SEMI Announces Initiative to Drive Transition of Semiconductor Production to Larger Wafer Size; Global Effort Aimed at Improving Circuit Manufacturing Productivity With Equipment and Materials Industry Leading the 300mm Drive.

MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--July 20, 1995-- Semiconductor Equipment and Materials International, the global trade association for more than 1500 suppliers to the semiconductor industry, announced today a major new program aimed at coordinating the transition of the industry to production on 300 millimeter (approximately 12-inch) silicon wafers, a move expected to vastly improve manufacturing productivity compared with present manufacturing on 200mm (approximately 8-inch) wafers.

William H. Reed, president of the organization, said that the Board of Directors has approved a plan to lead the implementation through a dedicated equipment and materials development effort with the emphasis on cost efficiencies. Past conversions in wafer sizes have been driven primarily by semiconductor manufacturers rather than their equipment and materials vendors.

"It has been estimated that it will cost the global semiconductor industry and its suppliers as much as $14 billion to develop a 300 millimeter capability by the end of the decade," Reed said. "The result, however, will be a further lowering of the cost of memory chips and microprocessors that will drive new applications of computers and telecommunications into the new century."

Recognizing that the transition to 300mm wafers is the most significant challenge facing the industry it serves, the Board of Directors unanimously adopted a resolution calling for SEMI to take a proactive role in assisting their members as well as the semiconductor industry itself in responding to the challenge within the 1997-2000 timeframe, by which time the industry will be building major new wafer fabrication plants throughout the world that will need the 300mm capability.

The resolution contains six major action items, charging SEMI with the responsibility for the following:

- Coordinating a worldwide standards development effort that will meet 300mm requirements;

- Establishing a new 300mm division within SEMI with three or more full-time professionals dedicated to identifying transition issues and mobilizing member companies to address these issues;

- Establishing a committee of the Board of Directors to oversee the effort;

- Initiating worldwide visits to all major semiconductor device manufacturers in order to understand their 300mm transition timetables and their related equipment and materials needs;

- Working with all appropriate regional semiconductor groups, both trade association and consortia, to coordinate supplier efforts supporting 300mm production.

- Disseminating information on the transition to the media and to SEMI members worldwide through industry symposia and direct contact by SEMI regional offices.

"This is a bold move on SEMI s part, but we feel it is necessary for a successful transition to the next generation of semiconductor production," Reed concluded. "The stakes are too high for individual companies--whether customers or vendors--to go it alone in this effort."

Based in Mountain View, Calif., SEMI is an international trade association serving 1,500 companies participating in the $54 billion semiconductor and flat panel display equipment and materials markets. SEMI maintains offices in Austin, Brussels, Moscow, Tokyo, Seoul, Singapore Boston and Washington, D.C.

CONTACT: SEMI

Bill Reed, 415/964-5111

or

Mathews & Clark

Walt Mathews, 408/736-1120