I'd like to tell you about a change to our company's guidance and Quiet Period practices. Beginning this quarter, the company's Quiet Period will be reduced by 2 weeks to enable an extended period of dialogue with investors. Intel will observe the Quiet Period from September 16 until publication of the company's third quarter earnings release.Additionally, certain of our smaller business outlook items, the forecast for amortization of acquisition-related intangibles, impact of equity investments and interest and other and tax rate, will be pulled from guidance at the close of business, July 26, and not subject to an update by the company after that time. We also want to make everyone aware of the annual Intel Developer Forum taking place September 13 through the 15 at the Moscone Center in San Francisco. In addition to keynotes from Paul and other senior leaders, we'll be beholding a number of investor briefings, and invite you to come and hope to see many of you there. Before we begin, let me remind everyone that today's discussion contains forward-looking statements based on the environment as we currently see it and, as such, does include risks and uncertainties. Please refer to our press release for more information on the specific risk factors that could cause actual results to differ materially. Also if during this call we use any non-GAAP financial measures or references, we will post the appropriate GAAP financial reconciliations to our website. So with that, let me hand it over to Paul. Paul Otellini Thanks, Kevin. I'm very pleased to report another record revenue quarter for the company. In May, we met with many of you at our annual investor meeting, and laid out our strategy and the opportunities we have before us. The transit of driving the growth of our business that we described then are playing out as expected. The Data Center business remains strong, our Embedded business is seeing rapid growth, the Enterprise PC refresh continues, and the emerging markets continue to be significant drivers of our broad based momentum.
In the comparison of our second quarter results versus Q2 of last year, we saw strong double-digit revenue growth across every business segment. For example, the Data Center business is up 15%; Embedded is up 25%; NAND is up 15%; and our PC Client business is up 11%.If we look at the channel, which is an excellent proxy for emerging markets strength, our channel revenue was up 17% versus last year. In summary, this was a very strong quarter across all of our product lines and around the world. Now let me take just a moment and provide a bit of color on performance of our major business segments. The Data Center Group had another very strong quarter with CPU revenues topping the $2 billion mark for the third consecutive quarter. Demand for our Westmere-EX family that was launched in April is very healthy, and this helped to strengthen server ASPs in the quarter. At our Investor Day, we talked a lot about how the Data Center business was more than just servers. To highlight that, microprocessor unit shipments for storage applications set a record and we're up 38% from a year ago. Also, we grew our networking revenue 40% from a year ago. The non-server parts of our Data Center business are growing at an exceptional rate. As for servers, the story is much the same. The market remains very strong, with demand from Cloud-based customers leading the way. The Cloud segment is up 50% in the first half of 2011 versus the first half of last year, demonstrating how fast that business continues to ramp. We believe that we are very early in the Cloud build out, and that Intel remains extremely well-positioned to profitably grow from the explosion of Mobile devices and Internet-based services. In our Embedded business segment, I mentioned that revenues grew 25% from a year ago on record microprocessor unit shipments. We shipped over 1 million units of Atom processors into embedded applications for the first time ever, which is an increase of 76% from a year ago. Overall, we witnessed very broad-based strength in our embedded segment, with the fastest growth coming from the Medical Imaging segment, up 50%; Print Imaging, up 48%; Communications, up 40%; and Industrial applications, up 20%. We're starting to see many of the long cycle design wins that we've been tracking, turn into revenue, and expect Q3 to continue this trend. Read the rest of this transcript for free on seekingalpha.com