It’s a massive power — lower — massively lower power consumption. I think they do like silicon diversity for sure. And then as you look at the AI infrastructure that’s currently primarily being supported via InfiniBand, they just want to move to more of a standard broad-based technology like Ethernet that they can actually have multiple sources. And so we think that’s what’s driving that now. And now it’s just about performing and executing and delivering on what we tell them we’re going to do. Scott, do you want to take the second?
Scott Herren: Yes. Michael, I think I touched on this earlier in the — as the question came up. I think the way to think about it is, first of all, if you’re trying to generalize the trend more broadly across the industry, it may be a little difficult because we’ve cleared our backlog, I think, significantly faster than others have. But where we saw a differentiation was less between big data center infrastructure and campus networking and more between networking and wireless. We did see — because we’ve shipped an enormous amount of wireless access points out. We did see that take a little bit more of an impact just because it’s — our customers are sitting on more inventory on hand of that, that they’re looking to get installed.
Michael Ng: Great. Thank you, Chuck. Thank you, Scott.
Chuck Robbins: Thank you.
Sami Badri: All right. Thank you, Michael, and all right. So we’ll go ahead and turn it over to you, Chuck, for some closing remarks.
Chuck Robbins: Yes. Thank you, Sami, and welcome again. Listen, we’re proud of the team for the performance in Q1. Obviously, a very solid quarter with the exception of this demand issue that we talked about. We’ll always try to be transparent with you and share with you exactly what we’re seeing. We know what’s going on. We’re on top of it, and we do feel that it’s temporary. At the same time, we’re very confident in our opportunities long term. We’re confident in the AI opportunity. We’re very encouraged by our improving position in security, observability. And we’re also very encouraged by the opportunities that will come with the Splunk acquisition. I think many of you know that on Monday night, the waiting period for review under the Hart-Scott-Rodino Act in the U.S. expired, meaning that we’ve effectively pass the antitrust review period in the United States.
We’re excited about that. At our Partner Summit last night — or last week, the feedback on our portfolio right now was probably as good as it’s been in a long time. And I also just want to reiterate our commitment to delivering value to you and our shareholders with the operating leverage, capital allocation and obviously managing our expenses in times when we see challenges like we have right now. So thank you for joining us today, and I’ll turn it back over to Sami.
Sami Badri: Cisco’s next quarterly call, which will reflect our fiscal year 2024 second quarter results, will be on Wednesday, February 14, 2024 and at 1:30 p.m. Pacific Time, 4:30 p.m. Eastern Time. This concludes today’s call. If you have any further questions, please feel free to contact the Cisco Investor Relations department, and we thank you very much for joining the call today.
Operator: And thank you for participating on today’s conference call. If you would like to listen to the call in its entirety, you may call 1 (800) 834-5839. For participants dialing from outside the U.S., please dial (203) 369-3351. This concludes today’s call. You may disconnect at this time.
