diff --git a/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestGenerated.java b/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestGenerated.java
index e2694f20f07..d1f3e3f6c53 100644
--- a/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestGenerated.java
+++ b/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestGenerated.java
@@ -12234,6 +12234,11 @@ public class FirOldFrontendDiagnosticsTestGenerated extends AbstractFirOldFronte
                 runTest("compiler/testData/diagnostics/tests/inference/upperBounds/flexibilityInCommonSuperTypeCalculation.ni.kt");
             }
 
+            @TestMetadata("inferringVariableByMaterializeAndUpperBound.kt")
+            public void testInferringVariableByMaterializeAndUpperBound() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/inference/upperBounds/inferringVariableByMaterializeAndUpperBound.kt");
+            }
+
             @TestMetadata("intersectUpperBounds.kt")
             public void testIntersectUpperBounds() throws Exception {
                 runTest("compiler/testData/diagnostics/tests/inference/upperBounds/intersectUpperBounds.kt");
diff --git a/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestWithStdlibGenerated.java b/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestWithStdlibGenerated.java
index 4fa7f64cada..f9b31e8be6c 100644
--- a/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestWithStdlibGenerated.java
+++ b/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestWithStdlibGenerated.java
@@ -3038,29 +3038,6 @@ public class FirOldFrontendDiagnosticsTestWithStdlibGenerated extends AbstractFi
             runTest("compiler/testData/diagnostics/testsWithStdLib/inference/recursiveFlexibleAssertions.kt");
         }
 
-        @TestMetadata("compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping")
-        @TestDataPath("$PROJECT_ROOT")
-        @RunWith(JUnit3RunnerWithInners.class)
-        public static class AddEqualityConstraintsWithoutSubtyping extends AbstractFirOldFrontendDiagnosticsTestWithStdlib {
-            private void runTest(String testDataFilePath) throws Exception {
-                KotlinTestUtils.runTest(this::doTest, this, testDataFilePath);
-            }
-
-            public void testAllFilesPresentInAddEqualityConstraintsWithoutSubtyping() throws Exception {
-                KotlinTestUtils.assertAllTestsPresentByMetadataWithExcluded(this.getClass(), new File("compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping"), Pattern.compile("^(.+)\\.kt$"), Pattern.compile("^(.+)\\.fir\\.kts?$"), true);
-            }
-
-            @TestMetadata("kt41741.kt")
-            public void testKt41741() throws Exception {
-                runTest("compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping/kt41741.kt");
-            }
-
-            @TestMetadata("kt42195.kt")
-            public void testKt42195() throws Exception {
-                runTest("compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping/kt42195.kt");
-            }
-        }
-
         @TestMetadata("compiler/testData/diagnostics/testsWithStdLib/inference/annotationsForResolve")
         @TestDataPath("$PROJECT_ROOT")
         @RunWith(JUnit3RunnerWithInners.class)
@@ -3373,6 +3350,34 @@ public class FirOldFrontendDiagnosticsTestWithStdlibGenerated extends AbstractFi
                 runTest("compiler/testData/diagnostics/testsWithStdLib/inference/nothingType/dontSpreadWarningToNotReturningNothingSubResolvedAtoms.kt");
             }
         }
+
+        @TestMetadata("compiler/testData/diagnostics/testsWithStdLib/inference/performance")
+        @TestDataPath("$PROJECT_ROOT")
+        @RunWith(JUnit3RunnerWithInners.class)
+        public static class Performance extends AbstractFirOldFrontendDiagnosticsTestWithStdlib {
+            private void runTest(String testDataFilePath) throws Exception {
+                KotlinTestUtils.runTest(this::doTest, this, testDataFilePath);
+            }
+
+            public void testAllFilesPresentInPerformance() throws Exception {
+                KotlinTestUtils.assertAllTestsPresentByMetadataWithExcluded(this.getClass(), new File("compiler/testData/diagnostics/testsWithStdLib/inference/performance"), Pattern.compile("^(.+)\\.kt$"), Pattern.compile("^(.+)\\.fir\\.kts?$"), true);
+            }
+
+            @TestMetadata("kt41644.kt")
+            public void testKt41644() throws Exception {
+                runTest("compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt41644.kt");
+            }
+
+            @TestMetadata("kt41741.kt")
+            public void testKt41741() throws Exception {
+                runTest("compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt41741.kt");
+            }
+
+            @TestMetadata("kt42195.kt")
+            public void testKt42195() throws Exception {
+                runTest("compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt42195.kt");
+            }
+        }
     }
 
     @TestMetadata("compiler/testData/diagnostics/testsWithStdLib/inline")
diff --git a/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/ConstraintIncorporator.kt b/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/ConstraintIncorporator.kt
index d326bc8e34c..06045c7b653 100644
--- a/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/ConstraintIncorporator.kt
+++ b/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/ConstraintIncorporator.kt
@@ -40,24 +40,12 @@ class ConstraintIncorporator(
         fun addNewIncorporatedConstraint(typeVariable: TypeVariableMarker, type: KotlinTypeMarker, constraintContext: ConstraintContext)
     }
 
-    fun incorporateEqualityConstraint(c: Context, typeVariable: TypeVariableMarker, constraint: Constraint) = with(c) {
-        // we shouldn't incorporate recursive constraint -- It is too dangerous
-        if (c.areThereRecursiveConstraints(typeVariable, constraint)) return
-
-        c.directWithVariable(typeVariable, constraint)
-        if (constraint.type.contains { it is TypeVariableTypeConstructorMarker }) {
-            c.otherInsideMyConstraint(typeVariable, constraint)
-        }
-        c.insideOtherConstraint(typeVariable, constraint)
-    }
-
     // \alpha is typeVariable, \beta -- other type variable registered in ConstraintStorage
-    fun incorporateSubtypeConstraint(c: Context, typeVariable: TypeVariableMarker, constraint: Constraint) {
+    fun incorporate(c: Context, typeVariable: TypeVariableMarker, constraint: Constraint) {
         // we shouldn't incorporate recursive constraint -- It is too dangerous
         if (c.areThereRecursiveConstraints(typeVariable, constraint)) return
 
         c.directWithVariable(typeVariable, constraint)
-        c.otherInsideMyConstraint(typeVariable, constraint)
         c.insideOtherConstraint(typeVariable, constraint)
     }
 
@@ -98,26 +86,6 @@ class ConstraintIncorporator(
         }
     }
 
-    // \alpha <: Inv<\beta>, \beta <: Number => \alpha <: Inv<out Number>
-    private fun Context.otherInsideMyConstraint(
-        typeVariable: TypeVariableMarker,
-        constraint: Constraint
-    ) {
-        val otherInMyConstraint = SmartSet.create<TypeVariableMarker>()
-        constraint.type.contains {
-            otherInMyConstraint.addIfNotNull(this.getTypeVariable(it.typeConstructor()))
-            false
-        }
-
-        for (otherTypeVariable in otherInMyConstraint) {
-            // to avoid ConcurrentModificationException
-            val otherConstraints = SmartList(this.getConstraintsForVariable(otherTypeVariable))
-            for (otherConstraint in otherConstraints) {
-                generateNewConstraint(typeVariable, constraint, otherTypeVariable, otherConstraint)
-            }
-        }
-    }
-
     // \alpha <: Number, \beta <: Inv<\alpha> => \beta <: Inv<out Number>
     private fun Context.insideOtherConstraint(
         typeVariable: TypeVariableMarker,
diff --git a/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/ConstraintInjector.kt b/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/ConstraintInjector.kt
index 2ce05be83a5..3905e1461de 100644
--- a/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/ConstraintInjector.kt
+++ b/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/ConstraintInjector.kt
@@ -85,7 +85,7 @@ class ConstraintInjector(
         typeCheckerContext.setConstrainingTypesToPrintDebugInfo(lowerType, upperType)
         typeCheckerContext.runIsSubtypeOf(lowerType, upperType)
 
-        processConstraints(c, typeCheckerContext, constraintIncorporator::incorporateSubtypeConstraint)
+        processConstraints(c, typeCheckerContext)
     }
 
     private fun addEqualityConstraintAndIncorporateIt(
@@ -97,14 +97,10 @@ class ConstraintInjector(
         typeCheckerContext.setConstrainingTypesToPrintDebugInfo(typeVariable, equalType)
         typeCheckerContext.addEqualityConstraint(typeVariable.typeConstructor(c), equalType)
 
-        processConstraints(c, typeCheckerContext, constraintIncorporator::incorporateEqualityConstraint)
+        processConstraints(c, typeCheckerContext)
     }
 
-    private fun processConstraints(
-        c: Context,
-        typeCheckerContext: TypeCheckerContext,
-        incorporate: (c: TypeCheckerContext, typeVariable: TypeVariableMarker, constraint: Constraint) -> Unit
-    ) {
+    private fun processConstraints(c: Context, typeCheckerContext: TypeCheckerContext) {
         while (typeCheckerContext.hasConstraintsToProcess()) {
             for ((typeVariable, constraint) in typeCheckerContext.extractAllConstraints()!!) {
                 if (c.shouldWeSkipConstraint(typeVariable, constraint)) continue
@@ -113,10 +109,17 @@ class ConstraintInjector(
                     c.notFixedTypeVariables[typeVariable.freshTypeConstructor(c)] ?: typeCheckerContext.fixedTypeVariable(typeVariable)
 
                 // it is important, that we add constraint here(not inside TypeCheckerContext), because inside incorporation we read constraints
-                constraints.addConstraint(constraint)?.let {
-                    if (!constraint.isNullabilityConstraint) {
-                        incorporate(typeCheckerContext, typeVariable, it)
-                    }
+                val (addedOrNonRedundantExistedConstraint, wasAdded) = constraints.addConstraint(constraint)
+                val positionFrom = constraint.position.from
+                val constraintToIncorporate = when {
+                    wasAdded && !constraint.isNullabilityConstraint -> addedOrNonRedundantExistedConstraint
+                    positionFrom is FixVariableConstraintPosition<*> && positionFrom.variable == typeVariable && constraint.kind == EQUALITY ->
+                        addedOrNonRedundantExistedConstraint
+                    else -> null
+                }
+
+                if (constraintToIncorporate != null) {
+                    constraintIncorporator.incorporate(typeCheckerContext, typeVariable, constraintToIncorporate)
                 }
             }
 
@@ -255,9 +258,8 @@ class ConstraintInjector(
             isFromNullabilityConstraint: Boolean
         ) = addConstraint(typeVariable, subType, LOWER, isFromNullabilityConstraint)
 
-        override fun addEqualityConstraint(typeVariable: TypeConstructorMarker, type: KotlinTypeMarker) {
+        override fun addEqualityConstraint(typeVariable: TypeConstructorMarker, type: KotlinTypeMarker) =
             addConstraint(typeVariable, type, EQUALITY, false)
-        }
 
         private fun isCapturedTypeFromSubtyping(type: KotlinTypeMarker) =
             when ((type as? CapturedTypeMarker)?.captureStatus()) {
diff --git a/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/model/MutableConstraintStorage.kt b/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/model/MutableConstraintStorage.kt
index 8dd11dc1382..f235223fc93 100644
--- a/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/model/MutableConstraintStorage.kt
+++ b/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/model/MutableConstraintStorage.kt
@@ -47,8 +47,9 @@ class MutableVariableWithConstraints private constructor(
 
     private var simplifiedConstraints: SmartList<Constraint>? = mutableConstraints
 
-    // return new actual constraint, if this constraint is new
-    fun addConstraint(constraint: Constraint): Constraint? {
+    // return new actual constraint, if this constraint is new, otherwise return already existed not redundant constraint
+    // the second element of pair is a flag whether a constraint was added in fact
+    fun addConstraint(constraint: Constraint): Pair<Constraint, Boolean> {
         val isLowerAndFlexibleTypeWithDefNotNullLowerBound = constraint.isLowerAndFlexibleTypeWithDefNotNullLowerBound()
 
         for (previousConstraint in constraints) {
@@ -56,7 +57,10 @@ class MutableVariableWithConstraints private constructor(
                 && previousConstraint.type == constraint.type
                 && previousConstraint.isNullabilityConstraint == constraint.isNullabilityConstraint
             ) {
-                if (newConstraintIsUseless(previousConstraint, constraint)) return null
+                if (newConstraintIsUseless(previousConstraint, constraint)) {
+                    return previousConstraint to false
+                }
+
                 val isMatchingForSimplification = when (previousConstraint.kind) {
                     ConstraintKind.LOWER -> constraint.kind.isUpper()
                     ConstraintKind.UPPER -> constraint.kind.isLower()
@@ -75,14 +79,14 @@ class MutableVariableWithConstraints private constructor(
                     } else constraint
                     mutableConstraints.add(actualConstraint)
                     simplifiedConstraints = null
-                    return actualConstraint
+                    return actualConstraint to true
                 }
             }
 
             if (isLowerAndFlexibleTypeWithDefNotNullLowerBound &&
                 previousConstraint.isStrongerThanLowerAndFlexibleTypeWithDefNotNullLowerBound(constraint)
             ) {
-                return null
+                return previousConstraint to false
             }
         }
 
@@ -95,7 +99,7 @@ class MutableVariableWithConstraints private constructor(
             simplifiedConstraints = null
         }
 
-        return constraint
+        return constraint to true
     }
 
     // This method should be used only for transaction in constraint system
diff --git a/compiler/testData/diagnostics/tests/inference/commonSystem/cstWithTypeContainingNonFixedVariable.kt b/compiler/testData/diagnostics/tests/inference/commonSystem/cstWithTypeContainingNonFixedVariable.kt
index ece139a8b99..41441411794 100644
--- a/compiler/testData/diagnostics/tests/inference/commonSystem/cstWithTypeContainingNonFixedVariable.kt
+++ b/compiler/testData/diagnostics/tests/inference/commonSystem/cstWithTypeContainingNonFixedVariable.kt
@@ -59,11 +59,11 @@ fun testVariableWithBound() {
 
     <!DEBUG_INFO_EXPRESSION_TYPE("Inv<kotlin.Int>")!>c1<!>
 
-    val c2 = <!TYPE_MISMATCH!>select<!>(SubInv<String>(), createWithNumberBound())
+    val c2 = <!TYPE_MISMATCH!>select<!>(SubInv<String>(), <!TYPE_MISMATCH!>createWithNumberBound<!>())
 
     <!DEBUG_INFO_EXPRESSION_TYPE("Inv<kotlin.String>")!>c2<!>
 
-    val c3 = <!TYPE_MISMATCH!>select<!>(SubInv<Double>(), createWithIntBound())
+    val c3 = <!TYPE_MISMATCH!>select<!>(SubInv<Double>(), <!TYPE_MISMATCH!>createWithIntBound<!>())
 
     <!DEBUG_INFO_EXPRESSION_TYPE("Inv<kotlin.Double>")!>c3<!>
 }
diff --git a/compiler/testData/diagnostics/tests/inference/completion/postponedArgumentsAnalysis/basic.kt b/compiler/testData/diagnostics/tests/inference/completion/postponedArgumentsAnalysis/basic.kt
index 07c7cc5a200..2c102c68e2f 100644
--- a/compiler/testData/diagnostics/tests/inference/completion/postponedArgumentsAnalysis/basic.kt
+++ b/compiler/testData/diagnostics/tests/inference/completion/postponedArgumentsAnalysis/basic.kt
@@ -119,8 +119,8 @@ fun main() {
      * K <: (A) -> Unit -> TypeVariable(_RP1) >: A
      * K >: (C) -> TypeVariable(_R) -> TypeVariable(_RP1) <: C
      */
-    val x12 = selectC(id <!TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH!>{ <!DEBUG_INFO_EXPRESSION_TYPE("C")!>it<!> }<!>, id <!TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH!>{ x: B -> }<!><!NO_VALUE_FOR_PARAMETER!>)<!>
-    val x13 = selectA(id <!TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH!>{ <!DEBUG_INFO_EXPRESSION_TYPE("A")!>it<!> }<!>, id <!TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH!>{ x: C -> }<!><!NO_VALUE_FOR_PARAMETER!>)<!>
+    val x12 = selectC(id <!TYPE_MISMATCH!>{ <!DEBUG_INFO_EXPRESSION_TYPE("C")!>it<!> }<!>, id <!TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH!>{ x: B -> }<!><!NO_VALUE_FOR_PARAMETER!>)<!>
+    val x13 = selectA(id <!TYPE_MISMATCH!>{ <!DEBUG_INFO_EXPRESSION_TYPE("A")!>it<!> }<!>, id <!TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH!>{ x: C -> }<!><!NO_VALUE_FOR_PARAMETER!>)<!>
     val x14 = selectC(id { <!DEBUG_INFO_EXPRESSION_TYPE("C")!>it<!> }, id { x: A -> }, { x -> x })
     val x15 = selectC(id { <!DEBUG_INFO_EXPRESSION_TYPE("C")!>it<!> }, { x: A -> }, id { x -> x })
     /*
@@ -138,8 +138,8 @@ fun main() {
      * K <: (C) -> Unit -> TypeVariable(_RP1) >: C
      * K == (B) -> Unit -> TypeVariable(_RP1) == B
      */
-    val x17: (C) -> Unit = <!TYPE_MISMATCH, TYPE_MISMATCH!>selectB(id <!TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH!>{ <!DEBUG_INFO_EXPRESSION_TYPE("B")!>it<!> }<!>, id <!TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH!>{ it }<!>, id<(B) -> Unit> { x -> x })<!>
-    val x18: (C) -> Unit = <!TYPE_MISMATCH!>select(id <!TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH!>{ <!DEBUG_INFO_EXPRESSION_TYPE("C")!>it<!> }<!>, <!TYPE_MISMATCH, TYPE_MISMATCH!>{ <!DEBUG_INFO_EXPRESSION_TYPE("C")!>it<!> }<!>, id<(B) -> Unit> { x -> x })<!>
+    val x17: (C) -> Unit = <!TYPE_MISMATCH, TYPE_MISMATCH!>selectB(id <!TYPE_MISMATCH, TYPE_MISMATCH!>{ <!DEBUG_INFO_EXPRESSION_TYPE("B")!>it<!> }<!>, id <!TYPE_MISMATCH, TYPE_MISMATCH!>{ it }<!>, id<(B) -> Unit> { x -> x })<!>
+    val x18: (C) -> Unit = <!TYPE_MISMATCH!>select(id <!TYPE_MISMATCH, TYPE_MISMATCH!>{ <!DEBUG_INFO_EXPRESSION_TYPE("C")!>it<!> }<!>, <!TYPE_MISMATCH!>{ <!DEBUG_INFO_EXPRESSION_TYPE("C")!>it<!> }<!>, id<(B) -> Unit> { x -> x })<!>
 
     // Resolution of extension/non-extension functions combination
     val x19: String.() -> Unit = select(<!DEBUG_INFO_EXPRESSION_TYPE("kotlin.String.() -> kotlin.Unit")!>id { <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.String"), DEBUG_INFO_EXPRESSION_TYPE("kotlin.String")!>this<!> }<!>, <!DEBUG_INFO_EXPRESSION_TYPE("(kotlin.String) -> kotlin.Unit")!>id(fun(x: String) {})<!>)
diff --git a/compiler/testData/diagnostics/tests/inference/upperBounds/flexibilityInCommonSuperTypeCalculation.ni.kt b/compiler/testData/diagnostics/tests/inference/upperBounds/flexibilityInCommonSuperTypeCalculation.ni.kt
index f1978bf64d9..21aa9aeabef 100644
--- a/compiler/testData/diagnostics/tests/inference/upperBounds/flexibilityInCommonSuperTypeCalculation.ni.kt
+++ b/compiler/testData/diagnostics/tests/inference/upperBounds/flexibilityInCommonSuperTypeCalculation.ni.kt
@@ -240,11 +240,11 @@ fun case_13() {
     <!DEBUG_INFO_EXPRESSION_TYPE("dynamic")!>result_4<!>
     <!DEBUG_INFO_EXPRESSION_TYPE("dynamic")!>result_5<!>
     <!DEBUG_INFO_EXPRESSION_TYPE("dynamic")!>result_6<!>
-    <!DEBUG_INFO_EXPRESSION_TYPE("A<dynamic>")!>result_7<!>
-    <!DEBUG_INFO_EXPRESSION_TYPE("A<dynamic>")!>result_8<!>
-    <!DEBUG_INFO_EXPRESSION_TYPE("A<dynamic>")!>result_9<!>
-    <!DEBUG_INFO_EXPRESSION_TYPE("A<dynamic>")!>result_10<!>
-    <!DEBUG_INFO_EXPRESSION_TYPE("A<dynamic>")!>result_11<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("A<(kotlin.collections.MutableList<(kotlin.Int..kotlin.Int?)>..kotlin.collections.List<(kotlin.Int..kotlin.Int?)>?)>")!>result_7<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("A<(kotlin.collections.MutableList<(kotlin.Int..kotlin.Int?)>..kotlin.collections.List<(kotlin.Int..kotlin.Int?)>?)>")!>result_8<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("A<(kotlin.collections.MutableList<(kotlin.Int..kotlin.Int?)>..kotlin.collections.List<(kotlin.Int..kotlin.Int?)>?)>")!>result_9<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("A<kotlin.collections.MutableList<kotlin.Int>>")!>result_10<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("A<kotlin.collections.List<kotlin.Int>?>")!>result_11<!>
     <!DEBUG_INFO_EXPRESSION_TYPE("A<dynamic>")!>result_12<!>
 }
 
diff --git a/compiler/testData/diagnostics/tests/inference/upperBounds/inferringVariableByMaterializeAndUpperBound.fir.kt b/compiler/testData/diagnostics/tests/inference/upperBounds/inferringVariableByMaterializeAndUpperBound.fir.kt
new file mode 100644
index 00000000000..252b7fedfcb
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/upperBounds/inferringVariableByMaterializeAndUpperBound.fir.kt
@@ -0,0 +1,14 @@
+// !DIAGNOSTICS: -CAST_NEVER_SUCCEEDS
+
+interface I
+
+interface Inv<P>
+interface Out<out T>
+
+class Bar<U : I>(val x: Inv<Out<U>>)
+
+fun <T> materializeFoo(): Inv<T> = null as Inv<T>
+
+fun main() {
+    Bar(materializeFoo())
+}
\ No newline at end of file
diff --git a/compiler/testData/diagnostics/tests/inference/upperBounds/inferringVariableByMaterializeAndUpperBound.kt b/compiler/testData/diagnostics/tests/inference/upperBounds/inferringVariableByMaterializeAndUpperBound.kt
new file mode 100644
index 00000000000..7bbe9a58142
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/upperBounds/inferringVariableByMaterializeAndUpperBound.kt
@@ -0,0 +1,14 @@
+// !DIAGNOSTICS: -CAST_NEVER_SUCCEEDS
+
+interface I
+
+interface Inv<P>
+interface Out<out T>
+
+class Bar<U : I>(val x: Inv<Out<U>>)
+
+fun <T> materializeFoo(): Inv<T> = null as Inv<T>
+
+fun main() {
+    <!NEW_INFERENCE_NO_INFORMATION_FOR_PARAMETER!>Bar<!>(<!NEW_INFERENCE_NO_INFORMATION_FOR_PARAMETER!>materializeFoo<!>())
+}
\ No newline at end of file
diff --git a/compiler/testData/diagnostics/tests/inference/upperBounds/inferringVariableByMaterializeAndUpperBound.txt b/compiler/testData/diagnostics/tests/inference/upperBounds/inferringVariableByMaterializeAndUpperBound.txt
new file mode 100644
index 00000000000..27fac7e5e53
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/upperBounds/inferringVariableByMaterializeAndUpperBound.txt
@@ -0,0 +1,30 @@
+package
+
+public fun main(): kotlin.Unit
+public fun </*0*/ T> materializeFoo(): Inv<T>
+
+public final class Bar</*0*/ U : I> {
+    public constructor Bar</*0*/ U : I>(/*0*/ x: Inv<Out<U>>)
+    public final val x: Inv<Out<U>>
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface I {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface Inv</*0*/ P> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface Out</*0*/ out T> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/testData/diagnostics/testsWithStdLib/inference/completion/postponedArgumentsAnalysis/suspendFunctions.kt b/compiler/testData/diagnostics/testsWithStdLib/inference/completion/postponedArgumentsAnalysis/suspendFunctions.kt
index 770c150974a..be8a30e59c5 100644
--- a/compiler/testData/diagnostics/testsWithStdLib/inference/completion/postponedArgumentsAnalysis/suspendFunctions.kt
+++ b/compiler/testData/diagnostics/testsWithStdLib/inference/completion/postponedArgumentsAnalysis/suspendFunctions.kt
@@ -19,7 +19,7 @@ fun main() {
     val x1: suspend (Int) -> Unit = takeSuspend(<!DEBUG_INFO_EXPRESSION_TYPE("suspend (kotlin.Int) -> kotlin.Unit")!>id { it }<!>, <!DEBUG_INFO_EXPRESSION_TYPE("suspend (kotlin.Int) -> kotlin.Unit")!>{ x -> x }<!>)
 
     // Here, the error should be
-    val x2: (Int) -> Unit = <!TYPE_MISMATCH!>takeSuspend(<!DEBUG_INFO_EXPRESSION_TYPE("suspend (kotlin.Int) -> kotlin.Unit")!>id <!TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH!>{ it }<!><!>, <!DEBUG_INFO_EXPRESSION_TYPE("suspend (kotlin.Int) -> kotlin.Unit"), TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH!>{ x -> x }<!>)<!>
-    val x3: suspend (Int) -> Unit = takeSimpleFunction(<!DEBUG_INFO_EXPRESSION_TYPE("suspend (kotlin.Int) -> kotlin.Unit")!>id <!TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH!>{ it }<!><!>, <!DEBUG_INFO_EXPRESSION_TYPE("suspend (kotlin.Int) -> kotlin.Unit"), TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH!>{ x -> x }<!>)
-    val x4: (Int) -> Unit = <!TYPE_MISMATCH, TYPE_MISMATCH!>takeSimpleFunction(<!TYPE_MISMATCH!>id<suspend (Int) -> Unit> {}<!>, <!DEBUG_INFO_EXPRESSION_TYPE("suspend (kotlin.Int) -> kotlin.Unit"), TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH!>{}<!>)<!>
+    val x2: (Int) -> Unit = <!TYPE_MISMATCH!>takeSuspend(<!DEBUG_INFO_EXPRESSION_TYPE("suspend (kotlin.Int) -> kotlin.Unit")!>id <!TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH!>{ it }<!><!>, <!DEBUG_INFO_EXPRESSION_TYPE("suspend (kotlin.Int) -> kotlin.Unit"), TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH!>{ x -> x }<!>)<!>
+    val x3: suspend (Int) -> Unit = takeSimpleFunction(<!DEBUG_INFO_EXPRESSION_TYPE("suspend (kotlin.Int) -> kotlin.Unit")!>id <!TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH!>{ it }<!><!>, <!DEBUG_INFO_EXPRESSION_TYPE("suspend (kotlin.Int) -> kotlin.Unit"), TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH!>{ x -> x }<!>)
+    val x4: (Int) -> Unit = <!TYPE_MISMATCH, TYPE_MISMATCH!>takeSimpleFunction(<!TYPE_MISMATCH!>id<suspend (Int) -> Unit> {}<!>, <!DEBUG_INFO_EXPRESSION_TYPE("suspend (kotlin.Int) -> kotlin.Unit"), TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH, TYPE_MISMATCH!>{}<!>)<!>
 }
diff --git a/compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt41644.kt b/compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt41644.kt
new file mode 100644
index 00000000000..bf660e84702
--- /dev/null
+++ b/compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt41644.kt
@@ -0,0 +1,44 @@
+// FIR_IDENTICAL
+//!DIAGNOSTICS: -UNUSED_PARAMETER -CAST_NEVER_SUCCEEDS
+
+sealed class DataType<T> {
+    sealed class NotNull<T> : DataType<T>() {
+        abstract class Partial<T> : NotNull<T>()
+    }
+}
+
+class Tuple8<A, DA : DataType<A>, B, DB : DataType<B>, C, DC : DataType<C>, D, DD : DataType<D>, E, DE : DataType<E>, F, DF : DataType<F>, G, DG : DataType<G>, H, DH : DataType<H>>(
+    firstName: String, firstType: DA,
+    secondName: String, secondType: DB,
+    thirdName: String, thirdType: DC,
+    fourthName: String, fourthType: DD,
+    fifthName: String, fifthType: DE,
+    sixthName: String, sixthType: DF,
+    seventhName: String, seventhType: DG,
+    eighthName: String, eighthType: DH
+) : Schema<Tuple8<A, DA, B, DB, C, DC, D, DD, E, DE, F, DF, G, DG, H, DH>>()
+
+class EitherType<SCH : Schema<SCH>>(
+    schema: SCH
+)
+
+open class Schema<T>
+
+fun <A, DA : DataType<A>, B, DB : DataType<B>, C, DC : DataType<C>, D, DD : DataType<D>, E, DE : DataType<E>, F, DF : DataType<F>, G, DG : DataType<G>, H, DH : DataType<H>> either8(
+    firstName: String, firstType: DA,
+    secondName: String, secondType: DB,
+    thirdName: String, thirdType: DC,
+    fourthName: String, fourthType: DD,
+    fifthName: String, fifthType: DE,
+    sixthName: String, sixthType: DF,
+    seventhName: String, seventhType: DG,
+    eighthName: String, eighthType: DH
+): DataType.NotNull.Partial<Either8<A, B, C, D, E, F, G, H>> =
+    EitherType(
+        Tuple8(
+            firstName, firstType, secondName, secondType, thirdName, thirdType, fourthName, fourthType,
+            fifthName, fifthType, sixthName, sixthType, seventhName, seventhType, eighthName, eighthType
+        )
+    ) as DataType.NotNull.Partial<Either8<A, B, C, D, E, F, G, H>>
+
+class Either8<T, U, V, W, X, Y, Z, T1>
diff --git a/compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt41644.txt b/compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt41644.txt
new file mode 100644
index 00000000000..8fc7f0bc599
--- /dev/null
+++ b/compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt41644.txt
@@ -0,0 +1,52 @@
+package
+
+public fun </*0*/ A, /*1*/ DA : DataType<A>, /*2*/ B, /*3*/ DB : DataType<B>, /*4*/ C, /*5*/ DC : DataType<C>, /*6*/ D, /*7*/ DD : DataType<D>, /*8*/ E, /*9*/ DE : DataType<E>, /*10*/ F, /*11*/ DF : DataType<F>, /*12*/ G, /*13*/ DG : DataType<G>, /*14*/ H, /*15*/ DH : DataType<H>> either8(/*0*/ firstName: kotlin.String, /*1*/ firstType: DA, /*2*/ secondName: kotlin.String, /*3*/ secondType: DB, /*4*/ thirdName: kotlin.String, /*5*/ thirdType: DC, /*6*/ fourthName: kotlin.String, /*7*/ fourthType: DD, /*8*/ fifthName: kotlin.String, /*9*/ fifthType: DE, /*10*/ sixthName: kotlin.String, /*11*/ sixthType: DF, /*12*/ seventhName: kotlin.String, /*13*/ seventhType: DG, /*14*/ eighthName: kotlin.String, /*15*/ eighthType: DH): DataType.NotNull.Partial<Either8<A, B, C, D, E, F, G, H>>
+
+public sealed class DataType</*0*/ T> {
+    private constructor DataType</*0*/ T>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+
+    public sealed class NotNull</*0*/ T> : DataType<T> {
+        private constructor NotNull</*0*/ T>()
+        public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+        public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+        public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+
+        public abstract class Partial</*0*/ T> : DataType.NotNull<T> {
+            public constructor Partial</*0*/ T>()
+            public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+            public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+            public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+        }
+    }
+}
+
+public final class Either8</*0*/ T, /*1*/ U, /*2*/ V, /*3*/ W, /*4*/ X, /*5*/ Y, /*6*/ Z, /*7*/ T1> {
+    public constructor Either8</*0*/ T, /*1*/ U, /*2*/ V, /*3*/ W, /*4*/ X, /*5*/ Y, /*6*/ Z, /*7*/ T1>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class EitherType</*0*/ SCH : Schema<SCH>> {
+    public constructor EitherType</*0*/ SCH : Schema<SCH>>(/*0*/ schema: SCH)
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public open class Schema</*0*/ T> {
+    public constructor Schema</*0*/ T>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class Tuple8</*0*/ A, /*1*/ DA : DataType<A>, /*2*/ B, /*3*/ DB : DataType<B>, /*4*/ C, /*5*/ DC : DataType<C>, /*6*/ D, /*7*/ DD : DataType<D>, /*8*/ E, /*9*/ DE : DataType<E>, /*10*/ F, /*11*/ DF : DataType<F>, /*12*/ G, /*13*/ DG : DataType<G>, /*14*/ H, /*15*/ DH : DataType<H>> : Schema<Tuple8<A, DA, B, DB, C, DC, D, DD, E, DE, F, DF, G, DG, H, DH>> {
+    public constructor Tuple8</*0*/ A, /*1*/ DA : DataType<A>, /*2*/ B, /*3*/ DB : DataType<B>, /*4*/ C, /*5*/ DC : DataType<C>, /*6*/ D, /*7*/ DD : DataType<D>, /*8*/ E, /*9*/ DE : DataType<E>, /*10*/ F, /*11*/ DF : DataType<F>, /*12*/ G, /*13*/ DG : DataType<G>, /*14*/ H, /*15*/ DH : DataType<H>>(/*0*/ firstName: kotlin.String, /*1*/ firstType: DA, /*2*/ secondName: kotlin.String, /*3*/ secondType: DB, /*4*/ thirdName: kotlin.String, /*5*/ thirdType: DC, /*6*/ fourthName: kotlin.String, /*7*/ fourthType: DD, /*8*/ fifthName: kotlin.String, /*9*/ fifthType: DE, /*10*/ sixthName: kotlin.String, /*11*/ sixthType: DF, /*12*/ seventhName: kotlin.String, /*13*/ seventhType: DG, /*14*/ eighthName: kotlin.String, /*15*/ eighthType: DH)
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping/kt41741.kt b/compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt41741.kt
similarity index 100%
rename from compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping/kt41741.kt
rename to compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt41741.kt
diff --git a/compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping/kt41741.txt b/compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt41741.txt
similarity index 100%
rename from compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping/kt41741.txt
rename to compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt41741.txt
diff --git a/compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping/kt42195.kt b/compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt42195.kt
similarity index 100%
rename from compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping/kt42195.kt
rename to compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt42195.kt
diff --git a/compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping/kt42195.txt b/compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt42195.txt
similarity index 100%
rename from compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping/kt42195.txt
rename to compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt42195.txt
diff --git a/compiler/testData/diagnostics/testsWithStdLib/tryCatch/tryExpression.kt b/compiler/testData/diagnostics/testsWithStdLib/tryCatch/tryExpression.kt
index 7bca0381a93..a1202adfcb2 100644
--- a/compiler/testData/diagnostics/testsWithStdLib/tryCatch/tryExpression.kt
+++ b/compiler/testData/diagnostics/testsWithStdLib/tryCatch/tryExpression.kt
@@ -27,7 +27,7 @@ fun test1(): Map<Int, Int> = run {
 }
 
 fun test2(): Map<Int, Int> = run {
-    <!NI;TYPE_MISMATCH, NI;TYPE_MISMATCH, NI;TYPE_MISMATCH, NI;TYPE_MISMATCH, NI;TYPE_MISMATCH, NI;TYPE_MISMATCH, NI;TYPE_MISMATCH!>try {
+    <!NI;TYPE_MISMATCH, NI;TYPE_MISMATCH, NI;TYPE_MISMATCH!>try {
         emptyMap()
     } catch (e: ExcA) {
         <!NI;TYPE_MISMATCH, OI;TYPE_INFERENCE_EXPECTED_TYPE_MISMATCH!>mapOf(<!NI;TYPE_MISMATCH!>"" to ""<!>)<!>
diff --git a/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestGenerated.java b/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestGenerated.java
index bf42951674e..1da5d58a8a7 100644
--- a/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestGenerated.java
+++ b/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestGenerated.java
@@ -12241,6 +12241,11 @@ public class DiagnosticsTestGenerated extends AbstractDiagnosticsTestWithFirVali
                     runTest("compiler/testData/diagnostics/tests/inference/upperBounds/flexibilityInCommonSuperTypeCalculation.ni.kt");
                 }
 
+                @TestMetadata("inferringVariableByMaterializeAndUpperBound.kt")
+                public void testInferringVariableByMaterializeAndUpperBound() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/upperBounds/inferringVariableByMaterializeAndUpperBound.kt");
+                }
+
                 @TestMetadata("intersectUpperBounds.kt")
                 public void testIntersectUpperBounds() throws Exception {
                     runTest("compiler/testData/diagnostics/tests/inference/upperBounds/intersectUpperBounds.kt");
diff --git a/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestWithStdLibGenerated.java b/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestWithStdLibGenerated.java
index 3a3b01d4bd6..102b487a90c 100644
--- a/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestWithStdLibGenerated.java
+++ b/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestWithStdLibGenerated.java
@@ -3188,29 +3188,6 @@ public class DiagnosticsTestWithStdLibGenerated extends AbstractDiagnosticsTestW
             runTest("compiler/testData/diagnostics/testsWithStdLib/inference/recursiveFlexibleAssertions.kt");
         }
 
-        @TestMetadata("compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping")
-        @TestDataPath("$PROJECT_ROOT")
-        @RunWith(JUnit3RunnerWithInners.class)
-        public static class AddEqualityConstraintsWithoutSubtyping extends AbstractDiagnosticsTestWithStdLib {
-            private void runTest(String testDataFilePath) throws Exception {
-                KotlinTestUtils.runTest(this::doTest, this, testDataFilePath);
-            }
-
-            public void testAllFilesPresentInAddEqualityConstraintsWithoutSubtyping() throws Exception {
-                KotlinTestUtils.assertAllTestsPresentByMetadataWithExcluded(this.getClass(), new File("compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping"), Pattern.compile("^(.+)\\.kt$"), Pattern.compile("^(.+)\\.fir\\.kts?$"), true);
-            }
-
-            @TestMetadata("kt41741.kt")
-            public void testKt41741() throws Exception {
-                runTest("compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping/kt41741.kt");
-            }
-
-            @TestMetadata("kt42195.kt")
-            public void testKt42195() throws Exception {
-                runTest("compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping/kt42195.kt");
-            }
-        }
-
         @TestMetadata("compiler/testData/diagnostics/testsWithStdLib/inference/annotationsForResolve")
         @TestDataPath("$PROJECT_ROOT")
         @RunWith(JUnit3RunnerWithInners.class)
@@ -3523,6 +3500,34 @@ public class DiagnosticsTestWithStdLibGenerated extends AbstractDiagnosticsTestW
                 runTest("compiler/testData/diagnostics/testsWithStdLib/inference/nothingType/dontSpreadWarningToNotReturningNothingSubResolvedAtoms.kt");
             }
         }
+
+        @TestMetadata("compiler/testData/diagnostics/testsWithStdLib/inference/performance")
+        @TestDataPath("$PROJECT_ROOT")
+        @RunWith(JUnit3RunnerWithInners.class)
+        public static class Performance extends AbstractDiagnosticsTestWithStdLib {
+            private void runTest(String testDataFilePath) throws Exception {
+                KotlinTestUtils.runTest(this::doTest, this, testDataFilePath);
+            }
+
+            public void testAllFilesPresentInPerformance() throws Exception {
+                KotlinTestUtils.assertAllTestsPresentByMetadataWithExcluded(this.getClass(), new File("compiler/testData/diagnostics/testsWithStdLib/inference/performance"), Pattern.compile("^(.+)\\.kt$"), Pattern.compile("^(.+)\\.fir\\.kts?$"), true);
+            }
+
+            @TestMetadata("kt41644.kt")
+            public void testKt41644() throws Exception {
+                runTest("compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt41644.kt");
+            }
+
+            @TestMetadata("kt41741.kt")
+            public void testKt41741() throws Exception {
+                runTest("compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt41741.kt");
+            }
+
+            @TestMetadata("kt42195.kt")
+            public void testKt42195() throws Exception {
+                runTest("compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt42195.kt");
+            }
+        }
     }
 
     @TestMetadata("compiler/testData/diagnostics/testsWithStdLib/inline")
diff --git a/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsTestWithStdLibUsingJavacGenerated.java b/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsTestWithStdLibUsingJavacGenerated.java
index da03bc7b198..25a24d11639 100644
--- a/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsTestWithStdLibUsingJavacGenerated.java
+++ b/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsTestWithStdLibUsingJavacGenerated.java
@@ -3188,29 +3188,6 @@ public class DiagnosticsTestWithStdLibUsingJavacGenerated extends AbstractDiagno
             runTest("compiler/testData/diagnostics/testsWithStdLib/inference/recursiveFlexibleAssertions.kt");
         }
 
-        @TestMetadata("compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping")
-        @TestDataPath("$PROJECT_ROOT")
-        @RunWith(JUnit3RunnerWithInners.class)
-        public static class AddEqualityConstraintsWithoutSubtyping extends AbstractDiagnosticsTestWithStdLibUsingJavac {
-            private void runTest(String testDataFilePath) throws Exception {
-                KotlinTestUtils.runTest(this::doTest, this, testDataFilePath);
-            }
-
-            public void testAllFilesPresentInAddEqualityConstraintsWithoutSubtyping() throws Exception {
-                KotlinTestUtils.assertAllTestsPresentByMetadataWithExcluded(this.getClass(), new File("compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping"), Pattern.compile("^(.+)\\.kt$"), Pattern.compile("^(.+)\\.fir\\.kts?$"), true);
-            }
-
-            @TestMetadata("kt41741.kt")
-            public void testKt41741() throws Exception {
-                runTest("compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping/kt41741.kt");
-            }
-
-            @TestMetadata("kt42195.kt")
-            public void testKt42195() throws Exception {
-                runTest("compiler/testData/diagnostics/testsWithStdLib/inference/addEqualityConstraintsWithoutSubtyping/kt42195.kt");
-            }
-        }
-
         @TestMetadata("compiler/testData/diagnostics/testsWithStdLib/inference/annotationsForResolve")
         @TestDataPath("$PROJECT_ROOT")
         @RunWith(JUnit3RunnerWithInners.class)
@@ -3523,6 +3500,34 @@ public class DiagnosticsTestWithStdLibUsingJavacGenerated extends AbstractDiagno
                 runTest("compiler/testData/diagnostics/testsWithStdLib/inference/nothingType/dontSpreadWarningToNotReturningNothingSubResolvedAtoms.kt");
             }
         }
+
+        @TestMetadata("compiler/testData/diagnostics/testsWithStdLib/inference/performance")
+        @TestDataPath("$PROJECT_ROOT")
+        @RunWith(JUnit3RunnerWithInners.class)
+        public static class Performance extends AbstractDiagnosticsTestWithStdLibUsingJavac {
+            private void runTest(String testDataFilePath) throws Exception {
+                KotlinTestUtils.runTest(this::doTest, this, testDataFilePath);
+            }
+
+            public void testAllFilesPresentInPerformance() throws Exception {
+                KotlinTestUtils.assertAllTestsPresentByMetadataWithExcluded(this.getClass(), new File("compiler/testData/diagnostics/testsWithStdLib/inference/performance"), Pattern.compile("^(.+)\\.kt$"), Pattern.compile("^(.+)\\.fir\\.kts?$"), true);
+            }
+
+            @TestMetadata("kt41644.kt")
+            public void testKt41644() throws Exception {
+                runTest("compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt41644.kt");
+            }
+
+            @TestMetadata("kt41741.kt")
+            public void testKt41741() throws Exception {
+                runTest("compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt41741.kt");
+            }
+
+            @TestMetadata("kt42195.kt")
+            public void testKt42195() throws Exception {
+                runTest("compiler/testData/diagnostics/testsWithStdLib/inference/performance/kt42195.kt");
+            }
+        }
     }
 
     @TestMetadata("compiler/testData/diagnostics/testsWithStdLib/inline")
diff --git a/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsUsingJavacTestGenerated.java b/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsUsingJavacTestGenerated.java
index 2c8875e5bf0..2268109725c 100644
--- a/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsUsingJavacTestGenerated.java
+++ b/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsUsingJavacTestGenerated.java
@@ -12236,6 +12236,11 @@ public class DiagnosticsUsingJavacTestGenerated extends AbstractDiagnosticsUsing
                     runTest("compiler/testData/diagnostics/tests/inference/upperBounds/flexibilityInCommonSuperTypeCalculation.ni.kt");
                 }
 
+                @TestMetadata("inferringVariableByMaterializeAndUpperBound.kt")
+                public void testInferringVariableByMaterializeAndUpperBound() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/upperBounds/inferringVariableByMaterializeAndUpperBound.kt");
+                }
+
                 @TestMetadata("intersectUpperBounds.kt")
                 public void testIntersectUpperBounds() throws Exception {
                     runTest("compiler/testData/diagnostics/tests/inference/upperBounds/intersectUpperBounds.kt");
diff --git a/compiler/tests/org/jetbrains/kotlin/codegen/LightAnalysisModeTestGenerated.java b/compiler/tests/org/jetbrains/kotlin/codegen/LightAnalysisModeTestGenerated.java
index 1b2791231c1..430a827ede8 100644
--- a/compiler/tests/org/jetbrains/kotlin/codegen/LightAnalysisModeTestGenerated.java
+++ b/compiler/tests/org/jetbrains/kotlin/codegen/LightAnalysisModeTestGenerated.java
@@ -271,6 +271,11 @@ public class LightAnalysisModeTestGenerated extends AbstractLightAnalysisModeTes
                 KotlinTestUtils.assertAllTestsPresentByMetadataWithExcluded(this.getClass(), new File("compiler/testData/codegen/box/annotations/typeAnnotations"), Pattern.compile("^(.+)\\.kt$"), null, TargetBackend.JVM, true);
             }
 
+            @TestMetadata("checkingNotincorporatedInputTypes.kt")
+            public void testCheckingNotincorporatedInputTypes() throws Exception {
+                runTest("compiler/testData/codegen/box/annotations/typeAnnotations/checkingNotincorporatedInputTypes.kt");
+            }
+
             @TestMetadata("implicitReturn.kt")
             public void testImplicitReturn() throws Exception {
                 runTest("compiler/testData/codegen/box/annotations/typeAnnotations/implicitReturn.kt");