輝達 (NVDA) 2005 Q3 法說會逐字稿

Welcome to the PortalPlayer, Inc. third quarter 2005 earnings conference call. Today's call is being recorded and will be available for playback beginning two hours after the completion of the call. To access the replay, please dial 719-457-0820 with the pass code 8519249.

歡迎參加 PortalPlayer, Inc. 2005 年第三季度財報電話會議。正在錄製今天的通話，通話結束兩小時後即可開始播放。要訪問重播，請使用密碼 8519249 撥打 719-457-0820。

At this time for opening remarks and introductions, I would like to turn the call over to Ms. Kristine Mozes, Investor Relations for PortalPlayer. Please go ahead.

在此開始致開幕詞和介紹時，我想將電話轉給 PortalPlayer 投資者關係部的 Kristine Mozes 女士。請繼續。

Thank you for joining us today. In addition to this call being available by phone replay, it is being broadcast live via the Investor Relations page of PortalPlayer's website at www.portalplayer.com.

感謝您今天加入我們。除了通過電話重播獲得本次電話會議外，還通過 PortalPlayer 網站 www.portalplayer.com 的投資者關係頁面進行現場直播。

Earlier today, we issued our earnings press release and filed it with the SEC. The press release is also available on PortalPlayer's website.

今天早些時候，我們發布了我們的收益新聞稿並提交給了美國證券交易委員會。該新聞稿也可在 PortalPlayer 的網站上獲得。

Before we begin, we note that we will discuss certain non-GAAP financial measures during today's call, which are on the Corporate Governance section of our website, together with the most directly comparable financial measures calculated in accordance with GAAP and reconciliations of the differences between these measures.

在開始之前，我們注意到我們將在今天的電話會議中討論某些非公認會計原則財務措施，這些措施位於我們網站的公司治理部分，以及根據公認會計原則計算的最直接可比的財務措施以及兩者之間差異的調節這些措施。

This non-GAAP information is provided to enhance the user's overall understanding of our historical financial performance. Specifically, we believe non-GAAP results provide useful information to both management and investors, by excluding the stock-based compensation expenses.

提供此非 GAAP 信息是為了增強用戶對我們歷史財務業績的整體理解。具體而言，我們認為非公認會計準則結果通過排除基於股票的薪酬費用，為管理層和投資者提供了有用的信息。

With me today is Gary Johnson, President and CEO of PortalPlayer, and Olav Carlsen, PortalPlayer's Chief Financial Officer.

今天和我在一起的是 PortalPlayer 總裁兼首席執行官 Gary Johnson 和 PortalPlayer 首席財務官 Olav Carlsen。

I will begin this call by reading our Safe Harbor statement. The statements on today's call, which are not historical facts, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act.

我將從閱讀我們的安全港聲明開始本次電話會議。今天電話會議上的陳述並非歷史事實，屬於《私人證券訴訟改革法案》含義內的前瞻性陳述。

These forward-looking statements include, but are not limited to, statements as to our future plans and growth; our roadmap for future products and broadening of our product offering; our development efforts, features, benefits and introductions of products and technology; diversification of our end-markets; our plans to hire additional resources; our and our customers' market position, market trends, including drivers for high content and high capacity; the acceleration of those drivers and expected capacity sweet spots; market demands, including seasonal trends, expected customer product introductions and their affect on demand; demand for our products; our intention regarding breaking-out revenue, benefits of net operating loss carry-forwards and future financial results; GAAP and non-GAAP, including revenue, net income, expenses, gross margins, ASPs, stock-based compensation charges, tax rates, cash flow, weighted average shares outstanding, and operating expenses, including, but now limited to, future R&D spending and selling, general and administrative expense.

這些前瞻性陳述包括但不限於關於我們未來計劃和增長的陳述；我們未來產品的路線圖和擴大我們的產品供應；我們的產品和技術的開發努力、特點、優勢和介紹；我們終端市場的多元化；我們計劃僱用更多資源；我們和我們客戶的市場地位、市場趨勢，包括高含量和高容量的驅動因素；這些驅動程序的加速和預期的容量最佳點；市場需求，包括季節性趨勢、預期的客戶產品介紹及其對需求的影響；對我們產品的需求；我們對突破性收入、淨經營虧損結轉收益和未來財務業績的意圖； GAAP 和非 GAAP，包括收入、淨收入、費用、毛利率、平均售價、基於股票的薪酬費用、稅率、現金流、加權平均流通股和運營費用，包括但現在限於未來研發支出以及銷售、一般和行政費用。

These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results to differ materially from those discussed in these forward-looking statements. Please refer to today's earnings release, our Form 10-K for the year ended December 31, 2004, and our Form 10-Q for the quarter ended June 30th, 2005, as filed with the SEC, and from time to time in our other SEC reports, for information on risk factors that could cause actual results to differ materially from those discussed in these forward-looking statements.

這些前瞻性陳述受到許多風險和不確定性的影響，可能導致實際結果與這些前瞻性陳述中討論的結果大不相同。請參閱今天的收益發布、我們截至 2004 年 12 月 31 日止年度的 10-K 表格和我們在 SEC 提交的截至 2005 年 6 月 30 日的季度的 10-Q 表格，以及我們不時在其他SEC 報告，以獲取有關可能導致實際結果與這些前瞻性陳述中討論的結果大不相同的風險因素的信息。

These forward-looking statements speak only as of the date hereof and PortalPlayer disclaims any intent or obligation to update these forward-looking statements. Additionally, this conference call is the property of PortalPlayer and may not be recorded or rebroadcast without specific written permission from the Company.

這些前瞻性陳述僅在本協議發布之日發表，PortalPlayer 不承擔更新這些前瞻性陳述的任何意圖或義務。此外，本次電話會議是 PortalPlayer 的財產，未經公司明確書面許可，不得錄製或轉播。

Now I'd like to turn the call over to Gary for his introductory remarks. Gary?

現在，我想將電話轉給 Gary，讓他作介紹性發言。加里？

Thank you, and welcome everyone. Before we begin, I want to note that today we filed an S1 registration statement. And as you know, we cannot comment on the filing, but refer you to the S1 and the related press release for more information.

謝謝，歡迎大家。在我們開始之前，我想指出，今天我們提交了一份 S1 註冊聲明。如您所知，我們無法對該文件發表評論，但請您參閱 S1 和相關新聞稿以獲取更多信息。

As you can see from our press release, Q3 was yet again another outstanding quarter for PortalPlayer. We are very excited that the first feature-rich Flash products using our technology, were introduced in the third quarter. Right out of the gate we entered the Flash market with two designs that are regarded as truly revolutionary media players.

正如您從我們的新聞稿中看到的那樣，第三季度對 PortalPlayer 來說又是一個出色的季度。我們很高興在第三季度推出了第一款使用我們技術的功能豐富的 Flash 產品。我們從一開始就以兩種被認為是真正革命性的媒體播放器的設計進入了 Flash 市場。

One is the widely acclaimed iPod Nano and the other is the Sirius S50. We believe these product introductions are fueling demand as companies begin to unveil their products for the seasonally strong holiday months. As a result, we achieved very strong financial results for the quarter, including record revenue, up 30% sequentially, and record net income before taxes, at $13.7 million.

一個是廣受好評的 iPod Nano，另一個是 Sirius S50。我們認為，隨著公司開始在季節性旺盛的假期月份推出產品，這些產品的推出正在推動需求。因此，我們在本季度取得了非常強勁的財務業績，包括創紀錄的收入（環比增長 30%）和創紀錄的稅前淨收入 1370 萬美元。

We are very proud of these results. In summary, our financial metrics were in line or better than our guidance.

我們對這些結果感到非常自豪。總之，我們的財務指標符合或優於我們的指導。

So what were our major initiatives in Q3? We focused much of our attention on helping our customers bring their revolutionary Flash-based products to market, worked with additional customers to get their products ready to launch this quarter, continued to focus on operational efficiencies and accelerated our product roadmap for products we plan to introduce next year and beyond. So again, excellent execution.

那麼我們在第三季度的主要舉措是什麼？我們將大部分精力集中在幫助我們的客戶將他們革命性的基於 Flash 的產品推向市場，與其他客戶合作，讓他們的產品準備好在本季度推出，繼續關注運營效率，並加快我們計劃推出的產品的產品路線圖明年及以後推出。再次，出色的執行。

In a few minutes I will go into more detail about each of these initiatives, but first, I will turn the call over to Olav, who will take you through the details of our third quarter financials.

幾分鐘後，我將詳細介紹這些舉措中的每一項，但首先，我會將電話轉給 Olav，他將帶您了解我們第三季度財務的詳細信息。

Thank you, Gary, and welcome everyone. This third quarter of '05 was again a quarter of very significant year-over-year growth. We are very pleased to report that net revenue for this quarter was about $58 million, more than we've ever sold in any given quarter in our Company's history. An approximate 126% increase from the $25.6 million in the same period a year ago, and up 30% from the revenue of $44.6 million we recorded in the second quarter of '05.

謝謝你，加里，歡迎大家。 05 年第三季度又是一個非常顯著的同比增長的季度。我們很高興地報告，本季度的淨收入約為 5800 萬美元，比我們公司歷史上任何一個季度的銷售額都多。與去年同期的 2560 萬美元相比增長了約 126%，比我們在 05 年第二季度記錄的 4460 萬美元的收入增長了 30%。

We again saw market shift in favor of our largest customer, particularly as a consequence of the introduction of a new Flash-based product in third quarter of this year. However, having said that, in Q3, shipments to our other customers were at a steady level of $3.5 million, about the same level as in the previous quarter.

我們再次看到市場轉向有利於我們最大的客戶，特別是由於今年第三季度推出了基於 Flash 的新產品。然而，話雖如此，在第三季度，我們向其他客戶的出貨量穩定在 350 萬美元，與上一季度的水平大致相同。

As expected, the third quarter was the first in which we recorded revenue from Flash-based products. Because we're moving to a universal platform approach for our products such as the 5022 family can be used for either hard drive or Flash-based products, we do not intend to break out the revenue by memory type, due to competitive reasons.

正如預期的那樣，第三季度是我們記錄基於 Flash 產品的收入的第一個季度。因為我們正在為我們的產品轉向通用平台方法，例如 5022 系列可用於硬盤驅動器或基於閃存的產品，出於競爭原因，我們不打算按內存類型劃分收入。

As we also mentioned last quarter, the 5022 family now accounts for a majority of our total revenue and as it has been shipping in volume for a few quarters, we have now started to see the benefits of increased operational efficiencies. This supported a healthy increase in our gross margins, to 45.5% in the third quarter. And in summary, the 5022 family has really been a great success within the marketplace.

正如我們在上個季度也提到的那樣，5022 系列現在占我們總收入的大部分，並且由於它已經在幾個季度大量出貨，我們現在已經開始看到提高運營效率的好處。這支持了我們的毛利率健康增長，在第三季度達到 45.5%。總之，5022 系列在市場上確實取得了巨大的成功。

Net income for the third quarter was $10.3 million, compared with a net income of $3.2 million in the same period a year ago. And this third quarter 2005 net income resulted in the income of $0.40 per diluted share, based on 25.5 million weighted average shares outstanding, compared with an income of $0.18 per diluted share, based on approximately 17.4 million basic weighted average shares outstanding in the same quarter a year ago.

第三季度的淨收入為 1030 萬美元，而去年同期的淨收入為 320 萬美元。 2005 年第三季度的淨收入為每股攤薄收益 0.40 美元，基於 2550 萬股加權平均流通股，而基於同一季度約 1740 萬股基本加權平均流通股，每股攤薄收益為 0.18 美元一年前。

The difference in the share count between these two quarters is, of course, due to the fact that in the third quarter of '04 we were still a Private Company.

當然，這兩個季度之間的股份數量差異是因為我們在 04 年第三季度仍然是一家私營公司。

Net income in the second quarter of '05 was $6.3 million, or $0.25 per diluted share, based on 25.1 million weighted average shares.

05 年第二季度的淨收入為 630 萬美元，或每股攤薄收益 0.25 美元，基於 2510 萬股加權平均股數。

We continue to apply an effective tax rate of 25% to our results and for tax purposes this year, we continue to benefit from our net operating losses that we carry forward from previous years. It is noteworthy that before applying this tax rate, our pretax operating net income was a record $13.7 million this quarter.

我們繼續對我們的業績採用 25% 的有效稅率，出於稅收目的，我們繼續受益於我們從前幾年結轉的淨經營虧損。值得注意的是，在應用此稅率之前，我們本季度的稅前營業淨收入為創紀錄的 1370 萬美元。

Now, excluding non-cash stock compensation charges of $699,000, non-GAAP net income for this third quarter of '05, was $11 million, or $0.43 per diluted share, compared to the non-GAAP income in the third quarter of '04, of approximately $4.6 million, or $0.26 per diluted share.

現在，不包括 699,000 美元的非現金股票補償費用，與 04 年第三季度的非 GAAP 收入相比，05 年第三季度的非 GAAP 淨收入為 1100 萬美元，或每股攤薄收益 0.43 美元，約 460 萬美元，或每股攤薄收益 0.26 美元。

Non-GAAP net income for the second quarter of '05 was $6.8 million, or $0.27 per diluted share.

05 年第二季度的非公認會計原則淨收入為 680 萬美元，或每股攤薄收益 0.27 美元。

On our website, under the Investor Relations tab, we provide a detailed reconciliation between GAAP numbers and the non-GAAP numbers, which details the stock compensation charges for each quarter.

在我們網站的“投資者關係”選項卡下，我們提供了 GAAP 數字和非 GAAP 數字之間的詳細核對，其中詳細說明了每個季度的股票薪酬費用。

And so, now let me discuss some information on this quarter's P&L and then I will move on to the balance sheet.

所以，現在讓我討論一些關於本季度損益表的信息，然後我將繼續討論資產負債表。

The third quarter was, again, a great success on many accounts with record revenue and record net income before taxes. As I mentioned earlier, increased operating efficiencies helped increase our gross margin for the third quarter to 45.5%. This is above our long-term model of 41 to 44%, which we don't change at this time.

第三季度在許多收入和稅前淨收入創紀錄的賬戶上再次取得巨大成功。正如我之前提到的，運營效率的提高幫助我們將第三季度的毛利率提高到 45.5%。這高於我們目前沒有改變的 41% 到 44% 的長期模型。

We've said in the past that we expect ASPs to decrease in the 20 to 25% range, year-over-year, on the single SKU basis and expect the blended portfolio ASP to decrease by 10 to 15% year-over-year, as we're able to achieve higher prices on our newer products.

我們過去曾說過，我們預計單一 SKU 的 ASP 將同比下降 20% 至 25%，並預計混合組合 ASP 將同比下降 10% 至 15% ，因為我們能夠在我們的新產品上實現更高的價格。

In Q3, our portfolio ASPs decreased by 17% year-over-year, which when taken into account the lower 8 and 9.5% portfolio declines we saw in the first and second quarters of this year, put us well within our target model for the year so far. By the way, we also saw our cost decline in a similar pattern.

在第三季度，我們的投資組合 ASP 同比下降 17%，考慮到我們在今年第一季度和第二季度看到的 8% 和 9.5% 的投資組合下降，我們很好地處於我們的目標模型之內到目前為止的一年。順便說一句，我們也看到我們的成本以類似的方式下降。

Operating expenses were about $13.2 million for R&D and SG&A in the third quarter, a $1.9 million increase from the previous quarter, in line with what we planned and guided to.

第三季度研發和 SG&A 的運營費用約為 1320 萬美元，比上一季度增加了 190 萬美元，符合我們的計劃和指導。

Let me break this down for you. The majority of the additional spending, about $1.3 million, was allocated to our R&D activities, which came in at $9.2 million. As expected, our acceleration of some of our important R&D milestones resulted in additional planned expenses of a nonrecurring nature, such as acquiring value-added intellectual property and technologies in Q3.

讓我為你分解一下。大部分額外支出（約 130 萬美元）用於我們的研發活動，其中 920 萬美元。正如預期的那樣，我們一些重要的研發里程碑的加速導致了非經常性的額外計劃費用，例如在第三季度獲得增值知識產權和技術。

We were also, again, able to fill some of our strategically important staff openings in the engineering area and R&D expenses were well within our long-term operating model that calls for R&D spending to be at an average of 16 to 17% of our revenue.

同樣，我們也能夠填補我們在工程領域的一些具有戰略意義的人員空缺，並且研發費用完全符合我們的長期運營模式，即研發支出平均占我們收入的 16% 到 17% .

I want to take a few minutes to discuss the very flexible spending model that we have been implementing over the past quarters. On the one hand, we've focused on adding strategically important resources, mostly headcount, to our internal infrastructure. On the other hand, as our revenues have increased, we've also been investing in R&D through a discretionary variable model, which includes outsourcing development efforts to expert third party providers.

我想花幾分鐘來討論一下我們在過去幾個季度一直在實施的非常靈活的支出模式。一方面，我們專注於在我們的內部基礎架構中增加具有戰略意義的資源，主要是員工人數。另一方面，隨著我們收入的增加，我們也一直在通過自由變量模型投資研發，其中包括將開發工作外包給專業的第三方供應商。

In doing so, we've created a flexible spending model that allows us to operate within our long-term R&D spending model of 17% of revenue and accelerate our roadmap for future products.

為此，我們創建了一種靈活的支出模式，使我們能夠在佔收入 17% 的長期研發支出模式下運營，並加快我們未來產品的路線圖。

On a quarter-by-quarter basis, we can adjust our R&D spending levels as needed, but also taking into account our revenue projections. Going forward, we expect to continue to manage our R&D spending to about 17% of our revenue, as we make continuous investments into people and technology to support our very competitive roadmap.

我們可以按季度調整研發支出水平，同時考慮我們的收入預測。展望未來，我們預計將繼續將我們的研發支出控制在我們收入的 17% 左右，因為我們對人員和技術進行持續投資以支持我們極具競爭力的路線圖。

SG&A expenses in the third quarter were $4 million, which is within our long-term operating model of 6 to 7% of revenues. This is a $523,000 increase from the previous quarter. For the fourth quarter of '05, we expect SG&A to remain with our target long-term model of 6 to 7% of revenue.

第三季度的 SG&A 費用為 400 萬美元，這在我們佔收入 6% 至 7% 的長期運營模式範圍內。這比上一季度增加了 523,000 美元。對於 05 年第四季度，我們預計 SG&A 將保持我們的目標長期模型，即佔收入的 6% 到 7%。

Our non-cash compensation charge included, as always, elements of amortization of deferred compensation and some variable charges, and for the second time now, a charge for amortizing the expense of restricted share grants, which we granted in the previous quarter in order to reduce our overall cost associated with the expensing of stock-based compensation.

我們的非現金補償費用一如既往地包括遞延補償的攤銷和一些可變費用，現在是第二次攤銷限制性股票授予的費用，這是我們在上一季度授予的，目的是降低與基於股票的薪酬支出相關的總體成本。

Going forward, we expect our non-cash stock compensation charges to be $600,000 to $800,000 in the fourth quarter of fiscal '05. However, the stock compensation charge will again include a small variable element based on our ending stock price, and therefore, the exact amount is hard to predict.

展望未來，我們預計 05 財年第四季度的非現金股票補償費用為 600,000 至 800,000 美元。但是，股票補償費用將再次包含一個基於我們的期末股票價格的小變量，因此，確切的金額很難預測。

Now let's turn to the balance sheet. Our accounts receivable were 40.4 million and our inventory balance at September 30, was at $4.3 million, all of which is finished goods. This represents about 9 to 11 days of inventory. And while this is below our target of 30 days, it is higher and more favorable than the 4 days we had last quarter, and again reflects the strong activity level we saw at the end of the quarter.

現在讓我們轉向資產負債表。我們的應收賬款為 4040 萬，我們在 9 月 30 日的庫存餘額為 430 萬美元，所有這些都是製成品。這代表大約 9 到 11 天的庫存。雖然這低於我們 30 天的目標，但它比我們上個季度的 4 天更高且更有利，再次反映了我們在季度末看到的強勁活動水平。

Accordingly, our deferred income position, which represents the gross margin for shipments in the last three weeks of the quarter, increased from $5 million last quarter, to a record level of $10.9 million at the end of Q3. So we ended the quarter with very positive momentum going into the coming holiday seasons.

因此，我們的遞延收入頭寸（代表本季度最後三週的出貨毛利率）從上一季度的 500 萬美元增加到第三季度末的創紀錄水平 1090 萬美元。因此，我們以非常積極的勢頭結束了本季度，進入即將到來的假日季節。

Headcount at the end of the quarter was about 250. We added 22 employees during the third quarter, most of them in R&D. At the end of the quarter, more than 3/4 of our overall headcount was focused on our current or strategic R&D activities and again, about half of our overall headcount was based in Hyderabad, in India.

本季度末員工人數約為 250 人。我們在第三季度增加了 22 名員工，其中大部分從事研發工作。在本季度末，我們超過 3/4 的總員工專注於我們當前或戰略性的研發活動，而且我們總員工的大約一半位於印度海得拉巴。

As Gary mentioned earlier, we filed an S-1 registration statement today. Because of the SEC quiet period rules, we cannot comment further, but refer you to the S-1 and related press release for more information.

正如 Gary 之前提到的，我們今天提交了一份 S-1 註冊聲明。由於美國證券交易委員會的靜默期規則，我們無法進一步發表評論，但請您參閱 S-1 和相關新聞稿以獲取更多信息。

We're very excited about the upcoming holiday season and believe we're very well positioned for significant growth in Q4. We believe that our revenue for the fourth quarter will be in the range of $65 million to $75 million.

我們對即將到來的假日季節感到非常興奮，並相信我們已經為第四季度的顯著增長做好了準備。我們相信我們第四季度的收入將在 6500 萬美元到 7500 萬美元之間。

Operating expenses are expected to be approximately $17 million, and we expect our stock-based compensation charges to be between $600,000 and $800,000; GAAP net income per diluted share to be between $0.34 and $0.43, based on approximately 28.5 million weighted average shares outstanding. This number includes an estimated 2.3 million weighted average shares, in light of our S-1 filing.

運營費用預計約為 1700 萬美元，我們預計基於股票的薪酬費用將在 600,000 美元至 800,000 美元之間；根據大約 2850 萬股加權平均流通股，GAAP 每股攤薄淨收益在 0.34 美元至 0.43 美元之間。根據我們的 S-1 申請，這個數字包括估計的 230 萬股加權平均股。

Non-GAAP net income per diluted share, excluding our compensation charges, is expected to be between $0.37 and $0.46.

Non-GAAP 每股攤薄淨收入（不包括我們的補償費用）預計在 0.37 美元至 0.46 美元之間。

And at this time, I would like to turn the call back over to Gary for his comments. Gary?

在這個時候，我想把電話轉回給加里徵求他的意見。加里？

Thank you, Olav. As you can see, from a financial standpoint, the third quarter was once again a great success. It was a smooth and successful quarter from an operational standpoint. Our entire PortalPlayer team continues to execute impeccably on the business plan and product roadmap in supporting our world class customers.

謝謝你，奧拉夫。如您所見，從財務角度來看，第三季度再次取得了巨大成功。從運營的角度來看，這是一個平穩而成功的季度。我們整個 PortalPlayer 團隊繼續完美地執行業務計劃和產品路線圖，以支持我們的世界級客戶。

This past quarter we focused on helping our customers successfully introduce their new feature-rich Flash products, which we refer to as Feature-Flash products, for the holiday season, as well as worked with our customers to finalize exciting new hard drive-based products, already introduced in October and expected to be introduced in the fourth quarter.

在上個季度，我們專注於幫助我們的客戶成功推出他們新的功能豐富的閃存產品，我們將其稱為功能閃存產品，用於假期，並與我們的客戶合作完成令人興奮的基於硬盤的新產品，已於 10 月推出，預計將於第四季度推出。

The first Feature-Flash product to ship using our technology was the extremely popular iPod Nano, which was launched in early September. As I'm sure you have all heard by now, the Nano uses a PP-5021 device from PortalPlayer, a family member of the 5022. Using advanced package technologies, the 5021 is our smallest chip package ever, reducing the volume by approximately 44% from the 5022.

第一款使用我們技術的 Feature-Flash 產品是 9 月初推出的極受歡迎的 iPod Nano。相信大家現在都聽說過，Nano 使用了 PortalPlayer 的 PP-5021 器件，它是 5022 的家族成員。採用先進的封裝技術，5021 是我們有史以來最小的芯片封裝，體積減少了大約 44 % 來自 5022。

As we have mentioned in the past, we are also increasing our investments in product development for a range of wireless technologies. The first opportunity we see in this area is in bringing new features and functionality to satellite radio players.

正如我們過去所提到的，我們也在增加對一系列無線技術產品開發的投資。我們在這一領域看到的第一個機會是為衛星廣播播放器帶來新的特性和功能。

Today, we announced that we have teamed up with Korea-based, Humax, one of the world's leading digital satellite set-top box manufacturers, to change the way customers interact with digitally broadcast satellite radio content.

今天，我們宣布與總部位於韓國的 Humax（世界領先的數字衛星機頂盒製造商之一）合作，改變客戶與數字廣播衛星廣播內容互動的方式。

Our objective is to help create personal and portable devices that enable end users to enjoy digitally broadcasted content when and where they choose.

我們的目標是幫助創建個人和便攜式設備，使最終用戶能夠在他們選擇的時間和地點享受數字廣播內容。

Our first joint project was to assist in the development of the Sirius first wearable satellite radio, the Sirius S15, which was announced in September. The Sirius S50 is a great example on how we can leverage our personal media player platform to the wireless markets. The S50 allows users to store and listen to content whenever and wherever they want. The S50 uses our 5022 device, includes a color display and can store up to 50 hours of Sirius content, or a mix of Sirius content and MP3 and WMA files. Business Week called this device a radical handheld.

我們的第一個聯合項目是協助開發 Sirius 首個可穿戴衛星收音機 Sirius S15，該收音機於 9 月發布。 Sirius S50 是我們如何將我們的個人媒體播放器平台用於無線市場的一個很好的例子。 S50 允許用戶隨時隨地存儲和收聽內容。 S50 使用我們的 5022 設備，包括彩色顯示屏，可存儲長達 50 小時的 Sirius 內容，或 Sirius 內容與 MP3 和 WMA 文件的混合。 《商業周刊》稱這款設備為激進的手持設備。

The digital broadcast market encompasses a variety of technologies, including satellite radio, internet radio, digital audio broadcasting, on-demand content, such as podcasting, and eventually, digital television broadcasting. Our goal is to give consumers greater flexibility and freedom to interact with this content when, where and how they wish.

數字廣播市場包含多種技術，包括衛星廣播、互聯網廣播、數字音頻廣播、點播內容（如播客），以及最終的數字電視廣播。我們的目標是為消費者提供更大的靈活性和自由度，讓他們可以在他們希望的時間、地點和方式與這些內容進行交互。

Some of the capabilities that we can help enable include being able to listen to and view content while on the go, and in the future, we expect to help establish multiple recording scenarios, similar to a TV digital video recorder.

我們可以幫助實現的一些功能包括能夠在旅途中收聽和查看內容，並且在未來，我們希望幫助建立多個錄製場景，類似於電視數字錄像機。

As a reminder, our first two Feature-Flash design wins are using our 5022 family. With this generation we have successfully developed a unified storage platform that works interchangeably with both hard drive and Flash storage media. In doing so, we offer our customers more flexibility in designing or producing their new product models.

提醒一下，我們的前兩個 Feature-Flash 設計獲勝使用的是我們的 5022 系列。在這一代中，我們成功開發了一個統一的存儲平台，可與硬盤驅動器和閃存存儲介質互換工作。這樣做，我們為客戶提供了更大的靈活性來設計或生產他們的新產品模型。

With our 5022 family, customers have the option to either use our device as-is for great price performance, or choose the other system components, such as audio or video, for higher-end solutions to use through our coprocessor interface.

借助我們的 5022 系列，客戶可以選擇按原樣使用我們的設備以獲得出色的性價比，或者選擇其他系統組件，例如音頻或視頻，以通過我們的協處理器接口使用更高端的解決方案。

In the future we expect customers will be able to have the same choices for wireless capabilities. Either use our integrated solutions or choose specific vendor solutions that connect to our solutions via a coprocessor interface.

在未來，我們希望客戶能夠對無線功能有相同的選擇。要么使用我們的集成解決方案，要么選擇通過協處理器接口連接到我們解決方案的特定供應商解決方案。

Some customers are choosing our PP 5024 device, because of its fully integrated mixed signal solution. We are excited about the designs we have won for that device and expect it to attract new customers to the PortalPlayer platform. We look forward to giving you more details as our customers' products rollout and they allow us to do so.

一些客戶正在選擇我們的 PP 5024 設備，因為它具有完全集成的混合信號解決方案。我們對我們為該設備贏得的設計感到興奮，並期望它將新客戶吸引到 PortalPlayer 平台。隨著客戶產品的推出，我們期待為您提供更多詳細信息，並且他們允許我們這樣做。

Now let's take a look at some market trends. We see several market drivers accelerating the demand for high-capacity players. First is the availability of podcasts and now music video and TV shows. As consumers continue to download higher quality content, we believe that they will increasingly require more capacity to store that content.

現在讓我們來看看一些市場趨勢。我們看到幾個市場驅動因素加速了對大容量玩家的需求。首先是播客的可用性，現在是音樂視頻和電視節目。隨著消費者繼續下載更高質量的內容，我們相信他們將越來越需要更多容量來存儲這些內容。

Second, we believe streaming broadcast services, where users can time-shift radio content, will spur demand for high-capacity devices. Third, we believe some consumers will be attracted to subscription services, where they can download as many songs as their players can hold, for one monthly fee.

其次，我們認為用戶可以對廣播內容進行時移的流媒體廣播服務將刺激對大容量設備的需求。第三，我們相信一些消費者會被訂閱服務所吸引，訂閱服務可以讓他們下載盡可能多的歌曲，只需支付一個月的費用。

Lastly, in the future we believe time-shifted video, like TiVo DVR capabilities, will spur the need for larger capabilities.

最後，我們相信在未來，時移視頻（如 TiVo DVR 功能）將刺激對更大功能的需求。

With the content people store on their personal media players expanding beyond just music, we believe they are going to need higher capacity players to store and manage that content. This is exactly where PortalPlayer excels. Over the next 12 months, we expect 2-gigabyte and 4-gigabyte Flash designs will become the new sweet spot of the market.

隨著人們存儲在個人媒體播放器上的內容不僅僅局限於音樂，我們相信他們將需要更高容量的播放器來存儲和管理這些內容。這正是 PortalPlayer 擅長的地方。在接下來的 12 個月中，我們預計 2GB 和 4GB 閃存設計將成為市場的新亮點。

Looking ahead, we continue to work on our next generation technologies in preparation for the 2006 product cycle. In the consumer electronics industry, which is very competitive and fast-paced, it is critical to remain on the forefront of technology innovation and that we achieve our deliverables on time. The PortalPlayer team continues to execute crisply on this front.

展望未來，我們將繼續致力於下一代技術，為 2006 年的產品週期做準備。在競爭激烈且節奏快的消費電子行業，保持技術創新的前沿並按時完成交付成果至關重要。 PortalPlayer 團隊繼續在這方面表現出色。

At the same time, we continue to build out parallel chip design teams, to broaden our product offering, accelerate our roadmap and diversify our end-markets. We are very excited about the future.

與此同時，我們繼續建立並行芯片設計團隊，以擴大我們的產品範圍，加快我們的路線圖並多樣化我們的終端市場。我們對未來感到非常興奮。

In summary, we're having great success with our largest customer. We successfully took a leading position in the Feature-Flash market for our first quarter out. We are excited about the momentum that is building for the fourth quarter. And we continue to invest in future technologies and look forward to showcasing some of those technologies at CES in January.

總之，我們與最大的客戶取得了巨大的成功。我們在第一季度成功地在 Feature-Flash 市場佔據了領先地位。我們對第四季度正在形成的勢頭感到興奮。我們將繼續投資於未來的技術，並期待在一月份的 CES 上展示其中的一些技術。

We are happy now to open up the call to take your questions about our business, but I do want to remind everyone that it is our policy not to comment on specific customers, products or roadmaps. Operator, we are ready for questions.

我們現在很高興接聽您關於我們業務的問題，但我想提醒大家，我們的政策是不對特定客戶、產品或路線圖發表評論。接線員，我們準備好提問了。

[OPERATOR INSTRUCTIONS] Randy Abrams of CSFB.

[操作員說明]CSFB 的 Randy Abrams。

I wanted to see if you could start, in looking at your deferred revenue, it was almost 11 million in the quarter, as you cited, which would imply that you started the quarter shipping to higher revenue run rate.

我想看看您是否可以開始查看您的遞延收入，正如您所引用的那樣，本季度接近 1100 萬，這意味著您在本季度開始時以更高的收入運行率開始出貨。

Maybe talk about why your implied guidance, it seems to suggest a slowdown in shipments. Is that conservatism or is there some other factor playing into that or could they actually hold up at beginning of quarter shipment levels?

也許談談為什麼你的暗示指導，它似乎暗示出貨量放緩。是這種保守主義還是有其他因素在起作用，或者它們實際上能否在季度初的出貨水平上保持不變？

Not every week is the same to begin with, right? I mean, from about three weeks of revenue you can certainly [unintelligible] relate to some degree to the quarter revenue, but not exactly.

不是每個星期都是一樣的，對吧？我的意思是，從大約三週的收入來看，你肯定可以 [難以理解] 在某種程度上與季度收入相關，但並不完全如此。

Is there anything else? Well, there's always supply constraints on high level complexity products that are ramping fast. We're not, certainly, gating this. If there is any upside or anything in that quarter, we're ready to supply more.

還有別的事嗎？嗯，快速增長的高複雜性產品總是存在供應限制。當然，我們不會對此進行控制。如果該季度有任何上漲或任何東西，我們準備提供更多。

Yes. Maybe on those lines, you've always had good visibility when it was more on the drive guise. Are you seeing Nan Flash constraining? Or maybe it's another component, but constraining shipments over the coming months? And what are the implications for first quarter if that is the case?

是的。也許在這些線上，當它更多地是在驅動器的幌子上時，你總是有很好的能見度。你看到 Nan Flash 約束了嗎？或者也許它是另一個組件，但會限制未來幾個月的出貨量？如果是這樣的話，對第一季度的影響是什麼？

Frankly, yes, we do believe that the demand for high-capacity Flash is actually growing faster than current supply can keep up at this point. Primarily because of that rapid movement that's gone from what was the sweet spot, 256/512, to now the 1, 2 and 4-gig. And as Olav indicated, often when you're ramping fast, it does take time for those to get an equilibrium.

坦率地說，是的，我們確實相信對大容量閃存的需求實際上增長速度快於目前的供應能夠跟上的速度。主要是因為從最佳位置 256/512 到現在的 1、2 和 4-gig 的快速移動。正如 Olav 指出的那樣，通常當你快速加速時，它們確實需要時間才能達到平衡。

But as you said, you know, when you look at history, it's often the storage element that can be lagging in that market. But over time, we think they we'll certainly get [two equilibriums] to the right point.

但是正如您所說，您知道，當您回顧歷史時，在該市場中可能落後的往往是存儲元素。但隨著時間的推移，我們認為他們肯定會讓[兩個均衡]達到正確的點。

Okay. And maybe go into--I know you talked about your target for R&D and SG&A, but you are seeing a big step function up in revenue. So maybe talk about what you're doing operationally, what's driving the up tick in expenses in fourth quarter? Are there tape-outs that might be factored in there, or is it expenses for new platforms, so maybe talk about some of what we're seeing in fourth quarter?

好的。也許進入 - 我知道你談到了你的研發和 SG&A 目標，但你看到收入有了很大的進步。因此，也許可以談談您在運營方面所做的事情，是什麼推動了第四季度的支出增長？是否有可能考慮到流片，或者是新平台的費用，所以也許談談我們在第四季度看到的一些情況？

As I said earlier, we're working on an extremely flexible spending model. We've worked on this for a couple of quarters now, and specifically with--you know, if you follow our guidance for Q4, it really comes to fruition here. We have actually been very careful in adding fixed expenses, you know, expenses that are internal infrastructure expenses and have added a lot of variable expenses to our cost structure. Something that we can ramp up real quickly, as I said in my prepared remarks, working with a third-party expert developers outside that we can ramp much faster than internal resources.

正如我之前所說，我們正在研究一種極其靈活的支出模式。我們已經為此工作了幾個季度，特別是 - 你知道，如果你遵循我們對第四季度的指導，它真的在這裡取得了成果。實際上，我們在添加固定費用時非常小心，您知道，這些費用是內部基礎設施費用，並且在我們的成本結構中增加了很多可變費用。正如我在準備好的評論中所說，我們可以快速提升的東西，與外部的第三方專家開發人員合作，我們可以比內部資源更快地提升。

So, that can also mean expensing some intellectual property that we acquire in any particular quarter, depending on some milestones of delivery. So there's a lot of ways to react very flexibly to revenue increase. Especially when you, like our Company, we're really firm with our 17% R&D spending model.

因此，這也可能意味著花費我們在任何特定季度獲得的一些知識產權，具體取決於交付的一些里程碑。因此，有很多方法可以非常靈活地應對收入增長。特別是當您和我們公司一樣，我們對 17% 的研發支出模式非常堅定。

Glen Yeung of Citigroup.

花旗集團的 Glen Yeung。

This is Peter [Karazeris] on for Glen Yeung. I had a question about, in your third quarter last year, you had a somewhat similar revenue growth and deferred income dynamic, and yet that quarter your gross margins were down sequentially. This quarter they're up. I wonder if you could just give us some sense of what's driving that from a pricing or cost environment perspective? And then I have a follow-up.

我是 Glen Yeung 的 Peter [Karazeris]。我有一個問題，去年第三季度，你們的收入增長和遞延收入動態有些相似，但那個季度你們的毛利率卻連續下降。本季度他們上漲了。我想知道您是否可以從定價或成本環境的角度讓我們了解是什麼推動了這一點？然後我有一個跟進。

You know, this year is the 5022. The 5022 has been shipping now a couple of quarters and it's ramped really successfully. And with its ramp into real volume production in the third quarter, we were also able to harvest some good operational efficiencies on the supply side.

你知道，今年是 5022。5022 已經出貨了幾個季度，而且非常成功。隨著第三季度進入實際量產，我們還能夠在供應方面獲得一些良好的運營效率。

We've passed on most of those efficiencies to our customers and the result was a healthy increase of a couple of basis points in our gross margin.

我們已經將大部分效率轉嫁給了我們的客戶，結果是我們的毛利率健康地增長了幾個基點。

And then, you were talking about the additional the spending in R&D, or keeping it at 17% and trying to work with partners to keep some flexibility, so you can, I guess, deliver to market in a timely fashion.

然後，您談論的是研發支出的額外支出，或者將其保持在 17% 並嘗試與合作夥伴合作以保持一定的靈活性，因此我猜您可以及時將產品推向市場。

There's been some discussion around a coprocessor that's in the Nano. I was curious if you could speak to what type of--what was critical about that technology? And then as you're going into the 2006 design cycle, how you see that playing out?

圍繞 Nano 中的協處理器進行了一些討論。我很好奇你能不能談談什麼類型的——什麼是對該技術的關鍵？然後當你進入 2006 年的設計週期時，你如何看待它？

Let me just talk about the 17% then and then Gary might be able to add to the coprocessor question. The spending this quarter was really not just to stay on target, it was really to accelerate some, you know, our roadmap. As our revenue increases quarter-over-quarter in the past, and we're able to not just stay on track, but accelerate.

讓我先談談 17%，然後 Gary 可能會補充到協處理器問題。本季度的支出實際上不僅僅是為了保持目標，而是為了加速我們的路線圖。隨著我們的收入在過去的季度環比增長，我們不僅能夠保持正軌，而且能夠加速。

Let me remind you that I think it was in the last conference call that we told you that next year's generation technology was already taped-out in Q2. That was basically possible because we are willing to spend the 17% of revenue in R&D and to accelerate as much as we can to bring as much R&D activity into the current quarter as we can, to be extremely competitive there in our roadmap.

讓我提醒您，我認為是在上次電話會議中我們告訴您，明年的一代技術已經在第二季度流片。這基本上是可能的，因為我們願意將 17% 的收入用於研發，並儘可能加快速度，將盡可能多的研發活動帶入本季度，從而在我們的路線圖中極具競爭力。

And now I'll pass the coprocessor question to Gary.

現在我將把協處理器的問題交給 Gary。

Thanks, Peter. So of course I won't specifically refer to any customers' products, but let me just talk about the coprocessor strategy in general, because I think it's an important one that we've used most successfully in the past as we enter and we're part of a fast-growing market.

謝謝，彼得。所以當然我不會專門提到任何客戶的產品，我只談一下協處理器的總體策略，因為我認為這是我們過去使用最成功的一個重要策略重新成為快速增長的市場的一部分。

And one way to look at what the coprocessor is, is essentially, we supply the main CPU on these solutions. Say, for example, a PC like the Intel CPU, and then occasionally you have these adding components like communications cards or in the case of the future, you'd think things like video, where you have an additional component.

了解協處理器是什麼的一種方法本質上是，我們為這些解決方案提供主 CPU。比如說，像 Intel CPU 這樣的 PC，然後偶爾會有這些添加組件，比如通信卡，或者在未來，你會想到像視頻這樣的東西，你有一個額外的組件。

That component is generally used where customers are really trying to get to market very quickly and where the new features are developing. And so, we've worked very successfully with coprocessor devices in the past in things like USB and FireWire. And then over time, what we see is as we integrate those in, we can then really start to give our customers the cost savings and really an improved power consumption.

該組件通常用於客戶真正試圖快速進入市場以及新功能正在開發的地方。因此，我們過去在 USB 和 FireWire 等協處理器設備上的工作非常成功。然後隨著時間的推移，我們看到的是，當我們將它們集成到其中時，我們就可以真正開始為我們的客戶節省成本並真正改善功耗。

So the coprocessor model we've used effectively in the past, and you should expect to see it now in these new markets as new features come to market quickly. It's a quick way to get to market. But long-term, we look at integration then as our strategy to drive down the overall system cost and then to do a great job, frankly, on the battery life.

因此，我們過去有效使用的協處理器模型，隨著新功能的快速上市，您應該期望現在在這些新市場中看到它。這是進入市場的快捷方式。但從長遠來看，我們將集成視為降低整體系統成本的戰略，然後坦率地說，在電池壽命方面做得很好。

Very good. Thank you and nice quarter.

很好。謝謝你，漂亮的季度。

Jason Pflaum of Thomas Weisel Partners.

Thomas Weisel Partners 的 Jason Pflaum。

Maybe just to start with the guidance again. Can you talk a little bit about your expectations for the linearity of the fourth quarter? Seasonally, I would think it would be very front-end loaded. And then you can just talk about how that compares to what you saw last year in the fourth quarter?

也許只是重新開始指導。您能談談您對第四季度線性度的期望嗎？季節性地，我認為它會非常前端加載。然後你可以談談與去年第四季度看到的情況相比如何？

Jason, I don't think it was too front-end loaded. There was a lot of activity in the first three weeks. But I think October is a very busy month and so is November. Turnaround times in Taiwan and China have really shortened significantly, so that you can have very significant production in October and November that still reaches the shelf [spread] before Christmas.

傑森，我不認為它過於前端加載。前三周有很多活動。但我認為十月是一個非常忙碌的月份，十一月也是如此。台灣和中國大陸的周轉時間確實顯著縮短，因此您可以在 10 月和 11 月有非常重要的產量，在聖誕節前仍然可以上架 [展開]。

Okay, so no major difference as far as linearity relative to what you saw last year?

好吧，就線性而言，與您去年看到的相比沒有重大區別？

Not really, no.

不是真的，不。

Okay. Also, on the gross margin, did you give guidance for the quarter?

好的。此外，關於毛利率，您是否給出了本季度的指導？

No.

不。

We've certainly talked about our long-term model of 41 to 44%, which I've done again.

我們當然已經談到了我們 41% 到 44% 的長期模型，我又做了一次。

Right. It seems like you would get some incremental benefit from the ongoing shift towards the 5022 this quarter and some of the new products that were not rolled out. Is that fair to assume that you could get some incremental benefit?

正確的。似乎您將從本季度持續向 5022 的轉變以及一些未推出的新產品中獲得一些增量收益。假設您可以獲得一些增量收益是否公平？

Well, we've had a manufacturing volume that we've never experienced before either, right? It was the highest manufacturing volume in our Company's history, in Q3. With that and specifically in the third quarter that we just went through, with the ramping of the 5022, we get those operational efficiencies.

好吧，我們也擁有前所未有的製造量，對吧？在第三季度，這是我們公司歷史上最高的製造量。有了這個，特別是在我們剛剛經歷的第三季度，隨著 5022 的增加，我們獲得了這些運營效率。

Let me not extrapolate that out into the fourth quarter. Let me just say that I'm very comfortable with modeling a financially highly successful company around our long-term model of 41 to 44%.

讓我不要將其推斷到第四季度。我只想說，圍繞我們 41% 到 44% 的長期模型，我很樂意為一家財務上非常成功的公司建模。

Okay, fair enough. Just two more questions here. One, I haven't had a chance to look at the actual line, but if you could just talk generally about the purposes of the cash that you intend to raise? I think you have 150 or so million cash on the books right now. Pretty strong position. What's the big driver behind another 100 million or so?

好吧，夠公平的。這裡還有兩個問題。一，我還沒有機會看到實際的線路，但如果您可以籠統地談談您打算籌集的現金的用途？我想你現在賬面上有 150 左右的現金。相當強勢的地位。另外1億左右背後的主要驅動力是什麼？

Jason, unfortunately, I cannot comment on that, as we're in the quiet period, as the SEC calls it.

傑森，不幸的是，我無法對此發表評論，因為我們正處於美國證券交易委員會所說的安靜時期。

Okay. And then finally, can you just give us an update on your progress on the handset front? You didn't really talk much about that. Just curious when we might be able to see first revenue in that area? Thank you.

好的。最後，您能告訴我們您在手機方面的最新進展嗎？你並沒有真正談論這個。只是好奇我們什麼時候可以看到該領域的第一筆收入？謝謝你。

So I'd characterize that with oh, steady as you go. As we indicated, we think to pull together really compelling end-to-end solutions are going to be a key part of that. And so we're actively investing in that space again. I think the strength of an applications processor has proved itself out with the Sirius S50 design win. And so again, I would characterize it as steady as you go.

所以我會用“哦，一路走來”來形容這一點。正如我們所指出的，我們認為將真正引人注目的端到端解決方案整合在一起將是其中的關鍵部分。因此，我們再次積極投資該領域。我認為應用處理器的實力已經在 Sirius S50 設計的勝利中得到了證明。再說一次，我會把它定性為你走的穩定。

Okay. Would 2006 timeframe be reasonable?

好的。 2006 年的時間表是否合理？

As we've talked about previously, we were probably looking toward the end--to the second half of 2006, primarily because, as you know, the cycle it really takes in both qualification and other reasons. So, that's consistent and that hasn't changed. As I say, we're making steady and I think, smart investments in that space.

正如我們之前談到的，我們可能正在展望 2006 年下半年，主要是因為，如您所知，它確實需要資格和其他原因的周期。所以，這是一致的，沒有改變。正如我所說，我們正在穩步進行，我認為，在該領域進行了明智的投資。

Shawn Slayton of SG Cowen.

SG Cowen 的肖恩·斯雷頓。

Just some housekeeping up front here, Olav. Can you give me your numbers for cash from operations and CapEx and D&A?

奧拉夫，只是前面的一些家務。你能給我你的運營現金、資本支出和 D&A 的數字嗎？

Cash from operations is about, let me see, it's pretty close to our earnings, basically, it's about $12 million.

讓我看看，運營現金大約是，非常接近我們的收入，基本上，大約是 1200 萬美元。

Okay.

好的。

And on CapEx, it is very low. As you know, we're a fabless Company. Superfabless, basically, working with our partners LSI and eSilicon. So, it's in 1.5 million range.

在資本支出上，它非常低。如您所知，我們是一家無晶圓廠公司。 Superfabless 基本上與我們的合作夥伴 LSI 和 eSilicon 合作。因此，它在 150 萬範圍內。

Okay, and then the D&A? You just gave me CapEx. Did you just give me D&A? I apologize.

好的，然後是 D&A？你剛剛給了我資本支出。你剛給我D&A嗎？我道歉。

I'm sorry, I understood MD&A, I'm sorry.

對不起，我了解MD&A，對不起。

No, depreciation and amortization?

不，折舊和攤銷？

We're about 1 million in depreciation and we have no amortization, because there's nothing really that we're amortizing, other than our stock charges.

我們大約有 100 萬折舊，我們沒有攤銷，因為除了我們的庫存費用之外，我們沒有真正攤銷。

Right, okay. Thanks for that. And I don't want to beat this to death again, but it's pretty important to next year's earnings forecast, so I want to make sure I get it right. Kind of on an absolute basis for the current quarter, R&D kind of like a $12 million range, we should model that on an absolute basis into 2006. Is that correct?

對，好吧。感謝那。我不想再把它打死，但這對明年的盈利預測非常重要，所以我想確保我做對了。在本季度的絕對基礎上，R&D 有點像 1200 萬美元的範圍，我們應該在 2006 年的絕對基礎上進行建模。這是否正確？

I think the easiest way to really look at the spending is really to stick with the 17%. I can't help you, certainly, with what your model has in terms of revenue for all sakes, but if you stick with the 17% spending for R&D, that is how we look at our willingness to spend in order to execute on our roadmap.

我認為真正了解支出的最簡單方法是堅持 17%。當然，我無法幫助您了解您的模型在收入方面的所有情況，但如果您堅持 17% 的研發支出，這就是我們如何看待我們為執行我們的路線圖。

Okay, understand. Any additional or accelerating activity in your system and package product?

好的，明白了。您的系統和包裝產品中是否有任何額外的或加速的活動？

When we gave the preamble to the questions here, we did refer to the 5024 and I think gave some nice color on that. So, we are very pleased with how that is looking to shape out.

當我們在這裡給出問題的序言時，我們確實提到了 5024，我認為它給出了一些很好的顏色。因此，我們對它的發展方式感到非常滿意。

Okay. Let me ask you, Gary, I remember we talked a couple of quarters ago and you had mentioned that 2005 was likely not the year for video, as far as a converged audio/video portable device. Can you refresh us on your thoughts now as to that, in light of this Apple device and just kind of update us on your understanding of the market audio and video functionality?

好的。讓我問你，Gary，我記得我們在幾個季度前談過，你曾提到 2005 年可能不是視頻年，就融合音頻/視頻便攜式設備而言。鑑於這款 Apple 設備，您現在能否讓我們重新思考一下您的想法，並告訴我們您對市場音頻和視頻功能的理解？

Sure. Remember, as we describe the video side, I always have a wry smile, because if you remember, I always stressed--and I still believe that, that these devices are not your two-hour DVD playback device.

當然。記住，當我們描述視頻方面時，我總是苦笑，因為如果你記得，我總是強調——而且我仍然相信，這些設備不是你的兩小時 DVD 播放設備。

And so, my first preamble when we talk about video is to try to get people off the view that these are devices, I think still of these small handhelds, for many hours of video viewing. And we stressed the sort of more specialized content for these types of devices, you know, movie trailers and such like. I wouldn't claim that we were as bold to bridge out the TV shows, but I think in terms of the size of the content and the type of video content, I think that's consistent with our view and vision. Again, we are probably most skeptical about very long viewing technologies on the device.

因此，當我們談論視頻時，我的第一個序言是試圖讓人們擺脫對這些設備的看法，我仍然認為這些小型手持設備可以觀看數小時的視頻。我們強調為這些類型的設備提供更專業的內容，你知道的，電影預告片等。我不會說我們如此大膽地架起了電視節目的橋樑，但我認為就內容的大小和視頻內容的類型而言，我認為這與我們的觀點和願景是一致的。同樣，我們可能對設備上的超長觀看技術最懷疑。

And so we still think specialized content, I think we'll see more coming, that sort of gives you sort of the 15-seconds to 15-minutes video smacking capability. We think that's very exciting and we're investing very appropriately on an integration roadmap for that type of profile.

所以我們仍然認為專業內容，我認為我們會看到更多內容，這會給你帶來 15 秒到 15 分鐘的視頻播放能力。我們認為這非常令人興奮，我們正在非常適當地投資於該類型配置文件的集成路線圖。

Okay, I understand. Can you speak--I know you guys don't want to touch on anything incremental to the S1, but Gary, hopefully you can give us an understanding of your view of the future of PortalPlayer, again, from new markets, maybe stuff that you didn't touch on in the preamble?

好，我懂了。你能說一下嗎——我知道你們不想觸及 S1 的任何增量，但是 Gary，希望你能再次讓我們了解你對 PortalPlayer 未來的看法，再次來自新市場，也許是那些你在序言中沒有提到嗎？

You're going to have a lot of cash on the balance sheet. I just want you to try to maybe add a little bit of flavor on maybe what PortalPlayer looks like as a Company in another 18 months. Do you grow by acquisition? Is it mostly organic? Help us understand, from 50,000 feet, PortalPlayer as a business.

你的資產負債表上會有很多現金。我只是想讓你嘗試為 PortalPlayer 在另外 18 個月內作為一家公司的樣子添加一點點趣味。你是靠收購成長的嗎？它主要是有機的嗎？幫助我們從 50,000 英尺的高度了解 PortalPlayer 作為一項業務。

Sure, happy to do that. The basis of what we do really well is really providing solutions that we think go into very innovative, portable media playback type devices. And we started off here in the MP3 market, but that, as you've now seen with video and others, is continuing to grow there.

當然，很高興這樣做。我們真正做得好的基礎是真正提供我們認為非常創新的便攜式媒體播放類型設備的解決方案。我們從 MP3 市場開始，但正如您現在在視頻和其他市場中看到的那樣，該市場正在繼續增長。

So one of the biggest trends that we think is missing, and we've talked about that for successive quarters now, is the idea of having a constantly connected device. And as we think about the different types of technologies that can connect these devices wirelessly, back to either the PC or a satellite service or a coffee shop, there is a wide range of wireless technologies that we think will be an integral part of this type of platform.

因此，我們認為缺失的最大趨勢之一是擁有一個不斷連接的設備的想法，而且我們已經連續幾個季度都在討論這個趨勢。當我們考慮可以將這些設備無線連接到 PC 或衛星服務或咖啡店的不同類型的技術時，我們認為有各種各樣的無線技術將成為這種類型不可或缺的一部分的平台。

So it's not just your cell phone with 3G. It's not just the WiFi. We think you'll see technologies like ultra wideband in the future, really start to tie in a very interesting types of connector devices that will start to serve different demographics.

所以它不僅僅是你的手機有 3G。不僅僅是 WiFi。我們認為你會在未來看到像超寬帶這樣的技術，真正開始與非常有趣的連接器設備類型相結合，這些設備將開始服務於不同的人群。

I think some folks will, for example, will start to enjoy TV and video content maybe differently than someone who wants news and audio. And so the bottom line is, we think these adjacent market and opportunities that build upon our strength on the media playback and portability offer us now very exciting adjacent markets that we'll be talking about in the future as we [move] to both that CS and in other forms.

例如，我認為有些人會開始享受電視和視頻內容，這可能與喜歡新聞和音頻的人不同。因此，底線是，我們認為這些基於我們在媒體播放和便攜性方面的優勢的相鄰市場和機會現在為我們提供了非常令人興奮的相鄰市場，我們將在未來談論這兩個市場CS和其他形式。

Okay. I'll yield the floor. Thanks.

好的。我讓位。謝謝。

Quinn Bolton of Needham & Company.

Needham & Company 的 Quinn Bolton。

Great quarter. First question, Gary, don't know if you can really comment, because it starts to get into your 2006 platform, but you've seen one of your customers introduce a video capable device that uses a coprocessor. I'm wondering if you can say out in 2006, as we see more video enabled devices coming to market, do you think that you'll need a coprocessor to handle H.264 and some of the more advanced video codecs that are being used in the market? And then I've got a few follow-ons.

很棒的季度。第一個問題，Gary，不知道您是否真的可以發表評論，因為它開始進入您的 2006 平台，但是您已經看到您的一個客戶介紹了使用協處理器的視頻設備。我想知道您是否可以在 2006 年說出來，隨著我們看到更多支持視頻的設備進入市場，您是否認為您需要一個協處理器來處理 H.264 和一些正在使用的更高級的視頻編解碼器在市場上？然後我有一些後續行動。

Quinn, I don't think there's one standard answer there. What we do well at by being that main CPU on a motherboard, is actually we put in place the environment where we do play well with other players. We think that for cost and power, a high level of integration generally wins. And as you've seen us in the past integrate in other auxiliary components like FireWire and USB, it would be natural for us to start to attack and look at that level of integration.

奎因，我認為那裡沒有一個標準答案。作為主板上的主 CPU，我們所擅長的實際上是我們建立了與其他玩家一起玩的環境。我們認為，就成本和功耗而言，高集成度通常會勝出。正如您在過去看到的那樣，我們集成了 FireWire 和 USB 等其他輔助組件，我們很自然地開始攻擊並查看集成水平。

But having said that, there are always customers that want to have different permutations in things like graphics and video and in wireless. So the answer is, we'll be looking, of course, at the right level of integration at the right time for both cost and power, for now. And then we'll be working--continue to work with a wide variety of folks as this platform becomes much broader in the future.

但話雖如此，總有客戶希望在圖形、視頻和無線等方面有不同的排列方式。所以答案是，我們現在當然會在合適的時間尋找合適的集成水平來兼顧成本和功耗。然後我們將繼續工作——隨著這個平台在未來變得更廣泛，繼續與各種各樣的人合作。

Okay. Sort of a follow-on question. As you look to sort of expand the capabilities of the current 5022 family, I don't know whether that involved an ARM upgrade from ARM 7 to one of the more advanced ARM cores. But to the extent you do select a new ARM core, does all the software--is that all code-compatible between the various ARM processor families, or would there be any rework you need to do to the existing code base, to the extent you did go from, say, an ARM 7 to an ARM 9?

好的。有點像後續問題。當您希望擴展當前 5022 系列的功能時，我不知道這是否涉及將 ARM 從 ARM 7 升級到更先進的 ARM 內核之一。但是，如果您確實選擇了一個新的 ARM 內核，那麼所有軟件是否都在各個 ARM 處理器系列之間兼容，或者您是否需要對現有代碼庫進行任何返工？你確實從 ARM 7 升級到了 ARM 9？

Well, I don't want to speculate here about future product architecture, so I'll sort of step back from the big picture there. And it is fair to say that once you're within a processor family like ARM or MIPs, the migration is considerably easier than you would have if you had jumped processor family recently. So let me leave it at that for this point. I really don't want to tip our hand on our future product roadmaps here.

好吧，我不想在這裡推測未來的產品架構，所以我會從那裡的大局中退後一步。公平地說，一旦您加入了 ARM 或 MIP 之類的處理器系列，遷移就會比您最近跳槽處理器系列要容易得多。因此，讓我先把它留在這一點上。我真的不想在這裡透露我們未來的產品路線圖。

Okay. One for Olav. Olav, just first wanted to clarify, did you say that the blended ASP was down 17%, versus year-ago quarter?

好的。一個給奧拉夫。 Olav，首先想澄清一下，您是說混合平均售價與去年同期相比下降了 17%？

That's correct.

這是正確的。

And then, just sort of some color around that. Do you think that that had to do more with just the volume ramp of the 5022 and that device being on .13, or might it have had to do more with the fact that your biggest customer introduced two new families here in the last month or so?

然後，只是圍繞它的一些顏色。您是否認為這與 5022 的音量增加和該設備的 0.13 性能有關，或者可能與您的最大客戶在上個月在這裡推出了兩個新系列或所以？

Could there have been any price negotiations sort of involved with the introduction of the new players, that now that those are introduced, pricing comes back to more what you saw, say in the first and second quarter of '05?

是否有任何與引入新玩家有關的價格談判，既然引入了新玩家，定價又回到了你所看到的更多，比如 05 年第一季度和第二季度？

I don't want to tie the pricing really to any products that are introduced in the market. We just renegotiate our prices from time to time with our customers. And our cost has really developed very positively in the past quarter, as I mentioned earlier, with the ramping of the 5022. And so the renegotiations with our customers were just also in line with what we saw in our cost. It was not really tied to a specific introduction of a product.

我不想將定價與市場上推出的任何產品掛鉤。我們只是不時與客戶重新談判價格。正如我之前提到的，隨著 5022 的增加，我們的成本在上個季度確實發展得非常積極。因此，與我們客戶的重新談判也與我們在成本中看到的一致。它與產品的具體介紹並沒有真正的聯繫。

Okay. Can you say whether those price renegotiations, was that kind of more of an annual basis or is that more of a shorter-term, say quarter-to-quarter?

好的。你能說這些價格重新談判，是更多的年度還是更短期的，比如季度到季度？

You know, every customer is different and it's not a [science, it's an art]. It's renegotiating the prices as you ramp in volume, as roadmaps change. It's hard to describe it here, in detail.

你知道，每個客戶都是不同的，這不是一門[科學，而是一門藝術]。隨著路線圖的變化，隨著數量的增加，它正在重新談判價格。在這裡很難詳細描述。

Okay. And then last question then I'll yield the floor. I'm assuming that none of the gross margin benefit that you saw this quarter came to do with an insourcing or a move to COT. It sounds like you're still heavily [unintelligible] in kind of the eSilicon LSI Logic model. So, to the extent you went COT, that would all be incremental gross margin in the future?

好的。然後是最後一個問題，我請發言。我假設您在本季度看到的毛利率收益與內包或轉向 COT 無關。聽起來您仍然對 eSilicon LSI Logic 模型非常[難以理解]。那麼，就您選擇 COT 而言，這將是未來的增量毛利率嗎？

We would talk about this if it were this way, yes, absolutely. Nothing has changed in our supply-side model.

如果是這樣的話，我們會談論這個，是的，絕對的。我們的供應方模型沒有任何改變。

Daniel Ernst of Hudson Square Research.

哈德遜廣場研究公司的丹尼爾·恩斯特。

Three questions, if I might, maybe drilling into first the MPEG-4 question. When do you think you can move beyond MPEG-4 SP into some of the full-rate MPEG-4 and VC1, etc., given that that's where the market seems to be going? And maybe answer that question in light of the competition, PixelWorks and Broadcom both making acquisitions in that space this year. NVIDIA talking about things that look like they're in your market and sort of maybe give us an idea of the competitive landscape in the portable media space?

三個問題，如果可以的話，可能會先深入研究 MPEG-4 問題。你認為什麼時候可以超越 MPEG-4 SP 進入一些全速率的 MPEG-4 和 VC1 等，因為這似乎是市場的發展方向？鑑於競爭，PixelWorks 和博通今年都在該領域進行了收購，也許可以回答這個問題。 NVIDIA 談論看起來像是在您的市場上的東西，並且可能讓我們對便攜式媒體領域的競爭格局有所了解？

And then, secondly, on the question of bringing silicon design, now that you're looking at running maybe 75 million in the fourth quarter, is that the level where it just makes sense to bring that in-house?

然後，其次，關於引入矽設計的問題，既然你正在考慮在第四季度運行可能 7500 萬，那麼將其引入內部是否有意義？

And then, the third question is just to clarify. I think you said that you thought that you could produce things during November that would hit the shelves in Christmas here. Are you saying that you could have the lead times within four weeks? Thanks.

然後，第三個問題只是澄清一下。我想你說過你認為你可以在 11 月生產一些東西，這些東西會在聖誕節在這裡上架。你是說你可以在四個星期內得到交貨時間嗎？謝謝。

Let me take the first two there, Dan. So on the video side, we've been a integral developer of video for an extended period now. And in fact, we have been watching the market very closely in terms of developing at that core competency and core expertise.

讓我把前兩個帶到那裡，丹。因此，在視頻方面，我們在很長一段時間內一直是視頻不可或缺的開發商。事實上，我們一直在密切關注市場，以發展核心競爭力和核心專業知識。

The question is, when do you put it onto the main CPU? You know, the analogy would be here again with looking, say, at Intel on a motherboard, when is the point that you would bring the graphics and the video into the main core solution?

問題是，你什麼時候把它放到主 CPU 上？你知道，類比將再次出現，例如，看看主板上的英特爾，你什麼時候將圖形和視頻帶入主核心解決方案？

So, our strategy is to intercept a video roadmap that again we will differentiate. We'll hit the performance targets we need, but at the right price point and with great power consumption. And so, we're not loosing any sleep over the video roadmap here. We think we have it well-placed and again, we think at the time where integration counts, we'll be in good steps for that.

因此，我們的策略是截取一個我們將再次區分的視頻路線圖。我們將達到我們需要的性能目標，但價格合適，功耗也很大。因此，我們不會對這裡的視頻路線圖失去任何睡眠。我們認為我們已經做好了準備，而且我們認為在整合很重要的時候，我們將在這方面邁出良好的步伐。

On the COT side of the house, again, you're right, traditional folklore would be, beyond 10 million units you start to move to COT. What I've got to say though, is that from the flexible business model that Olav indicated at earlier, we quite enjoy this flexibility and support we get from large world class suppliers like LSI and others and it gives you a great deal of flexibility to go and make smart investments in other types of IP.

在房子的 COT 方面，你是對的，傳統的民間傳說是，超過 1000 萬個單位，你開始轉向 COT。不過，我要說的是，從 Olav 早些時候指出的靈活商業模式中，我們非常享受從 LSI 和其他大型世界級供應商那裡獲得的這種靈活性和支持，它為您提供了很大的靈活性對其他類型的 IP 進行明智的投資。

So, yes, I think over time we'll certainly start to move to that, but as Olav indicated, we'd make that clear at that time. We're finding our supply partners are responding very favorably to that potential shift to COT and we're enjoying that flexibility and support from those guys.

所以，是的，我認為隨著時間的推移，我們肯定會開始這樣做，但正如奧拉夫所說，我們會在那個時候明確表示。我們發現我們的供應合作夥伴對向 COT 的潛在轉變做出了非常積極的反應，我們正在享受這些人的靈活性和支持。

I'll take the last part of your question, Dan, the lead time. Yes, I did say that manufacturing volumes in November, are certainly still a volume that could be sold in December on the shelf.

我會回答你問題的最後一部分，丹，準備時間。是的，我確實說過，11 月的製造量肯定仍然是可以在 12 月在貨架上出售的量。

So, this is more of a question certainly for our customers, because I'm not too much in the loop on the manufacturer turnover time. But in general, you can say that two to three weeks is probably the turnover time in China and Taiwan now.

所以，這對我們的客戶來說肯定是一個更大的問題，因為我對製造商的周轉時間並沒有太多了解。但總的來說，你可以說兩到三周大概是現在中國大陸和台灣的周轉時間。

Wow, that's good to hear. But Gary, could I actually just maybe get you to comment on the competitive landscape a little bit, if you would?

哇，很高興聽到。但是加里，如果你願意，我真的可以讓你對競爭格局發表一點評論嗎？

Sure. This market is getting larger and of course, we start to attract other market entrants. I think the specialization that we still have in the demand from the space and the amount of software still starts to sort of sort the wheat from the chaff. Competitors we are seeing that are actually doing a pretty good job, a better job on the software side are companies like TeleChips, out of Korea, who are in that market space I think are showing quite well.

當然。這個市場越來越大，當然，我們開始吸引其他市場進入者。我認為我們在空間需求和軟件數量方面仍然存在的專業化仍然開始有點像從穀殼中篩選出的小麥。我們看到的競爭對手實際上做得很好，在軟件方面做得更好的是韓國以外的 TeleChips 等公司，我認為它們在該市場領域的表現相當不錯。

So that class of customer on the base market. And of course, as these devices start to morph in the future, we expect and will see the more broadline suppliers in this market. And again, our approach there is to really understand the application, to bring the five generations of experience we've done to really drive the balance between power and price performance, so we come out with the most optimized solution.

因此，基礎市場上的那類客戶。當然，隨著這些設備在未來開始變形，我們預計並將在這個市場上看到更廣泛的供應商。再一次，我們的方法是真正了解應用程序，利用我們所做的五代經驗來真正推動功率和性價比之間的平衡，因此我們提出了最優化的解決方案。

So, broadline suppliers, yes, I think you'll see a host of those. They haven't succeeded so far five generations in this market and we don't think that dynamic is going to change. And then we are seeing companies like a TeleChips, that is getting more software intensive. They seem to do a fairly good job in Asia today.

所以，廣泛的供應商，是的，我想你會看到很多這樣的。到目前為止，他們在這個市場上還沒有成功五代，我們認為這種動態不會改變。然後我們看到了像 TeleChips 這樣的公司，它們的軟件密集度越來越高。他們今天在亞洲似乎做得相當不錯。

Craig Berger of Wedbush Morgan Securities.

Wedbush Morgan Securities 的 Craig Berger。

He's gone.

他走了。

Adam Benjamin of Jefferies & Company.

傑富瑞公司的亞當·本傑明。

Just a couple of questions here. Last quarter you had talked about your expectation for significant revenue in Q3 from the 5024. Has that outlook changed at this point?

這裡只是幾個問題。上個季度，您曾談到您對 5024 在第三季度的可觀收入的預期。此時這種前景是否發生了變化？

Adam, I don't think we talked about significant revenue from the 5024. We said we would expect significant revenue from Flash-based products. And we always said that the 5024 is a specific Flash product, but the 5022, or now its family member, the 5021, is also a Flash product. So, I think that's the way that we positioned it last quarter.

亞當，我認為我們沒有談到 5024 帶來的可觀收入。我們說我們預計基於 Flash 的產品會帶來可觀的收入。我們總是說 5024 是特定的 Flash 產品，但 5022，或者現在它的家族成員 5021，也是 Flash 產品。所以，我認為這就是我們上個季度的定位方式。

Okay. I mean, you did say specifically significant, but you qualified it as 10 to 90%, a pretty big range. But--.

好的。我的意思是，您確實說過特別重要，但您將其定性為 10% 到 90%，這是一個相當大的範圍。但 - 。

Oh, I'm sorry. I thought you were focused on the 5024 versus the 5022. It is absolutely significant revenue from Flash-based products in Q3, yes.

哦，對不起。我以為您關注的是 5024 與 5022。第三季度基於 Flash 的產品的收入絕對是可觀的，是的。

Okay. Second question is, with regard to the S1 you filed, it specifically references 13 million being shipped into Hon Hai in Q1 and Q2. And you've said previous to this that your first Flash-based revenue had been in Q3. Should we assume that the revenue into Hon Hai in Q1 and Q2 was for hard drive base players?

好的。第二個問題，關於你提交的S1，它具體提到了1300萬在第一季度和第二季度運往鴻海。您之前曾說過，您的第一筆基於 Flash 的收入是在第三季度。我們是否應該假設第一季度和第二季度鴻海的收入是針對硬盤基礎玩家的？

I'm not making any reference to the S1 that you referenced. Our largest customer is working with various ODMs out there. One of them is Inventec and one is Hon Hai. The way that they're allocating the business to one or the other is really nothing I can comment on, Adam.

我沒有提及您引用的 S1。我們最大的客戶正在與各種 ODM 合作。其中一個是英業達，一個是鴻海。他們將業務分配給其中一個或另一個的方式真的是我無法評論的，亞當。

Okay. Previous to this you've talked about ASP and units on a year-over-year basis. You've given the ASP decline on the year-over-year basis. Can you provide the units for this quarter?

好的。在此之前，您已經討論了每年的 ASP 和單位。您已經給出了 ASP 同比下降的情況。你能提供本季度的單位嗎？

Unfortunately, I cannot comment on that either. It's just our policy not--we talk about ASPs to try to give you some color in how our ASPs develop, but we don't talk about units.

不幸的是，我也不能對此發表評論。這只是我們的政策——我們談論 ASP 是為了讓您了解我們的 ASP 如何發展，但我們不談論單位。

Okay. Last question. I'll try this one. The gross margin, your target has always been 41 to 44%. You did a little bit better than that, at 45% this quarter. Obviously, with the arrangement with LSI and eSilicon, there's some give and take there with respect to the ASPs.

好的。最後一個問題。我會試試這個。毛利率，你的目標一直是 41% 到 44%。你做得比那好一點，本季度為 45%。顯然，通過與 LSI 和 eSilicon 的安排，在 ASP 方面存在一些讓步。

Can you give us a view as to whether you think that target should really be increased or should we be looking at this longer-term or even the next couple of quarters to moderate back to the target range of 41 to 44%? And I'll leave it at that.

您能否給我們一個看法，您是否認為該目標真的應該增加，或者我們是否應該著眼於這個長期甚至未來幾個季度，以將目標降至 41% 至 44% 的目標範圍？我就這樣吧。

I can answer that one, Adam. Actually, we're proud here that we've developed a financially very successful model around a 41 to 44% margin. So, as the margin quarter-over-quarter develops, depending on price negotiations and the cost development and other factors like ramping in volumes that we've never experienced, we still want to say that the 41 to 44% long-term margin model is the one that we actually model our financial future around. This is how I want to put it.

我可以回答那個，亞當。實際上，我們為此感到自豪，因為我們開發了一個在財務上非常成功的模型，利潤率約為 41% 到 44%。因此，隨著季度利潤率的增長，取決於價格談判和成本發展以及其他因素，例如我們從未經歷過的銷量增長，我們仍然想說 41% 到 44% 的長期利潤率模型是我們實際上圍繞我們的財務未來建模的那個。這就是我想表達的方式。

Okay. Maybe let me ask one more question on that, Olav, and see if you can answer this. You had a 17% decline in ASPs, yet you had a bump in gross margin in the quarter, which is something to be cheered as a semiconductor company. So, my question is, going forward, could that occur in the next couple of quarters as well?

好的。也許讓我再問一個問題，奧拉夫，看看你能不能回答這個問題。你的平均售價下降了 17%，但本季度的毛利率卻出現了大幅增長，這對於一家半導體公司來說是值得歡呼的。所以，我的問題是，展望未來，未來幾個季度也會發生這種情況嗎？

It could occur in the next couple of quarters, yes. But it doesn't have to.

它可能發生在接下來的幾個季度，是的。但這不是必須的。

Jason Paraschac of Kaufman Brothers.

考夫曼兄弟的傑森·帕拉沙克。

Just a couple of quick questions, hopefully. One, just to clarify on deferred revenue, that is just showing your margin on the chips that you shipped in basically the final three weeks of the quarter, correct?

只是幾個快速的問題，希望如此。一，只是為了澄清遞延收入，這只是顯示你在本季度最後三週基本上發貨的芯片的利潤，對嗎？

That's correct.

這是正確的。

Okay. So that would imply about a 25 million revenue shipment in those final three weeks, which leaves, up to the midpoint of your guidance range, only 45 million to go during the rest of the quarter. And that is typical linearity? Am I putting all those pieces together?

好的。因此，這意味著在最後三週內大約有 2500 萬的收入出貨量，這使得在本季度剩餘時間內只有 4500 萬的收入達到您的指導範圍的中點。那是典型的線性？我把所有這些碎片放在一起了嗎？

Well, you're putting the pieces together. So again, I said not every week is the same, right? And in the last three weeks of September we saw a lot of activity, we said on the call. It's almost three weeks of September, you know our revenue recognition policy. Not every week is the same. We haven't, certainly, used the number that you used, the 25 million, because that implies that we would give guidance to the margin that we ship those products at, so we haven't done that. But, overall, I think the math that you did is an okay math.

嗯，你把碎片放在一起。再說一遍，我說不是每個星期都是一樣的，對吧？我們在電話會議上說，在 9 月的最後三週，我們看到了很多活動。九月快三週了，你知道我們的收入確認政策。不是每個星期都是一樣的。當然，我們沒有使用您使用的數字，即 2500 萬，因為這意味著我們將為我們運送這些產品的利潤率提供指導，所以我們沒有這樣做。但是，總的來說，我認為你做的數學是一個好的數學。

Okay, but, did I hear your comment to an earlier question correctly, that you would characterize that as typical or not atypical linearity?

好的，但是，我是否正確地聽到了您對先前問題的評論，您將其描述為典型或非典型線性？

You know, we only have really two or three years. I mean, last year was our first year of really volume shipment. This is our second year. So talking about typical patterns for PortalPlayer is a little early. But if I compare it to last year, it's relatively typical.

你知道，我們真的只有兩三年的時間。我的意思是，去年是我們真正批量出貨的第一年。這是我們的第二年。所以談論 PortalPlayer 的典型模式還為時過早。但如果我與去年相比，它是比較典型的。

Okay. Another clarification. Did you, in the third quarter, recognize revenue from the 5024?

好的。另一個澄清。您是否在第三季度確認了 5024 的收入？

No, we have not.

不，我們沒有。

Okay. And then the last question, going back to the competitive landscape, obviously there's the coprocessor on the video iPod from Broadcom, but as you talk about the evolution of not just the iPod, but MP3 players in general, adding wireless capabilities and who knows what else, that's inviting other competitors in the ilks of Broadcom or an Intel. How do you defend your turf against those guys encroaching on the total board cost there? And grant it, you're working on some of the developments, but you're also talking about the fact that your chip works so well with these other partners.

好的。最後一個問題，回到競爭格局，顯然博通視頻 iPod 上的協處理器，但是當你談到的不僅僅是 iPod 的發展，還有 MP3 播放器的發展，增加了無線功能，誰知道呢？否則，這將邀請博通或英特爾等其他競爭對手。你如何保護你的地盤免受那些侵占那裡的總董事會成本的人的影響？承認吧，你正在做一些開發，但你也在談論你的芯片與這些其他合作夥伴合作得很好的事實。

Right. From an overall board cost or bill of material, we frankly have, because of the high cost of the storage, never ranked ourselves and take [pride] of how much our percentage of building material is. It's always been a small percentage, because of the large amount of storage there.

正確的。從整體板材成本或材料清單來看，坦率地說，由於存儲成本高，我們從未對自己進行排名，也從未對我們的建築材料百分比感到自豪。由於那裡的存儲量很大，它一直是一小部分。

And so I think in effect, what we look at is, what can we offer in very low-power, highly integrated solutions there? And as you talk about wireless, unless you're looking at some of the more exotic future technologies, many of the technologies, WiFi and others and Bluetooth, are at a state where they're essentially a pipe.

所以我認為實際上，我們所看到的是，我們可以在那裡提供非常低功耗、高度集成的解決方案？當您談論無線時，除非您正在研究一些更奇特的未來技術，否則許多技術，WiFi 和其他技術以及藍牙，都處於它們本質上是管道的狀態。

And in terms of the abilities first to work with a provider that provides that well-standardized optimized pipe, we think we view it frankly as another USB or FireWire connector solution. It is no more than that. It doesn't provide real value-add in terms of them having to do new types of features on their pipe. It's a connectivity solution, like USB and FireWire. In many cases, it's now got more and more commoditized and available from lots of different sources.

就首先與提供良好標準化優化管道的供應商合作的能力而言，我們認為我們坦率地將其視為另一種 USB 或 FireWire 連接器解決方案。僅此而已。就他們必須在他們的管道上執行新類型的功能而言，它沒有提供真正的增值。它是一種連接解決方案，如 USB 和 FireWire。在許多情況下，它現在變得越來越商品化，並且可以從許多不同的來源獲得。

And again, we don't measure ourselves on percentage of bill of materials, we view on are we on the right integration roadmap for the sweet spot of price and performance and power and making sure we get that right in time for our largest customers' needs? And that is our paramount focus, versus systemically trying to increase bill of material costs.

再一次，我們不以材料清單的百分比來衡量自己，我們認為我們是否在正確的集成路線圖上，以實現價格、性能和功率的最佳平衡點，並確保我們及時為最大的客戶提供正確的集成路線圖需要？這是我們最關注的重點，而不是系統地試圖增加材料成本。

Okay. But if I could just twist that around here. I guess your competitors would look at it as their strategy is to increase their bill of materials. And I would think that them getting a socket, even though if it's a standard wireless chip or some other interface, that's a leg up in them getting a footprint in there and eventually displacing you. Is that a threat in your outlook?

好的。但如果我可以在這裡扭轉它。我猜你的競爭對手會認為他們的策略是增加他們的材料清單。而且我認為他們得到了一個插座，即使它是一個標準的無線芯片或其他接口，這是他們在那裡獲得足跡並最終取代你的一個優勢。這對你的前景構成威脅嗎？

Well, again, if you view that as a stepping point from us as a fifth generation platform provider, you could view that auxiliary component as a very expensive additional cost to a solution. And if that may be the expeditious way to get there in the short-term, but if you view our ability to integrate, to take that component out, that's a great opportunity for us as well.

好吧，再一次，如果您將其視為我們作為第五代平台提供商的一個踏腳點，您可以將輔助組件視為解決方案的非常昂貴的額外成本。如果這可能是在短期內實現目標的快速方式，但如果你看到我們整合的能力，把那個組件拿出來，這對我們來說也是一個很好的機會。

And so, we're not going to begrudge the early introduction of the coprocessors in the solution. In a way, it sets us then an additional ASP target that we can then roll into our solution and hopefully give our customers ASP savings over that. So, when a platform cost goes up, that essentially gives us the ability to target more integration.

因此，我們不會吝嗇在解決方案中早期引入協處理器。在某種程度上，它為我們設置了一個額外的 ASP 目標，然後我們可以將其引入我們的解決方案，並希望為我們的客戶節省 ASP。因此，當平台成本上升時，這實質上使我們能夠瞄準更多集成。

And I don't think, as maybe you're implying, it's going to end up as, who has the highest dollar cost on the platform. That's not how we look at the business. We look at securing that main CPU motherboard slot that we've had for five generations and continuing to run the OS and all the features that surround that.

而且我不認為，正如你所暗示的那樣，它最終會成為平台上美元成本最高的人。這不是我們看待業務的方式。我們著眼於保護我們已經使用了五代的主 CPU 主板插槽，並繼續運行操作系統和圍繞它的所有功能。

And as we've done successfully now, integrated in many different types of mixed signal capabilities like highest performing USB OTG 2.0 solutions into that solution. So we view ourselves as the central motherboard solution, with an integration roadmap to pull value in from these coprocessors over time.

正如我們現在已經成功完成的那樣，將許多不同類型的混合信號功能（如性能最高的 USB OTG 2.0 解決方案）集成到該解決方案中。因此，我們將自己視為中央主板解決方案，隨著時間的推移從這些協處理器中獲取價值的集成路線圖。

Craig Berger of Wedbush.

韋德布什的克雷格·伯傑。

Thank you for taking my question and congrats on a nice quarter. Can you help us understand what type of insight or visibility you have into 2006 design wins?

感謝您提出我的問題，並祝賀您度過了一個愉快的季度。您能否幫助我們了解您對 2006 年設計獲勝的洞察力或可見性？

Let me try to give you some color without--as you know, we, from a financial point of view, really look at one quarter out. But it will be fair to say that, for example, we understand the cycles extremely well and understand the cycles of our key customers extremely well in this market. We announced in Q2, that we had taped-out--or given the case of at least one tape-out in the Q2 timeframe of new products that we think will align nicely with our customers' roadmap for '06.

讓我試著在沒有的情況下給你一些顏色——如你所知，從財務的角度來看，我們確實看到了四分之一。但公平地說，例如，我們非常了解這個市場的周期，並且非常了解我們的主要客戶的周期。我們在第二季度宣布，我們已經流片——或者考慮到在第二季度的時間框架內至少有一個新產品的流片，我們認為這些新產品將很好地符合我們客戶的 06 年路線圖。

So, we've been at this now for multiple generations. We think the '06 roadmap and solutions that we have in place and are developing, are very well suited. In actual fact, frankly, our technologists are really now looking at the '07 timeframe. It's really the '07 now where we're doing lots of work, both on our existing platforms and new platforms on the advanced development. So I would characterize '07 as our advanced development timeframe and '06, we're really in the thick of that development now.

所以，我們已經經歷了好幾代人了。我們認為我們已經制定和正在開發的 '06 路線圖和解決方案非常適合。事實上，坦率地說，我們的技術人員現在真的在關注 07 年的時間表。現在真的是 07 年，我們在現有平台和高級開發的新平台上做了大量工作。因此，我將 07 年描述為我們的高級開發時間框架，而 06 年，我們現在確實處於該開發的最密集階段。

That's helpful. Thank you. With respect to Q1 seasonality, is normal still down 20 to 30% sequentially, and do you see anything to indicate that Q1 '06 would be anything other than normal?

這很有幫助。謝謝你。就第一季度的季節性而言，正常情況仍會連續下降 20% 至 30%，您是否看到任何跡象表明 06 年第一季度會不正常？

Craig, I can't talk about anything that goes above and beyond Q4 in specific, so let's not talk about Q1 in specific. But let's talk about how we look at '06. So, a year ago or nine-months ago, we were talking about '05 as the year that is probably more transitional than already really consumer electronics seasonally impacted. And so it was. The first two quarters were relatively strong.

克雷格，我不能具體談論超出第四季度的任何事情，所以我們不要具體談論第一季度。但是讓我們談談我們如何看待 06 年。因此，一年前或九個月前，我們談論的是 05 年，因為這一年可能比已經真正受到季節性影響的消費電子產品更具過渡性。就這樣。前兩個季度相對強勁。

We said then '06 is probably more of a typical seasonal consumer electronics year and right now we're reevaluating this. We're not quite sure how it's going to turn out, but '06 could have a typical seasonal consumer electronics trend, with the first half a little slower and the second half strong. But it could also still be a year of some traditional trends.

我們說過，06 年可能更像是一個典型的季節性消費電子產品年，現在我們正在重新評估這一點。我們不太確定結果如何，但 06 年可能會出現典型的季節性消費電子產品趨勢，上半年稍慢，下半年強勁。但這也可能是一些傳統趨勢的一年。

It's as much as I can say and want to say right now, because it's a little too early to really talk about the whole year and I can't really give you a direct comment on the first quarter of '06 at this time.

我現在能說和想說的就這麼多，因為現在談論全年還為時過早，而且我目前無法對 06 年第一季度直接發表評論。

Okay. And then just my final question is, you've got about 10 days of inventory on hand. Can you help us understand your ability to respond to upside requests in Q4?

好的。然後我的最後一個問題是，你手頭有大約 10 天的庫存。您能否幫助我們了解您在第四季度響應上行請求的能力？

We have no concern about it at all. We've made sure, weeks and weeks ago, that we have inventory on hand in our warehouse and then certainly with a lot of flexibility in our supply chain. Let me remind you that LSI, they're sitting in between us and the fab. So we have very strong partners. We have no problem what so ever thinking of being able to supply upside if we're asked to.

我們對此完全不關心。幾周和幾週前，我們已經確保我們的倉庫中有庫存，然後我們的供應鏈肯定具有很大的靈活性。讓我提醒你，LSI，他們坐在我們和晶圓廠之間。所以我們有非常強大的合作夥伴。如果我們被要求提供上行空間，我們沒有任何問題。

Thank you. Due to time constraints on today's call, I would like to turn the call back over to Mr. Johnson. Please go ahead, sir.

謝謝你。由於今天電話會議的時間限制，我想將電話轉回給約翰遜先生。請繼續，先生。

Thank you everyone. Thanks everyone for joining us on the call today. With that, we will simply conclude the conference call. Thanks again.

謝謝大家。感謝大家今天加入我們的電話會議。這樣，我們將簡單地結束電話會議。再次感謝。

Thank you.

謝謝你。

Thank you. We do appreciate your participation in today's call. At this time you may disconnect.

謝謝你。我們非常感謝您參加今天的電話會議。這時候你可以斷開連接。