News Release

Ericsson and Applied Materials Collaborate on Enhanced Semiconductor Process and Equipment Development

Apr 4, 2000 at 7:09 AM EDT

SANTA CLARA, Calif.--(BUSINESS WIRE)--April 4, 2000--Ericsson Microelectronics is working with Applied Materials, Inc. to develop multi-system Process Module(TM) technology that will be used to fabricate Shallow Trench Isolation (STI) structures on Ericsson's 0.25 micron and 0.18 micron advanced RF (radio frequency) devices for telecommunication chips.

Bo Andersson, vice president and general manager of Ericsson Microelectronics, said, "This effort combines Applied Materials' best of breed product line and experience in process integration with Ericsson's expertise in RF applications and manufacturing. We expect that the cooperation with Applied Materials will allow us to meet the aggressive timeline we set for developing our new, advanced RF-processes in the 0.25 and 0.18 micron nodes. In this era of shorter device generations, we see the process module concept as key to getting our new chip designs quickly to the market."

Process modules are pre-integrated groups of systems that function together to perform a specific process sequence used in manufacturing of semiconductor devices. The STI Process Module(TM) technology will use Applied Materials' Silicon Etch DPS Plus(TM) Centura(R), Ultima HDP-CVD(TM) Centura and Mirra Mesa(TM) CMP (chemical mechanical polishing) systems. Ericsson's process engineers are currently working with Applied Materials technologists to customize STI Process Module technology for Ericsson's RF processes, prior to the systems shipment to Sweden.

Dr. Dan Carl, vice president and general manager of the Capacitor, PMD and Gap-Fill Division at Applied Materials, said, "Ericsson's choice of our Process Module approach for the challenging STI structure shows its viability for very specialized chips as well as more mainstream devices, especially when these advanced products need to meet very tight production timetables in order to target fast-moving markets. We are very pleased to be working with Ericsson to help move their latest process generation into volume production."

Applied Materials, Inc. is a Fortune 500 global growth company and the world's largest supplier of wafer fabrication systems and services to the global semiconductor industry. Applied Materials is traded on the Nasdaq National Market System under the symbol "AMAT." Applied Materials' web site is www.appliedmaterials.com.

Ericsson is the leading provider in the new telecoms world, with communications solutions that combine telecom and datacom technologies with freedom of mobility for the user. With more than 100,000 employees in 140 countries, Ericsson simplifies communications for its customers -- network operators, service providers, enterprises and consumers -- the world over. Please visit Ericsson's Press Room at: http://www.ericsson.se/pressroom.

About Ericsson Microelectronics

Ericsson Microelectronics is a supplier of world-class microelectronic components to manufacturers of telecom and datacom systems and mobile phones. The division's product range comprises microelectronic components for wireless applications, broadband communications, wired access as well as for communication via optical fiber. Ericsson Microelectronics, with its global design, development, manufacturing and sales network, is a leading supplier of products to meet the increasing need of bandwidth, speed and mobility in the New Telecoms World.

CONTACT: Applied Materials

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             Ericsson Microelectronics AB
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             bengt.callmer@mic.ericsson.se