| KLA-Tencor Acquires Fab Solutions, A Developer Of Advanced Process Control Software |
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San Jose, CA, March 23, 2000 - KLA-Tencor Corp. (Nasdaq: KLAC) today announced it has acquired Fab Solutions, a division of ObjectSpace, Austin, Texas, and a leading provider of advanced process control (APC) software solutions for semiconductor manufacturing. The acquisition will further enhance KLA-Tencor's PMC-Net? yield information management network, enabling yield and process engineers to respond to the major yield-impacting parametric data in a fab in near-real time. Utilizing PMC-Net, chipmakers can more accurately determine the process parameters that need to be controlled-and more quickly make the necessary parametric adjustments-in order to maximize device performance. "Since we first began developing PMC-Net, we envisioned an integral software component that would help maintain process tool parameters near their optimal settings and avoid misprocessing," stated Gary Dickerson, chief operating officer for KLA-Tencor. "The acquisition of ObjectSpace's Fab Solutions Division, with its industry-leading Catalyst software and integration expertise, allows us to accelerate the implementation of this powerful new capability with our metrology tools. As a result, we will be able to deliver APC to our customers more quickly and cost-effectively than would have been achieved if we had internally developed this technology." The increasing value of semiconductor wafers makes it critical for chipmakers to ensure that manufacturing operations stay within tight process windows. APC is rapidly gaining acceptance by the semiconductor industry as an essential manufacturing technology that allows engineers to minimize process drift and variation, driving up productivity. "APC has become a critical enabling capability for the high volume manufacturing of our leading-edge fab process technologies," stated Gary Heerssen, AMD's group vice president of Wafer Fab Operations. "The union of ObjectSpace's Fab Solutions Division and KLA-Tencor will provide a strong foundation for driving industry standards for APC while simultaneously allowing AMD to continue to capitalize on the proven linkage of measurement and control technologies to enhance fab performance." Catalyst minimizes the risks associated with integrating APC into existing manufacturing systems. It provides a scalable open architecture supporting fab-wide run-to-run process control and fault detection. This allows engineers to efficiently deploy both feed-forward and feedback process control into key process areas, including photo, etch, CMP and deposition, with a single integrated software solution. Using model-based control, Catalyst can automatically make recipe adjustments to compensate for process drift, tighten key process parameters and provide faster response decisions when process excursions occur. "By combining our Catalyst software with KLA-Tencor's PMC-Net yield information management network, customers will be able to more easily and accurately identify the key process tool parameters that need to be controlled to keep manufacturing operations within the desired process window," said Alan Weber, vice president of Fab Solutions. "As a result, they will be able to significantly cut wafer loss, thereby reducing manufacturing costs and increasing yields." When integrated into PMC-Net-a critical component of KLA-Tencor's process module control (PMC?) solution-Catalyst enables the correlation of real-time, in-situ data from a given process tool with in-line defect, metrology, work in progress (WIP) and end-of-line wafer sort data already obtained by PMC-Net. As a result, virtually every major manufacturing data source in a fab can be correlated into actionable data-vastly improving the identification of the key process parameters that adversely affect yield, or which can be tuned to increase device value. Catalyst then allows chipmakers to build control models for those parameters, which automatically make adjustments to the process tool recipe based on subsequent metrology measurements. These capabilities help to tighten process windows, improve overall equipment effectiveness and accelerate technology transfer and ramp. "Fab Solutions is the third software technology acquisition that we've made in the last several months. It reflects our dedication to providing new software-based leading-edge yield management technology to our customers as expeditiously as possible. Our corporate strategy is to accomplish that goal through a focused combination of internal product developments and external partnerships and acquisitions," stated Dickerson. About KLA-Tencor: KLA-Tencor is the world leader in yield management and process control solutions for semiconductor manufacturing and related industries. Headquartered in San Jose, Calif., the company has sales and service offices around the world. An S&P 500 company, KLA-Tencor is traded on the Nasdaq National Market under the symbol KLAC.
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