“As you look forward, the growth opportunity that we have in auto, IoT far exceeds the scale of the Apple revenue. So I think we have the ability to continue to grow revenue and manage the margin profile as a result of it. And so no change to our long-term target margin versus what we've said in the past.”

In context

“came a very competitive company and learned how to compete in China and have been serving well. I think the market, we expect that to continue to be the case. Tal Liani: Got it. Maybe just a question on margins, a quick one. I see that when I look at gross margin, operating margin, I see that there is kind of you managed to maintain a very healthy operating margin despite the fluctuations in Apple revenues. So I just want to ask you a question I'm getting from investors quite often. What are the implications of the decline in Apple? What are the implications on margins? Are they positive or negative? Akash Palkhiwala: Yes. I think we're very happy with the margin profile of the business. I mean we will be at close to 30% margin this year, which is the target we have set for the long term. As you look forward, the growth opportunity that we have in auto, IoT far exceeds the scale of the Apple revenue. So I think we have the ability to continue to grow revenue and manage the margin profile as a result of it. And so no change to our long-term target margin versus what we've said in the past. Operator: Our last question comes from the line of Ben Reitzes with Melius Research. Benjamin Alexander Reitzes: I wanted to ask about the data center. You're buying Alphawave for $2.4 billion. You have big ambitions there, it sounds like for FY '28. What is -- what are your thoughts on doing -- having more of a tuck-in acquisition strategy there or even going bigger to get big fast and get a hold of customers if you have such great IP. I was just wondering if you could kind of give your -- a little bit more of the strategy. Is it more Alphawaves coming? Or would you ever consider a bigger acquisition? Cristiano Renno Amon: Thanks, Ben, for the question. Look, at this point, we're very focused on actually driving Alphawave to closure and building our product road map. I think we -- we fee”