00:00Starting with digital industry, so this is the part that does factory automation.
00:04You're reporting an increase in profits there of 44%.
00:06Where does the strength in that business come from?
00:10Geographically or which kind of industries?
00:16No, these are two pieces.
00:18One is our automation business and our software business, and both are really firing.
00:22So our automation business had an order intake increase of 11%, grew by 7%.
00:28So we see a good momentum there that comes with a good conversion.
00:32And our software business is very strong.
00:34It grew by 11%.
00:37If you take our total Siemens digital business, digital business, software and services, it grew by 15%.
00:44So we have a growth momentum, which obviously translates also into good profitability.
00:49And what about the competitive landscape?
00:51I'm thinking in particular about factory automation.
00:54There are Chinese competitors who are in that space.
00:57And I wonder how competitive the landscape is right now.
01:04So we are very competitive also in China.
01:08You know, we developed and launched new Chinese products.
01:12The first 16 landed in the market.
01:14Another batch of 26 we launched early this year.
01:18They grow in the mid-20s percentage point.
01:21So we are winning customers, we're winning new customers, we're winning customers back.
01:26So automation business is doing in China very well.
01:28But then the rest of the portfolio globally as well.
01:33We see a pickup also in the machine business, also in China, which helps us.
01:39Also on the high-end side, where we see our core portfolio of automation landing very well.
01:44So therefore, in total, we did our homework in developing really super competitive new products in all markets, by the
01:52way.
01:52In China, of course, in particular.
01:55Okay.
01:55So standing up to the competition in China then, Roland.
01:58Let me ask you about the data center build out and the ways that the Siemens product lineup is able
02:06to supply that.
02:07How sustainable is the demand that you're seeing in connection with the data center rollout?
02:15So let's briefly talk about the impact of data center business.
02:19So again, this is a massive investment which goes there.
02:21I come to your question in a second.
02:23That helped us also growing our smart infrastructure business.
02:27For example, electrification business grew by 20 percent, electrical products by 18.
02:32But we had also a growth from our automation business as well, which was pulled also in this one.
02:39So now you understand that we have, of course, the electrification piece, low voltage, medium voltage, where we have a
02:45huge demand, which we can serve.
02:48But then AI factories, they go more and more into industrial PLCs, where we have a strong offering.
02:55We are also adopting our functionality.
02:57We can use it.
02:58And then after all, if you want to build new data centers, you want to build them fast and super
03:03efficient.
03:04So we offer a digital twin of a whole AI factory or data center, which you can optimize in the
03:11digital world and then build it, which is definitely a benefit for our customers.
03:15So it's a very strong offering here.
03:16And then it goes into other technologies like 800 volts DC, so direct current.
03:25We launch new products, DC products, switching products, which we have in the market.
03:30They get a pull.
03:31And then when it comes to liquid cooling, the whole situation changes again.
03:35And we have an offering there also for things like solid state transformers.
03:39We're working on that.
03:40There are new technologies.
03:41There are new technologies.
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