Advanced Micro Devices, Inc. (NASDAQ:AMD) Morgan Stanley Technology, Media & Telecom Conference March 5, 2024 11:00 AM ET Company Participants Joseph Moore - CFO Conference Call Participants Jean Hu - Morgan Stanley Jean Hu Welcome back, everybody. Joe Moore from Morgan Stanley Semiconductor Research. Very happy to have with us today Jean Hu, the CFO of AMD. I think, I just read this real quick. For important disclosures, please see the Morgan Stanley Research disclosure website at www.morganstanley.com. If ...

ON Semiconductor Corporation (NASDAQ:ON) Morgan Stanley Technology, Media & Telecom Conference March 5, 2024 5:50 PM ET Company Participants Hassane El-Khoury – Chief Executive Officer Thad Trent – Chief Financial Officer Conference Call Participants Joe Moore – Morgan Stanley Joe Moore Everybody, I’m Joe Moore, again, Morgan Stanley semiconductor research. Very happy to have the executive team from ON Semiconductor, Hassane El-Khoury, CEO; and Thad Trent, CFO. So I wonder if you guys could just start out. ...

Palo Alto Networks, Inc. (NASDAQ:PANW) Morgan Stanley Technology, Media & Telecom Conference Call March 5, 2024 2:45 PM ET Company Participants Nikesh Arora - Chief Executive Officer and Chairman Conference Call Participants Hamza Fodderwala - Morgan Stanley Hamza Fodderwala Good morning, or almost good afternoon, everybody. I hope you're doing well. My name is Hamza Fodderwala. I'm the cybersecurity analyst here at Morgan Stanley. And with me this afternoon, we have Mr. Nikesh Arora, Chairman and CEO of Pa ...

Summary of Zoom Video Communications, Inc. Conference Call Company Overview - **Company**: Zoom Video Communications, Inc. (NASDAQ: ZM) - **Event**: JMP Securities Technology Conference - **Date**: March 5, 2024 - **Participants**: Kelly Steckelberg (CFO), Patrick Walravens (JMP Securities) Key Points Business Transition and Performance - **Transition Phase**: Company is in a significant transition phase, moving from pandemic-driven growth to a more stable growth model [9] - **Revenue Segments**: Pre-pandemic, the Online segment contributed about 20% of revenue; during the pandemic, it surged to over 60% [10] - **Current Trends**: The Online segment has been declining as in-person interactions resume, but stabilization has been observed in recent quarters [10][11] Financial Performance - **Q4 FY2024 Results**: Revenue exceeded guidance, with strong free cash flow and $7 billion in cash at year-end [27] - **Buyback Authorization**: The Board authorized a $1.5 billion buyback for FY2025 [27] - **Sales Team Recovery**: After a significant reorganization and reduction in force, the sales team regained productivity, finishing Q4 strong [29] Future Growth Strategies - **Growth Acts**: - **Act 2**: Focus on expanding the phone segment, which now accounts for over 10% of revenue with more than 7 million seats [13] - **Act 3**: Transitioning to a full collaboration and communication platform, introducing products like Zoom Contact Center and Zoom AI Companion [14] - **Contact Center Development**: The Contact Center product is evolving with new pricing tiers and features, aiming to capture a larger market share [21] Market Potential - **Contact Center Market Growth**: The contact center and conversational AI market is projected to grow from $19 billion in 2023 to $39 billion by 2027, indicating a significant opportunity for Zoom [24] - **Self-Service Focus**: Emphasis on helping customers self-serve through conversational AI and transitioning legacy systems to the cloud [25] Guidance and Challenges - **Cautious Outlook**: Guidance reflects caution due to international market headwinds and the need for new leadership to drive growth in EMEA and APAC regions [31] - **Renewal Events**: Many customers had renewal opportunities in FY2024, impacting revenue stability; the company expects a low point in year-over-year growth in Q2, with reacceleration anticipated in the latter half of the year [35] Long-Term Strategy - **Operating Margin**: Long-term operating margin target remains at 28% to 32%, with a current margin of 39% due to investments aimed at reaccelerating growth [36][37] - **Portfolio Expansion**: Plans to expand product offerings to enhance online growth, targeting small business needs [43] Additional Insights - **User Experience**: High user satisfaction with Zoom Phone, which is designed for ease of use and portability [18] - **AI Integration**: The company is integrating AI into its products, particularly in the Contact Center, to enhance efficiency and customer service [22] This summary encapsulates the key insights and strategic directions discussed during the conference call, highlighting Zoom's current position and future growth potential in the evolving market landscape.

Company and Industry Overview * **Company**: Skyworks Solutions, Inc. (NASDAQ: SWKS) * **Industry**: Semiconductor, Mobile and Wireless Technologies, IoT, Automotive, Data Center * **Key Focus**: Curated solutions for customers, strong technical expertise, in-house manufacturing capabilities Market Trends and Priorities * **Mobile and Wireless Technologies**: * Majority of revenue comes from mobile and wireless technologies, but the company is diversifying into other areas like automotive, data center, and IoT. * Skyworks focuses on mid to high-tier smartphones and has a strong position with Google and Samsung. * The company is well-positioned to capture opportunities in the Android ecosystem, including Google and Samsung. * Skyworks has a strong track record of design wins in the mobile ecosystem and continues to drive share. * **5G and AI**: * Skyworks sees significant opportunities in 5G, particularly in the high-end market where performance continues to improve. * The company believes AI will drive a whole new set of technologies in handheld devices, creating a significant opportunity for companies like Skyworks. * Skyworks is uniquely positioned to address the technical challenges of AI in smartphones due to its strong technical expertise and in-house manufacturing capabilities. * **Broad Markets**: * Skyworks has a strong position in IoT, with a large set of meaningful opportunities and revenue streams. * The company has made significant progress in the automotive market, with design wins with customers like Tesla. * Skyworks has a strong position in data center timing applications, with a growing portfolio of products and solutions. Financials and Strategy * **Revenue Growth**: Skyworks expects to see revenue growth in the broad markets segment, particularly in automotive and IoT. * **Capital Allocation**: Skyworks has a strong balance sheet and expects to use its cash for dividends, buybacks, and acquisitions. * **Acquisitions**: Skyworks has a history of successful acquisitions and plans to continue to look for opportunities to expand its portfolio and capabilities. Key Takeaways * Skyworks is a diversified semiconductor company with a strong focus on curated solutions for customers. * The company has a strong technical expertise and in-house manufacturing capabilities, positioning it well for growth in key markets like 5G, AI, IoT, automotive, and data center. * Skyworks has a strong balance sheet and plans to use its cash for dividends, buybacks, and acquisitions.

Western Digital Corporation (NASDAQ:WDC) Morgan Stanley Technology, Media & Telecom Conference March 5, 2024 2:00 PM ET Company Participants David Goeckeler - CEO Wissam Jabre - CFO Conference Call Participants Joe Moore - Morgan Stanley Joe Moore Welcome back, everybody. I'm Joe Moore from Morgan Stanley Semiconductor Research. Very happy to have with us today the management team of Western Digital, David Goeckeler and with Wissam Jabre. I think Wissam, you wanted to read the safe harbor, and then we'll go ...

American Tower Corporation (NYSE:AMT) Raymond James 45th Annual Institutional Investors Conference March 5, 2024 1:05 PM ET Company Participants Adam Smith – Senior Vice President-Investor Relations Steve Vondran – President and Chief Executive Officer Conference Call Participants Ric Prentiss – Raymond James Ric Prentiss [Audio Gap] Prentiss, Head of Telecom Services Research at Raymond James. And we've added the M as well, for media, to our coverage, so stay tuned for more on that one coming. But one of o ...

T-Mobile US, Inc. Conference Call Summary Company Overview - **Company**: T-Mobile US, Inc. (NASDAQ: TMUS) - **Event**: Morgan Stanley Technology, Media & Telecom Conference - **Date**: March 5, 2024 Key Industry Insights - **Industry Dynamics**: The wireless industry is experiencing a moderation in postpaid phone net additions after heightened growth in previous years, but T-Mobile expects to maintain a strong position due to its unique value proposition and network capabilities [16][17] - **Market Opportunities**: T-Mobile is focusing on underpenetrated markets, including rural areas and enterprise segments, to drive growth [7][9][10] Financial Guidance and Performance - **2024 Guidance**: T-Mobile expects 5 million to 5.5 million postpaid net additions, with a core EBITDA growth of approximately 9% and low 20% growth in free cash flow [8][15] - **Service Revenue Growth**: T-Mobile led the industry in service revenue growth in 2023, particularly in postpaid service revenue [8] Strategic Initiatives - **Network Development**: T-Mobile is committed to maintaining its lead in network quality, with significant investments in 5G technology and infrastructure [13][73] - **Customer-Driven Coverage**: The company is shifting to a customer-driven coverage model, focusing on building networks based on customer data and needs rather than just geographic coverage [24][25] Competitive Positioning - **Perception Improvement**: T-Mobile has made significant progress in closing the perception gap with competitors like Verizon and AT&T regarding network quality [12][13] - **Enterprise Market**: T-Mobile is enhancing its relationships with enterprise customers by demonstrating the capabilities of its network beyond just cost savings [32][33] Fixed Wireless Access (FWA) - **FWA Growth**: T-Mobile has nearly 5 million FWA customers and aims to grow to 7 million to 8 million, with strong customer satisfaction metrics [10][39] - **Network Capacity Management**: The company employs a disciplined approach to FWA deployment to avoid congestion and ensure quality service [41][42] Capital Expenditure and Financial Strategy - **CapEx Guidance**: T-Mobile expects capital expenditures to remain in the range of 9% to 10% of revenue, focusing on network expansion and modernization [72][73] - **Capital Allocation**: The company plans to invest in business growth, explore M&A opportunities, and return capital to shareholders through dividends and buybacks [80][81] Additional Insights - **Satellite Communication**: T-Mobile is on track for a beta rollout of satellite messaging services, which could enhance network coverage in underserved areas [76][78] - **AI and Efficiency**: The company is leveraging AI to improve customer service and operational efficiency, with ongoing initiatives in various business areas [67][70] Conclusion T-Mobile US, Inc. is strategically positioned to capitalize on growth opportunities in the wireless industry through its strong network capabilities, focus on customer needs, and disciplined financial management. The company is optimistic about its future performance, driven by its unique value proposition and ongoing investments in technology and infrastructure.

International Business Machines Corporation (NYSE:IBM) Morgan Stanley Technology, Media and Telecom Conference Call March 5, 2024 11:00 AM ET Company Participants Jim Kavanaugh - CFO Conference Call Participants Erik Woodring - Morgan Stanley Erik Woodring Welcome, everyone, to Day two of the Flagship Morgan Stanley TMT Conference. My name is Erik Woodring. I'm the lead hardware analyst here based out of New York. I'm very delighted to welcome Jim Kavanaugh, CFO of IBM, with us today. Been in IBM for almost ...

Summary of The Walt Disney Company Conference Call Company Overview - **Company**: The Walt Disney Company (NYSE: DIS) - **Date**: March 5, 2024 - **Participants**: Bob Iger (CEO), Ben Swinburne (Morgan Stanley Analyst) Key Points Company Health and Strategy - The company has significantly improved over the past 15 months since Bob Iger's return as CEO, addressing various operational issues and focusing on profitability [6][9] - The streaming business is on a path to profitability, with expectations to achieve this by the fourth fiscal quarter of 2024 [9] - The studio has faced challenges but remains a leader in the global box office, with a strong upcoming film slate [7][10] Streaming Business - A new management structure for streaming has been implemented, focusing on cost reduction and technology improvements to enhance customer acquisition and retention [15][16] - Disney+ aims to integrate Hulu into its platform, which has shown to reduce churn rates significantly when bundled [18][27] - The company has removed $7.5 billion in costs, with expectations to exceed this amount, positively impacting the bottom line [15] ESPN and Sports Strategy - ESPN is transitioning to a digital platform, with plans to launch an app-based service available on an à la carte basis [28][32] - The company is focusing on attracting younger audiences who have moved away from traditional cable bundles [31] - ESPN's programming remains strong, with growing ratings for both live sports and related content [30] Studio Performance - The studio is focusing on quality over quantity, with management changes and a commitment to improving the film slate [40][42] - Disney has reduced the output of Marvel films to enhance quality and avoid audience fatigue [43] - Upcoming films include major titles like "Deadpool," "Moana," and "Mufasa," with a strong pipeline through 2026 [45] Parks and Resorts - The company is investing $60 billion over the next 10 years in Parks and Resorts, with 70% allocated to expanding capacity [49] - The Parks segment is experiencing low to mid-teens growth in operating income, indicating strong performance [12][53] - New attractions based on popular IPs like "Avatar" and "Frozen" are being developed to enhance visitor experiences [51][52] Investment in Gaming - Disney's $1.5 billion investment in Epic Games aims to create a Disney universe for engaging with IP through gaming [54][56] - The strategy reflects a long-term vision to leverage Disney's IP in the gaming sector, appealing to younger demographics [55] Joint Ventures and Market Position - Disney is forming a joint venture in India with Reliance to strengthen its market presence while mitigating risks [60] - The company is navigating a contested proxy season with activist investors, emphasizing the complexity of managing its diverse business segments [61][62] Future Outlook - Bob Iger expresses optimism about Disney's future, citing a strong executive team and a robust balance sheet to support growth initiatives [67][68] - The company aims to embrace disruption and continue innovating in the entertainment space [69] Additional Insights - The importance of creativity and accountability in the production process has been highlighted as crucial for future success [7][41] - The integration of technology and content strategy is seen as vital for enhancing profitability in the streaming sector [15][19]