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Orbotech advances into the IC packaging industry together with SPTS in SEMICON Taiwan 2014

Press release

Orbotech Ltd. (NASDAQ: ORBK) announced that it has successfully closed the previously-announced acquisition of SPTS Technologies Group Limited ("SPTS"), in a strategic move into the high growth areas of Advanced Packaging and micro-electro-mechanical systems (MEMS).

Arik Gordon, Corporate Vice President and President of the PCB Division said, "Orbotech is a global technology leader in digital production solutions for the PCB and FPD electronics. Our company has pioneered much of the leading inspection and repair technology. For decades we have provided our technology to PCB makers and recently, we have witnessed first-hand the growing movement from IC substrate manufacturing to the higher-value IC packaging space. At the same time, we have seen leading OSATs adopting advanced technologies and leveraging field-proven PCB and FPD-based technologies to reduce costs."

"Developing our technologies to meet this growing demand was a natural progression. Now, with the addition of SPTS' industry-proven technologies and process solutions for advanced packaging, we come to SEMICON Taiwan with a broader product portfolio of added value solutions for the advanced IC packaging market."

Orbotech has successfully acquired SPTS and moves into the high growth areas of Advanced Packaging and micro-electro-mechanical systems (MEMS)

Arik Gordon stated, "We are very excited about our recent decision to acquire SPTS Technologies. This is a major step for us as we look to expand into the advanced packaging market. SPTS is a leading capital equipment supplier to the semiconductor industry, supplying etch, deposition and thermal processing solutions to the advanced packaging and MEMS markets. We couldn't have chosen a more appropriate company to help realize our long term strategy. SPTS has long been a recognized leader and vendor-of-choice in these high-growth markets, and like Orbotech, is an integral player in the electronics manufacturing ecosystem. Through this strategic acquisition, we are able to expand our product portfolio into these arenas and extend our operation into adjacent segments including RF and power chips. We are excited to begin working on new developments with SPTS and providing customers with the added benefits of the joining of our two companies."

Provides broad range of process solutions for advanced packaging

Arik Gordon added, "SPTS' offerings are truly complementary to the systems we have been developing for the advanced IC packaging market. SPTS focuses on metal and dielectric deposition, thermal processes, etching and plasma dicing. For the advanced IC packaging market, Orbotech has leveraged our existing technology and focused development on processes for lithography patterning, laser drilling, and inkjet printing. Orbotech's and SPTS' products and services match up in many ways. By combining forces, we are able to offer more extensive coverage to our customers and a more inclusive service to the advanced packaging industry."

"Allow me to provide a few examples. For RDL processes, Orbotech's unique maskless LDI patterning solution together with SPTS' PVD technology provide a comprehensive solution that covers the majority of the process. The combination of field-proven lithography and PVD solutions will offer packaging companies a significant added value. Another example is for PoP processes, specifically fan-out wafer level packaging (FOWLP) applications. Orbotech provides the most advanced laser drilling solution for TMV formation. Now, combined with SPTS' ionized PVD solutions, Orbotech is able to provide a more comprehensive, cost-saving solution for the production of these complex modules."

Orbotech and SPTS joint present in SEMICON Taiwan 2014

"Orbotech will be introducing three of our systems which we have developed specifically to match the growing needs of the advanced packaging industry. Our systems are designed to meet the challenging needs of today's most complex advanced IC packaging applications including: RDL for FOWLP; 3DWLP; organic interposer; high-end substrates; embedded die; and TMV for high density PoP applications. The first system is our Laser Direct Imaging (LDI) solution for cost-effective maskless patterning for super-fine features and delivers superior imaging accuracy without compromising on throughput. We're also introducing our highly sophisticated CAM-guided digital inkjet printer for highly accurate pattern alignment and precise high-speed, fine-feature printing. Last, we will be showcasing our high-speed precision UV laser drilling system. Designed for the most challenging advanced IC packaging applications, this system achieves significant cost-savings for a variety of processes. Orbotech's sister-company Frontline PCB Solutions will also be presenting their complimentary CAM solutions for fast and accurate design to manufacturing processes for advanced IC production."

Kevin Crofton, Corporate Vice President and President of SPTS Technologies said, "SPTS will be showcasing their new Rapier XE DRIE module which was launched in May. For via reveal and TSV etching, the Rapier XE etches 100% exposed Si 2 to 3 times faster than the competition, and is the only DRIE module capable of endpointing the Cu via tips as they emerge from the Si surface. With the ReVia endpoint, users can choose to use tip heights as small as 1 μm and save costs from reduced passivation thickness, and shorter polishing times. Combined with our range of stress engineered low temperature oxide and nitrides, SPTS has a compelling solution for 2.5 and 3D wafer backside processing."

Building on their market leading position in deep Si etch for MEMS and TSV, SPTS is now bringing that same capability to wafer dicing. There are two principle applications for dicing using plasma etch:

*Small die, of the order of 3x3mm or smaller. MEMS, some power chips and LED submounts fall into this category. Using DRIE techniques dramatically reduces dicing time over conventional dicing methods, and enables up to 10% more die to be patterned onto the wafer due to smaller kerf widths.

*Thin die, of the order of 30μm. Thin die are needed for die-to-die 3D stacking, to keep the overall package thin. Conventional saws can damage these thin die and reduce die strength. Plasma dicing is a much more gentle way of singulating devices.

SPTS' Omega cluster DRIE system has solutions for dicing full thickness wafers, called dice before grind (DPG), and dicing thinned wafers on frames post grind (DPG). They have worked with automation suppliers to be able to handle wafers on their dicing frames, and have developed a DRIE solution that does not damage the dicing tape.

SPTS expects to be in production for plasma dicing later this year.

Arik Gordon concluded, "Now, we are focusing on offering our combined best-in-class solutions to the advanced IC packaging market. Our goal is to continue building on our relationships with key industry players. From our vast experience in the PCB and FPD industry, we understand that the best innovations come from the strongest partnerships with our customers, a philosophy shared by SPTS. Together with SPTS' technological know-how and strong leadership position, we look forward to being able to broaden our offering to the industry. In the future, we will be able to provide even more comprehensive solutions, covering all critical production stages."

Arik Gordon, Corporate Vice President and President of the PCB Division, Orbotech

Arik Gordon, Corporate Vice President and President of the PCB Division, Orbotech

Kevin Crofton, Corporate Vice President and President of SPTS Technologies

Kevin Crofton, Corporate Vice President and President of SPTS Technologies

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