This seems to answer my question ( not that I understand most of it).
From the ichor conference call
https://seekingalpha.com/article/4302951-ichor-holdings-ltd-ichr-ceo-tom-rohrs-q3-2019-results-earnings-call-transcript?part=single
Karl AckermanThanks Jeff. One more, if I may. Recently, China big fund [ph] revealed that phase 2 will focus on etching machines and film and testing cleaning equipment. Given your unique position within the supply chain, I'm curious how you or your team see the development of indigenous China Technology on Etch and CVD equipment as well as their ability to improve yields on existing manufacturing processes and whether their desire to develop their own equipment is additive to your model next year or two? Thank you.
Tom Rohrs
Well there's a lot of different ways to go about try and answer that question. And a lot of it is tied to the different geopolitical trade wars and whatever going on, and to the extent that current countries tried to prioritize their internal manufacturing. I think we're at a stage right now where that seems to be the case, and there's no doubt that there are a couple of very good manufacturers inside of Japan. One of them that had done a lot of MOCVD tools which are not very interesting to the bulk of the semi space has some capabilities and edge tools, so we expect to see that. Although to be honest with you, I expect that to be pretty small.
The second has some really good and interesting capabilities in the clean space. We don't have -- our products are today not really tied into the clean space, but we think they could be through the liquid delivery module. So in many ways that's an interesting space to us. But again, this particular company those successful and kind of had a nice little splash on the stock market, they are not that large either.
So the bottom line is, in my opinion two reputable companies the Chinese fabs will use as much of their equipment as they can, but they don't think it'll be all that much compared to the spending of a fab. I think there's a flip side to that story, which helps us dramatically which is the kind of a Larry, trade war between Korea and Japan. This one is actually probably even more meaningful in that, there's a lot of activity going on in Korea today to try to replace Japanese based product with American based product and beyond semiconductor, this goes for any type of product coming into Japan and coming into Korea. So this is a great opportunity for less Tokyo Electron product where we have very little share as you know and more opportunity for lambs and applied materials where we have a very large share.
So I think this particular activity will far over away whatever we might lose from an edge tool in China coming from an indigenous supplier.
