Harlan Sur

Gave a specific 2027 market frame and translated it to a mid 20 type growth rate, similar to 2026.

CEO confirmed broadening is a real driver and tied it to rising process control intensity in both logic and memory.

Management attributed incremental WFE upside to broad-based customer urgency across segments, with 2027 driven by greenfield activity in logic, memory, flash, and packaging.

Management expects services to trend within the 13-15% CAGR target range this year, with current-year shipments flowing into service revenue next year as an accelerant toward the higher end.

Rick highlighted broadband plasma products as a key driver with capacity additions underway, strong HBM-driven memory intensity, and reticle growth tied to design starts. Bren added confidence in sustaining multi-year outperformance.

Rick confirmed back-penetration of newer process control to prior nodes driven by supply constraints and favorable pricing making additional yield worthwhile, with customers constrained by fab building timelines trying to maximize output.

Bren noted the improvement is more about proximity and timing clarity than a fundamentally stronger outlook, with encouraging signals across leading-edge foundry/logic, DRAM/HBM, and flash, offset by China normalization and export controls.

Rick confirmed that customers re-entering leading edge are benchmarking process control needs, and the broadening of players at leading edge in new locations is accretive to overall intensity.

Bren cited optical inspection inflection for gate-all-around, packaging driving higher sampling, while patterning was lumpy with overlay attached to litho slowing.

Rick attributed upside to product adoption momentum and AI infrastructure build-out, with packaging share rising from 1% intensity to 5-6% in just a few years.

Rick described years of investment paying off with customers now using optical and e-beam in concert on the most challenging layers, with demand outstripping initial capacity.

Bren detailed tariff exposure primarily through service contract parts imports, especially in China, with mitigation through process changes, network optimization, and longer-term pricing strategy.

Rick acknowledged favorable dynamics but did not confirm specific growth rate, instead highlighting higher value wafers, larger die size, and accelerated technology nodes.

Rick noted mostly 2.5D/HBM currently with 3D SoIC on the horizon. Bren specified approximately 65%-70% semi-PC versus process in advanced packaging.

Higgins confirmed China stepping down is offset by leading-edge demand, leaving the 2025 view unchanged.

Steve was qualitatively positive on A&D and data center but cautioned that year-over-year growth rates are inflated off depressed levels.

Steve confirmed memory tightness with an upstream cascade (DRAM, NAND, NOR) that left serial EEPROM abandoned and prices doubled, creating opportunity for Microchip.

Steve said PolarFire 2 is in the fab and launching later this year with strong demand inside and outside A&D; initial sample runs are already spoken for.

Matthias confirmed continued investment in data center storage segment including both Flash and HDD controllers, with three solid product lines being supported and invested in across the switching and storage segments.

Steve confirmed stronger-than-expected turns drove the upside. Customers worked through all holidays without stopping, pulling backlog from January into December and now from April into March. Described it as upcycle-like behavior.

Brian confirmed majority of the 19% data center and compute segment is data center focused, but declined to provide specific mix breakdown.

Eric clarified $90 million annual cash savings from Fab 2 closure are being realized. These costs are not impacting non-GAAP gross margins today. The two biggest factors remain underutilization charges and inventory write-offs. Fab 2 sale expected to close in December.

Eric confirmed turns were strong in June, which was expected given the revenue beat. Turns expected to remain a high percentage given short lead times, though this may change as lead times extend.

Steve explained Asia strength reflects U.S./European customers manufacturing in Asia, plus seasonal effect of Chinese New Year comparison quarter. Revenue is reported by ship-to location, not customer origin.

Rich confirmed megatrend mix held steady but CAGR growth rate slowed as megatrends were equally impacted by inventory correction.

Steve said Chinese customers are rapidly moving production to Vietnam and elsewhere. Not seeing significant pullback but production geographic shifts accelerating.

Ganesh couldn't provide specific dollar content metrics but said internal subset tracking confirms TSS multiplier effect. Rich pointed to reference designs on website.

Brice confirmed rising ICAPS utilization and expects ICAPS to grow this year and next, including non-China customers in power and photonics.

Brice said AI-driven information solutions and a growing installed base support continued AGS gross margin improvement, though the utilization tailwind normalizes.

Brice attributed margin improvement to favorable mix toward transactional and spare parts plus new service products. Sequential OpEx decline from restructuring.

Gary confirmed output and yield optimization is driving higher service growth, with AI-enabled applications across 35,000+ connected chambers accelerating productivity.

Brice confirmed all growth drivers are additive while noting trade restriction headwinds kept historical growth below potential. Gary added excitement about AIx service innovation pipeline.

Gary declined to give a specific PDC revenue number but confirmed it is one of AMAT's fastest-growing businesses with very high confidence in continued high growth into 2027 and beyond.

Brice noted packaging pacing similar to last year ex-HBM burst capacity. Gary emphasized Applied has highest packaging share, is #1 in HBM, and is on track to more than double to over $3B with strong pipeline including integrated hybrid bonding.

Brice confirmed leading-edge acceleration is offsetting ICAPS slowdown, with cloud service provider CapEx only going up and new factory announcements. Integrated equipment averaging approximately 30% of systems.

Brice and Gary both confirmed expectations for 2-nanometer to be a large node with strong design momentum, drawing parallels to 7-nanometer as a major design landing spot.

Gary confirmed integrated systems deliver cost innovation through process simplification, fewer EUV steps, and service innovations to drive customer operating costs lower.

Brice attributed lower AGS operating margins to a structural change in corporate cost allocations across segments, noting continued improvement expected despite the reallocation.

Archer framed the global manufacturing footprint and Bettinger attributed the gain to efficiencies, new products and pricing without a quantitative split.

Archer said it is all of the above and flagged panel packaging, but did not break out the contribution of each driver.

Doug confirmed top-line growth will outpace spending for leverage while growing R&D investment; updated long-term financial framework to be provided later this year.

Tim detailed Equipment Intelligence for troubleshooting and tool matching, plus Dextro cobots delivering better uptime and yield; monetized through services and new tool sales.

Tim said post-COVID supply chain improvements, broader and deeper supplier base, and automated warehouses mean Lam is not the big constraint, clean room space is the industry bottleneck.

Tim said physical infrastructure rather than equipment supply chain is the potential limiter, noting Lam lead times fit within facility build timelines.

Doug confirmed the $700M restriction remains unchanged but overall China WFE rose, with advanced packaging running a little stronger than expected.

Tim noted significant US manufacturing capability remains and the team can reassess local capacity as regional investment grows, though not instantaneously.

Doug confirmed advanced packaging finished above $1 billion in 2024 and will grow again in 2025, driven by HBM3 moving to 3D and 8-to-12-to-16 die transitions.

Management declined a new milestone number but said advanced packaging strengthened beyond expectations and should keep trending higher into 2025.

Management stayed optimistic on NAND recovery driven by technology upgrades regardless of the absolute WFE level, given Lam's high upgrade capture.

Sanjay confirmed continued data center SSD growth ahead with G9 ramp and said Micron is studying high-bandwidth flash but flagged NAND limitations (write speed, power, retention) limiting its applicability to specific workloads.

Sanjay confirmed SCAs enable deeper R&D collaboration and roadmap co-planning with customers, acknowledging this as a meaningful benefit while not breaking out customer types.

Sanjay said Micron will manage the 3E/4 mix based on customer requirements with both products contributing to a strong YoY 2026 HBM revenue growth, and reiterated non-HBM DRAM tightness alongside HBM.

Sanjay confirmed enterprise SSDs are included in the multiyear contract discussions (not just DRAM) and framed the rapid AI model evolution from training to inference/video as driving broader SSD demand growth.

Sanjay credited the combined advanced CMOS DRAM die plus Micron's in-house advanced CMOS base die for HBM4's industry-leading 2.8TB/s bandwidth and 11+ Gbps pin speeds while maintaining power-efficiency leadership.

Mark committed to DRAM remaining below target on DIO through the year and NAND DIO decreasing as well, underpinned by tight supply and disciplined NAND output.

Sanjay reconfirmed HBM is sold out for 2025 and said 2026 bit demand growth for HBM will significantly exceed DRAM demand growth, while deferring specific 2026 share commitments.

Mark directly confirmed Q4 gross margins would be up somewhat from Q3, while flagging NAND underutilization and DRAM start-up costs as offsets.

Sadana directly confirmed data center SSD bit shipment growth restarting in fiscal Q3 with continued trajectory growth supported by strong customer CapEx and strongest product portfolio in history.

Sadana declined to give specific pricing guidance, citing competitive reasons, but outlined positive mix and data center growth factors offsetting near-term NAND headwinds.

Charlie Kawwas said Tomahawk 6 is deployed across essentially all AI hyperscalers building XPUs and even non-XPU customers, with Tomahawk Ultra adoption surprising to the upside.

Hock tied out the FY26 ~$56B math directly but stayed general on the FY27 backlog, reiterating >$100B without confirming a $200B figure.

Hock explained COT players need best-in-class silicon design, SerDes, packaging, and networking, Broadcom's 20+ year lead is hard to catch.

Hock confirmed $73B is minimum; Singapore facility is for advanced packaging insourcing for supply chain security; TSMC 2nm/3nm capacity being secured.

Hock said only broadband is showing consistent uptrend; expects a U-shaped recovery by late fiscal 2026. Bookings up 23% YoY but not yet sustainable V-shaped recovery.

Hock explicitly confirmed Harlan's framework, sustained 60% AI growth into FY26. Not updating the 2027 SAM framework but providing directional FY26 visibility.

Hock declined to speculate on second half beyond saying there's pull-in acceleration of shipments in fiscal 2025, driven partly by improved networking demand.

Hock pushed back on using aggregate hyperscaler CapEx as a proxy for Broadcom's AI growth, noting CapEx doesn't distinguish AI vs non-AI spending and AI spend outstrips non-AI.