Applied Materials Announces Technology Breakthrough for 0.25-Micron Dielectric Etch; Dielectric Etch IPS Centura Breaks the Barriers to 0.25- Micron and Beyond Production Oxide Etching with New Advanced Source, Chamber Technology.

SANTA CLARA, Calif.--(BUSINESS WIRE)--April 28, 1997--Applied Materials, Inc. (NASDAQ NSM: AMAT) announces a major leap forward in dielectric etch technology with the Dielectric Etch IPS Centura. The new system addresses the semiconductor industry's critical need for highly-controllable dielectric etching of high-aspect-ratio features in deep submicron devices.

"Superior sub-quarter micron oxide etch capability is essential to our customers' next generation of products," noted Joseph Bronson, president of Applied Materials' Etch Product Business Group. "The IPS system delivers superb performance for the most advanced, enabling applications like self-aligned contacts, high aspect ratio contacts and dual damascene structures, yet costs far less to operate than any other high density plasma oxide etcher on the market. The Dielectric Etch IPS Centura is driving the state of the art in oxide etching forward dramatically."

The IPS system's inductively coupled, parallel plate etch technology was created specifically for the unique requirements of dielectric etching. The IPS Centura system uses a completely new plasma source, as well as an innovative new chamber design, that together enhance process performance and lower contamination levels. During development of the IPS technology, Applied Materials' scientists and engineers leveraged several technology advances made during the development of Applied Materials' industry-leading DPS (Decoupled Plasma Source) Metal Etch Centura system. These advances have set new standards in dielectric etch critical dimension (CD) control and freedom from device damage. At the same time, consumables cost is below most other oxide etchers in existence, including all HDP etchers.

"Very high aspect ratio oxide etching is perhaps the most difficult semiconductor manufacturing process today," noted Dr. Gerald Yin, vice president and chief technology officer for Applied Materials' Etch Product Business Group. "With our IPS technology breakthroughs, we are able to tightly control several key process variables that contribute to process uniformity and repeatability -- temperature, power, pressure and plasma uniformity -- to provide precise etch results. These parameters historically have been extremely difficult to control in an advanced oxide etch reactor.

"The Dielectric Etch IPS Centura also sets the benchmark for rf-on particle performance and cost of consumables," Dr. Yin stated. "The system achieves more than 3,000 wafers per chamber between wet cleans, and a cleaning and recovery time of less than four hours."

High density plasma dielectric etching technologies are aimed at the most critical oxide etch applications in advanced semiconductor devices, especially 256Mb DRAMs and next generation microprocessors. These devices require etching high aspect ratio (greater than 5:1) and self-aligned contacts with critical dimensions as small as 0.25 micron, rapidly moving to 0.18 micron and beyond. Semiconductor manufacturers are looking at advanced oxide etching technology to enable changes in semiconductor design, such as bi-level contacts and dual damascene structures, that will allow further advances in productivity and device performance.

"Applied Materials now has a full range of dielectric etch solutions that address every oxide etch application -- from the most technically advanced to the most cost-sensitive. The Dielectric Etch IPS Centura focuses on the most critical high-aspect-ratio and high-selectivity applications for 0.25-micron and below devices. The recently introduced eMxP+ Centura is an excellent complement to the IPS technology, providing unmatched productivity in the numerous other mainstream oxide etch applications. Applied Materials is the only company in the industry that offers this complete 0.25 micron and beyond etch capability," Bronson said.

Dielectric etching is one of the largest market segments in semiconductor manufacturing equipment since it is used many times throughout the chipmaking process. Dataquest estimates the dielectric etch market at $1.3 billion in 1996, and anticipates it to grow to more than $2.7 billion by 2001.

The IPS chamber is available on Applied Materials' proven, high-reliability Centura platform, of which more than 500 are installed at customer fabs worldwide. The chamber can also be integrated to existing HDP Dielectric Etch Centura systems for customers wishing to extend their system performance with the latest 0.25-micron dielectric etch capabilities.

Advance commitments for the Dielectric Etch IPS Centura have already been received from customers in North America, Japan, Korea and Taiwan. Initial shipments are expected to begin in the third calendar quarter of 1997, with volume production shipments beginning in the fourth quarter.

Applied Materials, Inc. is a Fortune 500 global growth company and the world's largest supplier of wafer fabrication systems and services to the global semiconductor industry. Applied Materials is traded on the Nasdaq National Market System under the symbol "AMAT." Applied Materials' web site is http://www.AppliedMaterials.com .

CONTACT: Applied Materials Inc.

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