March 2010

In This Issue

From the SEMI Europe President: "Bungee Jump" Economic Decline and Rebound

Fab Spending: 88% Growth in 2010

Economic Realities Suggest a Long, Slow Road to 450 mm

Growth in HB-LED Market Drives 3X Capacity Boost

2010 ISS Blue Chip Panel: A "Perfect Storm" (Part 2)

PV Standards: Industry Participation is Critical

Technology Enables Energy Harvesting Systems

Government Support Energizes China's PV Market

From the SEMI® Europe President

Heinz Kundert, President, SEMI Europe"Bungee Jump" Economic Decline and Rebound

At the SEMI Industry Strategy Symposium (ISS) Europe event held in Dublin on February 7-9, Malcolm Penn from Future Horizons, stood up to give his perspective on the industry. What a difficult and challenging year it has been, and I wondered if Penn would inspire us.

Starting off with a short look back, Penn said that during the "decade of the doldrums" - the period after the "dot-com" bubble burst in 2000 - the compound annual growth rate for IC sales was 0.8%. This poor performance has led many, said Penn, to see the chip industry as adrift, carried from profitability by the lowering tides of ASPs as chip demand has peaked... (more)

Heinz Kundert

SEMI Europe welcomes new members
Fraunhofer CNT, Polymer Techniques Ltd, Vi Technology, Haas Training Solutions

Fab Spending Heads for 88 Percent Growth in 2010
By Christian Gregor Dieseldorff and Dan Tracy, SEMI
The latest edition of SEMI's World Fab Forecast reveals that Fab spending, which includes construction and equipping Front-End Facilities, from R&Ds to volume fabs, is expected to increase to over $30B, about 88 percent growth year-over-year. Also, a number of existing fab projects which were put "on ice" will move forward: for example, TI's RFAB, TSMC's Fab 12 Phase 5, and UMC's Fab 12A P3/4 (former Fab 12B).

Economic Realities Suggest a Long, Slow Road to 450 mm
By John Ellis, SEMI
Five years ago, several industry executives foresaw a gap between funding semiconductor R&D and staying on Moore's Law. A SEMI white paper published in October 2005 outlined this looming problem, predicting that by 2010 the industry would need $10.4B to fund basic technology R&D.

Growth in HB-LED Market Drives 3X Capacity Boost and Possible Sapphire Shortage
By Paula Doe, SEMI MEMS & Emerging Markets
The HB-LED market will see more than 50% growth this year. While LED adoption for backlights for LCD TVs and monitors is driving much of this growth, the other growth area for LEDs is general illumination, where device sales jumped 24% in 2009, to $650 million. In 2010, 32% growth is expected, accelerating to 44% average annual growth in the next five years.

2010 ISS Blue Chip Panel: A "Perfect Storm" (Part 2)
By Scott Landstrom, SCI Consulting
Highlights from the January 12 Industry Strategy Symposium are presented (Part 2). The executive panel-- composed of Randhir Thakur (Applied Materials), Rick Wallace (KLA-Tencor), Steve Newberry (Lam), Dave Dutton (Mattson), Rick Hill (Novellus) and Mark Jagiela (Teradyne)-- fielded questions from eight industry luminaries.

New Action Plan for Nanotechnology. Submit your contribution at

PV Standards: Industry Participation is Critical
Momentum is building for the development and widespread adoption of standards in the solar PV manufacturing industry. Defining future standards development efforts is a constant challenge as companies collaborate in a pre-competitive environment to define the best path to foster innovation and market growth.

Semiconductor Process Technology Enables Energy Harvesting Systems
By Paula Doe, SEMI MEMS & Emerging Markets
Semiconductor process technology is moving into the micro-energy space, as MEMS and thin-film energy harvesters and batteries progress towards practical applications. Energy harvesters based on MEMS structures, flip-chip bumps and AlN thin-films are trickle charging thin-film batteries made by vacuum deposition on foil or silicon, to run ultra-low power wireless systems.

Government Support Energizes China's PV Market
At Chinese solar companies, production lines are up and running, some even at full capacity. This is quite a different scene from a year ago when Chinese solar companies had to shut down their lines and let the workers go home due to a sudden drop in demand and tremendous inventory buildup. Preliminary data indicates that last year Chinese cell/module makers doubled their 2008 level to reach 8,000MW solar cell capacity and produced over 4,000MW solar cells.


Europe Events
SEMI Brussels Forum
4-5 March

PV Fab Managers Forum
7-9 March

9-11 June 2010

SEMICON Russia 2010
14-16 June

SEMICON Europa 2010
19-21 October

Call for Papers
SEMICON Europa Programs

Call for Nominations
Standards Awards

Asia Events
March 16-18

March 16-18

2010 China FPD Conference (CFC)
March 16-17

FPD China
March 16-18

CSTIC 2010
March 18-19

Global FPD Partners Conference
April 8-9

SEMICON Singapore
May 19-21

SOLARCON Singapore
May 19-21

North America Events
New England Breakfast Forum
March 10

CAST: Test Cell Communication Work Group Meeting
March 24

Standards Spring Meetings
March 29-April 1

Silicon Valley Lunch Forum
April 21

Principles of Selling to the Semi Industry
May 12-14

Fundamentals of Product Marketing
May 24-26

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