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To: Rob C. who wrote (19638)9/17/1998 2:02:00 PM
From: BillyG  Respond to of 25960
 
Orders for Japanese chip equipment fall 66% (veiled good news)

TOKYO -- Global orders for Japanese chip-production equipment fell 66%
to $410 million (55 billion yen) in July from the same month a year ago,
according to the Semiconductor Equipment Association of Japan. The steep
drop in orders was a foreboding sign that shipments of chip gear will decline
in the near future.

Sales in July were also down 38% to $478 million (64 billion yen) from the
year-ago month. Shipments haven't fallen as sharply as orders, however, as
companies were working off previous backlogs. The association reported
that the decline in sales was about the same in Japan, where chip makers are
suffering major losses, as in the rest of the world.

SEAJ reported that wafer-processing equipment orders in July fell 49%, and
assembly-equipment orders were off 46%. Inpsection-gear orders were
down 53%. Bucking the trend was the photomask category, which actually
had a 1% order increase in July over a year ago.

Sources said that small gain was likely due to accelerated die shrinks as
device makers use advanced photomasks to get smaller feature sizes on
chips to increase the number of chips produced on a wafer.

[And we know this means more action in DUV processing.]

A service of Semiconductor Business News, CMP Media Inc.
Story posted 11 a.m. EDT/8 a.m. PDT, 9/17/98