英特爾 (INTC) 2017 Q2 法說會逐字稿

Good day, ladies and gentlemen, and welcome to the Q2 2017 Intel Corporation Earnings Conference Call. (Operator Instructions) As a reminder, this conference call is being recorded.

各位女士、先生，大家好，歡迎參加英特爾公司2017年第二季財報電話會議。（操作員說明）提醒各位，本次電話會議正在錄音。

I would now like to introduce your host for today's conference, Mr. Mark Henninger, Head of Investor Relations. You may begin.

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。你可以開始了。

Thank you, Crystal. And welcome, everyone, to Intel's Second Quarter 2017 Earnings Conference Call. By now, you should've received a copy of our earnings release and the CFO earnings presentation, which replaces the CFO commentary that we've previously provided. If you've not received both documents, they're available on our Investor website, intc.com. The CFO earnings presentation is also available via the webcast window for those joining us online. 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.

謝謝你，克麗絲塔爾。歡迎各位參加英特爾2017年第二季財報電話會議。現在，您應該已經收到我們的獲利報告和財務長獲利演示文稿，取代了我們之前提供的財務長評論。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。在線上參加我們活動的觀眾也可以透過網路直播視窗觀看財務長的業績報告。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. A brief reminder that this quarter we have provided both GAAP and non-GAAP financial measures. Today, we will be speaking to the non-GAAP financial measures when describing our consolidated results. The CFO earnings presentation and earnings release, available on intc.com, include the full GAAP and non-GAAP reconciliations.

在開始之前，請允許我提醒大家，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。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，我們將結合非GAAP財務指標來介紹我們的合併績效。財務長的收益報告和收益發布（可在 intc.com 上取得）包括完整的 GAAP 和非 GAAP 調整表。

With that, let me hand it over to Brian.

那麼，現在讓我把麥克風交給布萊恩。

Thanks, Mark. Q2 was an outstanding quarter in which we set a number of records. We beat the expectations we set in April, primarily as a result of stronger desktop and notebook microprocessor volume, and set a second quarter revenue record. We're executing well to our priorities. And after adjusting for the McAfee transaction, revenue grew 14% year-over-year, while non-GAAP operating margin grew 30%. Our data-centric businesses were up 16% year-over-year.

謝謝你，馬克。第二季業績斐然，我們創造了多項紀錄。我們超越了 4 月設定的預期，這主要得益於桌上型電腦和筆記型電腦微處理器銷量的強勁成長，並創下了第二季度營收紀錄。我們各項優先事項都執行得很好。扣除 McAfee 交易的影響後，營收年增 14%，非 GAAP 營業利潤率成長 30%。我們的數據密集型業務年增了 16%。

Technology and performance leadership are fueling our results. And in Q2, we extended our leadership with new breakthrough products in client computing, the data center and memory. With industry-leading products and a strong first half results, we're on a clear path for another record year.

技術和卓越的績效領導力正在推動我們的業績成長。第二季度，我們在客戶端運算、資料中心和記憶體領域推出了突破性新產品，進一步鞏固了我們的領先地位。憑藉著業界領先的產品和強勁的上半年業績，我們正朝著另一個創紀錄的年份穩步邁進。

As we shared in February and reinforced in April, our strategy is to make Intel the driving force of the data revolution across technologies and industries. I outlined our top 4 priorities for the year in support of that strategy: growing the data center and adjacencies, ensuring a strong and healthy PC business, growing IoT and devices and executing flawlessly in memory and FPGAs.

正如我們在 2 月分享並在 4 月重申的那樣，我們的策略是使英特爾成為推動跨技術和產業數據革命的驅動力。為了支援該策略，我概述了我們今年的 4 個首要任務：發展資料中心及其相關業務，確保個人電腦業務的強勁健康發展，發展物聯網和設備，以及在記憶體和 FPGA 方面完美執行。

I'd like to take a few minutes to highlight our progress in Q2. First, DCG. The data center business grew 9% in Q2 and remained on track to high single-digit growth for the year. Strong public cloud growth continued, with revenue up 35%. Enterprise was down 11%, as workloads continue to migrate to the cloud and memory and solid-state drive constraints impacted server deployment. Comms service provider revenue was up 17%, while adjacencies, which serve all customer segments, rose 12%. Cloud and comms service provider together are the growth engine in the data center and together now make up 60% of our DCG revenue.

我想花幾分鐘時間重點介紹我們在第二季度取得的進展。首先是DCG。資料中心業務第二季成長了 9%，並有望實現全年高個位數成長。公有雲業務持續強勁成長，營收成長 35%。企業業務下降了 11%，原因是工作負載繼續向雲端遷移，而記憶體和固態硬碟的限制影響了伺服器部署。通訊服務供應商的收入成長了 17%，而服務所有客戶群體的鄰近業務的收入成長了 12%。雲端服務和通訊服務供應商共同構成了資料中心的成長引擎，目前兩者合計占我們資料中心業務成長 (DCG) 收入的 60%。

In 5G, we're demonstrating end-to-end leadership in client and infrastructure. We have 5 ongoing trials with leading global service providers and 15 more in the pipeline. And we're on track with our development of IA, FPGA and ASIC silicon platforms based on new radio standards.

在 5G 領域，我們在客戶端和基礎設施方面都展現了端到端的領先地位。我們目前正在與全球領先的服務提供者進行 5 項試驗，另有 15 項試驗正在籌備中。我們正按計劃推進基於新無線電標準的 IA、FPGA 和 ASIC 矽平台的開發。

Earlier this month, we launched Xeon Scalable, formerly known as Skylake, and with it the industry's biggest platform advancement in a decade. Using Xeon Scalable, our customers have already achieved over 50 third-party-verified performance world records and are seeing more than 1.6x performance increase over our prior generation product across a wide range of real-world workloads.

本月初，我們推出了 Xeon Scalable（前身為 Skylake），這是業界十年來最大的平台進步。使用 Xeon Scalable，我們的客戶已經獲得了 50 多項第三方驗證的性能世界紀錄，並且在各種實際工作負載中，其性能比上一代產品提高了 1.6 倍以上。

For example, the new AVX-512 instructions, double floating point performance, benefiting use cases like HPC, VR and AI. In fact, artificial intelligence inference throughput improves by 2.4x gen-to-gen. And when this silicon innovation is combined with our AI software frameworks optimization, customers, like Amazon Web Services, are seeing inference performance for improvement of more than 100x. The enthusiasm for Xeon Scalable resulted in our largest early ship program ever. We delivered more than 500,000 units to over 30 customers who appreciate outright performance leadership. The data center is central to our strategy and is a remarkable opportunity. By 2021, we expect the data center to be a $65 billion silicon opportunity, and we're less than 40% of the total available segment today.

例如，新的 AVX-512 指令，浮點運算效能翻倍，有利於 HPC、VR 和 AI 等應用場景。事實上，人工智慧推理吞吐量逐代提高了 2.4 倍。當這項矽晶片創新與我們的 AI 軟體框架優化相結合時，像亞馬遜網路服務這樣的客戶已經看到推理效能提高了 100 倍以上。市場對 Xeon Scalable 的熱情促成了我們有史以來最大的早期交付計畫。我們向 30 多家客戶交付了超過 50 萬台設備，這些客戶非常欣賞我們卓越的性能領導地位。資料中心是我們策略的核心，也是一個絕佳的機會。到 2021 年，我們預計資料中心將是一個價值 650 億美元的矽晶片市場，而我們目前僅佔該市場總量的不到 40%。

As we build out the adjacencies like Ethernet, silicon photonics and 3D XPoint memory and pool them all together with rack scale design, we'll be positioned to deliver even higher levels of performance and efficiency to our customers and increase our percentage of the total TAM.

隨著我們不斷完善乙太網路、矽光子學和 3D XPoint 記憶體等相關技術，並將它們與機架級設計相結合，我們將能夠為客戶提供更高水準的效能和效率，並提高我們在總 TAM 中所佔的份額。

The Client Computing Group also delivered fantastic result. Revenue was up 12% over last year, as product leadership, combined with a disciplined segmentation strategy, led to rising core mix. We, along with our customers and partners in the PC supply chain, are driving the evolution of the PC experience, as users seek out high performance and new form factors.

客戶端計算組也取得了非常出色的成果。營收較去年增長 12%，這得益於產品領先地位以及嚴格的細分策略，從而帶動了核心產品組合的成長。我們與 PC 供應鏈中的客戶和合作夥伴一起，正在推動 PC 體驗的變革，因為使用者正在尋求高效能和新的外形尺寸。

We launched a powerful, new Intel Core X-Series processor family, including a new Core i9 Extreme Edition Processor, extending our performance leadership. And we'll be shipping our first 10-nanometer product near the end of the year, beginning with a lower volume SKU and followed by multiple SKUs and a volume ramp in the first half of 2018. We've seen some modest improvements in the PC consumption, but we continue to expect a mid-single-digit TAM decline for the full year.

我們推出了功能強大的全新英特爾酷睿 X 系列處理器，其中包括全新的酷睿 i9 至尊版處理器，進一步鞏固了我們在性能方面的領先地位。我們將在今年年底前推出首款 10 奈米產品，首先推出小批量 SKU，然後在 2018 年上半年推出多個 SKU 並逐步提高產量。我們看到個人電腦消費出現了一些小幅改善，但我們仍然預期全年市場規模將出現中等個位數的下降。

We also began shipping our next-generation 4G LTE modem, known as the 7480, to customers. As I mentioned earlier, we're continuing to make great progress with our wireless ecosystem laying the groundwork for 5G. And starting in 2018, Intel will partner on what is expected to be the first 5G showcase at the Olympic Games.

我們也開始向客戶運送我們的下一代 4G LTE 數據機，即 7480。正如我之前提到的，我們的無線生態系統正在不斷取得巨大進展，為 5G 奠定了基礎。從 2018 年開始，英特爾將參與奧運會上預計將首次展示 5G 技術的項目。

In our Internet of Things business, we're focused on 4 key verticals: retail, video, industrial and transportation. We saw strong growth across all 4, leading to a 26% increase in revenue. We're specifically excited to see the ramp of our IVI designs with both Jaguar Land Rover and Toyota. We're also about to mark a very important milestone in our transformation.

在我們的物聯網業務中，我們專注於 4 個關鍵垂直領域：零售、視訊、工業和運輸。我們看到所有 4 項業務都實現了強勁成長，營收成長了 26%。我們尤其興奮地看到我們的 IVI 設計在捷豹路虎和豐田的推廣應用。我們即將迎來轉型過程中一個非常重要的里程碑。

We expect to close the acquisition of Mobileye in the third quarter, several months earlier than expected. Autonomous driving is a massive compute workload that will disrupt industries and save lives, and we are investing to win in this important segment. I'm excited to welcome the Mobileye team to Intel. Together, we expect to be the global leader in the $70 billion autonomous driving system, data and services market opportunity by accelerating auto industry innovation and delivering cloud to car solutions faster and at a lower cost. And we're looking forward to talking with you in more detail about our plan and the progress we're making in the segment later this quarter.

我們預計將在第三季完成對 Mobileye 的收購，比預期提前幾個月。自動駕駛是一項巨大的運算任務，它將顛覆各行各業並拯救生命，我們正在加大投資以贏得這一重要領域。我很高興歡迎 Mobileye 團隊加入英特爾。我們共同的目標是成為價值 700 億美元的自動駕駛系統、數據和服務市場的全球領導者，透過加速汽車產業的創新，並以更快的速度和更低的成本提供從雲端到汽車的解決方案。我們期待在本季稍後與您更詳細地討論我們的計劃以及我們在該領域取得的進展。

Memory and FPGAs round out our priorities for the year. Our memory business grew 58% over last year, setting an all-time revenue record. A cornerstone for our strategy in this segment is differentiated technology. And that differentiation was on display earlier this month when we announced availability of the industry's first and to date only 64-layer 3D NAND SSDs. Our floating gate architecture already enabled industry-leading density at 32 layers. And we believe our density lead is even greater at 64.

記憶體和FPGA是我們今年的重點工作內容。我們的記憶體業務比去年成長了 58%，創下了歷史營收紀錄。我們在該領域策略的基石是差異化技術。本月初，我們宣布推出業界首款也是迄今為止唯一一款 64 層 3D NAND SSD，充分展現了這種差異化優勢。我們的浮柵架構已經實現了業界領先的 32 層密度。我們相信，我們的密度優勢甚至更大，達到了 64。

We also shipped more than 200,000 units of our revolutionary Optane memory for clients, which are available via our OEM partners and channel partners, and have more than 50 data center customers testing Optane SSDs currently, which will ship for revenue this year. Optane DIMMs remaining on track for availability next year.

我們還向客戶交付了超過 20 萬件革命性的 Optane 內存，這些內存可透過我們的 OEM 合作夥伴和通路合作夥伴獲得。目前，有 50 多家資料中心客戶正在測試 Optane SSD，這些 SSD 將於今年開始交付並產生收益。Optane DIMM 預計在明年上市。

Our memory factory, Fab 68, continues to exceed expectations, ramping ahead of schedule in terms of both output and yield. This will be a big part of our overall supply growth in the second half, which we expect to be greater than 20%. The combination of strong execution and favorable market condition is accelerating our path to profitability. Core NAND returned to profitability this quarter, ahead of our earlier estimate, and we expected it to remain profitable for the balance of the year. We also now expect the entire NSG segment to be profitable for the full year of 2018 versus our prior end of 2018 target.

我們的記憶體工廠 Fab 68 繼續超出預期，在產量和良率方面都提前完成了產能提升。這將是我們下半年整體供應成長的重要組成部分，我們預計增幅將超過 20%。強而有力的執行和有利的市場環境相結合，正在加速我們實現盈利的進程。核心 NAND 閃存在本季恢復盈利，超出我們先前的預期，我們預計它將在今年剩餘時間內保持盈利。我們現在預計整個 NSG 業務部門將在 2018 年全年實現盈利，而我們先前的目標是在 2018 年底實現盈利。

Lastly, our FPGA business was down 5% over last year on weaker data center and comp sectors but remain on track to our mid-single-digit growth target for the full year with broad re-acceleration in the second half across markets, including the data center segment. At their Build Conference in May, Microsoft disclosed a major advancement in the deployment of Intel FPGAs, resulting in the industry's fastest public cloud network and new technology for acceleration of deep neural networks. Audi selected Intel for the level 3 autonomous driving systems in its upcoming A8, where our Cyclone V SoC FPGA technology will perform object and map fusion as well as parking pilot and sensor data preprocessing. We're also seeing strong adoption of our 14-nanometer Stratix 10 FPGAs. We continue to gain key design wins in our focus segments, and we're on track to production later this year.

最後，由於資料中心和通訊產業的疲軟，我們的 FPGA 業務比去年下降了 5%，但仍有望實現全年個位數中段的成長目標，預計下半年各市場（包括資料中心領域）將全面加速成長。在 5 月的 Build 大會上，微軟公佈了英特爾 FPGA 部署方面的一項重大進展，從而打造了業界速度最快的公共​​雲網路以及用於加速深度神經網路的新技術。奧迪在即將推出的 A8 車型中選擇了英特爾的 L3 級自動駕駛系統，其中我們的 Cyclone V SoC FPGA 技術將執行物體和地圖融合、泊車輔助以及感測器數據預處理。我們也看到，我們的 14 奈米 Stratix 10 FPGA 得到了廣泛應用。我們在重點領域持續贏得關鍵設計訂單，並預計在今年稍後投入生產。

To sum it up, I'm very pleased with our progress, and I'm more confident than ever in Intel's future and growth. Based on our strong first half and higher expectations for the PC business and the expected close of Mobileye, we're raising our full year revenue forecast from $60 billion to $61.3 billion and our non-GAAP EPS forecast from $2.85 to $3.

總而言之，我對我們的進展非常滿意，我對英特爾的未來和發展也比以往任何時候都更有信心。基於我們強勁的上半年業績、對 PC 業務更高的預期以及 Mobileye 的預期完成，我們將全年營收預期從 600 億美元上調至 613 億美元，並將非 GAAP 每股收益預期從 2.85 美元上調至 3 美元。

We continue to see intense competition across our businesses. That's the reality of the attractive markets in which we participate. The competition makes us stronger, and we're ready for it. We're executing well to our strategy to transform from a PC-centric company to a data-centric company that powers the cloud and billions of smart and connected devices. The PC TAM is down more than 15% versus 4 years ago. Despite that headwind, our revenue is up more than 15%, and our operating profit has grown more than 30%. More than 40% of our revenue now comes from our data-centric businesses, outside the PC sector. And those businesses together are growing at double-digit rates. And while we're growing the top line, we're intensely focused on operating efficiency.

我們各業務部門之間的競爭依然十分激烈。這就是我們所參與的這些極具吸引力的市場的真實面貌。競爭使我們更強大，我們已經準備好了。我們正在順利執行我們的策略，從以個人電腦為中心的公司轉型為以數據為中心的公司，為雲端運算和數十億智慧互聯設備提供支援。PC市場規模與4年前相比下降了15%以上。儘管面臨這些不利因素，我們的營收仍成長了 15% 以上，營業利潤成長了 30% 以上。現在，我們超過 40% 的收入來自 PC 行業以外的數據密集型業務。這些企業整體正以兩位數的速度成長。在實現營收成長的同時，我們也高度重視營運效率。

We now expect spending as a percent of revenue to decline about 160 basis points versus last year, bringing it below 34%, on track to the 30% goal we're committed to, to hit by 2020. And with that, I'd like to hand it over to Bob.

我們現在預計支出佔收入的百分比將比去年下降約 160 個基點，降至 34% 以下，朝著我們承諾在 2020 年實現的 30% 的目標穩步前進。接下來，我想把麥克風交給鮑伯。

Thanks, Brian, and good afternoon. Like Brian said, we had an outstanding quarter and executed on several important milestones. Revenue was $14.8 billion, up 14% year-over-year, excluding the Intel Security Group. From an earnings perspective, operating income was $4.2 billion, up 30% year-over-year, and EPS of $0.72 was up 22% year-over-year. Our EPS performance was the result of strong top line growth, good gross margin improvement and excellent spending leverage. From a capital allocation perspective, we generated $4.7 billion in cash flow from operations, returned $2.6 billion to shareholders and have capital in place to fund the Mobileye acquisition. The planned acquisition of Mobileye, which will fuel our growth in the automotive segment, is expected to close in Q3, well ahead of our schedule.

謝謝你，布萊恩，下午好。正如布萊恩所說，我們本季表現出色，並完成了幾個重要的里程碑。不包括英特爾安全集團在內，營收為 148 億美元，年增 14%。從獲利角度來看，營業收入為 42 億美元，年增 30%；每股收益為 0.72 美元，較去年同期成長 22%。我們的每股盈餘表現得益於強勁的營收成長、良好的毛利率提升和出色的支出槓桿作用。從資本配置的角度來看，我們從經營活動中產生了 47 億美元的現金流，向股東返還了 26 億美元，並且有足夠的資金來收購 Mobileye。計劃收購 Mobileye 將推動我們在汽車領域的成長，預計將在第三季完成，比我們原計劃提前很多。

At our Analyst Day in February, we talked about our strategy to transform from a PC-centric company to a data-centric company, a company well positioned to power the cloud and the billions of smart and connected devices. Our Q2 results demonstrated continued momentum in our transformation, with the data-centric businesses, those outside of the PC segment, up 16% year-over-year. Our PC-centric business executed extremely well in a declining market and was up 12%. Our data-centric businesses are more than 40% of the company's overall revenue.

在二月份的分析師日上，我們討論了我們的策略，即從一家以個人電腦為中心的公司轉型為一家以數據為中心的公司，一家能夠為雲端運算和數十億智慧互聯設備提供強大動力的公司。我們第二季的業績表明，我們的轉型勢頭持續強勁，以數據為中心的業務（PC 領域以外的業務）同比增長 16%。在市場下滑的情況下，我們以個人電腦為中心的業務表現出色，成長了 12%。我們以資料為中心的業務占公司總收入的 40% 以上。

Moving to earnings. We are seeing broad growth across the business, driving 4 points of operating margin leverage and 22% EPS growth year-over-year. Earnings growth is driven by strong top line growth for both the PC and data-centric businesses, improving unit cost with 14-nanometer ramp and gains from the sale of a portion of our equity investments in ASML.

接下來是獲利部分。我們看到業務全面成長，推動營業利潤率提升 4 個百分點，每股收益較去年同期成長 22%。獲利成長主要得益於個人電腦和資料中心業務的強勁營收成長、14 奈米製程產能提升帶來的單位成本降低以及出售部分 ASML 股權投資所得收益。

On our Q1 earnings call, Brian and I talked about our commitment to achieving spending target of approximately 30% of revenue no later than 2020. We've made great progress in the second quarter, as total spending was down 330 basis points year-over-year. We've continued investments in our key priorities, including artificial intelligence, autonomous driving and Moore's Law, while at the same time capturing benefits of our previously announced restructuring program and significant leverage from strong top line growth. R&D spending was down 1 point, and our SG&A costs were down 2.2 points. On a full year basis, we expect direct spending to be below 34%, approximately a 0.5 point better than our prior guidance.

在第一季財報電話會議上，布萊恩和我談到了我們致力於在 2020 年之前實現支出目標，即支出佔收入的 30% 左右。第二季我們取得了巨大進展，總支出較去年同期下降了 330 個基點。我們持續投資於關鍵優先事項，包括人工智慧、自動駕駛和摩爾定律，同時充分利用了先前宣布的重組計劃帶來的好處以及強勁的營收成長帶來的巨大槓桿效應。研發支出下降了 1 個百分點，銷售、管理及行政費用下降了 2.2 個百分點。全年來看，我們預計直接支出將低於 34%，比我們之前的預期高出約 0.5 個百分點。

Let me touch briefly on our segment performance on Slide 5. The Client Computing Group had another outstanding quarter. Revenue of $8.2 billion was up 12% year-over-year. Client ASPs were up 8% year-over-year, as we continue to see strength in our gaming segment and strong core mix. We also continue to see the worldwide supply chain operate at healthy levels. This segment had another quarter of significant profit growth, with operating profit growing 58% from a year ago. And the business continues to execute and benefit from a continued improvement in 14-nanometer unit cost, richer product mix and lower spending.

讓我簡要介紹一下我們在投影片 5 的業務部門表現。客戶端運算集團又迎來了一個非常出色的季度。營收達 82 億美元，年增 12%。客戶平均售價年增 8%，這主要得益於我們遊戲業務的持續強勁成長和核心產品組合的穩健表現。我們也看到全球供應鏈持續保持健康運作。該業務板塊連續第二個季度實現了顯著的利潤增長，營業利潤比去年同期增長了 58%。業務持續發展，並受益於 14 奈米單位成本的持續降低、更豐富的產品組合和更低的支出。

Moving to Slide 6. The Data Center Group had revenue of $4.4 billion, up 9% year-over-year. The Data Center Group had operating profit of $1.7 billion, down 6% year-over-year. As Brian mentioned earlier, we had strong growth in both the comms and cloud service provider segments, which are nearly 60% of our DCG revenue. Operating margin percent was impacted by increased technology development cost and higher artificial intelligence and adjacency spending. Versus the first quarter, our revenue accelerated 3%, and our operating margin improved by 3 points. We are on track to our full year guide of revenue growth in the high single digits and operating margin of over 40% for the full year.

切換到第 6 張投影片。資料中心集團的營收為 44 億美元，年增 9%。資料中心集團的營業利潤為 17 億美元，較去年同期下降 6%。正如布萊恩之前提到的，我們在通訊和雲端服務供應商領域都實現了強勁成長，這兩個領域占我們資料中心集團收入的近 60%。營業利潤率受到技術開發成本增加以及人工智慧和相關領域支出增加的影響。與第一季相比，我們的營收成長了 3%，營業利潤率提高了 3 個百分點。我們預計將實現全年營收成長接近兩位數以及全年營業利潤率超過 40% 的目標。

The IoT, NSG and PSG business segments are well positioned to capitalize on the explosion of data and are becoming a larger component of our overall business, growing 28% year-over-year. Our Internet of Things business achieved revenue of $720 million, growing 26% year-over-year, driven by strength in industrial and video and continued momentum in our automotive business. Operating profit was $139 million, up 56% year-over-year on higher volume and ASPs, offset by continued investment in automotive.

物聯網、網路安全和產品安全業務部門已做好充分準備，利用資料爆炸式增長的機遇，並逐漸成為我們整體業務中越來越重要的組成部分，同比增長 28%。我們的物聯網業務實現了 7.2 億美元的收入，年增 26%，這主要得益於工業和視訊業務的強勁表現以及汽車業務的持續成長勢頭。營業利潤為 1.39 億美元，年增 56%，主要得益於銷量和平均售價的提高，但卻被汽車業的持續投資所抵銷。

Our memory business had a record revenue of $874 million, up 58% year-over-year, with strong demand from data center SSD solutions and demand signals outpacing supply. This segment had an operating loss of $110 million, largely driven by cost associated with 3D XPoint and start-up cost for our memory capacity. Our memory fab in Dalian continues to make great progress and is ramping several weeks ahead of schedule. Yields continue to improve, and unit costs are well ahead of expectations.

我們的記憶體業務收入創下歷史新高，達到 8.74 億美元，年增 58%，這主要得益於資料中心 SSD 解決方案的強勁需求，以及需求超過供應的跡象。該業務部門的營業虧損為 1.1 億美元，主要原因是與 3D XPoint 相關的成本以及記憶體容量的啟動成本。我們在大連的記憶體工廠持續取得巨大進展，產能提升比原計畫提前數週。收益率持續提高，單位成本遠超預期。

The core NAND business returned to profitability in the second quarter. And we expect the core NAND business to be profitable for the full year and the memory business as a whole to be profitable in 2018, both ahead of our prior estimates.

核心NAND業務在第二季恢復獲利。我們預計核心 NAND 業務將全年實現盈利，整個記憶體業務在 2018 年也將實現盈利，這兩項業績均超出我們先前的預期。

The Programmable Solutions Group had revenue of $440 million, down 5% year-over-year. Operating profit was $97 million, flat year-over-year after acquisition-related impacts. We're making good progress in realizing cost synergies with the integration of this business.

可程式解決方案集團的營收為 4.4 億美元，年減 5%。營業利潤為 9,700 萬美元，與去年同期持平，未計入收購相關影響。透過整合這項業務，我們在實現成本協同效應方面取得了良好進展。

Moving to Slide 8. Let me remind you of our capital allocation priorities and progress. Our priorities: first, invest in the business; second, strategic acquisitions; and third, return cash to our shareholders through dividends and buybacks. As I mentioned earlier, in the quarter we generated $4.7 billion of cash from operations. We purchased $2.8 billion in capital assets, paid $1.3 billion in dividends and repurchased about $1.3 billion of stocks. In addition, we received cash of approximately $900 million as a portion of our Intel Security divestiture. And we generated approximately $1.3 billion from the sales of some of our interest in ASML, which generated $796 million of pretax gains. At quarter end, cash and long-term investments was $34 billion, up $11 billion, and total debt was $32 billion. Offshore cash investments and proceeds from the sale of our ASML investments are being used to fund the Mobileye acquisition.

現在來看第8張投影片。讓我提醒大家一下我們的資金配置重點和進度。我們的優先事項：第一，投資於業務；第二，策略性收購；第三，透過股利和股票回購向股東返還現金。正如我之前提到的，本季我們從營運中產生了 47 億美元的現金。我們買了價值 28 億美元的資本資產，支付了 13 億美元的股息，並回購了價值約 13 億美元的股票。此外，作為英特爾安全業務剝離的一部分，我們還收到了約 9 億美元的現金。我們透過出售我們在 ASML 的部分股份獲得了約 13 億美元的收入，其中稅前收益為 7.96 億美元。截至季末，現金及長期投資為 340 億美元，增加 110 億美元；總負債為 320 億美元。我們正在利用海外現金投資和出售 ASML 投資所得的資金來收購 Mobileye。

Now let me turn to guidance on Slide 9. Some context. First, while we see slightly higher PC TAM and supply chain inventory replenishment contributing to higher expectations for annual revenue, we continue to take a more cautious view of PC consumption versus third-party analysts. Second, we continue to see strong demand signals in our memory business through the year, and we expect the memory fab in Dalian to support higher second half demand levels. And third, as I mentioned earlier, we expect to close the acquisition of Mobileye in the third quarter and as such are including expectations for this business into our guidance. Based on these factors, we are raising our full year revenue guidance by $1.3 billion to $61.3 billion, operating income guidance by $600 million to $17.9 billion and EPS guidance by $0.15 to $3 per share. The improvement in revenue outlook is driven by a strong first half, higher expectations of the PC business and the inclusion of Mobileye. The improvement in operating margin is primarily driven by our increased revenue outlook.

現在讓我來看看第 9 張投影片的指導說明。一些背景資訊。首先，雖然我們看到 PC TAM 略有上升以及供應鏈庫存補充使得人們對年度收入的預期有所提高，但我們仍然對 PC 消費持比第三方分析師更為謹慎的看法。其次，我們全年持續看到記憶體業務的強勁需求訊號，我們預計大連記憶體工廠將支援下半年更高的需求水準。第三，正如我之前提到的，我們預計將在第三季完成對 Mobileye 的收購，因此我們將對這項業務的預期納入了我們的業績指引。基於這些因素，我們將全年營收預期上調 13 億美元至 613 億美元，營業收入預期上調 6 億美元至 179 億美元，每股收益預期上調 0.15 美元至 3 美元。營收前景的改善得益於上半年的強勁表現、對個人電腦業務更高的預期以及Mobileye的併入。營業利益率的提升主要得益於我們對營收預期的提高。

Our outlook for full year spending is $20.7 billion, as we expect modest increases related to revenue growth and the integration of Mobileye. The increase in EPS is driven by higher expectations of revenue, coupled with gains on sale of our equity investments and the inclusion of Mobileye. We expect Mobileye to contribute approximately $200 million of revenue, $100 million of operating income and $0.02 of EPS in the second half of the year.

我們對全年支出的預期為 207 億美元，因為我們預期營收成長和 Mobileye 的整合將帶來小幅成長。每股收益成長主要得益於更高的收入預期、出售股權投資的收益以及Mobileye的併入。我們預計 Mobileye 將在下半年貢獻約 2 億美元的收入、1 億美元的營業收入和 0.02 美元的每股盈餘。

And on Slide 11. As we look to the third quarter of 2017, we are forecasting the midpoint of the revenue range at $15.7 billion, up 3% year-over-year, excluding Intel Security Group. And we expect operating income of $4.8 billion and EPS to be approximately $0.80.

還有第 11 張投影片。展望 2017 年第三季度，我們預測營收範圍的中位數為 157 億美元，年增 3%（不包括英特爾安全集團）。我們預計營業收入為 48 億美元，每股收益約為 0.80 美元。

2017 is shaping up to be another record year for Intel. We feel great about where we are 6 months into our 3-year transformation. We exceeded our EPS expectations for Q2 and increased our profit expectations for the full year. At the same time, we are investing to compete and win in an expanding market fueled by the growth of data. We are already seeing an impact from our data-centric-oriented businesses, up double digits collectively, as we continue to transform the company from a PC-centric company to a company of smart and connected devices that power the cloud.

2017年有望成為英特爾又一個創紀錄的年份。在為期三年的轉型計畫進行到第六個月時，我們對目前的進展感到非常滿意。我們第二季每股收益超出預期，並提高了全年獲利預期。同時，我們正在投資，以期在數據成長推動下不斷擴大的市場中競爭並取得成功。我們已經看到以數據為中心、以數據為導向的業務產生了影響，整體實現了兩位數的成長，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。

With that, let me turn it over to Mark.

那麼，接下來就交給馬克吧。

All right. 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 a follow-up if you have one. Crystal, 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。按照我們通常的做法，我們會要求每位參與者提一個問題，如果有後續問題，也可以提。Crystal，請介紹一下我們的第一位提問者。

Our first question comes from Blayne Curtis from Barclays.

我們的第一個問題來自巴克萊銀行的布萊恩‧柯蒂斯。

I was curious on the -- on the data center business, maybe you can just talk about the growth you need sequentially in the back half to get to that high single digits for the year. Maybe you can just talk about it by segment. I know cloud was up a lot in Q2, the enterprise down. Clarify by segment as well as the contribution from scalable into those segments. What's the right timing to think about as those ramp in?

我很好奇——關於數據中心業務，也許您可以談論下半年需要怎樣的環比增長才能實現全年接近兩位數的增長。或許你可以分段討論。我知道第二季雲端服務業務成長了很多，而企業服務業務則有所下滑。按細分市場進行闡明，並說明可擴展性對這些細分市場的貢獻。隨著這些措施逐步實施，應該在什麼時機考慮才適合？

Sure. Thanks, Blayne, for the question. So I'll start, and Bob can add some comments at the end. We think the data center continues to be just a great growth engine for the company. And you saw the 9% growth this quarter. What we have really been also focusing on at the same time is really increasing operating margin, and I want to make that point. You saw our operating margin increased to 38% this quarter. You'll see us continue to raise that operating margin so that we're back at the 40-plus-percent operating margin for the back half and for the year. First, kind of want to kind of lay that groundwork. What we've projected for the second half is quarters that are pretty much in line. We continue to expect enterprise to continue to decline. It declined a bit more in the second quarter than -- I think we had really projected a decline at about 11%. But if you look at Q1, it declined a little less than we expected at 3%, but we still expect it to decline in those high single-digit numbers. Cloud though grew greater than what we expected at 36%. We expect it to be in the mid-20s, probably more likely. And then data center -- I mean networking and comms, 17%. Adjacencies at 12%. So we expect that trend to continue. We don't need any big shift in those trends to really get to that high single-digit growth rate for the data center. We talked about Xeon Scalable. The initial reaction has been extremely positive. You see the largest number of prequalification samples sent out to customers. You see the cloud applications. We try to talk about it. It's the largest performance improvement in a decade gen-to-gen. So we're seeing a very large ramp in the second half as we move on with the Xeon Scalable. And so I think that's what's going to fuel second half '17. And then -- but it's going to continue on into '18 as well. So I think that's kind of how we see the second half playing out.

當然。謝謝布萊恩的提問。那我先開始，鮑伯可以在最後補充一些意見。我們認為資料中心仍然是公司強大的成長引擎。你也看到了本季9%的成長。同時，我們也一直在努力提高營業利潤率，我想強調這一點。您已經看到，本季我們的營業利潤率提高到了 38%。你會看到我們繼續提高營業利潤率，以便我們在下半年和全年恢復到 40% 以上的營業利潤率。首先，我想先打好基礎。我們對下半年的預測是，各季度的數據基本上一致。我們仍然預期企業將繼續下滑。第二季的降幅比預期略大——我認為我們原本預計的降幅約為 11%。但如果你看一下第一季度，它的降幅比我們預期的略小，為 3%，但我們仍然預期它會以接近兩位數的降幅下降。雲端運算的成長幅度超過了我們的預期，達到了 36%。我們預計會在20多度，可能更有可能。然後是資料中心——我是指網路和通信，佔 17%。鄰接率為 12%。因此，我們預計這種趨勢將會持續下去。我們不需要這些趨勢有任何重大轉變，就能真正實現資料中心的高個位數成長率。我們討論了 Xeon Scalable。初步反應非常正面。您會看到發送給客戶數量最多的預審樣品。你看，雲端應用就是最好的例子。我們試著談論這件事。這是十年來代際間最大的性能提升。因此，隨著 Xeon Scalable 的推進，我們看到下半年出現了非常大的成長。所以我認為這將推動 2017 年下半年的發展。而且──這種情況還會持續到 2018 年。所以我覺得下半場的走向大概就是這樣。

The only thing I would add, Brian, is we came into the year looking at high single-digit growth for the business and margins expanding quarter-by-quarter throughout the year. And kind of 2 months in, we see nice acceleration on both top and bottom line. And as we go into the second half of the year, we're comfortable with the full year outlook that we've given. And the only dynamic other than the things Brian highlighted as Q3 comps are a little tougher as we enter the second half of the year, but we feel good about kind of the mix of the business as we go through '17 and beyond. Just to reiterate a point Brian said, with the strong cloud growth and the strong performance in the comms and networking space, we now generate 60% of our revenues from the higher-growth aspects of the business. So we think that, that bears well for us in 2017 but also going into '18 and beyond.

布萊恩，我唯一要補充的是，我們年初時預計業務將實現高個位數成長，並且全年利潤率將逐季擴大。兩個月過去了，我們看到營收和利潤都出現了良好的成長。進入下半年，我們對先前給予的全年展望感到滿意。除了布萊恩強調的第三季比較因素之外，唯一的動態因素是，隨著我們進入下半年，比較因素會變得更加嚴峻，但我們對2017年及以後的業務組合感到樂觀。再次重申布萊恩所說的一點，隨著雲端運算的強勁成長以及通訊和網路領域的強勁表現，我們現在 60% 的收入都來自業務中成長最快的部分。所以我們認為，這不僅對我們2017年有利，對2018年及以後也很有好處。

And then I did want to ask you on the memory side. You're looking for a breakeven next year. What is driving that? Obviously, memory pricing has been strong, but I was just wondering if there's any other factors you're now adding to that outlook.

然後，我還想問你一些關於記憶體方面的問題。你希望明年能實現損益平衡。是什麼原因導致這種情況？顯然，內存價格一直很強勁，但我只是想知道，您現在是否還考慮了其他因素來影響這一前景。

Sure. So let's make sure we clarify, right? So on traditional NAND, we are breakeven this year, and we broke even actually this quarter. And we expect to remain there the rest of the year. When we talk about for next year, that's inclusive of 3D XPoint. And so the difference is really as we ramp products on 3D XPoint and as we ramp out the rest of Fab 68, both of those -- whenever you're ramping a factory, you always -- because you have a certain amount of underutilization of the equipment just as you start to get it going, you tend to have slightly higher cost. And so that's what you see as the driver for the rest of the profitability growth as we go into next year. And what I'll also say that the 64-tier NAND product gives us cost and performance advantage just because they're leading-edge products as well. Now it's going to play into as we move to the remainder of this year and next year. So it's 64-tier products on traditional NAND, the ramp out of Fab 68 and then the real start-up and continuation and getting the rest of the products qualified on 3D XPoint is what gets us everything profitable next year.

當然。所以，我們得把事情弄清楚，好嗎？因此，在傳統 NAND 方面，我們今年實現了盈虧平衡，實際上本季也實現了盈虧平衡。我們預計將在今年餘下的時間裡繼續留在那裡。當我們談到明年時，這其中就包括了 3D XPoint。因此，真正的區別在於，當我們在 3D XPoint 上提高產品產量，以及在 Fab 68 的其他部分提高產量時，這兩種情況——無論何時提高工廠產量，你總是——因為在剛開始運轉時，設備會有一定的利用率不足，所以成本往往會略高一些。因此，這就是我們展望明年獲利成長的驅動力。我還要補充一點，64層NAND產品之所以能帶給我們成本和性能優勢，是因為它們也是領先的產品。接下來，它將對今年剩餘時間和明年產生影響。所以，我們明年要實現盈利，這包括生產基於傳統 NAND 的 64 層產品，Fab 68 的產能爬坡，然後是真正的啟動和持續生產，以及讓其餘產品通過 3D XPoint 認證。

Our next question comes from Ross Seymore from Deutsche Bank.

下一個問題來自德意志銀行的羅斯·西摩。

Brian, I wanted to follow up the data center side that Blayne just asked about and get a little more color about the acceleration on the cloud side and the deceleration on the enterprise side. Could you give any more color on why you think those were at the extremes and why do you think they normalize going forward, that would be helpful.

Brian，我想就 Blayne 剛才問到的資料中心方面的問題再補充一些細節，了解一下雲端方面的加速發展和企業方面的減速發展。您能否進一步解釋為什麼您認為這些情況會走向極端，以及為什麼您認為它們未來會趨於正常化？這將很有幫助。

I don't want to say that they're going to "normalize" and that they're going to -- there's not going to be a major shift. The trend of -- look, enterprise is going to continue to decline. We estimate, and again, this is just based on what we get from our customers, talking to the industry, it's going to be in a high single-digit decline. I think you'll see quarters like Q2 that was 11%. You'll see quarters like Q1 that were 3% or 4%. We've seen quarters higher than the 11% over the last couple of years. So it's going to be lumpy as we see this shift, but the overall macro shift of enterprise to cloud or traditional on-prem systems to cloud is going to continue. I think we'll also see -- we still, again, talking to our partners, thinking that mid-20s for cloud growth. But I think we'll see quarters like this quarter that was a little bit high. Other quarters we've had in the past have been more in line. So I don't think we're talking about something going normalizing. I'd say it's still going to stay relatively lumpy like this. But if you look at it over the long haul, even if you look at the first half of the year, 11% down this quarter, 3% down last quarter, you take a look at that as on average and you get to that high single-digit number. So I still feel like that's going to be roughly about where it goes down. And then the cloud will continue to grow at that rate plus additional as more of the growth goes into the cloud.

我不想說他們會“正常化”，也不想說他們——不會發生重大轉變。趨勢是－你看，企業將會繼續衰退。我們估計（這只是基於我們從客戶那裡得到的資訊以及與業內人士的交流），它將出現高個位數的下降。我認為你會看到像第二季度那樣成長11%的季度。你會看到像第一季一樣，成長率為 3% 或 4% 的季度。在過去幾年裡，我們已經看到高於 11% 的季度成長率。因此，這種轉變過程可能會出現波動，但企業向雲端或傳統本地系統轉向雲端的整體宏觀轉變將會持續下去。我認為我們也會看到——我們仍在與合作夥伴溝通，認為雲端運算成長將在20年代中期實現。但我認為我們會看到像本季這樣略微偏高的季度。我們過去其他幾季的情況都比較符合預期。所以我認為我們討論的並不是某種事物走向正常化的過程。我覺得它還會繼續保持這種相對凹凸不平的狀態。但從長遠來看，即使只看今年上半年，本季下降 11%，上季下降 3%，平均下來也能達到個位數。所以我還是覺得最終結果大概會是這樣。然後，隨著更多成長轉移到雲端，雲端運算將繼續以這種速度成長，並且還會進一步成長。

The only thing I'd add Brian is the supply-demand and balance of SSDs in the quarter, we believe, had an impact on the enterprise sector. And as that supply-demand and balance kind of normals out, we think that will help. But all that being said, the trends Brian highlighted is still kind of how we see the workloads playing out over time.

Brian，我唯一要補充的是，我們認為本季 SSD 的供需平衡對企業級市場產生了影響。隨著供需關係逐漸恢復正常，我們認為這將有所幫助。但即便如此，布萊恩強調的趨勢仍然是我們看到的工作量隨時間推移而發生的變化。

That's very helpful. I guess for my follow-up, if I could shift gears over to the margin side of things and specifically the fall-through. It was great to see that you guys beat your OpEx guidance for the second quarter. As we think about the full year with revenues going up, why isn't gross margin changing at all? And then the OpEx increase ex Mobileye, is that just the variable comp that comes in with bonuses, et cetera? Or is there something else in that roughly $150 million increase to your spending line?

那很有幫助。我想接下來，如果我能把話題轉移到利潤率方面，特別是違約損失率方面。很高興看到你們第二季的營運支出超過了預期目標。展望全年，營收持續成長，為什麼毛利率卻絲毫沒有變動？那麼，Mobileye 的營運支出增加，是否只是包括獎金等在內的可變薪酬？或者說，這大約 1.5 億美元的支出增加另有隱情？

Yes, just on the second one first. The short answer is yes. The combination of the incremental growth and the addition of Mobileye are the primary drivers for the slightly higher spend. I would -- your initial comment on flow-through, to put it into context, from where we were in January, our full year outlook, the revenue is up roughly $1.8 billion. And with that $1.8 billion, there'll be roughly $200 million of costs, primarily Mobileye. So in context, we feel like we're managing the cost and spending side of the business effectively as we position to a 30% spending of revenue by 2020 at the latest. In terms of the gross margin dynamics, I think the trends that you've seen over the last couple of quarters we expect to continue through the year. And it's really ASP improvements, good unit cost performance, volume leverage to the fab kind of working in our favor. And on the flip side, the strong growth of the memory and the modem business and the ramp cost for 10-nanometer are partial offsets. Those dynamics are what has driven the strong gross margins in the 63% range in the first half. And we expect those same dynamics to play out in the second half as well.

是的，先看第二個。簡而言之，答案是肯定的。增量成長和 Mobileye 的加入是支出略有增加的主要驅動因素。我想——關於您最初對流通情況的評論，為了更好地理解，從我們一月份的情況來看，我們的全年展望是，收入增長了約 18 億美元。在這 18 億美元中，大約會有 2 億美元的成本，主要來自 Mobileye。因此，從整體來看，我們感覺我們正在有效地管理業務的成本和支出方面，我們的目標是最遲在 2020 年將支出佔收入的 30%。就毛利率動態而言，我認為過去幾季出現的趨勢預計將在今年繼續保持。真正對我們有利的是平均售價的提高、良好的單位成本表現以及工廠的產量優勢。另一方面，記憶體和調變解調器業務的強勁成長以及 10 奈米製程的爬坡成本在一定程度上抵消了這些影響。正是這些因素推動了上半年毛利率在 63% 左右的強勁成長。我們預計下半季也會出現同樣的局面。

Our next question comes from Vivek Arya from Bank of America.

下一個問題來自美國銀行的維韋克·阿亞。

Brian, for my first one. My question is on the competitive landscape and the data center. There's been a lot of discussion about AMD perhaps posing more competition than it has in the last several years. And I appreciate it's early days and you have a very strong product out. But are you hearing about them more in your customer conversations? Is that a more real threat than it has been in the past? Because they did have an event, they did show up with 10-plus potential customers. And some of the benchmark data, they are showing some performance that is perhaps better at a lower price. So how real is that competition and how are you reacting to it?

布萊恩，這是我的第一個。我的問題是關於競爭格局和資料中心的。關於AMD是否會比過去幾年構成更大的競爭，已經有許多討論。我知道現在還處於早期階段，但你們已經推出了一款非常優秀的產品。但你在與客戶的交流中是否更多地聽到了這些說法？這是否比以往構成更大的威脅？因為他們確實舉辦了一場活動，所以他們帶著 10 多位潛在客戶出席了活動。一些基準數據顯示，它們在價格更低的情況下，性能可能會更好。那麼，這種競爭究竟有多真實呢？你又是如何應對的？

Sure, Vivek. So I think in general we see competition across almost every one of our platforms, whether it be in the data center or in the client business. And it's come from a variety of sources. You're right, AMD has kind of raised up a bit with their more recent products, but you see us responding. This is a traditional performance battle that we're very accustomed to and we're comfortable in reacting and competing very aggressively in. And so you see us coming out with our Xeon Scalable. You'll see us make maneuvers like we accelerate our Core i9 products, which are all the way up to 18-thread systems on the client-based products. So I'd tell you that, yes, we're seeing increased competitive pressure from a variety of places. But that actually will just drive us even harder, make us better in the end. And we're comfortable that we can make the right products to deliver the right performance against those.

當然可以，維韋克。所以我認為，總的來說，我們幾乎在所有平台上都看到了競爭，無論是在資料中心還是在客戶端業務中。而且它來自多種管道。你說得對，AMD 最近的產品確實有所進步，但你看，我們也做出了回應。這是一場我們非常熟悉的傳統表演賽，我們很擅長在這種比賽中積極應對和競爭。所以你們會看到我們推出 Xeon 可擴充處理器。你會看到我們採取一些措施，例如加速我們的酷睿 i9 產品，在客戶端產品中，這些產品最高可達 18 線程系統。所以我可以告訴你，是的，我們確實感受到來自各方面的競爭壓力日益增加。但這其實只會激勵我們更加努力，最終讓我們變得更強。我們有信心能夠生產出合適的產品，以應對這些挑戰並取得理想的性能。

And as my follow-up, Brian, if could you give us a little bit more color on your 10-nanometer progress. What is the timing of products around that node? And as part of that if Bob could remind us how the CapEx and depreciation and OpEx for that node are flowing through the financials?

布萊恩，我的後續問題是，你能否再詳細介紹一下你的 10 奈米製程進展？該節點附近產品的上市時間安排是怎麼樣的？此外，鮑伯能否提醒我們一下，該節點的資本支出、折舊和營運支出是如何在財務報表中反映出來的？

Sure. So on 10 nanometers, we are sampling engineering samples to customers currently. We -- the yields on 10 nanometers are continuing to improve pretty much right in line with the forecasted ramp rates. It's a new technology, so you always have some problems to go solve, but we're pretty comfortable with where we're at right now. Like we said in the earnings script, we are set to qualify the first production products right at -- right towards the end of the year. You'll see those start to ship in the first half of next year, and you'll see a ramp of SKUs. One of the things we're seeing is each one of these technologies -- and actually products that we generate, we're generating quite a few more SKUs, Vivek. And so you'll see a variety of SKUs progressing through to 2018 as we ramp the 10-nanometer products, starting with, I'll call it, more simpler SKUs at the beginning, going all the way through the high-performance, high-complexity SKUs towards the middle and back half of the year, which is -- it's a traditional ramp like you see us push out on a new product ramp.

當然。所以，目前我們正在向客戶提供 10 奈米製程的工程樣品。我們－10奈米製程的良率持續提高，基本上符合預測的產能提升速度。這是一項新技術，所以總是會有一些問題需要解決，但我們對目前的狀況相當滿意。正如我們在財報稿中所說，我們計劃在年底前完成首批生產產品的認證。明年上半年你會看到這些產品開始出貨，而且你會看到 SKU 數量逐漸增加。我們看到的其中一點是，每一種技術——實際上我們生產的產品，我們正在生產更多的 SKU，Vivek。因此，隨著我們逐步推出 10 奈米產品，您將看到各種各樣的 SKU 陸續推出到 2018 年。從一開始的比較簡單的 SKU 開始，一直到年中和下半年的高效能、高複雜度 SKU，這就像我們推出新產品一樣，是一個傳統的逐步推出過程。

And then just in terms of the capital, yes, just as a reminder, our full year outlook for CapEx is roughly $12 billion. We did indicate that approximately $2.5 billion of that would be for memory. So underlying that, you have $9.5 billion CapEx for the logic business. For 10 nanometer, specifically, you have TD lines and pilot lines going in this year and beginning to scale, as we match the capacity with the production that scales in the first half and second half of next year. So that's reflected in the CapEx guide and the depreciation guide that we gave you earlier in the year, and that hasn't really changed.

還有一點，關於資本方面，是的，再次提醒一下，我們全年的資本支出預期約為 120 億美元。我們確實指出，其中大約 25 億美元將用於記憶體。因此，在此基礎上，邏輯業務的資本支出為 95 億美元。具體來說，對於 10 奈米工藝，今年我們將投入使用 TD 生產線和試驗生產線，並開始擴大規模，因為我們將使產能與明年上半年和下半年擴大的生產規模相匹配。所以這一點已經反映在我們年初發布的資本支出指南和折舊指南中，而且這些內容並沒有真正改變。

Our next question comes from Stacy Rasgon from Bernstein Research.

下一個問題來自伯恩斯坦研究公司的史黛西·拉斯貢。

I had a question on the trajectory of data center growth into the second half. And to be honest, I'm still wondering why you don't think you can do better than high-single digits. I mean, I know you're calling out the tough comp in Q3, but it's only like 10%, right, which is roughly in line with the full year guidance. It's below kind of the longer-term CAGR. So you're going to seek no comps at that level or higher kind of in the perpetuity. I guess, why call that out as an excuse? And what are the issues in terms of hoping and driving for a bigger lift in the second half versus what you're still currently guiding for with the Skylake SP launch on its way?

我有一個關於資料中心在下半年成長軌跡的問題。說實話，我還是不明白為什麼你認為自己無法取得比個位數更高的成績。我知道你指出第三季同比數據較高，但同比降幅只有 10% 左右，對吧？這與全年預期大致相符。它低於長期複合年增長率。所以你以後基本上不會再尋求達到或超過這個水平的同類產品了。我想，為什麼要把這當作藉口呢？那麼，在 Skylake SP 發布之前，希望下半年業績能有更大提升，與目前您仍堅持的預期相比，有哪些問題呢？

So I think Stacy, first, we're quite proud of the growth rate we're seeing and especially the growth rates in the growth segments. We're forecasting mid-20s for the cloud business, the networking and storage business and adjacencies on down. What we're having to counter is not only the comps that Bob talked about but the declining function of the enterprise, right? And so that -- those 2 things counter those growth rates. Now as the enterprise continues to shrink, it'll become less and less moving forward. So we agree that over time this will become a smaller and smaller impact to the growth rates. But right now it's still a large enough percentage. It weighs on our ability to get the growth rate higher.

所以我覺得，Stacy，首先，我們對目前看到的成長率感到非常自豪，尤其是成長領域的成長率。我們預測雲端運算業務、網路和儲存業務以及相關業務的成長將達到 20 多個百分點。我們現在不僅要應對鮑伯提到的同業競爭問題，還要應對企業功能的衰退，對吧？因此，這兩件事抵消了這些成長率。隨著企業規模不斷縮小，它前進的步伐也會越來越慢。因此我們一致認為，隨著時間的推移，這對成長率的影響會越來越小。但目前這個比例仍然相當大。這會影響我們提高成長率的能力。

And I would -- if I sounded like I was giving an excuse, I maybe should correct that. We feel great about where we are. First half, up 7%. Full year, up high single digits. Profit expanded during the course of the year and continuing to win in those segment of the market that have differentiated growth rates. So 6 months into the year, we feel good about where we are, and we're excited about the new product that we launched.

如果我的話聽起來像是在找藉口，那我或許應該要糾正一下。我們對目前的狀況感到非常滿意。上半年上漲7%。全年成長接近兩位數。年內利潤持續成長，並在成長率各異的細分市場中持續取得成功。今年過去六個月，我們對目前的狀況感到滿意，並且對我們推出的新產品感到興奮。

Got it. So my follow-up. On the PC side of things, I know you said that the channel's healthy, but you -- it's sound like you also had channel fill in the quarter, and it's also included in the guide going forward. So I guess if the channel's healthy, why is there inventory filling up? And what does that imply as we kind of get to the year and look into next year for the likely trajectory of your product sales into that market?

知道了。我的後續問題是：就 PC 方面而言，我知道你說過頻道運行良好，但你——聽起來你本季度也進行了頻道填充，而且它也包含在未來的節目指南中。所以我想，如果通路運作良好，為什麼庫存會不斷增加呢？那麼，展望明年，你的產品在該市場的銷售軌跡可能會如何改變呢？

Yes, I think as we look at kind of the quarter performance -- I should start with kind of the TAM overall, and Brian highlighted this in the prepared remarks. We have assumed that PC TAM will continue to decline in the mid-single digits for the full year. On the margin, that might be a little bit better today than what it was 6 months ago. But we're still -- we're not counting on a dramatic change in the PC TAM consumption for the year. That being said, we've taken up our guidance quite a bit. So in that, there's a stronger Q2 performance with a little bit of more healthy inventory channels as we go into the second half of the year. So I wouldn't -- if they were -- if the inventory was maybe a little bit leaner over the last 3 to 4 quarters, I think we'd characterize them in the healthy level now. And we think the ecosystem is building for a second half that's consistent with our outlook for PC TAM.

是的，我認為當我們審視本季業績時——我應該先從整體TAM說起，布萊恩在準備好的發言稿中也強調了這一點。我們假設個人電腦市場規模將在全年繼續以中位數個位數百分比下降。從邊際效應來看，今天的情況可能比6個月前略好。但我們仍然－我們並不指望今年的個人電腦市場規模（TAM）消費量會發生巨大變化。話雖如此，我們還是相當認真地採納了我們的指導意見。因此，隨著我們進入下半年，庫存管道也更加健康，第二季的業績表現更加強勁。所以，如果庫存在過去 3 到 4 個季度裡稍微減少了一些，我認為我們現在會認為庫存處於健康水平。我們認為，下半年的生態系統發展與我們對 PC TAM 的預期相符。

And it needs to build inventory to do that?

而且它需要建立庫存才能做到這一點？

Say it again?

再說一次？

Any it needs to build inventory to do that?

它需要建立庫存才能做到這一點嗎？

I think the inventory levels as we see it in the channel is slightly higher than the lean levels they've been for the last couple of quarters, but no dramatic difference from our perspective on how we see PC TAM for the full year.

我認為，從通路來看，目前的庫存水準略高於過去幾季的低迷水平，但從我們對全年個人電腦市場規模的看法來看，並沒有發生顯著變化。

Our next question comes from John Pitzer from Crédit Suisse.

下一個問題來自瑞士信貸的約翰‧皮策。

Brian, I apologize if I missed this in your prepared comments. My first question is just around pricing in DCG. It was down about 1% sequentially. There's always a lot of mixed things there. You usually have some commentary about ASPs per bucket. Were they still strong? And I guess more importantly, as you think about the product launches in the back half of the year, at least some of our initial checks are suggesting that customers are kind of chomping at the bit to high -- to buy higher up into the stack, which could drive some good ASPs. Can you talk about your expectations around ASPs and/or attach rates for adjacency data center businesses with the launch of the Xeon Scalable?

布萊恩，如果我沒在你準備好的演講稿中看到這一點，我深表歉意。我的第一個問題是關於DCG的定價。環比下降約1%。那裡總是各種事情混雜在一起。通常情況下，你會對每個儲存桶的平均銷售價格（ASP）做一些說明。他們當時還很強嗎？更重要的是，考慮到下半年的產品發布，至少我們的一些初步調查顯示，客戶們已經迫不及待地想要購買更高等級的產品，這可能會推動平均售價的上漲。您能否談談您對 Xeon Scalable 發布後，鄰近資料中心業務的平均售價 (ASP) 和/或附加率的預期？

Sure, John. So we expect the second half of 2017, from an ASP perspective, to be pretty much what you've seen in the past where ASPs continue to increase on the various platforms of Xeon, right? So looking at each one, you'll see ASPs overall increasing. What you're seeing on this is a little bit of mix, right? So as you saw networking and storage grow at 17%, the adjacencies at 12%, those are starting to become a little bit more percentage of that business, and those draw down overall ASPs a little bit. But if you look within just the Xeon core function, those ASPs continue to decline -- to increase at about the normal rates that you'd expect as we move into -- especially as you move into a new architectural like Xeon Scalable.

當然可以，約翰。因此，從平均售價 (ASP) 的角度來看，我們預計 2017 年下半年的情況將與過去類似，即 Xeon 各個平台上的平均售價將繼續增長，對嗎？因此，逐一觀察，你會發現平均售價整體呈現上升趨勢。你在這裡看到的是一些混雜的元素，對吧？正如你所看到的，網路和儲存業務成長了 17%，相關業務成長了 12%，這些業務在總業務中所佔的比例開始逐漸增加，從而稍微拉低了整體平均售價。但如果你只看 Xeon 核心功能，這些平均售價會繼續下降——隨著我們進入——特別是隨著我們進入像 Xeon Scalable 這樣的新架構，這些平均售價會以你預期的正常速度增長。

That's helpful. And for my follow-on, just turning to the client compute group. Your ability to sort of segment that market and drive higher mix has been sort of a multiyear endeavor with a lot of success. What inning do you think you guys are in, in that process, especially with AMD coming to market with new product? Is there still a mix -- a potential story here? And what would drive that?

那很有幫助。接下來，我想請教一下客戶端計算組。你對市場進行細分並推動更高比例產品組合的能力，是一項歷經多年且非常成功的努力。你認為你們目前處於這個進程的哪個階段？尤其是在 AMD 即將推出新產品的情況下？這其中是否還存在某種混合因素──這其中是否蘊藏著一個潛在的故事？是什麼因素導致了這種情況？

I actually think there is. I think if you take a look at this, John, what's driven this has not been clever segmentation necessarily. It's been the ability to segment into specific markets and specific performance. And so things like Core i9 are a good example, where you're really targeting performance. And so what you -- what I believe is that what -- the growth areas in the client space gaming, virtual reality, thin and light, they're requiring performance and power. And remember, those are always somewhat tradable as you take a look at the -- and so those trends are going to continue. And that's why -- that's -- as we talk about how do you feel about competition, where do you see competition playing, we believe our leadership in performance will continue to allow that trend to continue and continuing to allow the trend within CCG to continue as well. And that's part of what drove the forecast for the second half.

我覺得確實有。約翰，我認為如果你仔細觀察一下，你會發現推動這一趨勢的未必是巧妙的市場區隔。關鍵在於能夠將業務細分到特定市場和特定績效領域。因此，像酷睿 i9 這樣的處理器就是一個很好的例子，它們真正追求的是效能。所以，我認為——客戶端領域的成長點，遊戲、虛擬實境、輕薄設備，都需要高效能和強大的效能。記住，當你觀察這些股票時，你會發現它們總是具有一定的交易價值——因此這些趨勢將會持續下去。這就是為什麼——當我們談到你對競爭的看法，你認為競爭會在哪裡發揮作用時，我們相信我們在業績方面的領先地位將繼續使這一趨勢繼續下去，並繼續使 CCG 內部的這一趨勢繼續下去。這也是下半年預測的部分原因。

Our next question comes from Romit Shah from Nomura Securities.

下一個問題來自野村證券的羅米特·沙阿。

It looks like this is the fifth consecutive quarter that CCG beat expectations. Revenues were up 12%. And I think there's a debate out there as to whether or not you deserve credit for this performance, with skeptics really pointing toward -- to sustainability more than anything else. When you break down that 12%, as you guys mentioned, ASPs are a big part of the increase. My question is as you look at sort of the mix in that business overall is there room to drive ASPs higher and effectively capture more value inside of the PC TAM?

這似乎是CCG連續第五個季度超出預期。營收成長了12%。我認為，對於你是否應該因這一表現而獲得讚譽，目前存在著爭論，懷疑者主要將矛頭指向可持續性，而不是其他方面。正如你們所提到的，細分這 12% 的成長，平均售價 (ASP) 的成長佔了很大一部分。我的問題是，從整體來看，該業務的組合是否還有提昇平均售價的空間，從而在個人電腦市場中有效地獲得更多價值？

So yes, is the simple answer, Romit. Remember, this isn't necessarily us raising prices. So it's not we're out there and going and saying, "Okay, I'm going to charge $10 more for the next Core i7." It's actually the percentage of units that are being bought at those higher units. And we continue to deliver higher performance at the same price with each one of these generations. So what you're seeing is actually an overall trend that, yes, units are down. We talked about that, both [Brian] and Bob, around TAM being down somewhere in that low- to mid-single-digit range. And that's pretty much in line with what I'm seeing third parties. Sure, some third parties are a little bit better than that. But for the most part, we're within a couple of percent. But yes, we believe that there is room for continued demand for movement upwards. So if you a numbers of Core i7s, a number of Core i9, the number of people buying the performance thin and light laptops, those are going to continue. And you see it in our OEM partners and the type of systems they're producing and the type of systems they're bringing to market. Now they're targeting that more and more as well.

所以，答案很簡單，是的，羅米特。請記住，這並不一定意味著我們要提高價格。所以，我們並不是直接宣布「好，下一款酷睿i7處理器要加價10美元」。實際上，我們關注的是購買高價處理器的消費者所佔的比例。而且，每一代產品我們都在以相同的價格提供更高的性能。所以你看到的實際上是一個總體趨勢，是的，銷量確實下降了。我們（布萊恩和鮑伯）都討論過這個問題，TAM 可能會下降到個位數低到中段的範圍內。這與我從第三方那裡了解到的情況基本一致。當然，有些第三方機構做得比這好一些。但大多數情況下，我們的誤差在幾個百分點以內。但是，我們相信價格上漲的需求仍有成長空間。所以，如果Core i7 的數量、Core i9 的數量，以及購買高效能輕薄筆記型電腦的人數，這些趨勢將會持續下去。這一點可以從我們的 OEM 合作夥伴以及他們生產的系統類型和他們推向市場的系統類型中看出。現在他們也越來越關注這一點了。

The only thing I would add is, again, we have a business that has a declining market. It's growing not by raising prices but, to Brian's point, by a market that increasingly values performance. And the operating margins of the business for the first half of the year were up over 50%. So this team through its segmentation is executing extremely well. And then as we mentioned earlier, yes, with that great margin performance, we are redeploying our resources to invest in these data-centric set of businesses that have high-growth characteristics that collectively were up 16% again in the quarter. And through this journey of a PC TAM decline, we have a bigger business, a stronger business and a more profitable business, with an increasing portion, over 40%, coming from high-growth-oriented businesses. So great performance in a declining market, continuing to invest in it and reallocate across our portfolio and feel good about our -- the portfolio we have and with the addition of Mobileye as we head into the second half of the year.

我唯一要補充的是，我們這個產業的市場正在萎縮。它的成長不是透過提高價格實現的，而是正如布萊恩所說，是透過市場越來越重視性能來實現的。該業務上半年的營業利潤率成長超過 50%。所以這個團隊透過這種分工合作的方式執行得非常出色。正如我們之前提到的，是的，憑藉如此出色的利潤率表現，我們正在重新部署資源，投資於這些以數據為中心、具有高增長特性的業務，這些業務在本季度整體增長了 16%。儘管個人電腦市場規模 (TAM) 有所下降，但我們的業務規模更大、實力更強、盈利能力更強，其中超過 40% 的業務來自高成長型企業。在市場下滑的情況下，我們取得了優異的業績，我們將繼續投資並重新配置我們的投資組合，對我們現有的投資組合感到滿意，而且隨著我們進入下半年，我們又增加了 Mobileye。

And in terms like -- you obviously provide ASPs for CCG. But is the core mix as a percentage of units a metric that we should be focusing on? And I -- if I remember correctly, that percentage was close to 70%. I'm curious where it is today.

例如——你顯然為CCG提供ASP。但是，核心產品組合佔比是否是我們應該關注的指標？如果我沒記錯的話，那個比例接近 70%。我很想知道它現在在哪裡。

Yes, it's continuing to climb. It is, but don't forget even within that core mix, Romit, you have the ability to continue to scale up, so Core i3 versus Core i5 versus Core i7. And now we've introduce the Core i9, right, which is even a higher performance. So we saw earlier on people choosing Core over Pentium or Atom, for example, and you saw the core mix move up. You're now seeing not only that continue to climb, but you're going to see within Core the amount of Core i7s, Core i9s, Core i5s continue to climb as well. And that's why we continue to see that there's legs behind this. And you kind of said, hey, are we getting credit for this, right? We don't think when you look at overall this business, last year's performance with great growth in all of the segments, you look at this year's performance so far in the first half and our projections now in the second half, we think that our ability to segment, to drive better operating margin and to continue to drive performance into the PC and keep it more and more profitable while we invest and grow these other businesses, we think that there's an option around Intel that is quite good.

是的，它還在持續攀升。確實如此，但別忘了，Romit，即使在核心組合中，你仍然可以繼續擴展，例如 Core i3、Core i5 和 Core i7。現在我們推出了性能更高的酷睿 i9，對吧？例如，我們之前看到人們選擇酷睿處理器而不是奔騰或原子處理器，而酷睿處理器的比例上升了。現在不僅可以看到這種趨勢持續攀升，而且你還會看到酷睿i7、酷睿i9、酷睿i5的數量也持續攀升。這就是為什麼我們不斷看到這項技術有發展潛力的原因。然後你就問，嘿，我們能因此獲得認可嗎？我們認為，縱觀整個業務，去年所有業務板塊都實現了巨大增長，再看看今年上半年的業績以及我們對下半年的預測，我們有能力進行業務細分，提高運營利潤率，並持續提升個人電腦業務的業績，使其盈利能力不斷增強，同時投資和發展其他業務。我們認為，英特爾是相當不錯的選擇。

And our last question comes from Harlan Sur from JPMorgan.

最後一個問題來自摩根大通的哈蘭‧蘇爾。

In DCG, you guys are probably full throttle from a manufacturing perspective for Xeon Scalable, or Skylake, in the June quarter. But my question is how much of the data center growth in June was the initial production revenue shipments of Xeon Scalable to your customers? Or did that contribute just very little to the June quarter mix?

在 DCG，你們可能在六月的季度裡，從製造角度來看，正在全力以赴地生產 Xeon Scalable 或 Skylake 處理器。但我的問題是，6 月資料中心的成長中有多少來自於貴公司客戶收到的 Xeon Scalable 的初始生產收入？或者說，這對六月季度業績構成的影響微乎其微？

Okay. Yes. It's very little. We don't give out exact percentages by SKU like that. But I can genuinely tell you that it is really just the beginning of the ramp of the Xeon Scalable. And so its impact into Q2 was minimal at best. What you'll see is as it ramps into the second half it becomes a higher and higher percentage. And really, the big volume is going to be 2018. So that's when it really takes over from way -- the way the data center looks from a revenue and profit standpoint. What we're excited about is -- we talked about the 500,000 units that are out there. That was the highest number of pre-samples. That shows you the demand by the big infrastructure guys around the performance. They were willing to take the product even before, "We are ready to start shipping it." And then the number of records we've broken already in performance, we talked about 50 records worldwide already, those are laying the groundwork for how this ramp is going to look and feel as we move into the second half and into '18.

好的。是的。很少。我們不會像這樣按 SKU 給出確切的百分比。但我可以真誠地告訴你，這只是 Xeon 可擴展處理器發展壯大的開始。因此，它對第二季的影響充其量微乎其微。你會看到，隨著比賽進入下半場，這個百分比會越來越高。而真正的銷售高峰期將是 2018 年。所以，從收入和利潤的角度來看，資料中心的面貌就真正改變了。我們感到興奮的是——我們談到了市面上已有的 50 萬台設備。這是預樣本數最多的一次。這說明大型基礎設施企業對效能有很高的要求。他們甚至在「我們準備開始出貨」之前就願意接受這款產品了。而且，我們在演出方面已經打破了許多紀錄，我們已經談到在全球範圍內打破了50項紀錄，這些都為我們進入下半年和2018年的發展奠定了基礎。

And good to see the profitability in the NAND segment. In enterprise SSD, I think you guys are still the #2 global market share leader there. And it looks like based on the first half performance you guys are outpacing the market. So I guess the question is, where's the team winning? Is it high capacity? Is it high performance for these enterprise and cloud drives? And similar to maybe some of your peers, is the team currently capacity constrained?

很高興看到NAND快閃記憶體領域的獲利能力。在企業級固態硬碟領域，我認為你們仍然是全球市佔率第二的領導者。根據上半年的表現來看，你們似乎已經超越了市場平均。所以我想問的是，哪一隊贏球？它的容量大嗎？這些企業級和雲端硬碟的效能是否很高？和你的一些同行一樣，團隊目前是否面臨人手不足的問題？

Sure. So our whole strategy around the memory is that we are focused on differentiation and performance and specifically around supporting the data center. We do sell into client as well, but that's not the main focus of this business. And so I tell you that's -- when we talk about our growth and when we talk about our projections for the rest of this year and why we're investing in the future, that 64-tier NAND gives us the ability to be a better cost but at the high-performance end. So we're not going after commodity SSDs that you're going to see even in higher-end workstations necessarily. It's really focused towards the data center products. Even still, there's -- not all SSDs and data centers are high-end performance. So we're comfortable with where we are in the market share. We want to balance those investments against the demand for these high-performance areas and make sure we stay -- we keep that in balance. And our real goal is then to move more and more of the business towards the 3D XPoint as we move into next year because that really differentiates us again as we really change the hierarchy between memory and storage as the data center DIMM memory systems come out.

當然。因此，我們在記憶體領域的整個策略是專注於差異化和效能，特別是支援資料中心。我們也向客戶銷售產品，但這並不是我們業務的主要重點。所以我要告訴你們，當我們談到我們的成長，談到我們對今年剩餘時間的預測，以及我們為什麼要投資未來時，64 層 NAND 使我們能夠以更低的成本實現高性能。所以我們並非瞄準那些即使在高階工作站也未必能見到的普通固態硬碟。它主要專注於資料中心產品。即便如此，並非所有固態硬碟和資料中心都能達到高階效能。因此，我們對目前的市場份額感到滿意。我們希望平衡這些投資與對這些高性能領域的需求，並確保我們保持這種平衡。因此，我們真正的目標是在明年將越來越多的業務轉移到 3D XPoint，因為隨著資料中心 DIMM 記憶體系統的推出，這將再次使我們脫穎而出，真正改變記憶體和儲存之間的層級關係。

Thanks, Harlan. All right. Thank you all for joining us today. Crystal, please go ahead and wrap up the call.

謝謝你，哈蘭。好的。感謝各位今天蒞臨。克麗絲塔爾，請你結束通話吧。

Ladies and gentlemen, thank you for participating in today's conference. This does conclude the program. You may now disconnect. Everyone, have a wonderful day.

女士們、先生們，感謝各位參加今天的會議。節目到此結束。您現在可以斷開連線了。祝大家今天過得愉快。