“Non-GAAP effective tax rate to be 13%, and the diluted share count is expected to be approximately 1.64 billion shares, which includes 9 million shares related to the ZT transaction.”

In context

“digit percentage, embed segment revenue to be flattish, and we expect data center segment revenue to decrease due to the exclusion of MI308 revenue. In addition, we expect second quarter non-GAAP gross margin is estimated to be 43%, inclusive of approximately $800 million in charges for inventory and related reserves. Excluding this charge, our non-GAAP gross margin would be approximately 54%. Non-GAAP operating expenses to be approximately $2.3 billion, which includes approximately $50 million in OpEx due to the addition of the ZT System design key. The financials for the ZT manufacturing business will be reported as discontinued operations starting in the second quarter. We expect net interest and other expenses to be $5 million due to the debt associated with the ZT System transaction. Non-GAAP effective tax rate to be 13%, and the diluted share count is expected to be approximately 1.64 billion shares, which includes 9 million shares related to the ZT transaction. Looking forward, despite ongoing macro and trade policy related uncertainties, we believe the investment we are making will position us well to address the large growth opportunities ahead as AI expands the use of high-performance computing across all our end markets. In closing, 2025 is off to a strong start as we continue to execute on key strategic and financial goals. We delivered strong top line revenue growth, expanded gross and operating margins, and closed the key acquisition of ZT Systems to expand and accelerate our data center GPU and systems roadmaps. With that, I'll turn it back to Matt for the Q&A session. Matt Ramsey : Thank you very much, Jean. John, can you go ahead and pull the callers for the Q&A session, please? Thank you. Operator: [Operator Instructions] And the firs”