ADI
#Let me talk about the geo thing a little bit.
I think overall, just to give you a little bit of color there, so Europe I would say, not surprisingly, the industrial sector is a little weak.
Europe tends to take a pause.
And I'd say the industrial sector in particular was maybe a little weaker than we had expected.
So I think as well, North America and industrial was also relatively weak; some sectors were better than others.
And I think when you look at China and Asia Pacific, automotive was quite soft.
And it's well-publicized that the communications infrastructure was weak, but at least the pattern was stabilized there.
And then in response to the 10% customer, we did have one customer for the quarter that was greater than 10%.
Thank you, CJ.
I think that was two questions, so.
No re-queuing for you.
You violated the rule.
We were in the mid-70s for utilization this quarter.
That was similar to where we were last quarter.
I don't remember if I said it before, but we are probably going to take utilization down a little bit in the fourth-quarter.
All of the ramp in revenue for the fourth-quarter, at least on a front end ---+ from a front-end perspective, will come from foundries.
So it won't affect utilization in any way on the front end.
Sure.
Now ideally, over time, we're working to get that utilization up, and it has been I think if you look at it on a year-over-year basis, it has been steadily moving up a little bit and it has been helpful to gross margins.
So that is our goal, to make better use of our existing factories to drive gross margin expansion.
Our goal is we won this business; our goal is to keep it.
And the good news is we think it's technology that has a lot of legs to it, that is highly differentiated, and as a result, the customer values it and pays a premium for it.
So we're not ---+ our anticipation is that we will not lose it nor will we have massive ASP erosion as a result, but that will be borne out over time.
Look, I think another aspect of the strategy here is that a lot of technology trends center around these types of consumer systems being able to see, being able to hear, being able to feel.
And I think there's some great macro trends there that speak very well to the types of technology that we have, the intersection of the physical world, and the world of the digital.
So as the performance goes up, the space is getting tighter and tighter.
Battery-powered efficiency has got to become greater and greater.
There's some really chunky problems to be solved there.
So and not just one type of problem; there's many, many different problems.
So we seek, as we do across all our businesses, we look for diversity in each application in terms of the types of technology that we can apply, the number of products that we can develop.
And so it's not a tale of one product, one customer.
It's a tale of many, many different types of technologies across many, many different modalities there in terms of intersection of the physical and digital worlds.
<UNK>, you're asking me to whip out the crystal ball here, which I don't know, it might be on the fritz.
I would say that sitting here today with almost no backlog to really tell for certain how things are going to progress, that the first quarter, which is typically down mid-single digits, given that there's a more significant percentage is likely to be in the consumer space in the fourth-quarter, and that that has normally a more dramatic seasonal decline in the first quarter.
We're likely to be more than mid-single digits down sequentially in the first quarter, but I'm not certain of that.
And then in the second quarter, generally consumer seasonally is relatively flat first quarter to second quarter, but we have this lift in industrial, this tends to be our best quarter for industrial in the second quarter.
And that gives us a good lift for the second quarter sequentially.
And so, that is how I would model it out right now, having limited information as to how things behave.
I don't think I would suggest that the back half of the year we're ever going to have any specific additional platforms, but our goal over time is to expand in every end market in terms of opportunity.
So over time, I think there is an opportunity to do that.
I do think that the industrial business for us is made up of these broader market end markets and then these more ASSP-oriented markets.
And I think it's safe to say that the broader markets were a bit weaker and that the ASSP or vertical markets did a little bit better.
And I think somewhere in Vince's remarks, he talked a lot about diversity.
I think also <UNK> talked about it as well.
That's the benefit of diversity, is we're in so many different parts of the industrial space, both the broad market and very interesting verticals and some do better than others and depending on the quarter.
But I think that really, if I had to line our performance up in the third quarter relative to what I saw from some of the other players, I would say where we outperformed seemed to be in some of the specific verticals like aerospace and defense and energy and so forth.
As you know, we are on a sell-through basis across the globe as well, so the transparency that we have around demand and supply is very, very strong.
So our sense is that there's a good balance between consumption and supply at this point in time.
And we, as a Company, measure only end-customer bookings, because that's what we base our understanding of demand on.
And so what we're reflecting to you is what we see.
