We have a very differentiated product. We have microinverters on the roof, which are very high quality, easy to install. We have a huge customer service operation there in France and in Germany, and we take care of customers well. On batteries, we are just starting to ramp. And we have introduced our batteries in two countries, Germany as well as Belgium. We expect to introduce many more countries this year, and that will happen every quarter. And so we expect to add a lot more battery revenue there. And I forgot to mention, IQ8, we will be introducing IQ8 into every country in Germany €“ I mean every country in Europe shortly. So €“ and then on top of it, we bought this company called GreenCom Networks. Their job is to network third-party EV chargers and third-party heat pumps to the Enphase solar and storage system, and therefore, homeowners can operate €“ can optimize their system from one app, can see everything that is happening.
So, to answer your question, the market is growing. The market is growing really significantly. That’s what I told you 13 gigawatts, we are well positioned due to our differentiating value proposition, and we recently bought a company, GreenCom Networks that is even going to make that situation better where we provide a complete home energy management system to our installers.
Mark Strouse: Okay. And then maybe, Badri give you a little bit of a break. Mandy, can I ask, I mean, we are all doing the math on the domestic manufacturing tax credits. But I mean is there any color that you can share yet as far as kind of the upside from the tax credit, the potential downside from higher input costs just kind of the blended average, the appropriate way to be thinking about that U.S. manufacturing from here?
Badri Kothandaraman: Yes. I mean net-net, we expect a net benefit of between $20 and $30 a unit. I am giving you a wide range right now because we do have some puts and takes, and we will refine it as we go.
Mark Strouse: Okay. Thank you very much.
Operator: The next question comes from Steve Fleishman of Wolfe Research. Please go ahead.
Steve Fleishman: Yes. Thank you. Just you are growing your production capacity, you are doubling it from $5 million a quarter to $10 million. You said, I think by year end of 2023, just could you give us a sense of your conviction that the demand will be there to meet that doubling of production.
Badri Kothandaraman: Yes. Look, if you look at our past growth rates, you can see it, we grew from €“ we grew, I think, €˜21 to €˜22, we grew 59%. And at that time, I think end of €˜21, we were doing, if I remember right, around 3-ish million units a quarter. End of €˜22, we are now €“ we just reported 5-ish million units a quarter. So, you can see that that’s the nice growth. So €“ our long-term thesis on solar is €“ we are extremely bullish. We €“ especially with countries like Europe and with a strong position in the U.S. with our rapid entry into other emerging markets. We think it is the right call to basically invest in the right manufacturing, especially given the IRA benefits. So, even if we don’t use all 10 million units per quarter, we will use it sooner or later.
