00:00China is the big overhang, and why some think that perhaps the numbers were a little light,
00:05largely because we didn't know whether to factor in Chinese revenue or not, Ian.
00:09Yeah, I mean, they said that in the release, and there was nothing China-related in there in terms of the data center stuff.
00:17Then on the call, they gave us a slightly extended picture.
00:21It said, look, if everything goes okay, if everything gets sorted out, we might have up to $5 billion worth of Chinese revenue.
00:28And if you add that back into their forecast, then this is an amazing quarter for them.
00:32So there's a lot of moving parts.
00:35There is, and it feels as though it's a knee-jerk to send the shares lower.
00:39Many would feel the analyst community out there saying, look, strip this out, and this was actually quite a rich beat.
00:44But Ian, you got even more detail from the CFO in particular.
00:49Colette Kress, walk us through what you said about that 15% stake taking that the government wants on future H20 sales.
00:56Yeah, I mean, I think it's important to frame this appropriately.
01:00This isn't some kind of political stand or dispute with the Trump administration.
01:07What she was doing was what investors would like her to do, which is to, you know, her fiduciary duty,
01:13which is saying, look, there is no mechanism by which I can give 15% of this China-related revenue to the government as statutes currently exist.
01:22Something will have to happen before I can do that.
01:25So she was really just making a point and reassuring investors that, look, we are running this company properly according to the rules that exist.
01:34So give us the detail on whether they do or do not have licenses to certain Chinese customers yet in the bag,
01:41and whether or not that $2 billion to $5 billion worth for the quarter coming could become a reality, Ian.
01:48Yeah, again, I mean, they were very clear to say, look, we've got a few licenses right now,
01:53but there are so many geopolitical variables in the mix here.
01:57What does Beijing want?
01:58What does Washington really want?
01:59Will there be more licenses?
02:01Will they be given quickly?
02:02And all of these, to be fair to NVIDIA, are not knowable right now,
02:06because, as we know, things change on a daily basis with a social media post, the whole world changes.
02:11So I think, you know, when people calm down and look at what was said,
02:15they'll perhaps realize that this is something which, you know,
02:18this is a company taking a conservative, perhaps measured approach to it.
02:23And Colette told us, and that was a message that was given to investors,
02:26look, we think we'll get some of this.
02:27We're, you know, we're not saying this has all gone away,
02:30but we just don't know when and how much, so we're going to be careful.
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