Scott Searle: Sorry, look at the growth expectations for this year in that range. Where are you really expecting the geographic strength from end market, sounds like private networks are growing for you as well?
Doron Arazi: So first of all, we plan to continue the increase in our business in North America, for two reasons. First of all, the Tier 1 operators, at least as we see it now, continue to roll out the 5G. And we expect to have a strong year in this respect as well, at least as of now. And obviously are starting to kind of enjoy the fruits of our investment in the private networks and the smaller ISPs. The second region or maybe even the first one is India. We see a lot of traction for both E-band and the traditional microwave. So we believe that India will also be strong and even slightly stronger. Now in terms of other regions, let’s not forget that, first of all, Africa was very, very soft this year, and we expect a certain level of rebound there that can help us obviously to grow.
And also, APAC as well as Europe are showing some initial signs that could give us some level of hope that they will look better than 2022. But the leading regions are North America and India.
Scott Searle: Very helpful. And lastly, if I could, on the ASIC time line, thank you very much for the color on that front, right? It sounds like you’ll be taping out this year with design win certifications kind of as you’re going into ’24. So I guess the question is two. It’s when do you start to see meaningful revenue coming from those platforms? And is it second half of ’24 is earlier in ’24. And I think that has a favorable impact on the gross margins as well. So when you’re talking about 35% as your long-term target, what are you kind of assuming from an ASIC adoption and penetration standpoint? Thanks.
Doron Arazi: So as we all know, introducing new products even if they are available takes time. We hope to start selling but not at large volumes towards the end of 2024. I hope that we’ll get surprises and the volumes would be by far higher. But definitely, the bigger impact could be in 2025. Now in terms of cost structure, bond cost and so on and so forth, I must tell you that with the new series of the 50 EX and 50 CX, we are already coming with a big portion of the savings on the bond cost. So in this respect, I expect the upcoming new products in 2023 to contribute to the improvement in the gross margins already. So we don’t need to wait that long for the new chip in order to get better gross margins. The new chip would add some additional level of cost reduction. But I think the message would be about performance, the message would be about a very, very, very strong radio capabilities, which obviously is our bread and butter.
Scott Searle: Great, thanks so much.
Operator: Thank you. We have no further questions. Please proceed.
Doron Arazi: I’d like to underline the excellent execution of our growth strategy, which has led us to achieve strong traction across different regions with different solutions. The improvement in our annual gross margin and operating profit are testaments to the effectiveness of this strategy. We expect an even better 2023, barring unforeseen developments. Lastly, we will be at the Mobile World Congress in Barcelona on February 27th through March 2nd. We will be showcasing our solutions at our booth, such as AI network insights, open transport, longest haul and flexible network services. Come and visit us at Hall 5, Booth Number G61. I look forward to updating you further on our next call. Have a good day, everyone.
