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Infineon Technologies And LSI Logic Have Made A Joint Development Agreement

Infineon Technologies and LSI Logic have made a joint development agreement (JDA) to share existing intellectual property (IP), to develop new IP and to collaborate on the design of integrated circuits for hard disk drive (HDD) applications. Infineon and LSI Logic expect that initial products resulting from the JDA will be available beginning in H2 2003.
The technologies include Infineon's recently-announced 1.6Gbit/sec read
channel, Serial ATA and Fibre Channel interfaces based on LSI Logic's proven
GigaBlaze transceiver core, 10bit error correction code and processor
subsystem IP.
Serial ATA is backed by Intel for inclusion in future chip sets. The thinner
serial cable is designed to replace the wide ribbon cables that make the
current hard disk/motherboard connection difficult.

ASML Holding has filed a patent infringement complaint against Nikon in
Japan. ASML seeks an injunction against Nikon to cease the manufacture and
sale of lithography systems that infringe on an ASML patent. The company
also seeks damages from Nikon totalling JPY11.1bn (approximately EUR97mn).
The ASML patent in question covers the wafer handler. The Japanese complaint
is the third that ASML has filed against Nikon internationally in the past
five months. A case in California is expected to proceed to trial in 2004.
Also in the USA, a hearing between ASML and Nikon at the International Trade
Commission (ITC) proceeding will begin on September 4, 2002. ASML's
counterclaims against Nikon in the ITC for patent infringement have been
removed to the US courts as required by law with trial also expected in
2004.

Honeywell's Electronic Materials business has been awarded a US patent
entitled "High purity Cobalt sputter target and process of manufacturing the
same" (No.6,391,172). Cobalt sputtering targets are used to form low
resistivity silicide layers in many semiconductor applications.
The magnetic properties of the cobalt sputtering target are critical to the
efficiency and uniformity of the sputtering process. This patent relates to
high purity cobalt sputtering targets with high pass through flux (PTF) and
the method of fabricating such targets. Specifically, cobalt sputtering
targets with a magnetic permeability in the plane of the target of less than
20 are covered.
Cobalt can be difficult to sputter because it is a strong ferromagnetic
material that tends to shunt a sputtering cathode's magnetic field, thus
reducing the efficiency of the sputtering process.
HEM has developed thermo-mechanical processing methods to improve the
crystallographic structure of cobalt sputtering targets and increase the
magnetic PTF of the target. This can significantly improve the sputtering
efficiency and thin film uniformity.

Samsung Electronics and SanDisk have signed cross license and supply
agreements covering Flash memory technology as part of a deal dismissing
lawsuits that they had earlier filed against each other in the USA. A
previous patent cross-licensing agreement between Samsung and SanDisk
expired this month. The new agreements have a term of seven years. During
this time, Samsung will supply SanDisk with Flash memory products. Both the
license and supply agreements cover MLC (multi-level cell) patents and
products. MLC technology and Flash applications are strengths of SanDisk.
Samsung has developed NAND Flash technology.

Varian Semiconductor Equipment Associates (VSEA) has been issued a US patent
for a "Method and Apparatus for Controlling a System Using Hierarchical
State Machines" (No.6,374,144). The patent covers Varian Semiconductor's
control system, known as VCS, used on its VIISta ion implant systems. This
executes, monitors, controls and records the state of many independent
operations to ensure high quality performance. VCS also enables e-diagnostic
capabilities.

Goldman Sachs reports that recent channel checks by its team in Asia leads
it to believe that TSMC intends to cancel significant orders with its
equipment suppliers. The focus seems to be on 300mm orders - surprising
given the longer-lead time associated with ramping 300mm once business
conditions improve. GS analysts speculate that this is perhaps due to the
increased cost associated with and lower yields currently being achieved on
300mm/0.13/copper/low-k processes.
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