High Demand for ATE Systems
Chip-testing houses struggle to get new ATE systems
Subcontractors turn away customers while trying to keep up with unexpected booming in test services
By Mark LaPedus
Semiconductor Business News
(09/01/00, 06:17:28 PM EDT)
SAN JOSE -- Faced with expanding lead times for delivery of new chip testers and explosive growth in outsourcing of manufacturing steps, independent test subcontractors say they are now suffering from a capacity crunch and having a hard time keeping up with demand.
Several leading test subcontractors cite an unexpected surge in business, and in some cases, these companies say they are now turning away new customers in order to handle the growing volumes at existing accounts. The problem could become even worse in the future.
"Test is running pretty close to capacity in most cases, but we do not have enough [test] capacity for some products, especially communications devices," warned analyst Ron Leckie of Infrastructure Inc., who is based in Saratoga, Calif. Today, only 5% of the world's IC-testing requirements are outsourced to subcontractors, but that figure is expected to grow as "more and more integrated device manufacturers [IDMs] outsource their testing requirements," Leckie said.
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