SSMC to ramp up wafer production, focus on HPMS

Singapore’s total fab capacity is expected to increase by 6.8 percent this year, with its 300mm capacity growing at 17 percent, according to Semiconductor Equipment and Materials International (SEMI), in a briefing during the recent SEMICON Singapore 2010 event. Dr. Dan Tracy, Senior Director, Industry Research and Statistics, SEMI, said that Singapore’s fab industry is growing, with key investments being made from IM Flash fab, which will begin equipping this year, and growth at GLOBALFOUNDRIES, TECH Semiconductor, and UMC, who continue to invest in technology and capacity.

Fong Pin Fen, Head of Electronics, Singapore Economic Development Board (EDB), shared the same opinion. She said that currently there is not much capacity to go around, which is why the majority of the foundries are increasing their capex this year.

10th year, 3 millionth wafer, and $30M investment
One wafer fabrication facility in Singapore with such capacity expansion plans this year is Systems on Silicon Manufacturing Co. Pte Ltd (SSMC)—a joint venture of NXP Semiconductors and Taiwan Semiconductor Manufacturing Co. (TSMC)—which was established in Singapore’s Pasir Ris Wafer Fab Park with an investment of $1.5 billion. The company, which recently celebrated its 10th year anniversary as well as its 3 millionth wafer production, will be investing $30 million in R&D and manufacturing this year, in line with its strategic direction to focus on High Performance Mixed Signal (HPMS) semiconductor production. In addition, Jagadish CV, SSMC’s Chief Executive Officer, said that the company will invest another $30 million in R&D and manufacturing as it shifts to specialized manufacturing processes. He added that SSMC will expand its manufacturing capacity from the current 53,000 wafers to 60,000 wafers in the coming years to position itself for future demand.

SSMC’s market mix includes the consumer segment, which accounts for 43 percent of the company’s production; communications, 28 percent; computing, 19 percent; automotive, 6 percent, and general purpose, 4 percent. In particular, 80 percent of the worldwide e-passport chips are manufactured in SSMC. Jagadish said that the company will be growing its automotive business to around 20-30 percent of its product portfolio.

SSMC follows TSMC’s MR ABCD Strategy—MEMS and MCU; RF; Analog, automotive; BCD technology: Bipolar, CMOS and DMOS; CMOS image sensors; and Displays. It is also in line with NXP’s HPMS approach, as it aims to gradually reduce its plain “vanilla” wafer production and increase the share of “specialty” wafers in five years. According to Jagadish, it is the differentiation factor of SSMC to compete in the global semiconductor market.

Systems on Silicon Manufacturing Co. Pte Ltd