SEMI® Global Update • March 2011 IN THIS ISSUE Advanced Manufacturing in Europe Record Capex Leads to Fab Equipment Increase of 28% in 2011 Silicon Reclaim Wafer Market: $348M by 2012 Challenges on Technology Path to 14/15 Node Tremendous Growth Opportunities in the PV Materials Market HB-LED Focus: Cost Reduction and Next Gen Digital Intelligence FPD Market Outlook Affects the Value Chain Budget Battles Dominate Debate in Wash., D.C. New PV Standards Published SEMI Europe Welcomes New Members SEMI CALENDAR EUROPE 20-22 March PV Fab Managers Forum 27-28 April LED Lighting Summit 24 May SEMI Brussels Forum 31 May-2 June SEMICON Russia 8-10 June Intersolar Europe SEMICON Europa Call for Papers Adv Packaging Conf European Mfrg Test Conf Intl MEMS/MST Ind Forum ASIA 15-17 March SEMICON China 15-17 March FPD China 11-13 May SEMICON Singapore NORTH AMERICA 3 March SEMICON West Preview Webinar 8 March CAST Workshop 8-9 March uv.eb West 2011 23 March HB-LED Webinar Series 23 March SEMI NE Forum: Where will the Road lead us? ITRS and More Moore 28-31 March NA Standards Spring Mtgs 15-18 May ASMC Classes 24 May Combating Aggressive Supply Chain Mgmt 25-27 May Fundamentals of Prod Mktg FROM THE SEMI EUROPE PRESIDENT Advanced Manufacturing in Europe We often hear that innovation is the key to smart and sustainable growth for Europe. But history has shown that innovation alone is not enough to create sustainable growth and sufficient jobs. To achieve an acceptable return on investment in Europe, advanced manufacturing is indispensible. Therefore, it is good to see that the European Commission has clearly addressed this issue and we are pleased to see that progress is being made! I strongly encourage you to review the video of European Commissioner Neelie Kroes who specifically references the semiconductor industry, as well as the other short videos, which are encouraging for our industry: (more) View videos on industry competitiveness: Neelie Kroes for SEMI ISS Europe SEMI on European Semiconductor Mfrg Competitiveness SEMI interview at Rusnanotech Heinz Kundert www.semi.org/europe www.pvgroup.org Advertisement Learn IC Design Online UC Berkeley Extension offers 12 online courses in IC design that you can start at anytime. Earn a certificate or just take courses to build the skills you need. Optional Mandarin soundtrack available. Find out more. Record Capex Leads to Fab Equipment Increase of 28% in 2011 By Christian Gregor Dieseldorff, SEMI Industry Research & Statistics Exciting times loom ahead for the industry: 2011 promises record spending levels; there are inklings that the 450 mm era is beginning to take shape; feature sizes will break into 20nm-class; and fabs are showing up in unlikely places. Some companies have surpassed their record investments in 2010 to set new spending records in 2011. Silicon Reclaim Wafer Market Expected to Reach $348M by 2012 By Lara Chamness, SEMI Industry Research & Statistics The worldwide reclaim wafer market is estimated at $312 million in 2010 and forecasted to reach $348 million by 2012. Pricing pressure in 2009 caused aggregate pricing for 300 mm wafers to decline 32 percent and an additional 16 percent in 2010. Challenges Abound on the Technology Path to the 14/15 Node By David Lammers, editor-in-chief, SemiMD For logic ICs, the challenge - as Thomas Skotnicki of STMicro recently said - is that "conventional boosters are out of steam." As the device pitch scales, there may be less benefit to strain techniques. Advertisement What's Next for the Compound Semiconductor Industry? CSEurope Conference, 22 March, Hilton Hotel, Frankfurt, Germany. Pioneering companies discuss opportunities for compound semiconductors. For the insider view, book your place at CS Europe. www.cseurope.net Tremendous Growth Opportunities in the PV Materials Market SEMI and Linx-AEI Consulting announce a new report that delivers detailed insights about growth opportunities in the soaring PV materials market. Driven by the global demand for solar power, materials for crystalline silicon and thin-film modules are a growing market for suppliers of electronic materials. HB-LED Focus Turns to Cost Reduction and Next Generation Digital Intelligence By Paula Doe, SEMI Adjacent Markets HB-LED technology has made progress in over the past few years, but big penetration into the general lighting market still requires a 10X reduction in costs to compete with fluorescents, which are also significantly improving. FPD Market Outlook Affects the Value Chain By Yoshio Tamura, senior VP, senior analyst, DisplaySearch Although the flat panel display (FPD) industry is concentrated in Asia, its value chain involves global SEMI members who supply equipment and materials to Korean, Taiwanese, Chinese and Japanese FPD companies. Budget Battles Dominate Debate in Wash, D.C. The elections of 2010 were historic in terms of the number of newcomers that were voted into office, with many of the rookie lawmakers swept into power with the promise to cut government spending. Now those election promises are being confronted by the reality of the modern lawmaking process in the nation’s capital. New PV Standards Published By James Amano, SEMI Initially formed in 2007, the PV Standards Committee has rapidly become one of the most active committees in the SEMI Standards Program, and has now developed and published 15 Standards. The PV industry is increasingly recognizing the value of the SEMI Standards Program. SEMI Europe Welcomes New Members Ovivo Switzerland, EITech, Sabok Sazan Lowshan Thank you for reading this newsletter. We hope that you find SEMI Global Update informative and relevant. Let us know if we can improve the content and quality of SEMI Global Update. Please send your ideas, comments and suggestions to: Carlos Lee Content Manager, SEMI Europe Avenue des Arts 40 Brussels B-1040, Belgium Tel: 32.2.289.6490; Fax: 32.2.511.4345; Email: semieurope@semi.org Website: www.semi.org/europe Subscribe ¦ Unsubscribe Copyright © Semiconductor Equipment and Materials International (SEMI), all rights reserved