News
SARATOGA, CA – The average selling price for ICs is expected to resume
growth in the first quarter of 2006, following a 15% decline from a
high in January 2005 and a stagnation in August at $1.58. Advanced
Forecasting Inc. predicts that the continued increase in sales of IC units
will strengthen fab capacity utilization rates, driving ASPs upward,
thus fueling a forecasted upswing in the semiconductor cycle in 2006.
Although the ASP decline since February strongly resembles that of the 2001 recession, AFI said, today’s situation is different and substantially more optimistic. “Overheating of IC revenues and IC units relative to their forecasted underlying demand is a non-issue, whereas in 2000 it was significant,” said Rosa Luis, director of marketing and sales.
The situation also differs from 2000 in which the forecasted growth rate of underlying demand sustained a decline while at the same time IC sales continued to soar, exacerbating the gap between the true demand and actual shipments.
“The current robustness of IC unit sales corroborates our forecast for fab utilization that showed growth into Q4 2005. As IC units continue to grow, fab utilization rates will increase until supply is constrained, forcing prices upward,” said Luis.
“Fab capacity utilization has been an accurate measure of the health of the semiconductor industry. Fab capacity stood at 1.44 million wafers per week (8” equivalent) and its utilization reached 89% in Q2 2005, up from an 86% minimum point in Q1 2005, in line with our forecast,” said Luis.
In comparison, foundries were operating at 83% utilization in September, significantly lower than the 99% level of a year ago, and partially due to the increased foundry capacity of 35% during the last year.
State-of the-art (300mm) fab capacity doubled since Q1-04 to 100K wafers per week. Its utilization hovered around 91% in Q2-05, slightly below the previous quarter’s level of 93%.
Although the ASP decline since February strongly resembles that of the 2001 recession, AFI said, today’s situation is different and substantially more optimistic. “Overheating of IC revenues and IC units relative to their forecasted underlying demand is a non-issue, whereas in 2000 it was significant,” said Rosa Luis, director of marketing and sales.
The situation also differs from 2000 in which the forecasted growth rate of underlying demand sustained a decline while at the same time IC sales continued to soar, exacerbating the gap between the true demand and actual shipments.
“The current robustness of IC unit sales corroborates our forecast for fab utilization that showed growth into Q4 2005. As IC units continue to grow, fab utilization rates will increase until supply is constrained, forcing prices upward,” said Luis.
“Fab capacity utilization has been an accurate measure of the health of the semiconductor industry. Fab capacity stood at 1.44 million wafers per week (8” equivalent) and its utilization reached 89% in Q2 2005, up from an 86% minimum point in Q1 2005, in line with our forecast,” said Luis.
In comparison, foundries were operating at 83% utilization in September, significantly lower than the 99% level of a year ago, and partially due to the increased foundry capacity of 35% during the last year.
State-of the-art (300mm) fab capacity doubled since Q1-04 to 100K wafers per week. Its utilization hovered around 91% in Q2-05, slightly below the previous quarter’s level of 93%.
FRANKLIN, MA – Speedline Technologies will address the issues involved with the challenge of tin whiskers in SMT manufacturing during a free, live, one-hour Web seminar on Thursday, Nov. 17, at 11 a.m., EST
The challenge of tin whiskers – the small protrusions of tin that can grow from tin-plated surfaces, causing electrical short circuits – has plagued the electronics industry for years. Concern has recently accelerated with the use of lead-free solders that are high in tin content.
Especially troublesome for high reliability applications such as military, medical and automotive manufacturing, research into the cause – and cure for – tin whiskers continues. Most agree that the whiskers are caused by the compressive stress of the tin-plating process.
Topics will include causes and types of tin whiskers; prevention of whiskers; and where to find additional information on the phenomenon.
For more info. and to register, visit speedlinetech.com/seminars
The challenge of tin whiskers – the small protrusions of tin that can grow from tin-plated surfaces, causing electrical short circuits – has plagued the electronics industry for years. Concern has recently accelerated with the use of lead-free solders that are high in tin content.
Especially troublesome for high reliability applications such as military, medical and automotive manufacturing, research into the cause – and cure for – tin whiskers continues. Most agree that the whiskers are caused by the compressive stress of the tin-plating process.
Topics will include causes and types of tin whiskers; prevention of whiskers; and where to find additional information on the phenomenon.
For more info. and to register, visit speedlinetech.com/seminars
Carlsbad, CA – Asymtek, Dow Corning, Emerson & Cuming, Henkel Technologies and Humiseal are planning a conformal coating and dispensing workshop on Nov. 8 at the Center for Board Assembly Research/ Manufacturing Research Center (MARC) at Georgia Tech University in Atlanta. The event will feature new information on conformal coating, and the best practices for jetting and other electronic assembly dispensing from both material and equipment perspectives.
Topics will include:
How to select, cure and apply different coating materials (aqueous, acrylic, silicone, and heat-humidity cure materials);
Fluid jetting processes and material applications, including the advantages of non-contact jetting underfill and other fluid materials for electronics assembly;
Live demonstrations of coating and jetting applications on equipment.
There is no fee, but a reservation is required by Nov. 1. Visit: asymtek.com/news/seminars/southeast_2005/default.htm
Topics will include:
How to select, cure and apply different coating materials (aqueous, acrylic, silicone, and heat-humidity cure materials);
Fluid jetting processes and material applications, including the advantages of non-contact jetting underfill and other fluid materials for electronics assembly;
Live demonstrations of coating and jetting applications on equipment.
There is no fee, but a reservation is required by Nov. 1. Visit: asymtek.com/news/seminars/southeast_2005/default.htm
