The Importance of Expectations in the Second Quarter

The chip industry has gone through these wild swings where we had huge shortages. And as demand fell, particularly for PCs, we ended up with a glut of chips that resulted in really bad numbers. The expectation is that semiconductors, which were in, went from tight supply to oversupply, are approaching a normal normalized inventory level. That should help both the chips, stocks themselves and then it also kind of adds some stability to the cost structure of the company to buy the chips.