NEWSLETTER - JULY / AUGUST 2004

MICROELECTRONICS DEVELOPMENT FOR EUROPEAN APPLICATIONS

The recent 1st Call for project proposals pertaining to the MEDEA+ Second Phase reveals a renewed engagement of European Semiconductor and System companies to invest in innovation and R&D: 30 project outlines were received, including 20 in Applications and 10 in Technologies. They are currently under evaluation.

Knowing the pay off in market shares, European SC manufacturers are obviously geared up to continue to exceed the worldwide trend in their investment in R&D, as shown in the figure below.

Despite the Call's relatively short lead-time of six weeks, the partners' response with a total number of 30 proposals of excellent quality has been impressive. In line with the projects labelled during phase one, research projects in Applications turned out to be the major focus of the recent call. Some 60% of resources have been anticipated for this category ? projects, which relate either directly to Applications in general or to Enabling IC Technologies for Applications.

A further phenomenon should be highlighted. There has been a significant increase in participation of system companies. One explanation might be that no less than 50% of required application resources are in projects that concern Electronic Design Automation with contribution from many system houses. Another reason might be that by means of this call, several, medium-sized, new system companies have joined MEDEA+ for the first time.

They recognise that the EUREKA/MEDEA+ formula provides a strong and efficient approach in targeting new "killer" applications through improved co-operation.

Such developments involving highly complex devices that can be sold by the million are key to the longevity of the European Microelectronics Industry. The high entry costs to the new technologies and new manufacturing processes required to produce such innovative devices makes strong co-operation between companies and countries paramount along the microelectronics value chain. Thus, achieving critical mass and maintain global competitiveness.

The attractiveness of the EUREKA formula was recognised and appreciated during the Eureka Ministers Conference that took place in June and where I had the opportunity to present the views of the industry.

From an applications point of view Europe's particular strengths are within the realm of Telecommunications, Networking, Multimedia and Automotive Applications. As such, the MEDEA+ programme is contributing in a way that Europe's industry ? from the chipmakers and their equipment and materials suppliers to the systems designers and services providers ? is able to lead the way, world-wide, in these crucial applications areas both in terms of technology advancement and time-to-market savings.

Within MEDEA+ the Vice-Chairman of Applications is in the driver's seat to trigger innovation and co-operation in this domain. Let me take the opportunity to announce that we have a new Vice Chairman Applications since June 1st. Juergen Deutrich is following Roel Kramer, who himself has accepted a new challenge in the upcoming Dutch EUREKA presidency. Juergen is well accustomed to large EUREKA programmes. Serving as the "critical reflector" in microelectronics applications he has already contributed substantially to MEDEA and MEDEA+ in his capacity as a Steering Group member.
Have a look on the following article, giving you more information on MEDEA+ commitment for Applications.