When you look at that CapEx spend, I'm talking specifically from Meta. What do you think Zuckerberg is trying to do with that money. Well, first of all, last year they made all those investments in people and in a lot of us out there that were analyzing and we're going, are they overspending.And so what I think happened and you heard about met a cloud is that Mark Zuckerberg has turned the corner. It was all about models. So people are getting a little impatient.Are they going to release the next model. Is ...

Summary of Astera Labs FY Conference Call Company Overview - **Company**: Astera Labs (NasdaqGS: ALAB) - **Date of Conference**: December 11, 2025 Key Industry Insights - **AI Investment Cycle**: The company believes it is in the early stages of a significant AI investment cycle, requiring increased compute power and connectivity to enhance AI systems' efficiency [3][4][5] - **Connectivity Challenges**: Astera Labs is focused on solving connectivity issues among GPUs, CPUs, and XPUs, which are critical for AI applications [6][10] Core Business Developments - **Memory Solutions**: Astera is addressing memory bottlenecks in AI applications through partnerships, particularly with Microsoft, to implement CXL technology for improved memory efficiency [11][12] - **Taurus Growth**: The Taurus segment is expected to be a major growth driver, with a ramp-up in 400 gig and 800 gig solutions anticipated in the upcoming quarters [20][21] - **Aries Platform**: The Aries platform is seeing growth due to the transition from Gen 5 to Gen 6 retimers, with significant demand from hyperscalers [25][26] Financial Performance and Projections - **Gross Margins**: Astera aims for a long-term gross margin model of 70% and operating margins of 40%, with current performance exceeding these targets [95] - **Cash Flow and Investments**: The company is profitable and building a strong balance sheet, with plans for strategic M&A and initiatives rather than immediate returns to investors [96] Competitive Landscape - **CXL and Memory Efficiency**: CXL technology is positioned as a second tier of memory to support larger AI models, with initial deployments in general-purpose computing [12][15] - **Market Positioning**: Astera is confident in its competitive position within the evolving AI landscape, particularly with the introduction of UALink switches expected in 2026 [66][67] Future Outlook - **Optical Technology**: The company sees significant potential in optical technology for scaling up architectures, with expected developments around 2028-2029 [88][89] - **Ecosystem Coexistence**: Astera anticipates a fractured market where multiple protocols (NVLink, PCI Express, UALink, Ethernet) will coexist, allowing for diverse customer needs [72][76] Additional Insights - **Customer Engagement**: Astera is engaged with over 10 customers on the Scorpio X family, indicating strong interest and potential for future growth [36][42] - **Strategic Focus**: The company remains focused on PCI Express and transitioning to UALink, with no immediate plans to enter the Ethernet switching market due to competitive challenges [82][84] This summary encapsulates the key points discussed during the Astera Labs FY Conference, highlighting the company's strategic direction, market positioning, and future growth opportunities.

Let's bring in Melius research head of technology research Ben Rises. Uh Ben, you just heard Christina list uh a lot of the gating issues here in terms of whether we really will see significant sales of the H200 in China. What's your view.>> Well, I'm not putting it in my model until I'm absolutely sure. I think that there's a lot of demand out there anyway. And look, Nvidia has a lot of choices.I think the big thing that people don't understand is the world is still short of compute. People are desperate, ...

Summary of Fastly's Conference Call Company Overview - **Company**: Fastly - **Industry**: Cybersecurity and Content Delivery Network (CDN) Key Points Management Changes and Leadership - Rich Wong joined Fastly as CFO in August 2023, bringing experience from previous roles in the CDN space [7][9] - Kip, the new CEO, has been instrumental in enhancing product offerings and operational execution [12][13] Product Development and Security Offerings - Fastly expanded its security product suite from one core product in early 2024 to five by 2025, including DDoS and bot mitigation products [12][13] - Security revenues grew by 30% year-on-year, indicating strong demand for their expanded security offerings [28] Market Dynamics and Traffic Growth - The CDN market has seen volatility, with some competitors exiting, leading to a more rational pricing environment [14][16] - Fastly experienced traffic headwinds in 2024 due to customers opting for multi-CDN strategies but has seen a rebound as customers recognize Fastly's superior performance [15][16] Customer Base and Revenue Growth - Top 10 customers now represent 32% of total business, down from nearly 40% 12-18 months ago, with non-top 10 customers growing at a rate of 17% year-on-year [24][25] - Fastly is focusing on cross-selling security products to existing customers, with about half of customers purchasing multiple products [27][28] Financial Performance - Gross margins improved to 62.8%, with a normalized figure of 61.8%, driven by network efficiency and pricing discipline [49][50] - The company anticipates continued gross margin improvement, projecting 61.5% for Q4 [53] Future Outlook - Fastly is optimistic about 2026, focusing on execution and leveraging its expanded product portfolio and management team to drive growth [56][57] - The company is also exploring opportunities in the compute and observability sectors, although these areas are still in early stages [44][45] Additional Insights - Fastly is adopting an open-source approach to content licensing through the Really Simple Licensing (RSL) initiative, contrasting with competitors' closed systems [47][48] - The company is investing in operational excellence and enhancing its go-to-market strategies, particularly in verticals like travel and fintech [35][37] This summary encapsulates the key insights from Fastly's conference call, highlighting the company's strategic direction, product developments, and financial performance.

Company Strategy & Expansion - Luma is launching its second office outside of Palo Alto in London, viewing London as a gateway for business in Europe and the Middle East [1][2] - Luma aims to build multimodal AGI that can generate, understand, and operate in the physical world [10] - Luma is deeply focused on general purpose robotics, viewing video as the path to AGI and a universal simulator [8][7] Talent Acquisition - Luma has a significant pipeline of researchers and engineers from Europe, including those from DeepMind [1] - Luma attracts exceptional talent due to its focused mission on multimodal AGI and high resource allocation per person, currently around 150 people [4] - Luma aims to hire 200-300 brilliant people to solve research problems [13] Technology & Research - Video, audio, and language combined offer a chance to build a universal simulator, enabling general purpose robotics [7][8] - Luma is focused on solving the research problem for omni models that can reason in audio, video, language, and text together [12] - Advancements in video models will lead to more accurate physics simulations, crucial for building physical intelligence [10] Compute Infrastructure - Luma, in collaboration with Humane, is building a 2 gigawatt compute cluster, one of the largest in the world models and video models space [14] - Multimodal AI will require more compute than is currently available, making compute a critical input for Luma's business [15] Funding - Luma has raised $900 million [11]

Who do you think's more likely to do that, Codeex or Claw Code. >> Google by far. They have the compute.They're moving very fast. If Gemini at some point wins the race, like literally wins the race, then they have the entire stack including like Google Cloud and whatever whatever they need and they have the data and whatever and integrations and and Google Suite and so on to build an incredible empire. I'm hoping for a tough race and it looks like that right. ...

AI Development & Infrastructure - Compute resources are consistently insufficient for AI development [1] - Data centers are critical infrastructure for the digital economy [1] - Open-source AI models represent a significant source of geopolitical influence [1] Geopolitical & Economic Factors - China's government's national commitment to industry is a powerful force [1][2]

Space Data Centers - Vision & Ambition - The industry envisions building data centers in space to leverage compute power in satellite constellations [2] - Founders are exploring space data centers to create opportunities for using compute in space [2] - Space data centers could be helpful for defense and human advancement [2] - Elon Musk and Jeff Bezos foresee the inevitability of data centers in space to advance civilization [3] Technological Advancement & Future Implications - Space data centers are seen as a means to achieve extra levels of civilization and spacefaring capabilities [3] - Compute needs in space, such as on Mars or the moon, will drive the development of space data centers [3] - Access to software on mobile devices will fundamentally change with space-based computing [3] Current Status - Terrestrial data centers are currently experiencing significant growth [2] - The feasibility of space data centers depends on scientific advancements [2]

AI Development & Future - AI will scale to harness most of the sun's power for compute [1] - AI will eventually harness most of the galaxy's power, reaching Kardashev two or three scale compute [1] - Artificial intelligence is part of the overall escalation of intelligence [2]

Financial Performance & Strategy - The company has lowered rates three times in the last 15 months and expects to lower them again in 2026 while growing earnings at over 9% per year [3] - Infrastructure investment is offset by operating maintenance cost reductions, leading to significant cost savings [1] - Improving credit metrics results in lower cost financing, allowing the company to lower rates for customers [2] Infrastructure & Technology - The company has buried its 1,000th mile of power lines, at a million dollars a mile less than a couple of years ago [4] - Technology underpins situational awareness and responsiveness, leading to a 35% reduction in ignitions this year despite similar fire conditions [5] - The company is implementing layers of protection, starting with hardening the system to mitigate fire risk [4] Load Growth & Rate Design - The company is experiencing rate-reducing load growth due to increased compute demand, particularly from AI applications [7] - Residential customers do not subsidize large load; large load pays its full freight [7] - The company has rate designs in place so that residential customers only benefit from new and growing load [9] - Compute data centers are located throughout the service area, supporting companies using AI in their daily business [10]