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Technology Stocks : Cymer (CYMI)
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To: Robert Scott who wrote (6598)10/26/1997 11:15:00 AM
From: BillyG  Read Replies (1) of 25960
 
Maybe I'm off base with this but here goes. The .25 micron has to do with the wafer
thickness. The thinner the wafer, the more wafers that can be layered, the more circuits
that can therefore be put in chips. Cymer permits an even smaller, thinner etching in the
wafer that is required with the thinner wafer. Hence, the move to thinner wafers (.25
micron) will require thinner circuits which can be provided with Cymers lazers. The
margin efficiencies come from being able to put more power on the chips that
commands a higher price which costs a fraction more to produce.

Sorry Robert, .25 micron does not result in thinner wafers. It refers to the size of the patterns that can be created on the wafers. Creative try, though. :-)

The cost for processing a wafer through a certain number of steps is essentially a fixed cost/wafer. With smaller features such as .25 micron, you can pack more chip dies on a wafer, resulting in a lower cost per die. The smaller die is sold at the same price as the larger one, resulting in higher margins.
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