Electronic News had a very positive article about ASML. The following are some comments pertinent to DUV:
[Full article at sumnet.com]
ASML has provided "a compelling combination of technology and productivity" in its charge to the top of the lithography heap, Ms. Billat said. Part of what has driven its growth--as well as that of Nikon and Canon--is the semiconductor industry's now-insatiable demand for deep-UV lithography systems. DUV provides the "waterslide" for "faster and faster shrinks," she added.
Until recently, production of DUV equipment had been constrained by scarcity of DUV lens material, which had been handcrafted. Now production of the lens material is automated, and the supply is steadier.
Hyundai's huge order last fall hasn't been cancelled or cut back in light of the economic turmoil in South Korea, according to Ms. Billat. Most of the order had been for deep-UV equipment, and now it is apparently all for DUV, with the I-line equipment being "de-booked," she said. With Hyundai delaying its fab in Scotland, all resources are now being diverted to the company's fabs in Korea, with the shift to 64-megabit DRAM production taking priority and driving increased demand for DUV, rather than I-line.
The big question, for Hyundai and for Samsung and LG Semicon, is paying for this lithography equipment. "Koreans have a healthy appetite for leading-edge technology," Ms. Billat said. The Big Three of Korea have been in discussions with ASML and other equipment vendors on alternatives to financing their purchases. Leasing may emerge as one method. ASML has reportedly turned to the Dutch government to find ways to help its Korean customers pay for the equipment they need now, Ms. Billat said.
"For 1998, we foresee further growth; however, the rate of this growth for 1998 will be dependent on the semiconductor business in general and the situation in Korea in particular," Mr. Maris of ASML said.
ASML shipped 211 units in 1997, compared with 205 in 1996. It received orders for 275 steppers last year, compared with 126 in 1996. The backlog at the end of 1997 was 158 units, compared with 94 a year earlier. The value of the backlog at the end of last year was 1.65 billion guilders, or about $825 million at the current exchange rate.
Perhaps one of ASML's advantages is that it is competing in a wafer processing equipment segment where Applied Materials is not present. There were rumors last year that Applied may acquire ASML, if it decided to get into lithography (it was similarly rumored to be acquiring SVG as its entree into wafer track equipment), and Applied chairman/CEO Jim Morgan no longer seems to regard lithography as the forbidden zone.
Whatever transpires between ASML and Applied in the future, the companies already enjoy a close technological relationship. When Applied set up a demonstration fab line last year, it selected ASML DUV equipment for the lithography. |
