Applied Materials' Low k Film Gains Broad Acceptance for Volume Manufacturing of Copper Chips.

Business Editors/High-Tech Writers

SANTA CLARA, Calif.--(BUSINESS WIRE)--Dec. 20, 2001

Customers Worldwide Adopt Applied Materials' TEOS FSG(1) Solution

Applied Materials, Inc. (Nasdaq:AMAT) today announced that its TEOS FSG dielectric film is proving to be the semiconductor industry's low k material of choice for volume copper chip manufacturing. Customers worldwide have adopted the company's FSG solution that enables an efficient extension of low k technology using Applied Materials' industry-standard Producer(R) CVD (chemical vapor deposition) system.

Dr. L. C. Hsia, vice president of Technology Development at Chartered Semiconductor Manufacturing, a leading chip foundry based in Singapore, said, "TEOS FSG is a good starting point for our low k dielectric technology roadmap, offering a combination of manufacturability, device performance and economy, with minimal risk. Applied Materials' Producer system has demonstrated both productivity and efficiency, and it is currently our production tool of record for depositing TEOS FSG in our copper chips."

Applied Materials' TEOS FSG low k film offers chipmakers proven advantages over silane-based FSG films, such as dielectric film stability and ease of integration. In addition, TEOS FSG enables manufacturers to implement the technology with emerging copper-based designs using conventional CVD equipment to achieve up to a 15 percent increase in device speed compared to undoped oxides.

"Applied Materials' approach to implementing low k allows chipmakers to achieve enhanced device speed with fast time to market by using proven processes that have extensive industry experience behind them. The choice of Applied Materials' low k TEOS FSG film for current copper-based devices puts this technology rapidly into production, and allows us to work together with customers on more advanced low k processes that will be needed for coming device generations," said Dr. Farhad Moghadam, vice president and general manager of Applied Materials' Dielectric Systems and Modules Product Business Group.

Applied Materials' Producer CVD system, used for depositing TEOS FSG and many other dielectric films, is one of the industry's most successful and highest productivity deposition systems. More than 350 Producer systems (200mm and 300mm) have been shipped to chipmakers around the world for depositing virtually all of the mainstream CVD dielectric films, including low k materials.

Applied Materials (Nasdaq:AMAT), the largest supplier of products and services to the global semiconductor industry, is one of the world's leading information infrastructure providers. Applied Materials enables Information for Everyone(TM) by helping semiconductor manufacturers produce more powerful, portable and affordable chips. Applied Materials' Web site is http://www.appliedmaterials.com.

(1) TEOS (tetraethylorthosilicate) FSG (fluorinated silicate glass) is a silicon-dioxide-based material that has been modified by the introduction of fluorine to lower the capacitance (k-value) of the dielectric (insulating) film. Using TEOS FSG, less power is required to run the device, enabling faster speeds and longer battery life for portable electronic applications.