Secondly, I think just that AI and GenAI has the potential to open up a lot more — a variety of ways in which you interact with the device. So to the extent that people are interacting with the device more via audio and speech interfaces, which are obviously enabled by AI, I think that’s very good for us, and we can see things that we could potentially do there in the audio domain that could be very beneficial. And then finally, I think on the power front, that’s the third area where I think we stand to benefit because AI is clearly very power hungry. The result is everybody wants to do more with less, and that’s squarely what our power conversion products are aimed at and our overall approach to power efficiency and everything that we do.
Ananda Baruah : That’s great context. I appreciate it. That’s super helpful. And I guess, a quick follow-up is just really a clarification. When you were speaking earlier about PC SAM, you said something around like sort of putting a ceiling on to SAM. Did you say you would or wouldn’t put a ceiling on that SAM as you guys think about it?
John Forsyth : I think it’s premature to put a ceiling on it right now. As I indicated, there are — we’ve got a very good array of products. So we’ve got these kind of new-to-Cirrus laptop-specific products across audio and power. We’ve got an amazing portfolio of haptics products. And one of the things that we don’t yet have a feeling for, and I think this is because the market is going to discover it, is what the right attach rates for those various products are. So in some cases, it will be two boosted amplifiers. In some cases, maybe none, but driven by a codec. And in some cases, it might be six boosted amplifiers. Similarly, we saw multiple haptics drivers to drive very large track bad areas and so on. So I think we’re still in the discovery phase there, and the opportunities are very exciting.
Operator: This will be our final question from the line of Tore Svanberg with Stifel.
Tore Svanberg : Yes. I just had a few housekeeping ones for you, Venk. So this is your strongest cash balance ever, rates are high. So — how should we think about the other income line going forward? And now that you have all this cash, should we assume continuous buybacks? Or are you also looking at some potential M&A?
Venk Nathamuni : Yeah, Tore, thanks for these questions. And yes, as you pointed out, our cash balance is really strong at $587 million. I think the way to think about the interest that we generated, obviously, we’ve benefited especially in the last three or four quarters with the higher interest rates. And the way we have structured our portfolio, we do expect that to continue for some time to come. And clearly, from an M&A perspective, it certainly gives us the optionality. Just for everybody’s benefit, I do want to highlight the fact that in terms of our strategy, the first use of cash is obviously to continue to grow the business. And we have lots of irons in the fire in terms of the projects that we’re working on, the technologies that we’re working on as such.
And we want to continue to invest in R&D going forward, as we have in the past. And then obviously, we’ve been doing buybacks, and we’ll be regular buyers. The quantum of those buybacks will depend on market conditions and such. And then M&A is also an option. And in this environment, we do feel that the M&A environment is getting somewhat better than it was the last couple of years. Obviously, too early to call what happens with regulation and such, but we feel there’s enough in the pipeline for us to be able to consider M&A. And at the right time, we’ll share that with you in more detail.
Operator: With that, we will end the Q&A session. I will now turn the call back to John for his final remarks.
John Forsyth : Thank you, operator. In summary, Cirrus Logic delivered record revenue and earnings per share for the third quarter and continued to execute on important initiatives across each of the three key areas of our strategy. We’re excited about the opportunities in front of us, and we thank you for your continued interest in our progress. In addition, I’d also like to extend my appreciation to the entire Cirrus Logic team and to our supply chain partners and customers around the world. It’s thanks to their commitment, support and partnership that we’ve been able to deliver these results. Before we close, I’d also like to note that we will be participating in the Susquehanna Virtual Technology Conference on February 29, the Morgan Stanley Technology, Media and Telecom Conference on March 7 in San Francisco, and the Loop Capital Conference in New York City on March 12.
Please check our Investor website for all the details. Thank you, everyone, for joining our call today.
Operator: And that does conclude today’s call. Thank you all for joining. You may now disconnect.
