Tower Semiconductor: pricing is holding because the substitute does not exist

Structurally this is a substitution question. Where a qualified alternative exists, price converges to the commodity tier within two cycles; where it does not, the premium persists until a new entrant qualifies, which takes years rather than quarters. Pricing disclosure carries it. Long-term agreements signed this quarter were struck above the prior cohort's realised price, which does not happen in a market where a substitute is available. The position: long on Tower Semiconductor, entry locked at publication and the exit dated rather than open-ended. The target is stated in the call block above and the horizon with it. Sized to the catalyst rather than to conviction, with the invalidation written into the kill-switch card instead of left implicit. The risk is a demand shock large enough to make the supply argument irrelevant. If end demand rolls over, a packaging queue stops being a constraint and starts being idle capacity, and the mix argument goes with it.