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ISO1432: SIN COS Encoder Signals

Part Number: ISO1432
Other Parts Discussed in Thread: UA9638, ISO7720,

My customer would like to use ISO1432 to replace the ISO7720+UA9638 and TLP2366(Opto Coupler) on Motor Encoder application. Please find here for configurations between CNC controller and Servo Drive. 

Is there any side effect? Or any advice?