Company: TSEM
Filing Date: 2025-04-30
Form Type: 20-F
Source: 0001178913-25-001537
Chunk: 157

Company: TOWER SEMICONDUCTOR LTD
Filing Date: 2025-04-30
Form: 20-F
Item: Item 5
Chunk 157
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ITEM
5. OPERATING AND FINANCIAL REVIEW AND PROSPECTS

The information contained in this section should be read in conjunction
with our audited consolidated financial statements and the related notes thereto contained in this annual report. Our financial statements
have been prepared in accordance with U. S. GAAP. The following discussion and analysis may contain forward-looking statements that involve
risks and uncertainties. Our actual results and the timing of selected events could differ materially from those anticipated in these
forward-looking statements as a result of various factors, including those set forth under “ Item 3. Key Information - D. Risk
Factors” and elsewhere in this annual report.

A. OPERATING RESULTS

OVERVIEW

We are a pure-play independent specialty foundry dedicated to providing
wafers and engineering services based on the design specifications of our customers. As a pure-play foundry, we do not offer products
of our own. We currently offer process technology geometries of 0.35, 0.18, 0.16 and 0.13 -micron on 200-mm wafers; and 90 nanometer,
65 nanometer on 300-mm wafers. We also provide design support and complementary technical services. Our customers and/or our customers’
customers use our wafers in their end products, which are sold to and/or used in diverse markets, including consumer applications, personal
computers, communications, handsets and smartphones, automotive, industrial, aerospace and medical devices. The technology platforms that
we offer are focused on the mega trends of seamless connectivity, green everything and interactive smart systems.

For the year ended December 31, 2024, our revenues were derived
from customers located around the globe, of which 42% were located in the United States, 16% in Japan, 33% in Asia (excluding Japan) and
9% in Europe, as compared to 46%, 17%, 27% and 10%, respectively, for the year ended December 31, 2023.

For the year ended December 31, 2024, 13% of our revenues were
derived from NTCJ, 27% of our revenues were derived from an additional four customers, each comprising between 3% to 11% of our revenues,
and the remaining 60% of our revenues were derived from many other smaller customers, as compared to 14% derived from NTCJ, 30% derived
from