DocumentCode
1887111
Title
Sense and sensibility: the scaleable minifab
Author
Duley, James R. ; Varma, Vijay ; Wood, Samuel C.
Author_Institution
Hewlett-Packard Co., Palo Alto, CA, USA
fYear
1997
fDate
6-8 Oct 1997
Abstract
The objective of the scaleable minifab is cost competitive, low risk IC manufacturing to satisfy a business need. This paper analyzes the capital and operating costs of a fab, and shows how the data can be used to improve the cost structures of modular IC manufacturing while containing capital risk. A modular fab can limit capital risk by allowing capacity to be added in an incremental way when needed. The paper shows that the cost per wafer is higher for the smaller fab as predicted by economics of scale. In addition, the lower wafer cost benefit of economies of scale is overshadowed by the cost penalty of under-utilization of fab capacity. This suggests that a fab should be designed in a modular way, starting small in size and growing in modules when needed. Keeping utilization high will result in a lower average wafer cost than a larger fab with economies of scale and lower utilization
Keywords
cost-benefit analysis; economics; integrated circuit manufacture; investment; average wafer cost; capital costs; cost structures; economies of scale; fab capacity; modular IC manufacturing; operating costs; scaleable minifab; wafer cost benefit; Companies; Costs; Economies of scale; Electronics industry; Investments; Laboratories; Production facilities; Pulp manufacturing; Risk analysis; Semiconductor device manufacture;
fLanguage
English
Publisher
ieee
Conference_Titel
Semiconductor Manufacturing Conference Proceedings, 1997 IEEE International Symposium on
Conference_Location
San Francisco, CA
Print_ISBN
0-7803-3752-2
Type
conf
DOI
10.1109/ISSM.1997.664491
Filename
664491
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