Singapore

The world’s most advanced manufacturing factories are leading the way in driving efficiency and sustainability.In advance of its 2020 meeting, the World Economic Forum welcomed Micron into its Global Lighthouse Network, a group of advanced manufacturers “that are showing leadership in applying the technologies of the Fourth Industrial Revolution to drive operational and environmental impact.”For years, Micron has been helping clients integrate artificial intelligence (AI), big data analytics and the industrial internet of things (IIoT) into their factories. And now Micron’s factory is one of the first facilities in Singapore, along with Infineon, to be recognized by the Global Lighthouse Network.In a recent interview with Channel News Asia, Manish Bhatia, executive VP of Global Operations, explained how Micron has been practicing what it preaches: “Our products enable new technology trends such as IoT, 5G, cloud computing and autonomous driving. Applying these technologies in our own manufacturing facilities demonstrates the enormous potential in driving business value. Industrial IoT and artificial intelligence are part of the biggest revolution since the advent of robotic manufacturing productivity 50 years ago.”For Micron, this journey started with the need to “keep pace with the technological advancement of our semiconductor processes,” Manish said. “We wanted to provide higher-capacity, higher-performance, lower-cost and lower-power chips.”This meant embarking on the same journey they guide clients through: “We started by focusing in 2014 on simple statistical analysis to improve our production processes,” Manish said. “Following that, we developed more complex deep learning and AI capabilities to draw insights from our data. Most recently, we introduced IoT sensors — like cameras and acoustic sensors — to gather even more data that allows us to further improve our production processes.”The Singapore factory plays a critical role in developing leading-edge NAND. Micron’s Singapore presence, composed of two wafer-fabrication facilities and one assembly and test facility, serves as the base for worldwide operations. With over 500,000 square feet of cleanroom space, the location is also a designated NAND Center of Excellence, driving the implementation of the company’s leading-edge 3D NAND production for use in mobile phones, solid-state drives, digital cameras and more. Micron employs approximately 8,000 people in Singapore.The World Economic Forum says the results of the Singapore transformation have been spectacular: Micron’s “semiconductor fabrication facility has integrated big data infrastructure and IIoT to implement artificial intelligence and data science solutions, raising product quality standards and doubling the speed at which new products are ramped.”Below are notable achievements that Micron was recognized for: Automation of production and maintenance produced a 4% tool availability improvement. The IIoT-enabled smart factory led to a 22% scrap and product downgrade reduction. Advanced analytics for process optimization with OEMs reduced time to ramp new products by 50%. Deep learning optical-defect detection created a 2% yield improvement. The integrated deviation management platform reduced time to resolve quality issues by 50%. Micron was a natural choice for the Global Lighthouse Network, an organization whose creation is timely. The World Economic Forum points out that “global production industry is lagging in its adoption of Fourth Industrial Revolution manufacturing technologies, with more than 70% of companies stuck in pilot-phases … [There is] a need for a neutral learning platform to showcase top-use cases, roadmaps and organizational approaches to adopting and scaling technologies from which other companies globally could benefit.”As part of the Global Lighthouse Network, Micron will be able to share knowledge and best practices with peers, support new partnerships and help other manufacturers deploy technology, adopt sustainable practices and transform their workforces. We can all build on this community of like-minded organizations, levering technology to improve efficiencies and promote sustainability.This recognition from the World Economic Forum is a win-win. We look forward to joining the club of lighthouse factories around the world and to helping propel the entire global manufacturing industry into the Fourth Industrial Revolution. At Micron, we are at the forefront of this transformation and welcome the opportunity to serve as a lighthouse.Koen De Backer is responsible for driving Micron’s smart manufacturing initiatives and digital operations including capabilities with IoT, artificial intelligence, advanced analytics, cognitive computing and machine learning to enhance Micron’s business, global operations and product development. Prior to joining Micron, Mr. De Backer led large-scale operations projects for more than a decade to help clients reduce inefficiencies and achieve excellence in manufacturing, procurement, supply chain and support functions.Most recently, De Backer was a partner at McKinsey Company, where he steered the semiconductor consulting practice in Southeast Asia and was one of the firm’s leading experts on applying artificial intelligence and automation techniques across operations and support functions such as finance, human resources and procurement. Additionally, Mr. De Backer consulted with high-tech global clients while working at Deloitte Consulting, Altran Europe and CSC. Mr. De Backer holds a master’s degree in business administration from INSEAD and a master’s degrees in both industrial management and electromechanical engineering from Katholieke Universiteit Leuven.De Backer is also chairman of the SEMI Southeast Asia Smart Manufacturing Chapter. For information on participating in the chapter, contact Shannen Koh at [email protected].

In an important step toward resuming business as usual in Japan, Prime Minister Shinzo Abe on May 14 lifted the state of emergency originally scheduled to expire at the end of May for 39 of Japan’s 47 prefectures, marking “the real beginning of our efforts toward a new normal in the era of the coronavirus” as new cases continue to decline. But with Tokyo, Osaka and six other prefectures still under the state of emergency, Abe urged citizens to remain cautious as the nation and world continue to confront the COVID-19 threat. Among criteria the remaining prefectures must meet for a state of emergency suspension is a reduction in new infections to no more than 0.5 cases weekly for every 100,000 citizens. The eight prefectures account for nearly half of Japan’s population and GDP, with Tokyo and Osaka the two largest urban areas in the island nation. Japan expects to contain its economic losses to 38 trillion yen, 15 percent less than the 45 trillion yen hit originally projected. The Japan government has planned a May 21 progress review[1] in the eight prefectures, a timeline that Abe said could lead to the lifting of the state of emergency before the original cutoff at the end of the month, a move that would help stem the drain on the domestic economy.Strict Immigration Controls Restricts International Travel to and from Japan by Supplier EngineersAs I reported on April 21, the Japan Foreign Ministry on March 31 raised its travel advisory to level 3 for 49 regions around the world including the U.S., prohibiting travel from Japan for any purpose. SEMI Japan is urging government officials to exempt Japanese supply chain engineers from the travel ban to allow visits to semiconductor manufacturing facilities in those regions in order to install, start up and service equipment.Starting May 14, Japan blocked immigration of foreign nationals and permanent residents from 100 countries and regions worldwide, a ban applying to anyone who spent time in their home region within 14 days of their planned arrival in Japan. The areas include China, Singapore, South Korea, and Taiwan in Asia; Canada and the U.S.; and Germany, France, Italy, Netherlands, Switzerland and the U.K. in Europe. For the complete list, see the Japan Ministry of Justice’s website.Japan’s immigration ban mirrors restrictions now in place in many other regions around the world. The immigration controls are well-intended – to restrict the spread of COVID-19 – but hamstring the global microelectronics supply chain. For example, the curbs bar engineers from international travel to install new tools and software in fabs. SEMI Japan has stressed the potential chip industry impacts of the ban in ongoing talks with the Ministry of Economy, Trade and Industry and is facilitating discussions between government representatives and SEMI members to help clear the way for travel by critical supply chain workers to Japan. SEMI Supports Members with COVID-19 ResourcesSEMI international headquarters and regional offices are here to help you, our members. For more information on our webinars, surveys, best practices and other information designed to help you meet the challenges of the pandemic, please visit the SEMI Coronavirus Updates Resources page.[1] The May 21 review found three prefectures in western area – Hyogo, Kyoto and Osaka – met the criteria to lift the state of the emergency. Four other prefectures – Chiba, Hokkaido, Saitama and Tokyo – remain under the emergency order that will be reviewed again as early as May 25.Jim Hamajima is president of SEMI Japan.

Part 1 of 2Read Part 2. While companies navigate the ongoing COVID-19 crisis, corporate leaders should be evaluating a number of key business continuity issues as well as steps they can take to not only react to business disruptions but also reshape their business and recovery plans.We spoke with Dan Steele, Senior Director and the APAC Head of Environmental, Health, Safety, and Security (EHS S) at GLOBALFOUNDRIES (GF) Singapore, via teleconference for insights into the best practices he and his team have implemented from their Business Continuity Plan (BCP) to guide them through the health crisis.SEMI: How did GLOBALFOUNDRIES Singapore first respond when the country reported its first COVID-19 case?Steele: Since the early days of our company, we have had a Business Continuity / Crisis Management (BCCM) team in place that is responsible for business continuity planning for the site. At the beginning of this journey with the coronavirus, we believed in two truths: maintaining the safety and well-being of our employees and consistently communicating precautionary measures the company has taken to protect them and our business. These actions are critical to keeping our employees safe, while keeping the anxiety level low. By informing and updating employees in a timely manner, we ensure that they are well-educated about the crisis as it unfolds and the foreseeable circumstances that could be ahead of us. Once the world was well into the coronavirus outbreak, our CEO declared in a message to all employees that “we entered this pandemic crisis together, and we will exit it together.”We have also established links to pertinent government websites and made them conveniently available to ensure employees have access to the latest available information for their personal lives.SEMI: What actions has GF Singapore taken in response to the crisis so far?Steele: On January 29, our BCCM team activated the first line of defense by initiating temperature checks at all building entrances for every individual including employees, contractors, visitors, and customers who come into our facilities. We asked each to declare their state of health and travel history and issued a temperature card to every employee and resident contractor. They are all required to record their temperature twice daily – once before coming to work and again at midday – and they present the temperature log to security upon their arrival.The following week, our teams split into an A/B work arrangement to ensure continuity of our operations. We proactively pared down our teams to the staff essential for our on-site operations, while enabling the rest to work from home. We also advised our most vulnerable employees with impaired immune systems or who are pregnant to work from home. Concurrently, we moved all meetings of 10 or more people to virtual communications and only allowed meetings with fewer than 10 to be held in rooms with participants sitting at least one meter apart. We informed our customers of our efforts and moved all planned on-site visits to online visits.In line with Singapore’s efforts to curb the spread of COVID-19 within the community, GF restricted site access of people who had recently traveled to countries with sustained community transmission and regularly updated the restriction list. To conduct contact tracing, we created our two degrees of separation list that we used to track employees with families and close associates who were linked to a COVID-19 case. Employees provided the information voluntarily. On our campus, we enforced strict safe distancing measures by limiting access to meeting rooms, marking off-limits tables and removing chairs in the cafeteria, limiting the number of elevator riders to no more than four, and placing boxes or other spacing indicators at smoking zones, bus stops and temperature-taking lines. We also initiated a daily log of employees taking the company buses tagged to the bus number, time, and employee identification numbers in anticipation of the need for contact tracing.Most recently, when the Singapore-Malaysia border closed, we activated the next phase of our BCP that was already in place – housing over 450 Malaysian employees in Singapore hotels.Throughout this crisis, we continuously monitor and evaluate possible impacts to our supply chain to ensure the continuity of our business. This is a standard element of our ongoing business continuity management system.Most importantly, we frequently communicate with our employees and tell them everything the company is doing and why we are doing it. We encouraged employees to monitor their health, stay home if they are unwell, and seek immediate medical treatment if necessary at one of our panel clinics or other medical facilities.SEMI: What are your top concerns amidst this health crisis?Steele: At GF, we are managing through the crisis with an unwavering focus on two guiding principles: the safety and well-being of our worldwide team, their families and communities; and delivering on our commitments to our clients. As the world’s leading specialty foundry, GF has a unique role in the global supply chain. Our semiconductor technology is vital to a range of industries including health care, communications, infrastructure and security. With these priorities in mind, the company undertook unprecedented steps and has adapted to the crisis by dynamically adjusting its protocols, health and safety measures, and business processes to protect its teams while maintaining manufacturing excellence.We are committed to safeguarding the well-being of our employees while supporting and sustaining our on-site operations and protecting customers’ products. A major concern is the impact on our employees. We understand that COVID-19 can be infectious even if an individual is asymptomatic – we are always concerned that temperature screening alone is not sufficient. This is the reason that from day one we have encouraged our employees to monitor their health, follow all government advice for proper hygiene and seek medical attention if unwell as early as possible, and not come to work.Dan Steele has over 25 years of experience in environmental, health and safety, and security operations. He has also held other leadership roles in facilities engineering, quality, reliability and assurance, and risk management.Bee Bee Ng is president of SEMI Southeast Asia.

In the past 3 months, silicon wafer shipments leveled off and the YoY growth rate had started to rebound, SEMI reported in Silicon Wafer Market Monitor, a new quarterly report that tracks wafer shipment dynamics including historical shipments, supply & demand shifts, and pricing trends & forecasts.

SEMI has urged government representatives around the U.S. and world to designate the semiconductor industry as an essential business so operations at companies across the chip supply chain can continue without interruption as the spread of COVID-19 continues. SEMI President and CEO Ajit Manocha assured the U.S. and global officials that SEMI members – the device makers and suppliers of chemicals, materials, components, design tools and equipment at the heart of chip manufacturing – “are employing all measures necessary to maintain the health and safety of their employees and local communities” to help contain the virus. Manocha last week sent letters to the governors of 16 states and the chairs of the National Governors Association, U.S. Conference of Mayors, National League of Cities, and National Association of Counties requesting consideration of the semiconductor industry as an essential business if shelter-in-place or similar orders are issued to curb the spread of COVID-19. More than half of U.S. states have imposed shelter-in-place or stay-at-home orders in the past month. The designation would allow SEMI members to maintain continuous operations to ensure that manufacturing of components for critical infrastructure equipment, the defense industrial base, and other vital technological products and services is not jeopardized. Semiconductors are the foundation of modern electronics and information technology and are critical in helping health workers effectively treat COVID-19 symptoms, Manocha told the officials. The devices also play a central role in containing its spread by enabling artificial intelligence (AI), data analytics, digital communications, telemedicine, robotics, remote health monitoring, telecommuting, online shopping and other digital services.Manocha urged state and local officials to follow guidelines issued on March 19 by the Department of Homeland Security (DHS) Cybersecurity Infrastructure Security Agency (CISA) identifying “manufacturers and supply chain vendors that provide hardware and software, and information technology equipment (to include microelectronics and semiconductors) for critical infrastructure as ‘essential critical infrastructure workers.’” Most states issuing shelter-in-place or stay-at-home orders have followed the DHS guidelines and/or separately designated the semiconductor industry an essential business. Likewise, other nations have recognized the power of technology in effectively containing COVID-19 and similarly designated the semiconductor industry an essential business.On March 27, SEMI, the Semiconductor Industry Associations in China, Europe, Japan, Korea, Singapore, Taiwan and the U.S., as well as several other trade associations in Asia issued a statement “calling on all governments to specify semiconductor industry operations as ‘essential infrastructure’ and/or ‘essential business’ to allow continuity in operations.” The global semiconductor supply chain forms a highly intricate network consisting of research, design and manufacturing operations. Operating restrictions in one region can compromise production in others, leading to inefficiencies and breakdowns that cascade across the supply chain.With semiconductors underpinning vital sectors of the global economy, the chip associations called on all global governments at all levels – central, states, provinces and localities – to help protect the uninterrupted operations of domestic semiconductor companies and their suppliers by applying the essential infrastructure or essential business designation.Joe Pasetti is Vice President of Global Public Policy and Advocacy at SEMI.

Flexible hybrid electronics (FHE) is innovation and modern technology at their best, giving rise to lighter, more malleable sensors that better conform to the human body while breeding new applications across a number of markets. For the semiconductor industry, FHE technology is enabling the development of a new generation of chips with the high performance, light weight, scalability, softness and flexibility usually seen in printed electronics. The technology is a boon to chipmakers, giving them novel ways to innovate for the Internet of Things (IoT) market.“The global printed electronics market is expected to garner 14.9% GAGR from 2018 to 2023,” said Stanley Wong, Director of Asia Business Development, Brewer Science, said in his presentation at FLEX Taiwan 2019 in late May. Representatives from industry, government, academia and research institutions gathered at the event in Taipei to explore flexible electronics innovation and growth opportunities.One shining star of FHE innovation is the foldable smartphone. So bright is the future of the bendable devices that not even recent trade tensions between the United States and China have dimmed prospects for the fledgling industry.“While the US-China trade war might slow down shipments of Huawei’s phones, the industry remains bullish on foldable phones,” said Stacy Wu, Principal Analyst at IHS Markit. “When the first generation of flexible AMOLED displays was launched in 2016, the rolling radius was 3mm and it could be folded 200,000 times.”For foldable phones, the 200,000 mark was a major milestone – the industry’s consensus standard for foldable phone display reliability. The industry reasoned that phones capable of being folded and unfolded 200,000 times without distorting color or images or the display itself cracking was a safe bet for consumer adoption. Earlier this year, both Samsung and Huawei announced foldable phones using the thin-film-display technology, ushering in the era of mass-market availability of the devices. Steve Chiu, Division Director for Electronics, IC package, Industrial Technology Research Institute (ITRI), believes that breakthroughs in the next generation of flexible AMOLED technology will allow thin films to be folded 100,000 times with a rolling radius up to 30mm and electric resistivity of less than 10 percent. The rolling radius of 30mm, 10 times higher than today’s phones, will give foldables a higher bending radius, while the lower electric resistivity will help maintain the brightness of the AMOLED panel after tens of thousands usages and extend the service life of foldable smartphones.The biggest challenge facing the foldable phone industry remains developing new materials that are flexible yet durable, stressed Francesco Lemmi, Business Development Director, Flexible Display, at DuPont. Today, the prevailing practice is to layer polyimide (PI) and hard coating on the display module. These stacked protective films replace traditional glass panels but present technical challenges related to impact resistance and the durability of the display as it is folded and unfolded over time.Smart clothing market is another hot market, with 33 percent global growth annually and revenue expected to reach US$ 3.26 billion in 2026. Yet for all the promise of smart clothing, reliability and accuracy remain a big challenge chiefly due to a lack of industry standards. Another gap is the unanswered question of whether consumers will embrace light and energy-efficient products.FLEX Taiwan 2019 speaker Satoshi Maeda of Toyobo is confident they will, pointing out that in the future consumers will enjoy a wide selection of comfortable smart clothing products and applications. The industry is still working to better understand how to develop human-machine interfaces, the essential seam between the human body (the outer layer of skin) and electronics, said Dr. Reinhold H. Dauskardt of Stanford University. Still, he sees great promise in an innovative somatosensory communications platform involving human skin. Human-computer interactions have historically been defined by human touch and vision (for example, typing at a computer keyboard and checking our monitor for the accuracy of our inputs). Dauskardt believes that, in the future, electrical impulses from the skin (conductance) will interact with signals from electronic devices to establish a more intimate human-machine interface that could be adapted one day to extend the visual and auditory abilities of humans.David M. Yeung, co-founder and CEO of Lionrock Batteries, pointed to another challenge in wearables: battery size. Today, large and heavy batteries account for 50 percent to 70 percent of the space in wearable devices, making many of the products too cumbersome to wear. Nanofiber lithium-ion batteries now under development can be as small as ultra-thin 2mm with a rolling radius of up to 20mm in radius and support for high electrical currents, significantly lightening their weight and improving comfort.Nardev Ramanathan, Lead Analyst, Digital Health and Wellness at Lux Research, predicts that, of all flexible electronics products, smart watches will win the largest market share and with the fastest rate of adoption. The devices will get a boost when they shrink as flexible batteries are integrated with the bands. The next wave of smart wearables will feature devices for exercise or medical monitoring. Already, FHE materials have led to advances in medical devices. One example is that smaller hearing aids are now possible thanks to flexible electronics and dressings used to promote skin regeneration, reduce wrinkles and remove scars.Gillian Ewers, VP Marketing at PragmatIC, sees fertile ground for FHE applications in IoT solutions. As FHE manufacturing costs drop, she believes IoT technologies will significantly deepen their penetration into a broad range of industries. For example, the number of electronic tags used in convenience stores worldwide will exceed 100 billion in 2025. Thinner than human hair and more durable than traditional wafers, these tags are expected to spawn a host of new business opportunities. FLEX Taiwan attracted more than 270 attendees from more than 30 fields including smart healthcare, e-paper, displays, system integration, automotive electronics, textiles, wearables, and avionics. On the first day of the event, industry, academia and research center representatives from the United States, Japan, China, Singapore and Taiwan gathered to discuss common goals on a range of FHE-related issues and deepen cross-regional cooperation. Like the FHE industry itself, SEMI-FlexTech remains focused on the future by strengthening cross-border cooperation to help manufacturers find killer applications and test profit-making models. For Taiwanese companies, the event will continue to provide insights on market trends, equipment, materials, advanced manufacturing technologies, product applications and new business opportunities, helping the organizations hone their competitive edge in the global market.Emmy Yi is a marketing specialist at SEMI Taiwan.

Last week, the Office of the U.S. Trade Representative (USTR), on instruction from President Trump, notified Congress that the administration intends to begin bilateral trade negotiations with Japan, the European Union (EU), and the United Kingdom.SEMI stands strong for free trade and open markets, and roundly supports efforts to increase market access and tap into more foreign economies, especially economies like Japan and the EU, both of which are central to the semiconductor industry. The semiconductor industry, which enables the $2 trillion electronics market, is built on global commerce. SEMI members rely on a vast network of supply chains that span the globe, bringing together components and tools made all around the world and assembled into a single sub-system that is then integrated into a larger tool used in the chipmaking process.These free trade agreements will reduce tariffs, which will result in cost savings and productivity gains, and allow SEMI members to expand and grow. But the benefits of modern free trade agreements extend well beyond tariff reduction. Indeed, these trade deals will establish and enhance global trade rules that enable companies to innovate and compete fairly on a level playing field. Trade agreements strengthen certainty and further business continuity.While the exact nature and negotiation timelines for the talks remain unclear, SEMI will engage the administration, urging it to maintain high standards in these agreements, such as: Maintain strong respect for intellectual property and trade secrets through robust safeguards and significant penalties for violators Remove tariffs and non-tariff barriers on semiconductor products as well as products that depend on semiconductors Simplify and harmonize the customs and trade facilitation processes Combat any attempts of forced technology transfer Prevent use of data localization measures and enable the free flow of cross-border data flows End discriminatory and/or burdensome regulatory practices Ensure standards in all forms are market-oriented Create rules for state-owned enterprises to ensure fair and non-discriminatory treatment of all companies According to Trade Promotion Authority (TPA), the U.S. law that guides trade votes in Congress, negotiations with each country can only begin 90 days after last week’s notification. During that period, there will be intensive consultation with Congress and stakeholders. This means, at the earliest, talks can start on January 14, 2019. (Bear in mind that discussions with the UK can only begin in earnest once the UK has formally left the European Union on March 29, 2019.)The Trump administration’s announcement comes after the U.S. imposed or threatened tariffs on imports on all trading partners, including the EU and China. All told, the U.S. has imposed tariffs on more than $300 billion worth of goods. SEMI has weighed in on the detrimental nature of tariffs, arguing that tariffs on China will ultimately do nothing to address the concerns with China’s trade practices. This sledgehammer approach will introduce significant uncertainty, impose greater costs, and potentially lead to a trade war, ultimately undercutting the ability of semiconductor companies to sell overseas, stifling innovation and curbing U.S. technological leadership.Elsewhere, the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, the multilateral trade deal that links 11 Asia-Pacific economies, is well on its way to taking force. Canada will be taking its final steps to ratify the deal, joining Mexico, Japan and Singapore. The deal, formerly known as the Trans-Pacific Partnership, should take effect by the first half of 2019.SEMI will continue tracking ongoing trade developments. Any SEMI members with questions should contact Jay Chittooran, Public Policy Manager at SEMI, at [email protected].