To: Kashish King who wrote (2593 ) 12/1/1997 8:51:00 PM From: emil Respond to of 6843
Intel And Motorola dont think it is socially unacceptable if i read this correctly????.... Monday December 1, 8:07 pm Eastern Time U.S. chip industry faces big cost challenges in future SAN FRANCISCO, Dec 1 (Reuters) - The U.S. semiconductor industry faces increasingly difficult challenges as it moves to produce more complicated chips and the cost and complexity of developing new technologies escalates, a report said. The Semiconductor Industry Association said in a 196-page ''Roadmap'' for the industry that massive research and development investments are needed and that companies will likely need to join together to fund increased development costs as the industry approaches the 21st century. ''One of the major challenges for the whole industry is finding enough new funds to invest in research to make all this happen,'' Jeff Weir, a spokesman for the SIA said. ''It may show up in new trends, where companies work together to build new technology lines or new fabs (fabrication plants), and I think you are already seeing evidence of that.'' The current cost for building a new plant to develop semiconductors ranges from $1 billion to $2 billion, but analysts and industry executives have been projecting that cost will double in the next five years. The report said that the pace of introducing new generations of technology has accelerated, shaving one year off estimates the SIA provided in 1994. Several large companies have recently formed joint ventures for future developments in the semiconductor industry, such as a venture between Intel Corp. [Nasdaq:INTC - news], Advanced Micro Devices Inc. [NYSE:AMD - news] and Motorola Inc. [NYSE:MOT - news], which is exploring advanced lithography techniques to achieve more dense integrated circuitry patterns. The roadmap also says that other challenges facing the industry in the future include getting to an even more condensed circuitry size on a silicon wafer, moving from aluminum to copper interconnects to speed up the electrical flow, and developing new packaging and design technologies. The SIA said its Roadmap extends to the year 2012.