Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Ultratech Stepper -- Ignore unavailable to you. Want to Upgrade?

To: Rob-Chemist who wrote (2315)	3/31/1998 6:40:00 PM
From: Andrew Vance	Respond to of 3696

I do not think a merger like this would happen but I have no other explanation as to why ASMLF would enter this segment of the market. It is intuitively obvious that the 5500 platform is an overkill for the non IC arena expecially if you consider the lens system. The only thing that makes sense is to base their system on the old 5000 platform with a bigger field size. The 5000 series had many issues with lenses over its lifetime. I just wonder if ASML has a stockpile of out of spec lenses that might meet the requirements for the non IC applications. Possibly Zeiss is able to manufacture lenses to a looser spec easily that could cater to this market segment. Maybe that will turn out to be the key or is the answer I have been struggling for. To build a new system for non IC uses does not make sense. To modify an existing system (UTEK breathed new life into an existing platform) or to take advantage of the numerous Model 5000 systems that might be avaiable on the used equipment market and a possible stockpile of otherwise out of spec or useless lenses from that model generation, might be what they are up to. Still, it all seems real strange when you consider ASMLF could put extra emphasis on their step and scan systems and expecially their DUV system in order to dominate the market and take marketshare away from the Nikons and Canons. The industry is being forced into the DUV arena where the highest of margins will exist for the providers of that technology. Andrew

To: Rob-Chemist who wrote (2315)	3/31/1998 6:49:00 PM
From: David Aegis	Read Replies (1) \| Respond to of 3696

ASMLF/UTEK marriage: Maybe Art would sell off the stepper division and keep Ultrabeam and Verdant under the UTEK ticker. ASMLF has the only stock price in the semi-equip group that has held up, so they could use their stock as currency in an acquisition attempt. This would be a pleasant dream. A competitive war between UTEK and ASMLF in low end stepper applications, however, would be a nightmare. FWIW, I think ASMLF would have a tough time developing a price/performance competitive product in house. --David