RE:RE:"Data Center" Design InsBad Math!
My hypothetical revenue stream derived from 100% conversion of 36 Data Center Design In’s was intended as follows:
If 18 of the 36 Data Centers were Hyperscale that would represent :
100,000 servers x 2 S7 interconnect cable chip sets = 200,000 per build out
200,000 x 18 = 3.6 million chip sets
If the other 18 Data Centers averaged 25,000 servers per building = 450,000 chip sets
3.6 million + 450,000 = 4.050,000 total chip sets upon completion of all Data Center construction
( once the plans are completed I remember reading the big DC’s can be built in a few months)
4.5 million x $10 per set translates $45 million in revenue
I noticed their gross profit in Q3 dropped to 50%, from 55% in Q2 due to weighted sales in older lower margin VR sales
I like the 60% GP they have talked about and hope it holds up on these DC Chips.
If So, then the GP on $45 million in potential revenue would be about $27 million in Gross Profit.
I never like over estimating, so let’s say they win 18 of the Design In’s and cut the $45 million by 50%, still leaves a revenue picture that could potentially crush the numbers to be posted for fiscal 2018...
All of the above is only my humble opinion and theory and doesn’t involve any facts...
“Data Center Design Ins”... hmmm