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Japanese Semiconductor Industry Service Japanese Semiconductor Industry Service Volume II Technology & Government Dataquest nn a company of The Dun & Bradstreet Corporation 1290 Ridder Park Drive San Jose, California 95131-2398 (408) 437-8000 Telex: 171973 Fax: (408) 437-0292 Sales/Service offices: UNITED KINGDOM GERMANY Dataquest UK Limited Dataquest GmbH 13th Floor, Centrepoint Rosenkavalierplatz 17 103 New Oxford Street D-8000 Munich 81 London WCIA IDD West Germany England (089)91 10 64 01-379-6257 Telex: 5218070 Telex: 266195 Fax: (089)91 21 89 Fax: 01-240-3653 FRANCE JAPAN Dataquest SARL Dataquest Japan, Ltd. 100, avenue Charles de Gaulle Taiyo Ginza Building/2nd Floor 92200 Neuilly-sur-Seine 7-14-16 Ginza, Chuo-ku France Tokyo 104 Japan (01)4738.13.12 (03)546-3191 Telex: 611982 Telex: 32768 Fax: (01)4738.11.23 Fax: (03)546-3198 The content of this report represents our interpretation and analysis of information generally available to the public or released by responsible individuals in the subject com­ panies, but is not guaranteed as to accuracy or completeness. It does not contain material provided to us in confidence by our clients. This information is not furnished in connection with a sale or offer to sell securities, or in connection with the solicitation of an offer to buy securities. This firm and its par­ ent and/or their officers, stockholders, or members of their families may, from time to time, have a long or short position in the securities mentioned and may sell or buy such securities. Printed in the United States of America. All rights reserved. No part of this publica­ tion may be reproduced, stored in retrieval systems, or transmitted, in wny form or by any means—mechanical, electronic, photocopying, duplicating, microfilming, videotape, or otherwise—without the prior written permission of the publisher. © 1988 Dataquest Incorporated Introduction to the Service The Japanese Semiconductor Industry Service (JSIS) docximents, analyzes, and interprets all important aspects of the Japanese semiconductor industry and the Japanese manufacturers that participate in the world markets. The service comprises; • Three loose-leaf data base binders containing sections that are continuously revised and updated as developments occur or additional information becomes available • Timely newsletters reporting on significant industry developments—additional binders are provided for these newsletters • I.e. ASIA> a semimonthly report on the Japanese and Asian integrated circuit industry, and I.C. USA, a semimonthly report on the U.S. integrated circuit industry, focusing on start-ups, strategic alliances, and government activity • Direct access to research staff in Tokyo and San Jose for background information and questions pertaining to information contained in each volume The service analyzes, interprets, and reports on the products, markets, and strategies of the major Japanese companies in the semiconductor industry, with a specific focus on the Japanese market. This service also presents valuable information on Japanese government, economy, and industrial policy, and will provide periodic pertinent updates to these subjects. JSIS provides data with which to make strategic decisions. We perform the following functions: • Track Japanese semiconductor production, inventory, shipments, exports, imports, and consumption for the major products • Forecast 10-year consumption figures for all semiconductor categories • Examine and analyze the consumer and industrial electronics end-user markets • Analyze trends in CAD tools and plant automation • Analyze trends in strategic alliances JSIS Volume II O 1987 Dataquest Incorporated April Introduction to the Service Monitor Japanese R&D projects and corporate spending for the following areas: Semiconductors Computers Telecommunications Issue periodic reports on trends in patent applications and technical papers Analyze semiconductor technology trends on a quarterly basis Evaluate plant capacity expansion and design center activity Profile the major Japanese semiconductor companies, emphasizing their products and strategies Analyze the forces affecting the Japanese semiconductor markets Investigate the fundamental operation of Japanese industries Dataquest monitors the Japanese Semiconductor Industry using the system shown in Figure 1. Generally, we observe that RStD projects precede new products by four to eight years; technical papers and patents precede new products by three to four years. e 1987 Dataquest Incorporated April JSIS Volume II Figure 1 C4 01 JAPANESE SEMICONDUCTOB INDUSTBY ANALYSIS H m o< Equipment Automation Major Users Capital Rant End Use impons/ Spending Capacity Exports . 1 \o R&D 00 Spending O P) Consumption Consumption Distribution ft Forecast lO , _ 1 Corporate o Patents u R&D ft Technology New Products Production Shipments Trends n o • , , Government Technical »d R&D Papers o • •i PI ft CAD Tools Inventory (D Industrial 0> Policy Strategic Company •1 • Taxes Alliances Profiles • Financing > Tectinopolis ita Introduction to the Service HEED FOR THE SERVICE Since 1975, Dataquest's Semiconductor Industry Service has offered comprehensive worldwide market research to semiconductor manufacturers, semiconductor users, and suppliers of semiconductor manufacturing equipment and materials. As individual geographical markets expanded, it became obvious that each of these areas was developing its own unique characteristics. This was especially true of Japan, since it has become a major industrial power and, in fact, has attained the number one position in the world for merchant market semiconductor unit and value production. Much has been written on the Japanese, but there is no other single detailed, comprehensive, continuously updated and unbiased analytical service in the semiconductor market. With the movement of both finished and unfinished semiconductor products across geographical borders, available industry statistics sources have become less useful. Hence, there is a growing need for the type of data that Dataquest provides through its continuous industry coverage, updated data base, and analyses of observed trends. SERVICE STROCTORE AMD TERMINOLOGY Detailed discussions of semiconductor consumption, production, and shipments are broken out in three ways: • Product technology • Product function for integrated circuits • End-user market Product TechnolooY Total S«niconductor • Integrated Circuits Bipolar digital—This category includes all monolithic bipolar digital logic and memory devices. MOS—This includes all monolithic digital MOS memory and logic devices; this total is further divided into PMOS, MMOS, and CMOS. O 1987 Dataquest Incorporated April JSIS Volume II Introduction to the Service Linear—This includes all linear integrated circuits; hybrids manufactured and packaged by the same company are included. Discrete Transistors * Small-signal transistors—Silicon or germanitim transistors with a power dissipation of less than one watt; includes all radio frequency and microwave small-signal transistors, dual transistors, field- effect transistors, and general-purpose bipolar signal transistors . Power transistors—Silicon or germaniiim transistors with a power dissipation of one watt or more; includes radio frequency and microwave power transistors and Darlington power transistors Diodes Small-signal diodes—All diodes rated at less than one ampere; includes microwave diodes, varactor tuning diodes, tunnel diodes, and discrete rectifiers Power diodes—All diodes rated at more than one ampere; includes all discrete rectifiers and assemblies thereof with current ranges of more than one ampere, selenium rectifiers, and other polycrystalline devices , Zener diodes~All voltage reference and regulator diodes Thyristors—Includes all unidirectional and bidirectional thyristors Other discrete—Includes all discrete devices not specifically classified above Optoelectronics—This group is further divided into LED lamps, LED displays (single- or multidigit), couplers, and other. The "other" category includes photo transistors, photo diodes, photo conductive devices, and infrared lamps. Not included are solar cells, liquid crystal devices and displays, and incandescent lamps and displays. JSIS Volume II O 1987 Dataquest Incorporated April Introduction to the Service Product yy^^t-ion for Integrated Circuits • Total bipolar digital ICs Memory Logic • Total MOS digital ICs Memory Micro devices Logic • Total linear ICs End-User MarXet • Consumer electronics Video Audio Home appliances • Industrial electronics Computers Commercial peripherals Word processors Communication Industrial Transportation 9 1987 Dataguest Incorporated April JSIS Volume II Introduction to the Service SERVICE ORGANIZATIOH Throughout the JSIS three-ring binders, the terms factory shipments and production are particularly significant when used in conjunction with geographical regions. The term factory shipments refers to devices produced and shipped in a particular region, but the term production refers to the country in which a company has its headquarters. For example, devices produced by an Hitachi subsidiary in the United States would be counted in U.S. factory shipments, but would also be counted as part of the Japanese companies' total production. Volume I—Markets Volume I contains specifics of the semiconductor industry both in Japan and overseas. It is divided into the following sections: • History of the Industry—Discusses the history of the industry, distribution and sales channels to the market, production, and productivity figures
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