Rolf Winkler

Apple is going to also face higher costs, but they just have more capability to withstand it and to use it as a weapon.

So in China, for instance, the low end of the market is going to get blown out.

Meanwhile, the mid-range of the market is

is going to have to raise prices because they don't have the luxury of this really great premium product portfolio that Apple has to carry the profit load, right?

They have to raise prices.

So all of a sudden, the gap with an iPhone 17E is going to be smaller.

So Apple can use the memory crisis.

People who haven't thought about coming into the iOS universe, maybe they'll make that switch.

And you could say the same for this new low-level Mac.

Yeah, sure, Alex.

$165 billion would be one of the largest construction projects in the United States if they ultimately spend all that and build everything there.

It's going to be maybe a decade before this one facility reaches the volumes that TSMC has multiple facilities in Taiwan operating at.

And moreover, there's the level of sophistication of the chip that they make in Arizona doesn't match Taiwan.

What's made in Arizona is five years behind and will continue to be five years behind because there's no way Taiwan is going to allow the best technology off the island because that's to defend against Chinese invasion.

It's called the Silicon Shield.

Does China want to invade the island that actually makes the world's most advanced chips like all of them?

That would be ruinous to the world economy.

So it's a very good deterrent.

Oh, it's huge.

It was just one of the facilities that I toured.