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Sandisk CEO Sanjay Mehrotra on the rising demand for flash memory from smartphone and ultrabook devices.
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Shares of SanDisk soaring today they're actually off their highs up about 11% right now had been as high as 15%.
This after reporting better than expected earnings after the market closed yesterday.
All right is this good news or just not as bad as bad news people expected joining us now -- -- Fox Business exclusive from silicon valley California.
The CEO and president of SanDisk Sante are -- threat Sanjay great to have you here and I and we were looking at this and saying look.
You beat on both the top and bottom line -- profits were down about 79%.
Year over year so the question then becomes.
Why beyond it's not as bad as we thought should we be looking at this is a win for you guys.
You know in our markets are growing that could leave and SanDisk.
Head of -- industry environment.
That's an excess supply in the industry in the first have as little as.
RC is sincerity -- OEM customers book -- -- and these invective known as those.
However our new products.
That we have developed a doing -- -- formal bull -- -- business and expanding portfolio products.
Is going to position us horse lot of growth in the second half of the -- In the markets for Smartphones tablets.
Under Clinton -- says these are going -- the new launches of products these alleged to be polite.
Put an improved industry environment.
For our business all right.
In my hand -- holding one of -- products I pulled it out of my camera -- -- digital camera and which has lasted me for ever -- one of people to know yes this is what you guys do these Flash Memory chips that can be used for storage.
They can be a race they could be reprogrammed.
How is the tablet market everybody looks at that says that's where the opportunity yes.
Absolutely -- market is one of those -- -- is that that's knowing that could lead and you know that needs Flash Memory.
These tablets of the lord be this thin they wouldn't -- this -- if they didn't have Flash Memory and then -- -- -- -- -- is multiplicity.
Smartphones is they turned it -- -- market and Smartphones are growing globally.
So one of these devices and really in the evening -- and this.
-- time right and flash is behind them.
And it comes at the probably eventually believe them for you guys the problem becomes when it starts to look like a commodity and that's the issue the prices have dropped there's been some oversupply of these -- The -- you make the NAND Flash Memory chips.
So then the question is are prices stabilizing and I guess more importantly when do you see the move hired what would be the catalyst for that.
-- -- -- employment is improving.
Because the supply growth in less.
Mainly is more -- some -- look ahead that second half as early as 2013.
We see a more editing.
Supply environment in a bad job of strong demand drivers such as continuing growth.
In Smartphones tablets and these are threatening to place is that -- you -- Untroubled -- -- is.
That they actually needs flash Newman you add to.
Deployed distillate -- so this is really an exciting captivity for us -- As as that demand goes what you just talked about goes higher will prices follow -- you then push your prices higher.
So -- us the key is that convict and Flash Memory industry has ruined because you continue to advance technology that keeps bringing cost of production Miller.
And that sort.
The cost of production Miller -- the passing a -- to the consumers did lower prices that's what has grown and the markets for -- may -- -- last seven years so that's the key ended ahead at the investor demand supply environment.
And that's solid execution -- technology front.
-- enables us to continue to drive the growth.
Moving forward use said that the second half -- sort of look at the let me let me just then askew in 2011.
Your annual revenues were I I saw about five point six billion.
Will -- best that will you do better than that went all -- set down for 2012.
Because we had weakness in the first half.
And to -- are driving -- abilities in the second half.
All of those for the year as we have forecasted earlier -- -- venues -- -- -- to NT eleven but the important thing is.
That all of industry -- declaring that they're turning to head of the environment and via an expanding our lead sort of portfolio -- -- as we launched those -- into the markets.
And the -- business is going to its human growth going forward and yet excited aboard the fortunate people and we've run out of time but yes -- now argue hiring.
The -- -- -- hiding the other heightening.
-- kid in the US as a lesbian hiding in other regions.
Because our business and our markets are -- and on an investment in technology into ordinance is be -- you know it heavy and yet absolute behind and -- you have acquired a couple of companies.
Do doing they see it as well.
There's been fuel for the growth audit but our business deal.
Think it is good to think you've been at any time -- a great UC Berkeley graduate we love gets on camera --
