“we are very optimistic that the targets we laid out replaces that revenue and puts us in a good place from an overall P&L perspective.”

In context

“you’ve said many times before, how does the OpEx change and maybe the margin structure of Qualcomm during that exit from that main customer? Akash Palkhiwala: Yes, Ross. Thanks for the question. I think our strategy around OpEx has been very clear and we put this in place a couple of years ago where the idea was to keep the existing scale of the OpEx investment and transition the investment from handsets while still maintaining leadership in handsets to these new areas that we are focusing on within automotive and then PCXR and industrial within IoT. So that is the framework under which we are operating. We’re continuing to move investment into those areas to create this tremendous growth opportunities for us. And then on the revenue side, as kind of Apple revenue goes down, we’re looking we are very optimistic that the targets we laid out replaces that revenue and puts us in a good place from an overall P&L perspective. So that’s the framework that we outlined at Investor Day as well and that’s what we’re executing on. Ross Seymore: Great. And one more for you quickly. You guys boosted the free cash flow return to 100% return to shareholders. What was the reasoning behind doing that? I think everybody will obviously take it and it’s a positive sign, but just wanted to see what the catalyst was. Akash Palkhiwala: Well, I think we’ve had very strong cash flow for the last couple of years. And so we’ve seen our cash balance grow and so it is an opportunity given where the stock price is, it’s an opportunity for us to leverage that cash balance and increase our buybacks. But we are doing it while, of course, maintaining our strategic flexibility for M&A. And it’s the same framework we laid out at Investor Da”