Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from Harsh Kumar – Morgan Keegan.
Harsh Kumar – Morgan Keegan
I listened to a competitor's call. They mentioned the China Bay station business had paused for them a little bit and expected it to come back. I'm hearing maybe something similar on your call. If I'm not mistaken you said comm was a little off and then you're expecting?what do you think is going on in that business? Any clarity would be very helpful.
Mohan Maheswaran
I think there's two elements to the China comm market. One is the existing infrastructure and what we saw back in Q1 was the stimulus driving more demand for existing infrastructure. But also what's going on not only in China, I would say in other parts of the world is deployment of more Greenfield infrastructure, 3G, 4G, WiMax infrastructure that doesn't exist, and I think that demand continues to be quite strong.
It is up and down quarter to quarter, but I think in general the trend is upwards and we saw as I mentioned, record bookings in our advanced comm infrastructure was really driven by the new infrastructure versus the mature infrastructure.
Harsh Kumar – Morgan Keegan
As you look out, and I hate to put you in a spot, but let's just say you look out further than your current Q3 quarter, are you taking orders or do you have any kind of visibility into the end of the year at this point in time?
Mohan Maheswaran
We have demand forecasts that looks out. Obviously we don't guide for Q4 and seasonally Q4 is usually down. I would say this year is probably a little bit unusual in that industrial has been incredibly weak so far. So we may see a little bit of difference there.
Comm continues to be strong, and I think consumer and computing are really the questions as to what happens in the end of Q3 and as we go into Q4 and how strong Christmas is. So I think it's a little bit of a question mark there, but at this point, we're fairly bullish on the situation.
Harsh Kumar – Morgan Keegan
Any change to your long term model? You're kind of making pretty good progress towards your 55% to 65% gross margin goal and all the stuff that follows with that operating margins etc. At this point do you still feel pretty comfortable with what you said before? Could you reiterate that maybe?
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