Adam Norwitt: Yes, well, thank you very much, Samik. I mean, look, I think we just talked about the auto market and we’ve been consistently outperforming the overall auto, whatever you want to call it, unit volumes or whatever markets that you want to talk about. I guess when we talk about orders from year-over-year perspective, more broadly in the company, yes, we were this quarter on a year-over-year basis higher in our orders than last year, and that was the first time in four quarters. And I think that that should translate eventually to year-over-year growth. I think we’ve guided for next quarter in a certain way, and we’re going to keep fighting for that and we’ll guide for the first quarter at the same time when we come to that 90 days from now, and you can imagine that our team is very focused on returning to growth, and we don’t love having it be down this quarter.
We don’t like having it be down next quarter, and we don’t like having it be down last quarter either, and there’s a whole Amphenol team around us that’s fighting for that. When you look across our end markets, one of the beauties of the diversification of the company is that we have end markets which are growing substantially already, and we have others though which are down because of the various reasons that we’ve talked about. And so, when you think about, for example, IT datacom which was down quite significantly last quarter, I think it was something like 20%, 24% or so, and then this quarter down 12%, I think at our current guidance, that would be pretty close to prior year, plus or minus. And so that’s a sign, I think, of that returning to the growth trajectory that we would for sure look forward to seeing across the company.
Operator: Thank you. The next question is from Mark Delaney with Goldman Sachs. You may go ahead.
Mark Delaney: Yes. Good afternoon and thank you very much for taking my question. I have one on mobile networks. Do you think 6G is needed for that business to reaccelerate, or can other opportunities like Open RAN, Industrial 5G, and Wireless 5 Band to be enough for the catalyst, and perhaps some combination of those along with the inventory reductions?
Craig Lampo: Hey, Mark, Good to hear your voice. Look, I think 6G will come one day, but we still haven’t even invested totally in 5G. So, when I think about how the mobile networks market tends to go. And I’ve been around long enough working in the wireless market, long enough that I’ve seen 1G, 2G, 3G, 4G, and now 5G, and I have a decent sense of how that works. Generally what happen is there’s an initial investment of that new generation. And then the operators digest and figure out the economics of it, because these are significant investments that they make. And if they can’t figure out how to monetize that incremental investment, that’s a challenge. I think the 5G, there’s a lot of work going on to figure out how to monetize that.
But I think there’s a separate question. And that is, yes, this is a tough period for the wireless market. You’ve seen all the releases over the last several days, and the capital spending of the big operators here in the U.S, which is all down in the kind of 20% to 30% range, the equipment manufacturers in some cases down even more in this region at least, and certainly our business down on an organic basis as it was by 43%,. And I think we’re in that digestion period of that new technology, but there’s still a very modest proportion of the build out that has become truly 5G. And I don’t know what the number is, is it 15%, is it 20%, but it’s certainly not 50%, it’s certainly not 60%, 70%, 80%. I mean, we’re still, I believe, in the early innings of the 5G, and I think people are just taking kind of a third inning stretch on this right now to figure out how to make more money from the system.
But if you think about what’s going on in data more broadly, think about AI, think about video, think about all the extraordinarily bandwidth, hungry applications that continue to proliferate, accelerate, and be used everywhere you go. I mean, it’s actually unbelievable when you see how data is being consumed and where it’s being consumed. I watch my kids, who used to — my son is a gamer, and he used to only game on his computer at home. Well, now he can be moving around, and he can be in the car, and he can be gaming and playing with all these strange creatures that they play with, I mean, really strange names, things like Jörmungandr [ph] and things like this, and weird things like that. And like, all these crazy, crazy things that you can do that are not connected to a cable, not connected to a desktop.
And so when you think about the mobile internet and mobility of data long-term, I see no doubt that there’s going to be continued acceleration and drive for next generation ways for people to do this. And when we look at our company’s position here, we have a very unique position. We’re one of the only companies who operate directly with the operators, as well as directly with the OEMs. And that puts us in a very unique position as they go about driving their systems to next generation capabilities. And I think the acquisition that we made of RFS earlier this year, other acquisitions that we’ve made put us in a really strong position. And yes, it’s a tough quarter or two, and a pause of a year, but no doubt in my mind that long-term, the mobile networks market is going to be great.
Operator: Thank you. The next question is from Will Stein with Truist Securities. You may go ahead.
Will Stein: Great. Thanks for taking my questions, and congrats on the strong results and good outlook. Adam, I’m wondering if you can comment on the test and measurement part of PCTEL. You had this situation with a prior acquisition where there was a test and measurement equipment business bundled into it, which at the time you said did not fit in the portfolio. I wonder if it fits in this case?
Adam Norwitt: Yes, well, thanks very much, and look, we’re really excited about the PCTEL acquisition, and PCTEL, we’ve known them for many, many years as a really broad and very successful antenna company, probably a little too small to be a public company, and that’s certainly one thing I would say. And yes, they have a small test and measurement business, but we’re really excited about this company, and we look forward to working to bring it to its closure, and I probably wouldn’t say more about it given that we’ve just signed the deal.
Operator: Thank you. The next question is from Steven Fox with Fox Advisors. You may go ahead.
Steven Fox: Hi, good afternoon. I was wondering if I could get a little bit more color on the smaller M&A deals that you did during the course of the series on RF, it seems Adam, you already have such a great position in RF. I can’t imagine what else you need to acquire. And then secondly, on busbars, which it seems like busbars, it’s a sleepy technology that’s getting more attention lately. Can you talk about why you did those deals? Thanks.
