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Posted: November 22, 2008

Renesas Semiconductor Europe Fab Transfers to Silicon Foundry Holding

(Nanowerk News) Renesas Technology Corp., one of the world's leading semiconductor solution providers, has transferred all shares of the former Renesas Semiconductor Europe (Landshut) GmbH (RSEL), to Silicon Foundry Holding GmbH (SFH). As of today, the former RSEL facilities in Landshut are owned by SFH, a Germany-based company specializing in semiconductor pure-play foundry services.
The factory, which started wafer production in 1992, is currently producing secure microcontroller wafers for smart card applications on 0.35 [mu]m, 0.18 µm and recently 0.15µm process technologies. Over a number of years, there has been significant investment to expand the factory and convert it with new process technologies. Changes in the global semiconductor market are driving demand for products with smaller geometries produced on larger diameter wafers. To remain competitive, Renesas has therefore decided to concentrate its wafer fabrication investments in its bigger production facilities located in Japan, avoiding the larger capital investment required to increase flexibility of the facility to support advanced processes and rapidly changing market needs.
Renesas completed a thorough evaluation of all possible options for the future of the Landshut facility as a part of its global strategy, seeking to optimize and utilize its production resources worldwide. During this process, SFH made an alternative business proposal to transform the Landshut facility to an advanced analog pure-play foundry, which Renesas accepted. After the transfer of the fab, Renesas will outsource its products to SFH until December 2009. Furthermore, with 11 sales sites and 4 design sites in Europe mainly concentrated in the UK and Germany, Renesas remains committed to the European market. Renesas Technology Europe will enhance its Munich site by moving Renesas' European Quality Assurance Centre (EQAC) from Landshut to Munich, to provide high-quality semiconductor products with sufficient technical support.
Managed by two former RSEL managers, SFH will act as a local pure- play foundry, specializing in analog and mixed signal wafer production, providing a flexible approach to customer requirements. Based in Europe, SFH is in a good position to support a broad portfolio of customers there, including those seeking high flexibility and technology customization even in low volumes. In this market, which does not conflict with Renesas, there is considerable demand for analog products available at the Landshut site. SFH can immediately start production without modifications to the facility, rapidly addressing an existing market demand.
About Renesas Technology Corp.
Renesas Technology Corp. is one of the world's leading semiconductor system solutions providers for mobile, automotive and PC/AV (Audio Visual) markets and the world's No.1 supplier of microcontrollers. It is also a leading provider of LCD Driver ICs, Smart Card microcontrollers, RF-ICs, High Power Amplifiers, Mixed Signal ICs, System-on-Chip (SoC), System-in-Package (SiP) and more. Established in 2003 as a joint venture between Hitachi, Ltd. and Mitsubishi Electric Corporation, Renesas Technology achieved consolidated revenue of 951 billion JPY in FY2007 (end of March 2008). Renesas Technology is based in Tokyo, Japan and has a global network of manufacturing, design and sales operations in 17 countries with 26,800 employees worldwide. For further information, please visit http:// www.renesas.com/.
About Silicon Foundry Holding
Silicon Foundry Holding (SFH) was founded by Gerhard Spitzslperger and Michael Lehnert together with Hans-Martin Dudenhausen for the acquisition of the former RSEL facility. The new Landshut foundry, presently named as "Landshut Silicon Foundry GmbH" (L Foundry), acts as an European pure-play foundry specializing in analog mixed signal production. Based in Germany, SFH is in a good position to support a broad portfolio of customers, including those seeking high flexibility and technology customization. http:// www.lfoundry.com/
Source: Renesas (press release)
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