Think Veranstaltung PG Tägerwilen & Gottlieben

Think Veranstaltung PG Tägerwilen & Gottlieben 22. Januar, 2014 Tec-Sem Group AG Lohstampfstr. 11 CH-8274 Tägerwilen Phone +41 71 666 72 10 info@tec-semgroup.com

Tec-Sem in biz. Tec-Sem 33 Years Picture: Tec-Sem property 2010-03-15 / Page 2

History 1981 1988 Gründung der Tec-Sem durch Jakob Blattner in Ermatingen, als Engineering Office Gründung der Tec-Sem AG in Ermatingen 1995 Umzug nach Tägerwilen HTC 1 2007 2008 2010 2013 Formation of Tec-Sem Group AG as a holding company Creation of Tec-Sem sales & service subsidiaries in USA, Taiwan & Singapore Foundation of Tec-Sem Korea Inc. Foundation of Taiwan legal entity, Tec-Sem Taiwan Ltd. 2010-03-15 / Page

Global Footprint Legal entities Tec-Sem Service hub Agent 2010-03-15 / Page

Transistor / Chip? Ein Transistor ist ein elektronisches Bauelement zum Schalten und Verstärken von elektrischen Signalen, ohne dabei mechanische Bewegungen auszuführen. Der Begriff Transistor ist eine Kurzform des englischen transfer resistor. Heute sind Millionen von Schaltungen auf einem Chip mit Strukturen kleiner 22nm. Vergleich Dicke Menschen Haar 50um -100um Erster Transistor 1925, Bild oben erster Intergierte Schaltung (IC) von Kilby 1958 Texas Instruments, 1 Schaltung. 1mm = 1000um =1 000 000nm 2010-03-15 / Page

1980 2013 2010-03-15 / Page Page 6

Wafer processing Logic chip für Smartphone über 800 process Schritte 2010-03-15 / Page

IC s im iphone 2010-03-15 / Page Page 8

Why I love our industry 2010-03-15 / Page 9

Why I love our industry 2010-03-15 / Page 10

No innovation w/o integrated circuits 2010-03-15 / Page 11

What drives our market 2 samples The internet of things will drive the next semiconductor growth wave Source: NXP Hans Rijns NXP 2010-03-15 / Page 12

Urbanization will drive M2M In 2007 about 50% of our world population lived in Urban environments By 2050 this is expected to be around 70-80% This drives the need for innovation in Smart Mobility and Smart Energy Source: NXP Hans Rijns NXP 2010-03-15 / Page 13

Sample1: Mobility Source: NXP Hans Rijns NXP 2010-03-15 / Page 14

Sample2: 2mart energy, home & building automation Source: NXP Hans Rijns NXP 2010-03-15 / Page 15

Semiconductor plays key role in energy supply chain Source: Infineon 2010-03-15 / Page 16

Der Gesamtmarkt 2010-03-15 / Page 17

Marktzyklen Growth [%] 80% 70% 60% 50% 40% 30% 20% 10% 0% -10% -20% -30% -40% -50% WW-GDP Electronics Semiconductor Semiconductor Equipment WW-GDP vs Electornics vs Semiconductors vs Semi-Equipment Marktwachstum ~15% p.a. 120% 70% 20 2% % 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Schlanke Organisation Kosten- & Cash Management Flexible Supply Chain Halbleiter- Eq.Markt Halbleitermarkt Elektronik BSP 2010-03-15 / Page 18

Revenue & profit targets 35'000'000 Revenue development 30'000'000 25'000'000 20'000'000 15'000'000 10'000'000 5'000'000 0 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 F 2010-03-15 / Page 19

Forecast 2014 REVENUE 2014 BY PRODUCT S 8% P 22% REVENUE 2014 BY TERRITORY Korea 6% CN 4% USA 36% TW 29% R 70% EUR 15% SG 10% 2010-03-15 / Page 20

CAPX by region vs TSAG revenue forecast Revenue 2014 by territory TW 29% Korea 6% CN 4% USA 36% 80000 70000 60000 50000 40000 30000 20000 10000 Rest of the World Taiwan Korea Europe Japan North America Capital Expenditures by Region ($M) EUR 15% SG 10% 0 2007 2008 2009 2010 2011 2012 2013 2014 2010-03-15 / Page 21

IC Equipment revenues 70,000.0 IC MANUFACTURING EQUIPMENT MARKET HISTORY & FORECAST sales in $M per year and by main categories 60,000.0 50,000.0 40,000.0 30,000.0 20,000.0 SERVICE & SUPPORT TOTAL IC ASSEMBLY EQUIPMENT TOTAL IC TEST and RELATED SYSTEMS TOTAL IC FABRICATION EQUIPMENT TOTAL IC AND RELATED EQUIPTMENT 10,000.0,0.0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Data VLSI 06/12/ Chart Tec-Sem 2010-03-15 / Page 22

Segmentation Front-End revenues 70000.0 60000.0 50000.0 40000.0 30000.0 20000.0 10000.0 0.0 TOTAL IC FABRICATION EQUIPMENT MARKET HISTORY & FORECAST sales in $M per year 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Other Equipment Process Diagnostic Equipment Etching & Cleaning Tools Deposition & Related Tools Ion Implanters CMP Equipment Microlithography & Mask Making Equipment TOTAL IC AND RELATED EQUIPTMENT Source: Data VLSI 06/12/ Chart Tec-Sem 2010-03-15 / Page 23

References 24 2010-03-15 / Page

Market update (source IC Insights Feb.25th 2013) Top 5 spenders in 2013: Samsung Intel TSMC Globalfoundries SK Hynix Tec-Sem in Tec-Sem not YET in 2010-03-15 / Page 25

Just a few firms can afford to invest in advanced nodes 2010-03-15 / Page 26

Who has the capital to invest? 2010-03-15 / Page 27

FAB Automation Tec-Sem s Focal Point SEMICONDUCTOR MANUFACTURING IC s (Integrated Circuits) are produced in so called FAB s - fabrication automation environments. Silicon wafers form the basis in IC production and are manufactured in batch- or single-wafer processes. Wafer production involves several hundred process steps and various process equipment. Wafers are transported in wafer cassettes (FOUP s Front Opening Unified Pod). To reproduce structures on the wafers the design patterns are applied to the wafer by photolithography using photo masks or reticles. FAB AUTOMATION EQUIPMENT TEC-SEM FOCUS Reticles and wafers require adequate storage, management and transportation between the process steps. The automatic loading of single wafers or FOUP s into the process tools requires specific systems (EFEM Equipment Front End Module). Automated storage, identification, sorting, retrieving and transportation of wafers and reticles are the main tasks in fab automation. Wafer Reticle / Photomask FOUP 2010-03-15 / Page 28

Unique Technical Know-How INTERDISCIPLINARY EXPERTISE Extensive application know-how in handling, storage and identification of wafers and reticles. Clean-room design expertise (vacuum, purge technologies etc.). Thorough understanding of semiconductor fab automation requirements including IT integration and interfaces with process tools. State-of-the-art mechanical and software design. IP PORTFOLIO Tec-Sem holds over 50 patens or patent applications. TEC-CELL TECHNOLOGY High-precision, minimal-size, and clean storage cell for wafers or reticles. Defined environment with inert gas with special sealing to protect the increasingly sensitive substrates (line-width reduction). Enables high-speed wafer/reticle access and identification. Tec-Cell for Reticles Tec-Cell for Wafers 2010-03-15 / Page 29

Latest tool for T-Company Fab interface: HMI & maintenance access Foup stocker interface: 3 rotary laod-ports with E84 interface 2010-03-15 / Page

R&D Roadmap RX-Aquila Particle detection system Tec-Cell New Tec-Cell module & devices Flow Analysis new TCM 2010-03-15 / Page

Comparison - Concept CURRENT SYSTEM AQUILA Camera Scattered light Lightening Missing Area Reticle Detected Defect Light Scattering Method: Image depends on surface and structure No real image Bright field method with HiRes CCD camera: Image shows real defect outline 2010-03-15 / Page

Comparison Test Pellicle Holes CURRENT SYSTEM AQUILA Rough shape of big holes are visible Edges and real size of big holes Holes < 150um are still detectable 2010-03-15 / Page

Air-flow analysis Tec-Cell flow 2010-03-15 / Page 34

Reticle Management Solutions (Inspection) RXi-B (Basic) RXi-E (Extented) RXi-S (Storage) Tec-Cell Inside Basic reticle inspection system Built since 2010 Reticle qualification system Built since 2010 Reticle inspection & storage system Built since 2011 Stores up to 1600 reticles 2010-03-15 / Page

Reticle Management Solutions (Storage) RS 1100-1400 RX RS 1900-2300 Tec-Cell Inside Tec-Cell Inside Bare reticle stocker Build since 1994 Max. 1400 reticles Not a bare stocker Built since 2008 Max. 2300 reticles Not a bare stocker Built since 2010 Max. 2300 reticles 2010-03-15 / Page

Q&A Thanks for your attention 2010-03-15 / Page 37