“The balance of the rest is equipment and we're going to be putting in that equipment starting next year and over the coming years.”

In context

“ould we think about the gross margin impact on calendar year '22, as you layer in these investments? Rafael Lizardi: Yeah. I'll take that one. First, as you know, you've known us for a long time. We don't manage the business due to gross margins. We manage for the long-term growth of free cash flow per share, and that's stars we've driving the top line, and that's why we're making this investment, to support revenue growth. And as we do that is extending our low-cost manufacturing advantage that gives us that great structural cost advantage with 300 millimeters. Any addition to that, we're controlling the supply chain. And specifically, on your question, I think RFAB2, all in, that's about a $6 billion expense, about a billion of that is a building which depreciates over 30 years or so. The balance of the rest is equipment and we're going to be putting in that equipment starting next year and over the coming years. With LFAB, obviously a 900 million purchase price. And some of that is building, some of that is equipment. And then on top of that, we'll put about $3 billion of capex over a number of years as we ramp that up. So, we'll give you additional details on that and a bigger longer-term picture of how we're going to support the longer-term growth. We'll give you those details in February of the capital management gulf. John Pitzer: Okay. Thank you. Dave Pahl: Thank you, John. And we'll go to the next caller please. Operator: And we'll go next to Timothy Arcuri of UBS. Timothy Arcuri: Hi, thanks. Rafael, I was wondering if you could talk about pricing. Obviously, you're seeing some increases in your input costs. Can you talk about whether you're passing those onto customers and how ubiquitous”