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Novellus SPEED NExT(TM) With SPM Drives New Levels of High-Aspect-Ratio Gap Fill Performance and Cost-Efficiency

  Innovative Sequential Profile Modulation Process Technology Enables 65 nm
    High-volume Manufacturing with up to 30 Percent Reductions in Capital
                       Investment and Cost of Ownership

    SAN JOSE, Calif., July 11 /PRNewswire-FirstCall/ -- Novellus Systems, Inc.
(Nasdaq: NVLS), the productivity and technology leader in advanced deposition,
surface preparation and chemical-mechanical planarization processes for the
global semiconductor industry, today unveiled an innovative high-density
plasma (HDP) gap fill process for its SPEED(R) NExT(TM) 300-mm chemical vapor
deposition (CVD) system.  Novellus' new Sequential Profile Modulation (SPM)
process technology provides a robust gap fill solution for high-aspect-ratio
features in 65-nm devices, delivering superior productivity and cost
advantages at volume-production levels.  In addition, SPEED NExT with SPM
process technology is fully scalable to accommodate technology shrinks and
device design changes without the need for extensive process re-optimization,
further enhancing overall return on investment.
    Ever-shrinking device geometries and increasingly stringent gap fill and
film-quality requirements have rendered traditional HDP CVD technology unable
to meet customer demand for efficient performance at lower cost, particularly
at the emerging 65-nm high-volume manufacturing node.  The new SPM process
technology for SPEED NExT remedies this situation by employing short, in-situ
plasma treatment steps to enable front-end-of-line and back-end-of-line high-
aspect-ratio gap fill applications-shallow-trench isolation (STI), inter-
layer, inter-metal and pre-metal dielectrics and passivation.  By
incorporating this process into its proven SPEED NExT platform, Novellus
enables customers to realize significantly reduced capital investment and cost
of ownership of up to 30 percent, as well as fab floor space savings of as
much as 40 percent, since the higher throughput allows customers to buy fewer
tools for a given capacity need.
    "We developed our SPM process technology to reduce complexity and provide
extendibility," said Dr. Mike Barnes, vice president and general manager of
the GapFill business unit at Novellus.  "Our customers need a high-uptime
platform and a cost-effective HDP CVD gapfill solution for their 65-nm high-
volume manufacturing requirements that is easily extendible to future process
generations.  By simply implementing the SPM process technology to SPEED NExT,
our customers can quickly ramp up the advanced gapfill capability with no loss
of productivity, while yielding significant cost savings."
   Novellus introduced SPEED NExT, the next-generation product in its SPEED
family of HDP CVD products last July 2004.  Since then, the company has
shipped numerous modules and upgrades of SPEED NExT to key customers
worldwide, including more than 60 shipped in the last three quarters.  Recent
shipments of SPEED NExT have incorporated the SPM process technology
capability.  Customer response has been extremely positive, confirming the
capabilities and benefits of the SPM process technology, which is being
implemented worldwide into customer manufacturing lines.  SPM process
technology can be implemented in previously installed SPEED HDP CVD systems.
    To learn more about SPEED NExT with SPM process technology, visit Novellus
at SEMICON West 2005 (July 12-14) at the Yerba Buena Center for the Performing
Arts in San Francisco.

    "Safe Harbor" Statement Under the Private Securities Litigation Reform Act
of 1995:
    Statements included or incorporated by reference in this press release
that are not purely historical are forward-looking statements within the
meaning of federal securities laws, including statements regarding the ability
and benefits of the SPM technology for its SPEED NExT system to provide gap
fill solutions in 65-nm device and deliver productivity and cost advantages to
customers.  Forward-looking statements involve risks and uncertainties,
including, but not limited to technical and operational difficulties, which
preclude the SPM technology and SPEED NExT system from performing as expected,
as well as other risks indicated in our filings with the Securities and
Exchange Commission (SEC).  Actual results could differ materially.  We do not
assume, and expressly disclaim, any obligation to update this information.
For more details, please refer to our SEC filings, including our Annual Report
on Form 10-K for the year ended December 31, 2004, our Quarterly Report on
Form 10-Q for the quarter ended April 2, 2005, and our Current Reports on Form
8-K filed or furnished April 7, 2005, April 18, 2005, April 29, 2005, and May
5, 2005.

    About Novellus:
    Novellus Systems, Inc., an S&P 500 company, manufactures, markets and
services advanced deposition, surface preparation and chemical mechanical
planarization equipment for today's advanced integrated circuits.  Our
products are designed for high-volume production of advanced, leading-edge
semiconductor devices at the lowest possible cost.  Headquartered in San Jose,
Calif., with subsidiaries throughout the United States, as well as in the
United Kingdom, France, Germany, the Netherlands, Ireland, Italy, Israel,
India, China, Japan, Korea, Malaysia, Singapore and Taiwan, we are a publicly
traded company on the Nasdaq stock exchange and a component of the Nasdaq-100
Index(R).  Additional information about Novellus is available on our home page
at http://www.novellus.com.

    SPEED is a registered trademark and NExT is a trademark of Novellus
Systems, Inc.


SOURCE Novellus Systems, Inc.




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  • http://www.novellus.com
    CONTACT:
    Pushpita Prasad of Novellus Systems, Inc.,
    +1-408-943-9700 or pushpita.prasad@novellus.com