Suji Desilva: I see. And then lastly, YJ, on the separation plan for the end of the year, can you just remind us what the benefits you expect are for investors as we get closer to that so we can kind of prepare for that separation and look for some what the — what that triggers for you guys?
Young-Joon Kim: Yes. So, it provides a many advantages. A, you get to focus; two, really focus on the P&L; and three, transparency; as well as four, there are more freedom for independent investments and the strategic opportunities.
Suji Desilva: Okay. Terrific. Thanks. YJ thanks.
Young-Joon Kim: Thank you.
Operator: Thank you. [Operator Instructions] And our next question comes from the line of Quinn Bolton from Needham & Company. Your question please.
Unidentified Analyst: Hey guys, this is Nick on for Quinn. You gave some color on the power and foundry business for next quarter. Can you give color on Display? Will it be flat quarter-over-quarter? And maybe discuss the drivers near term of that business?
Young-Joon Kim: Yes. I think, the business on the Display, it’d be flattish, but as Shinyoung explained, there are some weakness in the industrial end market on the power. So, that’s the most revenue down driver. And that’s the, similar trend we are seeing from our peers. We know this TiO on semi called out the weakness in industrial end. And we already said today that we had double-digit percent decline in industrial. The industrial was, one of the key strengths that we saw this year. So, I guess this is happening right now on the industrial weakness in the market.
Unidentified Analyst: That makes sense. Yes, we’ve heard that from a number of other companies. Can you talk about the automotive contribution that you’ve seen in the quarter? I think we were talking, maybe a 1 million, 2 million in 2024, just wondering if we’re — for 2023 — calendar 2023, just wondering if we’re on track for that or coming in a little soft?
Young-Joon Kim: Yes. So, we did not have automotive until, like, last year where we shipped there about 600,000, 700,000. And this year, we expect to finish a couple of million dollars. So, we are on track. So, we are accelerating design wins on the automotive, but you saw we had a two design win and three design-in this quarter. So, we look forward to get more design wins. And also the automotive section on the EVs, we see a big opportunity also in China. China has the EV that ranges from $25,000 to $50,000, that’s the sweet spot, and then they’re introducing $100,000. So, I think the — that’s why they’re doing 3 million unit of EV alone. So, that — those are the new things we see and to be competitive in the low end EV market, I think IGBT is a key. And that’s one of our strengths as well.
Unidentified Analyst: Thanks. Can we actually send another second down, the China EVs? May be too early for you to get a really good pulse, but we’ve heard mixed data points as far as demand evaporating and but then we just heard from Allego [ph] this morning that the demand’s actually really strong. Are you seeing anything specific as far as near-term demand in China?
Young-Joon Kim: On the automotive EV, I believe China is strong. I think the — what we are hearing, the EVs in the non-China market is slowing down. So, I think that’s because of the EV price in China is much competitive. Rest of the word, the EV price are very high. I think that’s what it is. And I just said, the IGBT is a key solution for more, affordable EVs.
Unidentified Analyst: Yes. That makes a lot of sense. Thanks for that. And then last one for me, the Fab 3 wind down, is there incremental CapEx required to transition those tools to your power products? And how should we think about CapEx in in 2024? Thanks.
Shinyoung Park: We haven’t guided for the 2024 CapEx, but in terms of the wind down process and conversion process, at this point, we do not really expect any material CapEx to be spent. So, probably couple million, but not a lot.
Young-Joon Kim: And I think we mentioned before that if we increase the capacity by 40%, the CapEx is only $20 million to $25 million. So, it’s not a big thing.
