Kulicke & Soffa Expands Thermal Compression Bonding Capabilities to Accelerate Innovation in the Integration of Semiconductor and Silicon Photonics

Rhea-AI Summary

Kulicke and Soffa Industries (NASDAQ: KLIC) is expanding its Thermal Compression Bonding (TCB) capabilities, aimed at enhancing semiconductor and Silicon Photonics integration. This expansion addresses the rising demand for Multi-Chip Module (MCM) and System-in-Package (SiP) assembly, particularly in High-Performance Computing (HPC) and data centers supporting AI and 5G technologies. The company reported revenue recognition from a Silicon Photonics application, targeting a 50% CAGR growth through 2025 in the optical transceiver market, which paves the way for increased global connectivity.

Positive

• Expansion of TCB capabilities to meet rising demand for semiconductor assembly.
• Revenue recognition from a Silicon Photonics application indicates market potential.
• Optical transceivers expected to grow at a 50% CAGR through 2025.

Negative

• None.

SINGAPORE, Feb. 1, 2022 /PRNewswire/ -- Kulicke and Soffa Industries, Inc. (NASDAQ:KLIC) ("Kulicke & Soffa", "K&S" or  the "Company"), a global leader in the design and manufacture of semiconductor, LED and electronic assembly equipment, announced it is expanding its Thermal Compression Bonding (TCB) capabilities to accelerate innovation in the integration of semiconductor and Silicon Photonics.

Multi-Chip integration is a fast-growing assembly trend supporting transistor-level density at the package level for both high-volume semiconductors and also leading-edge assembly. The Company's broad assembly solutions are addressing current needs for Multi-Chip Module (MCM) assembly, System-in-Package (SiP) as well as the emerging market needs for Heterogeneous, or Chiplet, integration and also co-packaged optics.  High-Performance Computing (HPC) and data center applications which support artificial intelligence, 5G, autonomous vehicles and wearable technology are demanding these emerging package types.

During its first fiscal quarter of 2022, the Company successfully received acceptance and recognized revenue for a high-potential Silicon Photonics application which supports the emerging optical transceiver market. Optical transceivers represent a new market opportunity for K&S and are anticipated to grow at a 50% CAGR through 2025, supporting the growing need for increased global connectivity in data centers and HPC applications.

Kulicke & Soffa's TCB solution utilizes a unique formic acid process, that supports new assembly and packaging requirements for Silicon Photonics, the co-packaging of semiconductors and Silicon Photonics and 2.5D/3D heterogeneous integration.

Chan Pin Chong, Kulicke & Soffa's Executive Vice President of Products & Solutions, said, "A key challenge of multi-chip integration is the trade-off between performance and power consumption which our solutions are well positioned to optimize. We are privileged to be selected as the pioneer solution for co-packaged development utilizing thermal compression bonding, with formic acid, which directly addresses these critical process challenges and is expected to accelerate the adoption of emerging Silicon Photonics applications."

The Company will provide additional details regarding this opportunity during it's upcoming earnings call scheduled for February 3, 2022 at 8am EST.

About Kulicke & Soffa

Kulicke & Soffa (NASDAQ: KLIC) is a leading provider of semiconductor, LED and electronic assembly solutions serving the global automotive, consumer, communications, computing and industrial markets. Founded in 1951, K&S prides itself on establishing foundations for technological advancement - creating pioneering interconnect solutions that enable performance improvements, power efficiency, form-factor reductions and assembly excellence of current and next-generation semiconductor devices.

Leveraging decades of development proficiency and extensive process technology expertise, Kulicke & Soffa's expanding portfolio provides equipment solutions, aftermarket products and services supporting a comprehensive set of interconnect technologies including wire bonding, advanced packaging, lithography, and electronics assembly. Dedicated to empowering technological discovery, always, K&S collaborates with customers and technology partners to push the boundaries of possibility, enabling a smarter future.

Contacts

Kulicke & Soffa
Marilyn Sim
Public Relations
+65-6880 9309
msim@kns.com

Kulicke & Soffa
Joseph Elgindy
Investor Relations
+1-215-784-7500
investor@kns.com

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SOURCE Kulicke & Soffa Industries, Inc.

FAQ

What is Kulicke and Soffa's expansion on February 1, 2022, about?

Kulicke and Soffa is expanding its Thermal Compression Bonding capabilities to enhance semiconductor and Silicon Photonics integration.

How is Kulicke and Soffa addressing the demand for Multi-Chip Modules?

The company is providing broad assembly solutions for Multi-Chip Module (MCM) and System-in-Package (SiP) integration.

What revenue did Kulicke and Soffa recognize during its first fiscal quarter of 2022?

Kulicke and Soffa recognized revenue from a high-potential Silicon Photonics application.

What market opportunities does Kulicke and Soffa see in optical transceivers?

Optical transceivers represent a new market opportunity and are expected to grow at a 50% CAGR through 2025.

When is Kulicke and Soffa's upcoming earnings call?

Kulicke and Soffa's earnings call is scheduled for February 3, 2022, at 8 am EST.