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Infineon Technologies AG is intensifying its collaboration with suppliers to further reduce CO 2 emissions along the whole supply chain. Infineon hosted its first ever Supplier Sustainability Summit to further stimulate collaboration and incentivize and support suppliers to accelerate their decarbonization journeys. The virtual event brought together about 100 top semiconductor industry suppliers.
“In order to meet our ambitious targets, we need you, our suppliers,” said Elke Reichart, Member of the Board and Chief Digital and Sustainability Officer at Infineon, during her welcome message. “Infineon’s scope 3 emissions make up the lion’s share of our footprint, especially the materials we source from our suppliers. Therefore, we very much look forward to joining forces with you. Together, we can stimulate and implement decarbonization strategies even better.”
Collaboration with suppliers is a fundamental part of Infineon’s overall sustainability strategy. The company has already made significant progress on its way to reaching climate neutrality by 2030; since 2019 Infineon has halved its CO 2 emissions (scope 1 and 2) while doubling revenue at the same time. In December 2023, Infineon added a commitment to setting a science-based target that includes the supply chain (scope 3). The procurement team is actively working with over 100 suppliers, engaging them to define their own science-based targets and implement appropriate reduction measures.
The Supplier Sustainability Summit was an excellent opportunity for Infineon to share learnings from its own climate strategy and journey and to facilitate exchange of best practices among suppliers. For instance, experts from the Infineon electricity procurement team gave insights from their hands-on experience in achieving 100 percent renewable electricity by 2025; whereas two suppliers shared their expertise in effectively setting science-based targets. The topic was deepened in a panel discussion with Infineon leaders and an expert from the CDP (formerly the Carbon Disclosure Project) that offered further practical advice to attendees.
Infineon’s Green Award recognizes and honors suppliers who demonstrated outstanding environmental commitment and advancements throughout the past year. The “Best Performance Award” went to Applied Materials Inc. for its ambitious climate strategy, including a 1.5°C science-based target and the company’s innovative “Xchange” program. As part of the program Infineon is directly collaborating with Applied Materials to increase resource efficiency and reduce emissions. The program enables take-back and refurbishment of spare parts for complex semiconductor equipment, thereby building on the circular economy to create environmental and business benefits for both parties.
The “Best Improvement Award” winner is Sumco Corporation, that has made remarkable progress in environmental sustainability throughout the past year. The Japan-based company is the first silicon wafer supplier to make a public commitment to setting a science-based target. Following discussions at the top leadership level, Sumco acted at an impressive speed, accelerating existing carbon reduction targets and expanding renewable electricity sourcing.
In the category of companies with less than one billion euros revenue, the “Best Improvement Award” went to iwis SE & Co. KG. The Munich-based, family-owned company serves as a great example to many with its ambitious “Zero Carbon 2040 program” and science-based target commitment. Infineon recognizes the proactive approach towards improving the environmental impact of operations and supply chain and the integration of climate targets in the environmental management system at the sites.
“We would like to applaud the winners of our Green Awards: Applied Materials, Sumco and iwis for stepping up and taking responsibility for environmental sustainability and performance,” said Angelique van der Burg, Chief Procurement Officer at Infineon and host of the day. “We believe that this performance will motivate our whole supplier base to raise the bar higher and follow their example. Now let’s make the best practice a standard practice.”
Original – Infineon Technologies
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Applied Materials, Inc. reported results for its second quarter ended Apr. 28, 2024.
Applied generated revenue of $6.65 billion. On a GAAP basis, the company reported gross margin of 47.4 percent, operating income of $1.91 billion or 28.8 percent of net revenue, and earnings per share (EPS) of $2.06. On a non-GAAP basis, the company reported gross margin of 47.5 percent, operating income of $1.93 billion or 29.0 percent of net revenue, and EPS of $2.09.
The company generated $1.39 billion in cash from operations and distributed $1.09 billion to shareholders including $820 million in share repurchases and $266 million in dividends.
“Applied Materials continues to deliver strong performance in 2024, with fiscal second quarter revenue and earnings towards the high end of our guided range,” said Gary Dickerson, President and CEO.
“Applied Materials has the most enabling portfolio of materials engineering technologies for chips that underpin tectonic shifts in technology including AI, IoT, electric vehicles and clean energy, which puts us in a great position to grow along with these long-term, secular trends.”
Original – Applied Materials
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Applied Materials, Inc. reported results for its first quarter ended Jan. 28, 2024.
- Revenue $6.71 billion, flat year over year
- GAAP operating margin 29.3 percent and non-GAAP operating margin 29.5 percent, up 0.1 points and flat year over year, respectively
- GAAP EPS $2.41 and non-GAAP EPS $2.13, up 19 percent and 5 percent year over year, respectively
- Generated $2.33 billion in cash from operations
Applied generated revenue of $6.71 billion. On a GAAP basis, the company reported gross margin of 47.8 percent, operating income of $1.97 billion or 29.3 percent of net revenue, and earnings per share (EPS) of $2.41. On a non-GAAP basis, the company reported gross margin of 47.9 percent, operating income of $1.98 billion or 29.5 percent of net revenue, and EPS of $2.13.
The recently disclosed change in useful lives of certain property, plant and equipment increased GAAP and non-GAAP EPS by $0.03. The company generated $2.33 billion in cash from operations and distributed $966 million to shareholders including $700 million in share repurchases and $266 million in dividends.
“Applied Materials delivered strong results in the first quarter of fiscal 2024 and has outperformed our markets for the fifth consecutive year,” said Gary Dickerson, President and CEO. “Our leadership positions at key semiconductor inflections support continued outperformance as customers ramp next-generation chip technologies critical to AI and IoT over the next several years.”
Original – Applied Materials
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MIT and Applied Materials, Inc. announced an agreement today that, together with a grant to MIT from the Northeast Microelectronics Coalition (NEMC) Hub, commits more than $40 million of estimated private and public investment to add advanced nano-fabrication equipment and capabilities to MIT.nano, the Institute’s center for nanoscale science and engineering.
The collaboration will create a unique open-access site in the United States that supports research and development at industry-compatible scale using the same equipment found in high-volume production fabs to accelerate advances in silicon and compound semiconductors, power electronics, optical computing, analog devices and other critical technologies.
The equipment and related funding and in-kind support provided by Applied Materials will significantly enhance MIT.nano’s existing capabilities to fabricate up to 200mm (8-inch) wafers, a size essential to industry prototyping and production of semiconductors used in a broad range of markets including consumer electronics, automotive, industrial automation, clean energy and more. Positioned to fill the gap between academic experimentation and commercialization, the equipment will help establish a bridge connecting early-stage innovation to industry pathways to the marketplace.
“A brilliant new concept for a chip won’t have impact in the world unless companies can make millions of copies of it. MIT.nano’s collaboration with Applied Materials will create a critical open-access capacity to help innovations travel from lab bench to industry foundries for manufacturing,” said Maria Zuber, MIT’s Vice President for Research and E. A. Griswold Professor of Geophysics. “I am grateful to Applied Materials for its investment in this vision. The impact of the new toolset will ripple across MIT and throughout Massachusetts, the region, and the nation.”
Applied Materials is the world’s largest supplier of equipment for manufacturing semiconductors, displays and other advanced electronics. The company will provide at MIT.nano several state-of-the-art process tools capable of supporting 150 and 200mm wafers and will enhance and upgrade an existing tool owned by MIT. In addition to assisting MIT.nano in the day-to-day operation and maintenance of the equipment, Applied engineers will develop new process capabilities which will benefit researchers and students from MIT and beyond.
“Chips are becoming increasingly complex, and there is tremendous need for continued advancements in 200mm devices, particularly compound semiconductors like silicon carbide and gallium nitride,” said Aninda Moitra, Corporate Vice President and General Manager of Applied Materials’ ICAPS Business. “Applied is excited to team with MIT.nano to create a unique, open-access site in the U.S. where the chip ecosystem can collaborate to accelerate innovation. Our engagement with MIT expands Applied’s university innovation network and furthers our efforts to reduce the time and cost of commercializing new technologies while strengthening the pipeline of future semiconductor industry talent.”
The Northeast Microelectronics Coalition (NEMC) Hub, managed by the Massachusetts Technology Collaborative (MassTech), will allocate $7.7 million to enable the installation of the tools. The NEMC is the regional “hub” that connects and amplifies the capabilities of diverse organizations from across New England plus New Jersey and New York. The U.S. Department of Defense (DoD) selected the NEMC Hub as one of eight Microelectronics Commons Hubs and awarded funding from the CHIPS and Science Act to accelerate the transition of critical microelectronics technologies from lab-to-fab, spur new jobs, expand workforce training opportunities and invest in the region’s advanced manufacturing and technology sectors.
The Microelectronics Commons program is managed at the federal level by the Office of the Under Secretary of Defense for Research and Engineering (OUSD(R&E)) and the Naval Surface Warfare Center, Crane Division, and facilitated through the National Security Technology Accelerator (NSTXL), which organizes the execution of the eight regional hubs located across the country. The announcement of the public sector support for the project was made at an event attended by leaders from the DoD and NSTXL during a site visit to meet with NEMC Hub members.
“The installation and operation of these tools at MIT.nano will have a direct impact on the members of the NEMC Hub, the Massachusetts and Northeast regional economy, and national security. This is what the CHIPS and Science Act is all about,” said Ben Linville-Engler, Deputy Director at the MassTech Collaborative and the interim director of the NEMC Hub. “This is an essential investment by the NEMC Hub to meet the mission of the Microelectronics Commons.”
MIT.nano is a 200,000 square-foot facility located in the heart of the MIT campus with pristine, class-100 cleanrooms capable of accepting these advanced tools. Its open-access model means that MIT.nano’s toolsets and laboratories are available not only to the campus but also to early-stage R&D by researchers from other academic institutions, non-profit organizations, government and companies ranging from Fortune 500 multinationals to local startups. Vladimir Bulović, faculty director of MIT.nano, said he expects the new equipment to come online in early 2025.
“With vital funding for installation from NEMC and after a thorough and productive planning process with Applied Materials, MIT.nano is ready to install this toolset and integrate it into our expansive capabilities that serve over 1,100 researchers from academia, startups, and established companies,” said Bulović, who is also the Fariborz Maseeh Professor of Emerging Technologies in MIT’s Department of Electrical Engineering and Computer Science (EECS). “We’re eager to add these powerful new capabilities and excited for the new ideas, collaborations, and innovations that will follow.”
As part of its arrangement with MIT.nano, Applied Materials will join the MIT.nano Consortium, an industry program comprising 12 companies from different industries around the world. With the contributions of the company’s technical staff, Applied Materials will also have the opportunity to engage with MIT’s intellectual centers, including continued membership with the Microsystems Technology Laboratories (MTL).
Original – Applied Materials
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Applied Materials, Inc. and CEA-Leti announced an expansion of their longstanding collaboration to focus on developing differentiated materials engineering solutions for several specialty semiconductor applications.
The joint lab, which represents CEA-Leti’s highest level of collaboration, aims to accelerate device innovations for Applied’s customers serving ICAPS markets (IoT, Communications, Automotive, Power and Sensors). Technology applications in those fields include photonics, image sensors, RF communications components, power devices and heterogeneous integration.
Demand for ICAPS applications and devices is being driven by industrial automation, the Internet of Things (IoT), electric vehicles, green energy and smart grid infrastructure, among other major high-growth markets. Projects at the joint lab will focus on developing solutions for a variety of materials engineering challenges to enable the next wave of ICAPS device innovation. The joint lab features several of Applied Materials’ 200mm and 300mm wafer processing systems and leverages CEA-Leti’s world-class capabilities for evaluating performance of new materials and device validation. Improvements in power consumption, performance and area/cost, along with faster time to market (PPACt™), will be key objectives of the joint team.
“CEA-Leti and Applied Materials aim to accelerate innovation and advance the roadmaps of a wide range of specialty semiconductor technologies,” said Aninda Moitra, corporate vice president and general manager of Applied Materials’ ICAPS business. “Our work at the joint lab builds upon more than a decade of successful collaboration and further strengthens our combined ability to enable faster time to innovation for ICAPS chipmakers.”
“For the past 10 years, Applied Materials and CEA-Leti have collaborated through multiple, specific joint development programs, which have set the stage for establishing our new joint lab,” said Sébastian Dauvé, the institute’s CEO. “Past projects included work in domains such as advanced metrology, materials for memory applications and optical devices, bonding techniques, materials deposition and film growth (PVD, CVD, ECD, Epitaxy) and chemical-mechanical planarization (CMP). Our results brought high value to both partners and to customers around the world, and we look forward to expanding our engagement with this new lab.”
“The joint lab, which is based at CEA-Leti, will host Applied Materials scientists and involve some of its latest-generation equipment,” Dauvé said. “In addition to developing differentiated technological solutions for Applied’s customers, the work performed at the joint lab will help overcome current technical hurdles in support of CEA-Leti’s internal R&D programs.”
Original – Applied Materials
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Applied Materials, Inc. reported results for its fourth quarter and fiscal year ended Oct. 29, 2023.
Fourth Quarter Results
Applied generated revenue of $6.72 billion. On a GAAP basis, the company reported gross margin of 47.1 percent, operating income of $1.97 billion or 29.3 percent of net sales, and record earnings per share (EPS) of $2.38.
On a non-GAAP adjusted basis, the company reported gross margin of 47.3 percent, operating income of $1.98 billion or 29.5 percent of net sales, and record EPS of $2.12.
The company generated $1.56 billion in cash from operations and distributed $968 million to shareholders including $700 million in share repurchases and $268 million in dividends.
Full Year Results
In fiscal 2023, Applied generated record revenue of $26.52 billion. On a GAAP basis, the company recorded gross margin of 46.7 percent, operating income of $7.65 billion or 28.9 percent of net sales, and record EPS of $8.11.
On a non-GAAP adjusted basis, the company reported gross margin of 46.8 percent, operating income of $7.72 billion or 29.1 percent of net sales, and record EPS of $8.05.
The company generated a record $8.70 billion in cash from operations and distributed $3.16 billion to shareholders including $2.19 billion in share repurchases and $975 million in dividends.
“Applied Materials delivered record revenue, earnings and cash flow in fiscal 2023 and is outgrowing the wafer fabrication equipment market for the fifth year in a row,” said Gary Dickerson, President and CEO. “Applied’s broad product portfolio, strong customer relationships and leadership at major technology inflections put us in a great position to profitably grow the company as powerful trends fuel the semiconductor industry’s expansion in the years ahead.”
Original – Applied Materials
