Day 2 takeaways. The second day of our US tech conference featured CEOs from Intel/Micron, wafer supplier Siltronic, semi-cap equipment leaders (Applied/Lam/KLA), and ARM’s CFO. The tone maintained Day 1’s positive message, including the upbeat outlook for semiconductor equipment spending growing again in 2021, PC/server demand seeing healthy ramps with Intel still targeting Jan to update its manufacturing and foundry sourcing for 7nm, memory upsiding from mobile, consumer and PC, and silicon wafers very tight in epi (logic/foundry) and prospects for low-teens growth from ARM.

 Intel maintains IDM benefits but increasing foundry over time. Intel’s CEO remains firmly committed to the IDM model to jointly design leveraging in-house fabs and packaging, but open to foundry if it improves schedule predictability, performance, economics and

flexibility on chiplet integration, particularly starting from its 7nm decision for 2023 products. It reiterated its 2020-22 roadmap, largely set across server, desktop and client, so we still expect TSMC volume limited to chipsets, graphics, niche chiplets, peripherals and acquisitions (Mobileye, Habana, Barefoot, Movidius). From 2023-25, we still expect ramp to 25% of mix, factoring in TSMC’s low-cost/scale, aggressive 3nm roadmap and execution on steep ramps of Apple/AMD’s roadmap, which can help Intel’s predictability.