How the 600nm Phase-Out Will Impact Legacy Systems

The semiconductor industry is on the brink of a significant transition as it phases out 600nm wafers. This shift, driven by advancements in technology and the need for more efficient manufacturing processes, will have profound implications for legacy systems that rely on these older nodes.

In this article, we will explore the impact of the 600nm phase-out, provide a historical overview of wafer volumes, and discuss the broader context of the semiconductor industry’s growth. We will also delve into Moore’s Law, examine the types of legacy systems affected, and highlight successful phase-out examples. Finally, we will offer a checklist of key takeaways for navigating this transition.

Historical Overview of 600nm Wafer Volumes

To understand the impact of the 600nm phase-out, it is essential to look at the historical volumes of these wafers in the semiconductor industry. The chart below (figure 1) provides a snapshot of the volume of 150mm and below (including 600nm) wafers in 2009 and 2024, alongside the growth of the semiconductor industry and the volumes/values of the 200mm and 300mm markets.

Global Production Volumes of Wafers 2009 to 2024^{1, 2, 3}

In this chart, the stacked areas represent the different wafer volumes. The annotations show the actual volumes for each wafer size in 2009 and 2024 within the colored sections:

150mm and below (including 600nm): 36M in 2009, 54M in 2024; 200mm: 90M in 2009, 126M in 2024; 300mm: 54M in 2009, 180M in 2024.

The growth rates are also annotated: 150mm and Below (including 600nm): 50%; 200mm: 40%; 300mm: 233.33%.

1: https://semiconductorinsight.com/report/silicon-wafer-market/

2: https://www.databridgemarketresearch.com/whitepaper/rise-in-the-production-capacity-of-8-inch-third-generation-semiconductors-fabss

3: https://www.electronicspecifier.com/news/analysis/30-million-wafers-2024-s-semiconductor-peak

The Growth of the Semiconductor Industry

The semiconductor industry has seen extraordinary expansion over the last twenty years. In 2000, the industry was valued at approximately $200 billion, and by 2020, it had surged to over $500 billion. This growth has been fuelled by the increasing demand for electronic devices, advancements in technology, and the proliferation of applications such as artificial intelligence, the Internet of Things (IoT), and autonomous vehicles.

The demand for semiconductors has been driven by the rapid adoption of smartphones, tablets, and other consumer electronics. As these devices become more integrated into daily life, the need for more powerful and efficient semiconductors has grown. Additionally, the rise of cloud computing and data centers has further boosted the demand for high-performance chips.

The automotive industry has also played a significant role in the growth of the semiconductor market. Modern vehicles are equipped with numerous electronic systems, from advanced driver-assistance systems (ADAS) to infotainment and connectivity features. The shift towards electric vehicles (EVs) and autonomous driving technologies has further accelerated the need for sophisticated semiconductor solutions.

Moore’s Law and Its Application

Gordon Moore introduced Moore’s Law in 1965, forecasting that the number of transistors on a microchip would double every two years. This prediction has resulted in exponential growth in computing power and significant reductions in relative costs. This principle has driven the semiconductor industry for decades, enabling the development of smaller, faster, and more efficient chips.

As technology nodes shrink, the industry faces physical and economic challenges. The transition from 600nm to smaller nodes like 200mm and 300mm wafers is a testament to the industry’s ability to innovate and adapt. However, this shift also means that older nodes, such as 600nm, become less economically viable, prompting their phase-out.

The continuous scaling down of semiconductor technology has led to significant advancements in various fields. For instance, the development of smaller and more powerful chips has enabled the creation of compact and energy-efficient devices, such as wearable technology and portable medical equipment. These innovations have had a profound impact on healthcare, allowing for more accurate diagnostics and personalized treatments.

Moreover, the advancements in semiconductor technology have paved the way for the growth of artificial intelligence (AI) and machine learning. The increased processing power and efficiency of modern chips have made it possible to develop complex AI algorithms that can analyse vast amounts of data in real-time. This has led to breakthroughs in areas such as natural language processing, image recognition, and autonomous systems.

Despite the challenges, the semiconductor industry continues to push the boundaries of what is possible. Researchers and engineers are constantly exploring new materials and manufacturing techniques to overcome the limitations of traditional silicon-based technology. For example, the development of 3D stacking and advanced packaging technologies has allowed for the creation of chips with higher performance and lower power consumption.

Why 600nm Is Being Replaced

1. Increased Performance and Efficiency: Smaller nodes allow for more transistors to be packed into the same chip area, significantly boosting performance and energy efficiency. This is crucial for modern applications that demand high processing power and low energy consumption. For instance, in the realm of consumer electronics, devices like smartphones and tablets require chips that can manage complex tasks swiftly while maintaining battery life. Smaller nodes help achieve this balance by enhancing computational capabilities without a proportional increase in power usage.
2. Cost-Effectiveness: As technology advances, the cost per transistor decreases. This makes it more economical to produce chips using smaller nodes despite the higher initial investment in new manufacturing equipment. Over time, the economies of scale kick in, and the cost savings become substantial. This cost-effectiveness is particularly important for manufacturers who need to stay competitive in a market where price and performance are critical factors. The initial investment in innovative fabrication technology pays off as production scales up and unit costs drop.
3. Technological Advancements: The semiconductor industry continuously innovates to keep up with Moore’s Law, which predicts the doubling of transistors on a microchip every two years. This drives the need to move to smaller nodes to maintain the pace of innovation. The relentless push for miniaturization has led to breakthroughs in lithography techniques, such as extreme ultraviolet (EUV) lithography, which allows for the precise patterning of smaller features on silicon wafers. These advancements ensure that the industry can continue to deliver more powerful and efficient chips with each new generation.
4. Market Demand: The demand for more powerful and efficient electronic devices, such as smartphones, laptops, and IoT devices, necessitates the use of advanced semiconductor technologies. Consumers expect each new generation of devices to offer better performance, longer battery life, and more features. This expectation drives manufacturers to adopt the latest semiconductor technologies to meet market demands. Additionally, the rise of new applications, such as augmented reality (AR), virtual reality (VR), and edge computing, requires chips that can manage intensive processing tasks efficiently.

What Is Replacing 600nm

Technically, the 600nm process were already “replaced” long ago, but not retired as these components based on this process were still in-demand and were kept in production. But it has become clear over time that the drive for smaller feature sizes and lower power is driving the 600nm process to the end of its life.

1. 300mm Wafers: The 200mm wafer size became the industry standard during the 600nm process era, but today’s 300mm wafers have become the standard in the industry due to their ability to hold more chips per wafer, reducing manufacturing costs and increasing efficiency. The transition to larger wafers allows semiconductor fabs to maximize their output and improve yield rates. This shift is crucial for meeting the growing demand for semiconductors across various industries. Larger wafers also facilitate the production of more complex and higher-performing chips, which are essential for advanced applications.
2. Advanced Nodes (7nm, 5nm, and beyond): These nodes offer significant improvements in performance, power efficiency, and chip density. They are essential for innovative applications like artificial intelligence, high-performance computing, and advanced mobile devices. The move to these advanced nodes involves the use of sophisticated manufacturing techniques and materials to achieve the desired performance gains. For example, FinFET (Fin Field-Effect Transistor) technology has been instrumental in enabling the production of smaller, more efficient transistors at these advanced nodes.
3. Emerging Materials: Beyond silicon, materials like graphene and diamond are being explored for their superior electrical properties and potential to further miniaturize and enhance semiconductor performance. Graphene, with its exceptional conductivity and strength, holds promise for creating faster and more efficient transistors. Diamond, known for its excellent thermal conductivity, could be used to manage heat in high-power applications. These emerging materials represent the next frontier in semiconductor technology, offering the potential to overcome the limitations of traditional silicon-based devices and usher in a new era of innovation.

The transition from 600nm to these advanced technologies is driven by the need for better performance, efficiency, and cost-effectiveness, ensuring that the semiconductor industry continues to innovate and meet the growing demands of modern technology.

Types of Legacy Systems Using 600nm Wafers

Legacy systems that rely on 600nm wafers are typically found in industries where long product lifecycles and reliability are paramount. These include:

Automotive Systems: Many automotive control units and sensors still use 600nm technology due to their proven reliability and robustness in harsh environments. These systems are critical for vehicle safety and performance, including engine control units (ECUs), airbag systems, and anti-lock braking systems (ABS). The ability of 600nm technology to withstand extreme temperatures, vibrations, and other challenging conditions makes it a preferred choice for automotive applications where failure is not an option.

Industrial Equipment: Manufacturing and industrial automation systems often utilize 600nm wafers for their durability and long-term availability. These systems include programmable logic controllers (PLCs), motor drives, and robotic controllers that are essential for the smooth operation of factories and production lines. The longevity and reliability of 600nm technology ensure that these systems can operate continuously with minimal downtime, which is crucial for maintaining productivity and efficiency in industrial settings.

Medical Devices: Certain medical devices, such as diagnostic equipment and patient monitoring systems, depend on 600nm technology for its stability and reliability. Devices like MRI machines, CT scanners, and vital signs monitors require exceptionally reliable components to ensure accurate diagnostics and patient safety. The use of 600nm wafers in these devices helps maintain consistent performance over extended periods, which is vital in healthcare environments where precision and dependability are critical.

Telecommunications: Older telecommunications infrastructure, including network switches and routers, may still operate on 600nm wafers. These systems form the backbone of communication networks, enabling data transmission and connectivity across vast distances. The robustness of 600nm technology ensures that these legacy systems can continue to function effectively, providing reliable service even as newer technologies are integrated into the network.

Consumer Electronics: Some legacy consumer electronics, like older gaming consoles and household appliances, continue to use 600nm technology. These devices, which include classic gaming systems, televisions, and kitchen appliances, were designed with 600nm wafers to ensure long-lasting performance. The durability of 600nm technology means that these products can still be used and enjoyed by consumers many years after their initial release, highlighting the enduring value of this technology in everyday life.

Successful Phase-Out Examples

The semiconductor industry has successfully navigated phase-outs of older technologies in the past. Here are a few notable examples:

1. The Transition From 150mm to 200mm Wafers: In the 1990s, the industry transitioned from 150mm to 200mm wafers, driven by the need for higher efficiency and lower costs. This shift was managed through strategic planning, investment in new manufacturing facilities, and collaboration with equipment suppliers. For instance, companies like Intel and Texas Instruments played pivotal roles in this transition. Intel, known for its innovation in semiconductor manufacturing, invested heavily in upgrading its fabs to accommodate the larger wafer size. This move allowed for increased production capacity and reduced costs per chip, which was crucial for maintaining competitiveness in the rapidly growing market.
2. The Move From 200mm to 300mm Wafers: The early 2000s saw the transition from 200mm to 300mm wafers, which offered significant cost advantages due to the larger wafer size. This phase-out was facilitated by advancements in lithography and process technology. Companies like TSMC (Taiwan Semiconductor Manufacturing Company) and Samsung were at the forefront of this transition. TSMC, for example, invested in state-of-the-art lithography equipment and process technologies to ensure a smooth transition to 300mm wafers. This shift not only improved production efficiency but also enabled the company to meet the increasing demand for high-performance chips used in various applications, from consumer electronics to data centers.
3. The Phase-Out of Leaded Solder: The industry successfully phased out leaded solder in favor of lead-free alternatives to comply with environmental regulations. This transition required extensive research and development, as well as changes in manufacturing processes. Companies like IBM and Hewlett-Packard (HP) were instrumental in this shift. IBM, for instance, conducted extensive research to develop reliable lead-free solder materials that met the stringent performance requirements of electronic devices. HP, on the other hand, re-engineered its manufacturing processes to accommodate the new materials, ensuring that their products remained compliant with environmental standards while maintaining high quality and reliability.

Checklist: Key Takeaways for Navigating the 600nm Phase-Out

• Assess Impact on Legacy Systems: Identify which of your systems rely on 600nm wafers and evaluate the potential impact of the phase-out. This involves conducting a thorough inventory of all equipment and components that use 600nm technology. Understanding the extent of reliance on these wafers will help prioritize systems that need immediate attention. Additionally, assess the operational and financial implications of transitioning away from 600nm wafers, including potential downtime, compatibility issues, and the cost of replacement parts.
• Plan for Transition: Develop a strategic plan for transitioning to newer nodes, including timelines, budget, and resource allocation. This plan should outline the steps required to phase out 600nm wafers and adopt newer technologies. Set realistic timelines for each phase of the transition, ensuring that critical systems are upgraded first. Allocate a budget that covers the cost of new equipment, training for staff, and any potential disruptions to operations. Resource allocation should also consider the need for additional personnel or external consultants to support the transition process.
• Collaborate with Suppliers: Work closely with your suppliers to ensure a smooth transition and secure the necessary components and support. Engage in open communication with suppliers to understand their timelines for phasing out 600nm wafers and their plans for supporting newer technologies. Establish agreements that guarantee the availability of replacement parts and technical support during the transition period. Collaborating with suppliers can also provide insights into best practices and potential challenges, helping to mitigate risks associated with the phase-out.
• Invest in R&D: Allocate resources to research and development to innovate and adapt your products to newer technologies. Investing in R&D is crucial for staying competitive and ensuring that your products meet the evolving demands of the market. Focus on developing innovative designs and processes that leverage the advantages of smaller nodes, such as improved performance and energy efficiency. R&D efforts should also explore alternative materials and technologies that could offer further enhancements. By prioritizing innovation, you can create products that not only replace those using 600nm wafers but also offer superior functionality.
• Communicate with Stakeholders: Keep all stakeholders informed about the phase-out plans and progress to ensure alignment and support. Effective communication is key to smoothly managing the transition. Regularly update internal teams, customers, and partners on the status of the phase-out and the steps being taken to mitigate any potential disruptions. Provide clear timelines and expectations and address any concerns or questions promptly. Transparent communication helps build trust and ensures that everyone involved is on the same page, facilitating a more coordinated and efficient transition process.

Conclusion

The phase-out of 600nm wafers marks a significant milestone in the semiconductor industry’s evolution. While it presents challenges for legacy systems, it also offers opportunities for innovation and growth. By understanding the historical context, leveraging insights from Moore’s Law, and learning from past phase-outs, companies can navigate this transition effectively and continue to thrive in an ever-evolving technological landscape.