Passive Electronic Component Markets in Semiconductor Manufacturing Equipment: 2023-2028 Outlook

Passive Electronic Component Markets in Semiconductor Manufacturing Equipment: 2023-2028 Outlook

by Dennis M. Zogbi

The semiconductor manufacturing equipment market presents a specialized and promising opportunity for passive electronic component manufacturers. This market requires the use of uniquely designed printed circuit boards that necessitate the incorporation of high frequency + high voltage capacitors, resistors, and inductors. The inclusion of these specific passive components in this Paumanok IMR Article is crucial due to the application-specific nature of the circuits involved and the demanding requirements for high voltage and high frequency capabilities.

By recognizing the significance of these factors, passive component manufacturers can tailor their products to meet the unique needs of the semiconductor manufacturing equipment market. This presents a narrow but lucrative avenue for these manufacturers to capitalize on the growing demand for specialized components in this industry.

To maximize their success in this market, manufacturers should invest in research and development efforts to enhance the performance and reliability of their passive components, ensuring they meet the stringent requirements of high voltage and high frequency applications. This strategic approach will enable them to position themselves as key players in the semiconductor manufacturing equipment market and gain a competitive edge.

Semiconductor Manufacturing Equipment: An Ecosystem for Advanced Component Vendors

Semiconductor manufacturing is the process of producing integrated circuits (ICs) or chips that form the foundation of electronic devices such as computers, smartphones, and various other electronic systems. It involves a series of intricate steps and utilizes specialized equipment to fabricate semiconductor devices on silicon wafers. Here is an overview of the semiconductor manufacturing process and the equipment involved:

• Wafer Preparation:?The process begins with the preparation of silicon wafers. These wafers are typically made from high-purity silicon and undergo various cleaning and polishing steps to ensure a pristine surface.
• Photolithography:?This step involves the use of a photomask and a process called optical lithography to transfer circuit patterns onto the wafer. Specialized equipment, such as a stepper or scanner, projects light through the photomask, exposing a photoresist coating on the wafer. This creates the desired pattern for the subsequent circuitry.
• Etching:?Etching is used to remove unwanted material from the wafer and define the circuitry pattern. There are different types of etching processes, including wet etching and dry etching (such as plasma etching). Etching equipment uses chemical or physical means to selectively remove or alter the material on the wafer's surface.
• Deposition:?Deposition involves adding or depositing various materials onto the wafer to build up the circuitry layers. Chemical vapor deposition (CVD) and physical vapor deposition (PVD) are commonly used techniques. CVD equipment enables the controlled deposition of thin films of materials, while PVD involves the evaporation or sputtering of materials onto the wafer.
• Ion Implantation:?Ion implantation is a process that introduces impurities (dopants) into the silicon wafer to modify its electrical properties. This step is crucial for creating the desired conductivity characteristics of different regions in the semiconductor device. Ion implantation machines precisely accelerate and direct ions toward the wafer's surface.
• Annealing:?Annealing is a heat treatment process that activates the dopants and repairs any damage caused by the previous steps. Rapid thermal processing (RTP) equipment is used to subject the wafer to short bursts of high-temperature heating, enabling controlled annealing while minimizing thermal stress.
• Metallization:?Metallization involves depositing metal layers (typically aluminum or copper) onto the wafer to establish electrical connections between various components. This step is essential for interconnecting transistors and other semiconductor elements. Sputtering and electroplating techniques are employed in metallization processes.
• Testing and Packaging:?After the completion of the semiconductor device fabrication, comprehensive testing is performed to ensure its functionality and reliability. Equipment such as automated test equipment (ATE) and probe stations are utilized for testing and inspection. Once the chips pass the testing phase, they are packaged into final forms, such as leaded packages, ball grid arrays (BGAs), or chip-scale packages (CSPs), using specialized packaging equipment.

Throughout the semiconductor manufacturing process, various supporting equipment, such as cleaning systems, chemical management systems, robotics, and metrology tools, are employed to ensure precise control, cleanliness, and quality control at each stage.

Due to the fundamental nature of this advanced equipment, it requires the use of equally advanced bypass, decoupling, filtering, burst power and circuit protection that is accomplished using high voltage and high frequency capacitors, resistors, and inductors/magnetics

Key Customers in the?Supply Chain for Semiconductor Manufacturing Equipment

The following chart shows the revenue trends at the top manufacturers of semiconductor manufacturing equipment from 2019 to 2022.??These customers consume capacitors, resistors and inductors that employ high frequency and high voltage performance attributes and include such manufacturers as ASML, AMAT, LAM, KLA, And Tokyo Electron.

High Voltage and High Frequency Passive Components Used in Semiconductor Fabrication

A combination of high voltage and high frequency capacitors are consumed I the production of semiconductor manufacturing equipment.?

• Capacitors (Electrostatic and Electrolytic)
• Ceramic capacitors are employed for most functions requiring a faradaic response because they are equally adept in high voltage (electrostatic design) and high frequency (thin film ceramics) that a large percentage of demand is for single layered and multilayered disc and chip solutions. There is also minor consumption of polypropylene plastic film capacitors for burst power, snubber and X/Y circuitry and protection; as well as minor consumption of both manganese and polymer cathode type tantalum capacitors, as well as consumption of large can, snap mount, vertical chip, horizontal chip, and radial leaded aluminum electrolytic capacitors.
• Vacuum Variable Capacitors- A Unique Product Line
• Vacuum variable capacitors for plasma etching constitute a distinctive and exclusive market that is projected to witness significant growth from FY 2023 to 2028. These capacitors play a crucial role in advanced plasma etching processes employed in semiconductor manufacturing, as they offer high reliability and unique characteristics unmatched by any other capacitor produced globally. Unlike conventional capacitors, vacuum variable capacitors rely on a vacuum as their dielectric medium, setting them apart from other capacitor types. This specialized design allows them to operate effectively at high voltages and frequencies, making them essential components in plasma etchers used for semiconductor production.

Resistors and Networks

Paumanok notes the use of thin film resistors for high frequency response in semiconductor manufacturing equipment with a supply chain penchant for tantaum nitride, chrome silicide and nickel chromium thin film resistor solutions.??Also, high voltage thick film chips and thick film ruthenium based resistor networks (SIPs, DIPs and Flatpacks) are employed here as is the specialty tin-oxide resistors because of their use in high voltage circuits. Tin-Oxide and Thick Film Ruthenium solutions are employed for high voltage resistance and have market synergies with the ceramic and plastic film capacitors mentioned above. The high frequency response requirements in resistors favor thin film for specific applications and the combination of voltage and frequency application are at their cottoning edge in advanced semiconductor manufacturing.

Discrete Inductors and Filtering

Discrete inductors are employed in semiconductor manufacturing equipment with emphasis upon thick and thin film ceramic inductors and as well as metal ferrite beads and components for use in filtering and high frequency circuits. Magnetic components, with emphasis upon discrete inductors, are available in high voltage configurations from application specific component vendors with narrow expertise in inductance/nanohenries.

Semiconductor Equipment Market Outlook: 2023-2028

Competition between various aspects of China 2025 Initiatives, the USA Chips Act, and Germany’s Industry 4.0 Initiatives has created a robust market environment for all phases of semiconductor manufacturing (But none of these acts and incentives directly mentions passive electronic components and their raw material supply chains, which are fundamental to the operation of the semiconductor and therefore leave a "blind spot" that creates confusion and received no direct government support in any incentive package- passive components are a true rendered economy). As the demand for semiconductors continues to rise, driven by advancements in technology and emerging applications, the need for advanced plasma etching and, consequently, passives are expected to grow substantially. This presents an opportune moment for both existing and potential players in the market to capitalize on the increasing demand and carve out a significant market share. To ensure success in this unique market, manufacturers should focus on enhancing the reliability, performance, and efficiency of their electronic components to match developments emerging from global posturing and financial flexing of governments with imperfect views of ecosystems and supply chains. To keep up with advances in semiconductor production equipment trade component companies must Invest in research and development efforts to improve the design, manufacturing processes, and materials used can help meet the evolving requirements of (at least) plasma etching systems. By doing so, passive component manufacturers can position themselves as key contributors to the semiconductor manufacturing industry and drive the growth of high voltage + high frequency inductors over the next five years.

RESOURCES:

“High-Reliability Passive Electronic Components: World Markets, Technologies and Opportunities: 2023-2028?ISBN: 1-89-3211-38-X.”?

Paumanok Industrial Market Research

www.paumanokgroup.com

?ISBN: 1-89-3211-38-X.”?