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SAN JOSE – Flextronics will license Tessera's wafer-level assembly technology under a just-signed deal, the companies said yesterday. No financial terms were announced.

Under the terms of the agreement, Flextronics will use Tessera’s Shellcase CF technology in its entire camera module line.

Shellcase CF is a wafer-level technology that uses the manufacturing infrastructure of conventional chip-on-board assembly processes, while resolving the challenges associated with increasing resolution and decreasing pixel size in image sensors. The technology is used to assemble optical components integrated into electronics products such as miniaturized cameras in camera phones, digital still cameras and video camcorders.  


TEMPE, AZ — Economic activity in the manufacturing sector grew in August for the 39th consecutive month, while the overall economy grew for the 58th consecutive month, according to the latest survey of manufacturers by the Institute for Supply Management.

"Manufacturing growth continued at a very strong pace in August. Though the rate of growth was slightly under that of July, the sector continues to enjoy strength in new orders and production," said ISM spokesman Norbert J. Ore.

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WOBURN, MA – To help manufacturers meet the RoHS Directive, Innov-X Systems has launched a rental program for its line portable XRF analyzers.

The program permits companies to rent at reduced rates over a short period of time and apply 100% of rental fees toward purchase for up to the first month.

XRF testing supports due diligence standards defined by several EU enforcement agencies.

“We see countless examples of suppliers who believe their materials are complaint based on the material test reports yet testing shows excessive levels of Pb, Cd or other regulated substances,” said president Don Sackett.

“This ‘test the waters’ rental program is our way to help the component suppliers, OEMs and contract manufacturers understand how XRF testing helps with compliance.”
MINNEAPOLIS -- The SMTA will host a job center during its annual conference later this month and is soliciting local and national companies for job openings in the electronics manufacturing and supply industry.

The event will take place Sept. 26-28 at SMTAI, held in conjunction with Assembly Technology Expo, in Rosemont, IL.

In conjunction with the fair, SMTA will provide booth space and a listing of jobs available. Potential employees will be matched to the jobs available and will be given copies of job descriptions and company contact information.

To participate send job openings to Sis Sullivan at sis@smta.org no later than Sept. 15. Include the following:
* Company name.
* Job title and description .
* Job function.
* Number of openings .
* Company contact information (name, phone, email address) .
* Preferred method of contact (mail, email, phone call) .

This is a free service provided by the SMTA.
SAN JOSE -- SEMI, the trade group for semiconductor materials and equipment suppliers,  is lobbying for a extension of the R&D tax credit through 2007.

The previous tax credit expired Dec. 31, 2005. The current proposal would extend it through 2007 and apply it retroactively.

Prior to its summer recess, House leaders attached the credit to the so-called “trifecta” legislative package. While the House approved this package, which includes an estate tax reduction and a minimum wage increase, the Senate did not move to a vote and it is unclear how the body will move during the fall session.

SEMI calls the tax credit "an important component of American competitiveness," and encourages its members to push Congress to enact the credit.

EL SEGUNDO, CA — Nokia and Motorola will up their semiconductor spending by the highest percentage among the world’s top-10 OEM chip buyers in 2005 and 2006, iSuppli Corp. predicts.

Nokia, the top seller of mobile phones, will boost chip spending 15.1% in 2006, up from 12.7 %p last year. Motorola, which ranks second, is projected to increase semiconductor purchasing 14.5% this year from 20.7% in 2005.

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METHUEN, MA – EMS provider Proxy Manufacturing has been certified as a qualified HUBZone small business concern by the U.S. Small Business Administration.

The SBA’s HUBZone Empowerment Contracting Program seeks to create jobs and stimulate economic development in urban and rural communities that have been designated as historically underutilized business zones.

Certification is awarded to small businesses that, among other qualifications, maintain a principal office in a HUBZone and employ staff that lives in one of these specially designated areas. Proxy’s certification means that it is now eligible to receive HUBZone contracting opportunities under the North American Industry Classification System (Code 334418, Printed Circuit Assembly (Electronic Assembly) Manufacturing.

Proxy can also receive contracts that it is qualified to perform under other NAICS Codes.

“This certification provides Proxy access to preferred federal contracts and the opportunity, said Shawn Foy, president . “In addition, we can help customers who are large federal contractors meet their HUBZone subcontracting goals.”
SAN JOSE -- Flextronics will acquire International DisplayWorks, a designer and manufacturer of LCDs and other components for handheld and industrial products, in an all-stock deal valued at $300 million.

The transaction is subject to customary closing conditions, including IDW stockholder approval and certain regulatory approvals, and is expected to close in the fourth quarter.

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SAN JOSE – July sales of semiconductors were up up 11.5% worldwide to $20.1 billion, the Semiconductor Industry Association reported today. July’s sales were up 1.8% over June, and continued the record pace.

“The worldwide semiconductor industry is on track to surpass $240 billion in sales this year, which represents a new record,” said SIA president George Scalise. “Growth continues to be strong across a broad range of end markets and geographic regions as well, particularly Asia Pacific which is up over 13% year-on-year, and the U.S., where sales increased almost 18% over last year."


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EL SEGUNDO, CA — Intel Corp. experienced a dramatic decline in semiconductor revenue in the second quarter and posted its lowest quarterly market share in more than four years, according to a new ranking from iSuppli Corp.

Following an increase in its revenue and market share in 2005, the world’s largest chipmaker in the second quarter saw its semiconductor revenue fall 12.8% sequentially and its share of the global chip market shrink to 11.4%, down from 13.2% in the first quarter.

That is the lowest share for Intel since iSuppli began tracking quarterly semiconductor market shares in the first quarter 2002.

“Following such an impressive 2005, this represents a major reversal of fortune for Intel,” said Dale Ford, vice president of market intelligence services at iSuppli. “However, Intel’s recent actions show it understands the need to improve its efficiency and sharpen its focus on its core business of microprocessors and integrated circuits for computing systems.”

Top-10 Semiconductor Suppliers, Q2 2006 (in US$ millions)
                Q2 2006 Revenue    %Change   
1. Intel                7,095                    -12.4%
2. Samsung      4,481                1.5%
3. TI                     3,175                    5.2%
4 . STM                2,495                    5.6%
5. Toshiba        2,328                    0.5%
6 . Renesas       2,081                     6.0%
7 . Hynix             1,694                    17.1%
8 . Philips             1,534                    4.4%
9 . Freescale        1,527                4.2%
10. NEC             1,380                     -0.4%
Others             34,462                     2.9%
AMSTERDAM -- Greenpeace wants electronics companies to clean up their acts.

The activist environmental protection organization this week released its study of the "green credentials" of the top electronics OEMs. Ranked on their use of toxic chemicals and electronic waste (e-waste) policies, Dell and Nokia scored highest -- albeit  a "barely respectable" 7 out of 10 -- while Apple, Motorola and Lenovo finished at the bottom of the class. The average score for the 14 companies reviewed was 4 of 10.
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JACKSON, MI -- EMS firm Sparton Corp. reported net sales of $50.5 million for its fourth quarter ended June 30, up 9.6% over last year. Net income fell 95% to $468,000 from $4.94 million last year. Read more ...

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