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Financial Performance - Net revenues for the year ended December 30, 2023, were $52.665 million, an increase of 47.3% compared to $35.761 million for the year ended December 31, 2022[212]. - Gross profit for the year ended December 30, 2023, was $20.226 million, representing a gross margin of 38.4%, up from $15.086 million in the previous year[212]. - Operating loss decreased to $13.244 million for the year ended December 30, 2023, compared to an operating loss of $16.512 million for the year ended December 31, 2022, reflecting improved operational efficiency[212]. - The company reported a net loss of $12.190 million for the year ended December 30, 2023, a reduction from a net loss of $17.075 million in the prior year[212]. - Net loss for the year ended December 30, 2023, was $12,190,000, compared to a net loss of $17,075,000 for the year ended December 31, 2022, representing a 28.0% improvement[222]. - Basic net loss per share for continuing operations was $(0.48) in 2023, compared to $(0.67) in 2022, indicating a reduction in losses[304]. Cash and Investments - Cash and cash equivalents decreased to $51.441 million as of December 30, 2023, down from $68.904 million as of December 31, 2022[209]. - Total cash, cash equivalents, and restricted cash at the end of the period was $52,141,000, down from $69,690,000 at the beginning of the period, indicating a decrease of 25.3%[222]. - The company had cash used in investing activities of $(28,418,000) for the year ended December 31, 2022, while it generated $18,281,000 in cash from investing activities for the year ended December 30, 2023, showing a positive turnaround[222]. - Total cash and cash equivalents as of December 30, 2023, amounted to $51,445,000, a decrease from $68,910,000 as of December 31, 2022, representing a decline of approximately 25.5%[321]. - Total short-term investments decreased to $17,460,000 as of December 30, 2023, from $25,772,000 as of December 31, 2022, reflecting a decline of about 32.4%[321]. - Total long-term investments were $2,690,000 as of December 30, 2023, down from $17,832,000 as of December 31, 2022, indicating a significant decrease of approximately 85%[321]. - The total cash, cash equivalents, and investments decreased to $71,595,000 as of December 30, 2023, from $112,514,000 as of December 31, 2022, a decline of about 36.4%[321]. Inventory and Liabilities - Inventories increased significantly to $43.795 million as of December 30, 2023, compared to $30.003 million as of December 31, 2022, indicating potential challenges in inventory management[209]. - Total current liabilities rose to $32.510 million as of December 30, 2023, compared to $25.975 million as of December 31, 2022, reflecting increased operational commitments[209]. - Inventories decreased by $13,792,000 in the year ended December 30, 2023, compared to a decrease of $24,105,000 in the previous year, indicating a reduction in inventory management challenges[222]. Research and Development - Research and development expenses for the year ended December 30, 2023, were $15.125 million, up from $13.722 million in the previous year, highlighting a focus on innovation[212]. Equity and Stock - The company’s additional paid-in capital increased to $210.320 million as of December 30, 2023, from $206.355 million as of December 31, 2022, indicating ongoing investment support[209]. - The weighted average shares outstanding increased to 26,121 thousand for the year ended December 30, 2023, compared to 25,192 thousand in the previous year, reflecting potential dilution effects[212]. - Proceeds from the issuance of common stock amounted to $1,365,000 in the year ended December 30, 2023, compared to $3,083,000 in the previous year, reflecting a decrease of 55.7%[222]. Taxation - The effective tax rate is influenced by projected earnings and geographic composition, with potential material effects on business outcomes if actual results differ from estimates[251]. - The company reported an effective tax rate of (16.9%) for fiscal 2023, compared to (8.6%) for fiscal 2022[334]. - The provision for income taxes on continuing operations for fiscal 2023 was $1,822,000, an increase from $1,327,000 in fiscal 2022, representing a rise of approximately 37.4%[334]. Legal and Compliance - The company incurred legal expenses of approximately $1.0 million related to a settlement in the Quiusky v. Intevac lawsuit, which was resolved in January 2023[369]. - The company’s management concluded that its disclosure controls and procedures were effective as of December 30, 2023[383]. - Intevac's management concluded that its internal control over financial reporting was effective as of December 30, 2023[386]. Acquisitions and Contingent Considerations - The acquisition of Hia, Inc. was completed on August 26, 2022, for a total purchase price of $763,000, including $700,000 in cash and $63,000 in transaction costs[377]. - The first milestone of the Hia acquisition was achieved, resulting in a contingent consideration payment of $250,000, which was accrued in the fourth quarter of 2022[378]. - The technology intangible assets from the Hia acquisition had a gross carrying amount of $1,132,000 as of December 30, 2023, with accumulated amortization of $178,000[382]. Cost Reduction Initiatives - The company implemented a 2023 Cost Reduction Plan, resulting in a 23% reduction in workforce and incurring restructuring costs of $2.0 million, expected to save approximately $4.6 million annually[370]. - The 2022 Cost Reduction Plan reduced the workforce by 6% and resulted in annual savings of approximately $2.1 million[371].

Financial Data and Key Metrics Changes - Intevac reported Q4 revenues of nearly $13 million, exceeding expectations, and full-year revenues of $52.7 million, a 47% increase from $35.8 million in 2022 [20][31][22] - Gross margin for Q4 was 46%, surpassing guidance, while the full-year gross margin was 38.4% [21][31] - The company ended the year with over $72 million in cash and investments, slightly below previous guidance due to delayed receivables [22][32] Business Line Data and Key Metrics Changes - The HDD business saw a significant revenue ramp in 2023, driven by strong demand for HAMR upgrades, resulting in a record level of upgrades [17][20] - Total backlog at year-end was $42 million, reflecting strong order activity for HAMR upgrades [22] Market Data and Key Metrics Changes - The HDD market is transitioning to HAMR technology, with Intevac positioned as a key technology partner, benefiting from the industry's upgrade initiatives [17][20] - The company noted a significant interest from Western Digital, indicating a broader industry shift towards HAMR [36][46] Company Strategy and Development Direction - Intevac is focusing on long-term growth and profitability, temporarily withdrawing near-term financial guidance to prioritize strategic initiatives [24][29] - The TRIO platform is seen as a key growth opportunity, with an estimated $1 billion market potential, and the company aims to diversify its product portfolio [23][28] Management's Comments on Operating Environment and Future Outlook - Management acknowledged challenges in cash collection and the impact of large customers on short-term financial results, emphasizing a focus on improving long-term financial performance [24][46] - The company expects to maintain a similar cash balance at the end of 2024 as at year-end 2023, despite halting certain resource deployments [29] Other Important Information - The company has decided to temporarily suspend HDD order fulfillment to align with standard payment terms and improve cash flow [25] - The display market has become more challenging, but there is significant customer interest in deploying TRIO systems across various applications [27][88] Q&A Session Summary Question: Can you provide clarity on the receivables collection process? - Management indicated that the issue is more about timing rather than a dispute over the receivable amount [102] Question: What is the outlook for the 2024 HDD market and HAMR upgrades? - Management expects a significant HAMR opportunity over the next few years, with ongoing interest from major customers [46][78] Question: How will the TRIO system negotiations impact future sales? - Management is confident that negotiations will conclude positively, with expectations to ship multiple systems in 2024 [99][103] Question: What are the best uses of cash moving forward? - The focus will be on protecting the balance sheet while considering minor investments to enhance in-house capabilities [91]

Financial Performance - Net revenues for Q3 2023 were $17.915 million, a 66.7% increase from $10.750 million in Q3 2022[126]. - Gross profit for Q3 2023 was $6.999 million, up from $4.890 million in Q3 2022, resulting in a gross margin of 39.1%[126]. - The net loss for Q3 2023 decreased to $1.576 million from $3.236 million in Q3 2022, reflecting improved revenues and gross profit[126]. - Revenue for the nine months ended September 30, 2023, was $39.758 million, compared to $24.502 million for the same period in 2022, marking a 62.1% increase[126]. - Gross profit for the three months ended September 30, 2023 was $6.999 million, a 42.9% increase from $4.890 million in the prior year[136]. - The gross margin for the nine months ended September 30, 2023, was 35.9%, down from 41.2% in the same period of 2022, due to higher inventory obsolescence charges[126]. Backlog and Revenue Recognition - The backlog as of September 30, 2023, was $46.497 million, significantly down from $121.743 million at the end of 2022, primarily due to a $54.6 million reduction from a cancelled order[134]. - The company expects to recognize 25.3% of its backlog as revenue in 2023, 50.2% in 2024, and 24.5% in 2025[134]. - The company recognized revenue from one 200 Lean HDD system and one refurbished 200 Lean HDD system in the first nine months of 2023[128]. Cost Management and Expenses - The company recorded $2.0 million in severance costs associated with its 2023 Cost Reduction Plan, partially offset by $462,000 in stock-based compensation forfeitures[127]. - Research and development expenses increased to $3.720 million in Q3 2023 from $3.311 million in Q3 2022, driven by higher spending on TRIO[138]. - Selling, general and administrative expenses decreased slightly to $4.707 million in Q3 2023 from $4.741 million in Q3 2022, despite higher severance charges and legal fees[139]. - The 2023 Cost Reduction Plan is expected to reduce annual expenses by approximately $4.6 million, following a 23% workforce reduction[140]. - The company incurred $1.9 million in restructuring costs related to the 2023 Cost Reduction Plan, including severance and stock-based compensation[140]. Cash Flow and Liquidity - As of September 30, 2023, Intevac had $66.2 million in cash, cash equivalents, restricted cash, and investments, down from $112.8 million at December 31, 2022, reflecting a decrease of $46.6 million primarily due to cash used in operating activities[149]. - Operating activities used cash of $40.9 million during the first nine months of fiscal 2023, compared to cash generated of $3.8 million during the same period in fiscal 2022[150]. - Accounts receivable increased to $28.0 million at September 30, 2023, up from $15.8 million at December 31, 2022, due to extended payment terms offered to customers[151]. - Net inventories rose to $42.8 million at September 30, 2023, compared to $30.0 million at December 31, 2022, driven by purchases to support TRIO inventory and HDD backlog[151]. - Investing activities generated cash of $16.6 million during the first nine months of fiscal 2023, with proceeds from sales and maturities of investments totaling $21.4 million[152]. - Financing activities used cash of $568,000 in the first nine months of fiscal 2023, with $1.4 million generated from the sale of common stock to employees[153]. Tax and Income - Provision for income taxes for Q3 2023 was $796,000, compared to $467,000 in Q3 2022, based on estimates of annual income and statutory tax rates[145]. - Income from discontinued operations for the nine months ended September 30, 2023 was $365,000, a significant improvement from a loss of $394,000 in the prior year[148]. Other Financial Commitments - Intevac agreed to make contingent consideration payments of up to $500,000 related to the acquisition of Hia Inc., with the first milestone payment of $250,000 made on January 17, 2023[154]. - Capital expenditures for the nine months ended September 30, 2023, were $4.9 million, with an additional $1.0 million projected for the remainder of fiscal 2023[152][157]. - Approximately $22.4 million of cash and cash equivalents were domiciled in foreign tax jurisdictions as of September 30, 2023, with expectations for a significant portion to remain offshore in the short term[156]. - Off-balance sheet firm commitments related to outstanding letters of credit amounted to approximately $700,000 as of September 30, 2023[158].

INTEVAC, Strictly Confidential. Not for Distribution. Forward Looking Statements During the course of this presentation, we will comment upon future events and may make projections about our future financial performance, including statements related to strategies, our expected sales, product shipments and acceptance, gross margin, operating expense, profit, cash flow, income tax expense, and capital allocation. We will discuss our business strategy, our products, the markets our products address, our positi ...

Financial Data and Key Metrics Changes - In Q2 2023, the company achieved revenues of $10.3 million, exceeding guidance of $8 million to $9 million, driven by one HDD 200 Lean system delivery and upgrades [45][11] - Gross margin for Q2 was reported at 24.9%, lower than previously expected due to a less favorable mix and increased costs [45][46] - The net loss for Q2 was $4.9 million, or $0.19 per diluted share, which was better than forecasted due to higher interest income and lower taxes [4][48] Business Line Data and Key Metrics Changes - The HDD business is on track for strong growth in 2023, with expectations of approximately $44 million in revenues, despite a significant order cancellation affecting medium-term forecasts [40][16] - The TRIO platform is expected to generate two to three systems in 2024, contributing to overall revenues in the low to mid-$50 million range [41][78] Market Data and Key Metrics Changes - The hard disk drive market has shown signs of softening demand since mid-2022, with a secular decline in legacy markets and a slowing growth rate in mass capacity markets [8][17] - Despite the challenges, the HDD media market remains a growth area, driven by demand for mass capacity drives [17][18] Company Strategy and Development Direction - The company is focusing on the qualification of the TRIO platform, which is expected to enhance productivity and flexibility in manufacturing processes [6][15] - A cost restructuring plan has been implemented, reducing headcount by approximately 25%, which is anticipated to yield over $4 million in annualized savings [50][20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in exiting 2023 with an increase in total cash and investments, projecting a cash balance between $75 million and $80 million [5][61] - The company expects to be cash neutral in 2024, with a streamlined cost structure and ongoing operational savings [21][42] Other Important Information - The company ended Q2 with cash and investments totaling $73.9 million, a decrease of $10.9 million from the previous quarter [48][33] - The backlog at the end of Q2 was $58.2 million, reflecting the impact of a $54 million order cancellation [47] Q&A Session Summary Question: What is the outlook for the HDD upgrade business? - Management indicated that the upgrade business is expected to maintain a revenue level of around $40 million for the next couple of years, supported by visibility into customer technology roadmaps [67][68] Question: Is there potential for price appreciation on systems? - Management confirmed that there is potential for price appreciation, but emphasized that the focus remains on technology shifts and upgrades [60] Question: What is the qualification process for the TRIO platform? - The qualification process is primarily focused on meeting the stringent requirements of the JDA partner, with separate customer qualifications occurring concurrently [82][83] Question: Will there be opportunities to monetize coating chemistry? - Management acknowledged the potential for future revenue streams from coating chemistry, including royalties, but emphasized that the current focus is on equipment sales [90][89]

Company Overview - Intevac is a global supplier for hard disk drive (HDD) manufacturing and a key enabler of process advancement[26] - The company has approximately 65% market share of worldwide media capacity[6] - Intevac has a strong cash balance to make strategic investments in support of key customers[23, 45] - The company has issued or pending over 120 patents[25] HDD Market - HDDs serve over 85% of storage industry needs (in Exabytes) over SSD[36] - HDD media capacity utilization has decreased from >90% to <40% in the last five quarters[20] - The HDD market has transitioned from being user-driven to Cloud-driven[53] TRIO Platform - Intevac introduced the TRIO™ system, combining Drum and In-Line coating systems[16] - The TRIO™ system is uniquely capable of depositing customized, application-specific coatings onto a variety of substrate sizes[13] - A new partnership was signed in 2022 with a leading display glass company to deploy TRIO™[12] - One TRIO Patent has been issued (11,456,162) and 9 patents are pending[48] Financial Performance & Outlook - Q1 2023 revenue was $11.5 million with a 41% gross margin[57] - Q1 2023 operating expenses were $9.2 million, resulting in an EPS of ($0.15)[57] - The order backlog was $121 million, and total cash and investments were $85 million as of Q1 2023[57] - Q2 2023 revenue is projected to be $8 million - $9 million, with full-year revenue between $36 million - $40 million[40] - Full-year gross margin is expected to be 35-38%, and full-year operating expenses are projected at $34 million[40] - The company's market capitalization is $172 million, with a deemed enterprise value of $87 million[59]

Financial Data and Key Metrics Changes - First quarter revenues totaled $11.5 million, at the high end of guidance of $10.5 million to $11.5 million, driven by HDD upgrades, spares, and service [5] - Q1 gross margin was 40.9%, roughly at the midpoint of guidance of 40% to 42% [6] - Q1 net loss was $3.9 million or $0.15 per diluted share, with a non-GAAP net loss of $4.2 million or $0.16 per diluted share [7] - Cash and investments at quarter-end were $85 million, equivalent to $3.27 per share, with a net use of cash of $28 million in Q1 [8] - Total cash flow used by operations was $24 million during the quarter [13] Business Line Data and Key Metrics Changes - The backlog was $120.7 million at quarter-end, reflecting $10.5 million of new orders booked in the quarter [8] - R&D and SG&A expenses were $9.2 million, just below the midpoint of guidance of $9 million to $9.5 million [6] - The company expects Q2 2023 revenue to be in the range of $8 million to $9 million, bringing first half revenues to $19 million to $20 million, about 40% higher than the first half of 2022 [15] Market Data and Key Metrics Changes - The hard drive industry is experiencing a period of softening demand, with significant moderation in growth expectations for 2023 [76] - The company maintains its HDD revenue forecast for 2023 at around $40 million, but up to 10% of that forecast is at risk of pushing out to next year [18] Company Strategy and Development Direction - The company is focused on transforming into a consistently growing and profitable cash-generating entity with a leading position in key markets [3] - The development of the TRIO platform is seen as a game-changing opportunity, broadening the product line and increasing the total addressable market [84] - The company is prioritizing resources towards TRIO opportunities and has made strategic investments in TRIO-related inventory [9][88] Management's Comments on Operating Environment and Future Outlook - The management acknowledges the challenging business environment in the hard drive industry and is managing costs prudently [82] - There is optimism regarding the long-term opportunities presented by the growth of data and the relevance of mass capacity storage [80] - The company expects initial TRIO orders to be placed around year-end 2023, with first revenues anticipated in 2024 [91] Other Important Information - The company has been making targeted strategic investments in TRIO-related inventory to support future growth [9] - The increase in inventory during Q1 was primarily driven by TRIO system preparations [10] Q&A Session Summary Question: Potential sales to the hard disk drive market being pushed to 2024 - Management has good visibility into customer demand and is working closely with HDD customers to confirm plans for the quarter and the rest of the year [25][26] Question: Insight into expected inventory increases - The increase in inventory will depend on shipments from backlog and continued investment in TRIO inventory [29][30] Question: Update on HAMR adoption timing - Management is confident that HAMR drives are on track for evaluation this year, with ramp-up expected in 2024 [31][37] Question: Capacity utilization at hard drive customers - Current utilization in the market is estimated to be around 40% to 50% [47] Question: Stability of pricing and component supply chain - Pricing is relatively stable, with some spikes from last year remaining high [49] Question: Tax situation and potential changes in 2024 - The majority of current tax is from the hard drive business, which could change with TRIO revenue in 2024 [50] Question: TRIO build expectations for 2023 - The company expects to build multiple TRIO systems in 2023, with significant investment in R&D and inventory [100][103]

Financial Performance - Net revenues for the year ended December 31, 2022, were $35.761 million, a decrease of 7.3% from $38.524 million in the previous year[227]. - Gross profit increased to $15.086 million, compared to $7.067 million in the prior year, reflecting improved cost management[227]. - Total operating expenses rose to $31.598 million, up from $29.543 million, primarily due to increased research and development costs of $13.722 million[227]. - The net loss from continuing operations was $16.754 million, compared to a loss of $23.057 million in the previous year, indicating a reduction in losses[227]. - The company reported a comprehensive loss of $17.846 million for the year, compared to a comprehensive income of $26.558 million in the previous year[230]. - Basic and diluted net loss per share for continuing operations was $(0.67), an improvement from $(0.95) in the prior year[227]. - For the year ended December 31, 2022, Intevac reported a net loss of $17,075,000 compared to a net income of $26,620,000 for the year ended January 1, 2022[236]. Cash Flow and Liquidity - Cash and cash equivalents decreased to $68.904 million from $102.728 million, indicating a reduction in liquidity[225]. - Total cash and cash equivalents at the end of the period decreased to $69,690,000 from $103,514,000 at the beginning of the period, reflecting a net decrease of $33,824,000[236]. - Intevac's operating activities used $7,434,000 in cash for the year ended December 31, 2022, compared to $278,000 provided in the previous year[236]. - The company incurred equity-based compensation expenses of $4,890,000 in 2022, up from $4,003,000 in 2021[236]. - Intevac's cash flow from investing activities was negative at $28,418,000 in 2022, compared to a positive cash flow of $71,204,000 in 2021[236]. Assets and Liabilities - Total assets increased to $173.059 million, up from $157.769 million, showing growth in the company's financial position[225]. - The accumulated deficit grew to $53.185 million from $36.110 million, highlighting ongoing challenges in profitability[225]. - The company has deferred tax assets that may be reduced by a valuation allowance if it is more likely than not that they will not be realized[266]. - Deferred income taxes were reported at $4,356,000 as of December 31, 2022, down from $5,310,000 on January 1, 2022[373]. - The net deferred tax assets were $4,356,000 as of December 31, 2022[402]. Inventory and Revenue Recognition - The company's inventories increased significantly to $30.003 million as of December 31, 2022, from $5.791 million a year earlier, reflecting changes in demand and production[225]. - Total net revenues from discontinued operations in the Photonics segment were $27,667,000 for the year ended December 31, 2022[300]. - The gross profit from discontinued operations was $6,530,000, with total operating expenses amounting to $11,194,000, resulting in an operating loss of $321,000[303]. - As of December 31, 2022, the company had $121.7 million in remaining performance obligations, with expected revenue recognition of 38% in 2023 and 21% in 2024[327]. Strategic Changes and Business Operations - The company completed the sale of its Photonics business for $70,000,000 in cash consideration in December 2021, which has been classified as discontinued operations[245][246]. - The divestiture of the Photonics segment is considered a significant strategic shift, impacting the Company's operations and financial results, reported as discontinued operations[299]. - The company has implemented a restructuring program aimed at reducing headcount and eliminating several R&D programs to realign operational focus[244]. Taxation - The total provision for income taxes for fiscal 2022 was $1,327,000, compared to $575,000 in fiscal 2021[398]. - The effective tax rate for fiscal 2022 was (8.6%), compared to (2.6%) in fiscal 2021[398]. - The effective tax rate is influenced by projected earnings, geographic earnings composition, and tax planning strategies, with potential material effects on financial results if actual results differ from estimates[272]. Customer Concentration - Seagate Technology accounted for 80% of Intevac's consolidated net revenues in fiscal 2022, up from 60% in 2021, indicating a significant customer concentration[363].

Financial Data and Key Metrics Changes - Intevac reported Q4 2022 revenues of $11.3 million, exceeding guidance of $10 million, primarily due to a favorable mix of revenue from HDD upgrades, spares, and service [21] - Q4 gross margins were 44.3%, significantly above the guidance of 32% to 34%, with expectations to maintain quarterly gross margins of 40% or more for 2023 [21][9] - The net loss for Q4 was $3.2 million, or $0.13 per diluted share, better than the guidance of $0.17 to $0.21 per diluted share [21] Business Line Data and Key Metrics Changes - The HDD business is expected to generate approximately $40 million in revenue for 2023, with a balanced contribution from the first and second halves of the year [9] - The TRIO platform is anticipated to provide significant long-term growth opportunities, with a minimum revenue commitment of $100 million over five years from a strategic partnership [39] Market Data and Key Metrics Changes - There are encouraging signs for a return to growth in datacenter investments and mass-capacity drives, with increased customer investments in new technology during a period of reduced factory utilization [7] - The company is well-positioned to benefit from the transition to HAMR technology, which is expected to drive significant revenue growth in the HDD market [40] Company Strategy and Development Direction - Intevac aims to transform into a consistently growing and profitable cash-generating company, focusing on innovation and collaboration with key partners [6][20] - The company has streamlined its business structure and strengthened its leadership team to align with genuine revenue growth prospects [5][16] - The TRIO platform is seen as a game-changing development, offering flexibility and cost competitiveness, which is critical for entering new markets [19][39] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, highlighting a commitment to returning to profitability by 2024 and maintaining a strong balance sheet [38][20] - The focus for 2023 will be on qualifying the initial TRIO system and ramping up production to meet customer demand [39][81] Other Important Information - The company ended 2022 with a record backlog of $122 million and a cash balance of $113 million, which is critical for supporting its business strategy [21][9] - Intevac has submitted nine patent applications related to the TRIO platform, indicating a strong commitment to enhancing its intellectual property portfolio [17] Q&A Session Summary Question: What is the expected revenue profile for the TRIO system? - Management indicated that it is too early to determine the exact revenue profile, emphasizing the focus on completing the first tool and its qualification [43] Question: How will the exclusivity agreement affect sales to other customers? - The exclusivity is limited to consumer electronic devices for glass and glass ceramic substrates, allowing the company to explore other market opportunities outside this scope [27][60] Question: What is the expected cash consumption in 2023? - The company plans to manage cash strategically while building inventory for TRIO systems, with expectations of maintaining a healthy cash balance [28] Question: What is the market share of the TRIO partner in the cellphone market? - Management refrained from commenting on the partner's market share but noted that they are a market leader in their sector [63] Question: Will the new 200 systems be shipped with HAMR updates? - The new systems will include some level of HAMR readiness, but not the latest upgrades developed in 2022 [58]