Ananda Baruah: Yeah. That’s a lot of really good context, Kishore. Yeah, no that’s awesome. I appreciate that. I’ll do follow-ups on the call back in that regard. Let me just ask real quick. How was linearity through the quarter, the December quarter? And I guess you’re a month in here, you gave guidance. And is there a meaningful shift in linear? I mean, I guess, it really is the guidance, a product of what you saw entering this quarter or was there some evidence of softening through the end of the December quarter? And that’s it for me. Thanks.
Steven Litchfield: Yeah. Ananda, so I don’t think we were surprised by the quarter. We knew that it would be somewhat backend loaded. We had a fair amount of backlog going into the quarter. And there’s certainly some uncertainty around that. I don’t think that it deteriorated throughout the quarter by any means. It felt kind of as expected. Clearly, Q1 was down probably a little more than where we thought it would be, but I also think it’s kind of prudent given the kind of the outlook in the industry, and we get through this inventory downturn. So, yes, I mean, linearity in the quarter was tough. I think the things that we look to, I mean, what are those new demand drivers? What are the bookings looking like. We’re seeing some decent improvements there. People are getting through the inventory. And so those are the encouraging signs that we see and even speaking to the first ever month of the year, as we start to see those signs improve.
Ananda Baruah: Awesome. That’s super helpful, Steve. Thanks.
Steven Litchfield: Sure, sure, no problem.
Operator: Thank you. Our next question is from Tore Svanberg with Stifel. Please proceed with your question.
Tore Svanberg: Yeah, thanks. I just had a few sort of housekeeping ones. So maybe on that last topic in the DSO, obviously, very backend loaded quarter. But is that also function just of the really short lead times? And is there a chance that maybe customers even now given the short lead times that this quarter can have a very similar profile, meaning they will order a lot at the end of the quarter?
Steven Litchfield: I definitely think that’s the case. I mean this even speaks at Kishore comment about how the industry overreacts. We’ve seen customers come in with expedites. And so what happens during these times is, in some cases, they’ve got a lot of inventory out there, but yet, they don’t have the right inventory. And that’s what I think what we’ve seen in a lot of cases, over a lot of industries, a lot of customers and rather than order it ahead of time and proper lead times. They’re waiting to the end, hoping that they get product at the last minute. So I wouldn’t be surprised that we continue to see that in the current quarter.
Tore Svanberg: Very good. And, Steve, on the OpEx initiatives that you’ve done, it doesn’t sound like there would be a big impact in Q1. So should we assume that this will have more of an impact in Q2 and beyond?
Steven Litchfield: So yes, so we — as I talked about in the previous call, we did take some actions on the OpEx front. They were fairly meaningful offsetting kind of existing spend. We also had a number of NRE dollars that we had that were contra R&D expenses, and they will be declining next year. So the actual cut, it was fairly sizable. But I think that’s what you would typically see from MaxLinear during these downturns. We’re definitely dialing back to spend. I do expect OpEx to come down throughout the year. Keep in mind, Q1 also has payroll taxes, bonuses, things like that, that gets rolled into the first quarter of the year. So it’s always a little bit higher. We also have more restructuring cost that will — are not expected to come out until the end of Q1 or the mid part of Q1. And so, yeah, I certainly see further benefits from actions already taken.
Tore Svanberg: Great. And just so I know the sort of the newer product ramps. So if I sort of called this correctly, I think you said the PAM4 DSP business being — could potentially be between mid-teens and $30 million this year. Did I hear that right?
Steven Litchfield: I think that’s — we don’t have an official guide that is exactly what Kishore said. I think that’s in the ballpark of our expectations.
Tore Svanberg: Got it. And Panther III, I think you expect that business to double. Would Panther III be sort of similar numbers like optical DSP or smaller?
Steven Litchfield: In the range.
Tore Svanberg: Got it. Perfect. Thank you guys.
Kishore Seendripu: Thanks, Tore.
Operator: Thank you. Our next question is from Richard Shannon with Craig-Hallum. Please proceed with your question.
Richard Shannon: Hi, guys. Thanks for getting me in here. I guess I’ll ask a question on the fiber business, you talked about it being I think $50 million last year, doubling within a couple of years here. And talked about a second kind of Tier 1 operator in the US ramping up here. To what degree are the two major North American operators you talked about kind of driving that business to doubling in a couple of years? Is it concentrated or not? And it’s just — so it’s mostly in North American kind of customer base? Do you expect to expand geographically within that as well?
Steven Litchfield: So we’ve talked a lot about the North America folks. I mean, they are definitely newer adopters, they are also working on Wi-Fi 7. So even future platforms we’re already working on. We do have certainly plenty of opportunities in Europe as well as those guys kind of transition out of DSL into fiber. So we have a number of opportunities there. The other those one or two customers aren’t the only ones. We also have some Tier 2 guys in North America that are driving revenues and have been driving revenues and I would expect that to continue this year and into 2025.
