2005 ANNUAL REPORT 2005 ANNUAL REPORT

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Heather Booker
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1 Enabling Semiconductor Productivity 2005 ANNUAL REPORT 2005 ANNUAL REPORT

2 INCREASING NEED FOR PROCESS CONTROL Growing demand for content-intensive personal technologies from GPS devices to MP3 players is opening new markets for the semiconductor industry while also driving the increased need for greater process control and more flexible metrology systems. Semiconductor manufacturers require tools that can maximize throughput and productivity, challenges that can be met with Nanometrics Integrated Metrology equipment. At the same time, they want to develop new process recipes by managing a wealth of measurement data, a capability inherent in Nanometrics standalone systems. A modular systems approach, enabled by Nanometrics FLX Flexible Metrology platform, answers both of these needs and gives customers the ultimate versatility to configure the specifics of the system they select. As semiconductor demand increases, there is also the challenge of quickly ramping up production of devices with integrated circuit (IC) design sizes that are shrinking to 65nm, 45nm and beyond on 300mm wafers that accommodate more ICs than ever before. As a result, the ability to measure and tune the efficiency of exact wafer fabrication steps becomes more critical. This is reflected in capital spending trends that show while the overall equipment market was relatively flat from 2000 to 2005, expenditures for process control grew dramatically. METROLOGY IS KEY TO ENSURING PROCESS CONTROL Nanometrics knows that metrology is the key to ensuring process control for optimal semiconductor manufacturing. A crucial role for metrology is accelerating the production ramp during the early stages of an IC product s life, when the average selling price is at its peak. Therefore, profitability in the semiconductor industry depends largely on the ability to reduce the time needed to maximize yield. Nanometrics focus As part of our more than 30-year history in the semiconductor industry, Nanometrics is focused on semiconductor metrology and is the only company providing customers with both integrated and standalone systems. Our NanoNet software connects these integrated and standalone systems to deliver key capabilities including data transfer, recipe management and film analysis. Nanometrics FLX A configurable, cost-efficient, high-throughput 300mm metrology platform with a unique hot swap capability to support high-productivity integrated metrology

3 Integrated Metrology Integrated Metrology is a central element and true enabler in closed-loop process control. Nanometrics is the industry leader in this in-line approach, which allows for real-time measurement and close monitoring of a wafer s parameters. This unique method eliminates the need to move wafers off the fab s manufacturing line to a standalone tool, increasing throughput, lowering footprint costs and reducing wafer transport time. This leads to enhanced yield and, ultimately, greater profitability. Integrated Metrology applies to processing equipment for With integrated metrology dielectric, metal, etch, CVD and lithography including photoresist coating and development. Integrated Metrology INTERBAY TRANSPORT STOCKER STOCKER STOCKER can be incorporated inside an OEM system or as a BOLTS (Box Opener/Loader to Tool Standard) interface attached to a port on the OEM tool. Extending our line of superior Integrated Metrology tools, ideal for exceptional process control, are the NanoOCD /DUV 9010b Integrated Metrology Optical CD and Film Analysis System BAY 1 BAY 2 BAY 3 and the 9010T. The 9010b combines two measurement Without integrated metrology technologies ultraviolet (UV) optical critical dimension (OCD) spectroscopic ellipsometry and deep UV spectroscopic reflectometry for thin film and film stack thickness measurements INTERBAY TRANSPORT on pads and oxide, nitride and trench profile dimensions. The STOCKER STOCKER STOCKER 9010T extends the wavelength range deeper into the UV range, enabling process control metrology for more advanced thin film and critical dimension applications. Standalone Metrology STANDALONE STANDALONE STANDALONE The key merits of standalone metrology in regard to closed- BAY 1 BAY 2 BAY 3 loop process control are its off-line recipe development, management and networking capabilities. Standalone metrology also provides photomask/reticle characterization, photolithography, etch, CVD and competencies in one tool. To reach higher levels of productivity through standalone metrology, we developed the Nanometrics FLX, an adaptable, cost-efficient, high-throughput 300mm metrology platform that can be configured to a customer s unique requirements. Proving its flexibility, this one-of-a-kind modular system supports up to four Integrated Metrology modules simultaneously and enables process development for multiple applications. This greatly increases throughput in a cost-effective manner. The system s unique hot swap capability ensures continual uptime.

The Nanometrics Atlas Advanced Metrology and Atlas-M Advanced Mask Metrology Systems also address key customer requirements as the industry migrates to smaller technology nodes.

4 The Nanometrics Atlas Advanced Metrology and Atlas-M Advanced Mask Metrology Systems also address key customer requirements as the industry migrates to smaller technology nodes. The Atlas is an advanced standalone platform for 200mm and 300mm OCD, overlay and film analysis metrology, ensuring supreme accuracy in measuring film thickness, pattern registration, critical dimensions and stress. The Atlas-M combines multiple metrology technologies for characterizing masks and reticles for linewidth, etch depth and profile measurements. Analysis and Recipe Development/ Management Software Sharing recipes and exchanging information among integrated and standalone tools through our NanoNet analysis software permits chip manufacturers to make quicker adjustments to their process tools. This method captures problems early on and allows for real-time corrections that boost productivity and increase profitability opportunities. Unlocking Potential Nanometrics continues to respond to the industry s needs by providing metrology solutions that deliver the immediate feedback needed for process control. The versatile approach embodied in our FLX modular system addresses the market s requirements and gives customers configuration flexibility. Similarly, our individual metrology tools, process control technology and analysis software distinguishes our company from all others. The combination of all of these efficiency factors releases the lock on productivity and opens the door to profitability. NanoOCD/DUV 9010b The first integrated 300mm tool combining two measurement technologies OCD spectroscopic ellipsometry and DUV spectroscopic reflectometry Nanometrics Atlas-M A high-performance mask metrology system, combining multiple metrology technologies for complete characterization of both masks and reticles

5 Nanometrics Incorporated 1550 Buckeye Drive Milpitas, California USA TEL: FAX: Nanometrics China 5F-1, No. 28 Xin Jin Qiao Road Pudong, Shanghai China TEL: FAX: Nanometrics Japan [Region Headquarters] 1F, Nishi-Gotanda Shinagawa-ku, Tokyo Japan TEL: (Main) TEL: (Sales) FAX: F Builco, Nakatsu Kita-ku, Osaka City Japan TEL: FAX: Nanometrics Korea 837 Hansan-ri Chungbuk-myun Pyungtaek City Kyunggi-do Korea TEL: FAX: Nanometrics Taiwan 11F-2 No. 192 Min-Sheng Road Hsinchu Taiwan TEL: FAX: No. 155, Chong-Shiaw Street Hsinshyh, Tainan Taiwan TEL: FAX:

ise J. A. Woollam Ellipsometry Solutions

ise J. A. Woollam Ellipsometry Solutions Capabilities The ise is a new in-situ spectroscopic ellipsometer developed for real-time monitoring of thin film processing. Using our proven technology, the ise