“Consistent with last quarter, we are not assuming any data center compute revenue from China.”

In context

“ating expenses were up 8% sequentially and up 11% on non GAAP basis. The growth was driven by infrastructure compute, as well as higher compensation and benefits in engineering development costs. Non GAAP effective tax rate for the third quarter was just over 17%. Higher than our guidance of 16.5% due to the strong US revenue. On our balance sheet, inventory grew 32% quarter over quarter while supply commitments increased 63% sequentially. We are preparing for significant growth ahead and feel good about our ability to execute against our opportunity set. Okay. Let me turn to the outlook for the fourth quarter. Total revenue is expected to be $65 billion plus or minus 2%. At the midpoint, our outlook implies 14% sequential growth driven by continued momentum in the Blackwell architecture. Consistent with last quarter, we are not assuming any data center compute revenue from China. GAAP and non GAAP gross margins are expected to be 74.875% respectively. Plus or minus 50 basis points. Looking ahead, to fiscal year twenty twenty-seven, input costs are on the rise but we are working to hold gross margins in the mid-seventies. Gap and non GAAP operating expenses are expected to be approximately $6.7 billion and $5 billion respectively. GAAP and non GAAP other income and expenses are expected to be an income of approximately $500 million, excluding gains and losses from non-marketable and publicly held equity securities. GAAP and non GAAP tax phase are expected to be 17%. Plus or minus 1% excluding any discrete items. At this time, let me turn the call over to Jensen. For him to say a few words. Jensen Huang: Thanks, Colette. There's been a lot of talk about an AI bubble”