Embedded Electronics Business: Some data

A. Semiconductor Chip Fabrication

(source - http://www.eetimes.com/showArticle.jhtml;?articleID=198701495; 2007; Synopsis Estimation )

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•At the 45-nm node,
–a new 300-mm fab costs about $3 B (billion),
–process technology R&D runs $2.4 B
–and a "mask set" is up to $9 M (million)
–IC design costs between $20 to $50 M
*Process variation is becoming one of the root causes of chip failures below 100nm
•Device properties can vary due to doping gradients and other process steps.
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•IDM: integrated device manufacturer
•An IDM needs $1.5 billion to develop a 65-nm process technology R&D,
–includes the CAD tools, process models and related costs, but not the fab or equipment
•To get an ROI at the 65-nm node, one needs $8.3 billion in sales per year.
–In 2006, only five IDMs had sales of $8.3 billion or more: Intel, Samsung, TI, STM and Toshiba.
•IBM Corp.'s manufacturing-technology alliance, which includes AMD, Chartered, Freescale, Infineon, Samsung, Sony and Toshiba.
–In this "fab club," the vendors plan to share the R&D costs at the 65-nm node and beyond
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B. Mobile Handset Business


•In 1Q of 2006 Nokia sold over 15 million MP3 capable mobile phones.
•253 M mobile handset units overall in Q1 of 2007.
–91.1 M units from Nokia
–45.4 M units by Motorola $9.4 B sale

C. Semiconductor Companies


* Q1,2007 : TI : $516 million profit , revenue: $3.19 billion