Applied Materials Ships Milestone 500th Producer CVD System; High-Productivity Producer System Has Been Shipped to all Major Chip Manufacturers.

Business Editors/High-Tech Writers

SANTA CLARA, Calif.--(BUSINESS WIRE)--Feb. 25, 2003

Applied Materials, Inc. has achieved a significant milestone in the shipment of more than 500 Producer(R) CVD (chemical vapor deposition) systems, with well over 100 of these units to 300mm fabs. The high-productivity Producer system is one of the industry's most successful CVD platforms, supporting a wide range of dielectric CVD applications, including technologically advanced low-k films for sub-100nm manufacturing.

"Customers in every region of the world are using the Producer system for manufacturing virtually every kind of chip, including copper devices," stated Dr. Farhad Moghadam, vice president and general manager of Applied Materials' Dielectric Systems and Modules Product Business Group. "In addition to over 400 systems for 200mm manufacturing, the Producer has shipped to every 300mm manufacturer worldwide, also positioning Applied Materials for continued leadership in 300mm semiconductor manufacturing."

The Producer system is used to deposit several low-k films for copper-based chip manufacturing, as well as PECVD (plasma enhanced chemical vapor deposition) applications such as silicon dioxide, silicon nitride and dielectric ARC (anti-reflective coatings). The Producer is also used for SACVD (sub-atmospheric chemical vapor deposition) applications to deposit BPSG, USG and PSG films for fabricating transistors. Applied Materials' SACVD process provides exceptional step-coverage and void-free performance in very high aspect ratio device structures.

"The 300mm Producer architecture carries forward the innovative technology, productivity and reliability of the 200mm Producer platform, providing customers with a distinct advantage as they transition to 300mm manufacturing. Unlike batch systems, the Producer platform features a modular design that can be configured with up to 6 process stations, enabling exceptional processing flexibility and high throughput," noted Dr. Hichem M'Saad, general manager of Applied Materials' Blanket Dielectric Films Division. "In addition, the Producer is the only CVD system to combine the uniformity and process control advantages of single-wafer technology with integrated metrology in a high productivity system for depositing both thick and thin films."

According to Dataquest, the total market for dielectric CVD applications is estimated to be $2.2 billion in 2002, and is expected to grow to $4.9 billion in 2005.

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.