美光科技 (MU) 2016 Q2 法說會逐字稿

Good afternoon. My name is Latif, and I will be your conference facilitator today. At this time, I would like to welcome everyone to the Micron Technology's second quarter 2016 financial release conference call.

午安.我叫拉蒂夫，今天我將擔任你們的會議主持人。在此，我謹代表美光科技公司歡迎各位參加2016年第二季財務業績發布電話會議。

(Operator Instructions)

（操作說明）

Thank you. It is now my pleasure to turn the floor over to your host, Ivan Donaldson. Sir, you may begin your conference.

謝謝。現在，我很高興把發言權交給你們的主持人伊凡唐納森。先生，您可以開始會議了。

Thank you, and welcome to Micron Technology's second quarter 2016 financial release conference call. On the call today is Mark Durcan, CEO and Director, and Ernie Maddock, Chief Financial Officer.

謝謝，歡迎參加美光科技2016年第二季財務報告電話會議。今天參加電話會議的有執行長兼董事馬克·杜爾坎和財務長厄尼·馬多克。

This conference call including audio and slides is also available on our website at Micron.com. In addition, our website has a file containing the quarterly operational and financial information and guidance, non-GAAP information with reconciliation, slides used during the conference call, and a convertible debt and capped call dilution table. If you have not had an opportunity to review the second quarter 2016 financial press release, it is also available on our website at Micron.com.

本次電話會議的音訊和幻燈片也可在我們的網站 Micron.com 上找到。此外，我們的網站上有一份文件，其中包含季度營運和財務資訊及指導、非GAAP資訊及調節表、電話會議期間使用的幻燈片以及可轉換債券和上限期權稀釋表。如果您還沒有機會查看 2016 年第二季財務新聞稿，也可以在我們的網站 Micron.com 上查看。

Our call will be approximately 60 minutes in length. There will be an audio replay of the call accessed by dialing 404-537-3406, with a confirmation code of 67709190. This replay will run through Thursday, April 7 at 11:30 pm Mountain Time. A webcast replay will be available on the Company's website until March 2017.

我們的通話時間約60分鐘。撥打 404-537-3406，輸入確認碼 67709190，即可收聽通話錄音。本次重播將持續到4月7日星期四晚上11:30（山區時間）。網路直播回放將在公司網站上提供至 2017 年 3 月。

We encourage you to monitor our website at Micron.com throughout the quarter for the most current information on the Company, including information on the various financial conferences that we will be attending. You can also follow us on Twitter at MicronTech.

我們鼓勵您在本季度密切關注我們的網站 Micron.com，以獲取有關公司的最新信息，包括我們將參加的各種金融會議的信息。您也可以在 Twitter 上關注我們：MicronTech。

Please note the following Safe Harbor statement. During the course of this meeting, we may make projections or other forward-looking statements regarding future events, or the future financial performance of the Company and the industry. We wish to caution you that such statements are predictions, and that actual events or results may differ materially. We refer you to the documents the Company files on a consolidated basis from time to time with the Securities and Exchange Commission, specifically the Company's most recent Form 10-K and Form 10-Q.

請注意以下安全港聲明。在本次會議期間，我們可能會對未來事件或公司及產業的未來財務表現做出預測或其他前瞻性陳述。我們想提醒您，此類聲明均為預測，實際事件或結果可能與預測有重大差異。我們建議您參閱本公司不時向美國證券交易委員會提交的合併文件，特別是本公司最新的 10-K 表格和 10-Q 表格。

These documents contain and identify important factors that could cause the actual results for the Company on a consolidated basis to differ materially from those contained in our projections or forward-looking statements. These certain factors can be found in the Investor Relations section of Micron's website. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance, or achievements. We are under no duty to update any of the forward-looking statements after the date of the presentation to conform these statements to actual results. I'll now turn the call over to Mark Durcan.

這些文件包含並指明了可能導致公司合併後的實際績效與我們的預測或前瞻性聲明中所包含的績效有重大差異的重要因素。這些具體因素可以在美光公司網站的投資者關係部分找到。儘管我們認為前瞻性聲明中反映的預期是合理的，但我們無法保證未來的結果、活動水準、績效或成就。我們沒有義務在發布日期之後更新任何前瞻性陳述，以使這些陳述與實際結果相符。現在我將把電話交給馬克·杜爾坎。

Thank you, Ivan. For our second quarter FY16, Micron posted total revenue of $2.93 billion with gross margin of 20%, non-GAAP net loss of $48 million, and a non-GAAP loss per share of $0.05, all within our guided range. Operating cash flow was $763 million.

謝謝你，伊凡。2016 財年第二季度，美光科技總營收為 29.3 億美元，毛利率為 20%，非 GAAP 淨虧損為 4,800 萬美元，非 GAAP 每股虧損為 0.05 美元，皆在預期範圍內。經營活動現金流為7.63億美元。

Our results were impacted by continued weakness in the PC market, seasonality, and timing of product launches in certain market segments. We are simultaneously ramping, qualifying, and delivering several leading edge products including 20 nanometer DDR4, low-power DDR4, and 3D NAND-based solutions. Our progress has been strong, but is always challenging to precisely align technology conversions and fab output, with customer qualification cycles and market seasonality.

我們的業績受到個人電腦市場持續疲軟、季節性因素以及某些細分市場產品上市時間的影響。我們正在同步推進、驗證和交付多款領先產品，包括 20 奈米 DDR4、低功耗 DDR4 和基於 3D NAND 的解決方案。我們取得了顯著進展，但要將技術轉換和晶圓廠產量與客戶認證週期和市場季節性精確結合起來，始終是一個挑戰。

Today, I'd like to provide a high level overview of our progress in each of the business units, and have asked Ernie to cover business unit metrics and financial performance. In our compute and networking business unit, we recently achieved initial customer qualifications of our 20-nanometer 8 gigabit DDR4 products. These are now ramping in volume. In the enterprise, we have qualified an innovative NVDIMM solution at two major OEMs.

今天，我想對各個業務部門的進展做一個總體概述，並請 Ernie 介紹各個業務部門的指標和財務表現。在我們的運算和網路業務部門，我們最近實現了 20 奈米 8 千兆 DDR4 產品的初步客戶認證。這些產品的銷售量正在迅速成長。在企業層面，我們已向兩家主要 OEM 廠商驗證了創新的 NVDIMM 解決方案。

In the graphics segment, we are enthusiastic about the early success of our GDDR5X, a discreet solution for increasing data rates above 10 gigabits per second. We have several major design wins, and expect to have the product available by the end of the current fiscal quarter.

在圖形領域，我們對 GDDR5X 的早期成功感到非常興奮，這是一個獨立的解決方案，可將資料速率提高到每秒 10 吉比特以上。我們獲得了幾個重要的設計項目，預計在本財季末產品即可上市。

In the networking segment, we are seeing early signs of demand recovery in China, where we believe our broad portfolio and strong customer engagements position us well for the future.

在網路領域，我們看到中國市場出現了需求復甦的早期跡象，我們相信，我們廣泛的產品組合和強大的客戶關係將使我們在未來佔據有利地位。

Turning to our mobile business units, results have been negatively impacted by the timing of product qualifications, as we transition customers to 20-nanometer versions of LPDDR4 products. We do expect to finalize 20-nanometer low-power DDR4 qualifications with most customers by the end of this quarter. And this, coupled with our expectation that memory demand across the smartphone categories will continue to expand, leaves us confident that our mobile business is well-positioned for substantial growth by the fourth fiscal quarter of this year.

就我們的行動業務部門而言，由於我們正在將客戶過渡到 20 奈米版本的 LPDDR4 產品，產品認證的時間表對業績產生了負面影響。我們預計在本季末與大多數客戶完成 20 奈米低功耗 DDR4 認證。此外，我們預計智慧型手機各類別的記憶體需求將持續成長，因此我們有信心，到今年第四財季，我們的行動業務將大幅成長。

In our embedded business unit, automotive design-in activity remains strong, particularly with 20-nanometer DDR3 and low-power DDR4 products. We are seeing growth with automotive customers in greater Asia, and continuing to build upon success with European and US manufacturers. We are also generating strong design-in activity for our industrial SSDs, and we are delivering a broad portfolio of differentiated non-volatile memory DRAM and MCP solutions for the consumer and connected home segments.

在我們的嵌入式業務部門，汽車設計導入活動依然強勁，特別是 20 奈米 DDR3 和低功耗 DDR4 產品。我們在亞洲地區的汽車客戶數量有所增長，並繼續鞏固與歐洲和美國製造商的成功合作。我們也在工業固態硬碟領域開展了強而有力的設計導入活動，並為消費性電子和智慧家庭領域提供了廣泛的差異化非揮發性記憶體DRAM和MCP解決方案組合。

Finally, our storage business unit has been positioning its product portfolio to take advantage of our high performance 3D NAND technology. We are currently sampling Tier 1 OEMs with early versions of our 3D NAND-enabled PCIe NVMe client SSDs. Over the next two quarters, we will be shipping Crucial-branded low cost 3D NAND client SSDs, high performance drives targeting gaming enthusiasts, and a 2 terabyte client OEM drive.

最後，我們的儲存業務部門一直在調整其產品組合，以充分利用我們高效能的 3D NAND 技術。我們目前正在向一級 OEM 廠商提供早期版本的 3D NAND PCIe NVMe 用戶端 SSD 樣品。在接下來的兩個季度裡，我們將推出 Crucial 品牌的低成本 3D NAND 用戶端 SSD、面向遊戲愛好者的高效能硬碟以及 2TB 用戶端 OEM 硬碟。

In summary, the leading edge technology deployment is progressing well across manufacturing for both DRAM and NAND, and our bit growth and cost reduction targets are on track. We believe the combination of new products, with more efficient manufacturing on advanced nodes will drive significant improvement in Micron's relative competitive position in the second half of 2016 and beyond.

總而言之，DRAM 和 NAND 製造領域的前沿技術部署進展順利，我們的位元成長和成本降低目標也正在按計畫進行。我們相信，新產品與先進節點上更有效率的製造流程相結合，將顯著提升美光在 2016 年下半年及以後的相對競爭力。

Turning to the memory industry more generally, we believe that DRAM industry bit supply will decrease to the low to mid 20% range in 2016, and could drop below 20% in 2017. Our estimate is based on slowing technology-driven supply growth, and no incremental wafer supply. Although the current environment remains challenging, we believe -- we continue to believe that longer term DRAM bit demand growth in the low to mid 20% range will result in healthy market fundamentals.

更廣泛地來看記憶體產業，我們認為 DRAM 產業的位元供應量在 2016 年將下降到 20% 左右，並在 2017 年可能降至 20% 以下。我們的估算基於技術驅動的供應成長放緩，以及晶圓供應沒有增加。儘管當前環境仍然充滿挑戰，但我們相信——我們仍然相信，長期 DRAM 位元需求成長在 20% 左右將帶來健康的市場基本面。

For NAND, we estimate 2016 industry bit supply growth in the mid to high 30% range, as early 3D conversions create some temporary supply constraints. We continue to expect the cost and performance advantages of 3D NAND will drive enhanced adoption rates and densities across key storage markets, and we are confident in Micron's road map in 3D NAND in terms of timing, performance, and relative cost position.

對於 NAND，我們估計 2016 年行業位供應成長將在 30% 到 30% 之間，因為早期的 3D 轉換會造成一些暫時的供應限制。我們仍然預期 3D NAND 的成本和效能優勢將推動關鍵儲存市場的採用率和密度的提高，我們對美光在 3D NAND 的時間安排、效能和相對成本地位方面的路線圖充滿信心。

Internally, and from an operations perspective, Micron remains focused on a few key operating priorities. For DRAM, we continue ramping 20-nanometer. This technology node will represent more than 50% of our fab bit output in the current fiscal quarter.

從內部營運角度來看，美光仍然專注於幾個關鍵的營運重點。對於DRAM，我們繼續推進20奈米製程的量產。本財季，該技術節點將占我們晶圓廠產能的 50% 以上。

We are enabling 1X DRAM in manufacturing, and recently began transferring this technology to our Taiwan fab in Taichung. We expect to ramp 1X nanometer in volume starting in FY17. We are still forecasting our own FY16 and 2017 DRAM bit growth CAGR in the 20% to 30% range. This is likely above the market.

我們正在推動 1X DRAM 的生產，並且最近開始將這項技術轉移到我們在台中的台灣工廠。我們預計從 2017 財年開始逐步提高 1X 奈米級產品的產量。我們仍預測 2016 財年和 2017 年 DRAM 位元成長複合年增長率將在 20% 至 30% 的範圍內。這很可能高於市場價格。

Our current year bit growth will be weighted to the second half of FY16, with substantial bit production output gains in fiscal Q3 and Q4. We currently have no plans to add DRAM wafer capacity, so any market share growth in DRAM will be the result of technology deployment.

我們本年度的鑽頭成長將主要集中在 2016 財年的下半年，第三財季和第四財季的鑽頭產量將大幅成長。我們目前沒有增加DRAM晶圓產能的計劃，因此DRAM市場份額的任何成長都將是技術部署的結果。

For NAND, we are ramping gen 1 3D NAND in Singapore, and expect to have more than 50% of our NAND bit fab bit output on 3D by the fall of 2016. We are also enabling gen 2 3D in manufacturing, and expect to be in early production starting this summer.

對於 NAND，我們正在新加坡加速生產第一代 3D NAND，預計到 2016 年秋季，我們 NAND 位元製造位產量的 50% 以上將採用 3D 技術。我們也在製造業推廣第二代 3D 列印技術，預計今年夏天開始早期生產。

We are forecasting Micron's FY16 and 2017 NAND bit growth CAGR in the 30% to 40% range. We expect to be below the market in 2016, but well above the market in 2017. Most of this growth will be related to 3D and TLC conversions, which will begin to deliver more substantial bit growth and cost reductions, starting late in FY17-- FY16, excuse me.

我們預測美光2016財年及2017財年NAND快閃記憶體位成長複合年增長率將介於30%至40%之間。我們預計 2016 年的業績將低於市場平均水平，但 2017 年的業績將遠高於市場平均水平。大部分成長將與 3D 和 TLC 轉換有關，這將從 2017 財年末（抱歉，應該是 2016 財年）開始帶來更實質的位成長和成本降低。

We are planning for incremental capacity with our Singapore fab expansion, and are beginning tool installations this quarter. As always, we continue to be mindful of market conditions as we contemplate our investment decisions.

我們計劃透過擴建新加坡工廠來逐步提高產能，並將於本季開始安裝設備。一如既往，我們在做出投資決策時，會持續關注市場狀況。

Relative to 3D [cross point], we are working with market enablers, and continue to believe this innovative technology will be a strong contributor to Micron's future success. We continue to augment our controller and subsystem capabilities, and have made good progress in aligning this road map with our 3D NAND RAM. We expect to substantially expand our vertically integrated solutions over the next 12 months. Now I would like to turn it over to Ernie.

就 3D [交叉點] 而言，我們正在與市場推動者合作，並繼續相信這項創新技術將為美光未來的成功做出重大貢獻。我們不斷增強控制器和子系統的能力，並在使該路線圖與我們的 3D NAND RAM 保持一致方面取得了良好進展。我們預計在未來 12 個月內大幅擴展我們的垂直整​​合解決方案。現在我想把這個任務交給厄尼。

Thank you, Mark. Before sharing our normal financial summary, I'll cover more technology and business unit details. DRAM represented 54% of our total revenue with the following segmentation. Mobile was in the low 20% range. The PC segment was in the mid 20% range. The server business was in the low 20% range, and specialty DRAM, which includes networking, graphics, auto and other embedded technologies was in the high 20% range.

謝謝你，馬克。在分享我們通常的財務摘要之前，我將介紹更多技術和業務部門的詳細資訊。DRAM 占我們總收入的 54%，具體細分如下。行動端使用率在 20% 左右。PC市佔率約20%左右。伺服器業務佔比在 20% 左右，而包括網路、圖形、汽車和其他嵌入式技術在內的專用 DRAM 業務佔 20% 左右。

In our non-volatile memory business, trade revenue represented [37]% of total revenue, with the following segmentation. Consumer, which includes our memory cards, USB and components, represented more than 50%. Mobile, including MCP, was in the low teens percent range, while SSDs were in the mid teens percent range. Automotive and industrial multi-market segment and other embedded applications were in the mid teens percent range.

在我們的非揮發性記憶體業務中，貿易收入佔總收入的[37]%，具體細分如下。消費品（包括我們的記憶卡、USB 和元件）佔比超過 50%。行動裝置（包括 MCP）的佔比在 10% 左右，而 SSD 的佔比在 15% 左右。汽車和工業多市場領域以及其他嵌入式應用佔比在 15% 左右。

Moving on, I'll share a brief operational summary of each of our business units. First, CNBU. The compute and network business unit posted fiscal Q2 revenue of $1.05 billion, down 8% from the previous quarter, impacted by lower average selling prices, and continued softness in demand from the PC segment. Our non-GAAP operating loss was $55 million, or 5%. Our [high] value solutions to enterprise, networking and graphics markets helped to offset some of this weakness.

接下來，我將簡要介紹我們各個業務部門的營運情況。首先是CNBU。計算和網路業務部門公佈的第二財季營收為 10.5 億美元，比上一季下降 8%，受到平均售價下降和 PC 市場需求持續疲軟的影響。我們的非GAAP營業虧損為5,500萬美元，即5%。我們為企業、網路和圖形市場提供的高價值解決方案有助於彌補這一弱點。

In the enterprise and cloud segment, we continued to see significant demand for our DDR4 solutions. Specifically within the cloud segment, we had record DDR4 shipments increasing our market share with key hyperscale customers in Asia-Pacific. Within the enterprise segment, demand for our 32 gigabyte DDR4 RDIMM also gained significant traction with key customers.

在企業和雲端領域，我們持續看到市場對我們的 DDR4 解決方案的顯著需求。具體來說，在雲端運算領域，我們的 DDR4 出貨量創下歷史新高，提高了我們在亞太地區主要超大規模客戶的市場份額。在企業級市場，我們的 32 GB DDR4 RDIMM 也獲得了主要客戶的廣泛認可。

In graphics, we continued to see demand softness, however, second half demand looks stronger for products such as our 20-nanometer 8-gig GDDR5 solution. In networking, we also saw a slowdown in demand, as a result of lower LTE shipments during the quarter, but we are expecting a recovery in the second half of the year. Finally, within the client segment, we achieved successful enablement and volume ramp of our 20-nanometer 4 gigabit DDR3 solutions. Also, we shipped samples of our 20-nanometer 8-gigabit DDR4 solution to all major OEMs, and began high volume production.

在圖形領域，我們繼續看到需求疲軟，但是，下半年對諸如我們的 20 奈米 8GB GDDR5 解決方案等產品的需求看起來會更強勁。在網路領域，由於本季 LTE 出貨量下降，我們也看到需求放緩，但我們預計下半年將出現復甦。最後，在客戶領域，我們成功地實現了 20 奈米 4 千兆 DDR3 解決方案的啟用和量產。此外，我們向所有主要 OEM 廠商提供了 20 奈米 8 千兆 DDR4 解決方案的樣品，並開始批量生產。

Micron's mobile business unit posted fiscal Q2 revenue of $503 million, down 40% from the prior quarter, due to delayed customer qualifications, and pricing pressure in the eMCP market. Our non-GAAP operating loss was $21 million, or 4% of revenue. We expect some continued challenges during fiscal Q3, as we conclude our customer qualifications, but expect to see improved shipments during our fourth fiscal quarter.

美光行動業務部門公佈的第二財季營收為 5.03 億美元，比上一季下降 40%，原因是客戶資格認證延遲以及 eMCP 市場的價格壓力。我們的非GAAP營業虧損為2,100萬美元，佔營收的4%。我們預計在第三財季仍將面臨一些挑戰，因為我們需要完成客戶資格審查，但預計第四財季出貨量將有所改善。

Bit shipments of eMCPs were down approximately 25%, as we redirected bits to higher value homes. We saw strong LPDDR3 demand from China in mid tier phones, and expect this demand will continue into next year. Looking forward, our mobile portfolio continues to position us for growth and success.

由於我們將部分產品重新定向到更高價值的住宅，eMCP 的出貨量下降了約 25%。我們看到中國對中階手機的 LPDDR3 記憶體需求強勁，預計這種需求將持續到明年。展望未來，我們的行動產品組合將繼續為我們的成長和成功奠定基礎。

While we had some missteps in our mobile qualifications in [F] Q2, we expect this situation to progressively improve during the calendar year. We continue to ramp our LPDDR4 solutions into both the flagship and high end segments, and will be introducing our innovative 3D NAND into flagships, and some higher end phones in the second half of calendar 2016.

雖然我們在第二季度行動端認證方面出現了一些失誤，但我們預計這種情況會在今年內逐步改善。我們將繼續增加對旗艦和高階市場的 LPDDR4 解決方案的投入，並將於 2016 年下半年將我們創新的 3D NAND 引入旗艦機型和一些高階手機中。

The embedded business unit posted fiscal Q2 revenue of $460 million, down 4% from the previous quarter with a non-GAAP operating income of $87 million, or 19% of revenue. The results were primarily impacted by softness in demand from the consumer and industrial multi-market segments, offset by continued strength in the automotive segment.

嵌入式業務部門公佈的第二財季營收為 4.6 億美元，比上一季下降 4%，非 GAAP 營業收入為 8,700 萬美元，佔營收的 19%。業績主要受到消費品和工業多市場領域需求疲軟的影響，但汽車領域的持續強勁表現抵消了這一影響。

Looking ahead, we continue to see increasing demand in both DRAM and e.MMC for automotive application that includes infotainment, instrument cluster, and advanced driver assistance systems. In addition, our NOR [XTRMFlash] product introduced last quarter continues to gain adoption with key chipset and system-on-chip venders within the automotive ecosystem.

展望未來，我們將繼續看到汽車應用領域（包括資訊娛樂系統、儀錶板和高級駕駛輔助系統）對 DRAM 和 e.MMC 的需求不斷增長。此外，我們上季推出的 NOR [XTRMFlash] 產品繼續受到汽車生態系統中主要晶片組和系統晶片供應商的青睞。

Our industrial multi-market segment, we are seeing good design-in activity of our M500IT industrial SSDs and specialty DRAM. And in the connected home segment, we are seeing increased DRAM demand from key set-top-box customers in both Asia and North America.

在我們的工業多市場領域，我們看到 M500IT 工業 SSD 和專用 DRAM 的設計導入活動良好。在智慧家庭領域，我們看到亞洲和北美的主要機上盒客戶對 DRAM 的需求都在增加。

Micron's storage business unit posted fiscal Q2 revenue of $901 million, up 2% from the previous quarter, with a non-GAAP operating loss of $18 million, which represents 2% of revenue. We continue to optimize our product mix to address market challenges, particularly in the client and data center SSD segments. Our trade NAND component bit growth was up 16% quarter-over-quarter, and we see demand increasing, driven by OEM enterprise solution providers and web scale customers who want to leverage the energy savings and performance gain enabled by Micron Flash.

美光儲存業務部門公佈第二財季營收為 9.01 億美元，較上一季成長 2%，非 GAAP 營運虧損為 1,800 萬美元，佔營收的 2%。我們將繼續優化產品組合，以應對市場挑戰，尤其是在客戶端和資料中心 SSD 領域。我們的貿易 NAND 元件位元成長季增 16%，我們看到需求不斷成長，這主要得益於 OEM 企業解決方案供應商和網路規模客戶希望利用 Micron Flash 帶來的節能和效能提升。

In our client and consumer SSD segment, consecutive quarter bit growth was up 13%, reflecting accelerated SSD adoption in OEM Ultrabook and Ultrathin PCs. In our enterprise SSD segment, we are starting to ship our S600 series SAS drive, Micron's first product produced through our strategic partnership with Seagate. We expect to realize revenue from this new product line in Q3, as we move into volume production.

在我們的客戶和消費者 SSD 領域，連續季度的比特成長率上升了 13%，反映出 OEM 超極本和超薄 PC 加速採用 SSD。在我們的企業級 SSD 領域，我們開始出貨 S600 系列 SAS 硬碟，這是美光透過與希捷的策略合作生產的第一款產品。我們預計將在第三季從這條新產品線中獲得收入，屆時我們將進入量產階段。

Finally, the data center SSD market segment saw significant downward pricing pressure, driven by TLC-enabled competitors and aggressive competition for hyperscale business. Micron's participation in this market has been measured, and in the second quarter, we strategically shifted bit supply from this segment to more favorable market -- margin opportunities.

最後，由於採用 TLC 快閃記憶體的競爭對手以及超大規模業務的激烈競爭，資料中心 SSD 市場區隔領域面臨明顯的價格下行壓力。美光對該市場的參與一直較為謹慎，在第二季度，我們已將部分晶片供應從該領域策略性地轉移到利潤更有利的市場機會。

Looking at the Company overall, as Mark noted earlier, revenue for the second quarter was $2.93 billion, which is at the low end of our guided range. Our revenues were impacted by seasonality, timing of product launches, and DRAM and NAND pricing pressure driven primarily by the PC end market. Gross margin for the quarter was 20%, 5 percentage points below the previous quarter, and at the high end of our guidance.

從公司整體來看，正如馬克之前提到的，第二季的營收為 29.3 億美元，處於我們預期範圍的下限。我們的收入受到季節性因素、產品發佈時間以及主要由 PC 終端市場驅動的 DRAM 和 NAND 價格壓力的影響。本季毛利率為 20%，比上一季下降 5 個百分點，處於我們預期的高端。

The non-GAAP net loss for the second quarter was $48 million, or $0.05 per share, at the favorable end of our guided range. Gross margin reflects the pricing environment noted earlier, as well as the timing of our leading edge technology migrations. As we've noted before, these migrations will generate more substantial cost per bit reductions, starting in fiscal Q3 for DRAM and fiscal Q4 for NAND.

第二季非GAAP淨虧損為4,800萬美元，即每股虧損0.05美元，處於我們預期範圍的有利區間。毛利率反映了前面提到的定價環境，以及我們前沿技術遷移的時機。正如我們之前指出的，這些遷移將帶來更顯著的每比特成本降低，DRAM 將從第三財季開始，NAND 將從第四財季開始。

As a reminder, Micron includes both amortization of acquisition intangibles and stock compensation expense in our non-GAAP reporting. Taken together, these two items represent $0.06 per share for the recently completed quarter.

需要提醒的是，美光公司在非GAAP報告中同時包含了收購無形資產攤銷和股票補償費用。合計，這兩項加起來，在最近結束的季度中，每股收益為 0.06 美元。

Looking at results by product line, DRAM revenue decreased 18% compared to the first fiscal quarter, primarily as a result of lower average selling prices, and lower volume shipments. During the second quarter, DRAM bit inventories increased as a result of the 20-nanometer ramp, and the timing of product qualifications with certain mobile customers.

以產品線來看，DRAM 營收與第一財季相比下降了 18%，主要原因是平均售價下降和出貨量下降。第二季度，由於 20 奈米製程的量產以及與某些行動客戶的產品認證時間安排，DRAM 位元庫存增加。

While we currently expect substantial growth in the volume of DRAM sales in Q3, we also expect an additional inventory increase that will become available for incremental revenue during the following quarters. The further market adoption of DDR4 products continued in the second quarter, and represented approximately 26% of total DRAM volume sales. As a result of decreases in average selling prices, DRAM gross margin was lower than in our previous quarter at approximately 20%, while bit costs remain relatively flat.

雖然我們目前預計第三季 DRAM 銷售將大幅成長，但我們也預計庫存將進一步增加，這將在接下來的幾季帶來額外的收入。第二季度，DDR4產品的市場接受度持續提高，約佔DRAM總銷量的26%。由於平均售價下降，DRAM 毛利率比上一季下降，約 20%，而比特成本則保持相對穩定。

Our non-volatile trade revenue decreased 6% compared to the first quarter, as a result of the decrease in selling prices, partially offset by higher sales volume. Gross margin decreased a couple of percentage points, as improvement in per bit costs nearly offset the decrease in selling prices. Non-GAAP operating expenses for the quarter came in at $583 million, slightly below the midpoint of our guided range.

由於銷售價格下降，我們的非波動性貿易收入與第一季相比下降了 6%，但銷售量增加部分抵消了這一降幅。毛利率下降了幾個百分點，因為每比特成本的改善幾乎抵消了售價的下降。本季非GAAP營運支出為5.83億美元，略低於我們預期範圍的中點。

The Company generated operating cash flow of $763 million during the second quarter, and we ended the quarter with cash and marketable investments of approximately $5.1 billion. Expenditures for PP&E during the quarter were $1.2 billion, and we continue to expect our FY16 capital expenditures to be in the $5 billion range, net of partner contributions.

公司第二季經營現金流為 7.63 億美元，季末現金及有價投資約 51 億美元。本季固定資產支出為 12 億美元，我們繼續預期 2016 財年資本支出（扣除合夥人出資）將在 50 億美元左右。

During the second quarter, we borrowed approximately $425 million with equipment financing, and also repaid the third installment on the former Elpida creditor debt, bringing the total repayment to approximately half of the total debt.

第二季度，我們透過設備融資借入了約 4.25 億美元，並償還了前 Elpida 債權人債務的第三期款項，使償還總額達到總債務的約一半。

Moving now to our third fiscal quarter guidance. On the non-GAAP basis, we expect the following: consolidated revenue in the range of $2.8 billion to $3.1 billion, gross margin in the range of 16.5% to 19%, operating expenses between $560 million and $610 million, operating income ranging between a loss of $70 million and income of $10 million and an EPS range between a loss of $0.12 per share and a loss of $0.05 per share based on 1.036 billion shares.

接下來是我們的第三財季業績展望。根據非GAAP準則，我們預期：合併收入在28億美元至31億美元之間，毛利率在16.5%至19%之間，營業費用在5.6億美元至6.1億美元之間，營業收入在虧損7000萬美元至盈利1000萬美元之間，每股收益在虧損0.12美元之間虧損（10.53億美元之間。

Operationally, we are on track to achieve the bit growth and cost per bit reduction targets outlined in our recent Analyst Day. Along these lines, we expect strong double-digit bit growth and related cost reductions for DRAM in fiscal Q3, as a result of the deployment of our 20-nanometer technology. These trends will continue in future quarters, along with the benefits of expected improvements in seasonality, and further progress on our product qualifications. Our 3D NAND ramp in manufacturing is proceeding well, and we expect to see significant bit growth and cost reductions starting in fiscal Q4. With that, I'll turn it back over to Mark.

在營運方面，我們正按計劃實現最近分析師日中概述的比特增長和每比特成本降低目標。基於此，我們預計在第三財季，隨著我們 20 奈米技術的部署，DRAM 的位元數將實現強勁的兩位數成長，同時成本也將降低。這些趨勢將在未來幾季持續下去，同時季節性因素也有望改善，產品認證也將取得進一步進展。我們的 3D NAND 晶片生產爬坡進展順利，我們預計從第四財季開始，晶片容量將大幅成長，成本將大幅降低。這樣，我就把麥克風交還給馬克了。

Thank you, Ernie. There is one additional thing I would like to mention, before opening up the call for questions. As you know, Mark Adams resigned for health reasons at the beginning of the year. Rather than directly replacing his role, we have decided to make, and are in the process of implementing some changes to our organizational structure, that we believe will effectively ensure our ongoing competitiveness.

謝謝你，厄尼。在正式開始提問之前，我還有一件事想提。如你所知，馬克亞當斯年初因健康原因辭職。我們沒有直接替換他的職位，而是決定對我們的組織結構進行一些改變，並且正在實施這些改變，我們相信這些改變將有效地確保我們持續的競爭力。

To summarize, we continue to navigate challenging market conditions, and we are working to match the timing of our leading edge output, with the right mix of customers and end markets. We remain confident in the long-term health of the industry, and our strategy to improve our relative competitive position. Operator, we are now ready to begin Q&A.

總而言之，我們仍在應對充滿挑戰的市場環境，並努力使我們的領先產品在上市時間上與合適的客戶和終端市場組合相匹配。我們對產業的長期健康發展以及我們提升相對競爭地位的策略仍然充滿信心。操作員，我們現在可以開始問答環節了。

Thank you, sir. Our first question comes from the line of Mark Delaney of Goldman Sachs. Your question, please?

謝謝您，先生。我們的第一個問題來自高盛的馬克·德萊尼。請問您的問題是什麼？

Yes. Good afternoon, and thanks for taking the question. First question is on the inventory, which I know Ernie, you talked about increasing this quarter, then potentially again next quarter. Can you just talk about how you expect to work down inventory going forward, and if you need to do anything on the utilization front, in order to manage the inventory levels?

是的。下午好，感謝您回答這個問題。第一個問題是關於庫存的，我知道厄尼，你之前說過這季度會增加庫存，下季度可能還會增加。您能否談談您打算如何逐步減少庫存，以及為了控制庫存水平，您是否需要在利用率方面採取任何措施？

No, we don't expect to do anything on the utilization front. And we think the substantial majority of the inventory will be worked through in the fourth fiscal quarter, with maybe a little bit carrying over into Q1, but we don't foresee anything beyond that.

不，我們不打算在利用率方面採取任何行動。我們認為絕大部分庫存將在第四財季消化完畢，可能有一小部分會延續到第一財季，但我們預計不會再有更多庫存了。

Okay. Then for a follow-up on the gross margin outlook for next quarter, can you just help us better understand some of the mechanics that are driving the decline, and if any color between the different segments of how gross margins might trend?

好的。那麼，關於下一季的毛利率前景，您能否幫助我們更了解導致毛利率下降的一些機制，以及不同業務部門的毛利率走勢有何區別？

I think, if you accept that the cost reductions are on track with what we articulated in our Analyst Day, really it sort of boils down to what your assumption is relative to the pricing environment. And certainly, we've embedded certain assumptions in our guided range, and really want to make sure that we're communicating that the issue relates to an assumption around the pricing environment, and not the realization of the cost reduction of the Company.

我認為，如果你認同成本削減正按我們在分析師日上闡述的那樣進行，那麼實際上就取決於你對定價環境的假設是什麼。當然，我們在指導範圍內也融入了一些假設，我們真的想確保我們傳達的訊息是，這個問題與定價環境的假設有關，而不是公司成本降低的實現。

Thank you very much.

非常感謝。

Thank you. Our next question comes from Steven Fox of Cross Research. Your line is open.

謝謝。我們的下一個問題來自 Cross Research 公司的 Steven Fox。您的線路已開通。

Thanks. Good afternoon. I was wondering if you could just provide a little more color on the qualifications on the mobile side? Any issues as to why you missed a window, and why it won't penalize you maybe for more than a couple of quarters? And then secondly, just on the client SSD business, if I look at numbers in terms of pricing in the last three months or so, you're seeing pretty sharp ASP declines on average for client SSDs. And I'm just curious, given I know -- I understand the cost basis is going down, but relative to those cost declines, how close are you to coming to acceptable margins, once you get through the technology transition? Thanks.

謝謝。午安.我想請您再詳細介紹一下行動端的資質要求？對於錯過比賽窗口的原因，以及為什麼不會因此受到超過幾個季度的處罰，您有什麼疑問嗎？其次，就客戶端 SSD 業務而言，如果我看一下過去三個月左右的價格數據，你會發現客戶端 SSD 的平均售價出現了相當大幅度的下降。我只是好奇，我知道──我理解成本基礎正在下降，但相對於這些成本下降，一旦完成技術轉型，你們離達到可接受的利潤率還有多遠？謝謝。

Yes. So first, relative to the qualifications, obviously, when you're ramping multiple new fabs on new technology nodes, and simultaneously transitioning to new densities and new IOs, it's a complicated thing to keep everything completely aligned with all the various customer requirements and customer product rollouts, particularly in a design-in, more sticky environment like we experienced in the mobile segment. So really what we experienced is more of a timing issue, relative to some of those products at some of those customers, and we're very confident that the product meets their needs.

是的。首先，就資格而言，顯然，當你在新技術節點上快速建造多個新晶圓廠，並同時過渡到新的密度和新的 I/O 時，要讓所有事情都與各種客戶要求和客戶產品發布完全一致是一件複雜的事情，尤其是在像我們在移動領域經歷的那種設計融入、更具粘性的環境中。所以，我們遇到的其實更多的是一個時間問題，相對於某些客戶而言，我們的一些產品存在這個問題，但我們非常有信心，該產品能夠滿足他們的需求。

It's just a matter of now getting them queued up, and through the qualification cycle. So I'm very, very confident that, that we have a good handle on the timing. And that's why we continue to build those products, and are confident in holding an amount of inventory to cover that.

現在的問題只是如何讓他們排隊，並完成資格賽流程。所以我非常有信心，我們對時間把控得很好。正因如此，我們才會繼續生產這些產品，並且有信心維持足夠的庫存來滿足需求。

Relative to the client SSDs, you're right, there's been significant pressure there. We have talked about strong double-digit growth, in terms of our bit growth on NAND on a go-forward basis, and given that, the significant cost reductions that come with that, as well as the strong ability to ramp TLC as we move late into the year with our 3D NAND. So generally speaking, we feel pretty good about where our NAND business goes, as we move late into this year and into the next year.

相對於客戶端固態硬碟而言，你說得對，那裡的確承受著巨大的壓力。我們已經討論過，就未來 NAND 的比特增長而言，我們將實現強勁的兩位數增長，考慮到這一點，隨之而來的是成本的大幅降低，以及隨著我們 3D NAND 在今年晚些時候實現 TLC 產能的強大提升能力。總的來說，我們對 NAND 業務在今年稍後和明年的發展前景感到相當樂觀。

Okay. So just to be clear, the costs, you still feel like the cost reductions can -- obviously, those margins aren't going to be above average, but you feel like you can get into an acceptable range and ramp volumes in there, by the fourth fiscal quarter, is that fair to say?

好的。所以為了明確起見，關於成本，您仍然認為成本削減可以——顯然，這些利潤率不會高於平均水平，但您認為到第四財季，您可以將其控制在可接受的範圍內並提高產量，這樣說公平嗎？

I'm not going to predict anything relative to ASPs or margins, but I do feel very confident that our 3D NAND ramp and TLC ramp are as predicted, with the associated cost gains that you would expect, and that we've previously discussed.

我不會預測平均售價或利潤率，但我非常有信心，我們的 3D NAND 和 TLC 產能爬坡將如預期般順利，並帶來您所期望的成本收益，這也是我們之前討論過的。

Great. That's very helpful. Thank you.

偉大的。那很有幫助。謝謝。

Thank you. Our next question comes from Mehdi Hosseini of SIG.

謝謝。下一個問題來自 SIG 的 Mehdi Hosseini。

Yes, thanks for taking my question. Mark, as you look into the second half, especially with the mix shift that's shifting more towards mobile and server DRAM, how should we think about the die penalty, and increased DRAM bits that are coming from your migration to 20-nanometer? You do get a better cost decline, but there's also a mix shift that carries a die penalty. And I'm just trying to better understand those dynamics. And I have a follow-up.

是的，謝謝您回答我的問題。Mark，當你展望下半年時，特別是考慮到產品組合正向移動和伺服器 DRAM 方向轉變，我們應該如何看待晶片性能下降以及從 20 奈米製程遷移到 DRAM 位數增加的問題？雖然成本下降幅度更大，但組合調整會帶來骰子懲罰。我只是想更好地理解這些動態。我還有一個後續問題。

Yes. So you're correct, that some of these new IOs have a die size penalty associated with them. It's a mix of anywhere between 0% and 8%, 9%, 10%, depending on the density and the form factor. I would say that the mix shift that we see is, yes, we will continue to see, as we move through the year, some increase in the growth in the mix, relative to these mobile IDs.

是的。所以你說得對，這些新的 I/O 介面確實會增加晶片尺寸。根據密度和外形尺寸的不同，其比例可能在 0% 到 8%、9% 或 10% 之間。我認為我們看到的組合變化是，隨著時間的推移，相對於這些行動 ID，我們將繼續看到組合成長增加。

Generally speaking, we're also going to see growth in the server segment as well. So generally speaking, we've given you this all-in bit growth guidance of 15% to 25% CAGR over the next couple of years. And that includes the mix effects that we currently anticipate in our business, and I think we're fairly confident in terms of our ability to understand.

總的來說，伺服器領域也將成長。總的來說，我們給出的整體成長預期是未來幾年複合年增長率達到 15% 至 25%。這其中就包括我們目前在業務中預期的混合效應，而且我認為我們對自己理解這些效應的能力相當有信心。

Sure. And then, one question for Ernie, as you go through these inventory adjustments, is there any color you can provide on how we should think about the free cash flow? I know you don't want to comment on margin, but your working capital requirement is going up. Should we assume the cash burn is going to decrease or increase from the just reported quarter, or any other color that you can provide?

當然。那麼，我還有一個問題想問 Ernie，在進行這些庫存調整時，您能否就我們應該如何看待自由現金流提供一些見解？我知道你不想對利潤率發表評論，但你的營運資金需求正在增加。我們應該假設現金消耗量會比剛公佈的季度數據減少還是增加？或者您還有其他什麼看法？

If you look at the guidance we provided for F Q2, and what we provided for F Q3, they are not too dissimilar to one another. And if you look at the CapEx discussion we just had, where we're saying we're still on track to spend about $5 billion. And clearly, we've reported on the first half of the year in terms of CapEx spend, I think you have all the information you need to understand within a reasonable estimable range, what the cash flow environment will likely look like for the third fiscal quarter.

如果您看一下我們為第二季度提供的指導意見，以及我們為第三季度提供的指導意見，您會發現它們之間並沒有太大的區別。如果你看看我們剛才進行的資本支出討論，你會發現我們仍有望支出約 50 億美元。顯然，我們已經報告了上半年的資本支出情況，我認為您已經掌握了所有必要的信息，可以在合理的估計範圍內了解第三財季的現金流環境可能會是什麼樣子。

But you just said that your inventories are going to go higher. I'm just -- would that imply that your operating cash is going to be less, compared to the February quarter?

但你剛才說你的庫存還會增加。我只是想問—這是否意味著與二月的季度相比，您的營運現金流將會減少？

No, because if you think about the reverse, let's say they weren't going higher. You would have expected those to sell through into the revenue line, which would have effectively increased the cash flow vis-a-vis the prior quarter. So the fact that we -- the guidance does really contemplate, if you follow the guide posts I've just provided to you, they'll get you to a pretty good estimate of what is likely to happen on cash flow for the quarter.

不，因為反過來想，假設它們沒有繼續上漲。你會期望這些銷售額能計入收入，從而有效地增加上一季的現金流。因此，事實上，我們的指導意見確實考慮到了這一點，如果您遵循我剛才提供的指導原則，它們將使您對本季度的現金流可能發生的情況做出相當準確的估計。

Okay. Thank you.

好的。謝謝。

Thank you. Our next question comes from the line of Kevin Cassidy of Stifel. Your line is open.

謝謝。我們的下一個問題來自 Stifel 的 Kevin Cassidy。您的線路已開通。

Thanks for taking my question. It seems the automotive market has some good growth in it. Can you give us an idea of what content, what DRAM content can be in the automobile over the years?

謝謝您回答我的問題。汽車市場似乎呈現出良好的成長動能。您能否為我們介紹一下，這些年來汽車中可能會包含哪些內容，特別是DRAM的內容？

Well, I'm probably not -- it varies greatly depending on model obviously. You would think in terms of all-in memory growth, and we think it can be up to $90, $100 a car.

嗯，我可能不是——這顯然因型號而異。你會從整體記憶體成長的角度來考慮，我們認為每輛車可能會增加 90 到 100 美元。

Okay. And would this be above corporate average gross margin, or where does it fit in on the gross margin curve?

好的。這個毛利率會高於公司平均毛利率嗎？或者說，它在毛利率曲線上處於什麼位置？

The automotive business has been pretty strong for us. And it's also, we view it as an attractive business, because the sockets are pretty sticky, the lifetimes of the products are longer. And so, from a total return, it's a very positive market for us.

汽車業務對我們來說一直表現相當強勁。而且，我們認為這也是一項很有吸引力的業務，因為插座的黏性很好，產品的使用壽命更長。因此，從總回報來看，這對我們來說是一個非常積極的市場。

Okay. Thank you.

好的。謝謝。

Thank you. Our next question comes from Rajvindra Gill of Needham & Company. Your line is open.

謝謝。我們的下一個問題來自 Needham & Company 的 Rajvindra Gill。您的線路已開通。

Yes. Thanks for taking my questions. I'm just trying to get a better understanding of the gross margin guide. I'm trying to reconcile the fact that, as we progress throughout the year, you should be getting higher yields on 20-nanometer, and 20 nanometer should represent a higher percentage of the capacity, yet the margins are coming down 300-odd basis points. And so, if you could maybe help me reconcile that, the gross margin guide, relative to the cost reductions improving as you go throughout the year, that would be helpful?

是的。謝謝您回答我的問題。我只是想更好地理解毛利率指南。我正在努力理解這樣一個事實：隨著一年的推進，20 奈米製程的良率應該更高，20 奈米製程的產能佔比也應該更高，但利潤率卻下降了 300 多個基點。所以，如果您能幫我理清毛利率指引值與全年成本降低之間的關係，那就太好了？

I think it's very similar to the answer, of one of the earlier questions, which is we are very confident, and provided some pretty clear visibility into what we think is happening with the cost structure. And as I said earlier, we all have an assumption set around what's going to happen in the pricing environment. And so, depending on your assumption about that -- and we certainly have taken a view that suggests that you're going to continue to see some of the pressure that we've seen over the recent quarters. So the, the gross margin guide is very, very centered around an ASP assumption, versus any doubt about our ability to achieve our cost reductions.

我認為這與之前某個問題的答案非常相似，那就是我們非常有信心，並且對我們認為成本結構正在發生的情況給出了相當清晰的解釋。正如我之前所說，我們都對價格環境的發展趨勢有所預期。因此，這取決於你對此的假設——我們當然也持這種觀點，即你將繼續看到我們在最近幾季所看到的一些壓力。因此，毛利率指導方針非常非常以平均售價假設為中心，而忽略了我們實現成本降低目標的任何可能性。

So why would you -- in the second half, calendar second half, what makes you optimistic that the pricing is going to -- or the overall DRAM environment is going to get better, and somehow lead to better DRAM pricing? And along those lines, can you talk a little bit about, why has the pricing been so weak the last several quarters, and why would it somehow abate going forward, if that's the case?

那麼，你為什麼會——在下半年，也就是日曆上的下半年——樂觀地認為價格會——或者說整個DRAM環境會變得更好，從而以某種方式帶來更好的DRAM價格呢？基於此，您能否談談為什麼過去幾季的價格如此疲軟，以及如果情況確實如此，為什麼未來價格會有所回落？

I'm not sure I said that I thought it would improve at all. So I don't think I went there. And as a result of that, I think I said we expect to see continued pricing pressure. And certainly, if you think about our discussion around our inventory build, and that being in the mobile business, and the mobile typically being at the upper end of the gross margin continuum, rather than the PC segment, it does help explain some of the thinking that went into our gross margin guide for the quarter.

我不確定我是否說過我認為情況會有所改善。所以我想我沒去過那裡。因此，我想我說過，我們預計價格壓力將持續存在。當然，如果你想想我們關於庫存建設的討論，考慮到這是行動業務，而行動業務通常處於毛利率連續體的高端，而不是 PC 業務，這確實有助於解釋我們本季毛利率預期的一些思路。

Just last question, what is the basis of the comment, that you're going to improve your competitive position as you move throughout the second half of 2016? If, as you just acknowledged that the pricing environment, we don't know what is going to happen -- it could get worse, could get better -- why would your competitive positioning improve in the second half?

最後一個問題，您認為在 2016 年下半年，您的競爭力將會提升，這個結論的依據是什麼？正如你剛才所承認的，我們不知道當前的定價環境將會發生什麼事——可能會變糟，也可能會變好——那麼，為什麼你的競爭地位會在下半年得到改善呢？

So there is always a mix piece of the equation that may vary from competitor to competitor. But if you set that aside, I think we've outlined that we think our bit growth and our cost downs, particularly in DRAM starting in Q3, and in NAND later in the quarter, are going to be significant relative to what you would expect for an industry average. And that's really what drives the fundamental equation, relative to relative competitive position, irrespective of what market conditions might look like.

因此，等式中總會有一個組成部分因競爭對手而異。但撇開這一點不談，我認為我們已經闡明，我們認為我們的比特增長和成本下降，特別是從第三季度開始的 DRAM，以及本季度晚些時候的 NAND，相對於行業平均水平而言將是顯著的。而這才是真正驅動基本等式的因素，也就是相對於相對競爭地位而言，無論市場狀況為何。

All right. Thank you, sir.

好的。謝謝您，先生。

Thank you. Our next question comes from John Pitzer of Credit Suisse. Your question, please?

謝謝。下一個問題來自瑞士信貸的約翰‧皮策。請問您的問題是什麼？

Hi. This is Farhan. I am asking the question on behalf of John. Thanks for taking the question. My first question is regarding the cost reductions that you just reported for DRAM and NAND. It seems like the NAND cost reductions were pretty significant. They came in at 12% quarter-on-quarter, whereas DRAM was somewhat less than what I would have thought, like the cost per bit actually went up. Can you talk about what drove the bit cost reduction in NAND? And also on DRAM, like why are we not seeing any benefit from the 20-nanometer transition yet?

你好。這是法罕。我替約翰問這個問題。感謝您回答這個問題。我的第一個問題是關於您剛才報告的DRAM和NAND的成本降低情況。NAND快閃記憶體的成本降低幅度似乎相當大。它們的季度環比成長率為 12%，而 DRAM 的成長率略低於我的預期，感覺每比特的成本實際上上升了。您能談談是什麼因素推動了NAND​​快閃記憶體的比特成本降低嗎？還有DRAM方面，為什麼我們還沒有看到20奈米製程過渡帶來的任何好處？

Well, we had significant bit growth in NAND in the quarter, and typically you would expect that cost reduction associated with that. On the DRAM side, while we did, I think, experience a measure of success relative to the progress we made on our 20-nanometer, and the placement of those products with customers, there is a mix impact that is somewhat of a headwind related to the type of memory, and in particular, LPDDR4 and DDR4 versus LPDDR3 and DDR3, that is a headwind relative to bit growth.

本季我們的 NAND 快閃記憶體位數大幅成長，通常情況下，你會預期成本會隨之降低。在 DRAM 方面，雖然我認為我們在 20 奈米製程方面取得了一定的成功，這些產品也已交付給客戶，但記憶體類型，特別是 LPDDR4 和 DDR4 與 LPDDR3 和 DDR3 之間的差異，對位成長構成了一定的阻礙。

We will overwhelm that as we move through the next couple of quarters, as we've talked about, but that has been a little bit of a headwind. And then, when you layer on top of that some of the inventory growth in high margin products -- or what are higher margin products, typically the mobile piece of the business, that was somewhat of a headwind relative to the cost reduction for DRAM in the current quarter.

正如我們之前討論過的，在接下來的幾個季度裡，我們將克服這一困難，但這確實給我們帶來了一些阻力。此外，高利潤產品（通常是行動業務）的庫存成長也對本季 DRAM 的成本降低構成了一定的不利影響。

Got it. And then one question related to your inventories, like you are holding a little bit longer inventory. And given that the mix is such a big factor in, like on the mobile side, it seems like it's very specific to the products that you are designed in. Should we assume like most of the inventory you are holding mostly is going to be in the PC, or can you hold inventory in other segments of the market as well?

知道了。然後還有一個關於庫存的問題，像是你們的庫存持有時間稍微長了一些。鑑於混合模式是一個非常重要的因素，例如在行動端，它似乎與你所設計的產品密切相關。我們是否可以假設您持有的大部分庫存都將是個人電腦產品，還是您也可以持有其他市場領域的庫存？

No. In particular, the inventory that we're holding has primarily been around timing of product qualifications. And while there is a mix of different types of products in that inventory, I wouldn't direct you to the compute market in particular. In fact, I would say that the mobile is more significant piece of that.

不。具體來說，我們目前持有的庫存主要與產品認證的時間有關。雖然該庫存中包含各種不同類型的產品，但我不會特別建議您關注電腦市場。事實上，我認為行動裝置是其中更重要的組成部分。

Thank you. That's all I had.

謝謝。這就是我全部的家當。

Let me just add -- additionally, it's -- we're not taking what we think is any significant risk here. These are products that we have high confidence are going to sell through, and are pretty fungible among customers.

我還要補充一點——此外——我們認為我們並沒有承擔任何重大風險。我們非常有信心這些產品會暢銷，而且它們在顧客之間具有很強的可替代性。

Thank you.

謝謝。

Thank you. Our next question comes from Tim Arcuri of Cowen and Company. Your line is open.

謝謝。我們的下一個問題來自 Cowen and Company 的 Tim Arcuri。您的線路已開通。

Hi. Thanks a lot. I had a question on gross margin as well. But I guess, I'm just -- I want to make sure I have the right message from what you're saying. It sounds like that you're saying that, look, from the gross margin guidance, that it would appear that maybe you're not getting the cost downs, but in fact you are. It's just that pricing is basically overwhelming the cost downs in the May quarter. Is that the message?

你好。多謝。我還有一個關於毛利率的問題。但我想，我只是——我想確保我理解了你所說的意思。聽起來你的意思是，從毛利率預期來看，似乎你們沒有實現成本下降，但實際上你們做到了。只是價格上漲基本上抵消了五月季度的成本下降。這就是你想傳達的訊息嗎？

We're not going to forecast the May quarter pricing for you (laughter). We -- no matter how many different ways we go at it, Tim, unfortunately, we can't tell you that. But what we can tell you, we're pretty comfortable with our cost downs and our bit growth, being along the lines of what we previously forecast to you, and we're very comfortable with the way everything's progressing in manufacturing. So yes, you've got to take that last little piece, and plug it in yourself.

我們不會替你預測五月季度的價格（笑聲）。提姆，無論我們嘗試多少種不同的方法，很遺憾，我們都無法告訴你答案。但我們可以告訴大家的是，我們對成本下降和業務成長都相當滿意，這與我們先前預測的情況基本一致，而且我們對製造方面的一切進展都非常滿意。所以，是的，你得自己把最後一小塊零件插上去。

Yes, and I'd add to that, Tim, that it's important to remember that we've always looked at NAND cost reduction, as more of a Q4 event with DRAM in Q3. And if you, again, couple that with the color we've provided around inventory, and that being predominantly attributable to one of the higher margin segments, I think you'll find that if you triangulate around all of this, it's pretty easy to understand that what we're saying around cost reduction, is in fact reality.

是的，蒂姆，我還要補充一點，重要的是要記住，我們一直把降低 NAND 成本看作是第四季度的事情，而降低 DRAM 成本則是在第三季度。如果你再結合我們提供的庫存相關信息，以及庫存主要來自高利潤率細分市場的情況，我認為你會發現，如果你對所有這些進行綜合分析，就很容易理解我們所說的降低成本實際上是事實。

Got it. Thanks, Ernie. And then, just one more. So can you talk about Inotera? May is the first full quarter of the new agreement. Of course, you're in the process of buying them, but the market dynamics have changed a lot since you last talked about the impact. So can you maybe help us a little bit about handicapping what the impact of the change in the agreement is on the May quarter guidance?

知道了。謝謝你，厄尼。然後，就再來一個。那麼，可以談談Inotera嗎？五月是新協議生效後的第一個完整季度。當然，你現在正在購買這些股票，但自從你上次談到其影響以來，市場動態已經發生了很大變化。那麼，您能否幫我們稍微預測一下協議變更對五月季度業績指引的影響？

Sure. So obviously, with the change in the market, since the time we've talked about the acquisition, the benefits, whether you assume it's the new arrangement or the full consolidation, are actually more muted. We still believe that they are positive, but significantly more muted than the time when we originally announced things. And we would expect from a handicapping point of view, F Q1 would be the first time you'd see the big uplift, and the impacts that we have previously talked about, relative to margin accretion starting in the third quarter, have obviously changed as a result of the change in the market environment.

當然。顯然，自從我們討論收購以來，隨著市場的變化，無論你認為這是新的安排還是完全的整合，其帶來的好處實際上都比較微弱。我們仍然認為這些消息是積極的，但與我們最初宣布這些消息時相比，這些消息的動機明顯降低。從預測的角度來看，我們預計第一季將會大幅成長，而我們之前討論過的關於第三季開始利潤率成長的影響，顯然由於市場環境的變化而發生了改變。

Okay. Thanks.

好的。謝謝。

Thank you. Our next question comes from C.J. Muse of Evercore ISI. Your question, please?

謝謝。我們的下一個問題來自 Evercore ISI 的 C.J. Muse。請問您的問題是什麼？

Hi. This is [Ada] calling in for C.J. I was wondering if you could talk a little bit about the timing of the 1X nano ramp, and also the required CapEx there?

你好。我是[Ada]，替C.J.打電話。我想請您談談1X奈米晶片產能爬坡的時間安排，以及所需的資本支出？

Yes, not a whole lot to communicate on that yet, other than we have started early silicon in the fab in Taichung. And it's a process that we don't believe will result in any significant volume on 110 -- on what we call 110 series, our 1X nanometer node until we get into 2017.

是的，目前還沒有太多可以透露的訊息，除了我們已經在台中晶圓廠開始了早期矽片的生產。我們認為，在 2017 年之前，這項製程不會在 110 系列（即我們的 1X 奈米節點）上產生任何顯著的產量。

Thank you. And in terms of the financing for the Inotera acquisition, any updates there?

謝謝。關於Inotera收購案的融資情況，有什麼最新進展嗎？

That's moving along as we expected. So there's no new news from the last time that we shared things publicly.

事情進展正如我們所預期的。所以，自從上次我們公開分享消息以來，並沒有什麼新的消息。

Thank you.

謝謝。

Thank you. Our next question comes from the line of Joe Moore of Morgan Stanley. Your line is open.

謝謝。我們的下一個問題來自摩根士丹利的喬·摩爾。您的線路已開通。

Great. Thank you. I wanted to clarify one thing. On the slides, it says the capital expenditures is $5.3 billion to $5.8 billion net of the partner contribution. Is it still $5 billion net of partner contribution, is that right?

偉大的。謝謝。我想澄清一件事。投影片顯示，扣除合夥人出資後，資本支出淨額為 53 億至 58 億美元。扣除合作夥伴的出資後，淨額仍是 50 億美元，對嗎？

Yes, it is still $5 billion net of partner contribution.

是的，扣除合作夥伴的出資後，淨額仍是50億美元。

Okay, great. And then with the mobile issue, is that something that you were able to anticipate? Did you know that three months ago, when you talked about the quarter, when you planned the fab, or did that surprise you over the course of the quarter? And what happened for like-for-like pricing in the mobile space, outside of that issue?

好的，太好了。那麼關於行動裝置的問題，這是你們能夠預料到的嗎？三個月前，當你談到季度計畫時，你是否知道這一點？還是說，這讓你在本季中感到驚訝？除了這個問題之外，行動領域的同類產品定價情況如何？

The -- we ended up in a slightly different place, relative to what we sold through relative to mobile. That is fair to say. Relative to mobile pricing, down mid single-digits in the quarter we finished.

最終，我們的情況與透過移動端銷售的情況略有不同。這話沒錯。與行動端定價相比，本季下降了個位數百分比。

Great. Thank you very much.

偉大的。非常感謝。

Thank you. Our next question comes from Vijay Rakesh of Mizuho. Your line is open.

謝謝。下一個問題來自瑞穗銀行的Vijay Rakesh。您的線路已開通。

Yes, hi, guys. Just looking at the May quarter, the softness in the gross margin side, when you -- as you ramp your 20-nanometer LPDDR4, once it gets qualified, let's say, and 3D NAND, do you expect the margins to improve once they start shipping? Obviously, most of it is (inaudible) in inventory now. Can you give us some color there?

是的，大家好。僅從五月的季度來看，毛利率方面表現疲軟。假設您提高 20 奈米 LPDDR4 的產能，一旦獲得認證，以及 3D NAND 的產能，您預計一旦開始出貨，利潤率會有所改善嗎？顯然，大部分現在都在庫存裡。可以為我們描述一下具體情況嗎？

We continue to focus around our costs and our cost competitiveness. We really don't get in the business of forecasting margins, because there's a pricing environment piece of that, which we have very little control over. So we can talk clearly about what we think is going to happen on the cost front. We've done that. I'm happy to reiterate that, but margins is not something we're in the business of doing.

我們將繼續關注成本控制和成本競爭力。我們其實不涉足利潤率預測領域，因為利潤率會受到定價環境的影響，而定價環境是我們幾乎無法控制的因素。這樣我們就可以清楚地討論我們認為成本方面將會發生什麼情況。我們已經做到了。我很樂意重申這一點，但利潤率並不是我們關注的重點。

All right. And on the 3D NAND side, I guess, just looking at 3D NAND and LPDDR4, what do you expect the mix -- what is the mix here, and where do you see the mix, let's say, by exiting calendar 2016?

好的。至於 3D NAND，我想，就 3D NAND 和 LPDDR4 而言，您預計它們的組合會是什麼樣的？到 2016 年底，您認為它們的組合會是什麼樣的呢？

Well, we've talked about being over 50% 3D NAND in the fall. And so, if you want more precision than that, probably not ready to go there yet, other than to say, we continue to be very happy with the way that technology is rolling out in manufacturing. We're very satisfied with the quality, and our ability to apply TLC versions of our 3D NAND, and that will provide an added boost really later in the fall, and into the beginning of 2017.

嗯，我們之前討論過，到今年秋季，3D NAND 的比例將超過 50%。因此，如果您想要比這更高的精確度，可能目前還不是時候，但除此之外，我們仍然對製造業技術的發展方式感到非常滿意。我們對產品品質非常滿意，並且能夠應用 TLC 版本的 3D NAND，這將在秋季晚些時候以及 2017 年初帶來額外的推動作用。

Okay, great. Thanks.

好的，太好了。謝謝。

Thank you. Our next question comes from Justin Li of Robert Baird. Your line is open.

謝謝。我們的下一個問題來自 Robert Baird 公司的 Justin Li。您的線路已開通。

Thanks for taking the question. This is Justin calling on behalf Tristan Gerra. My first question would be, could you share your view on the recent memory investment from China?

感謝您回答這個問題。我是賈斯汀，代表特里斯坦·格拉打電話。我的第一個問題是，您能否分享一下您對中國近期在記憶體領域的投資有何看法？

Well, it's -- I don't think I've got anything really new to say about that. I think we've said before, that we anticipated that clearly China was interested in being in the memory market, and that they would look for ways to find partners or to grow organically. We've now heard about significant investments in organic growth. But we would remind everyone that we believe that there's significant technology hurdles, and intellectual property requirements in terms of being a major player in the memory space. And we think it's going to be a challenging road for the -- for organic, and it will take some time.

嗯，我覺得我在這方面沒什麼新的要說的了。我認為我們之前說過，我們預料到中國顯然對進入記憶體市場很感興趣，他們會尋找合作夥伴或實現自身成長的方法。我們現在聽說了對有機成長的大量投資。但我們想提醒大家，我們認為，要成為記憶體領域的主要參與者，存在著巨大的技術障礙和智慧財產權要求。我們認為，對於有機農業來說，這將是一條充滿挑戰的道路，而且需要一些時間。

Okay. Thanks. My next question is regarding the 3D cross point that you will start to sell next year, which customers are you going to sell to? And how much cannibalization do you think it will bring to DRAM and NAND?

好的。謝謝。我的下一個問題是關於您明年將開始銷售的 3D 交叉點，您打算向哪些客戶銷售？你認為這將對DRAM和NAND造成多大的市場蠶食？

Yes. It's -- well, first of all, you're right. This year we're in enablement mode, and we're working with a number of different end market segments. Some customers in -- have significant interest in mobile. Some customers in enterprise for Big Data applications, some in mobile for low-power, some of the low-power benefits.

是的。嗯——首先，你說得對。今年我們處於推廣階段，正在與多個不同的終端市場領域合作。部分客戶對行動裝置表現出濃厚的興趣。部分客戶在企業使用大數據應用，部分客戶在行動應用中使用低功耗技術，以及低功耗技術帶來的部分優勢。

Early on, as we ramp this technology, we expect cannibalization to be low to zero. Over time, as the technology matures and drives to significantly higher volumes, I would expect some of that volume to come out of what otherwise would have been DRAM, and maybe even eventually what otherwise would have been other types of non-volatile memory. But generally speaking, this is a differentiated technology that will grow the size of the overall memory market at least over the next two, three, four years.

在早期，隨著這項技術的快速發展，我們預計技術蠶食效應將很低甚至為零。隨著時間的推移，隨著技術的成熟和產量的大幅提高，我預計部分產量將來自原本屬於 DRAM 的領域，甚至最終可能來自原本屬於其他類型的非揮發性記憶體的領域。但總的來說，這是一項差異化技術，至少在未來兩到三年內，它將擴大整個記憶體市場的規模。

Thank you.

謝謝。

Thank you. Our next question comes from Jagadish Iyer of Redstone. Your line is open.

謝謝。我們的下一個問題來自 Redstone 的 Jagadish Iyer。您的線路已開通。

Yes, thanks for taking my question. Two questions, Mark. First, on the -- you heard on the DRAM side, the bit growth was substantially less in the last quarter. And you did say that in the fiscal third quarter, you are going to have a significant [chunk of it]. What gives you the confidence that you're going to be ramping successfully on that, given that the -- historically, that you've had some challenges on that? Can you just elaborate your conviction level, on what kind of step-up on the bit growth are we going to see in the second half, between calendar third quarter and fourth quarter, and then in 2017?

是的，謝謝您回答我的問題。馬克，我有兩個問題。首先，正如你們在DRAM方面所聽到的，上個季度的比特成長大幅減少。你也說過，在第三財季，你會得到相當一部分[這部分]。鑑於你過去在這方面遇到過一些挑戰，是什麼讓你有信心能夠成功地實現這一目標？您能否詳細說明您對下半年（即日曆年第三季到第四季之間）以及 2017 年位元成長將會出現何種程度提升的信心？

Yes. So we don't give you bit growth projections for either production or sales anymore, since we're now guiding all the financial numbers. But I think that the broader interpretation of your question is, why are we confident we're going to have the bit growth that we're baking into our models? And the answer there is, we're now a month into the quarter. So a significant part of the output is already out, and another significant part of the output is already running in the fab.

是的。所以我們不再提供產量或銷售額的成長預測，因為我們現在負責所有財務數據。但我認為，你問題的更廣泛解釋是：為什麼我們有信心實現我們在模型中預測的比特成長？答案是，現在已經是本季的一個月了。因此，很大一部分產品已經生產出來，另一部分產品已經在晶圓廠中運作。

We've seen a month of yield data already. And I would just reinforce what we said on our last Analyst Day presentation that the ramp is really -- at that time was, and continues to outperform any previous new technology ramp in terms of yield maturity. And so, we just really like the way it's going. We're seeing strong progress in two fabs in parallel, and we're highly confident that we're going to deliver on the bit growth, and associated cost improvements that we forecast to you previously.

我們已經看到了一個月的收益率數據。我只想重申我們在上次分析師日演講中所說的，當時的爬坡速度確實超過了以往任何新技術在收益率成熟度方面的爬坡速度，而且這種趨勢仍在繼續。所以，我們真的很喜歡目前的發展方向。我們看到兩個晶圓廠並行生產取得了強勁進展，我們非常有信心能夠實現先前向您預測的位元成長和相關的成本改善。

Okay. Just on the cost reduction, how should we be thinking about in terms of, is it going to be -- how -- is there cost reduction for 20-nanometer going to be different from the cost reduction on the 25-nanometer? Can you just elaborate on that part? Or is it going to be similar?

好的。就成本降低而言，我們應該如何考慮，20 奈米製程的成本降低與 25 奈米製程的成本降低會有什麼不同？能詳細解釋一下那部分內容嗎？或者情況會類似？

Well, what we've said is that over a -- the CAGR that we provided which is 2016 and 2017, that we are looking at somewhere in the realm of 25% cost downs versus 20-nanometer. That's more of a cash cost down. And that if you take total costs all-in including depreciation, which we will encounter to a higher degree, a 20-nanometer versus what we encountered at 25-nanometer, we're looking at somewhere between 15% and 25%. So it will -- obviously, in the early days, it will be less. But as we get and ramp to mature yields, you'll expect to see somewhere right in the center of that range.

我們已經說過，根據我們提供的 2016 年和 2017 年的複合年增長率，與 20 奈米製程相比，成本可能會下降 25%。那更多的是現金支出。如果把所有成本都考慮進去，包括折舊（我們會遇到更高的折舊率），20 奈米製程的成本比 25 奈米製程的成本高出 15% 到 25%。所以肯定會這樣——顯然，在初期，這種情況會比較少。但隨著我們獲得並逐步提高產量，最終的收益率應該會在這個範圍的中間位置。

Okay. Thank you so much.

好的。太感謝了。

Thank you. Our next question comes from Steven Chin of UBS.

謝謝。我們的下一個問題來自瑞銀集團的 Steven Chin。

Great. Thanks for taking my questions. Had a couple on NAND flash, if I could. First is, I just wanted to review real quick the cost reduction strategy for SSD products, in particular, as (inaudible) mentioned TLC. I just wanted to make sure, is that TLC 3D NAND, or were you referring to 2D planer TLC as well as part of the lower cost NAND that's going to go into SSD [later] this year?

偉大的。謝謝您回答我的問題。如果可以的話，我會把幾個檔案放在 NAND 快閃記憶體上。首先，我想快速回顧一下 SSD 產品的成本降低策略，特別是（聽不清楚）提到的 TLC。我只是想確認一下，您指的是TLC 3D NAND，還是也包含2D平面TLC，也就是今年稍後將用於固態硬碟的低成本NAND？

So we have planer TLC NAND in the marketplace today. But I think we commented earlier that the SSD, the client SSD and consumer SSD market has been fairly challenged from a pricing perspective. And so, we've been measured in terms of how we approach that end market. I think the more important thing is that, yes, we believe that as we move to 3D NAND, a very significant percentage of our output will eventually become 3D, and that just drives a significant cost reduction above and beyond the conversion to 3D itself.

所以目前市面上已經有平面TLC NAND快閃記憶體了。但我認為我們之前已經提到過，從價格角度來看，固態硬碟、客戶端固態硬碟和消費級固態硬碟市場都面臨相當大的挑戰。因此，我們在如何開拓終端市場方面受到了衡量。我認為更重要的是，我們相信，隨著我們向 3D NAND 過渡，我們產量的很大一部分最終將變成 3D 的，這將帶來顯著的成本降低，而這還不包括向 3D 轉換本身的成本。

Got it. Thanks, Mark. And just as my follow-up, for the gen 2-3D NAND process that you mentioned will be going into -- going through the fabs a little bit later this summer, can you comment on whether the tool set for this gen 2 will be identical to gen 1 that's you're already outfitting in your fabs, or will it require some incremental spending on top of that? Thanks.

知道了。謝謝你，馬克。我還有一個後續問題，您提到第二代/第三代 NAND 工藝將在今年夏天晚些時候進入晶圓廠生產，您能否評論一下，第二代工藝所需的工具集是否與您晶圓廠中已經配備的第一代工藝相同，還是需要在此基礎上增加一些投入？謝謝。

So we actually already have gen 2 in a manufacturing fab. What I commented on, was that we would start early production in the summer. So we have -- we actually have product running through a manufacturing fab today on gen 2, and obviously, like the way that's going as well. As to the equipment set, it's not identical, but it is similar equipment. In some cases, more of it, but very, very similar tools.

實際上，我們已經在製造工廠生產第二代產品了。我當時提到的是，我們將在夏季提前開始生產。所以我們現在確實有第二代產品正在工廠裡生產，而且顯然，我們對目前的進展也很滿意。至於設備配置，雖然不完全相同，但屬於類似設備。有些情況下，數量更多，但工具非常非常相似。

Got it. Thank you.

知道了。謝謝。

Thank you. Our next question comes from Romit Shah of Nomura. Your question, please?

謝謝。我們的下一個問題來自野村證券的羅米特·沙阿。請問您的問題是什麼？

Yes, thanks. Just back to inventories, it just seems from my perspective that unless demand gets a lot better, pricing is going to continue to be weak until Micron and the DRAM industry overall cuts production. So my question is, what will it take for that to happen?

好的，謝謝。回到庫存問題上來，在我看來，除非需求大幅改善，否則在美光和整個DRAM產業減產之前，價格將繼續疲軟。所以我的問題是，要發生這種情況需要什麼條件？

We don't have any plans to cut production today (multiple speakers) you could talk, you could see if others do. I don't know.

我們目前沒有削減產量的計劃（多揚聲器），你可以說說看，看看其他人有沒有。我不知道。

Is your point that it's got to come from the market share leader first?

你的意思是說，這必須先來自於市佔率領先的企業嗎？

Well, I think -- well, first of all, we're not going to do it unless we see negative cash margins, because we haven't added any incremental capacity. And we think we would be foolish to be the first ones to take capacity off, given that fact set.

嗯，我認為——首先，除非我們看到現金利潤為負，否則我們不會這樣做，因為我們還沒有增加任何新增產能。鑑於上述事實，我們認為如果我們第一個削減產能，那就太愚蠢了。

Yes. It's important to remember how much of our cost structure is fixed. And so, to Mark's point, as long as we're getting a contribution to that cost structure, that fixed cost structure, it's a really ill-advised move to be unilaterally cutting production.

是的。重要的是要記住，我們的成本結構中有多少是固定成本。所以，正如馬克所說，只要我們還能為成本結構，也就是固定成本結構做出貢獻，單方面削減產量就是一個非常不明智的舉動。

So the other thing I think, just to temper the assumption in your question, DRAM CapEx is going to be down about 30% this year. So I don't think it's necessarily all doom and gloom. As we look at what we think supply growth is going to be going forward, and what we think demand growth is segment by segment, we already gave you our opinion, which is it's going to take a little bit of time, but we think that this is going to be a healthy environment again.

所以我覺得還有一點，為了緩和你問題中的假設，DRAM 資本支出今年將下降約 30%。所以我覺得情況未必那麼糟。當我們展望未來供應成長的預期，以及各個細分市場的需求成長預期時，我們已經表達了我們的觀點，那就是這需要一些時間，但我們認為這將再次成為一個健康的市場環境。

The prevailing view a year ago, was that all the players in the DRAM industry were focused on maximizing profits. But today, the focus seems to be on market share. Mark, maybe you could just give us your perspective on what you think is happening in terms of competitive dynamics?

一年前的主流觀點是，DRAM 產業的所有參與者都專注於實現利潤最大化。但如今，關注點似乎放在了市場份額上。馬克，或許你可以談談你對當前競爭格局的看法？

Yes, our focus isn't on market share. Our focus is on making sure that we have deployed equivalent advanced technology, at least equivalent advanced technology to our competitors, so we that are not incentivizing others to play for market share. And we think that that's really just a prudent thing to do as managers of our business. That we should make sure that we're putting in place efficient manufacturing production capacity, and that's what we're very, very focused on.

是的，我們關注的重點不是市場佔有率。我們的重點是確保我們部署了與競爭對手同等的先進技術，至少是同等的先進技術，這樣我們就不會鼓勵其他人爭奪市場份額。我們認為，身為公司管理者，這樣做確實是一種謹慎的做法。我們應該確保建立高效的製造生產能力，而這正是我們非常非常關注的重點。

Okay. Thank you.

好的。謝謝。

Thank you. Our next question comes from Ian Ing of MKM Partners. Your question, please?

謝謝。我們的下一個問題來自 MKM Partners 的 Ian Ing。請問您的問題是什麼？

Yes. Thank you. So in your prepared comments, you talked about early signs of a demand recovery in China. Could you talk more about that? I'm assuming it excludes mobile, given some of the qualification issues.

是的。謝謝。所以，在你事先準備好的發言中，你談到了中國需求復甦的早期跡象。能詳細談談這方面嗎？考慮到一些資格問題，我推測它不包括行動裝置。

Yes, that comment was really specific to the networking segment of our CNBU business. And we're starting to see a little bit more activity there, maybe early parts of next generation infrastructure roll out. We would expect that to continue for a number of years.

是的，那則評論確實專門針對我們 CNBU 業務的網路板塊。我們開始看到那裡出現了一些活動，也許是下一代基礎設施的早期部分正在推出。我們預計這種情況會持續數年。

So largely networking then, okay. My follow-up is expectations for DRAM bit growth in FY17, under 20%. Has that thinking changed since the Analyst Day, because you did provide that two-year CAGR, 20% to 30% over two years. Do we go to the low end of the range, or could you go under that?

所以主要還是靠人脈關係吧。我的後續預測是，2017 財年 DRAM 位成長預期將低於 20%。自分析師日以來，這種想法是否有所改變？因為您確實給了兩年複合年增長率，兩年內達到 20% 至 30%。我們是依照價格區間的下限來定，還是可以低於這個範圍？

No. We still think that the range that we provided is accurate over that time frame. The industry, we think will be less than 20%, in terms of industry bit growth.

不。我們仍然認為，在該時間範圍內，我們提供的範圍是準確的。我們認為，就產業比特成長率而言，該產業的佔比將低於 20%。

Thanks for the clarification. So you're implying you could outgrow in FY17, outgrow the industry?

謝謝你的解釋。所以你的意思是說，你們公司在2017財年可能會超越現在，超越整個產業？

That's as a result of deploying advanced technology, not adding wafers, or targeting some specific market share.

這是部署先進技術的結果，而不是增加晶圓數量或瞄準某個特定市場份額的結果。

Okay. Thank you.

好的。謝謝。

And, operator, it looks like we've got one more question, then we'll be done.

操作員，看來我們還有一個問題，問完就結束了。

Yes, sir. And that question comes from the line of Nilay Mehta of [KLS]. Your line is open.

是的，先生。這個問題源自於 [KLS] 的 Nilay Mehta 的路線。您的線路已開通。

Hey, guys. Thanks for taking the question, a few for me. First, on the end market, it seems like PCs were pretty weak in the first quarter, just from all the data points. It seems like that came through your numbers. Just want to see what you guys are thinking going forward, and what you guys are seeing from customers on the PC side. And also on the mobile side, it sounds like you guys have some inventory build. Just want to get a little bit of color on what caused that inventory build, and how you guys see that playing out?

嘿，夥計們。謝謝你回答我的問題，我也有幾個問題。首先，從終端市場來看，僅從所有數據來看，PC 在第一季的表現似乎相當疲軟。看來你的數據也反映了這一點。想了解你們未來的發展方向，以及你們從PC端客戶那裡了解到的情況。另外，在行動端方面，聽起來你們也已經累積了一些庫存。想了解一下造成庫存積壓的原因，以及你們認為事態會如何發展？

And then my last question is on the Inotera financing. You say there's no updates. But given where your stock is right now, would you contemplate doing the equity portion in debt given, again, where your stock price is now, and the amount of shares you guys would have to issue to finance that $1 [million] piece? Thanks.

我的最後一個問題是關於 Inotera 的融資。你說沒有更新。但鑑於貴公司目前的股價，考慮到貴公司目前的股價以及為籌集這 100 萬美元資金需要發行的股票數量，您是否會考慮以債務融資的方式來完成股權部分？謝謝。

All right. So I'll take the first two, and then I'll let Ernie come back to the Inotera financing. Relative to PCs, yes, it continues to be weak. We think it maybe down mid single-digits for the year. DRAM content may be up about 10% for the year. We're not expecting any big things out of PC demand, when we give you our view as to the demand growth for the year across all the various segments.

好的。所以我先處理前兩個問題，然後請厄尼再來處理 Inotera 的融資問題。相對於個人電腦而言，是的，它仍然很弱。我們認為今年可能會降至個位數中段。今年DRAM含量可能會成長約10%。當我們向您介紹我們對今年各個細分市場需求成長的看法時，我們預計個人電腦的需求不會有任何重大的波動。

But once you get outside of PCs growing obviously slower than overall market supply for DRAM, and mobile growing maybe right around the market supply for DRAM, you got all of these other segments that we think will outstrip supply growth, servers, automotive, et cetera, et cetera. So generally speaking, we do believe that in aggregate, things are going to take care of themselves.

但是，一旦撇開個人電腦成長明顯低於DRAM整體市場供應成長，以及行動裝置成長可能與DRAM市場供應成長大致持平的情況，你會發現其他所有我們認為成長速度將超過供應成長的領域，例如伺服器、汽車等等。所以總的來說，我們相信總體而言，事情會迎刃而解。

Relative to mobile inventory, again, it's primarily -- there's a mix of things in inventory. But we did indicate that, yes, a chunk of it is mobile. And a lot of that just revolves around timing and product qualifications that we have high confidence in. We're just building inventory in advance of those qualifications, and so that we're prepared to ship that product out, when the qualifications come through. And Ernie, do you want to take Inotera?

就行動庫存而言，情況又是，主要是——庫存中包含各種各樣的東西。但我們確實指出，其中一部分是行動端的。很多事情都取決於時機和我們非常有信心的產品資格。我們只是在獲得這些資格認證之前提前建立庫存，以便在獲得資格認證後能夠立即發貨。Ernie，你想參加 Inotera 嗎？

Sure. Again, similar to what we said before, we're looking at a wide variety of options for that remaining $1 billion. And as the time to close approaches, we'll be looking at the alternatives that make the most sense to us, given where we are at the time.

當然。同樣，正如我們之前所說，我們正在考慮用剩下的 10 億美元做各種各樣的選擇。隨著關店時間的臨近，我們將根據當時的實際情況，考慮對我們來說最合理的替代方案。

All right. I want to thank everyone for their participation on the call today, and for their continued interest in Micron. Obviously, I'm still bullish on the memory industry. I like the way we're executing. And with that, I'm going to turn it back over to Ivan to close us up.

好的。我要感謝今天所有參與電話會議的人，以及大家對美光科技的持續關注。顯然，我仍然看好記憶體產業。我喜歡我們目前的執行方式。那麼，接下來我就把麥克風交給伊万，讓他來總結一下。

Thanks, Mark. If you'll just bear with me, I have to reread the Safe Harbor language real quickly. I need to -- let's see. During the course of this call, we may have made forward-looking statements regarding the Company and the industry. These particular forward-looking statements, and all other statements that may have been made on the call that are not historical facts, are subject to a number of risks and uncertainties, and actual results may differ materially. For information on the important factors that may cause actual results to differ materially, please refer to our filings with the SEC, including the Company's most recent 10-Q and 10-K. Thank you again.

謝謝你，馬克。請允許我快速地重新閱讀一遍“安全港”條款。我需要——讓我想想。在本次電話會議中，我們可能對公司和產業做出了一些前瞻性陳述。這些前瞻性陳述，以及電話會議上可能作出的所有其他非歷史事實的陳述，都存在許多風險和不確定性，實際結果可能與預期有重大差異。有關可能導致實際結果與預期結果有重大差異的重要因素的信息，請參閱我們向美國證券交易委員會提交的文件，包括公司最新的 10-Q 和 10-K 表格。再次感謝。

Thank you. This concludes today's Micron Technology's second quarter 2016 financial release conference call. You may now disconnect.

謝謝。美光科技2016年第二季財務業績發布電話會議到此結束。您現在可以斷開連線了。