https://staging.qna.cloud/mrsfty/Multinational technology companyen-USTelligent Community 13 Non-Productionhttps://staging.qna.cloud/mrsfty/f/meeting-room/14/generative-ai-changing-the-tech-stack/12Fri, 28 Nov 2025 05:06:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:347c6d31-1529-44f9-b2da-3174c4d41112Natya SadellaI think it's going to have a very foundational impact. In fact, you could say the core compute architecture itself changes -- everything from power, power density to the data center design, to what used to be the accelerator, now is the sort of the main CPU, so to speak, or the main compute unit. In the network, the memory architecture, all of it. So as the core computer architecture changes, I think every workload changes. In fact the most exciting thing for me in the last year has been to see how our data layer has evolved to be built for AI. If you think about Fabric, one of the genius of Fabric is to be able to say, let's separate out storage from the compute layer. In compute we'll have traditional SQL, we’ll have Spark. And by the way, you can have an Azure AI job on-top of the same data lake, so to speak, or the lakehouse pattern. And then the business model you can combine all of those different compute. For Office, if I look at Copilot's extensibility with GPT, that's another sort of part of what's happening to the tech stack. I do believe, being in the cloud has been very helpful to build AI. But now, AI is redefining what it means to be in the cloud and what the cloud looks like, both at the infrastructure level and the app model.https://staging.qna.cloud/mrsfty/f/meeting-room/34411/what-is-going-on-with-commercial-real-estateFri, 28 Nov 2025 04:10:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:6906c00e-b67f-4522-a418-4ca50d69846bQnATest BuysiderA recent Financial Times article warned of a brewing storm in the US commercial property market with American banks full of bad loans as property prices fall. Please elaborate on what’s going on in commercial real estate. How bad will the losses be and what sectors or geographies look particularly bad? Will you be more active in commercial real estate as a result?Sample Datahttps://staging.qna.cloud/mrsfty/f/meeting-room/34411/what-is-going-on-with-commercial-real-estate/34394Fri, 28 Nov 2025 04:10:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:2234f792-017b-499c-bd01-915d7bf9922eQnATest CorporateWell, we've never been very active in commercial real estate. It works better for taxable investors than it does for corporations taxed the way we are. So, I don’t anticipate huge effects on Berkshire, but I do think that the hollowing out of the downtowns in the United States and elsewhere in the world is going to be quite significant and quite unpleasant. I think the country will get through it all. It will often involve a different set of owners. And the buildings don’t go away, but the owners do well, but most people like to buy with non-recourse in real estate. And one time I asked Charlie, there was some real estate guy, we were talking to him, and you know, how do they decide how much they can a building like this is worth? And the answer is, it’s whatever they can borrow without signing their name. And if you look at real estate generally, you’ll understand what the phenomena that’s happening. If you remind yourself that that’s the attitude of most people that have become big in the real estate business. And it does mean then that the lenders are the ones that got the property. And of course, they don’t want the property usually. So then the real estate operator counts on negotiating with them. And the banks tend to extend and pretend. And there are all kinds of activities that rise out of commercial real estate development, which occurs on a big, big scale. But it all has consequences. And I think we’re starting to see the consequences of people who could borrow at two and a half percent and find out it doesn’t work at current rates, and they hand it back to somebody that gave them all the money they needed to build it.Sample Datahttps://staging.qna.cloud/mrsfty/f/meeting-room/85391/hurdles-and-gating-factors-for-pace-of-ai-rolloutFri, 28 Nov 2025 02:21:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:777930fe-11eb-494d-96ae-9dfb068dabacQnATest BuysiderCan you walk us through some of the hurdles and gating factors that we should be thinking through, that dictate the pace at which these new generative AI tools can really be rolled out broadly? Just so, we and advertisers can kind of get an understanding for when they could have a bigger impact on the whole business.Sample Datahttps://staging.qna.cloud/mrsfty/f/meeting-room/85391/hurdles-and-gating-factors-for-pace-of-ai-rollout/85353Fri, 28 Nov 2025 02:21:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:a5394c66-0ce6-4f52-8805-2c178ca18ad6QnATest CorporateThe AI Essentials play a huge role in this trying to get everybody ready to really take full advantage of those tools. We have already publicly talked about the progress on DMax as well that we're very happy with in Q4. So overall, I think we are on track with what we're expecting here.Sample Datahttps://staging.qna.cloud/mrsfty/f/meeting-room/7/high-margins-in-spite-of-ai-investment/5Fri, 28 Nov 2025 01:43:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:fef0174c-ce5e-4302-929f-bd173c03c562Hamy OodAbsolute margin improvement has also been very good and it speaks to the fact that we want really to make sure we're making investments, we're making them in consistency across the tech stack. The tech stack we're building, no matter what team is on, is inclusive of AI enablement. And so think about it as building consistency without needing to add a lot of resources to accomplish that. It's been a real pivot of our entire investment infrastructure to be working on this work. And I think that's important, because it means you're shifting to an AI-first position, not just in the language we use but in what people are working on day-to-day. That does obviously create a leverage opportunity. There has also been really good work put in by many teams on improving the gross margin of the products...we talked about it with Office 365, we talked about in Azure core. We even talked about it across our devices portfolio, where we've seen material improvements over the course of the year. And so, when you kind of take improvements at the gross margin level, plus this consistency of re-pivoting our workforce toward the AI-first work we're doing without adding material number of people to the workforce, you end up with that type of leverage. And we still need to be investing. And thus the important part is to invest towards the thing that's going to shape the next decade and continue to stay focused on being able to deliver your day-to-day commitments.https://staging.qna.cloud/mrsfty/f/meeting-room/152720/test-of-daily-digest---post-03-anonFri, 28 Nov 2025 00:57:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:0c2d6d4e-9e0f-4b28-a851-79a4a2f02505Jason Lehmananon anon testhttps://staging.qna.cloud/mrsfty/f/meeting-room/152719/test-of-daily-digest---post-02/152683Fri, 28 Nov 2025 00:56:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:e2eaa12d-3519-496f-92e1-c82eb06b5833Jason Lehmanreply to reply done anonhttps://staging.qna.cloud/mrsfty/f/meeting-room/152719/test-of-daily-digest---post-02/152682Fri, 28 Nov 2025 00:56:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:a3dad84f-958d-4b5e-bde1-96d91db5a00aJason Lehmanreply to my own posthttps://staging.qna.cloud/mrsfty/f/meeting-room/152719/test-of-daily-digest---post-02Fri, 28 Nov 2025 00:56:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:332b827c-4367-4bee-896d-3d844a96093cJason Lehmanbuyyyyyyysiderhttps://staging.qna.cloud/mrsfty/f/meeting-room/152718/buysider-thread-test-of-daily-digest---post-01Fri, 28 Nov 2025 00:56:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:6ec026c7-1690-4275-99bf-37e92cff00f6Jason Lehmanbuysider testhttps://staging.qna.cloud/mrsfty/f/meeting-room/152717/test-of-daily-digest---post-01/152681Fri, 28 Nov 2025 00:55:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:63505d16-59d2-4d03-b0ba-8ac71bd79d8aJason Lehmanbuysider posting / Test of Daily Digest - post 01https://staging.qna.cloud/mrsfty/f/meeting-room/152717/test-of-daily-digest---post-01Fri, 28 Nov 2025 00:54:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:801fa1bf-f2ea-442f-a9b0-66c65f19dd90Jason Lehmantest test testtest testtest testhttps://staging.qna.cloud/mrsfty/f/meeting-room/50993/brand-share-parityThu, 27 Nov 2025 23:08:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:02718122-bb4e-437e-a2b5-a587a4885898QnATest BuysiderICE and BEV have reached share parity...is that a benchmark for other Stellantis brands to achieve as well?Sample Datahttps://staging.qna.cloud/mrsfty/f/meeting-room/50993/brand-share-parity/50976Thu, 27 Nov 2025 23:08:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:bb40c688-b4cb-469f-8a6c-d2ca70473c33QnATest CorporateMargin parity is something that we believe we need to do. And we believe we need to do it fast, because it is the best protection against the Chinese offensive. The Chinese offensive is going to be, of course, very powerful. It already is. You can see it in the European market. In the US, you could compare to what happened in the 70s when the Japanese car makers came and to what happened in the 90s when the Koreans came. So we may not want to see a third time the same movie with the Chinese coming. So it's important that we put ourselves in a business model that is immune to the mix of pure BEV sales. As we expect that mix to grow, even though there could be some bumps on the road, the fact that for the last 10 months we are experiencing more than 1.5 degrees of global warming is bringing a lot of education to the people and to the public opinion about the urgency to do something about the global warming. Even if passenger vehicles and LCVs are only 12% of the emissions. We need to bring our contribution to fix that. And I believe that the BEV electrified sales ramp up is going to continue eventually with some bumps on the road. So it's important that we protect our business model vis-a-vis that sales mix increase and that we equalize, levelize the margins between the two. Right now we are working on that and we are progressing quite quickly. 2023, the pace of total production cost on the BEVs was much better than the pace of total production cost reduction on ICEs. And it is being helped by the fact that many people are talking about the slowdown on the BEV demand, which has had a huge impact on the raw material cost, which has come down, and that is helping us to reduce the total production cost on BEVs faster than the ICE. So it's important for us to do that, but it is important to do it fast.Sample Datahttps://staging.qna.cloud/mrsfty/f/meeting-room/21397/benchmarkingThu, 27 Nov 2025 22:29:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:ab42c707-6ad7-4146-a708-5fac4faa4514QnATest BuysiderI know you are very keen competitors and experts in benchmarking. Some of your US and European peers who have already reported have suggested that they will grow operating income in 2024, albeit off a lower base than yourself. I know you've described this year as turbulent, but do you think flat AOI or indeed AOI growth is feasible for yourselves this year. And maybe related to that, you do mention it as being a supportive revenue backdrop. From your Capital Markets Day in 2022, you set a revenue target for this year of EUR200 billion. Is that still something which might be achievable based off what you can see today? Thank you.Sample Datahttps://staging.qna.cloud/mrsfty/f/meeting-room/21397/benchmarking/21380Thu, 27 Nov 2025 22:29:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:860990ce-7906-4863-a7c5-c6ff8f906e9dQnATest CorporateLet me give you a first high-level answer and then I will hand over to Natalie for any more precise comments she would like to add. First of all, let's make it super simple. The average transaction price of BEVs is higher than the ICEs. That's the first thing in terms of growing the top line. So let's take that as a given. Second thing is that, as I already mentioned, we have done a lot of mistakes in 2023. I'm not going to mention all of them to you because I don't want to hurt my team. If we are doing what we are doing it's because of their talents and I want to keep things as smooth as they can be. But many things we did well, other things we did poorly and we have to fix it. So all of those things represent potential for improvement. One thing that makes me smile is that given the competitiveness of what we are creating and launching in the market, we see that each time that we put a little bit more money in the media communications, eventually a little bit less money on the hood, the response is very good, which means the products are competitive, the products are appealing, and the technology is there. So we believe that there is a better way to go to market, and this is what we are doing right now in Europe, and it's working very well. As you know, we have set up a new leadership, top leadership team in North America with great executives, leading RAM, leading Jeep, leading the region. I believe that those three executives are going to be doing a very, very good job to bring back the profitable share that we may have lost this year. So my point is we don't have to be more aggressive than ourselves. I mean, you know who you are. You know how we act. You have been looking at us for many years now, and we are sports people. We are looking for always doing better, pushing the limits. This is what we will try to do. And you have seen the results over the last years, more than three by the way, which means that we will continue to push very hard. And I will start by fixing everything we did poorly in 2023. And you see that the product offensive that we are now bringing is expected to have some impact, even if we have to recognize that there is always a window that is the ramp up window, which is there and we cannot do anything else than just protect quality in those important periods.Sample Datahttps://staging.qna.cloud/mrsfty/f/meeting-room/152689/puts-and-takes-on-free-cash-flowThu, 27 Nov 2025 22:18:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:9c03fe24-72ad-4f8d-8c89-24d677e07ea6QnATest BuysiderCan you give us the puts and takes on free cash flow this quarter? My guess is that it might have been a bit higher given the record level of EUV orders and the associated partial down payments that are related to that.Sample Datahttps://staging.qna.cloud/mrsfty/f/meeting-room/152689/puts-and-takes-on-free-cash-flow/152648Thu, 27 Nov 2025 22:18:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:471893d2-1d2d-4237-8878-99611f67c225QnATest CorporateIn the last quarter Q4, free cash flow was quite positive at €2.6 billion just for the quarter, primarily driven by down payments. But, as publicy stated, we are in ramping mode. We are preparing for a ramp in 2025 and that means we're taking in materials. We're building inventory for High-NA, etc. So I think on the inventory position, you would see that we're adding quite a bit. So that is obviously a negative to the free cash flow. But still, overall, I think the €2.6 billion that we recorded in the last quarter, was a healthy cash generation.Sample Datahttps://staging.qna.cloud/mrsfty/f/meeting-room/91455/free-cash-flowThu, 27 Nov 2025 21:54:00 GMTe79f1d60-8cfe-4c2e-afad-d728c83c0cd3:df549f2f-11b9-4a62-bd55-a4ca4b7bc723QnATest BuysiderOn the cash flow guidance and the implied cash flow for Q4, I think it implies something like more than €1 billion positive free cash flow. In history, the Volkswagen’s cash flow was rather negative in Q4. So therefore, maybe you can tell us what needs to happen that this positive Q4 cash flow really comes true?Sample Data