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Commentary: Under-Promise & Over-Deliver
 
... Slowly but surely, systems integrators of compound semiconductor (CS) technology are learning their lessons. Selling smoke and mirrors doesn't work. We dazzled some in the outside world in the early days with the wonderful potential of switching to our smaller, faster components with greatly improved functionality. But when we...
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Nichia Achieves Milestone in Blue-Violet Pulsed Diode Laser Performance
CompoundSemi News Staff

February 21, 2007...Nichia Corporation, one of the main suppliers of diodes for blue lasers in the new DVD platforms, reported succeeding in developing a high power blue-violet semiconductor laser diode. The diode reportedly achieved performance corresponding to more than 10X record speed for a double-layer disc, and more than 2X record speed for a quad-layer disc. Additionally the company said the laser diode was found to have an estimated lifetime that exceeded 10,000 hours. Nichia reported that the laser was stable for an actual time period of over 1000 hours at 320 mW pulsed operation at 80 degrees Celsius case temperature. Nichia reiterated its pledge to expand capacity of blue laser diode production for next generation DVD players. Furthermore the company says it will support employees who develop innovative products which can change society. Company News Release

Showa Denko Develops GaN Growth Technique for Improved Crystal Quality
CompoundSemi News Staff

February 20, 2007...Showa Denko K. K. (SDK) of Tokyo, Japan, reported developing a new process for producing high-quality gallium nitride crystals on sapphire substrates for use in blue and white LEDs. SDK explains that its new process is a combination of the conventional metal organic chemical vapor deposition (MOCVD) process and SDK’s proprietary plasma assisted physical deposition (PPD) process for growing nitride-based semiconductor crystals. For this reason, the new process is appropriately named the “Hybrid PPD” process. According to SDK, the process technology enables the production of four-inch epitaxial wafers with higher quality than conventional MOCVD (as measured by the X-ray rocking curve method).

SDK has already developed blue LEDs which the company says have the highest level of brightness on the market. SDK has decided to build a production facility in Chiba, Japan to boost its blue LED production from its current level of 30 million units per month to 100 million units per month by the end of the year. Also by the end of the year, the company says it will begin shipping the blue LEDs. Company News Release

Avago Technology's Lawsuit Against Elan Back on Track
CompoundSemi News Staff

February 19, 2007...Compound Semi device maker, Avago Technologies Inc. of San Jose, California USA, reports that Elan Microelectronics Corp’s motion to dismiss Avago’s lawsuit alleging patent infringement was denied. The patent complaint, filed in December 2004, alleges that Elan Microelectronics Corp. and its U.S. subsidiary Elan Information Technology Group infringed on Avago’s U.S. patents 6,433,780 and 5,786,804. The patents, which were awarded several years ago when Avago was the compound semiconductor group of HP, relate to optical mouse sensor technology. With the court decision made by Judge James Ware of the U.S. District Court for the Northern District of California, Avago’s patent lawsuit against Elan will proceed. Avago is seeking to stop Elan’s sales of allegedly infringing optical mouse sensors. Avaogo noted that it is also seeking damages from Elan and its U.S. subsidiary for unauthorized use of Avago’s patented optical mouse sensor technology. Avago News Release

Hittite Microwave's Profits More Than Double in 2006
CompoundSemi News Staff

February 19, 2007...Hittite Microwave Corp., a maker of ICs for RF, microwave and millimeterwave applications, reported that its net income more than doubled in 2006. For the year 2006, Hittite reported revenues of $130.3 million, an increase of 61.5 percent over 2005. Net Income for 2006 was $42.7 million, an increase of 112 percent over the 2005 total. The company ended the year with a great fourth quarter with revenue of $35 million or 55.8 percent more than the same period a year ago. This was up just 2.2 percent over the previous quarter. Hittite reported that 52 percent of its business for 2006 came from outside the United States. About 48 percent came from customers within the United States.

“Our fourth quarter was an excellent finish to the year, and our employees should be proud of the results they delivered in 2006,” said Stephen Daly, Chairman and CEO. Daly commented that the company improved its product portfolio and expanded its sales channels. “We strengthened our business during the year in many ways, adding three new product lines, introducing 91 new standard products, and opening one new design center and two new sales offices. For 2007, we will remain focused on growing our revenue by expanding our product lines and sales channels, and continuing to invest in our R&D team and new product pipeline.” Year-End Company Financial Results for 2006

Cree Rectifier Named Finalist for 2007 EE Times’ ACE Award
CompoundSemi News Staff

February 19, 2007...Cree Inc. of Durham, North Carolina USA, reported that CMP Technology’s EE Times made Cree’s 2-amp Zero Recovery rectifier as a finalist for the third Annual Creativity in Electronics (ACE) Awards. The Cree device was honored as a finalist in the Interconnect, Passive, and Electromechanical (IP&E) category. The rectifier, which operates at 600 volts because it successfully addresses the need for highly efficient and compact power supplies for desktop PCs. Cree points out that the rectifier can reduce the power supply’s size by as much as a third, and can simplify power supply design. "We are honored that our silicon carbide rectifier is considered an Ultimate Product of the Year by the readers of EE Times," said John Palmour, Cree executive vice president for advanced devices. "We continue to advance our SiC power devices and are pleased that Cree is being acknowledged for addressing the needs of the power-supply design industry."

According to Cree and EE Times, the Ultimate Product Awards are given to producers of products, which demonstrate leadership and innovation in the global industry and shape the world we live in. "The 2007 finalists represent the execution of forward-thinking technologies and creativity that captures the imagination of consumers, illustrating the influence that electronics and embedded design professionals have on today's culture," said Brian Fuller, editor in chief, EE Times. Cree New Release

Freescale Introduces RFIC Product for China's 3G Standard, TD-SCDMA
CompoundSemi News Staff

February 16, 2007...Freescale Semiconductor of Austin, Texas USA, claims to be the first to introduce a multi-stage radio frequency integrated circuit (RFIC) optimized for time division-synchronous code division multiple access (TD-SCDMA). The high power multi-stage RF power Lightly-Doped Drain Metal-Oxide Semiconductor (LDMOS) field effect transistor (FET) is specifically designed for wireless base stations.

Freescale noted that the TD-SCDMA standard is a third-generation wireless access method that is expected to be widely deployed in the People's Republic of China. Therefore, it is the first company to deliver commercial RF Integrated Circuits (RFICs) characterized for the emerging standard. According to the company, the high output levels of the newly optimized Freescale MW6IC2240NB allow OEMs to reduce their part count from two or three devices to one, saving board space and reducing power consumption and cost. Company News Release

Anadigics Expands WiMAX Amplifier Portfolio into Mobile Applications
CompoundSemi News Staff

February 16, 2007...Anadigics Inc., a wireless and broadband solution provider, has introduced a compact WiMAX amplifier for mobile applications at the 3GSM World Congress in Barcelona. The company, which already supplies PAs to WiMAX equipment manufacturers, has now introduced the AWM6423 PA for mobile WiMAX. It supports the 802.16e-2005 standard and features what the company says is unparalleled power efficiency and high linearity in a highly integrated module package. WiMAX enables higher data transmission rates than those of other wireless data services. It can support highly desired multimedia applications such as high definition video and voice over internet protocol (VOIP).

The AWM6423 operates in the 2.5-2.7 GHz frequency band allocated for broadband mobile wireless services in the U.S. Anadigics points out that like its other WiMAX PAs, the AWM6423 is based on its patented InGaP-Plus process technology which supports enhanced feature integration and provides superior performance and reliability. Anadigics says that its WiMAX PAs are also fully compatible with the IEEE 802.16 and ETSI EN301-021 standards, and are manufactured using a materials set consistent with the European Union's Restriction of Hazardous Substances (RoHS) directive. Company News Release

Bookham President and CEO to Step Down
CompoundSemi News Staff

February 16, 2007...After eight years at the helm of Bookham Inc., its president and chief executive officer (CEO), Dr. Giorgio Anania, will resign his position and his seat on the board of directors effective immediately. The company indicated that the decision to resign was reached mutually between Dr. Anania and the board of directors. According to Bookham, Dr. Peter Bordui, the company's current non-executive chairman of the board of directors, has assumed the position of president and CEO on an interim basis. During his eight years with the company, Anania transformed the company’s acquisition policy. Some of the company’s acquisitions during Anania’s presidency included Ignis Optics (Ref: Coverage), and New Focus in 2003 (Ref: Coverage), optical amplifier maker, Onetta Inc. in 2004 (Ref: Coverage), and VSCEL maker, Avalon Photonics in 2005. (Ref: Coverage).

Through several acquisitions and the resulting increase in the company’s market share, Anania lead the company from being a silicon photonics company to being a supplier of telecom optical components. Anania had hoped that consolidation and creative financing, and restructuring would lead the company to profitability. However, during the eight years that Anania was in control of the company, Bookham failed to have a profitable quarter. In a recent financial news release, Anania announced the latest in a series of cuts of the company’s InP manufacturing facility in Caswell, UK. The company also cut its GaAs IC manufacturing to focus exclusively on optoelectronics in 2004. Despite the acquisitions, and numerous attempts at creative financing, Anania was not able to turn the company around. Company News Release

TriQuint's EDGE Module Shipped for New Samsung Wireless Phone
CompoundSemi News Staff

February 14, 2007...TriQuint Semiconductor, a leading manufacturer of RF components, reported that it is shipping production volumes of its EDGE quad-band transmit module, the TQM6M5001, to Samsung. TriQuint’s EDGE module will appear in Samsung’s newest EDGE wireless phone, the SGH-E490. According to TriQuint, the TQM6M5001 and other members of the Quantum Tx Module family provide full GSM / EDGE capability, and like its predecessor, it shares the same 6mm x 6mm footprint. Paul Cooper, TriQuint’s Strategic Marketing Manager for Handsets said that the module uses in-house HBT and pHEMT technologies.

The TQM6M5001 provides quad-band signal amplification and switching, plus power / switch control and ESD protection integrated into what TriQuint contends is the smallest form factor available. The TriQuint TQM6M5001 offers all-in-one RF transmit functions with full GMSK (Gaussian minimum shift keying) and EDGE linear capabilities, combining a quad-band EDGE power amplifier (PA), a transmit (Tx) / receive (Rx) switch, plus PA and switch control along with ESD (electro static discharge) protection – all in a form factor no larger than TriQuint’s present GSM / GPRS transmit module family. The board space that the device saves allows added features which handset consumers want. Another benefit of the module is that its power added efficiency (PAE) extends battery life. TriQuint News Release

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Commentary & Perspective...

Under-Promise & Over-Deliver
Jo Ann McDonald

February 21, 2007...Slowly but surely, systems integrators of compound semiconductor (CS) technology are learning their lessons. Selling smoke and mirrors doesn't work. We dazzled some in the outside world in the early days with the wonderful potential of switching to our smaller, faster components with greatly improved functionality. But when we didn't always deliver what we promised, there was a backlash, leaving a lasting negative impression. GaAs often took... gas. Internal challenges have obviously sorted themselves out, at least when it comes to handheld, mobile communication systems. When you pick up the latest new model, even the most techy of high tech marketeers can get blown away.

I haven't seen the new iPhone except for Steve Jobs' newsworthy introduction, but I have heard from our publisher, Tom Griffiths, about the newest mobile communicator, or "camera phone" as they call it, from LG Electronics. Tom went to Cingular for a biannual phone refreshing and For the standard service commitment (2 years in this case) the phone ran about $50 after the now-customary rebates. Part of the deal was test driving the data service, which added $20/month with unlimited usage... yes, I said unlimited usage. Jerry Neal was obviously talking about this type of next generation handheld at the GaAs IC Symposium. Leading edge CS companies like Jerry's RF Micro Devices, which provides GaAs-based electronic parts to companies like LG, Motorola, Samsung are playing a major role in bringing these handhelds into the market with unprecedented speed. GaAs is driving the handheld progress. And the GaN RFMD and others are working on so diligently will help upgrade the transmission towers of the sort Verizon is gradually putting up and upgrading even in my rural area. In modern cities, like Austin, Texas where Tom lives, and on any significant travel corridor, good signal access simply isn't an issue anymore.

For a very reasonable buy-in (certainly if you're heavily dependent on instant communication on demand) the usual "mostly free phone" has quietly become more than just a phone. The LG CU500, which he selected from Cingular's list of options, blew him away. (His 11 year old son wasn't surprised at all. He just wants to borrow it all the time to watch the Muppets feeds when the adult conversation gets boring). LG, you may or may not recall, was originally named "Lucky Goldstar." Well they continue to strike it rich, with virtually no hype, and presumably not depending upon luck. The features list on the CU500 doesn't tell the half of it, which I see as part of the applaudable "under-promise" and "over-delivery" marketing strategy, whether intentional or not. This tiny wonder provides true high-speed Internet connection anywhere in range of one of Cingular's advanced towers. You surely can't get that in our rural area yet as we only recently attained fairly total coverage for basic cellphones in the rural Texas Hill Country. But in an ideally-typical advanced communication city like Austin, you can now get high speed Internet access virtually anywhere within the metro area.

No more need to hover near a Starbucks! You can tune in to Internet radio and television, anywhere, anytime. This is probably the reason seemingly advanced mobile, subscriber-based satellite radio companies are bombing. The only limiting factor to having this in your handheld is battery lifetime, and you can always plug into the never-used cigarette lighter to get a recharge on-the-go, of course. There's also a rotating 1.3 megapixel camera, plus streaming TV and 3D stereo sound, and it includes an MP3 music player with music ID. It also connects with instant messaging using AOL, Yahoo, and ICQ. The only problem is that it has a phone pad and not a standard keyboard. But hey, until we redesign the human fingers to be considerably smaller, you can only fit so much into a clamshell design.

The thing that impresses me so much about these newest handhelds is that they're a surprise to even the most sophisticated user once they actually get their hands on it. I'm sure that Apple's new iPhone will do all that LG can do, and probably more (it's their job) as Steve Jobs made it sound with his debut introduction at Comdex this year. According to Apple, their 4GB iPhone is slated to go out the door this coming summer as a Cingular exclusive for $499 on a two-year contract, 8GB for $599, hitting Europe in Q-4 and Asia in '08. Over the years we've come to realize that American companies, like Apple... especially Apple, love to hype their products prematurely. Apple is notorious for saying something like... "Even though relatively high priced compared to what you're now paying for your [computer, cellphone, whatever] you can this new model this spring... for sure." It wouldn't be the first time Apple's spring arrived a little late.

What's especially cool is that LG has delivered basically all that already, and for free with the $50 initial service contract. And it works! And it wasn't overly hyped. It probably sold in Asia well ahead of here, working the kinks out before the mainstream international media got wind of it. LG obviously under-promised and over-delivered. At least to the American market. Therein lies the message to us all.

GaN for electronic applications is wisely laying relatively low. Insiders know that GaN parts will eventually play an important role in helping advanced handhelds deliver total capability, sometimes in ways we don't yet understand. And until we come up with a better collective term, I think we ought to simply call them handhelds since they are so much more than just a phone, camera, radio/TV/Internet/music player. And while we don't yet understand all the roles GaN will play, the one I often describe to outsiders when explaining what the newest compounds like GaN can do, I cite the shacks at the foot of each of the communication towers. Those buildings, in fact, are mostly filled with air conditioning paraphernalia because of the tremendous heat created by the devices that are currently required to run the many services now being delivered via the towers. The idea is that by converting to GaN parts, companies like Verizon will be able to totally eliminate the shack and replace it with a simple box at the base of the tower. Nothing like a familiar visual to get folks on the GaN electronics bandwagon.

Even though I can justly be accused of being one of the masters of hype, I think I'm mellowing. These days I'm all for under-promising and over-delivering. That's why I think LG's marketing strategy sounds more sensible than Apple's. Wait until you really have something before tooting your horn. Take it through alpha, beta, and any other preliminary steps you can think of before you put it on the open market. And wait until the prices for key parts come down before you put a price tag on your final product. The rule of thumb continues to be... "Don't sell it for less than you can make it for." And remember too that unless you can sell it... whatever it is... for more than it costs you to manufacture it, you'll never make it up in volume). Then lay low until you have what it takes to make the market impact you need. Under-promise. Over-deliver. In the long run, you'll win a lot more respect, and probably more market share.

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