Arista Networks, Inc.

Welcome to the second quarter 2026 Arista Networks Financial Results Earnings Conference call. During the call, all participants will be in the listen-only mode. After the presentation, we will conduct a question and answer session. Instructions will be provided at that time. If you need to reach an operator at any time during the conference, please press the star key followed by zero. As a reminder, this conference is being recorded and will be available for replay from the investor relations section on the Arista website following this call. Mr. Rudolph Araujo, Arista's Head of Investor Advocacy, you may begin.

Thank you, Regina. Good afternoon, everyone, and thank you for joining us. With me on today's call are Jayshree Ullal, Arista Networks Chairperson and Chief Executive Officer, and Chantelle Breithaupt, Arista's Chief Financial Officer. This afternoon, Arista Networks issued a press release announcing its fiscal second quarter results for the period ending June 30th, 2026. If you want a copy of this release, you can find it on our website. During the course of this conference call, Arista Networks Management will make forward-looking statements, including those relating to our financial outlook for the third quarter of the 2026 fiscal year, longer-term business model and financial outlooks for 2026 and beyond, our total addressable market and strategy for addressing these market opportunities, including AI, inventory levels and management, lead times, purchase commitments, component supply, and product innovation. which are subject to the risks and uncertainties that we discuss in detail in our documents filed with the SEC, specifically in our most recent Form 10-Q and Form 10-K, and which could cause actual results to differ materially from those anticipated by these statements. These forward-looking statements apply as of today, and we should not rely on them representing our views in the future. We undertake no obligation to update these statements after this call. This analysis of our Q2 results and our guidance for Q3 2026 is based on non-GAAP and excludes stock-based compensation expense, intangible asset amortization, gains, losses, and strategic investments, and income tax effect of these non-GAAP exclusions, including the recognition of direct excess tax benefits associated with stock-based awards. A full reconciliation of our selected GAAP to non-GAAP results is provided in our earnings release. With that, I will turn the call over to Jayshree.

Thank you, Rudy, and welcome, everyone, to our second quarter 2026 earnings call. Arista is experiencing significant demand to achieve our first $3 billion quarter in revenue. To put this in perspective, just five years ago, our entire year was $2.9 billion in 2021. We have also entered the prestigious Fortune 500 list in 26, and in addition to that, we are now included in the Russell 50. Our AI fabrics momentum with EtherLink switches now exceeds 100 cumulative customers from the initial four to five customers I spoke of in 2024. Arista has developed innovative features to enable smart system upgrade, SSU, deep analytics, load balancing at scale for AI training workloads. Our latest member is the 7060XE7 for 100 terabit capacity and 1.6 terabit throughput as well as the first liquid cooling options highlighting our continued scale-out leadership. Over a decade ago, we pioneered the use of leaf and spine topologies in the data center and cloud networks. We are now building upon that with our lossless and high-performance AI fabrics. The maximum possible scale for an AI network generally depends on two things, the number of tiers in the network and the number of ports per device, often known as radix. Increasing the tiers and ports is expensive and power hungry. Our customers deploy and often choose the Arista flagship 7800 AI spine to achieve that high scale without adding additional tiers. Scale across is an important application. The scarcity of compute capacity, physical space, and gigawatts of power mandates that the AI infrastructure must be designed thoughtfully. The Arista 7800 platform continues to be the flagship spine for distributed scale across applications, providing traffic isolation, contextual routing, and security. The scale across switching and routing TAM is forecasted to be roughly $15 to $20 billion in 2030, and Arista is well poised in this segment. Our scale across AI innovations deliver programmable and deterministic routing, SRV6 multi-plane forwarding, multi-tenancy and traffic engineering, as well as load balancing across the regions. We are capable of providing near instantaneous recovery in the event of transient congestion, packet loss, or a physical failure of AI clusters independent of their geographical location. This scale across use case is expected to be approximately 30% of our overall AI target of at least 3.6 billion in 2026. While compute and AI accelerators supporting billions of parameters often grab the headline, we did introduce a suite of EOS, Extensible Operating System, innovations to enable a robust AI network capable of diverse models and accelerators. At this point, I'd like to invite Ken Duda, our President and Chief Technology Officer, to highlight some of these AI innovations.