The supply chain is already dispersed, even outside Taiwan. Particularly as we move from single die devices to MCM, many processes are outside of Taiwan. JCET is in Singapore and Amkor is in Arizona and Korea for example. There is some cost to the logistics but it’s kind of in the noise on a per device basis. The cost is in the processes themselves. It is a gigantic pain to manage but it doesn’t not add such a high variable cost.

Semiconductor companies need gross margins of around 65% to grow and be able to invest in development of the next node. So this large additional variable cost really can’t be shrugged off as you suggest. If so, Ms. Su wouldn’t have mentioned it at all.