高通 (QCOM) 2017 Q4 法說會逐字稿

Ladies and gentlemen, thank you for standing by. Welcome to the Qualcomm Fourth Quarter and Fiscal 2017 Earnings Conference Call. (Operator Instructions) As a reminder, this conference is being recorded, November 1, 2017. The playback number for today's call is (855) 859-2056. International callers, please dial (404) 537-3406. The playback reservation number is 39466043. I would now like to turn the call over to John Sinnott, Vice President of Investor Relations. Mr. Sinnott, please go ahead.

女士們、先生們，感謝你們的耐心等待。歡迎參加高通公司2017財年第四季及業績電話會議。（操作說明）提醒：本次會議正在錄音，2017 年 11 月 1 日。今天電話回放號碼是（855）859-2056。國際來電者請撥 (404) 537-3406。播放預約號碼為 39466043。現在我將把電話交給投資者關係副總裁約翰辛諾特。辛諾特先生，請繼續。

Thank you, and good afternoon, everyone. Today's call will include prepared remarks by Steve Mollenkopf and George Davis. In addition, Cristiano Amon, Alex Rogers and Don Rosenberg will join the question-and-answer session.

謝謝大家，大家下午好。今天的電話會議將包括史蒂夫·莫倫科普夫和喬治·戴維斯的準備好的演講。此外，克里斯蒂亞諾·阿蒙、亞歷克斯·羅傑斯和唐·羅森伯格也將參加問答環節。

You can access our earnings release and a slide presentation that accompany this call on our Investor Relations website. In addition, this call is also being webcast on qualcomm.com, and a replay will be available on our website later today.

您可以造訪我們的投資者關係網站，查看我們的獲利報告和本次電話會議的幻燈片簡報。此外，本次電話會議也將在 qualcomm.com 上進行網路直播，稍後將在我們的網站上提供重播。

During the call today, we will use non-GAAP financial measures as defined in Regulation G, and you can find the related reconciliations to GAAP and on our website. We will also make forward-looking statements, including projections and estimates of future events, business or industry trends or business or financial results. Actual events or results could differ materially from those projected in our forward-looking statements. Please refer to our SEC filings, including our most recent 10-K, which contain important factors that could cause actual results to differ materially from the forward-looking statements.

在今天的電話會議中，我們將使用 G 條例定義的非 GAAP 財務指標，您可以在我們的網站上找到與 GAAP 相關的調整表。我們也會做出前瞻性聲明，包括對未來事件、業務或行業趨勢或業務或財務表現的預測和估計。實際事件或結果可能與我們的前瞻性聲明中預測的內容有重大差異。請參閱我們向美國證券交易委員會提交的文件，包括我們最新的 10-K 表格，其中包含可能導致實際結果與前瞻性陳述有重大差異的重要因素。

And now the comments from Qualcomm's Chief Executive Officer, Steve Mollenkopf.

現在請聽聽高通執行長史蒂夫·莫倫科夫的評論。

Thank you, John, and good afternoon, everyone. We are pleased to report better-than-expected results in our fourth fiscal quarter, completing a year where we saw strong performance across our chip businesses, healthy global demand growth for 3G/4G devices, and we expanded on Qualcomm's fundamental leadership in 5G technologies.

謝謝你，約翰，大家下午好。我們很高興地宣布，第四財季業績超出預期，這一年中，我們的晶片業務表現強勁，全球對 3G/4G 設備的需求健康增長，並且我們進一步鞏固了高通在 5G 技術領域的領先地位。

I am particularly pleased with the actions our teams have taken this year to advance the strategic objectives we set for the company. Almost 2 years ago, we set an ambitious target to significantly grow our serviceable available market by 2020. This past year saw substantial progress in the most critical new opportunities for the company. First, the announced acquisition of NXP provides important capabilities to grow our footprint in automotive, IoT and security. Second, we closed the RF Front End joint venture, providing us with the remaining products and capabilities to fully compete in this growing area. Third, we announced the partnership with Microsoft to bring the advantages of low-power, high-performance computing to the mobile PC market.

我尤其滿意我們團隊今年為推進公司策略目標所採取的行動。大約兩年前，我們制定了一個雄心勃勃的目標，即在 2020 年大幅擴大我們的服務市場。過去一年，公司在最關鍵的新機會方面取得了實質進展。首先，宣布收購 NXP 將為我們擴大在汽車、物聯網和安全領域的業務提供重要能力。其次，我們關閉了射頻前端合資企業，使我們獲得了剩餘的產品和能力，從而能夠在這個不斷增長的領域全面競爭。第三，我們宣布與微軟建立合作關係，將低功耗、高效能運算的優勢帶入行動 PC 市場。

In QCT, product demand and mix trends continue to be favorable, and profitability improved again this quarter, now 6 quarters in a row of year-over-year growth in EBT and EBT margin expansion. For fiscal 2017, QCT EBT dollars grew more than 50% year-over-year, driven by our strong product portfolio, favorable product mix and growth in China and adjacent areas. QCT revenues outside smartphones in adjacent areas were more than $3 billion in fiscal 2017, up more than 25% year-over-year, driven by better-than-expected growth in auto, networking and IoT as we continue to successfully execute on our strategy to extend our mobile technologies into these new growth areas.

在 QCT，產品需求和組合趨勢持續保持良好勢頭，本季獲利能力再次提高，EBT 和 EBT 利潤率連續 6 個季度同比增長。2017 財年，QCT EBT 美元較去年同期成長超過 50%，這得益於我們強大的產品組合、有利的產品組合以及在中國和鄰近地區的成長。2017 財年，QCT 在智慧型手機以外的鄰近領域的收入超過 30 億美元，年成長超過 25%，這主要得益於汽車、網路和物聯網領域超出預期的成長，因為我們繼續成功地執行將行動技術擴展到這些新成長領域的策略。

We continue to see good trends in our business in China. We increased our share in fiscal 2017 with approximately 25% year-over-year growth in both QCT revenues and MSM chip shipments to Chinese OEMs. And looking ahead, we are pleased to see 5G momentum there, including our 5G NR trial with China Mobile.

我們在中國的業務持續呈現良好發展趨勢。2017 財年，我們的市佔率有所成長，QCT 營收和 MSM 晶片對中國 OEM 的出貨量均較去年同期成長約 25%。展望未來，我們很高興看到 5G 的發展勢頭，包括我們與中國移動合作進行的 5G NR 試驗。

In QTL, the second half of fiscal 2017 results were impacted by disputes with Apple and its contract manufacturers as well as one other licensee, and we remain focused on defending our business and the value of our patented inventions for the long term.

在 QTL，2017 財年下半年的業績受到與蘋果公司及其代工製造商以及另一家被授權人的糾紛的影響，我們將繼續專注於捍衛我們的業務和我們專利發明的長期價值。

3G/4G trends around the world are very positive. We are pleased to see that global shipments of 3G/4G devices remain strong, and we continue to forecast calendar 2017 device shipments to grow 6% year-over-year at the midpoint. Looking ahead to calendar 2018, we forecast stronger growth with 3G/4G device shipments expected to grow approximately 8% year-over-year at the midpoint, reflecting continued handset shipment growth as well as stronger year-over-year growth in nonhandsets.

全球3G/4G發展趨勢非常正面。我們很高興看到，全球 3G/4G 設備的出貨量依然強勁，我們繼續預測 2017 年設備出貨量將年增 6%（取中間值）。展望 2018 年，我們預測 3G/4G 設備出貨量將實現更強勁的增長，預計同比增長約 8%（取中間值），這反映了手機出貨量的持續增長以及非手機產品同比增長的強勁勢頭。

In addition, estimated global 3G/4G device ASPs are trending better than expected with ASPs in fiscal 2017 flat versus fiscal 2016. The favorable end market trends for 3G/4G, the accelerating commercial timing for 5G as well as the adoption of wireless technologies into new industries continues to be very positive for us, and our global scale combined with our technology and product road map are leading the industry.

此外，全球 3G/4G 設備平均售價的估計趨勢優於預期，2017 財年的平均售價與 2016 財年持平。3G/4G 終端市場的良好發展趨勢、5G 商業化進程的加速以及無線技術在新興產業的應用，對我們來說都是非常正面的因素。我們的全球規模以及技術和產品路線圖正引領產業發展。

We are very excited about the increased momentum in 5G around the world. We are leading the industry and are accelerating the commercial launch of 5G across millimeter-wave and sub-6 gigahertz in early 2019. We recently announced the world's first 5G data connection achieved on a Snapdragon X50 modem chipset and our leading 5G 3GPP standards development, ongoing prototype efforts and are supporting global 5G new radio trials.

我們對5G在全球日益強勁的發展勢頭感到非常興奮。我們引領業界，並正在加速推進毫米波和 6 吉赫茲以下頻段 5G 的商業化推出，預計將於 2019 年初完成。我們最近宣佈在驍龍 X50 調變解調器晶片組上實現了全球首個 5G 數據連接，並且我們在 5G 3GPP 標準開發方面處於領先地位，正在進行原型開發工作，並支援全球 5G 新無線電試驗。

In September, we announced our 5G new radio millimeter-wave prototype that will be used for interoperability testing with our infrastructure vendor partners, along with our previously announced sub-6 gigahertz prototype. With 5G commercial devices shipping in 2019, we expect to further expand our product and technology leadership position in modems.

9 月，我們發布了 5G 新型毫米波無線電原型，該原型將與我們先前發布的 6 吉赫茲以下原型一起，用於與我們的基礎設施供應商合作夥伴進行互通性測試。隨著 5G 商用設備在 2019 年出貨，我們預計將進一步擴大我們在數據機領域的產品和技術領先地位。

Gigabit LTE is the first step in network operator's transition to 5G, and there are now 41 operators in 24 countries supporting Gigabit LTE. We have demonstrated download speeds of greater than 1 gigabit using our X20 LTE modem in the U.S. with both Ericsson and Verizon as well as Nokia and T-Mobile.

千兆 LTE 是網路營運商向 5G 過渡的第一步，目前已有 24 個國家的 41 家營運商支援千兆 LTE。我們已經證明，在美國使用我們的 X20 LTE 數據機，透過 Ericsson、Verizon、Nokia 和 T-Mobile 的網絡，下載速度可以超過 1 Gbps。

Most leading device makers are rapidly adopting Gigabit LTE into their device portfolios. In the premium tier, our Gigabit-enabled Snapdragon 835 now has more than 120 designs launched and in development, including recent flagship devices like the Samsung Galaxy Note 8, Pixel 2 and Pixel 2 XL, LG V30 and the Xiaomi Mi MIX 2. We have also introduced new high-tier and mid-tier Snapdragon products to further expand our competitive position in China across all tiers.

大多數領先的設備製造商正在迅速將千兆LTE技術納入其設備產品組合中。在高階市場，我們搭載千兆乙太網路的驍龍835處理器目前已有超過120款產品發表和研發中，其中包括三星Galaxy Note 8、Pixel 2和Pixel 2 XL、LG V30以及小米MIX 2等近期推出的旗艦機型。此外，我們也推出了新的高階和中階驍龍產品，以進一步提升我們在中國各價位段的競爭力。

Turning to our pending acquisition of NXP. We remain focused on the last few regulatory approvals. We believe this acquisition will provide us with greater scale in automotive, IoT, security and networking with their highly complementary products and world-class sales channel, serving a long tail of customers that are driving growth.

接下來談談我們即將進行的恩智浦的收購。我們仍專注於最後幾項監管審批。我們相信，此次收購將使我們在汽車、物聯網、安全和網路領域擁有更大的規模，他們的產品高度互補，銷售管道世界一流，能夠服務於推動成長的龐大客戶群。

Of the 9 jurisdictions reviewing, we have approvals from 5, including here in the U.S. and Taiwan with China and the EU the largest remaining. We are constructively working with each remaining regulator, and while the clock has stopped in Europe, there is nothing unexpected or surprising in that process for an acquisition of this size.

在接受審查的 9 個司法管轄區中，我們已獲得 5 個司法管轄區的批准，其中包括美國和台灣，剩下的主要司法管轄區是中國和歐盟。我們正在與其餘每個監管機構進行建設性合作，雖然歐洲的審查進程已經暫停，但對於如此規模的收購而言，這一過程並沒有什麼出乎意料或令人驚訝的地方。

Significant effort was expended throughout the year on integration planning with NXP. Along with NXP, we continue to see this as an attractive deal for both our stockholders and NXP's stockholders at $110 per share as the combination brings together a comprehensive set of capabilities to address next-generation auto and IoT devices. We continue to focus on closing the acquisition by the end of calendar 2017 with a potential for the close to slip into 2018 based on the current status of approvals.

全年投入大量精力進行與恩智浦的整合規劃。我們和恩智浦都認為，以每股 110 美元的價格收購恩智浦，對於我們和恩智浦的股東來說都是一筆很有吸引力的交易，因為此次合併將帶來一系列全面的能力，以滿足下一代汽車和物聯網設備的需求。我們將繼續專注於在 2017 年底前完成收購，但根據目前的批准情況，完成時間有可能推遲到 2018 年。

On the regulatory matters, we are pursuing appeals and resolutions and are confident in the pro-competitive nature of our business. We will continue to appeal the KFTC ruling and look forward to presenting our case in the U.S. FTC matter in early 2019. In Taiwan, we strongly disagree with the recently announced decision and have significant objections concerning the lack of due process that led to the decision. We will appeal and seek to stay the decision.

在監管問題上，我們正​​在尋求上訴和解決方案，並且對我們業務的促進競爭的本質充滿信心。我們將繼續對韓國公平貿易委員會的裁決提出上訴，並期待在 2019 年初向美國​​聯邦貿易委員會陳述我們的理由。在台灣，我們強烈反對最近公佈的決定，並對導致該決定的程序不正當表示嚴重異議。我們將提起上訴，爭取暫緩執行該決定。

TFTC ruling was not by consensus. We understand there was descent among the commissioners resulting in a split decision. We were also pleased to see the Taiwanese Ministry of Economic Affairs publicly question the TFTC process and decision.

TFTC 的裁決並非由共識做出。我們了解到委員之間存在分歧，導致最終決定出現分歧。我們也很高興看到台灣經濟部公開質疑TFTC的程序和決定。

Finally, I would like to thank our employees for their hard work and focused execution throughout this past year. The team reported strong results in the product business, validating both our strategy and the strength of our product portfolio. We will maintain our strong commitment to and focus on technology and product leadership as we drive innovation into new opportunities and toward the path of 5G.

最後，我要感謝我們的員工在過去一年中的辛勤工作和專注執行。團隊在產品業務方面取得了強勁的業績，驗證了我們的策略和產品組合的實力。我們將繼續堅定不移地致力於技術和產品領先地位，並將創新帶入新的機遇，朝著 5G 邁進。

I would now like to turn the call over to George.

現在我想把電話交給喬治。

Thank you, Steve, and good afternoon, everyone. I will begin with comments on our fiscal fourth quarter and 2017 results followed by our fiscal first quarter of 2018 guidance and some additional perspective on 2018 overall.

謝謝你，史蒂夫，大家下午好。我將先對我們2017財年第四季和全年業績發表評論，然後對2018財年第一季業績進行展望，並對2018年整體情況做一些補充說明。

In our fiscal fourth quarter, we delivered non-GAAP revenues of $6 billion and non-GAAP earnings per share of $0.92. Performance was strong in our operating businesses relative to expectations, particularly in QCT. Non-GAAP EPS result exceeded the high end of our prior guidance range by $0.07 with the majority of that outperformance coming from QCT, with the balance from QTL and better-than-expected performance in our investment portfolio.

在第四財季，我們實現了 60 億美元的非 GAAP 收入和非 GAAP 每股收益 0.92 美元。與預期相比，我們經營業務的業績表現強勁，尤其是QCT業務。非GAAP每股盈餘結果比我們先前預期範圍的上限高出0.07美元，其中大部分超額收益來自QCT，其餘部分來自QTL以及我們投資組合中超出預期的表現。

QCT delivered strong results with revenues of $4.7 billion, reflecting MSM shipments above the midpoint of expectations. QCT EBT margin was 21%, above the high end of expectations on the higher unit volume, improved product mix and product cost initiatives. QCT earnings before tax was up 42% year-over-year in the quarter.

QCT 業績表現強勁，營收達 47 億美元，反映出 MSM 出貨量高於預期中位數。由於銷售量增加、產品組合改善和產品成本控制措施，QCT EBT 利潤率為 21%，高於預期上限。QCT本季稅前利潤年增42%。

In QTL, revenues were $1.2 billion and EBT margin was 68%, both above the midpoint of expectations, driven primarily by better-than-expected 3G/4G device ASPs due to a favorable mix of premium tier devices as well as strong ASPs from Chinese OEMs in the quarter. Non-GAAP combined R&D and SG&A expenses were up 3% sequentially, at the high end of expectations on increased 5G investment and litigation expenses as we continue to defend our business model on several fronts.

QTL 的營收為 12 億美元，EBT 利潤率為 68%，均高於預期中位數，這主要得益於 3G/4G 設備 ASP 好於預期，因為高階設備組合良好，而且本季中國 OEM 的平均售價也很高。非GAAP合併研發和銷售、一般及行政費用較上季成長3%，達到預期上限，原因是5G投資增加以及訴訟費用上升，因為我們繼續在多個方面捍衛我們的商業模式。

Investment income in the quarter came in ahead of expectations due to market favorability as we nearly completed the liquidation of our risk portfolio in advance of the NXP deal close. Our non-GAAP tax rate was 18% in the quarter, and our GAAP rate at 61% reflected the impact of the non-deductible TFTC fine.

由於市場狀況有利，我們在 NXP 交易完成前幾乎完成了創投組合的清算，因此本季的投資收益超出預期。本季我們的非GAAP稅率為18%，而我們的GAAP稅率為61%，反映了不可抵扣的TFTC罰款的影響。

Now turning to fiscal 2017. Non-GAAP revenues for the year were $23.2 billion, and non-GAAP earnings per share were $4.28. Non-GAAP gross margin at 60% of revenues was a good story for the company in 2017 as strong gross margin performance in QCT nearly offset the impact of the licensing disputes.

現在來看2017財年。該年度非GAAP營收為232億美元，非GAAP每股收益為4.28美元。2017 年，該公司的非 GAAP 毛利率達到收入的 60%，這是一個好消息，因為 QCT 的強勁毛利率表現幾乎抵消了許可糾紛的影響。

Non-GAAP free cash flow was approximately $6.1 billion, down 15% year-over-year. We returned $4.6 billion to shareholders in fiscal 2017, including approximately $3.3 billion of cash dividends paid, an increase of 9% year-over-year, and $1.3 billion in share repurchases.

非GAAP自由現金流約61億美元，較去年同期下降15%。我們在 2017 財年向股東返還了 46 億美元，其中包括約 33 億美元的現金股利（年增 9%）和 13 億美元的股票回購。

Turning to 3G/4G devices. The trends were strong in fiscal 2017 with estimated global 3G/4G device sales growing at a mid-single-digit percentage year-over-year, consistent with prior expectations. Underpinning this growth was a flat ASP for global 3G/4G devices versus fiscal 2016 despite some FX headwinds. For calendar year 2017, we continue to forecast approximately 1.75 billion to 1.85 billion 3G/4G device shipments, which projects growth of approximately 6% year-over-year at the midpoint consistent with our prior estimates.

轉向3G/4G設備。2017 財年的發展趨勢強勁，全球 3G/4G 設備銷量預計將年增 5%（中等個位數百分比），與先前的預期一致。儘管受到一些匯率不利因素的影響，但全球 3G/4G 設備的平均售價與 2016 財年相比持平，這支撐了這一增長。對於 2017 年日曆年，我們繼續預測 3G/4G 設備出貨量約為 17.5 億至 18.5 億台，預計將年增約 6%，與我們先前的估計一致。

In QCT, we saw strong performance in fiscal 2017 with 52% year-over-year growth in earnings before tax dollars and EBT margin expansion of approximately 500 basis points to 17%. The business delivered these strong results despite the full year impact of a second source decision at Apple.

在 QCT，我們在 2017 財年取得了強勁的業績，稅前利潤年增 52%，稅前利潤率擴大了約 500 個基點，達到 17%。儘管蘋果決定採用第二供應商對公司全年業績造成了影響，但公司仍然取得了這些強勁的業績。

Three elements were the key drivers of the strength in QCT. First, we had a strong year-over-year growth in MSM chip shipments to OEMs based in China. Second, QCT revenues from adjacent areas, which includes auto, IoT, networking and mobile compute, grew more than 25% year-over-year and now provide revenues of just over $3 billion. Finally, QCT results also benefited from 7 months of our RF360 joint venture, which closed in February, a very strong year overall for QCT.

QCT 的優勢主要體現在三個方面。首先，我們針對中國OEM廠商的MSM晶片出貨量實現了強勁的年成長。其次，QCT 在汽車、物聯網、網路和行動運算等鄰近領域的營收年增超過 25%，目前已實現超過 30 億美元的收入。最後，QCT 的業績也受益於我們 RF360 合資企業 7 個月的運營，該合資企業於 2 月份結束運營，而對於 QCT 來說，2 月份總體而言是非常強勁的一年。

In QTL, results in fiscal 2017 were impacted by the disputes with Apple and another licensee, primarily in the second half of the year as well as by the increased cost of litigation and spending on brand defense. Absent these disputes, we believe revenue would have shown healthy year-over-year growth in line with the strength of the underlying markets.

在 QTL，2017 財年的業績受到了與蘋果公司和另一家被授權人的糾紛的影響，主要發生在下半年，此外還受到了訴訟成本增加和品牌保護支出增加的影響。如果沒有這些爭議，我們相信收入將與強勁的市場表現保持一致，實現健康的年成長。

Let's now turn to our financial outlook for the first fiscal quarter of 2018. We estimate fiscal first quarter revenues to be in the range of approximately $5.5 billion to $6.3 billion, roughly flat sequentially at the midpoint. We estimate non-GAAP earnings per share to be approximately $0.85 to $0.95 per share, down 2% sequentially at the midpoint. We anticipate first quarter non-GAAP combined R&D and SG&A expenses to be down approximately 1% to 3% sequentially on both seasonal and operating cost savings.

現在讓我們來看看2018財年第一季的財務展望。我們預計第一財季的營收將在 55 億至 63 億美元之間，中點數值與上一財季基本持平。我們預期非GAAP每股盈餘約為0.85至0.95美元，以中間值計算，季減2%。我們預計，由於季節性因素及營運成本的節約，第一季非GAAP綜合研發及銷售、管理及行政費用將較上季下降約1%至3%。

In QTL, we expect revenues of $1.1 billion to $1.3 billion in the fiscal first quarter, approximately flat sequentially at the midpoint. We expect fiscal first quarter QTL EBT margin to be approximately 68% to 72%, flat to slightly up sequentially.

在 QTL，我們預計第一財季的營收為 11 億美元至 13 億美元，中點數值與上一季基本持平。我們預計第一財季 QTL EBT 利潤率約為 68% 至 72%，將較上季持平或略有上升。

In QCT, we expect approximately 220 million to 240 million MSM chip shipments for the fiscal first quarter, up 5% sequentially at the midpoint, reflecting typical seasonality trends and strength in our product portfolio. There's potential upside to these estimates on indications of a possible build ahead on a customer's flagship launch.

QCT 預計第一財季 MSM 晶片出貨量約為 2.2 億至 2.4 億片，季增 5%（中位數），反映了典型的季節性趨勢和我們產品組合的強勁表現。如果客戶旗艦產品發布前有跡象表明需要提前進行生產，那麼這些預測可能會有上行空間。

We expect QCT's fiscal first quarter EBT margin to be approximately 18% to 20%, down slightly sequentially on product mix. As a reminder, the fiscal first quarter is the seasonally strong fourth quarter for QCT, and we expect the fiscal second quarter to reflect normal seasonal trends with lower demand for units impacting margins.

我們預計 QCT 財年第一季 EBT 利潤率約為 18% 至 20%，由於產品組合變化，較上季略有下降。提醒各位，QCT 的第一財季通常是季節性強勢的第四財季，我們預期第二財季將反映正常的季節性趨勢，單位需求下降將影響利潤率。

We estimate our non-GAAP fiscal first quarter 2018 tax rate to be approximately 7%, reflecting the lower mix of licensing revenues in our business at this time. Net interest expense is expected to be approximately $60 million to $75 million in the fiscal first quarter. Net expense is up nearly $175 million on the effects of lower realized gains on sales of marketable securities and lower investment return now that we have substantially completed the liquidation of our longer-term investment portfolio and our holding assets in short-term liquid investments.

我們預計 2018 財年第一季非 GAAP 稅率約為 7%，這反映了我們目前業務中授權收入佔比較低。預計第一財季淨利息支出約 6,000 萬美元至 7,500 萬美元。由於我們已基本完成長期投資組合和短期流動性投資持有資產的清算，導致有價證券銷售實現收益下降以及投資回報降低，淨支出增加了近 1.75 億美元。

Turning to 2018. Consistent with last year, we're providing selective guidance points for the year. For calendar year 2018 3G/4G device shipments, we are estimating approximately 1.9 billion to 2 billion units, up approximately 8% at the midpoint, reflecting strong growth of 3G/4G handsets in India and other emerging regions as well as above-average growth in 3G/4G nonhandsets, primarily in IoT.

展望2018年。與去年一樣，我們將提供今年的部分業績指引。我們預計 2018 年 3G/4G 設備出貨量約為 19 億至 20 億台，中位數成長約 8%，這反映了印度和其他新興地區 3G/4G 手機的強勁增長，以及 3G/4G 非手機設備（主要是物聯網設備）高於平均水平的增長。

In fiscal 2018, we expect mid-single-digit percentage growth in global 3G/4G device sales year-over-year, an estimate that the global 3G/4G device ASP will decline at a low single-digit percentage year-over-year, primarily from strong unit growth in the non-handset category at lower ASPs. This includes our estimate that global 3G/4G handset ASPs will be roughly flat year-over-year with continued ASP growth for Chinese OEMs and premium tier handsets, offset by increasing shipments into lower ASP emerging regions. We estimate our full year non-GAAP tax rate to be approximately 7%, lower versus fiscal 2016, reflecting a full year assumed impact of lower licensing revenues resulting from the licensing disputes with Apple and the other licensee.

2018 財年，我們預計全球 3G/4G 設備銷量將同比增長個位數百分比，預計全球 3G/4G 設備平均售價將同比下降個位數百分比，主要原因是非手機類別的銷量增長強勁，而平均售價較低。這包括我們估計全球 3G/4G 手機平均售價將與去年同期基本持平，中國 OEM 廠商和高階手機的平均售價將持續成長，但新興市場（平均售價較低）的出貨量增加將抵銷這一成長。我們預計全年非GAAP稅率約為7%，低於2016財年，這反映了由於與蘋果公司和其他被許可方的許可糾紛導致許可收入下降而產生的全年預期影響。

That concludes my comments. I will now turn the call back to John.

我的發言到此結束。現在我將把電話轉回給約翰。

Thank you, George. Operator, we are ready for questions.

謝謝你，喬治。接線員，我們已準備好回答您的問題。

(Operator Instructions) Tal Liani from Bank of America. And Mike Walkley with Canaccord Genuity.

（操作員說明）美國銀行的 Tal Liani。還有來自 Canaccord Genuity 的 Mike Walkley。

This is Matt Ramsay on for the team and Mike. Steve, you might have seen there's been some sort of questions about the position of your chipset business with premium tier OEMs going forward, and it occurred to us that with 5G trials coming online and lots of work being done both with carriers and with those premium OEMs as the industry moves toward 5G, you guys might be well positioned to retain and maybe even expand some of those positions. So maybe you could talk a little bit about the competitive position of your QCT business for 5G and the engagements that you have on the OEM and with the carriers as we move forward in those trial.

這是馬特拉姆齊和麥克代表球隊發言。史蒂夫，你可能已經注意到，有人對你們晶片組業務在高端OEM廠商中的未來地位提出了一些疑問。我們認為，隨著5G試驗的上線，以及營運商和這些高端OEM廠商在產業向5G轉型過程中所進行的大量工作，你們或許能夠很好地維持甚至擴大這些市場份額。那麼，您能否談談貴公司 QCT 在 5G 領域的競爭地位，以及隨著我們推進這些試驗，您與 OEM 廠商和營運商進行的合作。

Mike, it's Steve. I didn't hear the front part of that, but I -- and I also -- it's kind of hard for me to talk about rumors or any particular, let's say, media report. I will say that our road map and the positioning of our -- in particular, our modem road map, we feel very good about. Not only the ones that are already launched, but if you look at the upgrades that are going to occur to LTE upstream of 5G and then when you get to 5G, I think we're going to be -- we feel very good about that positioning. We can go to that in some detail, but I would say, the overall sense of the competitive dynamic, we feel quite good about.

麥克，我是史蒂夫。我沒聽到前面那部分，但是——而且我也——我很難談論謠言或任何具體的，比如說，媒體報道。我想說，我們對我們的路線圖和定位——特別是我們的現代化路線圖——感到非常滿意。不僅是已經推出的那些，而且如果你看看 5G 上游 LTE 將要進行的升級，以及當真正進入 5G 時代時，我認為我們將——我們對這一定位感到非常有信心。我們可以詳細討論這個問題，但我想說，我們對整體的競爭態勢感到相當滿意。

James Faucette from Morgan Stanley.

摩根士丹利的詹姆斯·福塞特。

Wanted to ask quickly on the NXPI process. You, I think, Steve, indicated that you're making good progress with the regulators, even though that deal may slip into next year. How are you feeling about your part of the process, et cetera, and whether -- if there -- if you feel like you're on the same page with regulators as to the things they may need to ask for? And then my second question is, in the past, you've talked about a non-Apple licensee that there were some collection issues with. Can you give us an update on any progress there?

想快速問一下關於NXPI流程的問題。我認為，史蒂夫，你已經表明你與監管機構的談判進展順利，儘管這項協議可能會推遲到明年才能達成。您對自己在流程中的參與部分有何感受？等等，以及——如果有的話——您是否覺得您與監管機構在他們可能需要要求的事情上達成了一致？我的第二個問題是，您之前提到過一家非蘋果授權商，該公司在收款方面存在一些問題。能告知一下那方面的最新進展嗎？

James, this is Don Rosenberg. I'll take the first part of that. On the regulators, we are, as we've said before, working with the rest of the regulators that haven't yet cleared. As you recall, we have 5 regulators who have cleared already. We are deeply engaged with the others, and we are making progress. It's a little slower than we'd like to make, but that's more the process than anything else. And we are feeling good about our engagement and that we were going to get to the end as quickly as we can with them.

詹姆斯，我是唐‧羅森伯格。我來回答第一部分。關於監管機構，正如我們之前所說，我們正在與尚未批准的其他監管機構合作。如您所知，我們已經有 5 位監管機構人員通過了審核。我們與其他各方進行了深入的交流，並且正在取得進展。製作速度比我們預期的要慢一些，但這主要是製作過程的問題。我們對這次合作感到很滿意，相信我們會盡快和他們一起完成合作。

James, this is Alex. On the other part of your question regarding the non-Apple licensee, the short answer is we're still in negotiations with that licensee. Other than that, there's really no other news.

詹姆斯，這是亞歷克斯。關於您提出的非蘋果授權商的問題的另一部分，簡而言之，我們仍在與該授權商進行談判。除此之外，真的沒有其他新聞了。

Stacy Rasgon with Bernstein Research.

Stacy Rasgon，來自 Bernstein Research。

For my first question, I wanted to ask about the licensing results and the guidance. I know last quarter, there had been some, I think, you've characterized it as substantial catch-up in the quarter, and that was the reason for the flat guide on revenues into Q4. Was there any catch-up or anything unusual or otherwise onetime that impacted either the Q4 licensing results or the Q1 guidance? And if so, what was it?

我的第一個問題是關於執照考試結果和相關指導。我知道上個季度出現了一些，我認為，你將其描述為該季度的實質追趕，這也是第四季度收入預期持平的原因。是否有任何特殊情況或異常事件影響了第四季度許可業務業績或第一季業績指引？如果真是如此，那究竟是什麼？

Yes. Stacy, this is George. The Q4 results had very small amount of what I would call out-of-period or catch-up dollars in it. It's -- so no, no material effect. Really, the improvement was driven by the strength of the market relative to our expectations and the guide. It -- if you look at our Q1 guide, I would say we probably would be up a little bit more if we had out-of-period amounts similar to what we had in Q4. So it's having a little bit of impact Q4 to Q1, but we're still showing a strong guide.

是的。史黛西，這是喬治。第四季業績中只有極少量我稱之為非當期或補繳金額的資金。所以，沒有實質影響。實際上，這種改善是由市場相對於我們的預期和指導方針的強勁表現所推動的。如果你看我們第一季的業績指南，我認為，如果我們有與第四季類似的非週期性收入，我們的業績可能會成長更多。因此，它對第四季度到第一季產生了一些影響，但我們仍然給出了強勁的業績指引。

Got it. For my second question, I wanted to ask a little bit about the linkages or lack thereof between the various disputes. I know, again, on the last earnings call, I think Derek had made some statements that have sort of essentially dismissed any linkage or contagion worries. Your attorney's in court told Judge Curiel the opposite, and I think the injunction was denied partially on the basis of that discrepancy. Can you give us a little more color? Like, which one of those statements is more valid in terms of the linkage between Apple and then maybe the other disagreements that seem to be developing at this point? And then how can investors kind of get a little more comfort that going forward the disputes that exist as they are today don't continue to give rise to more?

知道了。我的第二個問題是，我想問一下各個爭議之間是否存在聯繫，或者是否有聯繫。我知道，在上次財報電話會議上，德里克發表了一些聲明，這些聲明基本上消除了任何關聯性或傳染性的擔憂。你的律師在法庭上告訴庫裡爾法官的說法恰恰相反，我認為禁令被駁回的部分原因就是這種矛盾。能再詳細描述一下嗎？比如說，就蘋果公司與其他各方之間的聯繫而言，哪一種說法更站得住腳，以及考慮到目前似乎正在出現的其他分歧？那麼，投資人如何更安心一些，確保目前存在的爭端不會繼續引發更多爭端呢？

Stacy, I'll take the first part of it. It's Don. First of all, there is really no contradiction to be cleared between our arguments in court and statements that, as you indicated, Derek and others made. And I think we'll get into the second part of your question in a minute. What we argued in court, under the court standard, which as we've said is a very strict standard, which is very hard to meet in the context of a contract case, we thought we had a pretty strong argument, and unfortunately, the judge didn't ultimately agree with that. But the court arguments were not inconsistent with what we've said. If you're thinking about the notion of irreparable harm versus, as you describe it, kind of leakage of -- to others, it's a different concept. And I think we were pretty clear in how we argued that position.

史泰西，我來做第一部分。是唐。首先，我們在法庭上的論點與你所指出的德里克和其他人所作的聲明之間，實際上並沒有什麼矛盾需要澄清。我想我們馬上會討論你問題的第二部分。我們在法庭上按照法庭的標準（正如我們所說，這是一個非常嚴格的標準，在合約案件中很難達到）進行了辯論，我們認為我們的論點相當有力，但不幸的是，法官最終沒有同意。但法庭的論點與我們所說的話並不矛盾。如果你考慮的是不可挽回的傷害，而不是你所描述的那種向他人洩露訊息，那這是一個不同的概念。我認為我們已經非常清楚地闡述了我們的立場。

Tim Long with BMO Capital Markets.

Tim Long，BMO資本市場。

Maybe just 2 if I could as well. I guess, it seems like you didn't give out the standard. You gave the industry view of units in ASP. I'm just curious if we can get any color on kind of what was paying it and what was paying units ASPs, implied royalty rate in the quarter. And is that, going forward, going to not be given? Or is that just because of the disputes? And then separately, be interested to hear on the chip business. Obviously, doing great with the Chinese OEMs and the adjacencies. Just any color you can give us on what those businesses, the mix of those businesses would mean to the margin profile of that business? Margins seem to be going up with them. So is that a trend that we should expect to continue?

如果可以的話，也許就兩個吧。我猜，你似乎沒有給出標準。您從產業角度分析了ASP中的單位數量。我只是好奇我們能否了解本季哪些產品在獲利，哪些產品在獲利（例如，單位平均售價和隱含版稅率）。今後是否不再給予這種權利？還是僅僅因為這些糾紛？另外，我對晶片產業的情況也很感興趣。顯然，與中國OEM廠商及其相關企業合作非常成功。您能否提供一些關於這些業務，或者說這些業務組合，對該業務利潤率狀況的影響的說明？它們的利潤率似乎也在上升。那麼，這種趨勢會持續下去嗎？

Tim, it's George. On the TRDS, we took a look at whether or not, once we had the 2 disputes, whether the TRDS number that we used to give out really had any information in it. And we felt it was actually just confusing, and we find ourselves reconciling a bunch of numbers. So we went straight from Point A to Point B and just guided revenue, which we think gives a lot of visibility into what we think is happening in the business. We do think the underlying trends are actually quite strong, and you're seeing the benefit of that both in growth of the licensable market, even if we're not fully participating in it. We've seen good growth in device sales globally, and it's being driven by strong ASPs, which is also having a positive impact in the mix and the performance of the company, where we're very well positioned in the markets, where we're seeing the largest impact and in particular, China. So I think we're sensitive to your concern, and we'll -- if we can find a way to get out more information that is actually helpful and gives insight into the business on TRDS, we will. But in the meantime, we feel like guiding revenue is perhaps the best alternative. Maybe Cristiano wants to start off on the adjacents, and I can jump in if you want.

提姆，我是喬治。在 TRDS 上，我們查看了在出現 2 起爭議後，我們過去使用的 TRDS 號碼是否真的包含任何資訊。我們覺得這其實很令人困惑，我們發現自己需要協調一大堆數字。因此，我們直接從 A 點到 B 點，並指導收入成長，我們認為這可以讓我們更清楚地了解我們認為業務中正在發生的事情。我們認為潛在的趨勢實際上非常強勁，即使我們沒有完全參與其中，您也能看到可授權市場成長帶來的好處。我們看到全球設備銷售實現了良好成長，這主要得益於強勁的平均售價，這也對該公司的產品組合和業績產生了積極影響。我們在那些我們看到最大影響的市場，特別是中國市場，都佔據了非常有利的地位。所以，我認為我們能夠理解您的擔憂，如果我們能找到一種方法，透過 TRDS 平台發布更多真正有幫助且能深入了解業務的信息，我們一定會這樣做。但同時，我們認為引導收入成長或許是最佳替代方案。或許克里斯蒂亞諾想先從鄰近區域開始，如果你願意，我可以加入。

Tim, this is Cristiano. You had a question on China and the kind of adjacencies. China's been a good story for us. I think China is the world's most competitive market, and our product road map has done well for us in China. We remain confident in maintaining our position there as a market leader, and the trends have been very good. We saw -- in China, when we looked at fiscal '17, we saw 25% year-over-year growth in our China business. When we think about that market going forward, we saw good transitions on modem technologies to 4G+ and I think a lot of the activity towards an early 5G in China as well as positive for us. The -- one other comment to note just a commentary on China, one of the data points in '17 was consistent with the trends we have talked over the year. We started to see an increase in exports of the Chinese OEMs as they become a larger percent of the global market. And the adjacent business, so we saw growth in -- across multiple segments, automotive, IoT, networking. And we can leverage mobile technology, so they have been providing a good margin story for QCT.

提姆，這位是克里斯蒂亞諾。你有一個關於中國及其周邊地區的問題。中國市場對我們來說一直是個好消息。我認為中國是世界上競爭最激烈的市場，而我們的產品路線圖在中國取得了良好的效果。我們仍然有信心保持我們在該市場的領導地位，而且發展趨勢一直非常好。我們看到—在中國，當我們回顧 2017 財年時，我們發現中國業務年增了 25%。當我們展望未來市場時，我們看到調製解調器技術向 4G+ 的良好過渡，我認為中國在早期 5G 方面的許多舉措對我們來說也是積極的。還有一點需要說明，僅就中國而言，2017 年的一個數據點與我們一年來討論的趨勢一致。隨著中國汽車製造商在全球市場中所佔比例越來越大，我們開始看到中國汽車製造商的出口量增加。以及相關的業務，因此我們看到了多個領域的成長，包括汽車、物聯網和網路等。我們可以利用行動技術，因此它們為 QCT 帶來了良好的利潤率。

Ross Seymore from Deutsche Bank.

德意志銀行的羅斯·西莫爾。

The first one is on the Apple litigation. It seems like, whether it's in press reports mainly or otherwise, that it's escalating, not actually getting closer to resolution. So maybe, Don, if you could provide us a time line in the upcoming court cases if we're going to come to the conclusion that this probably will be decided in the courts or at least have to get a lot closer to those court cases before any resolution comes to pass.

第一篇是關於蘋果訴訟案的。無論主要從新聞報道或其他方面來看，事態似乎都在升級，而不是朝著解決的方向發展。所以，唐，如果你能給我們一個即將開庭審理案件的時間表，以便我們能夠得出結論，認為這件事很可能最終會在法庭上得到解決，或者至少在達成任何解決方案之前，我們必須等到這些案件開庭審理的臨近。

Yes. Well, I -- it's Don. It's important to keep in mind that litigation of this size and magnitude takes a while, and you can't focus on any particular event in the short term. As you know, there are multiple cases that have been brought by Apple and multiple cases that have been brought by us, and we're going through a process. There'll be some motion practice. There'll be some discovery disputes. But that process is going to proceed under the court's schedule. I would say that, as you know, we brought a couple of patent cases against Apple in the ITC and district court here in the United States, in Germany and in China, and those tend to move a little faster in the ITC, Germany and China than litigation generally. And so I would say that those will be on a somewhat faster track, including potentially Germany by sometime mid- to end of '18. And China, too, we expect to be on a fairly fast track. And as you know, the ITC action will move forward rather quickly. So -- but until then, I don't think you're going to see much that's going to be of any particular consequence in terms of the ultimate outcome, and it'll play out the way a lot of this kind of complex litigation plays out generally.

是的。嗯，我是唐。需要注意的是，如此規模和範圍的訴訟需要一段時間，短期內不能只關注任何特定事件。如你所知，蘋果公司提起了多起訴訟，我們也提起了多起訴訟，我們正在走法律程序。會有一些動作練習。可能會出現一些證據披露方面的爭議。但這一程序將按照法院的日程安排進行。如你所知，我們曾在美國、德國和中國的國際貿易委員會和地方法院對蘋果公司提起過幾起專利訴訟，而這些案件在國際貿易委員會、德國和中國的進展速度通常比一般訴訟要快一些。因此，我認為這些項目將會以更快的速度推進，包括德國，可能在 2018 年中後期就能啟動。我們預計中國也將走上一條相當快速的道路。如您所知，美國國際貿易委員會的行動將會很快推進。所以——但在此之前，我認為你不會看到任何對最終結果有特別重要影響的事情，它的走向將和許多這類複雜的訴訟案件的走向一樣。

I think just a quick follow-up staying on that litigation side of things. The unnamed dispute that you have, seems like that's been going on for -- coming up on a year's time. I know you're still in negotiations. You're not really going to comment on the name of the party, et cetera. But is that duration typical for 1 year? And what's the trigger point that changes it from an informal to a formal dispute, where we can get more information?

我想就訴訟方面再做一個簡單的後續跟進。你們之間這場未公開的糾紛，似乎已經持續了將近一年了。我知道你們還在談判中。你不會真的對政黨的名稱等等發表評論吧。但一年的正常時長是這樣的嗎？那麼，是什麼觸發點將非正式糾紛轉變為正式糾紛，我們又該如何獲取更多資訊？

So this is Alex. So it's a fairly lengthy discussion, but I don't think that, that's atypical. There are a lot of issues involved to work the way through. I think when it changes over to some formal litigation, obviously, that's when we'll go ahead and disclose that.

這位是亞歷克斯。所以這是一場相當冗長的討論，但我認為這並不罕見。有很多問題需要逐一解決。我認為，當事情發展到正式訴訟階段時，我們顯然會透露相關資訊。

David Wong from Wells Fargo.

來自富國銀行的David Wong。

Following up on the earlier question. We can see what's happening between you and Apple publicly in terms of the filings and the counter filings. So can you give us any feel as to whether there's direct data between you and Apple outside what we can see publicly?

接上一個問題。我們可以透過雙方提交的文件和反訴文件，公開了解你和蘋果之間發生的事情。那麼，您能否透露一下，除了我們公開能看到的資訊之外，您和蘋果之間是否存在直接的數據往來？

This is Steve. I would say I would echo what Don said earlier. It's very difficult to look at any one particular data point, whether it's true or not, and kind of come to a conclusion. I think it's also important for investors to understand. We really try to compartmentalize our engagement with Apple. We have a product engagement, and we have a dispute over, really, the price of IP. And I think if you net that all together, we do have a lot of engagement with the company, and we do speak and are engaged on a daily basis with them across multiple areas that I mentioned. But we try to compartmentalize those 2 discussions. And as I've said many times before, I think there are a lot of levers between the company to figure out things. I just think we're not at a point where we're announcing anything different, and I think we want to be upfront that this could take some time to resolve. But we're working very hard on the product side to make sure that we continue to be a good supplier and a good showcase for our innovation products.

這是史蒂夫。我同意唐之前的說法。很難僅憑一個特定的數據點（無論真假）就得出結論。我認為投資者也應該了解這一點。我們確實努力將與蘋果公司的互動進行分類。我們有產品合作，但實際上，我們之間存在著關於智慧財產權價格的爭議。我認為，如果把所有這些因素綜合起來考慮，我們確實與該公司有很多互動，我們每天都在與該公司就我提到的多個領域進行溝通和互動。但我們盡量將這兩場討論分開進行。正如我之前多次說過的那樣，我認為公司內部有很多方法可以解決問題。我認為我們目前還沒有到宣布任何不同決定的地步，而且我認為我們應該坦誠地告訴大家，解決這個問題可能需要一些時間。但是，我們在產品方面非常努力，以確保我們繼續成為優秀的供應商，並成為我們創新產品的良好展示平台。

Vijay Rakesh from Mizuho.

來自瑞穗銀行的Vijay Rakesh。

Just one thing on NXPI. Do you still expect it to close in the year, (inaudible) ['17]?

關於NXPI，只有一件事。你仍然預計它會在（聽不清楚）2017 年內關閉嗎？

Yes. We've said that we're still working towards closing in the year, but clearly, we have some activities going on at regulators that are taking a bit longer than we thought. So we could see it slip into early '18, but we're confident it's on track to close and are still working to close it in the year.

是的。我們說過我們仍在努力爭取在年內完成交易，但顯然，我們在監管機構方面有一些工作進展比我們預想的要慢一些。因此，我們預計工期可能會推遲到 2018 年初，但我們有信心工期能夠按計劃完成，並且我們仍在努力爭取在年內完成。

Got it. And on the second IP litigation, I know you guys (inaudible) a lot further. But do you expect it to get resolved at the same time as the Apple IP? Or do you think that's more of a mutual discussion that you're having outside court and so that should see a faster resolution there?

知道了。至於第二次智慧財產權訴訟，我知道你們（聽不清楚）要了解更多了。但你認為這個問題會和蘋果的智慧財產權問題同時解決嗎？或者您認為這更像是雙方在法庭外進行的協商，因此應該能更快解決問題？

Yes. The second licensee, the facts and circumstances around that actually started before the other dispute and have issues that are unique to that licensee, and we'll take -- that will go play at its own pace and will be unrelated to -- unless it's coincidentally resolved at the same time as the Apple dispute.

是的。第二個被授權者的情況，實際上發生在另一個爭議之前，並且存在該被授權人特有的問題，我們將按照自己的節奏處理，並且與蘋果的爭議無關，除非它恰好與蘋果的爭議同時得到解決。

Chris Danely with Citigroup.

克里斯丹尼利，花旗集團。

I guess, another question on NXP, why not? So if we get through all the approvals but the tender doesn't go through or as projected, can you talk about what would cause you to walk away versus just raise the price? What would be the circumstances there?

我想，關於恩智浦半導體（NXP）還有個問題，為什麼不呢？如果所有審批都通過了，但招標沒有成功或沒有達到預期，您能否談談是什麼原因會導致您放棄而不是提高價格？那裡的情況會是怎麼樣的呢？

Yes. We're -- right now we're really just focused on the regulatory close. We think $110 is a very full price, and I think, as you saw on NXP's earnings release, the management team there is also reinforcing that $110 is an attractive price for their stockholders as well. So right now we're -- we'll stay focused on just getting this thing to the finish line.

是的。我們現在——真的只是專注於完成監管審批流程。我們認為 110 美元是一個非常合理的價格，而且我認為，正如你在 NXP 的財報發布會上看到的那樣，那裡的管理團隊也在強調 110 美元對他們的股東來說也是一個有吸引力的價格。所以現在我們——我們會繼續專注於把這件事順利完成。

Romit Shah from Nomura Instinet.

來自 Nomura Instinet 的 Romit Shah。

This is Krysten Sciacca in for Romit. I apologize if this was asked earlier in the call. I'm juggling 2 concurrent calls right now. But for -- going to QCT operating margins, I know you did very well in this quarter on that. Can you give any directional, I guess, guidance as for the trajectory for fiscal '18 for operating margins in QCT?

這是代替羅米特出賽的克莉絲汀夏卡。如果這個問題之前在通話中有人問過，我深感抱歉。我現在同時在接兩通電話。但是就季度營運利潤率而言，我知道你們本季做得非常好。您能否就 QCT 2018 財年的營業利潤率走勢給予一些方向性指引？

We're not putting out full year guidance, but we did give an indication of Q1, which, again, continues the strength in margins in QCT. '17 was a very, very strong year. You saw EBT up over 50% and 6 straight quarters of margin expansion. So we think that the fundamentals of strong markets, strong products, growth in the adjacencies are all factors that will continue into '18 and help margins.

我們沒有發布全年業績指引，但我們確實給出了第一季的業績指引，第一季的利潤率再次保持強勁勢頭。2017年是非常非常強勁的一年。您看到 EBT 成長超過 50%，且利潤率連續 6 個季度擴張。因此，我們認為強勁的市場、強大的產品、相關領域的成長等基本面因素都將延續到 2018 年，並有助於提高利潤率。

Brett Simpson with Arete Research.

Brett Simpson，來自 Arete Research。

Just a question on the business structure at Qualcomm. I mean, when you consider the antitrust that's underway with regulators and the litigation with Apple now that's impacting your chip market share and the issues with your other licensee, can you perhaps talk about the benefits that QTL being combined with QCT, particularly after you close NXP to become much more diversified chip business, what's the real benefit, do you think, of having the combined businesses there together? And is there scope for a fresh review into a potential split between QTL and the enlarged QTC?

關於高通公司的業務結構，我有個問題。我的意思是，考慮到監管機構正在進行的反壟斷調查，以及目前與蘋果公司的訴訟正在影響你們的晶片市場份額，還有你們與其他被授權者之間的問題，你能否談談QTL與QCT合併的好處，尤其是在你們關閉NXP之後，使晶片業務更加多元化，你認為合併後的業務真正的好處是什麼？是否有可能對 QTL 和擴大的 QTC 之間的分裂進行新的審查？

Brett, it's Steve. I would say it's something that we look at all the time. We have, as you know, over the course of the company's history, looked at this in, I think, a formal way a number of times, but it's something that we always look at. And however, I think I would just remind folks that we're now sitting here. If you look at what most people are working out in the company, we're trying to drive 5G, and we're very excited about that. I think that's good for both businesses, and it's something that we think is going to have long-term payoff for the company. And I think, as you could tell from what -- our actions, we really view the ability to drive both innovation ahead of the market and have a channel to move that into the market is very important. So that continues to be something we think contributes to long-term growth, but it's also an area or it's a topic that we look at all the time to make sure that we are driving shareholder value as best we can. But nothing really to talk about here other than, I would say, the primary focus on driving 5G and what that means really to our business structure is very important at the moment for us.

布雷特，我是史蒂夫。我想說，這是我們一直在關注的事情。如您所知，在公司的發展歷程中，我們已經以正式的方式多次審視過這個問題，而且我們始終都在關注這個問題。不過，我想提醒大家，我們現在就坐在這裡。如果你看看公司裡大多數人都在做什麼，你會發現我們正在努力推進 5G 技術，我們對此感到非常興奮。我認為這對雙方企業都有好處，我們認為這將為公司帶來長期的回報。而且我認為，正如你從我們的行動中可以看出的那樣，我們確實認為，能夠引領市場創新並擁有將創新推向市場的管道非常重要。因此，我們認為這仍然是有助於長期成長的因素，但這也是我們一直在關注的領域或議題，以確保我們盡可能地提升股東價值。但除了目前對我們來說非常重要的一點之外，這裡其實沒什麼好說的。那就是，我們目前的首要任務是推動 5G 發展，以及 5G 對我們業務結構的真正意義。

And maybe just a quick follow-up for George. In the QTL business, you booked $95 million of additional revenue in non-GAAP for QTL for licensing that wasn't in GAAP sales. Can you perhaps just talk about that and give us a sense for why QCT margins are falling sequentially to 18% midpoint for December quarter?

或許還要給喬治一個簡短的後續問題。在 QTL 業務中，您根據非 GAAP 準則為 QTL 的授權收入計入了 9,500 萬美元的額外收入，而這些收入並未計入 GAAP 銷售額。您能否談談這個問題，並解釋為什麼季度利潤率環比下降，12 月份季度中位數為 18%？

Yes. The -- we had a dispute settlement, and because the dispute settlement was with a customer, it has to be taken as contra revenue. So that was the difference between the GAAP and the non-GAAP revenue.

是的。我們進行了一項糾紛解決，由於糾紛解決的對像是客戶，因此必須將其視為抵減收入。這就是GAAP收入和非GAAP收入的差別。

John Pitzer from Crédit Suisse.

瑞士信貸銀行的約翰‧皮策 (John Pitzer)。

Steve, just on the 5G front, you've been perhaps a little bit more aggressive than some others in the ecosystem talking about time line. And clearly, trials are coming up, and you guys will have to be an integral part of those trials. I'm just kind of curious, how do you think about the time line for 5G to be meaningful volume to the chipset business? And I guess, equally importantly, to the extent that, that might be 2020 or beyond, what can you do around the feature set and/or cost in 4G to kind of keep or maintain or even widen touch sort of your dominant lead there?

史蒂夫，就 5G 而言，你在談論時間表方面可能比生態系統中的其他人更積極一些。很顯然，審判即將到來，你們將不得不成為這些審判中不可或缺的一部分。我只是有點好奇，您認為 5G 何時才能對晶片組業務產生有意義的規模影響？而且我認為同樣重要的是，考慮到這可能是 2020 年或更遠的時期，在 4G 的功能集和/或成本方面，您可以做些什麼來保持、維持甚至擴大您在該領域的領先優勢？

Okay. I'll give you my perspective on it, which I think is we're already in the position in the industry where the impact of 5G coming in 2019 is impacting the feature set even in 4G. So if you look at 4G, the push to Gigabit LTE -- and actually, there's even another update before we get to 5G that you'll see roll out into the networks. So I would say we're already in the early stages, where it's very important to have that road map not only to deliver products into 2019 but I think to be meaningful in the networks that lead up to that 2019 transition. And so if you're getting the sense that we are more aggressively pushing 5G and the higher-tier feature set of 4G, I think that will be an accurate read. I would also say that it's not just us. Our OEM customers, and in particular, I would say leading tier, high-tier Android OEMs are taking that modem feature set aggressively as well. So we think that's a good strategic position to be in. We're driving it hard. And I think we're all going to be pleased with the initial ramps and the speed by which people are going to go to 5G, and we're certainly going to try to make that happen.

好的。我會從我的角度來看這個問題，我認為我們目前所處的產業狀況是，2019 年 5G 的到來已經對 4G 的功能集產生了影響。所以，如果你看看 4G，再看看向千兆 LTE 的推進——實際上，在我們到達 5G 之前，甚至還有另一次更新，你會看到它被推廣到網路中。所以我認為我們已經處於早期階段，制定路線圖非常重要，不僅是為了在 2019 年交付產品，而且我認為對於在 2019 年過渡之前建立有意義的網路也至關重要。因此，如果您感覺我們正在更積極地推廣 5G 和 4G 的更高層級功能集，我認為您的理解是準確的。我還要說，這不只是我們遇到的問題。我們的 OEM 客戶，尤其是領先的高階 Android OEM 廠商，也積極採用這種調變解調器功能集。所以我們認為這是一個很好的戰略位置。我們正在全力以赴。我認為我們都會對 5G 的初期發展勢頭和普及速度感到滿意，我們當然也會努力促成此事。

That concludes today's answer-and-question session. Mr. Mollenkopf, do you have anything further to add before adjourning the call?

今天的問答環節到此結束。莫倫科夫先生，在休會之前，您還有什麼要補充的嗎？

Thank you. I just wanted to again thank the Qualcomm employees for a very strong year of execution and in particular, I would say, the broad-based delivery of products and earnings growth in QCT. Thanks a lot, folks. Appreciate it very much. Looking forward to driving 5G and a strong 2018. Thank you.

謝謝。我再次感謝高通員工在過去一年中表現出色，尤其要感謝他們在產品交付和QCT獲利成長方面所做出的廣泛貢獻。非常感謝各位。非常感謝。期待推動5G發展，並迎來強勁的2018年。謝謝。

Ladies and gentlemen, this concludes today's conference call. You may now disconnect.

女士們、先生們，今天的電話會議到此結束。您現在可以斷開連線了。