ASML's Dominance in Chipmaking Equipment Hard to Disrupt Despite New Rival
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ASML has total dominance in advanced EUV lithography systems needed for leading-edge chips. New rival Canon lacks scale and customer traction to threaten.
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ASML has strong customer partnerships and supply chain network built over decades. Highly risky for customers to switch.
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Near-term growth driven more by DUV systems, not just EUV. Diversified revenue base adds resilience.
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Proprietary software and installed base management help lock in customers. Competitive moats beyond hardware.
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Stock dropped into bear market on growth concerns. Valuation more reasonable now to start positions.