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SEZ Announces Partnership with Semiconductor300 to Develop 300 mm Production Capability

The SEZ Group (SWX: SEZN) announced that it is entering into two new joint development agreements with Semiconductor300, a joint venture between Infineon and Motorola, and continuing additional joint development work. As part of the agreement, two Spin-Processors, models 303 and 304, will be delivered to Semiconductor300.

"These projects encompass many of our process development efforts and will provide invaluable insight to our customers as semiconductor production moves to 0.18 micron on 300 mm wafers," commented Michael Kucher, senior vice president for SEZ AG. "Just as significant is the remarkable opportunity to continue testing and refining our 300 mm production capabilities, to further enhance our leadership position in this critical marketplace."

The first new development project at Semiconductor300 will use the Spin-Processor 303. The purpose of the program is to evaluate cleaning and etch applications. Process performance will be proven by uniformity and defect density data as well as by electrical data. The process development also includes tool parameter adjustments like HF-spiking and bath lifetime to guarantee a reliable and stable process with the lowest possible cost of ownership. In the second agreement Semiconductor300 will use the Spin-Processor 304 to test and evaluate the Windows(R) NT(TM) platform according to the requirements of a fully automated fab.

The original joint development program was created to improve the performance of the single wafer Spin-Processor 303 for 300 mm wafers. The aim of the continuation is to realize process specifications for the

About Semiconductor300

The mission of Semiconductor300 GmbH & Co. KG is to achieve a breakthrough in manufacturing effectiveness by attaining substantial cost reductions per chip, compared to 200 mm wafers, utilizing process technologies below 0.2 micron. Semiconductor300 has been partnering with semiconductor equipment manufacturers in order to provide fast feedback for development of cost-effective, next-generation tools that will benefit the entire semiconductor industry. Milestones have been the formation of the joint venture between Siemens and Motorola in January 1998, first functional silicon (64M DRAM) on a 300 mm wafer from the Dresden pilot line in February 1999, and a yield of the pilot line that exceeds 200 mm wafer potential (yield = 60%) in June 1999 and the shipments of 64M products to customers after full qualification of the product. Semiconductor300 represents a total R&D expenditure of more than DM 1 billion ($595 million). The project of Infineon, Motorola and 18 partner companies is supported by the German Federal Ministry of Education and Technology (BMBF) and the State of Saxony. Further information at wwww.sc300.de.

About SEZ
The SEZ Group is a leading supplier of spin-processing equipment to the global semiconductor manufacturing industry. The company's breakthrough proprietary Spin-Processor technology forms the basis of a broad portfolio of backside and frontside wafer surface conditioning products for semiconductor chipmakers worldwide. SEZ maintains development, manufacturing, sales, marketing and service operations in Europe, Asia and North America. Registered in Zurich, Switzerland, SEZ Holding AG is listed on the Swiss Exchange under the symbol (SWX: SEZN).

Villach, Austria, April 17, 2000

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