Weebit Nano Limited (WBT) Earnings Call Transcript & Summary

We'll wait for a few seconds to allow everyone to jump in onto the webinar. I'm delighted to welcome you today to this meet the CEO with Coby Hanoch, CEO of Weebit Nano. Coby, thank you very much for your time today. I know there's some major challenges in Israel, but we do appreciate you spending some time with the investors on today's call.

Thanks, Ronn. Glad to be here.

As with previous, Meet the CEOs, if you have any questions, please type them into the Q&A box, and I will be happy to cover them off once we hear from Coby. We'll look to try and keep this to 45 minutes, as I'm sure everyone is busy today and the day is just starting in Israel. But please type your questions in the Q&A if you have any.

Coby, maybe just a few starting comments on where Weebit is at the moment. I know there's been a lot that's gone on over the last quarter. And the key, obviously, announcement being the signing of the agreement with Dongbu. But maybe you can give us an update on where the company is at and then we'll throw into some questions.

So we're really in a very busy period right now on both the technical and the business side. There is a lot of work going on, on the technology. This is the technology that requires constant improvement. It still is considered a young technology in the market, and there is a lot to improve in terms of endurance, in terms of lowering the power or voltages or things like that, improving the yield, et cetera, et cetera. So on the R&D side, you can see every once in a while, we announced that we have qualification now with 125 degrees, we make more progress on different fronts, and that's continuing all the time. Obviously, the big focus right now is the work with customers, with foundries and partners and so on. At times, it can be very frustrating. Everyone is -- I said it several times, people know. It's just people are cautious. People are testing us. People are doing evaluations and more evaluations. And then for different reasons, they weigh, they stop, they decide to use it on the next project, et cetera. So it's very intensive. There's a lot of work. I'm very glad that we could announce Dongbu or DB HiTek. And they are a very important win for us. There are others that we are slowly progressing with, and I really hope we'll be able to announce them in the next several months.

Thanks, Coby. We've got a whole bunch of questions that have come in. But maybe, and I'll touch on this first up because everyone has been seeing what's going on in the news. We have one of the investors who have been asking if we could get -- if you could please provide an update on the staff and families in Israel and how the offices and operations are continuing. Obviously, a number of shareholders already messaged now to say that they hope that the Weebit family are all safe and sound and thoughts are with them. But if you can provide that update that will be appreciated.

Yes. Well, first of all, I really appreciate all of these very warm messages that I'm getting from shareholders. They really encourage us. They really help us. And it's great to know that there's the support coming from these amazing shareholders that we have. I mean the situation here is crazy. There's no other word to use. I don't think anyone can understand what it's like that you're sitting and trying to work or trying to do something and then the sirens go off and you have to run, you have 1.5 minutes to reach a shelter and go in and wait until you hear whatever bombs, explosions and so on. And then after 10 minutes, you can go out. I'm glad to say that a lot of these explosions that we hear are actually the Iron Dome that is firing at these missiles. So a few, not many missiles, actually hit the ground and Iron Dome is smart enough to know when a missile is going to hit an open field and then it doesn't fire, doesn't waste ammunitions and things like that. But it is -- you hear these big booms and it's not easy. But having said that, I'm very happy to say, first of all, the Weebit team is safe, their families are safe. And like we announced to the market, one of the very important things for the Israeli industry is to make sure that there won't ever be an excuse for a multinational company not to open a design center in Israel because of these tense situation. So it's already -- I remember in the '80s and '90s already when we had these situations, the first thing we said is part of the war if you want to call it, is to show everyone that we meet our milestones that we don't change our work plans. And actually, we even put more effort in meeting the milestones, and that's what Weebit is doing. So the team has -- everyone has their own setup. I can tell you that in Israel since the '90s all new houses have to have a bomb shelter in the house. It's crazy, I know. So in my case, it's my basement and whenever the siren goes off, I go down to the basement. Our lab is inside a bomb shelter. So the lab continues to work all the time, nonstop and everything is continuing there. Then I gave the employees full freedom. Some of them are working from home because they prefer to be next to their families. They, for their reasons, some of them prefer to work from the office. But I can assure you, work is continuing. We're not going to miss any milestones because of this. And whoever can is supporting the war effort in other ways, and we have people volunteering in many different things to help. Right now, the spirit of volunteering in Israel is just amazing. And that's part of the awesome thing about being part of this country is to see how -- when we have these situations, everyone gets together supports each other and pushes forward. So again, thanks to all of the shareholders, and thank you for the support and the kind messages and I really do appreciate it.

I might touch on a few topics before we focus the rest of the time on the technology and where the company is at. We've seen the level of shorting in Weebit grow dramatically. It's currently sitting at just under 8% of issued capital. One of the investors has asked the question, does the company have any plans to do a roadshow to attract non-shorting, wholesale investment funds in Australia, U.S. or elsewhere?

Well, we obviously, as one of the top 20 shareholders, I really don't like all distorting activity. I can clearly understand. I mean on a personal level, I can express my views, but I won't do it here. It's something that we -- I said it many times, I really don't have control over it and I think it's crazy. But I just focus on the things that I can control. Now talking about that, I think we do talk to institutions that might help us on this and sometimes they do help. And by the way, due to the situation in Israel, I did cancel my trips. The only trip that right now I have on my calendar for the next several months is for the AGM. I really hope that I'll be able to come out and do the rounds then, and we will have some meetings with different institutions, and we will be meeting with the Canaccord and Jefferies guys on discussing how we can bring people who will help us go against all of the shorting. But at the end of the day, the way that the ASX works, it enables shorting and that's part of the game.

We obviously also hope that you can come out for the time of the AGM and look forward to having you out here, Coby. Just on the comment that you made about focusing on the things that you can control in terms of what's been going on with the shorting. We have a question from an investor who's asked, you have mentioned first revenue by year-end. Are we still on track?

Yes. Yes, we are. There's even hopefully, again, all of these things. I don't control the other side who actually has to sign the check, but we are supposed to be getting even more than one payment before the end of the year. So I am working hard on making sure that, that happens.

We've also had a number of investors ask us about the recent, and we'll touch on DB HiTek and what it means for the company. But we've had a number of investors ask us why do the company lodge that announcement as not price sensitive? Can you give some context as to what happened for all those on the call?

Yes. One of the most frustrating things that -- we have been really trying to ensure that our announcements go out the way they should. In this specific case, as soon as I saw that we're heading towards signature and everything is heading towards closing this deal, we wrote the draft. We went to ASX and showed it to them. We told them that we wanted to be price sensitive. That was about a week before the announcement. So there was a whole week to talk and they gave us comments and we implemented the comments and everything. I still cannot understand how minutes before the release, the ASX on their own without consulting, without calling us they just decided it's not price sensitive. I mean, I don't know. We have a board full of people that know a thing or two about semiconductor market. They know what is price sensitive and what is not and we don't easily define our releases as price sensitive. The ASX decided to do this. We're talking to them about it now, trying to figure out how we can work with them. They really don't understand the semiconductor market. They don't understand the releases and their importance. I mean, the proof is in the pudding. We saw what happens to the share price. In any case, we are trying to work with the ASX on it. The only thing that I can say is the people responsible are in the ASX. And if people have complaints, I think they should turn to the ASX or to ask probably about this and ask why and how ASX decides to classify the releases.

Can we maybe touch on R&D? We've got a question coming in where the investor was surprised at how little was actually spent on R&D last quarter. Do you see a ramping up of spend? And will this level of spend get us to where we need to be? Are there roadblocks such as shortage of engineers to go forward quicker?

So our quarterly reports are somewhat misleading. As you know, a lot of our R&D is done in cooperation with Leti and today also with SkyWater. So it's not an ongoing payment. I mean we have -- the team, by the way, has been growing. We've been hiring people on an ongoing basis. I am very cautious about not hiring too fast before I actually have agreements in my hand. So we're doing it in a very balanced way. But the thing is not the salaries of the team or the work that they're doing. We pay Leti and we are doing some work now with SkyWater. We want to do some of the R&D in a mass production facility, and SkyWater has this ability to enable R&D there. So we're doing also some of the R&D at SkyWater. In both cases, we pay based on milestones based on certain events. And some quarters, we have more and some quarters, we have less. So 1 quarter is not indicative. I can assure you there's a lot of R&D work going on all the time. And we are running what -- just 2, 3 years ago, we would be doing one project at a time. We just didn't have enough funds to really go and do a lot of things in parallel, I guess, maybe it's already 3 years now. But for the longest time, we actually did do one project in parallel at a time. Now we have several projects going on in parallel. Ishai is doing an amazing job managing and orchestrating all of these projects that are happening in Leti and in SkyWater and multiple projects in each one. So we are definitely making very good progress on the R&D front.

Maybe just sort of progress, maybe we touch on SkyWater. One of our investors has asked whether you can provide any color or feedback on -- sorry, any color on the feedback that's being received by potential SkyWater customers viewing the Weebit technology?

I think the reaction we are getting on the ReRAM is very positive. We're really -- people are excited about it. They like it. They want to move forward. The key challenge that we have right now in bringing the customers on board, it's a variety of things. One of the things that we've discovered is that SkyWater is a smaller newer foundry. And I talked many times about the fact that foundries have the supermarkets with shelves full of IPs. In the case of SkyWater, they are still filling the shelves. And so we've had cases where people came and said, your ReRAM looks great. We really want it, but we can't do the chip because there's another IP missing. And we've been working on finding solutions for that and helping those customers. But obviously, that has caused a certain delay in the work. Sometimes it gets to the point where the customer says, well, you know what, we have to ready to start the project. We're doing it somewhere else. But the next project we definitely are committed to do it with Weebit. So it is challenging. We're making progress. I think overall, the reaction from the customer base is very good, and we're pushing forward to materialize it.

Maybe just touching on DB HiTek now moving across to that. Another question that came in references -- previous releases back in probably 3, 4 years ago now that mentioned 3 companies one of which was a South Korean company. The question is was that South Korean company DB HiTek that was mentioned a couple of years back? And will DB HiTek be using our technology for sensors for automobiles? And the other part of the question is, when should we be expecting licensing revenues first before, I'm not sure NVR, like nonvolatile revenues or royalties? I'm not sure what this shareholder's asked. But maybe you can touch on what's DB HiTek over those that you mentioned back a few years ago? And what will they be -- what are they likely to -- or their customers be using our tech for?

Yes. So first of all, we've been in touch with quite a few foundries for a long time already. In the beginning, it was more just to make sure that they know us. And we've been -- DB HiTek was one of several that we've been talking to. They've been interested in ReRAM. And by the way, I think it's public information that they actually tried to work with Adesto first trying to make the Adesto technology work. As I believe our shareholders know, Adesto was acquired by Dialog and acquired Renesas. I mean that project, as we understand that DB HiTek ended up being canceled. And we jumped on the opportunity and launched forward with them. Again, it's similar to situations we had also with other foundries, and we're pushing forward with other foundries in parallel. I really like DB HiTek because, first of all, they are one of the top 10 company's foundries. And they are actually one of, I guess, I can say top 2, 3 in terms of more of the analog side of things. And like you mentioned, sensors and other things. So it's a great opportunity for us. They went through a real thorough evaluation. They wanted to make sure that this time around, they can get the technology to work, and we will move forward. So as always, the agreements include some payments for license/NRE and so on. And then there's going to be the customer engagements later on. And we have things based on milestones, and we will be getting payments based on milestones. And of course, we're looking forward to getting the technology transferred and working so that we can engage with their customer base.

You mentioned the Adesto ReRAM before. What was it about Adesto ReRAM that DB HiTek didn't like? Why have they gone with Weebit?

I don't know the details and I don't want to speculate here. I mean I have my -- what I think happened. But basically, once Adesto was acquired by Dialog, Dialog didn't acquire Adesto for the ReRAM technology. By the time they acquired Adesto, Adesto was doing a lot of other things as well. And then when Renesas acquired Dialog, they really didn't care about Adesto. They let most of the team go. And so I think somewhere along the way, one of the sites canceled the agreement between them. I mean, it was pretty obvious, it wasn't going to go anywhere. So I think that's what happened there. I don't want to speculate more than that.

Given we're talking about DB HiTek at the moment, can you give people a sense -- the people on the call a sense of who their customers are and what this agreement opens Weebit up to in terms of potential going forward?

Well, this is already a big foundry. They have much more customers than -- many more customers than SkyWater, for example. They have hundreds of customers. They have some very leading names that you can see in their annual report and in other places. If you start searching, you'll see that even companies like Samsung, Toshiba, Sony, Texas Instruments and others are in their customer list. So I mean, they have some important customers that now -- as soon as we start working with DBH, that's the short for DB HiTek. As soon as we start working with them and transferring the technology, we will engage with them to go over the customer base to see who are the ones that are the best potentials for us now that have the projects which are the best candidates for ReRAM. They already started doing that analysis, by the way. They already told us that they have a list of about 20 that they identified as the ones that we should probably go after in the beginning. So that work, I try to parallelize as much as I can. I try to go after these customers even in parallel to doing the technology transfer. Now obviously, a lot of the customers will say, "Well, you know what, let's see that you're qualified. We don't want to take this huge risk." And even I can imagine some of them will say, "Well, we already saw that Adesto didn't get all the way through. So we don't want to take unnecessary risks or things like that." I do hope that we will find the ones that will be willing to make that step forward faster. That's what I'm struggling with all the time to just get people on board. This is a very, very conservative industry. People are betting their product. They're developing a product for a car or for whatever. They're expecting to make several hundreds of millions of dollars revenue from it over the next, whatever, 5 years or whatever. And now I'm basically telling them, well, here's a new technology that can make your product much better and you agree that it has that potential. But at the end of the day, they're just really cautious about it, and that's what we need to overcome. I mean a few years from today, that won't be an issue. I think the ramp-up of sales will be much faster as soon as people see other products, which in the industry, the term is called silicon proven. Once people see some silicon proven technology that ReRAM is in a mass-produced product that's being sold out there that's going to open the floodgates. Right now, we're just pushing forward to get those first silicon proven projects.

And we have a couple of technical questions. So I think we'll just bundle it up together. So one of them was, so Coby, you mentioned previously that Weebit needs a fab to manufacture EEPROM. Is the EEPROM design and development ready for manufacture when a suitable fab is signed? And what nanometer size do you expect to manufacture it at?

So let me be clear. Weebit works on ReRAM. We do ReRAM. EPROM or EEPROM, that's a very old technology. I can even say that people are just telling us that we can replace with our ReRAM. So just to be clear, the idea is to go after the EEPROM or the NOR flash. Or there are several segments where when you start looking at it, the current ReRAM, the 1T1R, what we call is already competitive. So we are looking at that. We are pushing forward. We do need, at the end of the day, we need someone who can manufacture it and we need to transfer the technology to that foundry or fab and make it work. So that's something that we're working on in parallel. We can't obviously start manufacturing it before we have a fab that knows how to manufacture our technology. So it's kind of going in parallel.

The second technical question, are customers leading towards CMOS ReRAM because of the price? Or do they prefer FD-SOI FinFET because there is less leakage?

This is really -- it's different technologies. I don't want to dive very deep into semiconductor technical issues. But as we know, the technology keeps shrinking. People are constantly wanting to put more and more on the same piece of silicon. In order to do that, they go to smaller geometries. Now every time they reach a point where the existing technology is not working, you can't really shrink it more, and then they develop a certain variance. So we use what you can call the standard CMOS technology for us. And that went well until the 32, 28 nanometer level. At that point, FD-SOI, which is another way to manufacture the transistors was introduced, and that was a good approach for the '20s, even going down to teens. But again, you start hitting issues there and then the FinFET technology came out, which is more efficient for the smaller geometries. And then they went down below 10. And they got to the point where even FinFET was not really working good enough and they go to the EUV technology. So I mean it's -- the different technologies for different nodes, there are the preferred technologies or there are what people normally like to use. And if you decide to go, for example, 22 nanometer, most likely you'll end up going with FD-SOI, although you might be doing it -- in some of the foundries, they might be using another technology. 22 at GF is very popular, but you go down to the teens and then practically all the foundries when they go down to the teens, they offer FinFET. So customers make their decision on -- they first need to decide which geometry they want to go for. And there are million considerations for that in terms of how much they want to put on the chip, what size memories is part of it, how -- the power, the chip cost and so on and so forth. And then when they make that decision, it's almost implied which technology they'll use. And so it goes in that direction, not in the opposite direction.

Maybe one last tech question because we're coming up to 15 minutes to go. With MRAM, do the magnets in the speakers affect this technology and will ReRAM revolutionize headphones?

I would say the concern about the magnetic impact on MRAM is that is out there in the market. There are some people who try to explain that it's really not that important and not -- and less -- I mean, it's more negligible than what people try to make of it, but I know the fear is real, especially -- you never know where your device will go. And I mean, talking about not headset or headphone, but one of the earphone companies that we talked to was saying, "Well, we put these earphones in this casing that snap shot with a magnet." We're afraid that, that magnet will erase the memory. So there's no way we'll use MRAM. So I mean, the concern is definitely there. It's definitely real. People have this concern about going through an airport security machine with this or going to a hospital where there are MRI machines and so on. It's a real concern. I think people need to take it into account when they think about their device. I think the fact is ReRAM has so many advantages over MRAM and cost is the first one. It's just so much simpler and easier to manufacture ReRAM over MRAM. I think that's going to be the key factor why people go for ReRAM and why people are already looking to switch. They have been using MRAM. MRAM has been in the market already. But now that ReRAM is coming out, many people are looking to switch to ReRAM.

Just referring to DB HiTek, did they come on board with customers referencing Weebit? Previously you talked about the triangle and how one leads to the other, and you kind of have one without the other. So how did -- I guess, the question is how did DB HiTek come about? Was it them seeing the benefit of the Weebit technology? Or was it their customers saying you need Weebit technology on your list of that technology that we can utilize?

Well, I think, first of all, they realize the advantages of ReRAM, in general. And one of the key things and DB HiTek is focused a lot on analog type products. And in the analog space, flash which is front end of line is the technology that doesn't enable you to have the most optimal analog devices because -- I mean, what does front end mean? It means that it's sitting on the wafer right next to your design, and there is an impact on your design. You can't just do the most optimal design. Back-end-of-line technology like Weebit, which comes in the upper layers of the manufacturing doesn't impact the analog. So you can have a more optimal analog product. And they've been looking at that and looking for a good solution. They saw Weebit and they saw Adesto. At the time, Adesto was more advanced. Adesto was already ready for moving to a mass production facility back then. So they engaged with Adesto first. Once things fell apart with the Adesto, that was our opening and we came in. I'm sure that they have customers that they talk to. And that no foundry would talk to you and really move forward if they don't know that there's customer demand. This is a big investment for them. It's a big -- again, it's a big risk for them when they look at it that way in their eyes, of course. And they would not engage unless they knew that there are customers who wanted who need it and that they're going to be able to make money off of it.

There's been a couple of questions that have come in around the discrete market. Can you give an update on where things are at there and what's being worked on?

So clearly we are pushing that forward, and we do have work on that happening. A company needs to prioritize. Right now, my very big priority is getting them embedded into these foundries. We're engaged with quite a few of these big foundries. We're pushing forward foundries and IDMs. I need always clarify. And we are pushing forward with them. There's a lot of work there. I mean, each one of these engagements is a big engagement. And then we're talking to customers and we need to show customers that we can give them the solutions that they want. So it's just a matter of priorities. The discrete right now, we're working on it. It's moving forward, but it isn't the highest priority at this point. Hopefully, we'll be able to get to increase its priority and push it stronger forward. And I don't want people to understand that we're not working on it. We are working on it. We're pushing it forward. You can't have everything at the same level of priority.

You mentioned just now fabs and IDMs. We've got a question that came in at noticing that the annual report and the latest foresee now refers to fabs, IDMs and semiconductor companies. This new reference to semiconductor companies, is that following the work with DB HiTek?

Well, no, I think it's more -- there are 3 players that we're engaged with. There's foundries. And just to be clear, there's foundries, there's IDMs and foundries are companies that have fabs, but they don't have their own products. They basically offer services, manufacturing services to others. IDMs are companies that have fabs, but they use them to manufacture their own products. Intel manufactures its own Pentium in its fab or Texas Instruments has quite a few products that they manufacture in their own fabs. So you have foundries and IDMs. These are companies that have fabs and then you have the fabless companies, which different people refer to them in different terms, as fabless, as product companies. I apologize that sometimes we kind of mix terms. When I talked about semiconductor companies, I was thinking more of the product companies, and maybe we should have just used the term product companies there.

There's been a few questions on GlobalFoundries with the tape-out having been a few months ago and the latest quarterly noting that wafers were expected in the coming months. Can you give an update on where things are at GlobalFoundries, please?

I think you said it. It's been very long since we did the tape-out. Again, that's part of my struggle with these things. Foundries like GlobalFoundries will always give priority to projects that bring in money. So we've fallen down to a lower priority. I mean they do definitely want ReRAM. I mean you can see it with the fact that they actually acquired whatever was left of Adesto. And they are running with us in parallel to that. And they want to -- I guess, I'm imagining they want to see the results. These aren't mutually exclusive. They can work with both, of course. I think they want to see just the results. At the same time, they didn't give us the high priority that we were really hoping for. So it's taken longer. But yes, the wafers do need to come out. I'm hoping to see them out soon and we'll finally be able to start doing the measurements and report to the market the results of these measurements. So I mean now it's already -- we're getting much closer to seeing those wafers. I hope to see them. Let's see. I'm really pushing GF to give us more priority and just finish this manufacturing and have those wafers sooner rather than later.

Question from an investor. The battle of 22 nanometers has been going on for some time. UMC and TSMC went towards CMOS process. GlobalFoundries and Samsung went down the FD-SOI path. Only one company on that list doesn't have ReRAM. Can you see them being able to compete without ReRAM?

I think, first of all, FD-SOI -- there's the FD-SOI camp, which includes GF and I guess, Samsung also has FD-SOI. There is that battle, as I mentioned, as you go down to the smaller geometries. At a certain point, people had to switch technologies. In terms of TSMC, they just pushed CMOS as much as they could and then they switch directly to FinFET, Global -- by the way, for those who don't know, the people who developed FD-SOI are Leti. They're the inventors of FD-SOI. Just so you know, the quality of people at Leti, they are the ones who invented FD-SOI. And they are the ones who set up the first foundry for GlobalFoundries with FD-SOI. So that's kind of a fun fact for whoever wants it. So I mean, Leti know FD-SOI very well. That was one of the reasons why we engaged with GF, it was easier for us to move forward on that front. I think what I can say, and maybe I'll diverge a bit here. But TSMC, obviously, they have a very strong team and they developed their own ReRAM. UMC did not develop their own ReRAM. They managed to get hold of ReRAM technology that was originally developed at Panasonic. Now this Panasonic ReRAM, Panasonic itself doesn't have -- that division was already sold to Nuvoton and somehow the ReRAM -- as far as we understand, I'm going to put a lot of questions marks here because we're trying to figure out what exactly is going on there. As far as we can see the technology stay at Panasonic and UMC is using it. ReRAM requires a very strong R&D team. You need very strong people on multiple fronts on the device, the process, the analog design, the digital design. You need to have these teams working very well together. And I don't see that happening at UMC. We're hearing about people trying to use the TSMC ReRAM. From what I'm seeing in the market, I'm not seeing a big rush to the UMC ReRAM. On the other hand, GF is putting a lot of effort now in ReRAM both in the, what was the Adesto and what is Weebit. And I see GF as very serious about pushing forward ReRAM and we'll do everything we can to make sure that our ReRAM is in there.

Probably 3 more questions, and then we'll have to wrap up. I'm conscious you've got a really busy day ahead, and we're heading into evening here. But do you think that being only listed in the ASX has restricted the real value of Weebit? And with revenue now coming before the end of the year is a listing -- or expected, I'm sorry, to be coming before the end of the year is a listing on the U.S. stock exchange a possibility?

I've been asked that so many times by so many people because, I mean, the -- you would say the natural place for a high-tech semiconductor company would be a place like NASDAQ. I can tell you when I joined Weebit, my first question was what the hell are we doing in Australia? I've learned since then to appreciate the Australian market and definitely the shareholders that we have. I think overall, ASX has been good to us up to now in terms of an exchange. We've had our issues with the ASX deciding on -- is our release price sensitive or we've had other issues as people know. But overall, I don't think that being listed on the ASX was bad for Weebit. If anything, I think it was a good thing. Moving forward and as Weebit grows, we'll be having to consider things when they happen. And the question keeps coming up from people. So, every once in a while the Board will consider it. And if and when relevant, we'll obviously do something about it. But it's not anything that I have right now on my desk as an action item that I'm doing today.

Which industries do you think are ready for Weebit Nano's disruption? Industries being industries that see Weebit's ReRAM giving them a clear advantage? This investor thinks, for an example, humanoid robots that need to have low energy intelligent actuators, Apple Watch like Meta Oculus version 4. Can you give investors a sense of who you think will be ready for Weebit Nano's disruption, who are the key users of our technology in the near term?

I know it sounds kind of extreme, but we're seeing so much interest from so many different markets. I mean the advantages that ReRAM has are such that any market can see advantages for themselves. So you talk about -- right now, we're at 130-nanometer, I mean that's what we have qualified at this point. And obviously, at that level, and customers of SkyWater, you see, we are working with people in the analog space, all kinds of sensors and stuff. I mean industrial IoT, that's an area which is clearly interested in ReRAM. Medical, a lot of interest in the medical. And that's more at the 130 level and of course, the space, the mil aero. So these are the customers that right now, these are the big domains where SkyWater is, and that's where we're seeing specific potential right now. But when we talk about 22-nanometer, when we talk about other geometries, automotive, clearly, these guys are looking at ReRAM. One of the leading automotive companies, Infineon announced that their future companies will be based on ReRAM. They're close partners of TSMC. But that triggered a lot of companies to look at ReRAM. And I think AI companies keep coming in different ways and form. I think it's really a very broad need. And robots are just one of many applications that we can go to. And I think what you'll see is we'll just go after the applications that the foundries were engaged with that are strong in. So we'll go after their customers. And as we go into more and more foundries, we'll be going after more and more application areas.

Last question because I know we've gone over time, and there's been a lot that's happened in the last quarter. Can you give us a sense of what your priorities are for the December quarter and obviously closing out the calendar year, both in terms of the existing fabs and other growth initiatives that you're currently progressing?

Well, we have several foundries that we're working with right now that I really want to push forward and get to closure. I think that's my top priority, getting more foundries on board. Very close after that is getting, of course, customers on board. So I mean, customers in terms of product companies. So those are, for me, the top priorities, and that's what I'm focused on. I really want to see us expand our business and of course, keeping the team safe.

Coby, I hope you all continue to stay well and stay safe. And fingers crossed, we'll see you out here next month at the AGM or around the AGM as you meet with investors in Perth, Sydney and Melbourne. Thank you, everybody, for joining today and for giving us your time. I apologize if we've gone slightly over. But I appreciate, Coby, your candor on the call and the time you provided us today, and we look forward to hopefully seeing you very shortly out here in Australia.

Thanks, Ronn, and thank you, everyone, for attending.

Have a good evening, those in Australia and have a good day, those in Israel. Bye.

Thank you.