Title ASE expects stronger growth for packaging and testing than overall IC industry in 2008
Date   (11/02/2007 14:02 $ EDT)                                                       

Memo

Ingrid Lee, Taipei; Rodney Chan, DIGITIMES [Wednesday 31 October 2007]

Advanced Semiconductor Engineering remains upbeat about the packaging and testing industry next year, with company CFO Joseph Tung predicting a 20% growth for 2008.

Tung's forecast is much higher than the overall IC industry growth of 5-9% expected for 2008 by Rick Tsai, CEO of Taiwan Semiconductor Manufacturing Company (TSMC).

Tung told an ASE investors conference on October 30 that a mild growth for the IC industry will be beneficial to the packaging and testing industry, helping maintain "order" and stable prices. He added if the foundry sector grows too fast, the backend service sector may not be able to catch up.

Earlier this month ASE chairman Jason Chang said the company expects a 20% growth in sales in 2008.

ASE saw weak sales in the first half of 2007, during which a few top clients reduced their orders in line with their market share changes or strategy adjustments, according to industry observers. But ASE has since then been actively developing new clients: its share of MediaTek's orders has risen to 30% from nothing, and that of Broadcom to 40% from single-digit percentages, the sources indicated.

Tung said ASE expects increases in demand from those clients whose orders were weak in the first half of the year, and their orders, together with those from the new clients, will be the chief driver of growth for the company.

He said the leadframe segment will be one of the major investment focuses in the future. As competitors' current scale for the segment is still small, ASE, with its group resources, cost-down capabilities and technologies, will see strong growth for the leadframe business, the CFO said.

Tung said the active development of leadframe is aimed at boosting orders from IDMs. Revenues from IDMs stood at 39% of total revenues for the third quarter, compared to the previous 40-50%.

MEMS-based inclinometer brings accuracy, ease of calibration to industrial applications By Margery Conner, Technical Editor -- EDN, 10/31/2007

Inclinometers, a specialized version of accelerometers, indicate deviation from the vertical by sensing the downward G force. Some consumer-game controllers have used versions selling for approximately $3, but industrial applications require a higher level of accuracy as well as ease of calibration that lower-cost consumer-grade devices can¡¯t provide.

Targeting the industrial market, Analog Devices has introduced the programmable, dual-mode?that is, vertically or horizontally mounted?MEMS (microelectromechanical-system)-based ADIS16209 inclinometer, which can measure dual-axis tilt with less than 0.1¡Æ error across a ¡¾30¡Æ range in a horizontally mounted setup. The sensor data is available through an industry-standard serial-peripheral-interface port and includes inclination with 0.025¡Æ resolution, acceleration with 0.244-mg resolution, and temperature. The device also has a 12-bit auxiliary ADC input and a DAC output.

Typical industrial applications for inclinometers include surveying equipment, satellite-antenna-stabilization systems, automotive-wheel alignment, and autonomously piloted farm equipment. The device sells for $34.40 (1000) in a 9.2¡¿9.2¡¿3.9-mm, laminate-based LGA package.