Question-and-Answer Session
Operator
(Operator Instructions) Our first question comes from the line of Doug Freedman with Broadpoint Amtech.
Doug Freedman - Broadpoint Amtech
I guess I would start with we have seen several quarters now where you have significantly exceeded your guidance. Can you talk a little bit about the business processes that you have in place to forecast your business and whether you are finding yourself sort of short of product going forward as a result of not really getting accurate forecasts from your customers in your channel?
David White
Doug, our process starts really at the very base line of our field sales force and we gather forecasts from the field, both the OEMs and to the extent we can, through the channels. We also at the same time try and correlate that with what market forecasters expect to be growth rates in the various end markets we participate in. And from that, we set revenue plans and from that, we set wafer start plans ultimately.
I think the challenge for probably everyone in the industry right now is that demand has been more robust than what anyone has been able to particularly foresee and given that you’ve got a 12 to 13 week lead time from the date you decide you want more volume to the date that you can ship that volume, we are being surprised by robust demand within that lead time and so it’s a good thing in some respects. I think the down side for us has been that as a result, we are -- we have been supply constrained. But we do look at a number of different inputs as it relates in terms of compiling our forecasts and trying to challenge our crystal ball, so to speak.
Doug Freedman - Broadpoint Amtech
All right. If we could move in and focus in on one segment of the business, the chipsets, it appears during the quarter you guys have made a little bit of a change in tone towards the outlook for your chipset business. Can you talk about that and can you talk a little bit about what is going on over with the AMD chipset, the downturn there you attribute to their supply constraints? Is there any thought that you might be also possibly experiencing some share loss in that piece of business?
Jen-Hsun Huang
Our primary AMD chipset today is a chipset called the MCP61. The MCP61 is the only single chip solution in the marketplace today and it enables the lowest cost solution for an AMD platform. There is really at this point nothing that I know how to do and nor do I believe anybody else can build a chipset that is as low cost at a system level as MCP61.
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