TRKN Trikon Technologies (MM)

Four-Market Focus Begins to Pay Dividends for Trikon Technologies NEWPORT, Wales, July 7 /PRNewswire-FirstCall/ -- Executives from Trikon Technologies, Inc. (NASDAQ:TRKN) confirmed today that the company remains committed to its four-market focus, which has already shown progress. Trikon management reiterated the company's strategic direction originally disclosed in March 2005, saying it has aligned its business strategy to focus efforts on production wafer processing tools specialized in the following four areas: * "Mainstream silicon" and power IC fabrication; * Memory IC fabrication, including new non-volatile approaches, such as magnetic memory (MRAM); * Communications IC fabrication, particularly III-V based high-speed ICs and bulk acoustic wave (BAW) devices; and * Emerging technologies used for fabricating MEMS and wafer level packages. Mainstream Silicon and Power ICs "Mainstream silicon" production involves proven technology nodes that can be ramped quickly to profitable production with little development and pilot- lining. Trikon's expertise in this area is demonstrated in its proven line of cost-effective, high-reliability process tools for deposition and etch. "Here, we address the needs of manufacturers of cost-sensitive semiconductors who are not best served by equipment suppliers focused on the leading technology nodes," said Dr. John Macneil, President and CEO of Trikon. "Our focus provides us with a significant market opportunity and addresses a critical market need by delivering proven 200-mm deposition and plasma etch technologies necessary in order for 'workhorse' fabs to expand or enhance their productivity." Trikon has also invested considerable resources into power IC fabrication technology, and now has achieved a leading market position with its Omega trench etcher and Sigma fxP PVD tool for front and backside metal deposition. According to industry research firm, iSuppli, the market for power management ICs grew 24 percent in 2004 and is forecasted to grow at an annual rate of approximately 13 percent through 2008. "This is faster than the total semiconductor market because of the broad exposure of power products to all segments of the market," said Dr. Macneil. "For example, the rise in battery powered devices is a significant factor in power IC growth. Consumers want added functionality on their phones, PDAs, music players and other portable devices, but will not accept a shorter battery life." Memory ICs Trikon's technology and business hook into the leading edge of semiconductor DRAM and Flash memory manufacturing is with its exclusive dielectric gap-fill solutions: Flowfill(R) and Low-k Flowfill(R) technologies for pre-metal dielectric (PMD), shallow trench isolation (STI) and inter-metal dielectric (IMD) applications. Trikon's flowable oxide technologies for sub 65-nm memory fabrication are being evaluated by fabs looking for leading-edge solutions needed for the next technology nodes. "Recent data from these evaluations have shown a 15-20 percent reduction in capacitance with comparable yields using our Low-k Flowfill in place of conventional films on 90 nm generation devices," said Dr. Macneil. "We are also on our way towards the goal of introducing Flowfill to the 65 nm and smaller nodes where competing approaches are known to struggle." Communications IC Fabrication Trikon's proven process technologies have some decided advantages for the fabrication of BAW devices, including meeting demanding film-deposition uniformity requirements in this niche. Trikon believes it is the leading metal deposition supplier to this market, and continues to invest in the technology required to maintain that lead. According to data from Prismark Partners, 2.3 billion frequency filters were used in mobile phones in 2004, with less than 3 percent BAW based. However, analysts expect a significant portion of mobile phone makers to migrate to BAW due to the advantages of BAW over Surface Acoustic Wave devices (SAW), the main filter technology used now. The main advantages of BAW over SAW include: * a 33% reduction of filter-chip footprint and a 50% reduction in height * ease of fabrication for higher frequencies; * reduced sensitivity to surface contamination and * the ability to handle higher power. "Very recently, our expertise in Aluminum Nitride (or AlN) films for BAW has opened up a new opportunity in the Thin Film Head market. Under the right conditions, AlN has excellent thermal conductivity properties and when deposited under and over the head, dissipates heat far more effectively than traditional coating materials," said Dr. Macneil. "Head drives are appearing in a variety of consumer devices such as mobile phones and music players, which require a greater temperature tolerance than PCs. If the head gets too hot, it will expand and potentially crash into the disk - our AlN films can reduce expansion by up to 50%. In May we shipped a Sigma fxP tool to a leading head maker and are engaged with a number of well-known names in the field. The head market is expanding quickly and we intend to capitalize on our expertise." Emerging Technologies: SiPs and MEMS Trikon's advanced deep-silicon etch technology is directly applicable to system-in-package (SiP) and MEMS manufacturing. Trikon's etch, dielectric and metal deposition processes address the requirements by manufacturers in this rapidly growing sector. "Trikon is continuing to fund R&D and is actively looking for additional funding from the UK and European government initiatives for etch and deposition in these two areas," said Dr. Macneil. Trikon's Direction "The conclusion from our business operations today is that our technology, direction and overall vision are realistic, attainable and gaining traction," said Dr. Macneil. "We are seeing significant opportunities within our four segments, with recent wins in the Power and BAW markets. Flowfill continues to make inroads into leading fabs that are seeing weaknesses in their traditional approaches. Combined with new opportunities in the emerging areas of MEMS, WLP and more recently head drives, we are confident that our four- pronged strategy matches our strengths, will deliver growth and will help soften the industry cycles." About Trikon Technologies Trikon Technologies is a leading provider of wafer fabrication equipment and services to the global semiconductor industry. Trikon develops and manufactures advanced capital equipment for plasma etching and chemical and physical vapor deposition (CVD and PVD) of thin films for use in the production of semiconductor, MEMS and similar devices. These are key components in most advanced electronic products, such as telecommunication devices, consumer and industrial electronics and computers. More information is available at: http://www.trikon.com/. "Safe Harbor" Statement Under the Private Securities Litigation Act of 1995 This news release contains certain forward-looking statements, which include, without limitation, statements in this news release and comments by Dr. Macneil about Trikon's strategic focus and business strategy, market opportunities in the semiconductor industry, Trikon's ability to meet the needs of manufacturers, growth in the market for power management, BAW and Thin Film Head devices, Trikon's introduction of new solutions and products, and the ability of Trikon to attract additional funding from the UK and European governments. The forward-looking statements in this press release are subject to various risks and uncertainties that could cause actual results to differ materially, including, but not limited to, demand for Trikon's products and services, possible changes in the company's strategy, and the unpredictable and cyclical nature of the semiconductor industry and the power management market. These factors are not intended to represent a complete list of all risks and uncertainties inherent in the Company's business and the market for power semiconductor products, and should be read in conjunction with the more detailed cautionary statements included in the Company's SEC reports, including, without limitation, its annual report on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K. We assume no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. DATASOURCE: Trikon Technologies, Inc. CONTACT: Katrina Bomont, Marketing Publicity Manager of Trikon Technologies, +44 (0) 1633 414030, or ; or media, Stew Chalmers of PR Company Inc., +1-818-980-3762; or US IR, Kevin Kirkeby of The Global Consulting Group, +1-646-284-9416, or Web site: http://www.trikon.com/

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