SEPT. 6–THAILAND–Submicron Technology’s long-delayed wafer fabrication plant is finally set to become a reality, making Thailand the first country in the Association of South East Asian Nations (ASEAN) to produce wafers using .09-micron microelectronic technology.
Submicron’s revival was made possible by the approval of its debt-restructuring plan by the Thai Asset Management Corporation (TAMC). Submicron will receive billions in write-offs from TAMC under the restructuring plan.
Charn Asawachoke, the founder of Submicron, has secured agreement with key financial and technology partners for an initial investment of $1.2 billion (Bt50.5 trillion) for the plant.
The joint-venture company is call B Square. Partners include a German consortium, comprising Infeneon, one of the world’s largest semiconductor manufacturers, and Meisner & Wurst (M&W), a cleanroom contractor.
Contracts will be signed with partners and investors by the end of the year.
Charn, who now is the director of B Square, said the partners’ funds would be used to renovate the Submicron Technology plant at Chachengsao’s Bangnampriew district and buy new production machinery. He expected the plant to begin operation in late 2003 with a production capacity of 5,000 wafers a week. The plant plans to begin a production test run at 0.11 microns next year before starting commercial production at 0.09 microns by the year’s end.
The plant, he says, will use the latest production technology at 0.09 microns on 12-inch wafers. Currently, microelectronic production mainly uses 0.13-micron technology.
Infeneon will guarantee the purchase of all chip production at the plant for five years. The guarantee plan also includes all chip production from the second wafer fabrication plant, which is expected to begin operation in 2006.
Charn said construction of the second plant would cost another $1 billion and production capacity would be 5,000 wafers a week. The second plant will use the existing Alpha-TI facility and when it is fully operational, B Square expects to generate $6 billion revenue a year from the two plants.