Category Archives: Semiconductors

Solid State Technology is proud to announce that Yoon-Woo Lee will be speaking at The ConFab 2013. The event will be held June 23-26, 2013 at The Encore at The Wynn in Las Vegas. Lee is the Executive Advisor of Samsung Electronics.

Lee’s presentation reviews what is currently happening in the IT industry and suggests strategies of collaboration within the industry. Technology is advancing rapidly in various sectors, basically driven by semiconductors that have strived toward greater performance, lower power, and smaller form through relentless migration, he says in his abstract.

“What is now important,” he writes, “is enriching the end user experience with a view on the entire value chain of the ecosystem. This is especially true as the IT revolution is now spilling over into other cutting edge fields like bio, nano, energy, and the environment. Collaboration is also critical in intra-regional trade and development. Countries will need to lower risk and boost efficiency through closer cooperation along the supply chain, forging alliances, devising common standards, and undertaking joint R&D.”

Prior to his current position Lee served as Vice Chairman and CEO from May 2008 to December 2009; Chairman of the Board of Directors from May 2008 to December 2010; and Vice Chairman from December 2010 to December 2011. An engineer and 40-year veteran of Samsung, Lee’s leadership and in-depth technology expertise have helped build Samsung into the world’s largest electronics company. He is widely credited with the success of Samsung’s Semiconductor Business and implementing policies and training programs that have earned Samsung the reputation of being the best company to work for in Korea.

Lee has been with Samsung since 1968. He served as the Managing Director of Giheung’s main semiconductor plant operations in 1987, and was appointed as the President of Samsung’s Semiconductor Business in 1996. Demonstrating his business acumen in a dynamic and fast-paced semiconductor industry, he successfully implemented diversification strategies that allowed the Semiconductor Business to navigate through cyclical market downturns while increasing market share, year after year. In 2004, Lee was promoted to Vice Chairman in charge of Global Collaboration, and also was appointed Head of the Samsung Advanced Institute of Technology. In 2005, he became Chief Technology Officer, responsible for planning mid- to long-term strategies for promoting new business development based on cutting-edge technologies.

Lee serves in numerous industry leadership positions including Vice Chairman of Seoul Chamber Commerce & Industry, Vice Chairman of Korea-Japan Economic Association, and Vice Chairman of Korea Business Council for Sustainable Development. In 2005, he was honored by the Korea Management Institute as CEO of the Year. Mr. Lee graduated from Seoul National University with a bachelor’s degree in Electrical Engineering.

For more information on or to register for The ConFab 2013, visit The ConFab section of our website.

Intel semiconductor market inventory declineAfter reaching a worrisome high in the third quarter of 2012, global semiconductor inventories held by chip suppliers fell at a surprisingly fast rate in the fourth quarter, led by dramatic reductions for market leader Intel Corp.

Days of Inventory (DOI) for semiconductor suppliers in the fourth quarter declined by 5 percent compared to the third quarter—higher than the 1.5% initially forecast, according to an IHS iSuppli Supply Chain Inventory Market Brief from information and analytics provider IHS. Meanwhile, inventory value in dollar terms fell almost 5%—larger than the originally projected 3%.

“Semiconductor companies reduced their inventories at a faster-than-expected rate in the fourth quarter as they moved to adjust to weakening demand,” said Sharon Stiefel, analyst for semiconductor market intelligence at IHS. “Many chip suppliers demonstrated great agility in their reactions to the drop in demand. No. 1 semiconductor supplier Intel Corp. was the most aggressive, cutting its stockpiles by more than half a billion dollars—the largest decrease on a dollar basis of any chipmaker.”

Cutting inventories down to size

Among semiconductor suppliers that reduced their inventory levels between the third and fourth quarters last year, the percentage of decrease ranged from 5% to 25%, resulting in chip stockpile value of $60 million to nearly $600 million being shaved off in the companies affected, as shown in the attached table. And while inventory climbed in some companies during the same period, the spread was smaller, with the value of the increase worth slightly north of $40 million to approximately $250 million.

In the table and numbers cited in this release, memory suppliers are excluded from DOI and inventory value calculations because they report results much later than any other group in the semiconductor supply chain.

The rest of the companies covered effectively straddle the breadth of the semiconductor chain, including those engaged in the wireless, automotive, data processing and industrial segments.

Intel leads inventory liquidation

The largest decrease in inventory value during the fourth quarter belonged to Intel, down $585 million from the third quarter, representing an 11% reduction. The company made aggressive moves to cut stockpiles. It also reduced production as it migrated to a new process technology: 14-nanometer lithography.

AMD and STMicroelectronics also experienced large inventory declines of $182 million and $131 million, respectively, or 25% and 9%. In the case of AMD, inventory shrank for its microprocessors as a result of an amended wafer supply agreement with GlobalFoundries for reduced stockpiles. For its part, STMicroelectronics cut utilization rates after exiting its money-losing joint venture with Ericsson.

Two other chip suppliers had notable inventory drawdowns: Texas Instruments, down $91 million or 5%, due to weak end-market demand for its chips; and ON Semiconductor, down $63 million or 10%, as it burned bridge inventory and coped with reduced revenue.

Among inventory gainers, most faulted low seasonality and an uncertain global economy for a rise in chip stockpiles. Companies in this group included MediaTek, up $58 million or 14%; NXP Semiconductors, up $44 million or 7%; and Infineon Technologies, up $43 million or 6%.

Qualcomm bucks the trend

The one exception among gainers that could boast of a strong performance that was linked to an increase in chip inventory levels was Qualcomm, up $247 million or 24%. Given the strong market acceptance of its wireless chips in products like the Apple iPhone and iPad, Qualcomm is ramping up production and inventories in order to meet demand.

Semiconductor suppliers will be positioning their inventories in the first quarter this year to prepare for anticipated demand. Inventories are expected to rise in response to slightly positive global economic indicators as well as favorable semiconductor and end-equipment forecasts—unless major swings occur once more from the larger suppliers that could then end up skewing the industry.

EV Group, a supplier of wafer bonding and lithography equipment for the MEMS, nanotechnology and semiconductor markets, today announced that it has installed a fully automated 300mm system from EVG’s Gemini product family of integrated wafer bonding clusters to a leading Chinese semiconductor foundry. This customer will use the system for 3D IC integration and advanced packaging—two high-volume applications for which EVG’s wafer bonding solutions are frequently used.

"This order from one of the largest Chinese foundries further cements EV Group’s position as the market and technology leader in wafer bonding for leading-edge applications," stated Hermann Waltl, executive sales and customer support director at EV Group. "China is an important market for us, and this order is further testament to our continued success in penetrating leading high-volume microelectronics manufacturers in China—from advanced substrate suppliers to light emitting diode (LED) and semiconductor device makers."

EVG won this order following a competitive bid with other leading process equipment suppliers.  Reasons cited by the customer for choosing EVG included high alignment accuracy, comprehensive process development and support, successful demo results in EVG cleanrooms, unmatched expertise in wafer bonding and other high-volume process solutions, and a technology roadmap that is strongly aligned with that of the customer. 

The EVG Gemini is a fully automated and integrated platform for wafer conditioning, wafer-to-wafer alignment and wafer bonding.  This highly modular design provides customers with a highly flexible solution that can integrate all of EVG’s technology solutions in one platform with minimized footprint.  Configurations can include the option of EVG’s clean modules, low temperature plasma activation modules, SmartView align modules with integrated bond capability, as well as dedicated bond modules.

System Plus Consulting analyzed a BAW MEMS Filter manufactured by Avago Technologies, assessing its manufacturing process, costing results and breakdown. With more than 1 billion units produced per year and a market share of 65%, System Plus Consulting found that Avago Technologies clearly dominates the BAW filter market. Avago BAW filters are all-silicon MEMS devices manufactured with Avago’s FBAR and Microcap technologies.

 

Avago ACMD-7612 Duplexer

(Courtesy of System Plus Consulting)

 

The ACMD-7612 is targeted for handsets or data terminals operating in the UMTS Band I frequency range and features a Maximum RF Input Power to Tx Port of ±33 dBm.

Manufacturing process

Film Bulk Acoustic Resonator (FBAR) is a silicon-based MEMS technology which uses AlN piezoelectric material for resonating layers. It allows creating structures with higher Q than surface acoustic wave (SAW) structures for most cellular frequency bands.

Microcap corresponds to the wafer level packaging process of the FBAR filters. The microcap process uses gold plated Through Silicon Vias (TSV) in the cap to report electrical contacts (and thus reduce filter dies size) and gold-gold thermo-compression wafer bonding to ensure an hermetic sealing.

 

MEMS Filter Cross-section

(Courtesy of System Plus Consulting)

 

Costing results

Filter dies are manufactured on high resistivity 6-inch wafers in Avago’s Fort Collins wafer fab. With more than 20,000 potential good dies per wafer, the manufacturing cost of a filter die is estimated to be in the range of 5¢.

 

 

MEMS Filter Wafer cost breakdown

(Courtesy of System Plus Consulting)

 

The full reverse costing report combining technological analysis of the devices and detailed manufacturing cost is already available.

System Plus Consulting develops costing tools and performs on demand reverse costing studies of semiconductors – from integrated circuits to power devices, from single chip packages to MEMS and multi-chip modules – and of electronic boards and systems.

In the 1970s, the semiconductor industry was vertically integrated. Most companies were IDMs with manufacturing, design, intellectual property (IP) and marketing activities. During this period, manufacturing technology evolution was strong and required new fabs, which directly increased capital expenditures. Companies desired an attractive Return on Invested Capital (ROIC), and to obtain it they developed a new, lower-investment business model by including manufacturing services in their portfolio.

In the 1980’s, the first pure foundries emerged — and ten years later, the fabless business model was born. The rest, as they say, is history; according to GSA, in 2011 there were 1,800 fabless companies worldwide, covering a variety of sectors.

In the power electronics field, the fabless business model is not as common compared to the MEMS industry. For example, most power electronics players have their own capabilities/fabs dedicated mainly to silicon wafer manufacturing. According to Yole Développement, $4B was generated by MEMS fabless companies in 2012, against less than $300K in the power electronics area. Is power electronics a world apart?

“Less than 10 companies have been clearly identified in the Power Electronics industry. This trend is clearly linked to the introduction of new materials like GaN and SiC wafers in manufacturing technologies. New products already commercialized, for example photovoltaic inverters, use thesenew materials. Yole Développement is currently analyzing the Power Electronics industry in orderto understand what the next step will be,” explains Alexandre Avron, Power Electronics Technology & Market Analyst at Yole Développement.

Indeed, for a long time the power electronics field and its key players only considered silicon wafers. Today, however, the power semiconductor industry is entering a new era: for the first time, power electronics companies are developing new solutions based on “non-silicon” manufacturing technologies. This evolution is not without big investments, though, and in order to limit them, some companies have decided to become fabless and collaborate with large fabs to produce the necessary components.

The truth is that power electronics is not a world apart, and that the fabless business model has just become a reality in the field. It represents a real opportunity for power electronics companies to introduce new components and embrace the technology evolution.

For the second straight year, Yole Développement and Serma have joined forces to organize the Successful Semiconductor Fabless conference, a unique European event dedicated to the fabless business model. This event takes place in Paris, from April 10 to 12.

Hiden announced this week the integration of on-board timers for real-time pulsed plasma measurement, the fast gating fully controllable within the MASsoft operating program. Two timers provide “gate open/close” and “gate increment” periodicity with sub-microsecond gating resolution to just 100 nanoseconds, phasing data acquisition precisely with each individual plasma pulse.

Instruments enabled with these on-board timers include the ESPion Langmuir-style probe for measurement of plasma ion and electron densities and energies, as well as the Hiden PSM and EQP quadrupole mass spectrometers for characterization of both positive and negative plasma ion species. All are supported by a comprehensive range of accessories, with differential pumping options for processes operating up to 5 bar.

The ESPion probe is available in versions for operation in both RF and DC plasma, at elevated temperatures and in diverse lengths in excess of 1000mm. Compatible bellows-sealed ‘Z’-drives have up to 900mm translation. The EQP and compact PSM plasma monitors share similar software, the EQP system featuring a high-definition sector-field energy filter and energy range +/-1000eV. The integral electron bombardment ion source is used for neutrals/radicals measurement and for studies of electronegative species by electron attachment.

ALTIS Semiconductor, a global specialty foundry based in France, announced today the finalization of a foundry agreement with IBM Microelectronics. Under the terms of this agreement, ALTIS will be the foundry partner for the IBM 180nm SOI technology. ALTIS will deliver high volume products starting Q2 2013 and will secure capacity increase for 2014 and beyond to address the IBM forecasted demand.

This agreement allows the company to leverage its analog/mixed signal and RF expertise as well as its proven operational excellence and quality focus to serve a long term partner, who is well recognized within the industry for its technology leadership and innovation.

ALTIS has a long term relationship with IBM Microelectronics and has produced many product families for IBM over the past decades. This foundry agreement addresses the next generation of consumer products, including as an example, the RF/SOI chipsets used in the world most advanced mobile devices.

IBM’s 7RFSOI technology provides advantage by simultaneously enabling the required level of integration and performance for the large number of switches required in the modern smartphone for example cellular antenna switches, diversity antenna and WLAN.

“We are extremely pleased to expand our strategic relationship with IBM Microelectronics,” said Jean-Paul Beisson, CEO of ALTIS.

"It is another proof that ALTIS is able to provide a competitive solution to worldwide leading customers like IBM and we look forward to this continued collaboration with IBM for many years to come," said Yazid Sabeg, Chairman of ALTIS.

Altis Semiconductor is an independent and long-term innovative European based specialty foundry, servicing the growing demand for high quality end-to-end foundry services. The Altis process portfolio encompasses advanced CMOS based technologies for RF, low power, high performance analog mixed signal, non-volatile embedded memory, and high voltage requirements for a broad range of end market applications, including automotive.

OKI Engineering, provider of reliability evaluations and environmental conservation technologies for the OKI Group, recently delivered KGT-3MM-AP exhaust gas treatment equipment for atmospheric pressure CVD manufacturing equipment to semiconductor manufacturer ON Semiconductor’s European plants. The exhaust gas treatment equipment remove the special material gases used with atmospheric pressure CVD manufacturing equipment while controlling and maintaining constant exhaust pressure. Thus, it ensures reliability and consistency in the CVD thin film manufacturing line, ultimately helping to maintain the customer’s production environment.

In the manufacture of semiconductors such as Power FET and IGBT atmospheric pressure, CVD manufacturing equipment is vital at the stage of insulating film manufacture. However, this equipment uses harmful gases such as silane (SiH4), phosphine (PH3), and diborane (B2H6) and requires exhaust gas processing. OKI Engineering’s KGT-3MM-AP exhaust gas treatment equipment is a wet-type processor that effectively processes the special material gases and particulate matter used in CVD thin film manufacture. The treatment equipment contains a special stainless steel filter to improve scrubbing efficiency. The design minimizes filter clogging for extended maintenance-free use. A unique design intended to facilitate cleaning of the internal filter has won praise for ease of maintenance. The micromanometer used for pressure control was designed specifically for CVD gas use. Inverter control for the exhaust fan ensures the constant exhaust pressure essential for atmospheric pressure CVD thin film manufacture and extended operational reliability and consistency.

"Three years previously, OKI Engineering delivered the KGT-3MM-AP to ON Semiconductor as an exhaust gas processor for Amaya continuous atmospheric pressure CVD manufacturing equipment," says Yutaka Asai, President of OKI Engineering. "This latest order for ON Semiconductor’s European plants was prompted by ON semiconductor’s satisfaction with the processor’s pressure control configuration and exhaust gas scrubbing efficiency and by the benefits of consistent, trouble-free CVD thin film manufacture. Introduction of the treatment equipment ensures consistent film thickness distributions for CVD thin films, including NSG, PSG, and BPSG, at ON Semiconductor’s European plants. It also increases factory throughput while cutting exhaust gas processing costs."

OKI Engineering began manufacturing exhaust gas treatment equipment approximately 30 years ago. Since then, it has supplied treatment equipments to numerous semiconductor and solar cell mass production plants in Japan and Taiwan. This latest order expands its reach into Europe. OKI Engineering also plans to expand into new regions including Southeast Asia.

Intersil Corporation this week announced the appointment of Necip Sayiner, 47, as President and Chief Executive Officer of Intersil and a member of the Company’s board of directors effective March 14, 2013. Mr. Sayiner replaces James Diller, who served as interim CEO since December 2012 and will remain a member of Intersil’s board of directors.

Mr. Sayiner has a strong track record of developing profitable growth businesses. He was most recently the president and CEO of Silicon Labs, where he led the transformation of its business, improving product development execution and more than doubling the company’s revenue during his six year tenure. Prior to Silicon Labs, Mr. Sayiner held various leadership positions at Agere Systems, most recently as the vice president and general manager of the Enterprise and Networking division. He holds a bachelor’s degree in electrical engineering and physics from Bosphorus University in Turkey, a master’s degree in engineering from Southern Illinois University and a doctorate in electrical engineering from the University of Pennsylvania.

"Necip is a proven CEO who has already demonstrated his ability to successfully transform and lead in the semiconductor industry," said Don Macleod, Chairman of Intersil’s board of directors. "We look forward to him doing the same again for Intersil."

"I am pleased to have the opportunity to lead Intersil and look forward to working with the board of directors and the management team to position the company on a sustainable path to success," said Sayiner. "I believe the company has the right set of capabilities to regain leadership in its markets and deliver on the potential of its technology."

Intersil also announced that Jonathan Kennedy, Intersil’s Senior Vice President and Chief Financial Officer, will be leaving the company to pursue another opportunity outside of the semiconductor industry. Mr. Kennedy will remain CFO through March 31, 2013 and will remain with the Company in an advisory capacity through April 5, 2013.

"On behalf of the board of directors, I would like to thank Jonathan for his many contributions over the years and wish him the best of luck going forward," said James Diller.

Ms. Mercedes Johnson will join the management team as interim CFO, leading a strong and proven finance organization, while the company conducts a search for a permanent replacement, effective April 1, 2013. Ms. Johnson, an Intersil director since August 2005, was previously Senior Vice President and Chief Financial Officer of Avago Technologies from November 2005 until her retirement in August 2008. Prior to that, she worked for Lam Research Corporation, serving as its senior vice president of finance from June 2004 to January 2005 and its chief financial officer from April 1997 to May 2004. She has served as a member of the board of directors of Micron Technology, Inc. since June 2005 and has served as a member of the board of directors of Juniper Networks since May 2011. Ms. Johnson also served on the board of directors for Storage Technology Corporation from January 2004 to August 2005 when the company was sold to Sun Microsystems, Inc.

Cadence Design Systems, Inc. today announced plans to aquire Tensilica, Inc. for approximately $380 million in cash. Tensilica had approximately $30 million of cash as of December 31, 2012.

"With Tensilica, we will be able to provide designers with a more complete SoC solution that will speed the development of innovative and differentiated products, while reducing time to market," said Lip-Bu Tan, president and chief executive officer of Cadence. "We look forward to working with Tensilica’s dedicated employees as one team to bring even more value to our customers."

"Joining Cadence will provide a broader platform to expedite our product development strategy and customer engagement,” said Jack Guedj, president and CEO of Tensilica. “We will have the ability to accelerate IP subsystem development and integration while providing a more extensive support network to our customers."

Cadence intends to finance the transaction with available cash and an existing revolving credit facility. The transaction is expected to close in the second quarter of fiscal 2013, subject to customary closing conditions including regulatory approvals. Cadence expects the transaction to be slightly dilutive to its non-GAAP earnings per share in fiscal 2013 due to the impact of merger-related accounting and accretive to its non-GAAP earnings per share in fiscal 2014. The impact on GAAP earnings per share will be available after valuation and the completion of purchase accounting.

"The acquisition of Tensilica by Cadence will be a positive move for the industry," said Simon Segars, president of ARM Holdings plc. "We look forward to expanding our ongoing collaboration with Cadence to enable our customers to bring great products to market."

Tensilica customized DPUs augment traditional custom hardware design, offering both time-to-market and programmability advantages and can be optimized to achieve optimal power, performance and area efficiency. Tensilica IP provides application-optimized subsystems that work with industry-standard CPU architectures.