ASML to manufacture 60 EUV systems in 2023

Fab equipment maker ASML plans to manufacture 60 units of extreme ultraviolet (EUV) systems in 2023, the chief of the Netherlands-based firm said.

During the conference call for the second quarter, ASML CEO Peter Wennink said the company plans to manufacture around 40 units this year.

This will be expanded to 55 units in 2022 and 60 units in 2023, Wennink said.

The lead time for EUV systems will also be reduced to between 12 to 18 months, from the previous 18 to 24 months, the CEO said.

ASML is the sole supplier EUV systems that are used in advanced wafer fabrication.

The systems cost 150 billion won to 200 billion won per unit. ASML procures the lens it needs for the systems from German company Zeiss. However, the number of lens it can procure per year has been limited, which has led to the unusually long lead time for the systems.

TSMC and Samsung, the world’s largest and second-largest foundry companies respectively, have been using the EUV systems for their advanced microfabrication processes for chips 7-nanometer or under.

Intel has recently said it plans to also use EUV systems, while Samsung and SK Hynix are now both using EUV for their DRAM productions. Micron has also said it plans to apply EUV for its DRAM production starting in 2024.

Wennink said its three major DRAM customers are all planning to use EUV for mass production. For 2021, these companies are expected to spend a total of 1.2 billion euros to purchase EUV systems, the CEO said. EUV shipment to these companies will increase going forward, he added.

ASML also began production of its new EUV system called NXE 3600D. This system has 15% to 20% increased productivity and 30% improvement in overlay compared to its predecessor 3400C. The company said all EUV systems shipping from 2022 will be 3600D.

Meanwhile, for the second quarter, ASML recorded 4 billion euros in sales and 1 billion euros in net income, an increase of 20% and 38%, respectively, from the second quarter of 2020.

The company saw orders for its systems increase 75% compared to the previous quarter to 8.3 billion euros, with 4.9 billion euros being for EUV systems.

ASML sold a total of 9 units of EUV systems during the quarter. 

South Korea accounted for 39% of its sales, followed by Taiwan’s 35%. Wennink said the company expects to record 35% higher sales in 2021 compared to 2020.