ASML Holding N.V. (commonly shortened to ASML, originally standing for Advanced Semiconductor Materials Lithography) is a Dutch multinational corporation founded in 1984. ASML specializes in the development and manufacturing of photolithography machines which are used to produce computer chips.

ASML Holding N.V.
TypeNaamloze vennootschap
IndustrySemiconductor industry
Founded1984; 39 years ago (1984)
HeadquartersVeldhoven, Netherlands
Key people
ProductsPhotolithography systems for the semiconductor industry
RevenueIncrease 21.17 billion (2022)[1]
Decrease €5.62 billion (2022)[1]
Total assetsIncrease €36.30 billion (2022)[1]
Total equityDecrease €8.81 billion (2022)[1]
Number of employees
39,086 (December 2022)[1]
Footnotes / references
>16,000 patents (2023)

As of 2023 it is the largest supplier for the semiconductor industry and the sole supplier in the world of extreme ultraviolet lithography (EUV) photolithography machines that are required to manufacture the most advanced chips.[2] As of June 2023, ASML was the most highly valued European tech company, with a market capitalization of about US$280 billion.[3][4]

Products edit

A diagonally cut ASML lens

ASML produces the photolithography machines used in the production of computer chips. In these machines, patterns are optically imaged onto a silicon wafer that is covered with a film of light-sensitive material (photoresist). This procedure is repeated dozens of times on a single wafer. The photoresist is then further processed to create the actual electronic circuits on the silicon. The optical imaging that ASML's machines deal with is used in the fabrication of nearly all integrated circuits and, as of 2011, ASML had 67 percent of the worldwide sales of lithography machines.[5]

ASML's competition consisted of Ultratech, Canon and Nikon, MKS Instruments, Lam Research and Cadence Design Systems.[citation needed]

Immersion lithography edit

Since immersion lithography was first proposed by Burn-Jeng Lin in the 1970s,[6] ASML cooperated with Taiwan Semiconductor Manufacturing (TSMC). In 2004, TSMC began commercial production of 90 nanometer semiconductor nodes using ASML immersion lithography.[7] As of 2011, their high-end TWINSCAN NXT:1950i system was used for producing features down to 32 nanometres at up to 200 wafers per hour,[8] using a water immersion lens and an argon fluoride laser that produces light at a wavelength of 193 nm. As of 2011, an average lithography machine cost 27 million.[9]

DUV lithography edit

Deep ultraviolet (DUV) lithography devices from ASML use light that penetrates the UV spectrum to print the tiny features that form the microchip's structure.[10]

In 2009, the IMEC research center in Belgium produced the world's first functional 22 nm CMOS Static random-access memory memory cells with a prototype EUV lithography machine.[11] In 2011 series-produced (non-prototype) EUV machines were shipped.[9]

EUV lithography edit

After decades of development, ASML shipped the first production extreme ultraviolet lithography machine in 2013.[12] These machines produce light in the 13.5 nm wavelength range when a high-energy laser is focused on microscopic droplets of molten tin to produce a plasma, which then emits EUV light. The light is bounced off Zeiss mirrors that are the flattest in the world, onto the surface of a silicon wafer to deliver the designs for the chip.[13] ASML's best-selling EUV product has been the Twinscan NXE:3600D, which costs up to $200 million.[2] Shipping the machine the size of a truck requires moving 180 tons with three Boeing 747s.[14] As of 2022, ASML has shipped around 140 EUV systems, and it is the only company to manufacture them.[2]

ASML is working on the next generation of EUV systems, with the first shipments to customers for R&D purposes expected to take place at the end of 2023.[12] The platform is designated High-NA as it will increase the numerical aperture (NA) from 0.33 to 0.55,[12] and each system is expected to cost $300 million.[2]

Nanoimprint lithography edit

In addition to immersion-based lithography and EUV lithography, ASML has a substantial intellectual property portfolio covering imprint lithography.[15]

Company edit

ASML's corporate headquarters is in Veldhoven, Netherlands and the location for research, development, manufacturing and assembly. ASML employs more than 39,000 people[1] from 143 nationalities and relies on a network of nearly 5,000 tier 1 suppliers.[16] ASML has a worldwide customer base and over sixty service points in sixteen countries.[16] It has offices in the Netherlands, the United States, Belgium, France, Germany, Ireland, Israel, Italy, the United Kingdom, China, Hong Kong, Japan, South Korea, Malaysia, Singapore, and Taiwan.[16]

The company is listed on both the AEX and NASDAQ Stock Exchanges, as ASML. It is also a component of the Euro Stoxx 50[17] and NASDAQ-100.[18] As of 2023 ASML was the most highly valued European tech company, with a market capitalization of about US$270 billion.[3]

History edit

The company, originally named ASM Lithography, is named ASML as its official name and not an abbreviation.[19] It was founded in 1984 as a joint venture between the Dutch companies ASM and Philips. Nowadays it is a public company. When the company became independent in 1988, it was decided that changing the name was not desirable, and the abbreviation ASML became the official company name.[20]

ASML released the lithography system PAS 5500 in 1991, which became an extremely successful platform for the company.[21] The PAS 5500 was first utilized by Micron Technology, which was one of the world's largest producers of computer memory and storage, and ASML's largest customer at that time.[22] The success of the PAS 5500 line propelled ASML into strong competition with Canon and Nikon, who were the leaders in that era of the lithography market.[21]

In 1997, ASML began studying a shift to using extreme ultraviolet and in 1999 joined a consortium including Intel, two other U.S. chipmakers, in order to exploit fundamental research conducted by the US Department of Energy. Because of the CRADA it operates under is funded by the US taxpayer, licensing must be approved by Congress. It collaborated with the Belgian Imec and Sematech and turned to Carl Zeiss in Germany for its need of mirrors.[23]

In 2000, ASML acquired the Silicon Valley Group (SVG), a US lithography equipment manufacturer also licensed for EUV research results, in a bid to supply 193 nm scanners to Intel Corp.[24][25]

At the end of 2008, ASML experienced a large drop in sales, which led management to cut the workforce by about 1000 worldwide, mostly contract workers[26] and to apply for support from the Dutch national unemployment fund to prevent even larger layoffs.[27] Two and a half years later, ASML expected a record-high revenue.[28]

In July 2012, Intel announced a deal to invest $4.1 billion into ASML in exchange for 15% ownership, in order to speed up the transition from 300 mm to 450 mm wafers and further development of EUV lithography.[29][30] This deal was without exclusive rights to future ASML products and, as of July 2012, ASML was offering another 10% of the shares to other companies.[31] As part of their EUV strategy, ASML announced the acquisition of DUV and EUV sources manufacturer Cymer in October 2012.[32]

In November 2013, ASML paused development of 450 mm lithography equipment, citing uncertain timing of chipmaker demand.[33]

In 2015, ASML suffered intellectual property theft. A number of employees had been found stealing confidential data from its Silicon Valley software subsidiary that develops software for machine optimization.[34]

In June 2016, ASML announced their plans to acquire Taiwan-based Hermes Microvision Inc. for about $3.1 billion to add technology for creating smaller and more advanced semiconductors.[35]

In 2018, the Trump administration tried to block the sale of ASML technology to China,[36] but as of 2021, the 2020–present global chip shortage as well as the "technological cold war" between the US and China has been a business opportunity for ASML.[14]

In November 2020, ASML revealed that it had acquired the German optical glassmaking firm Berliner Glas Group in order to meet increasing need for components for its EUV systems.[37]

In July 2021, Thierry Breton European Commissioner, visited ASML and announced a goal of at least 20% of world production of semiconductors in Europe by 2030, and support via a European Alliance on semiconductors.[38] After reporting earnings in July 2021, the company said they had a near monopoly for machines used by TSMC and Samsung Electronics to make the advanced chips.[39]

In February 2023, ASML claimed that a former worker in China stole information about the company's technology. This wasn't the first time that ASML was allegedly linked with an intellectual property breach connected to China, and this latest breach came in the midst of the US-China trade war, which is also called "chip war".[40] At the time, the United States Department of Commerce expressed concern about economic espionage against ASML.[41] In October 2023, Dutch newspaper NRC Handelsblad reported that the former employee who stole data about ASML's technology subsequently went to work for Huawei.[42]

In March 2023, the Dutch government placed restrictions on chip exports in order to protect national security. This measure affected ASML as one of the most important companies in the global microchip supply chain.[43] Export license requirements come into effect in September 2023.[44]

Finances edit

Financial data in € millions[1][45]
Year 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Revenue 5 245 5 856 6 287 6 795 9 053 10 944 11 820 13 979 18 611 21 173
Net Income 1 016 1 197 1 387 1 472 2 119 2 592 2 592 3 554 5 883 5 624
Assets 11 514 12 204 13 295 17 206 18 196 20 137 22 630 27 267 30 231 36 300
Employees 10 360 11 318 12 168 13 991 16 219 20 044 23 219 26 614 29 861 36 112

Shareholder edit

Top Institutional Holders [46]
Holder Shares Date Reported % Out Value
Price (T. Rowe) Associates Inc 10,991,878 Jun 29, 2022 2.70% 5,152,552,838
Capital World Investors 6,492,254 Jun 29, 2022 1.60% 3,043,309,048
Fisher Asset Management, LLC 4,595,741 Jun 29, 2022 1.13% 2,154,299,596
Capital International Investors 3,919,239 Jun 29, 2022 0.96% 1,837,182,511
Morgan Stanley 3,156,574 Jun 29, 2022 0.78% 1,479,675,659
WCM Investment Management, LLC 3,089,503 Sep 29, 2022 0.76% 1,448,235,456
Edgewood Management Company 2,919,498 Jun 29, 2022 0.72% 1,368,543,910
State Farm Mutual Automobile Insurance Co 2,834,225 Jun 29, 2022 0.70% 1,328,571,338
FMR, LLC 2,763,695 Jun 29, 2022 0.68% 1,295,509,695
Sands Capital Management, LLC 1,942,740 Jun 29, 2022 0.48% 910,678,821
Top Mutual Fund Holders [47]
Holder Shares Date Reported % Out Value
American Balanced Fund 2,523,702 Sep 29, 2022 0.62% 1,183,010,574
Growth Fund Of America Inc 2,407,395 Sep 29, 2022 0.59% 1,128,490,503
iShares Core MSCI EAFE ETF 2,138,919 Sep 29, 2022 0.53% 1,002,639,691
Washington Mutual Investors Fund 2,138,040 Sep 29, 2022 0.53% 1,002,227,651
Advisors Inner Circle Fund-Edgewood Growth Fd 1,623,694 Jun 29, 2022 0.40% 761,122,815
Price (T.Rowe) Growth Stock Fund Inc. 1,627,216 Jun 29, 2022 0.40% 762,773,788
iShares MSCI Eafe ETF 1,319,874 Sep 29, 2022 0.32% 618,704,149
Invesco ETF Tr-Invesco QQQ Tr, Series 1 ETF 1,264,161 Sep 29, 2022 0.31% 592,588,122
New Perspective Fund Inc 1,217,878 Sep 29, 2022 0.30% 570,892,503
Investment Managers Ser Tr-WCM Focused International Growth Fd 1,197,952 Jul 30, 2022 0.29% 561,551,991

Awards edit

  • The IEEE Spectrum Emerging Technology 2018 Award was given to ASML for its Extreme Ultraviolet Lithography system. ASML is currently the top supplier of photolithography systems to the semiconductor industry.[48]
  • In the category for Popular Prize, Vadim Banine received the 2018 European Inventor Award for shaping the future of microchip manufacturing.[49]
  • The largest independent microelectronics research center in Europe is called IMEC (Interuniversity Micro Electronics Centre). Martin van den Brink of ASML was given the 2019 IMEC Lifetime of Innovation Award.[50]
  • The Netherlands Association for Investor Relations (NEVIR), where listed companies and professionals in investor relations had the chance to be recognized for their outstanding work in the sector, presented awards to ASML in the categories: "Best Company in the field of Investor Relations" during the Dutch IR Awards 2019 annual award ceremony.[51]
  • ASML received the SEMI Americas Award at the 2020 edition of the microelectronics conference SEMICON West for its collaborative approach to extreme ultraviolet lithography (EUV), which helped it become commercially viable and opened the door to new technological possibilities.[52]
  • The Intel Preferred Quality Supplier (PQS) Award for 2020 was awarded to ASML. ASML has attained a level of performance that continuously surpasses Intel's expectations for the commitment to continual quality improvement.[53]
  • The Dutch Innovation Prize 2021 was awarded to ASML at the 4th National BID AVROTROS Innovation Dinner held at Kasteel Wittenburg in Wassenaar.[54]
  • ASML received the first CoSta Award for the most successful and impactful innovative partnership between a corporate company and a startup.[55]

References edit

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  3. ^ a b "Largest tech companies by market cap". 9 April 2023. Archived from the original on 9 November 2022. Retrieved 9 April 2023.
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  5. ^ ASML: Sustainability - performance and targets Archived 14 August 2018 at the Wayback Machine. (2011)
  6. ^ "Burn Lin: The 2023 SPIE Mozi Award". Archived from the original on 6 May 2023. Retrieved 6 May 2023.
  7. ^ "90 nm Technology". TSMC. 2019. Archived from the original on 26 June 2019. Retrieved 30 June 2019.
  8. ^ ASML Enhances NXT:1950i to Meet Challenging Imaging and Overlay Requirements and Provide a Cost Effective Platform for 22nm Archived 5 April 2012 at the Wayback Machine. Press release, 12 July 2011.
  9. ^ a b Third quarter 2011 results Archived 5 April 2012 at the Wayback Machine. ASML press release.
  10. ^ "ASML EUV lithography systems". Retrieved 4 July 2023.
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  25. ^ "Intel kills plan to use SVG's 193-nm scanners in production due to delays | EE Times". Archived from the original on 7 September 2014. Retrieved 7 September 2014.
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  27. ^ Chip-Equipment Firm ASML Cuts Outlook, Sets Layoffs Archived 25 May 2018 at the Wayback Machine., 19 December 2008.
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  32. ^ [1] Archived 8 March 2014 at the Wayback Machine ASML Press release, 17 October 2012
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  34. ^ Deutsch, Toby Sterling, Anthony (11 April 2019). "ASML says it suffered intellectual property theft, rejects 'Chinese' label". Reuters. Archived from the original on 10 May 2021. Retrieved 26 March 2021.{{cite news}}: CS1 maint: multiple names: authors list (link)
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  39. ^ "ASML shares fall on report US wants to restrict sales to China". Reuters. 6 July 2022. Archived from the original on 14 March 2023. Retrieved 14 March 2023.
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  42. ^ Koc, Cagan (23 October 2023). "Ex-ASML Staff Accused of Theft Went to Work for Huawei, NRC Says". Bloomberg News. Retrieved 23 October 2023.
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  46. ^ "Retrieved 6 November 2022". Archived from the original on 10 October 2022. Retrieved 6 November 2022.
  47. ^ "Retrieved 6 November 2022". Archived from the original on 10 October 2022. Retrieved 6 November 2022.
  48. ^ "IEEE Spectrum Emerging Technology Award ASML 2018 IEEE honors ceremony". 30 May 2018. Archived from the original on 13 November 2022. Retrieved 6 November 2022.
  49. ^ "European Inventor Award 2018". Archived from the original on 13 November 2022. Retrieved 6 November 2022.
  50. ^ "ASML Man wins top award". 15 May 2019. Archived from the original on 13 November 2022. Retrieved 3 November 2022.
  51. ^ "ASML, BESI, Basic Fit winners Dutch IR Awards 2019". 11 January 2019. Archived from the original on 13 November 2022. Retrieved 3 November 2022.
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  53. ^ "ASML earns Intel's 2020 Preferred Quality Supplier PQS Award". 30 March 2021. Archived from the original on 30 October 2022. Retrieved 30 October 2022.
  54. ^ "ASML Wins Dutch Innovation Prize". 27 October 2021. Archived from the original on 30 October 2022. Retrieved 30 October 2022.
  55. ^ "ASML and Incooling Win CoSta Award". Archived from the original on 13 November 2022. Retrieved 12 November 2022.

External links edit

  • Official website
  • "The Silicon Age: Trends in Semiconductor Devices Industry", 2022
  • Business data for ASML Holding N.V.: