Monthly Archives: March 2001

March 8, 2001–Chandler, Arizona–Amkor Technology is continuing the momentum of its growth strategy in Asia by acquiring two established semiconductor assembly and test companies in Taiwan, enabling the company’s rapid entry into that nation’s growing semiconductor industry.

In separate transactions, Amkor will acquire Taiwan Semiconductor Technology Corp. (TSTC) of Linkou, and Sampo Semiconductor Corp. (SCC) of Lung-Tang. Both companies have signed letters of intent, enabling negotiations to proceed. The agreements are expected to be finalized in April. Terms of the proposed acquisitions were not disclosed. The two companies, which have combined revenues of approximately $100 million, produce many of the high-demand semiconductor package devices required for cell phones, computers, handheld-devices, and other popular applications.

“This is a first step in establishing a major Amkor presence in Taiwan,” says Amkor Chairman and CEO Jim Kim. “We have had a goal to establish production capability near the vast cluster of semiconductor wafer fabs in Taiwan. Now, we will have two facilities and can begin immediately serving existing customers while we seek new business from among companies using the local wafer fabs.”

These acquisitions are a continuation of Amkor’s announced expansion and geographic positioning roadmap. Amkor recently formed a joint venture with Toshiba in Japan, and also announced the establishment of a new assembly and test facility near Shanghai, China.

March 8, 2001–Veldhoven, The Netherlands–ASM Lithography Holding N.V. (ASML) and Silicon Valley Group, Inc. (SVG) yesterday confirmed that the U.S. Committee on Foreign Investment in the U.S., chaired by the U.S. Treasury Department, has notified the parties that it will conduct a 45-day review, under the Exon-Florio review process, of the potential national security concerns associated with the planned merger of San Jose, CA-based SVG with ASML, located in The Netherlands.

“We are obviously disappointed by this brief delay, but pledge to work closely and cooperatively with the U.S. government in its review,” says Doug Dunn, chief executive officer of ASML. “We are optimistic that upon completion of this review, we will be in a position to close this merger promptly.”

Exon-Florio is the common name for the review process the U.S. government uses to screen acquisitions of U.S. companies such as SVG by foreign entities such as ASML. The review, which is performed by the Committee on Foreign Investment in the U.S., is authorized by the Exon-Florio Amendment to the Defense Production Act of 1950. Successful completion of an Exon-Florio review will provide a safe harbor for the transaction from any U.S. governmental interference based on national security concerns.

March 7, 2001–Ottawa, Canada–SiGe Microsystems announced today that it has manufactured more than six million ICs to date, and achieved several key design wins. The company also recently changed its name to SiGe Semiconductor to reflect the completion of its transition to a product-oriented, fabless semiconductor company.

In announcing the name change, SiGe Semiconductor’s CEO Jim Derbyshire remarked on the desire of the company to be clearly associated with the design of semiconductor products. “We are proud of our heritage as an innovator in silicon germanium process technology and we will continue to build on that success. However, we recognized the need for an identity that reflects our corporate future, one that it is consistent with our target markets. It also respects the attributes that have brought us to this point as a company,” he said.

The corporate name change represents another milestone in SiGe’s drive to become a major fabless semiconductor company, according to Derbyshire. Armed with $34 Million (Cdn) in equity funding secured in the spring of last year, the company has made several strategic moves including the introduction of its first products including the next generation Class 1 Bluetooth power amplifier, the smallest device of its kind in the world.

March 7, 2001–Munich, Germany–Karl Suss recently added high stability wafer probe systems to its existing product portfolio. The platform, made of granite, enhances Suss’ submicron probing range capabilities because it makes the probers less sensitive to undesirable environmental influences such as noise and does not pick the vibrations up as much as aluminum and other metals. Suss acquired this key technology with its takeover of Munich-based K&W in October 2000.

“During chip failure analysis, probers must analyze structures below 1-micron so system stability is a crucial prerequisite for accurate measurement results,” says Dr. Claus Dietrich, international product manager for probe systems at Suss. “When employing atomic force microscopy (AFM), computer aided design navigation, or laser cutters, the smallest system vibrations can cause measurement deviations. Due to the high stability of the granite probers, such problems are eliminated.”

The main difference to common probe systems is the use of granite boards, which offer a highly rigid, even and precise base provide system stability. This is further ensured by the tool’s construction, which keeps the number of mechanical joints and elastic connections between the granite board and the measurement unit to a minimum. This eliminates another potential source of vibration. An additional feature of the system is its linear drive that enables highly accurate positioning of the measurement probes.

Suss will exhibit this new system alongside its existing product portfolio during SEMICON Europa in April 2001.

March 7, 2001–San Jose, California–KLA-Tencor Corp. has introduced Precice, a production-worthy in-situ film thickness and end-point control system for copper CMP.

As a key component on the latest-generation of CMP systems, Precice enables chipmakers to achieve greater repeatability and accuracy in their copper CMP processes by automatically compensating for incoming variations on a wafer-to-wafer basis. By reducing the risk of process errors due to non-uniform polishing, Precice helps to speed the ramp of new copper processes and maximize copper yields.

Metal film thickness and uniformity can vary significantly from wafer to wafer following copper deposition. Chipmakers are faced with the challenge of compensating for these variances in order to achieve the desired polishing results for each wafer during CMP. Before the development of in-situ metrology, where a sensor is embedded into the CMP tool to take film thickness and uniformity measurements, wafers had to be taken to an off-line metrology tool to detect film variances in order to adjust the CMP process accordingly. Current in-situ “optical only” methods provide limited information that CMP engineers need in order to optimize their copper CMP processes. The major disadvantages of “optical only” systems are unreliable end pointing due to previous level pattern noise when polishing upper metal levels, and the inability to provide “real time” CMP removal rate and uniformity information.

“Precice incorporates several unique features to provide real-time, accurate film thickness measurements during CMP, and enables the CMP tool to dynamically adjust for film variations to ensure proper control of the CMP process at all times,” says Pete Nunan, vice president of technology development at KLA-Tencor. “This solution minimizes the yield-limiting defects that occur from over- or under-polishing wafers such as dishing, erosion, and metal residuals. Precice is sensitive enough to provide real-time measurements on a broad range of patterned wafers without recalibration. This is a critical requirement for foundries and semiconductor manufacturers that are fabricating many different IC designs as part of their business model.”

KLA-Tencor’s Precice system uses a combination of optical and eddy-current technologies that allow customers to run multiple steps within the CMP process with a high degree of repeatability. Unlike competing eddy-current technologies that only monitor relative changes in film thickness, Precice’s eddy-current probe provides accurate thickness measurements in real time–enabling customers to more rapidly polish the bulk thickness of copper first without fear of eroding the underlying layer. It also automatically compensates for temperature and pad-wear effects that occur during CMP, without which false measurements would occur.

Precice’s optical system is designed for high reliability in the harsh CMP environment. It uses a single-wavelength, multi-angle reflectometer, which provides more comprehensive data than competing single-angle laser reflectance systems. The reflectometer also eliminates false end-point reporting–a fatal error in volume production.

“We successfully developed Precice to address one of the most critical technology hurdles to bringing copper into full production,” says Nunan. “The fact that we have recently shipped a multi-million dollar order of Precice to a major CMP tool manufacturer is indicative of the system’s unique capabilities.”

Precice is the latest addition to KLA-Tencor’s process module control solution for copper (CuPMC ), and further rounds out the company’s advanced inspection and metrology capabilities.

March 7, 2001–Chandler, Arizona–Amkor Technology, Inc., announced that as a result of prolonged weakness in first-quarter business conditions, the company presently expects first quarter 2001 revenues to be below the guidance level given on January 31, 2001.

Amkor now expects first quarter assembly and test revenues to be approximately 15% to 17% below the fourth quarter of 2000, compared with earlier guidance of a 10% sequential decline. Wafer fab revenue is now expected to be approximately $45 million in the first quarter, compared with prior guidance of $55 million. Amkor reports that its customers’ business activity has continued to be impacted by the combined effect of a high degree of excess inventory within the electronics industry and a corresponding, broad-based economic slowdown.

Due to the high degree of operating leverage inherent in Amkor’s business, the lower revenue should reduce first quarter gross margin to approximately 17%. Amkor presently anticipates a first quarter profit from operations in the range of $20 to $25 million, excluding $31 million in goodwill and the amortization of $8 million in deferred debt issuance costs, before $39 million in interest expense, and before accounting for Amkor’s 42% share in the loss of Anam Semiconductor, Inc. (ASI). Amkor’s share of ASI’s first quarter loss is presently estimated to be approximately $25 million.

“This is a challenging period for the entire microelectronics industry, and is exacerbated by the lack of visibility throughout the supply chain,” says John Boruch, Amkor’s president. “While we will take advantage of opportunities to adjust our cost structure for the short-term, we are also acutely focused on improving our competitive advantages for the long-term. We intend to balance prudent operational management with our committed strategy of strengthening customer relationships, expanding our geographical presence, and extending our technology leadership.”

March 7, 2001–Albuquerque, New Mexico–Braving almost certain stomach upset, Jason Brown, a student intern at the U.S. Department of Energy’s Sandia National Laboratories (SNL) and three other chemical engineering students from the University of New Mexico (UNM) are preparing to ride NASA’s wild-bronc-bucking KC-135A airplane–familiarly known as the “Vomit Comet”–on March 29 and 30. The objective is to learn whether, in the zero gravity achieved intermittently during the ride, a viscous coating can be deposited on a spinning silicon wafer more smoothly than possible on Earth.

To find out, the students must ride a gutted, former stratospheric-tanker refueling plane as it climbs so sharply over the Gulf of Mexico that, photographed just above the clouds, it resembles a passenger plane lunging for the freedom of outer space. After accelerating upward at 2 G’s, the plane goes weightless near the pinnacle of its parabolic arc for about 30 seconds, when experiments must take place, and then accelerates downward at 2 G’s before rising again. In 2 hours, the four college students, riding in pairs, will experience 30 passes of weightlessness on each flight, along with one arc approximating the gravity of the Moon and another of Mars, on their two-G’s up, two-G’s down rides.

Brown and coinvestigating UNM student Kelly Kuhn readily agree that “Being All You Can Be” is not usually part of the reason people study chemical engineering. But they say their class is dedicated to changing the image of chemical engineers from “little guys with calculators and pocket protectors.”

What will happen to the coating at zero gravity is unknown and of scientific interest, agree Brown’s mentor Steve Thornberg and spin-coating guru Tony Farino, both SNL employees. Thornberg provides technical guidance and helped obtain corporate support for the proposal that NASA accepted; Tony provided the students the necessary test equipment. The students–who also include Doug Peters and Bill Jackson, with Tom Gamble as backup–will vary the wafer’s spin speed, coating thickness, and rate of deposition. The results will be compared with identical tests run earlier in Earth’s gravity. The researchers may find that gravity makes no difference to the evenness of deposit. Or they may find that the absence of gravity means the coating won’t adhere at all but instead just floats off. Or they may help define parameters from which a better quality coating can be made.

There are other reasons for going. The UNM-based, Sandia-backed group won one of NASA’s 16 slots for student experiments–heavily competed for among hundreds of college student teams–partly because they intend to build on their already-demonstrated activism. “We plan to take videos and pictures of us floating, and after we come down, visit grade schools to show kids that science can be exciting,” says Jason.

The primary goal, however, is to form better coatings on their spinning silicon wafers. To achieve this, the self-named Spin Doctors have “ruggedized” their equipment by installing a metal frame around their plastic work bench. They secured the analytic equipment to the bench, installed bolt brackets to attach the table to the floor of the plane, completely covered the top of the spin-coater’s hood to prevent unwanted expulsions of material during weightlessness, and are considering changing plastic hood hinges to metal.

They will have eight days of training in Houston,TX, before going up with their project, and will bring their prized data–which in size, shape, and luster resemble CDs of the musical variety–back to SNL for analysis.

Thornberg, who will be at NASA’s Ellington Field during the flight, hopes he doesn’t hear any radio message announcing, “Houston, we have a problem.” He says that the science of the trip is right in line with SNL’s basic mission in semiconductors and the Laboratories’ long-standing support and encouragement of students, which is why SNL corporately sponsored the UNM proposal to NASA.

The title of the student experiment is “Study of Polymer Spin Coating for Photolithographic Semiconductor Development in Space.”

March 7, 2001–Cambridge, Massachusetts–Massachusetts Institute of Technology (MIT) students now can test and probe fragile, microscopic electronic structures via a novel online lab that can be accessed from dorm rooms and other convenient locations 24 hours a day.

“If you can’t come to the lab, the lab will come to you,” says Jesus del Alamo, principal investigator for the project and a professor in MIT’s Department of Electrical Engineering and Computer Science. “What’s wonderful about WebLab is that it offers such enormous economies of scale, while also allowing for true ‘hands-on’ experiments without the logistical shortcomings of ‘traditional’ laboratories.”

Microelectronics device characterization was a natural candidate for remote access through the web, reports del Alamo, because the devices are small and can be measured very quickly. Up to eight transistors or other devices can be tested on WebLab at any one time, which allows WebLab to be deployed in different subjects simultaneously and provides redundancy against transistor blowup.

This past fall, WebLab was used by about 120 MIT students in three concurrent courses. During its busiest hour, WebLab handled 13 users running 99 different experiments. Even at this busiest of hours, del Alamo reports that the average total execution time for each job from the moment it was received by the server was about 16 seconds. The students were able to access and characterize the latest and fastest state-of-the-art microelectronics technology through a version of WebLab installed by del Alamo’s team at Compaq’s Alpha Development Group in Shrewbury, MA. They took remote measurements in real time, on semiconductor hardware being used by Compaq’s engineers to design leading-edge microprocessors. Students downloaded and studied the data. As a result, they were able to compare the hottest technology with a more mature one available through the main WebLab at MIT.

“Through this exercise, students could appreciate the staggering progress that has taken place in microelectronics technology in the last 10 years. The educational pay-offs are unprecedented,” says del Alamo.

Equipment for WebLab was donated by Agilent Technologies, AMD, and Intel. WebLab is a project of I-Campus, an alliance between academia and industry for cooperative research efforts in technology-enhanced education.

MIGDAL HAEMEK, Israel — Tower Semiconductor recently announced the receipt of the second aggregate equity investment installment of the$305 million investment committed to by Tower’s equity partners.

The $46 million installment follows the achievement of the first milestone in the project plan.

According to the wafer partner agreements, $20.5 million of this installment are accrued as credit toward future wafer purchases from Fab 2 production. Corresponding with their investment, the equity partners received a total of 1,929,999 Tower common shares distributed as follows: SanDisk — 366,690 shares; Alliance — 366,690 shares; Macronix — 366,690 shares; QuickLogic — 122,230 shares; Israel Corp. — 554,069 shares and The Challenge Fund — 153,630 shares. To date, the wafer and equity partners have invested a total of $126 million in exchange for 5,848,722 shares and wafer credits in favor of the wafer partners in the amount of $49.8 million. These values include the current installment and the initial installment of $80 million at the closing of the agreements in January.

“We are pleased with the progress of the project,” said Dr. Yoav Nissan-Cohen, Tower’s co-CEO. “The earthwork and installation of the pilings are moving on schedule, and we expect to begin construction of the building shell in several weeks.”

Dr. Nissan-Cohen added: “The application of a portion of the wafer partners’ investment to credits against future purchases minimizes the dilution of our public shareholders and gives our wafer partners additional incentive to use Fab 2 for their wafer manufacturing needs.”

Tower Semiconductor Ltd. is an independent wafer manufacturer, strategically focused on advanced Flash memory and CMOS Image Sensor technologies. Tower provides manufacturing and turnkey services for integrated circuits (IC) on silicon wafers in geometries from 1.0 to 0.35 micron, using its advanced technological capabilities and the proprietary designs of its customers.

Tower recently began construction of an advanced fab adjacent to its current facility in Migdal Haemek, Israel. The new fab, referred to as “Fab 2,” will employ approximately 1,000 employees and produce up to 33,000 200-mm wafers per month in geometries of 0.18 micron and below, using advanced CMOS technology from Toshiba. Funding for the project is being provided mainly by wafer partners, Israel Corp, an Israeli government grant, bank loans and Tower’s own resources. Wafer Partners include SanDisk Corporation, Alliance Semiconductor, Macronix International and QuickLogic Corporation.

LOGAN, Utah — DuPont Holographics has officially opened its new hologram design and manufacturing plant, which includes a 12,000 square foot cleanroom.

The 40,000 square foot plant replaces a smaller facility , also located in Logan. The new facility cost around $5 million to construct.

The company’s core business is producing holographic optical elements for electronic LCD displays. DuPont Holographics also makes holograms for graphic arts and for security. The holograms are produced in a photo-polymer film, which makes them more affordable and long-lasting.

DuPont purchased the hologram company in 1999, which was then known as Krystal Holographics. It currnently employs 100.