Category Archives: Wafer Processing

By Jaegwan Shim

Korea is on track to top all other regions in fab investment, spending $63 billion between 2017 and 2020, with powerhouses Samsung Electronics Co. and SK Hynix leading the way, according to latest World Fab Forecast Report by SEMI. Samsung Electronics increased fab investments $770 million to $12 billion this year, and SK Hynix upped its spending a significant $2.8 billion to $7.25 billion in 2018.

Korea’s investment companies anticipate continued growth for both companies in the second half of 2018.

Under this halo of extraordinary investment, nearly 380 SEMI Korea members and industry analysts gathered for 2018 SEMI Korea Members Day on September 22 to share insights on semiconductor market trends and new technologies that could help members bolster their competitiveness. Following are key takeaways from the event.

Korea semiconductor market to grow 16% in 2018

That’s according to IDC Korea VP Kim Soo-kyung, who noted that data center, memory and Internet of Things (IoT) are becoming key growth drivers for the semiconductor industry. He encouraged semiconductor companies to closely track development of automotive technology and the industry semiconductor market, both key growth areas.

SEMI Korea president H.D. Cho opens SEMI Korea Members Day 2018

Continuing fab investment will lead to oversupply, but display will shine

Market entry by Chinese companies will also spur the oversupply, said Jeong Won-Seok, an analyst at HI Investment Corp. He noted that the oversupply will force Korea into stiffer competition with other regions. However, with OLED used for a wide variety of devices and the display industry seeing rapid growth, the sector will remain ripe for growth among Korean companies.

Interconnecting various applications is a big semiconductor industry trend

The need for these interconnections will stand out in the mobility and high-performance computing (HPC) markets, said Kim Jin-Young, director at Amkor Technology Korea, who addressed trends in packaging technology. He also emphasized interconnection cost efficiency as key to maximizing competitiveness.

Smart Manufacturing is driving mass customization

As semiconductor industry growth continues, production methods are shifting from ‘mass production’ to ‘mass customization,’ increasing the importance of Smart Manufacturing in driving greater production efficiency, noted BISTel VP Jeon Kyeong-Sik. Building a Smart Manufacturing platform to support large-scale production of specialized database and artificial intelligence (AI) chips will boost production efficiency, reduce costs and improve risk management. Virtual simulation will be a key enabling technology.

SEMI analyst Clark Tseng presenting at SEMI Korea Members Day 2018

Surge in data volume and technology advances to drive long-term semiconductor industry growth

These key industry drivers will continue to power fab investment growth, with spending focused on 3D NAND, DRAM, and foundry, said Clark Tseng, a SEMI analyst. China alone will see eye-watering growth with the region’s investments in domestic companies surging 46% from 2018 to 2019 and fab investment by Chinese domestic companies outpacing spending by foreign companies in China, Tseng predicted.

SEMI membership rises with industry growth

Culminating the event, SEMI Korea president H.D. Cho said, “With the growth of the semiconductor market, the number of SEMI members is gradually increasing, and we will help member companies grow with various activities such as Korea Members Day.”

Jaegwan Shim is a marketing specialist at SEMI Korea. 

Originally published on the SEMI blog.

Mini diaphragm gauges offer a new alternative to Bourdon tubes.

BY BRIAN SULLIVAN, Valin Corporation, San Jose, CA

Fabs and OEMs in the semiconductor industry face a number of difficult challenges today, specifically in the etch and deposition/thin film processes. These incredibly specialized processes require extremely clean gases and vaporized chemical sources. The fabs and their process tools utilize gas delivery systems to provide these ultra-pure materials from their bulk sources to their process tools and systems. The increased use of highly aggressive and reactive gases in these processes has caused one very specific problem. These aggressive gases are picking up moisture (through leaks, flawed component installations, improper purging, poor PM practices, etc.) and then attacking and corroding the bourdon tubes located within the pressure gauges in the impacted lines. In a few instances, leaks have been created through these stressed system components.

Millions of dollars are spent inside the fabs and by OEMs to have a highly electropolished finish on the internal wetted surfaces of the many components that comprise their gas delivery systems. The gauges themselves have not been found to be the originating source of the leaks. Instead, the leaks form elsewhere, and the moisture laden and now highly corrosive gas immediately attacks the least corrosion resistant components found within the delivery line. Unfortunately, the bourdon tubes found in most “ultra-high purity (UHP) gauges” today are a principal target. When this type of event occurs, it doesn’t take long for the exposed gauges to fail.

The root of this problem lies in the fact that a standard pressure gauge’s main functioning component is typically an un-passivated, or only marginally passivated, bourdon tube. This tube is open to pressure on one end and welded closed at the other, a design invented by Eugene Bourdon more than 165 years ago. This is the principal weakness and ultimately leaves these gauges subject to corrosion.

As pressure enters this thin, hollow, C-shaped bourdon tube, it causes the tube to flex outward from its relaxed, round shape, stretching it up and away from its original form and position. The tip of the bourdon tube is connected to linkage that moves a pointer around the internal dial (or face) of the gauge, indicating the pressure the gauge is currently measuring. Of course, flexing components made of stainless steel – particularly if they aren’t fully electropolished like the tubing, fittings, valves, regulators, and other components in the delivery system’s line – become vulnerable to chemical attack through the micro fissures formed by the flexures they experience. Each time a bourdon tube flexes, it can suffer the creation of micro fissures. Over time these can then grow into macro fissures, and then ultimately create internal cracks or complete breaks in the bourdon tube’s integrity. Throughout the life of a typical pressure/vacuum gauge in a dynamic system, going through gas source changes, pressure spikes, cycle purge sequences, and other events, the flexing bourdon tube will be subjected to the formation of countless micro fissures. If they are then exposed to a corrosive gas that has become aggressive through the introduction of moisture, it should be no surprise that the bourdon tubes will be aggressively assailed and damaged in the process.

It is well known throughout the industry that aggressive corrosive gases transported through the gas lines increase the likelihood of both internal particle generation and outbound leaks from any vulnerable component. Of course, the presence of any entrained moisture compounds the probability greatly. Any time a minimal quantity of atmospheric moisture makes its way into these corrosive gas lines, it will convert the corrosive gasses into corrosive acids. The bourdon tube acts as a dead leg in the system and is an ideal place for the corrosive gas to enter but does not allow it to get back out. Once the gas forms an acid, the acid will corrode any susceptible surface and generate an exit path by eating its way through the material. Many of the most vulnerable areas for this activity in a gas delivery system are the micro fissures found inside of bourdon tubes.

Although the process connection of a pressure gauge (typically a face seal fitting for semiconductor applications) will be fully passivated and electropolished and is clearly identified in the literature as such. The surface finish and Ra Max or Ra Average values of the bourdon tube itself is usually not provided. Gauge manufacturers measure their gauge connection’s wetted surfaces, but when they are asked about the bourdon tube, there is usually not a clear answer. The surface finish and passivation level of the bourdon tube inside the gauge is not disclosed in most cases. The reason for this is simple. Gauge manufacturers do not make a bourdon tube of electropolished and fully passivated stainless steel because the electropolishing process would damage the bourdon tube due to its thin, spring-like design. A bourdon tube must be able to flex to properly function and to do that it has to be made from thin metal.

Originally the industry used these “standard” bourdon tube gauges in non-critical applications because, compared to their more expensive transducer cousins, they were inexpensive, simple to use, and easy to obtain. However, as the industry has continued to evolve, and the processes used in the OEMs systems have required more aggressive and reactive gases, the use of these gauges has continued. Today, if decision makers want the best running and safest fabs their money can buy, they have to make a change.

The solution: mini diaphragm gauges

Engineers have been searching for a solution to the burden this issue presents to the fabs, and fortunately, a solution has been found and has proven itself to be both long lasting and resilient.

Mini diaphragm gauges for both pressure and compound applications are now available that eliminate the bourdon tube completely. These mini diaphragm gauges employ a diaphragm made of Inconel®, which is highly flexible and extremely corrosion resistant. In an accelerated corrosion study, it exceeded the lifespan of a standard “UHP gauge” using a bourdon tube by a factor of twenty. This means that a gauge that would have lasted only six months in a corrosive application can now last up to ten years.

This Inconel® diaphragm will not suffer the effects of corrosion that its weaker, stainless steel bourdon tube counterpart does. It also removes the dead leg of the bourdon tube itself within the gauge. And all the wetted surfaces of these mini diaphragm pressure gauges are made of either fully electropolished 316L Stainless Steel (Ra <0.25 μm) or Inconel® 718. They also comply with SEMATECH and SEMI Standards.

In the mini diaphragm gauge, the Inconel® diaphragm is welded directly to the solid, stainless steel body which is machined out of a piece of 316L SS bar stock. This seals the wetted surfaces away from the atmosphere and the linkage used to actuate the gauge’s pointer.

Standard (bourdon tube) gauges are made with two separate assemblies. The outer case that holds the dial and outer face is usually made from a very thin sheet of stainless steel and formed into a cylindrical cup-like shape. Its whole function is to hold and protect the dial, the window, the gauge’s bourdon tube assembly and the associated linkage inside of it. The bourdon tube assembly is made of the process connection socket, welded to the bourdon tube, and welded to a tube end-piece. Those are then connected to the linkage and movement pieces that connect to the pointer. Additionally, there are usually a pair of screws that hold the housing onto the gauge’s internal assembly and a couple more that fix the gauge’s dial in place.

The mini diaphragm gauges are made in a manner similar to that of a UHP valve or regulator where the process connection and the case (body) are machined from one solid piece of 316L stainless steel. The Inconel® diaphragm is then welded in place, sealing the wetted surfaces away from the atmosphere, the linkage used to actuate the gauge’s pointer, the face of the gauge, and its outer window. Additionally, the linkage inside the mini diaphragm gauge is not the simplistic linkage of a regular gauge. It is more like a swiss watch in its complexity.

The mini diaphragm gauges are currently only available in 1” and 1.3” dial sizes (hence the “mini” in the name) with ¼” face seal connections. As aggressive gases in gas delivery systems are typically run in ¼” inch lines, there is not a need for larger gauges for these applications, meaning a mini diaphragm gauge should suffice. Another benefit is these can also be used in surface mount applications common to the industry today. If there is a need for a gauge to be installed into a 1.125” or 1.5” surface mount application, this is a perfect fit.

Moving away from using a flexible un-passivated stainless steel internal component to a highly corrosion resistant diaphragm is the exact same technology path taken years ago when diaphragm valves overtook bellows valves for use in reactive and corrosive process gas applications and in nearly all UHP systems. It is a simple, fully-established, and well-proven solution for safer and cleaner gas delivery systems.

Having gauges follow this technology path is one that many OEMs and fabs are just beginning to move toward. This is especially true in the applications and processes where a costlier pressure transducer is not required.

BRIAN SULLIVAN is the Director of Sales – Technology for Valin Corporation, San Jose, CA.

Canon Marketing Japan Inc. (CEO: Masahiro Sakata) has signed an exclusive distribution agreement in Japan with ClassOne Technology Inc. (CEO: Byron Exarcos) and it will start receiving orders for ECD tool Solstice® in 2018.

ClassOne Technology Inc. is a supplier of wet process equipment for the 200mm and smaller semiconductor industry. The Solstice® platform delivers the highest quality plating of Au, Ni, and Cu at low cost, as well as variety of wet process functionality, such as metal lift off, resist strip, Au de-plating, UBM etch, and anodization.

Solstice® is available in 2-, 4-, and 8-chamber variants, and provides industry-leading uniformity and throughput with the smallest footprint, automation capability, controllability, and lowest cost of ownership. Solstice® is ideally suited to growing customers who need to move from ≤200mm wet bench processing to high-volume automated single-wafer production.

The agreement with ClassOne Technology will assist CMJ in expanding its business in the high-growth segment of high speed optical communication, 3D sensing including ToF, high frequency power devices, and related device markets. CMJ offers extensive experience in introducing the highest quality equipment from around the world and will provide world-class technical and field support for ClassOne products after system delivery.

IC Insights’ September Update to The McClean Report shows that as a result of a 51% forecasted increase in the China pure-play foundry market this year (Figure 1), China’s total share of the 2018 pure-play foundry market is expected to jump by five percentage points to 19%, exceeding the share held by the rest of the Asia-Pacific region. Overall, China is forecast to be responsible for 90% of the $4.2 billion increase in the total pure-play foundry market in 2018.

Figure 1

With the recent rise of the fabless IC companies in China, the demand for foundry services has also risen in that country.  In total, pure-play foundry sales in China jumped by 26% last year to $7.5 billion, almost triple the 9% increase for the total pure-play foundry market.  Moreover, in 2018, pure-play foundry sales to China are forecast to surge by an amazing 51%, more than 6x the 8% increase expected for the total pure-play foundry market this year.

Although all of the major pure-play foundries are expected to register double-digit sales increases to China this year, the biggest increase by far is forecast to come from pure-play foundry giant TSMC.  Following a 44% jump in 2017, TSMC’s sales into China are forecast to surge by another 79% in 2018 to $6.7 billion. As a result, China is expected to be responsible for essentially all of TSMC’s sales increase this year with China’s share of the company’s sales more than doubling from 9% in 2016 to 19% in 2018.

As shown in Figure 2, much of TSMC’s sales surge into China has come over the past year, with 2Q18 sales into the country being almost double what they were in 3Q17.  A great deal of the company’s recent sales surge into China has been driven by increased demand for custom devices going into the cryptocurrency market.  It turns out that many of the large cryptocurrency fabless design firms are based in China and most of them have been turning to TSMC to produce their advanced chips for these applications.  It should be noted that TSMC includes its cryptocurrency business as part of its High-Performance Computing segment.

Figure 2

While TSMC has enjoyed a great ramp up in sales for its cryptocurrency business over the past year, the company has indicated that a slowdown is expected for this business in the second half of this year.  It appears that the demand for cryptocurrency devices is highly dependent upon the price for the various cryptocurrencies (the most popular of which is Bitcoin).  As a result, the recent plunge in the price for Bitcoins (going from over $15K per Bitcoin in January of this year to less than $7K in September), and other cryptocurrencies as well, is lowering the demand for these ICs.  Moreover, since TSMC realized from the beginning that the cryptocurrency market was going to be volatile, the company did not adjust its capacity plans based on the recent strong cryptocurrency demand and does not incorporate cryptocurrency business assumptions into its forecasts for future long-term growth.

By Jay Chittooran

Last week, more than a dozen senior semiconductor executives traveled to Washington, DC for the first-ever Fall Washington Forum. The SEMI Washington Forum, a venue for SEMI members to educate lawmakers about the industry, focused on action against China, both in the form of tariffs and export controls.

Our industry is global, and companies rely heavily on trade. In 2017, more than 90 percent of equipment made in the United States was exported. Because of this dynamic, the United States holds a nearly $9 billion trade surplus in this industry. SEMI is supportive of trade policies that open foreign markets.

In the meetings, the executives expressed deep concern that the tariffs would inflict deep damage to the U.S. economy, including to SEMI members. Estimates suggest that the Sec. 301 tariffs (and the Chinese retaliatory tariffs) will cost semiconductor companies more than $700 million annually, dramatically increasing the cost of doing business. These tariffs also threaten U.S. technological leadership. The United States has led innovation for decades. However, by pursuing policies that limit market access opportunities, company-led R&D and innovation will slow, which, in turn, will curb further export potential.

SEMI companies also stressed that because of the blunt application of these tariffs, this action will actually hurt U.S. companies as much as it hurts their Chinese competitors. Indeed, about 40 percent of imports in our sector from China are from U.S. or other non-Chinese companies. Further, the semiconductor industry relies on a vast network of supply chains, which have been built and qualified over the course of years. A fundamental revamp of supply chains is simply not feasible. This would be expensive, time-consuming, and resource-intensive.

With a growing number of policy issues that are central to and could have significant impact for semiconductor companies, SEMI hosted its first ever Fall Washington Forum for members of its North American Advisory Board (NAAB). SEMI also invited several other industry executives. In total, 14 senior industry executives, including representatives from equipment manufacturers, component suppliers, and materials providers, attended the Fall Forum.

During the two days of meetings, SEMI met with several senior Administration officials to better the policies being enacted and considered as well as encourage all parties to not impose barriers to commerce, which would severely impact the semiconductor industry. SEMI also met with Members of Congress and their staffs on this issue.

All told, attendees at the Fall Forum had more than 15 meetings with policymakers, reflecting the great impact of public policy on SEMI members companies. At a time when the stakes for the industry could not be higher, direct engagement with lawmakers is critical. The Washington Forum offers an incredible opportunity for members to better understand the impact of key public policy issues and gain firsthand experience in influencing policy and helping lawmakers better understand the industry.

If you are interested in learning more about the SEMI Washington Forum or SEMI’s public policy program, please contact Jay Chittooran by email at [email protected].

Mark Lipacis, Managing Director of Jefferies Group LLC and a leading analyst in identifying semiconductor industry trends and opportunities, will present a featured keynote during the GSA Silicon Summit – East, being held Tuesday, October 9 in Saratoga Springs, NY.

The inaugural conference is presented by the Saratoga County Prosperity Partnership (Saratoga Partnership), Saratoga County, NY’s economic development agency; the Global Semiconductor Alliance (GSA), a leading voice for the worldwide semiconductor industry; and the Center for Economic Growth (CEG), a regional economic and business development organization.

A top executive with the world’s only independent full-service global investment banking firm, Lipacis will discuss “The 4th Tectonic Shift in Computing – The Next Growth Opportunity for Semis.” Highlighting the technical innovations that translate to tectonic shifts in computing, his remarks will focus on the current evolution to a parallel processing/Internet of Things (IoT) model, driven by improvements in parallel processing and Artificial Intelligence (AI) technologies.

“Mark Lipacis is a thought leader with a deep market research expertise in edge computing and IoT. We look forward to Mark’s closing keynote and the important insights that he will share on the 4th tectonic shift in computing and the new opportunities it brings for the semiconductor industry and end markets,” said Dr. Shrikant Lohokare, Executive Director and Senior Vice President, GSA. “As rapid innovation continues to disrupt computing, and the impact of the semiconductor industry ripples through the world of business, his outlook will be of particular significance in addressing challenges and harnessing opportunities.”

“With the presence of GLOBALFOUNDRIES marking Saratoga County as a global leader in advanced semiconductor manufacturing, Silicon Summit – East is the ideal venue for Mark Lipacis to present a worldview of the latest industry evolution in computing,” said Marty Vanags, President of the Saratoga County Prosperity Partnership. “We are eager to hear his vision for the future, and in the process, to connect companies throughout the supply chain with opportunites to locate and grow high-tech business in Saratoga County.”

Lipacis has 18 years of experience in equity research, having joined Jefferies Group LLC in 2011 from Morgan Stanley, where he spent four years as a senior semiconductor analyst, and most recently as a managing director. In 2010, he was a runner-up in the institutional investor analyst survey, ranked number three in the Greenwich Associates poll, and ranked highly in previous Wall Street Journal and Starmine Polls – including being recognized as the number one semiconductor stock picker by Starmine in 2009. Previously, he was a first vice president and senior semiconductor analyst at Prudential, and prior to that a director and lead communicatons semiconductor analyst at Merrill Lynch.

Scheduled to deliver the opening keynote is Dr. Gary Patton, Chief Technology Officer and Senior Vice President of Worldwide Research and Development at GLOBALFOUNDRIES. A well-recognized industry leader in semiconductor technology R&D with over 30 years of semiconductor experience, Patton is responsible for GLOBALFOUNDRIES’ semiconductor technology R&D roadmap, operations and execution. His address will discuss “Market Drivers for Moore and Beyond Moore Semiconductor Technologies.”

The Networking Break Sponsor for GSA Silicon Summit – East is Micron. Gold Sponsors are Analog Devices, BBL and National Grid. Complete information about the event, including the program and sponsorship opportunities, can be found at https://www.gsaglobal.org/2018sse/.

GSA Silicon Summit – East was created through a strategic alliance established last year by the Saratoga Partnership and GSA. The event, with a theme of “Harnessing Emerging Semiconductor Market Opportunities,”  is designed to promote partnerships and drive efficiencies that advance semiconductor technology and business, while also informing the regional ecosystem on growth opportunities.

The ConFab – an exclusive conference and networking event targeted to semiconductor manufacturing and design executives from leading device makers, OEMs, OSATs, fabs, suppliers and fabless/design companies – is proud to announce its opening Keynote speaker, the distinguished Dr. Jeffrey J. Welser from IBM Research – Almaden. Being held at The Cosmopolitan of Las Vegas from May 14-17, Pete Singer, The ConFab Conference Chair and Editor in Chief of Solid State Technology, will welcome Dr. Welser to the stage on May 15.

In what promises to bring the audience valuable insights, Dr. Welser will continue on the theme established at The ConFab in 2018: Artificial Intelligence. AI, which represents a market opportunity $2 trillion on top of the existing $1.5-2B information technology industry, is seen as a huge game changer in the semiconductor industry. In addition to AI chips from traditional IC companies such as Intel, IBM and Qualcomm, more than 45 start-ups are working to develop new AI chips, with VC investments of more than $1.5B. Tech giants such as Google, Facebook, Microsoft, Amazon, Baidu and Alibaba are also developing AI chips. Dr. Welser will describe how making AI semiconductor engines will require a wildly innovative range of new materials, equipment, and design methodologies. To get to the next level in performance/Watt, innovations being researched at the AI chip level – at IBM and elsewhere — include: low precision computing, analog computing and resistive computing.

“Dr. Welser has great insight into how AI will be used to analyze the vast amounts of unstructured data being generated today, the various approaches to AI, and the kinds of innovations that will be needed at the chip level,” said Pete Singer. “We did a deep dive into AI in 2018 with speakers from IBM, Google, Nvidia, HERE Technologies, Silicon Catalyst, TechInsights, Siemens and Qorvo, among others. We’re delighted that Dr. Welser will build upon that in 2019 with his kickoff keynote.”

As Vice President and Lab Director at IBM Research – Almaden, Dr. Welser oversees exploratory and applied research. Home of the relational database and the world’s first hard disk drive, Almaden today continues its legacy of advancing data technology and analytics for Cloud and AI systems and software, and is increasingly focused on advanced computing technologies for AI, neuromorphic devices and quantum computing. After joining IBM Research in 1995, Dr. Welser has worked on a broad range of technologies, including novel silicon devices, high performance CMOS and SOI device design, and next generation system components. He has directed teams in both development and research as well as running industrial, academic and government consortiums, including the SRI Nanoelectronics Research Initiative.

Additional industry experts adding to The ConFab 2019 Agenda will be announced soon.

MagnaChip Semiconductor Corporation (“MagnaChip”) (NYSE: MX), a designer and manufacturer of analog and mixed-signal semiconductor products, announced today that it will hold a Foundry Technology Symposium at the Shangri-La in Shenzhen, China, on November 27, 2018. After holding a successful Foundry Technology symposium in Shenzhen, China in 2015, this second technology symposium in Shenzhen is part of MagnaChip’s global foundry targeted geographic strategy to increase MagnaChip’s brand awareness in China.

Major topics to be discussed are MagnaChip’s current Foundry service offerings and future business roadmap, specialty technology processes, target applications and end-markets. This symposium is being conducted as a direct response to the increased interest and demand from current fabless customers in China for advanced analog and mixed-signal specialized foundry technologies.

During the symposium in Shenzhen, MagnaChip will highlight its technology portfolio along with discussions focused on mixed-signal, low-power technologies in the Internet of Things (IoT) sector, Bipolar-CMOS-DMOS (BCD) for high-performance analog and power management applications, Ultra-High Voltage (UHV) and Non-Volatile Memory (NVM). In addition, MagnaChip will present technologies used in applications including smartphones, tablet PCs, automotive, LED lighting, consumer wearables and IoT.

“We hope that this Foundry Technology Symposium in Shenzhen will better position us to understand our customers’ needs in China,” said YJ Kim, Chief Executive Officer of MagnaChip. “With our technology symposiums held in United States, Taiwan and now in Shenzhen, China, we strongly believe that we will be able to better serve our global customers with our long history of providing successful foundry services and with our deep technological expertise.”

A multitude of fabless companies, IDMs (Integrated Device Manufacturers) and other semiconductor companies are expected to attend MagnaChip’s Shenzhen technology symposium.

To sign up for the event, and to receive more detailed information regarding the symposium, please visit www.magnachip.com or ifoundry.magnachip.com.

Lam Research Corporation (Nasdaq: LRCX), a global supplier of wafer fabrication equipment and services to the semiconductor industry, today announced the recipients of its 2018 Supplier Excellence Awards. Selected from Lam’s extensive list of preferred global suppliers, the companies were recognized for their outstanding performance, strategic services, and critical collaboration.

During Lam’s 2018 Supplier Day held on September 19th, the following six companies were presented with an award for Overall Supplier Excellence:

  • Fujikin Incorporated
  • HORIBA, LTD.
  • Texon Co., LTD.
  • TOTO, LTD.
  • Watlow Electric Manufacturing Co.
  • Wonik QnC Corporation

“Our top suppliers make it possible for us to provide exceptional, industry-leading products and services to our customers,” said Tim Archer, president and chief operating officer of Lam Research. “Close collaboration with these top performing suppliers has proven critical to delivering innovative, high-quality solutions for some of the industry’s most difficult challenges. We welcome the opportunity to honor their achievements and extend our sincere congratulations to each recipient of our 2018 Supplier Excellence Award.”

By Christian G. Dieseldorff and Eugenia Liu

SEMI FabView update for calendar year Q3 2018

Global fab construction investment shows continuing strength, with 19 new fab projects expected to begin construction in 2019 and 2020, based on the latest data published in SEMI’s World Fab Forecast.

Fab investment is just one indicator of how growing demand in areas such as high-performance computing, data storage, artificial intelligence (AI), cloud computing, and automotive are driving the fourth consecutive year of spending growth in the semiconductor industry. Below are a few highlights* from September’s SEMI FabView:

Memory: Not fading

  • Micron plans to invest $3 billion by 2030 in Manassas, Virginia – These investments, driven by strong demand for automotive applications, are contemplated in Micron’s long-term model. The production ramp is anticipated to be in the first half of 2020.
  • SK Hynix to build new DRAM fab in Icheon (Gyeonggi Province), Korea – The construction, to be completed by the end of 2020, will adopt 1znm node (probably EUV). Total investment is estimated to exceed $13 billion.
  • Nanya Technology doubles 2018 capex plan – The increase is for additional DRAM capacity and more 20nm DRAM conversion (from 30nm).

200mm and below: Not leading edge, but continues to draw investment

  • Vanguard changes fab investment strategy – Vanguard will focus on 200 mm and has scrapped its plan for 300mm expansion.
  • Murata to invest into 150mm expansion – Murata announced a 5 billion Yen investment (US$44.6 million) in a new fab extension in Vantaa, Finland.

Investment, M&A in Analog, Logic, Power and Opto Segments

  • Texas Instruments is looking to invest $3.2 billion in new fab construction in 2019 – Texas Instruments is eyeing Richardson, Texas and also considering sites outside Texas.
  • Bosch 300mm fab in Dresden, Germany – Bosch held a groundbreaking ceremony on April 24. Equipment installation is expected in 2H19.
  • Microchip completes acquisition of Microsemi – Microchip closed its $8.45 billion acquisition of Microsemi on May 29. Microsemi has five fabs in the U.S. with a wide range of semiconductor products and system solutions.

New fabs in China keep on coming

  • Shanghai Jita Semiconductor/Huada Semiconductor – Shanghai Jita Semiconductor, a subsidiary of Huada Semiconductor and China Electronics Corporation (CEC), announced plans earlier this month to build both 200 mm and 300 mm semiconductor fabs for analog and power semiconductors in Shanghai. The combined fab investment will total $5.18 billion.
  • Hamamatsu Photonics building 200 mm fab – Hamamatsu announced that it is building a new facility Investment of 2.8 billion Yen (US$25 million) to boost opto semiconductor capacity. Production is anticipated to start in late 2019.

*Actual FabView updates provide more detail

SEMI FabView, a mobile-friendly, interactive version of SEMI’s popular World Fab Forecast, delivers on-demand fab information such as fab spending and capacity for over 1,200 facilities, including over 60 planned facilities worldwide, across a wide range of product segments including Power, GPU, Memory, Foundry, MEMS and Sensors fabs. Fab data include region, start of construction, operation, construction and equipment spending, capacity, wafer sizes, product types and geometries. SEMI FabView subscribers receive forecast model updates through SEMI’s World Fab Database.  Click here for a trial if you want to experience SEMI FabView first hand.

Christian G. Dieseldorff is senior principal analyst and Eugenia Liu is senior product marketing manager, Industry Research and Statistics, SEMI, Milpitas, California. 

Originally published on the SEMI blog.