Charlie Chan: Thank you. Thanks, Jason.
Operator: Thank you. And our next question comes from Szeho Ng with China Renaissance. Please go ahead, Szeho. Thank you.
Szeho Ng: Hi, gentlemen. I have two questions on 28 nano. Given the fact that we are still building up 28 nanometer capacity in multiple locations in Taiwan, China and maybe later on in Singapore, right? So will we be offering a comprehensive portfolio of technologies in each of the fab locations or will we be more selective in offering the technology platforms?
Jason Wang: Well, I mean, the product mix on different sites is very dynamic. We are aligning to the outlook and the idea is, we want to be creating as much as the flexibility, but without the sacrificing the scale. So many of that is ongoing discussion. So I don’t have a specific or fixed mix for you as a reference. But the message is — I mean, the update is that, we have an option to dynamically adjust that, subject to the outlook and alignment with the customer.
Chi-Tung Liu: Yes. More importantly, if I may, we actually offer more choices for customers in terms of the production sites. So if customer place 22/28 nanometers orders to UMC, they have an option to be produced either in Taiwan, China, Singapore. So we are one of the very few foundries that can offer multiple site choices amid the current geopolitical attention.
Szeho Ng: Okay. Sounds great. And the second one on the 28 nano. How easy would be upgrading the capacity to the next-generation 40-nanometer FinFET?
Jason Wang: I mean there is an option to do so and nothing is easy. The next major wave, it will probably be upgrading from migrating the 28-nanometer to 22-nanometer. And after that, there will be a 14. So there will probably be a couple of layers before — another set before we get into the FinFET. But there are good percentage of the two that actually can convert between those node. So I think we are in a good position to cover all the way to 14 given the two mix.
Szeho Ng: I see. All right. Okay. Thank you very much. Happy New Year.
Jason Wang: Happy New Year to you too.
Operator: Thank you. And our next question comes from Sunny Lin with UBS. Please go ahead, Sunny. Thank you.
Sunny Lin: First, thank you for taking my questions. So my first question is on geopolitical development. So I wonder if in recent quarters have you started to see some new order opportunities from clients evaluating the supply chain diversification? And if yes, what kind of products do you see more imminent upside? That’s my first question. Thank you.
Jason Wang: Well, I mean, we do see trends like that, and we believe we are in position to be benefited from that trend. However, given the current inventory correction, we expect the progress in engagement and the will be more obvious beyond 2023. We will not comment on specific product or customer on this, but we are aware of this geopolitical supply chain concerns for many of the customers and the potential implication on our global customers. So — and some of it is already in discussion with us to fulfill their sourcing plan. And probably not a good idea at this point giving anything specific, yes.
Sunny Lin: No problem. Just to quickly follow-up. I understand some of the engagements are still in early stage, but any way we could try to quantify the upside for the coming years?
