments, as well, for the Enterprise. But if you take a look at the long-term, we still see this as the growth engine and still getting into that double-digit regime.

在開發私有雲方面，我們也進展得有點慢，我們正在與微軟 Azure 等多個合作夥伴一起，圍繞著企業私有雲領域展開合作。但從長遠來看，我們仍然認為這是成長引擎，並且仍然有望達到兩位數的成長水準。

Remember, for us, Enterprise is now less than 50% of our overall Data Center business. And areas that are growing even faster, or as fast as cloud in most cases, are the networking and storage space, which we have very low market share in still, and it is a great opportunity for us. And in the emerging areas like Silicon Photonics, Omni-Path fabric, Rack Scale Design and 3D Xpoint. And those areas are really, what we've always forecasted to be the growth engine of the Data Center group as we exit and go towards the back half of this decade.

請記住，對我們而言，企業級業務目前僅占我們整個資料中心業務的不到 50%。而成長速度甚至更快，或者在大多數情況下與雲端運算一樣快的領域是網路和儲存領域，我們在該領域的市場份額仍然很低，這對我們來說是一個巨大的機會。以及矽光子學、全路徑架構、機架規模設計和 3D Xpoint 等新興領域。而這些領域也正是我們一直以來預測的資料中心集團的成長引擎，因為我們將退出並邁向本十年後半段。

So, for us, our view is, this is a -- anytime you're going through a market transition, you're not going to get the cloud-to-Enterprise mix perfect. And this is an anomaly right now, that we've forecasted, we think, accurately and adjusted for it the way it is. But our long-term growth was actually based on other factors, and we are still very confident in those growth areas. I don't know if Bob wants to add --

所以，我們的觀點是，任何時候你經歷市場轉型，你都不可能完美地實現雲端到企業的組合。目前這是一種異常情況，我們認為已經準確預測並做出了相應的調整。但我們的長期成長實際上是基於其他因素，我們仍然對這些成長領域充滿信心。我不知道鮑伯是否想補充——

Nope, I think you -- that's perfect. Nothing to add. Thanks.

不，我覺得你──這太完美了。沒什麼要補充的。謝謝。

Great. Thank you for that. That's great. And then separately, on the PC market. The ASP growth that you guys saw over the course of 2016, is that strictly mix shift and strength in the higher-end segments as you've been talking about? And any thoughts on your ability to continue that price momentum over the course of this year.

偉大的。謝謝。那太棒了。然後，在個人電腦市場，又單獨推出了一款產品。你們在 2016 年看到的平均售價成長，是否正如你們一直所說的那樣，完全是由於產品組合的變化以及高端市場的強勁表現所致？您認為貴公司能否在今年內維持目前的股價上漲動能？

Sure. Yes. It's mostly, if not in almost every case, all mix shift. And it's, our customers buying up.

當然。是的。絕大多數情況下，甚至幾乎所有情況下，都是混音偏移。我們的客戶正在大量購買。

A great example was the K SKUs. The Enthusiasts, the 10 Core Systems that we've put out there -- they far and away exceeded our original sales forecast. So people are out there buying 10 Core gaming systems.

K 系列 SKU 就是一個很好的例子。我們推出的 10 款核心系統——「狂熱者」系列產品——遠遠超過了我們最初的銷售預期。所以現在有人在買10核遊戲主機。

So we do believe that market -- that Enthusiast market will continue. We factored a little bit more caution into this, as we go into the 2017 and the first quarter. Some of that seasonality, holiday, people tend to by a lot of gaming systems. And some of it is just how much more can people buy up? And so, how much more growth in ASP can we see? But, we don't see a decline or anything of the average ASPs.

所以我們相信，發燒友市場將會繼續存在。進入 2017 年第一季度，我們在這方面採取了更謹慎的態度。受季節性和假日的影響，人們往往會購買大量的遊戲機。而其中一部分原因在於人們還能買多少東西？那麼，平均售價還能成長多少呢？但是，我們沒有看到平均售價出現下降或其他任何變化。

And, the only thing I would add is, as we think about the full-year. The second-half comps get a little tougher on ASP, because of the strong ASP performance throughout the course of 2016. So, that's probably the only dynamic that I would add.

我唯一要補充的是，當我們考慮全年計劃時。由於 ASP 在 2016 年全年表現強勁，下半年的比賽對 ASP 來說會更加艱難。所以，這大概是我唯一想補充的因素了。

Great. Thank you, very much.

偉大的。非常感謝。

Ross Seymore, Deutsche Bank.

羅斯·西摩，德意志銀行。

Hi, guys. Thanks for letting me ask a question. I guess the first one on OpEx, and it's more of a conceptual one for you, Brian. On flat revenues it is great to see some OpEx leverage on there, but I think some people are hoping for a little bit more as you had the restructuring only halfway done, and then the McAfee sale that's pending. So, can you talk conceptually about how you balance the desire to reinvest versus the desire to get the profitability up to your long-term targets?

嗨，大家好。謝謝允許我提問。我想第一個問題是關於營運支出的，而對你來說，Brian，這個問題更多的是一個概念性的問題。在營收持平的情況下，看到營運支出方面有一些槓桿作用固然很好，但我認為有些人希望看到更多，因為重組只完成了一半，而且 McAfee 的出售也即將完成。那麼，您能否從概念上談談您是如何平衡再投資的願望與實現長期盈利目標的願望之間的？

Sure I'll let Bob talk about the McAfee financials and how that affects OpEx. It gets a little complex with Q1 -- end of Q1 target there.

當然，我會讓鮑伯談談麥克菲的財務狀況以及這對營運支出的影響。第一季的情況有點複雜——這是第一季末的目標。

But let's just talk about it in general. What we've always said, is that we were going to go through the program that we went through at the middle of last year, which we called [ACT] just continued through the end of last year, 2016 and we said would be completed about the middle of 2017.

但我們還是泛泛而談吧。我們一直都說，我們將執行去年年中實施的計劃，我們稱之為[ACT]，該計劃一直持續到2016年底，我們曾說過該計劃將在2017年年中完成。

We always said there would be some mix between taking that to the bottom line, and reinvesting it in those growth areas. And so, as we have done acquisitions like Nervana, for artificial intelligence, we want to invest in those businesses now, bring them onto our silicon, integrate them into our software stack. And so, we are going to make those kinds of investments in key areas.

我們一直都說，既要把利潤用於獲利，又要把利潤再投資到那些成長領域，兩者之間需要找到平衡點。因此，就像我們之前收購了 Nervana 等人工智慧公司一樣，我們現在也想投資這些企業，將它們引入我們的晶片，並將它們整合到我們的軟體堆疊中。因此，我們將在關鍵領域進行這類投資。

We said the key areas around Data Center in general, we have Rack Scale Design, we have 3D Xpoint, we have artificial intelligence, around IoT, and we are making a big bets around autonomous driving. And so, you see us making the investment in HERE -- the investments with BMW. And that's really, when you take a look at autonomous driving, and why are we doing that? It is around Data and Data Centers, again.

我們說過，資料中心的關鍵領域包括機架規模設計、3D Xpoint、人工智慧、物聯網，以及我們正在大力投資的自動駕駛領域。所以，你們可以看到我們在這裡進行投資——與寶馬的投資。當你檢視自動駕駛技術時，就會明白我們為什麼要進行自動駕駛？還是和數據及數據中心有關。

Remember, every one of those high-definition maps is going to require data centers, they are going to require small data centers at the edge. So, it's all around, are we understanding and managing how data is going to flow in that system?

請記住，每一張高清地圖都需要資料中心，它們需要在網路邊緣部署小型資料中心。所以，關鍵在於，我們是否理解和管理資料在該系統中的流動方式？

And then memory itself. And we are going to go make those investments around 3D Xpoint, and really bring that and 3D NAND to market in a big way. And so we will balance between those, and I think you will see some mix of bringing it to the bottom line. But, if I can invest, and think I can turn that into additional profitability in the future, I'm going to go do that.

然後是記憶本身。我們將對 3D Xpoint 進行投資，並真正大規模地將這項技術以及 3D NAND 推向市場。因此，我們將在這兩者之間取得平衡，我認為你會看到一些將成本降至最低的綜合措施。但是，如果我能投資，並且認為將來能從中獲得更多利潤，我就會去做。

The only thing I would add, is just to maybe make it a little simple for people, as we look at our full-year guidance that we gave, and then we extract out three-quarters of McAfee. At the macro level, we are looking at low-single-digit growth, and mid-single-digit EPS growth. So, that is kind of the year-on-year, apples-to-apples dynamic.

我唯一要補充的是，為了讓大家更容易理解，當我們查看我們給出的全年業績指引時，我們先扣除四分之三的 McAfee 費用。從宏觀層面來看，我們預期經濟成長率為個位數低段，每股盈餘成長率為個位數中段。所以，這就是逐年比較、同等條件下的變化。

On direct spending itself, we will be down roughly -- our guidance implies we'll be down roughly $0.5 billion year-on-year. And that is just a function of three things; one, continued benefits from the restructuring actions that we took in 2016 and continued to execute on in the first half in 2017; secondly, obviously the direct spend of McAfee kind of goes away; and third, as Brian mentioned, during this transformation, we continued to make investments in the higher-growth businesses.

就直接支出本身而言，我們將大致下降——我們的預期表明，我們將年減約 5 億美元。這主要取決於三件事：第一，我們在 2016 年採取的重組措施持續帶來效益，並在 2017 年上半年繼續執行；第二，顯然，McAfee 的直接支出減少了；第三，正如 Brian 所提到的，在此轉型期間，我們繼續對高成長業務進行投資。

We will continue to invest in 5G and ADAS, and then we will continue to invest in Moore's Law as we bring 10nm to life in 2017, and continue to invest in 7nm. So net-net, the implications of all that for direct spending was 1 point down, as a percentage of revenue in 2016, and another point down, as a percentage of revenue in 2017.

我們將繼續投資 5G 和 ADAS，然後我們將繼續投資摩爾定律，在 2017 年實現 10nm 工藝，並繼續投資 7nm 工藝。因此，總而言之，所有這些因素對直接支出的影響是：2016 年直接支出佔收入的百分比下降了 1 個百分點，2017 年直接支出佔收入的百分比又下降了 1 個百分點。

And then the only thing I would add, is in terms of the milestones that we employ during the course of the year, for these big bets, we'll continue to build milestones in to make sure those bets that we are making are turning out in the medium- and long-term, the way we expect.

最後我還要補充一點，對於我們在這一年中為這些重大投資設定的里程碑，我們將繼續設立里程碑，以確保我們所做的這些投資在中長期內能夠按照我們預期的方式取得成效。

That's very helpful. I guess as my follow-up -- you talked about the ASPs in answering a prior question, I wondered about the competitive intensity in the PC market. You're taking a more conservative tack than the third-party vendors are forecasting, but your primary x86 competitor's coming out with the new architecture for the first time in many years. So I wonder whether it is on the ASP, or the unit, or the market share side, how you are factoring that into your forecast for the year?

那很有幫助。我想接著問一個後續問題——您在回答之前的問題時談到了平均售價 (ASP)，我想知道 PC 市場的競爭強度如何。你採取的策略比第三方供應商預測的要保守得多，但你的主要 x86 競爭對手多年來首次推出了新的架構。所以我想知道，無論是從平均售價、銷售量還是市佔率的角度來看，你們是如何將這些因素納入你們的年度預測中的？

Sure. I would tell you that we always look at this environment and say, there is going to be a competitive risk in the environment. And we are always focused on, really, our own product roadmap and making sure we have the highest-performance product.

當然。我會告訴你，我們總是會審視這種環境，然後說，在這種環境中必然存在競爭風險。我們始終專注於我們自己的產品路線圖，並確保我們擁有性能最高的產品。

So, when we look at 2017, we still believe that our product roadmap is truly the best ever it's been. And, as we look at the Kaby Lake, and as it really ramps up through 2017, where it came out, really, just at the end of 2016, and now we'll ram with many more SKUs and higher-performance products as we go into 2017.

所以，展望 2017 年，我們仍然認為我們的產品路線圖是迄今為止最好的。而且，當我們審視 Kaby Lake 時，隨著它在 2017 年真正加速發展，它實際上是在 2016 年底推出的，現在隨著我們進入 2017 年，我們將推出更多 SKU 和更高性能的產品。

And then, we showed at CES, the first working 10nm Cannonlake product, which we are still planning to ship by the end of this year, and really ramp into 2018. We still believe that our roadmap and our leadership will continue to give us the performance the customers want and desire. And so, that did not necessarily factor into that more cautious forecast. That forecast was really much more a function of where we think the PC market really is over all.

然後，我們在 CES 上展示了首款可用的 10nm Cannonlake 產品，我們仍然計劃在今年年底前發貨，並在 2018 年真正加速生產。我們仍然相信，我們的發展路線圖和領導團隊將繼續為我們提供客戶想要和期望的績效。因此，這未必是預測結果較為保守的原因之一。這個預測其實更取決於我們對個人電腦市場整體現狀的看法。

Great. Thank you guys.

偉大的。謝謝大家。

Stacy Rasgon, Bernstein Research.

Stacy Rasgon，伯恩斯坦研究公司。

Hi guys. Thanks for taking my questions. I had a question, first, on the guidance for next year. Unless I am doing the math wrong, to get to $2.80 I need a fairly sizable reduction in share count. So, is that true? Could you tell us how you're thinking about shares for next year? Are you intending to use the cash from McAfee to buy back shares to get to that number?

嗨，大家好。謝謝您回答我的問題。首先，我有一個關於明年指導方針的問題。除非我的計算有誤，否則要達到 2.80 美元，我需要大幅減少股票數量。所以，這是真的嗎？能否談談您對明年股市的看法？你打算用從 McAfee 獲得的現金回購股票以達到這個目標嗎？

First, in essence, the guidance year-on-year doesn't really anticipate any dramatic change in our share count. I think philosophically, our approach is to offset dilution from our comp-base programs, so all else equal, share count relatively flat year-on-year.

首先，從本質上講，年比業績指引並未真正預期我們的股份數量會有任何劇烈變化。我認為從理念上講，我們的做法是抵消薪酬計劃帶來的稀釋，因此在其他條件相同的情況下，股份數量與上一年相比相對持平。

I think, the one thing worth noting is -- in our ICAP Portfolio in 2016, we had a fairly significant gain, and what I indicated in the prepared remarks is we expect, roughly in 2017, that gain to be inline with what 2016 generated.

我認為，有一點值得注意——我們在 2016 年的 ICAP 投資組合獲得了相當可觀的收益，我在準備好的發言稿中指出，我們預計 2017 年的收益將與 2016 年的收益大致持平。

I think in terms of implied share count in our guidance, it is essentially flat year on year.

我認為就我們業績指引中隱含的股份數量而言，它與去年基本持平。

Okay. For my follow-up, I wanted to, again, dig into the OpEx. You talked about a mix of the restructure and the cuts versus the reinvestment. But if I throw the McAfee cost back in, you've actually got OpEx going up fairly sizably year-over-year, and your employee count is actually up year-over-year, even though you supposedly had a pretty big layoff.

好的。接下來，我想再次深入研究營運支出 (OpEx)。你談到了重組和削減開支與再投資結合的方案。但如果我把 McAfee 的成本也算進去，實際上營運支出同比大幅增長，而且員工人數實際上也同比增加了，儘管你們據說進行了一次相當大規模的裁員。

So I guess, can you talk little bit more specifically about exactly what the additional spending is going on? Is it people, versus technology, versus something else? Where is it going? And do you view those investments as looking to open up new markets versus being defensive in nature? Or maybe a mix of both?

所以我想問一下，能否更具體地談談這筆額外支出究竟都用於哪些方面？是人與科技之間的對抗，還是與其他因素之間的對抗？它要去哪裡？您認為這些投資的目的是開拓新市場，還是防禦性投資？或兩者兼而有之？

Yes, in terms of the type of cost, maybe two-fold. Yes, people and yes, technology/Moore's law, at the macro level and that expresses itself in higher depreciation year-on-year. In our guide, our depreciation is up quite a bit, and a portion that will flow through direct spending.

是的，就成本類型而言，可能是兩倍。是的，人，是的，技術/摩爾定律，從宏觀層面來看，這表現為逐年更高的折舊率。根據我們的指南，折舊額大幅增加，其中一部分將透過直接支出反映出來。

Again, on a more macro basis, at the risk of maybe repeating myself, we are investing more in DCG, and in particular, bringing some of these adjacent products that Brian referred to, to market. We continue to invest in memory, and particularly in the 3D Xpoint product, and we continue to invest in IoT. So those three businesses are getting a disproportionate share of the investment, because those are the businesses that we have seen really strong growth in 2016, and we are counting on continued growth in 2017.

再說一遍，從更宏觀的角度來看，或許我又要重複一遍了，我們正在加大對 DCG 的投資，特別是將 Brian 提到的一些相關產品推向市場。我們將繼續投資於記憶體，特別是 3D Xpoint 產品，並且我們將繼續投資於物聯網。因此，這三家企業獲得了不成比例的投資份額，因為我們在 2016 年看到了這些企業強勁的成長，我們指望它們在 2017 年繼續成長。

The second area, and again, we talked about this a little bit, but we see real opportunities in autonomous driving that play to our strengths and our capabilities. And we will -- we are making step function increase in our investments to position ourselves very well for that industry, and that market, as it evolves.

第二個領域，我們之前也稍微談過，我們看到了自動駕駛領域的真正機遇，這能發揮我們的優勢和能力。我們將加大投資力度，以便更好地適應該產業和市場的發展變化。

And then again, third, 7nm, a technology investment, and the spend associated with building a new pilot line in 2017, is also an additional investment.

第三，7nm製程是一項技術投資，而2017年建造一條新的試驗生產線的相關支出也是一項額外的投資。

So we are executing on our restructuring programs. It was -- we took out roughly -- we made the tough decisions in 2016 that resulted in roughly 11,000 fewer people as a result of our restructuring program. We are not quite done, but I would say we are on track. At the same time we are making investments both in technology and people, to strengthen and enhance our competitive position in the areas that we see as real opportunities for us.

所以我們正在執行重組計劃。粗略地說，我們在 2016 年做出了艱難的決定，透過重組計劃，導致大約 11,000 人減少。我們還沒有完全完成，但我認為我們正在按計劃進行。同時，我們正在技術和人才方面進行投資，以加強和提升我們在我們認為具有真正機會的領域的競爭地位。

The only thing I would add, Stacy, as more of a blunt answer to your question, is if you take a look at the areas that we are talking about, in almost every case, these are new and expanding TAMs for us. So, even look at the places where we're going in the Data Center, and this is my point earlier about Enterprise versus cloud.

Stacy，我唯一想補充的是，更直接地回答你的問題，如果你看看我們正在討論的領域，幾乎在所有情況下，這些對我們來說都是新的、不斷擴大的潛在市場。所以，即使看看我們在資料中心的發展方向，這也是我之前提到的企業與雲端的差異。

Enterprise is now less than 50% of our total makeup for the Data Center group. And the cloud is growing great, and that will continue, but if you look at the areas -- the majority of the rest of the growth for the rest of this decade, in the Data Center alone, it's networking and storage where we have very low market share today. But we are bringing things like software defined networking, and NFV to those. And so that is growing and expanding TAM, as those markets move to Intel architecture.

企業業務目前在我們資料中心集團的總組成中佔比不到 50%。雲端運算發展迅猛，而且這種勢頭還會繼續下去，但如果你看看其他領域——在本十年剩餘時間裡，僅數據中心的大部分增長都將來自網路和儲存領域，而我們目前在這些領域的市場份額非常低。但我們正在將軟體定義網路和NFV等技術引入這些領域。因此，隨著這些市場向英特爾架構過渡，其潛在市場規模也在不斷成長和擴大。

And then it is, going into Rack Scale Design, Omni-Path fabric, Silicon Photonic, those are all, again, new either nascent or expanding TAMs for us. Autonomous cars and the IoT space are new and expanding TAMs for us. 5G is a TAM that is brand-new that will be really being built out over the rest of this decade.

然後，進入機架規模設計、全路徑架構、矽光子學領域，這些對我們來說都是新興或正在擴展的潛在市場。自動駕駛汽車和物聯網領域對我們來說是新興且不斷擴大的潛在市場。5G 是一個全新的市場規模，將在本十年剩餘的時間裡得到真正的發展。

And then memory -- if you look at the large part of the investment we are making, it's 3D Xpoint, which really rearchitects memory and storage, and will create a new market in our mind. And we believe we are unique in having that technology.

然後是內存——如果你看看我們正在進行的大部分投資，那就是 3D Xpoint，它真正地重新架構了內存和存儲，在我們看來，它將創造一個新市場。我們相信，我們在這項技術方面是獨一無二的。

So to me, when I look at the investment, they are all focused around data, they're all in support of how the Data Center ecosystem works, and they are all in either expanding or new TAMs for Intel. And so that is why I see the growth in those areas. It is not just enhancing the technologies that we already have. We will do that, but the new investments are really focused on the new areas.

所以在我看來，當我審視這些投資時，它們都圍繞著數據展開，都是為了支持資料中心生態系統的運作方式，而且它們都是為了擴大英特爾的潛在市場規模或開拓新的市場規模。所以這就是我看到這些領域發展的原因。這不僅僅是對我們現有技術的改進。我們會這樣做，但新的投資確實集中在新的領域。

Got it. Thank you guys.

知道了。謝謝大家。

Thanks, Stacy.

謝謝你，史黛西。

John Pitzer, Credit Suisse.

瑞士信貸的約翰‧皮策。

Good afternoon, guys. Thanks for letting me ask a question.

下午好，各位。謝謝允許我提問。

Brian, my first question, I want to go back to the DCG ASPs in the December quarter. There were up 4% year-over-year, which reverses, I think, a four or five quarter trend of ASPs going down. I know that you've had mix headwinds that have been driving blended ASPs down. I am curious, what happened the fourth-quarter to drive ASPs up, and do you think it is sustainable? Is this just what we would expect to see the first quarter of the Broadwell launch? And then it normalizes going forward? Or how do you think about ASPs from here?

Brian，我的第一個問題是，我想回顧一下 12 月的 DCG ASP。年比成長 4%，我認為這扭轉了 ASP 連續四、五個季度下降的趨勢。我知道你們遇到了各種不利因素，導致混合平均售價下降。我很好奇，第四季發生了什麼導致平均售價上漲，你認為這種上漲勢頭能夠持續嗎？這就是我們預期在 Broadwell 上線第一季會看到的嗎？然後接下來就會恢復正常嗎？或者，您如何看待這裡的應用服務提供者（ASP）？

I will let Bob start with this, and then I will come in and talk a little bit about the macro view of this.

我先讓鮑伯開始講，然後我再進來談談這件事的宏觀層面。

Two dynamics in the fourth quarter where we had higher ASPs. One, the continued transition from Haswell to Broadwell is helpful, and then as we project forward, the next transition is Skylake -- we believe will be helpful as well. So those dynamics where we're delivering better performance for our customers, we are able to capture some of that in ASPs. And we saw a little bit of that in the fourth quarter.

第四季平均售價較高的兩個主要因素。首先，從 Haswell 到 Broadwell 的持續過渡是有益的，然後展望未來，下一個過渡是 Skylake——我們相信這也會有益處。因此，當我們為客戶提供更好的性能時，我們能夠將其中的一部分體現在平均銷售價格 (ASP) 中。我們在第四節比賽中也看到了這一點。

And secondly, in the coms and network space, which is a share-gain opportunity for us in DSG, getting those clients to move up the stack in terms of the high-performance server CPUs is the second dynamic. Both of which we think are helpful as we exit 2016, and go into 2017.

其次，在通訊和網路領域，對於我們 DSG 來說，這是一個獲得市場份額的機會，讓這些客戶升級到高效能伺服器 CPU 是第二個動態。我們認為這兩件事對我們告別 2016 年、邁入 2017 年都很有幫助。

Yes the only thing I would add, John, is, we'll as we go back into the second half of this year; do the Skylake transition. And that is a technology that will increase performance, and a performance per cost to our customers -- one of the largest improvement in a long time, if not ever, on the Data Center.

是的，約翰，我唯一要補充的是，當我們回到今年下半年時，我們將進行 Skylake 過渡。這項技術將提高效能，並為我們的客戶帶來更高的性價比——這是資料中心領域多年來，甚至可以說是有史以來最大的改進之一。

So, we expect -- typically when that happens people see the value in that and they tend to buy up. They tend to buy the better SKUs. To my view, this trend of higher mix should continue.

所以，我們預期——通常情況下，當這種情況發生時，人們會看到其中的價值，他們往往會大量購買。他們傾向於購買品質較好的SKU。我認為，這種混合比例不斷提高的趨勢應該會持續下去。

That's helpful. And then maybe as my follow-up, Brian, relative to the guide, you're kind of expecting a significant drop in free cash flow this year, with the increase in CapEx. And you highlighted that CapEx is going to the non-volatile memory group.

那很有幫助。然後，布萊恩，作為我的後續問題，相對於這份指南，你預計今年的自由現金流會隨著資本支出的增加而大幅下降。您也特別指出，資本支出將流向非揮發性記憶體部門。

I'm just curious, given that business, even though it made some improvements in losses in the calendar fourth quarter, is still in a loss position. I'm assuming the higher CapEx is going to be a headwind to getting to profitability. But I guess, how do you think about the path to profitability? The longer-term business model in memory? And what it might do to the DCG growth rate longer term if Xpoint is successful?

我只是好奇，儘管該企業在第四季虧損有所改善，但仍處於虧損狀態。我估計較高的資本支出將對實現獲利構成阻礙。但我想問，您是如何看待獲利的途徑的？記憶體中的長期商業模式？如果 Xpoint 取得成功，從長遠來看，會對 DCG 的成長率產生什麼影響？

Sure. Let's talk about memory in kind of a big picture, John, and then we can -- I'll let Bob talk a little bit about how the CapEx weighs, and what our view of CapEx is in this space.

當然。約翰，我們先從宏觀角度談談記憶體問題，然後──我讓鮑伯談談資本支出的考量，以及我們對這個領域資本支出的看法。

But, we are in this space for one reason. Because, I understand it is a cyclical business, that tends to be fairly difficult from a price-capacity standpoint. But, we believe we are coming at it with two, very unique technologies. Our 3D NAND technology has some of the best performance and best cost in the market. Our current version of 3D NAND has a 15% price -- or cost value over the competition, and our next version, second-generation has even a higher, when you look at it on a density basis.

但是，我們來到這裡只有一個原因。因為我知道這是一個週期性產業，從價格和容量的角度來看，這往往相當困難。但是，我們相信我們憑藉兩項非常獨特的技術來實現這一目標。我們的 3D NAND 技術擁有市場上最佳的效能和最具成本效益。我們目前的 3D NAND 版本比競爭對手的價格或成本價值低 15%，而我們的下一代產品，即第二代產品，如果從密度角度來看，價格優勢甚至更高。

And so, we believe we are going to be able to bring differential cost and performance in 3D NAND that will give us a unique position. And that combined with our knowledge of the Data Center should allow us to really provide compelling products for Data Center SSDs.

因此，我們相信我們能夠在 3D NAND 領域帶來差異化的成本和效能優勢，這將使我們擁有獨特的地位。結合我們對資料中心的了解，我們應該能夠為資料中心 SSD 提供真正具有吸引力的產品。

3D Xpoint is very different in that it's a unique technology that bridges between memory and storage. And, we believe it can rearchitect how big data applications, artificial intelligence applications where you want large amounts of data being brought up as close to the compute as you can, will really transform, not only the architecture of those systems but the performance of those systems.

3D Xpoint 非常不同，它是一種獨特的技術，能夠連接記憶體和儲存。我們相信，它能夠重新建構大數據應用和人工智慧應用的架構，在這些應用中，你需要盡可能將大量資料靠近運算節點，這將真正改變這些系統的架構以及它們的效能。

And we have demonstrated on stage, even on client systems using these types of SSDs, on a equal price, you can get 5x to 7x performance improvement using 3D Xpoint as a large memory storage, kind of, combination.

我們已經在舞台上演示過，即使在使用這類 SSD 的客戶端系統上，在相同的價格下，使用 3D Xpoint 作為大型內存存儲組合，也可以獲得 5 到 7 倍的性能提升。

So we are investing, surely because we believe we have this differential technology, and that is why we are in this business. I think, if I did not have that differential, I'm not sure it is a business that Intel would necessarily be in. Right? But with that leadership, and we believe we could sustain that leadership. We believe it is a good business and a good investment.

所以我們正在投資，當然是因為我們相信我們擁有這種差異化技術，這也是我們進入這個行業的原因。我認為，如果沒有這種差異化優勢，我不確定英特爾是否一定會涉足這個行業。正確的？但有了這樣的領導，我們相信我們能夠保持這種領先地位。我們認為這是一項不錯的生意，也是一項不錯的投資。

I'll have Bob talk about how long and how we view the capital.

我會請鮑伯談談我們對首都的看法以及它存在的時間跨度。

So yes, John. The CapEx dynamic, first kind of at the macro level, up $2.5 billion year-on-year, driven by two things. One, memory, obviously. But also bringing10nm capacity online.

是的，約翰。資本支出動態，首先從宏觀層面來看，年增 25 億美元，主要受兩方面因素驅動。第一，顯然是記憶力。但同時也將10nm產能上線。

If I just go down a level to memory. Roughly, $1.6 billion CapEx in 2016. Expectation is it will be roughly $2.5 billion in 2017, as we bring the incremental capacity online. Then as we look at memory specifically, in 2018 we think it begins to drop off a little bit, as we focus that capacity on 3D NAND and increasingly 3D Xpoint.

如果我只是向下移動到記憶層面。2016 年資本支出約 16 億美元。預計到 2017 年，隨著新增產能的上線，總投資額將達到約 25 億美元。然後，當我們具體來看記憶體時，我們認為在 2018 年記憶體容量會開始略有下降，因為我們將這種容量集中到 3D NAND 和越來越多的 3D Xpoint 上。

Thanks guys. I appreciate it.

謝謝各位。謝謝。

Thank you.

謝謝。

Vivek Arya, Bank of America Merrill Lynch.

Vivek Arya，美國銀行美林證券。

Thanks for taking my question. Brian, I'm curious with this new US administration. There is a lot of interest in using US-made products. And since you are fairly sizable fabs here in the US, I am wondering how you can take advantage of this environment, or if you are interested in making a bigger push in your foundry business?

謝謝您回答我的問題。布萊恩，我對美國新政府很好奇。人們對使用美國製造的產品非常感興趣。鑑於你們在美國擁有相當規模的晶圓廠，我想知道你們如何利用這種環境，或者你們是否有興趣在晶圓代工業務方面加大投入？

Well, we are always open for business in foundry. And we are always interested -- remember we said our foundry strategy was really to be on the leading edge. So, because we can get paid for our technology, and it really allows us to use our unique differentiation in that space.

我們鑄造廠一直都歡迎客戶。我們一直對此很感興趣——別忘了我們說過，我們的代工廠策略是真正走在產業前沿。所以，因為我們的技術能夠為我們帶來收益，這確實使我們能夠在該領域發揮我們獨特的優勢。

Beyond that, I would just tell you we have always been proud. It is not a new transition or new strategy for Intel. We have always been roughly between, a little more than half to two-thirds of our capacity in the US. We are the second largest exporter in the US. And we are proud of that position. But other than that, there is no real shift in our strategy right now.

除此之外，我只想說我們一直都為此感到自豪。這並非英特爾的新轉型或新策略。我們在美國的實際產能一直大致在產能的二分之一到三分之二之間。我們是美國第二大出口商。我們為這一立場感到自豪。但除此之外，我們目前的戰略並沒有真正的轉變。

All right. And as my follow-up, back to DCG. There seem to be two moving pieces. You have this declining, but very profitable Enterprise part, but a faster growth, but perhaps less-profitable networking, and cloud and other areas. Is that fair characterization? And do you envision a point at which the non-Enterprise parts become dominant enough that you can actually see an acceleration in DCG back to your traditional double-digit type growth rate?

好的。接下來，我再回到DCG。似乎有兩個環節在運作。企業業務部分雖然利潤豐厚，但業務卻在下滑；而網路、雲端運算和其他領域雖然利潤可能較低，但成長速度更快。這種描述是否恰當？您是否設想過，非企業版部分會佔據足夠大的市場份額，從而使 DCG 真正加速恢復到傳統的兩位數成長率？

So let me start, and then we can see. I think our view is that Enterprise will continue to decline. A lot of that is those workloads moving to the cloud. It will get to a point where it starts to stabilize and those -- because there are still things that -- workloads that will want to be in a private cloud.

那我就先開始吧，然後我們再看看。我認為我們的觀點是，企業將會繼續衰退。其中很多都是工作負載遷移到雲端造成的。它會逐漸趨於穩定，而那些——因為仍然有一些——工作負載需要放在私有雲中。

At the same time, we believe as the world becomes connected, cloud will grow at a much faster rate. And, I made a point in the prepared remarks, where if you look at the cloud of today, seeing mostly based on people -- the average person will generate about 1.5 GB of data a day. An autonomous car, when those things start hitting the road, and we've started to build these Data Centers for some of the trials we're working with. And you are talking about petabytes of data that you are having to deal with, and 4,000 GB a day off the average autonomous car. You put a couple of those on the road, and you need petabytes of storage to handle that.

同時，我們相信隨著世界互聯互通程度的加深，雲端運算的發展速度將會更快。我在準備好的演講稿中指出，如果你看看今天的雲端運算，你會發現它主要基於人——普通人每天會產生大約 1.5 GB 的資料。當自動駕駛汽車開始上路時，我們已經開始為一些正在進行的試驗建造資料中心。你們要處理的是PB級數據，而一輛普通的自動駕駛汽車每天要產生4000GB的數據。你把其中幾輛放到路上，就需要PB級的儲存空間來處理這些資料。

So we do believe that the cloud will move at a faster rate as these connected devices become, basically, more available. That said, the cloud is becoming bigger than Enterprise. We said Enterprise is now less than 50%. And we believe the other areas that will grow, networking and storage, the adjacencies like Omni-Path fabric, Silicon Photonics, Rack Scale Design, which we're working with our partners on, it really lowers the cost of the system and rearchitects how the Rack is laid out.

因此我們相信，隨著這些連網設備的普及，雲端運算的發展速度將會加快。也就是說，雲端運算的規模正在超越企業級應用程式。我們說過，企業用戶現在佔比不到 50%。我們相信，其他將會發展的領域，如網路和存儲，以及與 Omni-Path 架構、矽光子學、機架規模設計等相關領域（我們正在與合作夥伴共同開發這些領域），確實能夠降低系統成本並重新設計機架的佈局方式。

And 3D Xpoint should dramatically -- that will drive the growth for us, as we go through the rest of this decade. We believe when you add those up together, this thing will go back to double digits. Went exactly that is? Because it's pretty hard -- we're trying to grow these new nascent areas, and manage the decline of Enterprise. It's going to be hard to call exactly when. But we do still have a strong belief, and we believe the products are very compelling, that these will drive us to double-digit growth long-term.

而 3D Xpoint 將會大幅提升——這將推動我們在本十年剩餘時間內實現成長。我們相信，把這些加起來，這個數字會回到兩位數。真是那樣嗎？因為這非常困難——我們正努力發展這些新興領域，並應對企業衰退的問題。很難準確預測具體時間。但我們仍然堅信，我們相信這些產品非常有吸引力，它們將推動我們實現兩位數的長期成長。

The only thing I would add, Brian, is on like-for-like product, ASPs have a tendency to be lower to the cloud service providers, but at the same time the cloud service providers really value performance. And in terms of the mix of their products, they will value performance in the higher-end products more than maybe Enterprise as a whole.

Brian，我唯一要補充的是，在同類產品的情況下，雲端服務供應商的 ASP 往往較低，但同時，雲端服務供應商非常重視效能。就產品組合而言，他們會更重視高階產品的效能，而不是企業級產品的整體表現。

Thank you.

謝謝。

Romit Shah, Nomura.

Romit Shah，野村證券。

Thank you, I just had one question. I noticed that you did not raise the dividend in January, and Bob, I am curious if your view on capital returns, buybacks, and dividends is different than what Intel has done historically?

謝謝，我只有一個問題。我注意到你們一月份沒有提高股息，鮑勃，我很好奇你對資本回報、股票回購和股息的看法是否與英特爾過去的做法不同？

I think, historically, the philosophy around first and foremost, investing in -- organically in our capabilities has always been the first priority. That will be the same.

我認為，從歷史上看，首先也是最重要的理念是，以有機的方式投資於我們自身的能力，這始終是首要任務。那也一樣。

Secondly, we will continue to look at M&A that will strengthen our capabilities so that is no different than the past. Third, in terms of capital returns, our expectation has been, and I think will continue to think it this way going forward as it relates to dividend, grow it in line with non-GAAP earnings. And have it be roughly 40% of the free cash flow for the Company -- those change around the margins over time depending on the CapEx intensity of the business.

其次，我們將繼續尋求能夠增強我們能力的併購機會，這一點與過去並無不同。第三，就資本回報而言，我們一直期望，而且我認為未來也會繼續這樣認為，就股息而言，要使其與非GAAP收益保持一致。並且使其約占公司自由現金流的 40%——隨著時間的推移，這些比例會根據業務的資本支出強度而有所變化。

But I don't expect that to change, and we will continue to look at how we move the dividend in line with that philosophy. As I said earlier, in terms of the more holistic capital returns bucket, we will continue to offset dilution, which I think is pretty consistent with what we have done in the past.

但我預期這種情況不會改變，我們將繼續研究如何依照這個理念調整股利。正如我之前所說，就更全面的資本回報而言，我們將繼續抵消股權稀釋，我認為這與我們過去的做法非常一致。

And then third, we have a great balance sheet. And I do think that, opportunistically, when it makes sense, reducing our outstanding float is an opportunity we have as we get closer to the net-cash zero position that we have been tracking towards over the last 12 months since the Altera acquisition.

第三，我們的資產負債表非常出色。而且我認為，從機會主義的角度來看，當情況合適時，減少我們未償付的流通股是一個機會，因為我們正逐漸接近淨現金為零的目標，而自 Altera 收購以來，我們在過去 12 個月裡一直朝著這個目標努力。

So, philosophically no dramatic change. Dividend in line with non-GAAP earnings growth. But trying to stay in that roughly 40% free cash flow world. And maybe if opportunities present itself, be opportunistic in share counts without limiting our financial flexibility relative to the things that matter most, which is strengthening our business.

所以，從哲學層面來說，沒有發生劇烈的變化。股息與非GAAP獲利成長一致。但要努力維持在40%左右的自由現金流水準。如果機會出現，我們可以抓住機會調整股份數量，但不能限制我們在最重要的事情（即加強業務）方面的財務靈活性。

Thank you. Nice quarter.

謝謝。不錯的街區。

Thank you.

謝謝。

Operator, I think we have time for two more questions.

接線員，我想我們還有時間再回答兩個問題。

Harlan Sur, JPMorgan.

哈蘭‧蘇爾，摩根大通。

Hi. Good afternoon. This is Bill Peterson, calling for Harlan. Congratulations on the nice quarter.

你好。午安.這裡是比爾·彼得森，呼叫哈蘭。恭喜你本季業績出色。

Coming back to the storage market. Trying to understand how you view growth this year in light of, obviously, good sequential growth in the prior quarter, but also overlaying that with the Optane qualifications that are going on in progress. How should we view that as terms of the incremental growth driver in 2017?

回到儲存市場。鑑於上一季環比成長良好，同時考慮到Optane資格認證正在進行中，我想了解您如何看待今年的成長。我們該如何看待這在 2017 年的增量成長驅動因素中所扮演的角色？

Sure, So if you take a look at it -- as I said, this is a cyclical market. If you take a look at 2016, it started out with an oversupply. Came into the back half of the year with an under-supply, really, of capacity.

當然，如果你仔細觀察一下——正如我所說，這是一個週期性市場。回顧2016年，開年就出現了供應過剩的情況。進入下半年時，產能確實出現了不足。

We are entering 2017 with a continued tightness in supply. That makes pricing stable to better. So, we expect that, at least, right now the estimates are through the first half. It's pretty hard to project out to the second half, and so we have kind of kept the second half relatively calm and cautious.

進入2017年，我們仍面臨供應持續緊張的局面。這樣一來，價格就會趨於穩定甚至更好。因此，我們預計，至少目前來看，這些預測涵蓋了上半年的情況。預測下半場的情況相當困難，所以我們對下半場採取了相對平靜和謹慎的態度。

If you take a look at 3D Xpoint, as we said we've qualified. We've started to ship DIMM samples to the big cloud service guys. Those are targeted for 2018 revenue shipment. On an SSD basis, we will start shipping for revenue this quarter. And, if you take a look at the full year, I think the estimate is, it's around 10% of our total revenue is 3D Xpoint.

如果你看一下 3D Xpoint，正如我們所說，我們已經合格了。我們已經開始向大型雲端服務供應商寄送 DIMM 樣品。這些產品計劃在 2018 年實現盈利性出貨。我們將在本季開始以固態硬碟 (SSD) 出貨並獲利。而且，如果你看一下全年的數據，我認為估計是，3D Xpoint 約占我們總收入的 10%。

And that will be -- it could take off and it could be a little more than that. It could take a little while to qualify some things if it's a little off. But you should think it is around 10% of the revenue. And really, ramping much more into 2018.

而且，它可能會成功，甚至可能取得更大的成就。如果有些地方不太準確，可能需要花點時間才能確定其準確性。但你應該認為這大約佔收入的 10%。而且，2018 年的成長動能會更加強勁。

What we are proud of, is you get past that first hurdle of getting the first one to production ready, and starting to ship samples to the cloud guys, and actually getting ready to start shipping SSDs for revenue to the client devices and all that. We are pretty excited about just getting to that point right now with 3D Xpoint.

我們引以為傲的是，我們克服了第一個難關，讓第一個產品達到生產就緒狀態，開始向雲端服務供應商發貨樣品，並真正準備好開始向客戶端設備發貨 SSD 以獲取收入等等。我們現在對 3D Xpoint 能夠達到這個階段感到非常興奮。

I appreciate the color.

我喜歡這個顏色。

The full-year for memory was down 1%, 2016 over 2015. But the momentum that you saw is that supply chain dynamic that Brian highlighted changed. And as we began to scale our own capabilities, you saw the strong exit growth of 25% in the fourth quarter.

2016 年全年記憶體銷售額比 2015 年下降了 1%。但你所看到的勢頭，正是布萊恩強調的供應鏈動態發生了變化。隨著我們自身能力的提升，第四季實現了強勁的25%的退出成長。

And so with that going into 2017, we feel pretty good about that growth rate in the fourth quarter, as we enter the new year.

因此，展望 2017 年，我們對第四季的成長率感到非常樂觀，也對新的一年充滿信心。

Great. I appreciate the color on that. Maybe a question on the Programmable Solutions. The group has shown sequential declines in the prior two quarters versus your main competitor, who has shown sequential growth, albeit modestly. Discuss taking share -- and now you have the 14nm-based product. I wonder if you could provide color on maybe why that group has lagged in the prior few quarters. But more importantly, when we should see the inflection in the business and how to think about growth in that business this year.

偉大的。我喜歡它的顏色。或許可以問一個關於可程式解決方案的問題。與主要競爭對手相比，該集團在前兩個季度業績連續下滑，而主要競爭對手則實現了連續增長，儘管增幅不大。討論如何搶佔市場份額——現在你們有了基於 14nm 製程的產品。我想請您解釋一下，為什麼該組在過去幾個季度表現落後？但更重要的是，我們應該何時看到業務的轉捩點，以及今年該業務應該如何看待成長。

So, let's talk about that. If I look at 2016, as we showed, we had about 7% growth over what Altera had in 2015. If you take a look at it, there is a couple of big segments that are driving that, Telco, Data Center, and we are starting to see -- and in the networking space as well. Those a kind of the big three segments.

那麼，我們就來談談這個吧。如果我回顧 2016 年，正如我們所展示的，我們的成長比 Altera 在 2015 年的成長了約 7%。如果你仔細觀察，你會發現有幾個主要領域正在推動這一趨勢，分別是電信、資料中心，我們開始看到——在網路領域也是如此。這是三大主要細分市場之一。

And we started to see as we went through, especially the back of the year, a good connection between our ability to go in, and we are better together, with Xeon and the FPGA, as we go into that networking space. Again, as our footprint grows in networking and storage, I think it also gives us an ability to continue to bring both products to those markets.

隨著我們不斷深入研究，尤其是在年底，我們開始看到，我們進入網路領域的能力與Xeon和FPGA的結合之間存在著良好的聯繫，而且我們在一起會做得更好。再次強調，隨著我們在網路和儲存領域的業務不斷成長，我認為這也使我們能夠繼續向這些市場推出這兩款產品。

So, we think in 2016, we actually gained share relative to the competition. As we look out into 2017, we forecasted again, above market growth from what we understand, as a current estimate. And we believe we will gain a little bit of share, again, in 2017. And, remember these markets are slow-moving. You don't grow 10% share instantly, because of design cycles and design conversions are relatively difficult.

因此，我們認為在 2016 年，我們相對於競爭對手實際上獲得了市場份額。展望 2017 年，我們再次預測，根據我們目前的了解，市場成長將高於預期。我們相信，在 2017 年，我們將再次獲得一些市場份額。而且，請記住，這些市場變化緩慢。你不可能立即獲得 10% 的市佔率成長，因為設計週期和設計轉換相對困難。

It is again driven by Data Center, Networking, and the telco industry. And with Stratix 10, as we said, largest design enablement in the history of Altera, so we are really excited. We believe it brings a performance and a cost to our customers, that is truly industry-leading and shifting. And, so we are very comfortable -- or confident in that, but again that will really start to shift in the second half of 2017. And so, I think that will really be driving growth in 2018.

這再次受到資料中心、網路和電信產業的推動。正如我們所說，Stratix 10 是 Altera 史上最大的設計賦能版本，所以我們感到非常興奮。我們相信，它能為我們的客戶帶來真正領先業界且具變革意義的績效和成本優勢。所以，我們對此感到非常滿意——或者說充滿信心，但這種情況在 2017 年下半年將會真正開始轉變。因此，我認為這將真正推動 2018 年的成長。

And really if you think about these design cycles, that product will really continue to drive growth for probably the next three years, plus, just because these cycles are fairly long.

如果你仔細想想這些設計週期，你會發現產品將在未來三年內繼續推動成長，而且，這些週期本身就相當長。

Terrific color. Thanks, and congratulations on the quarter again.

顏色真棒。謝謝，再次恭喜你本季業績出色。

Thank you.

謝謝。

And Shanelle, please go ahead and introduce our last questioner.

Shanelle，請你介紹我們最後一位提問者。

Blayne Curtis, Barclays.

布萊恩·柯蒂斯，巴克萊銀行。

Hey guys. Thanks for squeezing me in. I want to ask, Bob, on the gross margin, your full year is equal to the Q1. Just maybe, as you look in the back half, I want to make sure I heard it straight.

嘿，大家好。謝謝你擠出時間陪我。鮑勃，我想問毛利率，你的全年毛利率和第一季毛利率一樣嗎？或許，當你看到後半部時，我想確認我是否聽清楚了。

It sounded like 14 on the server side. May have some initial yields, and that would be headwind, but I am curious on the PC client as well. So maybe you could just talk about the puts and takes as you ramp in 10, but you still ship a lot of 14. As you look in the second half, what are the headwinds and tailwinds to gross margin?

伺服器端聽起來像是14。可能會有一些初步收益，但這會是一個不利因素，但我對PC客戶端也很感興趣。所以也許你可以談談你在 10 中逐步增加的買入和賣出，但你仍然會賣出很多 14。展望下半年，影響毛利率的不利因素和有利因素分別是什麼？

Yes The two tailwinds on the year-on-year are flat, ASPs being a little better, and we anticipate that more on the DCG side. Secondly, unit cost being a little bit better, and we anticipate that more on the CCG side. And again, as I mentioned earlier, for DCG as we transition more from 22nm to 14nm, all else equal, that will be a little bit of a headwind in the early stages of yield for server on 14nm.

是的，年比來看，兩個利好因素都比較平緩，平均售價略有改善，我們預期這種情況在直接消費品方面會更加明顯。其次，單位成本略有改善，我們預期 CCG 方面會更有利。正如我之前提到的，對於 DCG 而言，隨著我們從 22nm 向 14nm 過渡，在其他條件相同的情況下，這將在 14nm 伺服器良率的早期階段帶來一些不利影響。

The headwinds, particularly, are strong growth coming from memory and modem. So those two dynamics, themselves: good growth, increasing profitability, good earnings, however, they are at a lower margin so the mix dynamic of those are real on a year-over-year basis. So, good ASP, good unit cost, but mix is a challenge.

尤其不利的因素是記憶體和調變解調器的強勁成長。因此，這兩個因素本身：良好的成長、不斷提高的獲利能力、良好的收益，然而，它們的利潤率較低，因此這些因素的組合動態是逐年變化的。所以，平均售價和單位成本都不錯，但產品組合是個挑戰。

And then year-on-year factory ramp, 10nm and memory are a headwind for the full year, but it gets a little bit better in the second half. The dynamic to first-half, second-half -- it gets a little bit better in the second half.

此外，工廠產能逐年下降，10nm製程和記憶體業務對全年而言都是不利因素，但下半年情況會略有改善。上半場和下半場的動態對比——下半場情況有所改善。

Thanks, and then just maybe a clarification. The $3 billion that you are getting from the sale, should I assume that goes to debt retirement like you have been using your cash flow? And, then I guess, you should get at some point this year, potentially the end the year, near that net-cash zero. Should we think about buybacks at that point?

謝謝，還有一點要澄清。我是否可以假設您從出售中獲得的 30 億美元將像您一直以來使用現金流那樣用於償還債務？然後，我猜想，你應該在今年某個時候，可能是在年底，接近淨現金為零的目標。那時我們應該考慮回購嗎？

I think the dynamics of the $3 billion, the intention is that roughly $1 billion comes in line at time of transaction. And that we will provide dollar financing in the early stages. So we will only get roughly $1 billion upfront.

我認為這 30 億美元的運作機制是，大約 10 億美元將在交易時到位。而且，我們將在早期階段提供美元融資。所以，我們只能預先拿到大約10億美元。

In terms of then, just the net debt position during the course of the year, you can assume that we have some maturities in 2015 -- sorry 2017 that we will take out. And we believe by the end of the year, given those dynamics, we will be closer to a net-cash zero position.

就此而言，僅就當年的淨債務狀況而言，您可以假設我們在 2015 年（抱歉，是 2017 年）有一些到期債務，我們將予以償還。我們相信，鑑於這些發展趨勢，到今年年底，我們將更接近淨現金為零的目標。

In terms of that, and that gives us a much stronger balance sheet, and how we think about that. We will continue, as I said earlier, invest in business, return capital to shareholders, and opportunistically, whether it is reducing outstanding float -- that's one that we'll continue to look at and be opportunistic as opportunities present themselves.

就此而言，這使我們的資產負債表更加穩健，而我們正是這樣看待這個問題的。正如我之前所說，我們將繼續投資業務，向股東返還資本，並抓住機會，例如減少流通股數——我們將繼續關注這一點，並在機會出現時抓住機會。

Thanks.

謝謝。

Thanks, Blayne. Alright, thank you all for joining us today. Shanelle, please go ahead and wrap up the call.

謝謝你，布萊恩。好的，感謝各位今天收看。Shanelle，請結束通話吧。

Ladies and gentlemen, thank you for participating in today's conference. This concludes today's program. You may all disconnect. Everyone have a great day.

女士們、先生們，感謝各位參加今天的會議。今天的節目到此結束。你們可以斷開連結了。祝大家今天過得愉快。