Sanders Tags Maxtek Components Corp. to Supply DARPA MicroStar Multichip Modules Beaverton, Ore.-Sanders, a Lockheed Martin Company of Nashua, N.H., has awarded Maxtek Components Corp. a subcontract to develop and package MCMs for the DARPA MicroStar Micro Air Vehicle (MAV) program. Maxtek will develop two MCMs for the MicroStar program, which will include both a processor and a data MCM. Maxtek is the former captive facility of Tektronix, and is still half-owned by the instrument maker. Maxtek was created in the 1970s to produce modules for Tek's oscilloscopes.[maxtek.com] ASAT Will Assist Fluent Inc. in Developing IC Package Macros Fremont, Calif.-Packaging foundry ASAT Inc. will assist Fluent Inc. in building IC package macros into "ICEPAK," Fluent's thermal management software. ICEPAK enables circuit designers to define important package characteristics, so they can be accurately rep-resented in a computer model of the total electronics system.[asat.com] Ultron Systems Moves to Expanded Quarters Moorpark, Calif.-Ultron Systems Inc., a supplier of adhesive plastic films, has moved into an expanded facility, four times larger than its previous home. The new location is at 5105 Maureen Lane, Moorpark, CA 93021. Phone 805.529.1485. [ultronsystems.com] SRC Board OKs Membership For International Companies Research Triangle Park, N.C.-The Semiconductor Research Corp. will open its membership to com- panies worldwide. "The semiconductor industry has become truly global, as evidenced by the SIA's recent change from developing a National Technology Roadmap for semiconductors (to an international one)," said Dr. Dinesh A. Mehta, SRC senior vice president.[src.org] ChipPAC Will Offer BGA Packaging at its Shanghai Plant Santa Clara, Calif.-ChipPAC Inc. (formerly Hyundai's assembly and test division), will offer BGA packaging at its plant in China next year. ChipPAC operates a 400,000 square foot plant in Shanghai, which serves both the domestic and export markets. Over the next two years, ChipPAC plans to offer "a full range of standard and advanced packaging, such as CSPs, and test capabilitiesÉfor its major, global customers," the company announced. "The future demand for local China content aligns perfectly with our presence in Shanghai," said Dennis McKenna, ChipPAC president and CEO.[chippac.com] Ultratech Stepper Forms Alliance with Japan's Shin-Etsu MicroSi San Jose-Ultratech Stepper Inc., a photolithography systems maker, has formed a strategic alliance with Shin-Etsu MicroSi, Tokyo, focusing on thick film and specialty resist applications. The alliance will employ Ultratech's systems to evaluate the performance of MicroSi's range of resist products, and will examine their use in applications including micromachining and bump processing.[microsi.com] [ultratech.com] Cerprobe Corp. Acquires OZ Technologies, Hayward Gilbert, Ariz.-Cerprobe Corp., a manufacturer of probe cards and allied ATE peripherals, has acquired Hayward, Calif.-based socket maker OZ Technologies for about $36 million. OZ TEK recorded sales of $20.8 million in 1998 and a net income of $2.2 million. The company is projecting 1999 sales of approximately $28-$29 million, with net income between $2.5-$3 million. The socket maker's key customers include Intel, LSI Logic and Vitesse Semiconductor, according to the acquisition announcement issued in early December. "The combination of Cerprobe and OZ TEK creates a powerful franchise of ATE interconnect expertise," said C. Zane Close, Cerprobe's president and CEO.[cerprobe.com] Amkor Technology Plans to Buy Anam Plants for About $1.4 Billion West Chester, Pa.-Amkor Technology Inc., the world's largest provider of outsourced IC packaging and test services, is negotiating with Anam Semiconductor Inc. (ASI), Seoul, Korea, for the purchase of ASI's remaining assembly and test plants, known as K1, K2 and K3. While the details and total value of the transaction had not been finalized in early December, Amkor expects the purchase price to be between $1.3-$1.4 billion. The money would represent acquisition of the three remaining factories for about $800 million, coupled with an investment of $500-600 million in newly issued ASI shares. The Anam factories contain about 1.3 million square feet of total manufacturing space. After completion of the sale, Amkor will own and operate seven assembly and test facilities consisting of more than 3.3 million square feet of manufacturing and support space. An additional one million square feet is available for expansion, Amkor said. Virtually all K1, K2 and K3 output has been dedicated to Amkor under a longterm agreement with ASI. For the 12 months ended September 30, 1999, these factories contributed about $750 million to Amkor's $1.5 billion in packaging and test revenue. During that period, Amkor realized a contractual gross margin of about 11.5% on the revenue from those plans under the terms of a supply agreement. At the same time, according to the announcement, the three factories operated with an internal gross margin of 25-30%, similar to that of Amkor's established plant in the Philippines.[amkor.com] Chip Industry Is in The Midst of Significant Upswing, BA Semiconductor Analyst Contends San Francisco -"The semiconductor industry is in the midst of a significant upswing, driven by both supply and demand," according to Richard Whittington, senior semiconductor analyst for Bank of America Securities. "While the 1995 downturn ...was supply driven, the current upturn, which began in 1998, is both supply and demand driven," Whittington said at the 29th Annual Bank of America Securities' Investment Conference (formerly the Montgomery Securities Conference). Although the current upward trend began in the fall of 1998, it was being inhibited by personal computer downsizing. The growth of the communications industry, on the other hand, has led the upturn, Whittington said. The first half of 1999 was marked by a tightening supply of semiconductors and improved demand. "In fact, margins were increasing as early as the spring," Whittington remarked. "Continuing this trend, the second half of 1999 has been characterized by supply shortages in all major product categories ..." Whittington estimates that the semiconductor market will grow into a $300 billion market by 2002, assuming a 9 percent compound aggregate growth rate in computing hardware and a 15 percent CAGR in communications hardware.[bofasecurities.com] Forecaster Claims Chip Equipment Is in a Major Growth Period San Jose-A Morgan Stanley analyst, speaking at SEMI's 26th annual dinner, said the semiconductor equipment industry is in a "sustained recovery" and a "period of growth" that should continue into the first years of the new century. The analyst, Jay Deahna, predicted a 17 percent growth rate for the chip equipment industry over the next two years. This percentage he said, could rise or fall substantially depending on a number of variables. Deahna added that capital spending for 2000 could rise to $42 billion this year, a 27 percent increase over current spending for new equipment. "The key theme in the global semiconductor industry is rising prices," Deahna said, "which are occurring from DRAMs to raw wafers to equipment. Consequently, we believe the entire semiconductor food chain will exhibit margin expansions in upcoming quarters that should give positive earnings surprises and rising earnings estimates." Other speakers during the evening, including Wilfred Corrigan, chairman and CEO of LSI Logic, were equally positive about the industry turnaround. Reasons for optimism include the explosive growth of the Internet and the growth in wireless communications, the dinner speakers said.[semi.org] |
