Yield at any cost

摘要

Photomask costs are a painfully visible issue in today's competitive semiconductor market. This puts substantial pressure on the profitability of photomask makers. Firms typically combat eroding profit margins by increasing price or market share, reducing costs, or pursuing new markets. Photomask unit volume is steady and forecast to remain so-a sure sign of a mature market. To gain share in a mature market you have to take it from another supplier, which is a long, difficult, and capital intensive proposition-and often leads to consoli dation. The buying power of large semicon ductor companies precludes any significant price increase, and new markets hold little promise to drive unit growth. Cost reduction is left as the only reasonable path to improved operating results.