Solid growth in 2000 for semiconductor market
02/01/2001
SAN JOSE, CALIF. - The worldwide semiconductor market closed 2000 by marking a 31-percent increase over 1999 revenues to reach figures of $222.1 billion, according to preliminary results from a Dataquest Inc. (a unit of the Gartner Group) report. Despite this strong growth, there have been concerns that the market is having trouble, as seen in a slight slowdown toward the end of 2000.
"We are now at the end of the second year of an up-cycle, and there is despondency regarding the future, as the fourth quarter of 2000 was weak relative to the preceding quarter," said Joe D'Elia, vice president and director of Gartner Dataquest's European semiconductor research.
"Historically, the industry has gone through inventory corrections during the positive portion of the industry cycle, and we see no reason to believe that this current weakening is anything else other than an inventory correction," said D'Elia.
 Table 1. Preliminary Top 10 worldwide semiconductor vendors by revenue estimates (millions of U.S. dollars). |
According to the Dataquest report, there was some movement within the top ten semiconductor revenue-makers (Table 1). NEC relinquished the number-two position to Toshiba, which had an outstanding year with many of its efforts to diversify from memory. Other movers in the top 10 included STMicroelectronics, which moved up from ninth to seventh, and Hyundai, which moved up from eleventh to eighth.
The report also details that the Americas region was the number-one region in the world, generating revenues of $71.7 billion in 2000 - an increase of 29 percent over 1999 figures. The fourth-quarter slowdown was strongest in this region, however. D'Elia cited this as a major factor in its lower-than-average growth.
In other areas, Asia/Pacific was the number-two region, with revenues totaling $56.9 billion and the semiconductor market in Europe surpassing $43.1 billion (up 29 percent from last year). Japan reached revenues of $50.4, up 33 percent from 1999 figures.
IMAPS relocates its world headquarters
WASHINGTON, D.C. - The International Microelectronics and Packaging Society (IMAPS) recently moved into a new facility in Washington, D.C. To better accommodate the growth of the organization, the new location is centrally located and is served well by area airports and mass transit. The society, which now hosts more than 30 meetings worldwide, is dedicated to the advancement and growth of the use of microelectronics and electronic packaging through professional and public education. IMAPS 2001, the 34th International Symposium on Microelectronics, will be held October 9-11 at the Baltimore Convention Center in Baltimore, Md.
The new contact information for the society is: IMAPS, 611 Second Street NE, Washington, D.C. 20002; 202-548-4001; Fax: 202-548-6115; E-mail: [email protected]; www.imaps.org.
In related news, IMAPS has announced major steps to organize a chapter in Russia.
"The organization of our new chapter in Russia, including the election of the president and a secretary, plus the consolidation of a members list, is a major step in expanding IMAPS' mission worldwide..." said IMAPS president Greg Caswell.
Organizing members include Yuri Chapligin, Alex Taran, Vlad Krivoshapko, Viktor Pustovit and Yakov Kozevnikov. Information about chapter activities may be found at www.chat.ru/~imaps.
Bluetooth alliance
SAN DIEGO, CALIF. - Silicon Wave Inc., a designer and provider of RF communication system components, and Philips Components (Sunnyvale, Calif.), a division of Royal Philips Electronics, have formed a strategic alliance to expedite the deployment of Bluetooth wireless communications.
Under the agreement, the companies are jointly developing a series of Bluetooth PC peripheral products incorporating Silicon Wave's proprietary products. Leveraging its RF and Bluetooth system design expertise, the company will provide system architecture, application and development support to Philips Components, which will contribute to the design, software, manufacturing and marketing to get the products to market. Some of the Bluetooth products under development include PC cards, USB dongles and mini-PCI adapters.
Developed by leading computing and mobile communications companies, Bluetooth wireless communications provides powerful, low-cost connectivity that enables many different types of communication, computer and audio/video devices to "talk" to one another without a physical connection. The technology uses short-range, lower-power radio signals to transmit secure voice and data information between multiple devices.
K&S acquisition of Probe
WILLOW GROVE, PA - Kulicke & Soffa Industries Inc. has completed the acquisition of Probe Technology Corp. (Santa Clara, Calif.). The acquisition, combined with the recently completed tender offer for Cerprobe Corp (Gilbert, Ariz.), will make the company the leading supplier of probe cards and sockets used for testing semiconductor wafers and integrated circuits, according to Kulicke & Soffa.
As a result of these acquisitions, Kulicke & Soffa has also announced the creation of a new test division, which will market the offerings of both companies while developing advanced semiconductor interconnect test solutions. C. Zane Close, formerly president and CEO of Cerprobe, has been named president of this new division. Rob Mende, formerly president of Probe Technology Corp., will head the test division's wafer probe business unit.
Mattson, STEAG and CFM merger completed
FREMONT, CALIF. - Mattson Technology, a supplier of advanced process equipment used to manufacture semiconductors, has announced the completion of the merger between Mattson, the semiconductor equipment division of STEAG Electronic Systems AG and CFM Technologies Inc.
The merged company, with pro forma 2000 revenues in excess of $500 million, now employs more than 1,800 people worldwide. As a result of the transactions, shares of CFM stock outstanding at the end of December were converted into 0.5223 shares of common stock of Mattson.
EIS Com-Kyl expands service
ATLANTA, GA. - EIS Com-Kyl, a distributor of production supplies and materials to electronics manufacturers, has announced an expansion of its distribution and logistics systems. The company is slated to open a 58,000 square-foot centralized distribution center in Tempe, Ariz., later this year. Its regional stocking warehouses currently in place will continue to be a vital part of EIS Com-Kyl's strategy to provide local product and tailored services.
Cadence acquires CadMOS
SAN JOSE, CALIF. - Cadence Design Systems Inc., a supplier of electronic design products and services, announced that it has signed a definitive agreement to acquire CadMOS Design Technology Inc. (San Jose, Calif.), a privately held design tools firm. The acquisition is expected to be completed this quarter.
The acquisition is anticipated to provide Cadence with signal integrity analysis capacity that will be incorporated into its front- and back-end design solutions.
"By marrying our team and technology to Cadence . . .we can accelerate the changes in methodology and flows that are becoming necessary for designers to achieve working UDSM silicon," said Charlie Huang, chairman and CEO of CadMOS.
EPA impacts PWB industry
NORTHBROOK, ILL. - The U.S. Environmental Protection Agency (EPA) has recently signed a notice of proposed rulemaking on metal products and machinery (MP&M) effluent guidelines. The EPA has estimated the total annualized cost (in 1996 dollars) of the MP&M rule to be approximately $147.1 million for the PWB industry, or more than a quarter million dollars per facility.
The current effluent guidelines regulate pollutant content in PWB facilities' wastewater discharge. The proposed new guidelines will require extensive process modifications.
"The EPA's supporting technical analysis for this rule is severely flawed," remarked Fern Abrams, IPC director of environmental policy. "The EPA may issue a more reasonable regulation if everyone in the PWB industry works together to lobby the standard."
For more information on the proposed standard, public meetings or opportunities to submit comments, contact Abrams at 202-638-6219 or visit www.ipc.org/html/fslegislative.htm.
Call for papers
WASHINGTON, D.C. - The International Microelectronics and Packaging Society, Brazil (IMAPS Brazil) is seeking papers for the IMAPS Brazil Technical Symposium 2001, which will be held August 1-3, 2001, at the Maksoud Plaza Hotel, Sao Paulo, Brazil.
Authors should submit papers in English by May 25, 2001, to Marcio Biasoli, Electronic Packaging Laboratory, National Institute of Technological Information, 55-19-3746-6062; Fax: 55-19-3289-7875; E-mail: [email protected]. For more information, visit www.imaps.org.
Rambus and Zuken join forces
MOUNTAIN VIEW, CALIF., AND YOKOHAMA, JAPAN - Rambus Inc., the leader in high- bandwidth chip connection technology, and Zuken Inc., a leading provider of software solutions for packages and systems, have jointly developed a CAD software package for Direct RDRAM-based system PCB layout on the CR-5000 platform.
This new software package enables state-of-the-art layout by a PCB designer with minimal transmission line theory know-how. The software package is said to be suitable for various applications, including PC and workstations, networking and digital consumer products. Rambus will provide Zuken with updated reference layouts, which Zuken will then incorporate into the Rambus software package.
SAC certifies six subcontractors
MOUNTAIN VIEW, CALIF. - The Semiconductor Assembly Council (SAC) held its bi-annual meeting in San Diego, November 16-17, 2000. During this session, a record number of companies achieved member approval for SAC certification. These companies included Amkor Technology, Korea; ASE; ASE Test; Carsem (M&S); Signetics (S1), Korea; and Team Pacific. SAC members include more than 80 companies, consisting of semiconductor manufacturers, subcontractors and end-users.
The meeting's technical session focused on lead-free solder requirements and solutions. Presentations were given by industry experts, including Bance Hom (Consultech), Philippe Briot (PSA Peugeot Citroen), Rick Adams (Visteon) and Glenn Koscal (Carsem).
SAC certification requires compliance to QS-9000, and semiconductor-specific requirements focusing on process control and continuous improvement. There are currently 16 SAC-certified subcontractors.
The next SAC meeting will be held in Santa Fe, New Mexico, in mid-May 2001. For more information, contact Marla Cooper at [email protected], or visit www.sacouncil.org.
IBM teams with Infineon
EAST FISHKILL, N.Y., AND MUNICH, GERMANY - IBM and Infineon Technologies AG have recently announced plans to jointly develop a memory technology that could significantly increase battery life of portable computing devices and lead to "instant-on" computers.
The two companies have signed an agreement to collaborate in the development of magnetic random access memory (MRAM), which uses magnetic (rather than electronic) charges to store bits of data. MRAM could significantly improve electronic products by storing more information, accessing it faster and using less battery power than the electronic memory in use today. MRAM also retains information when power is turned off, so products, such as personal computers, could start instantly, without waiting for software to "boot up."
IBM Research pioneered the development of a miniature component called the "magnetic tunnel junction" in 1974, and eventually adapted it as a means to store information and to build an actual working MRAM chip in 1998. Using this IBM technology, coupled with Infineon's expertise in creating high-density semiconductor memory, the companies believe that the actual MRAM products could be commercially available in 2004.
ORS Automation offers new services
PRINCETON, N.J. - ORS Automation Inc. has introduced two new services for OEM and custom machine builders. These services offer assistance in designing and implementing machine vision and control strategies, and volume industrial PC systems supply.
ORS is making image acquisition, identification, recognition and alignment available direct to OEM and custom machine builders. The tools associated with these tasks previously have been available only as part of its core products.
All of the ORS products are available on an industrial PC platform configured for each machine with pre-loaded operating system and application software. Now ORS is making this service available to other OEM machine manufacturers as a separate service. Custom PC configurations with pre-loaded operating system and pre-installation of customer-specified add-in boards and software are sent through a 72-hour burn-in test and delivered as a complete sub-assembly for installation into a final product.
Semiconductor equipment revenues up in 4Q2000
NEW TRIPOLI, PA. - According to The Information Network, worldwide revenues for semiconductor processing equipment rose 31.8 percent in the fourth quarter of 2000. In its report, "The Global Market for Equipment and Materials for IC Manufacturing," The Information Network anticipates the market could grow another 45.9 percent in 2001.
"Despite the slowdown in the fourth quarter, the semiconductor equipment industry registered record growth of 76.1 percent in all of 2000," said Dr. Robert N. Castellano, president of The Information Network. "The slowdown in the semiconductor industry over the next quarter because of inventory corrections will be a boom for equipment manufacturers in 2001. IC manufacturers will need to fill empty fab shells with equipment to increase capacity once they recognize that the 'herd mentality of doom-and-gloom' was premature..." said Castellano.
According to the report, the top 10 equipment manufacturers of 2000 were Applied Materials, Tokyo Electron, ASM Lithography, KLA-Tencor, Lam Research, Novellus, Canon, ASM International and Varian Semiconductor Equipment Associates.
"The revamped 2000 ITRS roadmap, where production of ICs at 0.13 micron design rules is anticipated to begin in 2001, not 2002 as had been detailed in the 1999 roadmap, will also dictate the need for advanced tools that will expand equipment purchases in 2001," added Dr. Castellano.