And it’s actually grown really well. The team has executed well. It’s been a great growth driver for us. And we’ve been able to — and in fact, if you look, it’s probably grown faster than the overall Marvell portfolio. But at the same time, call it, from 2020 to now, we’ve actually been able to increase and drive Marvell’s gross margins up over that timeframe. So, we’ve had a balanced portfolio, different product lines and diversified product lines that have a wide range of gross margins that blend to something that’s been very, very healthy and in general, been very predictable. What was — the change was really the steepness and the breadth of the inventory correction we’re dealing with. And so you have these growth drivers that are still kicking in on ASIC.
And then also carrier, as you point out, has always been a lower gross margin business for us. We’ve been very transparent about that. Those are actually continuing to grow through this cycle quite significantly. And then again, our highest margin product lines for various reasons, whether it’s channel inventory correction or just customers doing their own inventory burn, those have come down a lot. So, that’s why we think and we look at the numbers, over the next few quarters, that should start to normalize again. So, I hope that’s helpful to provide both the detail and then the bigger picture, Joe.
Joe Moore: Thank you.
Matt Murphy: Yes.
Operator: And our next question will come from Matt Ramsay with Cowen. Please go ahead.
Matt Ramsay: Thank you very guys. Good afternoon. Matt, you guys talked about maybe the change in timing and the push out a bit of the cloud-optimized $400 million for this year. But when you look into next year, that $800 million that you guys have talked about for a while is obviously not just one customer or one program, right? And all of these hyperscale folks are going through different architecture changes, periods of digestion and you can — there’s a number of words probably to characterize it. So, I guess what I’m trying to get at is if things are delayed a couple of quarters and the early ramp of early programs, how are you thinking about that $800 million next year? Are there some programs that are pushed a bit, some that are still on time?
And maybe you could just — maybe walk through some of that dynamic? And then just a real quick clarification on a question that Joe asked. As we ramp these cloud optimized solutions, are those going to be accretive to gross margin specifically? Maybe you could address that a bit. Thank you.
Matt Murphy: Sure. So, for next year, I’d say my high-level answer is it’s too early to call. And you kind of nailed it. I mean some of the programs are tracking as we thought, some even might be a little bit ahead. Some have pushed out more than we thought. So, the net effect for this year, we’re just trying to call it as we see it today on the shift. Now, for next year, I don’t know that it just keeps sliding. I think some of these are going to ramp at their own pace. And quite frankly, it’s too early to call it and to understand what’s going to happen four or five quarters from now, given how much is changing in the near term. I guess I’m reticent to try to provide any more precision there. I mean, I think if you want to be conservative, you could just sort of keep shifting it out a little bit, but I think there’s still a call option for growth for Marvell next year in this area, but we have to see how these programs play out.
