Question-and-Answer Session
Operator
Thank you. (Operator's Instructions) Your first question comes from the line of CJ Muse with Barclays Capital. Please proceed.
CJ Muse - Barclays Capital
Good afternoon and good morning. I guess the first question is in terms of your revenue guidance for December, can you comment on what kind of mix you expect? Will it be similar in terms of immersion units and IBP or would there be some sort of shift?
Edward J. Brown, Jr.
Yes, I think it will follow the same basic pattern that you have seen with the past two quarters as far as its ratio, new light sources and IBP, and of course also anticipate the continued very strong dominance of our shipment by immersion sources.
CJ Muse - Barclays Capital
Okay. I guess the natural question is considering you have booked about 99 million in immersion tools in the September quarter that appears to me it will be about 45 plus tools. When shall we start to see the big bump up in immersion units start to hit your shipment level?
Edward J. Brown, Jr.
Well first on that booking includes more than just new unit shipment orders so I do not think it is quite the size that you are talking about there and going forward we anticipate this transition or this increase in business driven principally by technology transitions, 5x and 4x nodes by a relatively small number of chipmaker customers and of course some chipmaker customers decision as to make strategic investment for competitive reasons in their manufacturing capabilities. It is premature at this pretty good point for us to call this broad-based upturn. We are looking forward to their results of the holiday season at the end of this year and I think once we get that behind us we will be able say more about what is going to happen in 2010.
I also think it is important to remember that strong growth in 2010 requires a return of demand for Flash. We have seen some promising uptake and demand in pricing for D-RAM, DDR, but still it is Flash returns, which is not anticipated to happen until sometime in 2010 then we are not going to see a more balanced and sustainable growth for the industry.
CJ Muse – Barclays Capital
That is helpful, one last question if I may, in terms in margins, you came in getting bust for September, when you look at Q4 and beyond, how shall we think about the interplay, I guess between product mix, start-up cost, IVP, annual price downs and contracts there in terms of revenue target with gross margins associated with that and however best you could present it would be very helpful to truly gauge the earnings power here as we see incremental growth to revenues.
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