With that, I'll turn the call over to Sanjay.Sanjay Mehrotra Thank you, Jay, and good afternoon, everyone. We delivered yet another record quarterly revenue driven by year-over-year growth in both our OEM and retail channels. Excellent improvements in memory cost helped deliver a very healthy gross margin. Despite the uncertainties surrounding the global macroeconomic environment, overall demand for our products continued to grow. This illustrates the secular growth trends in consumer and enterprise markets, which are driving ever-increasing demand for flash storage solutions and also highlights the benefits of our broad product portfolio and our diversified and global customers and channels. Our mobile revenue grew nicely on a year-over-year basis from the increased sales of our embedded products, including iNAND, for mobile devices. The mobile market continues to experience robust growth in feature phones, smartphones, tablets and eReaders, and OEMs are increasingly competing by differentiating on product feature and performance attributes. Our broad array of high-performance embedded mobile products, including iNAND, iNAND Ultra, iNAND Extreme, iSSD and removable cards position us well for continued success in this evolving market. As for the tablet market, it underwent a significant shake out in the third quarter and yet, we delivered 25% year-over-year revenue growth from our retail and OEM mobile end markets combined, reflecting our strong gains in this ecosystem. Turning to the solid-state drive business. I'm very pleased to report that our integration of Pliant Technology has gone exceedingly well. We are excited to see robust business momentum from our enterprise storage solutions group. SanDisk enterprise SSDs have been qualified at 3 out of 7 Tier 1 storage OEMs with multiple systems now shipping, contributing to strong revenue increase in the third quarter. We are deeply engaged at other OEMs and we expect to complete qualifications at several more customers in the next few months. Our differentiated products feature a proprietary, massively parallel architecture, utilizing our third-generation ASIC controller and advanced firmware. All of these features are designed to deliver very fast, predictable, data transfer and processing speeds with minimal power consumption. We expect to continue building on our early success in this business especially as we begin using our high-quality captive memory supply in our leadership products, as we believe that vertical integration will be key to long-term success in this market.
Within the PC ecosystem, innovation is unfolding in Ultrabooks driving demand for NAND flash. Specifically, from a system design perspective, NAND Flash can be designed into Ultrabooks either as high-capacity solid-state drives or as lower-capacity caches alongside high-capacity hard drives. Ultrabooks designs mandate a highly responsive user experience with features such as instant-on and longer battery life, packaged in an ultrathin form factor. We believe these innovations -- we believe these innovative developments bode well for significantly increased NAND flash consumption in the PC ecosystem in the years ahead. We have begun making inroads into this market with our SSDs and we have an early footing with the recent launch of one of the first SSD-only ASUS UX21 and UX31 Ultrabooks with another Tier 1 OEM design win achieved already. Design activity projects at several other OEMs are underway.Our retail channel grew year-over-year, a trend that has continued since the first quarter of 2010. The emerging markets were the primary source of year-over-year growth in the third quarter. On a sequential basis, all regions posted healthy revenue growth with APAC the strongest. Third quarter retail revenue growth benefited from a successful back-to-school season in the U.S. with strong demand for our USB flash drives and mobile cards. In September, we unveiled a broad lineup of new retail products, mostly -- most notably the 64GB SanDisk Extreme Pro SD card and SanDisk Mobile Ultra microSD card, reflecting continued innovations in our removable products category. We also introduced the SanDisk Memory Vault, a new product designed to preserve images in their original quality for up to 100 years, creating a new preservation solution category. From a fourth quarter perspective, we believe we are well-positioned with our key accounts with programs and promotions in place for the holiday season. Read the rest of this transcript for free on seekingalpha.com