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Date: 08-05-15

ASE and TDK to form a company to produce semiconductor substrates

Advanced Semiconductor Engineering and TDK announced to form a new company named as ASE Embedded Electronics Incorporated, which going to produce IC embedded substrates using TDK's SESUB (Semiconductor Embedded SUBstrate) tech. ASE to own 51 percent and TDK to own 49 percent in the joint venture. The factory is planned to be located in the Nantze Export Processing Zone, Kaohsiung City, Taiwan.

TDK's proprietary SESUB helps semiconductor chips to be thinned down to as low as 50 microns and embedded in a four-layer plastic substrate. Advantages of SESUB includes reducing the mounting area on substrates and a thinner profile by achieving a 300 um thickness and high thermal dissipation characteristics, which offer greater design flexibility and inter-chip connection that enhances EMI performance.

ASE System in Package (SiP) solutions using SESUB technology target applications such as PMIC, sensors and RF tuners etc.

"With the anticipated need for further miniaturization and weight reduction of smartphones and wearable devices in the future, demand for semiconductors embedded in substrates, such as SESUBs, is expected to increase globally," says Mr Takehiro Kamigama, CEO and President of TDK Corporation. "TDK has already been producing SESUBs at its Kofu Plant, but to meet the anticipated increase in demand, it will establish the joint company in Taiwan to add to its production capacity with ASE, which possesses technologies including assembly of IC packages and other items, and boasts a world-class performance record in product testing. The joint venture establishment will create a structure for full-scale mass production," added Mr Takehiro Kamigama.

"ASE serves a diverse group of customers including several major players supplying to the portable and wearable consumer market and is a leader in SIP integration using its advanced packaging solutions and test expertise. TDK, on the other hand, has a proven proprietary embedded substrate technology addressing the market needs of integrating more chips and functions, higher performance, lower power consumption and better heat dissipation onto a smaller form factor," says Dr Tien Wu, COO, ASE Group. "We see this powerful alliance as an added value to the ASE SIP eco-system and together, catapulting TDK's SESUB technology into the forefront as an industry standard," added Dr Tien Wu.

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