Controversies may stifle 300mm transition

Electronic News, July 15, 1996 by Judy Erkanat

Mountain View, Calif.--The current state of 300-millimeter wafers and associated technology is the subject of much debate. Industry groups have emerged to push the standard diameter, but semiconductor manufacturers appear to be standing back on implementing it.

Amid speculation that this year's slowdown is cooling industry interest, perhaps putting 300mm R&D on the back burner, silicon wafer suppliers are getting complaints on the price of 12-inch test wafers, which are already selling for half of what it costs to make them.

Both the manufacturer and supplier sides of the global semiconductor industry agree on the need to convert the production of computer chips to larger wafers to increase productivity. But the conversion will be the most costly yet, with the original estimated price tag of $14 billion beginning to look conservative. Beyond that, however, the two sides are divided on such fundamental issues as when to make the transition and how to fund development of the necessary technology.

Semiconductor Equipment & Materials International (SEMI) found the transition is viewed in very different ways by industry segments. More than 50 percent of semiconductor producers identified technology as the most critical element in the upcoming transition, with equipment availability second at just over 40 percent. Equipment manufacturers put technology in fifth position, calling customer commitment and transition timing the two most critical elements.

"Clearly, the supply side of the industry feels that the technology represents no stumbling blocks and they say the equipment can be available when commitments are forthcoming from the customer base," said Ron Horwath, 300mm special program director for SEMI.

The extent equipment manufacturers will fund R&D representsa major stumbling block. "Our findings are that most of our members are willing to, or are, self-funding benchtop equipment development, at which point the product concept can be proven by customers," said Mr. Horwath. "They feel, however, that they need a financial commitment from one or more customers to carry it further to beta development...and thus far no semiconductor manufacturer, either independently or collectively through a consortium, has been willing to make such a commitment."

Another major cost factor is the price of 300mm silicon wafers for the testing of new systems, currently quoted by materials producers at $1,500 each, with 100-5,000 needed for test runs. "Both of the major semiconductor consortia, Selete in Japan and the U.S.-based counterpart, I300I (International 300mm Initiative), are considering paying for these test wafers, but no action has been taken," added Mr. Horwath.

Timing issues continue to cause disagreement within the community about when the equipment and materials industry should expect the transition.

"Early estimates had some producers saying they wanted to be in full production sometime in 1998," said Mr. Horwath. "In our interviews with device manufacturers, up to six IC manufacturers are currently planning pilot line or low-volume factories in 1988, and several others indicated large-volume factory builds between 1999 and 2002. One response from an IC manufacturer was, 'When a complete toolset is available, factory builds will commence.' And from the equipment manufacturers we heard, 'When a commitment or letter of intent to purchase a piece of equipment is obtained, development of a beta-level tool will begin.' " SEMI concluded affordability was the main block in the roadmap and concerns about oversupply of product could be slowing down the transition, meaning a breathing space to develop 300mm equipment on a better time scale. The SEMI results showed all companies had someone working on the 300mm issue, but only to a certain level.

Transition facilitators include Sematech's I300I, an international group of IC manufacturers, with equipment manufacturers and materials suppliers banded together under Sematech in the U.S., the Semiconductor Equipment Association of Japan (SEAJ) and the Japan Society for New Metals (JSNM)/JEIDA in Japan, JESSI in Europe and the Korean Semiconductor Industry Association (KSIA) in Korea and Taiwan, with SEMI active globally.

Selete's mission is to perform research on key advanced technology and provide an accelerated development of equipment and materials for the 300mm transition. It has 10 member companies and $370 million in funding for its five-year mission. Assignees number more than 120, and the consortium has 40-50 tool bays. Like Sematech, Selete provides real-time, on-site equipment for development support.

I300I was formed to ensure 300mm capability for the IC industry to continue productivity improvements and adopt a standard approach for 300mm core tool demonstrations. Its 13 members have set aside $26 million for 18 months of operation, with 40 workers and 12 tool bays. I300I's level of assistance is to provide a standardized demonstration criteria for each critical tool sector and validate the demonstration data at the individual suppliers' locations.