
As part of new cost reduction strategy, Atmel Corporation is to stop production at its semiconductor fabrication facilities in Colorado Springs, Colorado and Rousset, France for 11-days. The company noted that a headcount reduction of 200, previously announced and affecting workers in France had been completed.
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In an effort to reduce the oversupply of NAND flash memory as ASPs are projected to fall by approximately 65% in 2008, JV partners Toshiba and SanDisk are attempting to cut production by 30% with production stoppages. Production at their massive 300mm facilities, Fab 3 & Fab 4 in Yokkaichi, Japan will halt production from December 31 through January 12. Importantly, when production resumes only 70% of current capacity will be utilized. The measures will remain in place until the market conditions improve, according to the companies.
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Tokyo Electron Limited (TEL) has cancelled the planned groundbreaking of a new equipment assembly plant in Taiwa-cho, Miyagi Prefecture, due to the drop in capital equipment spending in the semiconductor industry and poor industry dynamics expected in 2009. Originally, TEL planned to start construction in April 2009, with completion the same month the following year.
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FEI company, a high-resolution imaging and analysis systems producer, published that King Abdullah University of Science and Technology (KAUST), in Saudi Arabia, has ordered numerous of the company’s systems as part of KAUST’s plan to build a world-class, international, graduate-level research university which will focus on stimulating advancements in scientific achievement. The order from the University includes Titan and Titan Krios transmission electron microscopes (TEMs), a Helios DualBeam, various mid-range products, and a complete support package to ensure the University’s success in its endeavor.
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Toshiba and SanDisk have agreed to a shift in NAND flash equipment ownership at Fab 3 and Fab 4 at Toshiba’s Yokkaichi manufacturing complex in Japan. The JV partners have historically shared the equal production capacity and tool ownership at these fabs, however, Toshiba will now be the sole owner of approximately 30 percent of the total production capacity at the two 300m fabs with the Flash Partners and Flash Alliance JV subsidiaries retaining a 70 percent share. Both JV subsidiaries are equally owned by SanDisk and Toshiba.
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With the purchase of Qimonda AGs 35.6 percent ownership stake in Inotera Memories for $400 million, Micron Technology has acquired access to 50 percent of Inotera’s 120,000wspm (wafer starts per month) DRAM memory capacity from two 300mm fabs based in Taiwan. The purchase will also see Micron transfer its Stack DRAM process technology to Inotera as part of the deal with Nanya, Inotera’s other major share holder.
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Continued over capacity in NAND flash production coupled to slowing demand has forced ASPs to fall below production costs, especially for production of NAND on 200mm wafers. Micron Technology has followed the lead set by Hynix Semiconductor last month in announcing a 200mm fab closure. Micron said that its Boise facility will close with the loss of jobs. The closure will also result in approximately 35,000 wafers (200mm) per month reduction in capacity. The restructuring will also see a reduction in its workforce of 15 percent, carried out over a two year period.
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With AMD going fabless with the spin-off of its semiconductor manufacturing arm into a newly formed foundry enterprise, its current foundry partners, TSMC and UMC will lose its graphic chips business to the ‘Foundry Company.’
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X-FAB UK Ltd., the semiconductor manufacturer, has announced that it has cut its annual energy costs by over £30,000 following the installation of six 37kW ABB HVAC drives on its three cooling towers. The installation of the ABB drives by Drive Control, the local ABB HVAC partner, cost £15,000, according to the company, all of which will be recouped by the company in the space of six months.
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Hynix Semiconductor has sold a further share in its 300mm fab in Wuxi, China to Numonyx for approximately $100 million. Hynix’s stake in the fab will now fall to 72.3 percent, compared to 83.3 percent previously. The deal should be completed by year-end.
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