“I think 2026 should be a good year for us in terms of gross margins.”

In context

“26? David Zinsner: Yes. So as I talked about to Ross, CJ, the good news for 2026 for us is that, that really begins the shift back to the internal manufacturing footprint for a lot of our tiles and so bringing back more wafers to the internal network will meaningfully improve the cost structure. I think the adjustments in CapEx, which are clearly helpful in terms of cash flow in the near term become really beneficial to the cost structure as depreciation becomes kind of less of a headwind for us, so that will also be helpful. And then like I said, we've got all these structural improvements that are coming our way, both from the actions we've taken today, but the new operating model and decisions will get made on a go-forward basis that will just optimize our business model going forward. I think 2026 should be a good year for us in terms of gross margins. We'll save the actual number for a later date when we have more visibility into how things are playing out. I think from a mix perspective, it's probably not going to be a big headwind or tailwind for us, just strict mix other than as we move towards more leading-edge wafers, the margins on those wafers are significantly better than the margins in pre-EUV nodes. So that will -- that will be one factor that will certainly help us. It also -- in that regard, that also helps us on the pricing side because, obviously, from a wafer perspective, we get better pricing on EUV wafers as opposed to pre-EUV wafers. And then ultimately, I think on pricing, it will really come down to when we have a competitive process and we have competitive products running on a competitive process and we're deliver”