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[00:12] tariff uncertainty. Deirdre Bosa here for Techcheck. And Deirdre this is the sort of chip machine maker. So if they're not doing well and it's not just today they've been down like 20% the past few months, then how can the rest of the AI space be doing well. That's exactly the question. ASML is one of one. It [00:29] is the choke point in advanced [00:31] chip manufacturing, the only [00:32] company in the world, in fact, [00:34] that makes the tools needed to [00:35] produce cutting edge semis. So it's warning raises concerns for the broader AI trade, which has largely been smooth sailing lately. Nvidia 4 trillion massive data center build outs, CapEx rising strong sentiment, but now ASML maybe a reminder that friction could be building at the infrastructure level. If fab tools get tangled in tariffs, that could threaten timelines, cost structure, even the geographic balance of AI hardware build out. So that's why you're seeing this news hit not just ASML today, but the semi and tech trade at large potentially cracks in the story. [01:08] Now there could be another [01:10] longer term boomerang impact on [01:12] US chip strategy if Asml's tools [01:14] get caught up in tariffs. That is the strategy is to bring more chip production back onshore to reduce reliance on Asia, push chip manufacturers to build here, build domestic fabs. But those fabs they can't function without ASML gear. And if tariffs slow or complicate those shipments Kelly that undercuts the effort. And it could give non-American companies Samsung TSMC more incentive to expand elsewhere even though they have plans here. So bottom line this [01:40] all risks leaving America [01:41] dependent on foreign supply. Just as AI becomes a strategic asset. Just as we hear from the likes of Meta and Google that have these massive compute build out plans. I mean, two quick thoughts. I can't imagine that the US would do anything to damage Nvidia's prospects. And [01:58] if that means exempting ASML [01:59] from tariffs or something, I [02:01] imagine that would be worked [02:02] out. But the other question I have is why ASML has been underperforming for the past couple of months now. This isn't just a today story. Even while all the rest of the chip trade or the AI trade is taking off. Yeah, and I think that there's been some other signs of this as well. I mean, you look at [02:18] companies like Hon Hai and Month [02:19] over month, some of the numbers [02:21] have been a little bit [02:22] troubling, or maybe just showing [02:24] hints of a deceleration. But you contrast that with what we hear from Mark Zuckerberg earlier this week, that he's going to be spending hundreds of billions of dollars on compute capacity, five gigawatts plus. You had an announcement from Google yesterday. The trade is certainly becoming more complicated. Kelly, I'm not going to claim that I understand everything that's going on. [02:44] Right. There's narrative. But then you see these data points from companies that build the infrastructure like an ASML like a hon hai. So maybe the trade is just becoming a little bit more complicated. And we saw what happened earlier in the year. I [02:58] mean the narrative is bullish [02:59] but maybe some cracks below the [03:02] surface. I'm thinking we need to get a couple of analysts on, follow the stock a