Of course a big part of the decision for setting up shop in China is because that is where the vast majority of module makers are. If you are going to build optical engines for those module makers then it stands to reason that you need to have a close connection to that side of the supply chain.

POET and/or customers of POET's advanced optical modules obviously see the benefits enabled by production outside of China. The market served for advanced optical modules is primarily outside of China as well as the supply chain for advanced qualified devices that will go into those modules.The production facilities do not require an army of cheap labor for assembly so the advantages that China offers becomes greatly diminished associated with POET's advanced platform.