Mike Ng

David declined to forecast annual margins but reiterated DCBBS and fast time-to-market as best levers for margin improvement.

David disclosed four 10%+ customers at 11%, 11%, 11%, and 21% of revenue for FY2025. Significant customer concentration.

Charles expressed confidence in midterm growth but declined to reiterate the $40B target. Will provide FY2026 guidance when visibility improves.

Strong demand for both products but some customer datacenter buildouts delayed, causing slower-than-expected liquid cooling deployments.

Declined to share specific mix percentages. Noted both Hopper and Blackwell products are in production.

Charles cited low utilization rates and growing product lines as evidence of upside, but did not provide specific backlog or pipeline numbers.

Charles attributed shortfall to Blackwell timing rather than market share loss from audit issues. Deflected the filing-delay impact question.

David Weigand flatly declined to address annual guidance. No explanation of why or when it might be reinstated.

Jayshree candidly said the industry supply problem persists to 2028 but Arista's specific steps should show results in the back half.

Jayshree confirmed Neo Cloud is underappreciated and very strong. TPU and diverse accelerator demand is creating multi-accelerator, multi-protocol networking opportunities.

Jayshree classified cloud and AI titans as <5 customers with 1M+ servers and 100K+ GPUs. Oracle moved to AI specialty due to dual OCI/AI personality, with ~6% remaining from other cloud titans.

Jayshree described 5-7 active rack design projects with various accelerators, with revenue models including JDM blue box and traditional network sales in racks.

Chantelle attributed deferred growth to new products, AI use cases, and acceptance clauses. Jayshree confirmed $10B in 2026 target, two years ahead of 2028 Analyst Day plan.

Answer interrupted by technical difficulty. Jayshree began comparing the pace from first $5B to $10B before the call dropped.

Jayshree confirmed 4 of 5 AI titan customers active, with 3 deploying cumulative 100K GPUs. Fifth customer stalled awaiting new GPUs and funding.

Enrique noted consumer subscriptions approaching $1B, strong PCs-as-a-Service growth, and software businesses performing well. Karen emphasized this as an important gradual transition toward less cyclical, higher-margin recurring revenue.

Enrique confirmed gross impact significantly larger than $0.30 net. High confidence in mitigation actions. Conservative full-year guide given H2 impact uncertainty. No shortages expected in non-memory components; good supply position from relationships and contracts.

Enrique noted competitors announced but didn't follow through on price increases, expects aggressive pricing to continue near-term. Pages printed stable, suggesting temporary dynamic. Karen reported leverage improved to 2.04x from 2.2x, expects further improvement in FY26 enabling more repurchase activity.

Karen confirmed full-year PS margins in 5-7% (likely lower half given Q2 impact). Tariff pull-in estimated at less than 1% of revenue growth overall.

Enrique explained Humane assets will accelerate AI at edge and 'better together' device experience. First deployment: seamless PC-conference room connectivity.

Enrique pointed to accelerating commercial momentum (10% growth vs prior quarter) as key driver of increased confidence.

Enrique expects overall print market to slightly decline, will pursue share only in profitable categories. On PC refresh, companies respond to deadline.

Josh said Disney is exploring a free product to expand reach to price-sensitive consumers, accelerate ad revenue given it is well sold, and drive top-of-funnel Disney+ subscriber growth, with nothing specific to announce.

Josh framed Disney+ as the digital counterpart to physical parks, with the lifetime value equation changing fundamentally when fans engage across watching, visiting, gaming and merchandise.

Johnston said no material trend in visitor mix worth modeling. Attendance came in well despite competitive park openings. Intent is balanced growth through both attendance and per caps.

Johnston said international attendance hasn't recovered to pre-COVID levels but mix impact is only 1-1.5%, more than offset by strong domestic attendance.

Iger highlighted sky-high guest ratings and IP investment in ships as learnings. Cruise business expected to be growth driver for three to four years. Singapore ship first quarter sold out in days.

Iger explained ESPN tile serves dual purpose: increases Disney+ engagement to lower churn, and acts as introductory funnel for eventual Flagship upsell.

Jeff emphasized both cost AND scarcity dynamics, with the direct model enabling faster demand redirection, configuration adjustments, and pricing changes than competitors.

Jeff confirmed North America weakness persisted from Q1 with federal spending decline. Dell IP storage continued to outperform with PowerStore winning new customers, but HCI headwind remained.

Yvonne confirmed AI server dollars are accretive to P&L with ISG margins expanding through the year. Jeff noted over 3,000 enterprise AI customers with growing repeat buyers.

Jeff explained ISG margin sustainability through Dell IP storage pivot, traditional server growth with higher TRUs, and continued OpEx discipline.

Jeff directly attributed the sequential decline to Blackwell production ramp timing. Emphasized pipeline grew 50%+ and opportunity is bigger than last quarter. Clarified Q4 is down slightly, not materially.

Anthony Lewis directly framed the CapEx as covering FY to June '27 and detailed the $8B additional GPU financing plan.

Kent Draper directly explained Mirantis opens new customer classes, adds an orchestration layer and enables on-demand compute.

Kent Draper declined to disclose the GPU count but framed the ~60MW of air-cooled Blackwells as a managed-services deployment demonstrating ability to service different market segments.

Prince George revenue already flowing; Microsoft ramps progressively, initial revenues expected in Q2.

Sweetwater 1 on track to energize in Q2 at the full 1.4 GW; batch process seen as helpful for contracting.

Stankey described a gradual portfolio rebalancing from device-indexed to network-first value proposition. OneConnect is foundational platform that will evolve, alongside refreshed base plans for other segments.

Desroches cited pricing actions taking effect in April, improving wireless service revenue growth, Lumen operations scaling, and Q1-specific headwinds (incentive comp, holiday device payments) normalizing.

Desroches cited three drivers: Lumen integration costs moderating after 2026, acquired fiber assets reaching higher penetration over time, and declining legacy segment dilution each successive year.

Desroches said stripping out customer acquisition and advertising costs, the underlying business showed substantial cost savings across AI, legacy infrastructure shutdown, and process optimization, with $4 billion+ more in savings expected over the next three years.

Stankey said GigaPower out-of-region results validate Lumen assumptions, EchoStar spectrum is deferring capacity capital, and wholesale revenues are growing from Boost migration.

Schulman declined to put a number on 2027, deferring to the Q4 call, but listed the structural drivers and committed directionally to 2027 topping 2026.

Schulman emphasized structural shift away from free handsets toward micro-segmented retention offers. Gave example of sending femtocell instead of free phone at 1/3 the cost. Skiadas noted upgrade volumes up 6% YoY but rate of growth slowing into Q2.

Schulman said the 750,000-1 million 2026 postpaid phone net add target is only 10-15% of net new to industry and is 'a very doable target for us in year 1 of our transition' without over-utilizing promotions or pricing. He said reducing churn by 5bp gets Verizon halfway to the target, noting that over the last 3 years churn rose 25bp and every basis point equals 90,000 net adds, representing roughly 2.25 million lost net adds or '$3 billion-plus revenues a year.' The $5 billion OpEx savings provides flexibility to invest in end-to-end customer experience and Verizon will leverage convergence with a 40% churn reduction on bundled mobility plus Frontier. On fiber passings, Schulman said he is increasingly optimistic on convergence and wants to get to at least 40-50 million passings, at least 2 million organically in 2026 with continued evaluation of inorganic and partnership options. The Tillman partnership and Starry acquisition support the build. He said Verizon has 'plenty of capacity and flexibility on our balance sheet' to pursue additional M&A.

Schulman drew direct parallels between his PayPal arrival and Verizon. At PayPal he declared the company would be a customer champion and challenged its own business model, for example giving customers full payment choice rather than forcing them to use the highest-margin funding instrument, which unleashed growth. He expects a similar dynamic at Verizon: invest heavily in the value proposition, fund all investments through cost structure reductions, and culturally move from technology-centric to customer-centric. He called Verizon 'a turnaround' and said big companies respond well to a crisis, framing this moment as a clarion call for the company. On the super-app / Perks / MyPlan question, he declined to commit to a specific vision this early, saying the team is developing its thoughts and will share more detail in January.

Legacy deal rate adjustment creates 12-month revenue headwind. US reaccelerates in H2 2026 after lapping; international reaccelerates in Q1 2026 from European launches.

Zaslav noted IP monetization up from $0.22 to $0.30 per Disney dollar. DC rights freed from Six Flags, Abu Dhabi licensing, Leavesden/Japan experiences sold out.

Growth driven by new international market launches and penetration gains. U.S. is mature with growth coming more from pricing and account sharing enforcement.

JB confirmed near-term ARPU pressure from ad-lite expansion to 45+ markets, Asian launches, and hard bundle pricing concessions, but expressed confidence in medium-to-long-term ARPU growth.

Peter attributed accelerating sequential service revenue to postpaid volume and ARPA expansion (13% postpaid service revenue growth), premium plan self-selection, and 5G broadband.

Peter confirmed the cost synergy target is on track, with most realization coming in late 2026 through 2027. AI chatbot already containing 60% of customer inquiries as a proof point.

Peter shared the $2.7B investment figure but deferred EBITDA contribution and subscriber details until after the JVs close.

Answered directly, attributing outperformance to broad-based demand plus strong mark-to-market and an inflection in interconnection activity.

Vondran ranked domestic and developed-market towers first, then CoreSite expansion at mid-teens stabilized yields. Smith added the dividend, internal capex, then M&A and buybacks.

CFO gave the remaining land bank and the power the plan consumes, but did not confirm the megawatt conversion math or address how the land bank gets replenished.

Adaire framed the conversation as less about on-prem vs cloud repatriation and more about navigating token management, cost optimization, and sovereignty compliance across hybrid multi-cloud environments.

Neri expects federal pause to resolve in H2 with solid pipeline. AI revenue beat attributed to customer readiness and deployment acceleration rather than component availability improvement.

Neri attributed intra-quarter variability to normal lumpiness, emphasized cumulative $8.3 billion in orders doubled QoQ. Myers clarified $400M cash restructuring charges include $250M from new program plus prior period carryover.

Management said network activity was in line with forecasts and that the DISH/Sprint headwind is a timing matter, back-end loaded and contracted.

Chris argued investments already made (low pricing, US-based service, technology platforms) enable efficiency gains while continuing innovation. Jessica expects cost-to-serve slightly down YoY, marketing growth meaningfully slower than 2025, supporting EBITDA growth while still doing right things for long-term.

Mercier attributed the Singapore spreads to a supply-constrained market and one customer trading a fixed renewal rate for longer term, while conceding the outsized percentage is not a quarterly event.

CEO said IG status improves rates versus alternatives but the environment is higher overall; indifferent between MLA structures.

Chopra attributed DTC marketing efficiencies to the diversified subscriber acquisition approach spanning direct, platform-based, hard bundle and commercial channels that reduces acquisition costs and churn. Confirmed prior programming charges do provide some amortization benefit in future periods but emphasized focus on driving top-line growth, sub growth, ARPU growth and marketing efficiency as the primary profitability drivers.