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Managing Technology Risk in 65 nm and Beyond

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Page 1: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

Managing Technology Risk in 65 nm and Beyond

Page 2: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 2

Expected Benefits of Semiconductor

Process Advances

Die Shrinkage

Higher Performance

Lower Cost

Page 3: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 3

Impact of Semiconductor Product Choices

What features and

capabilities to include

Process maturity

Design-for-

manufacturability

Device check-out

procedures

Foundry partner

Impact

Product delivery (on-schedule vs. late)

Product availability (improving yields vs. poor yields)

Product quality and reliability

Page 4: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 4 © 2006 Altera Corporation 4

Altera Meets Rollout Commitments

Altera® Device Family First Prototypes Months From

First Prototypes to Production

Months Until All Devices Available

130 nm

Cyclone® FPGAs December 2002 3 4

Stratix® FPGAs May 2002 5 10

Stratix GX FPGAs January 2003 10 7

90 nm

Cyclone II FPGAs January 2005 3 7

Stratix II FPGAs June 2004 6 8

Stratix II GX FPGAs March 2006 8 N/A

The Right Technology Choices Deliver

Predictable, Timely Results

The Wrong Choices Can Result in Delayed Rollouts,

Limited Availability, and Product Recalls

Page 5: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

How Does Altera Consistently Deliver?

Page 6: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 6

What Really Matters to Altera’s Customers

Increased productivity and risk reduction

Design

Deliver

Define

Requires Multidimensional

Execution

Page 7: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 7

Altera’s Strategies for Delivering New Products

1. Precise investments in feature and capabilities

Intense research required to determine the right feature set that satisfies customer needs and results in a successful product

Page 8: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 8

Precise Product Investment in Features and Capabilities

• 20% designs above 250-MHz core

performance

• “More performance is always better”

• Large cost and power penalties

Ma

rket

M

ark

et

M

ark

et

80%

80-90%

>95%

• To achieve additional 10-20% market

in performance means…

• Additional cost 30-40%

• Additional risks with signal integrity

• > 95% FPGA 155 MHz to 6.5 GHz

• Additional 5% carries risk, cost,

and power penalties

Core Performance

Memory Speed

Serial Interface

Page 9: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 9 © 2006 Altera Corporation 9

Aggressiveness Is Not Free

425 mW

150 mW

550 mW

225 mW

Transceiver Speed (Gbps)

3.125 6.375

Virtex-4 FX

Benefit of Band-Optimizing Technology

for 622 Mbps – 6.375 Gbps

4.5 Watts of Power

with 20 Transceivers

at 6.375 Gbps

11 Watts of Power

with 20 Transceivers

at 6.375 Gbps

mW

500 300 100

Virtex-4 FX

Page 10: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 10

Altera’s Strategies for Delivering New Products

1. Precise investment in features and capabilities

2. Industry’s most comprehensive test chip program

Early collaboration on process development and design verification enables reliable new product delivery

Page 11: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 11

Industry’s Most Comprehensive Test Chip Plan

Altera Test Chips

Early Technology Assessment

Feasibility Testing

Circuit and Feature Validation

Routing Structure Confirmation

Architectural Verification

Design Optimization and

Refinement

Page 12: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 12 © 2006 Altera Corporation 12

Altera’s Eleven 65-nm Test Chips Test Chips Tape Out

TC1 Q2 2003

TC2 Q3 2004

TC3A Q2 2005

TC3B Q2 2005

TC4 Q3 2005

TC5A Q3 2005

TC5B Q3 2005

TC6A Q4 2005

TC6B Q4 2005

TC7 Q1 2006

TC8 Q2 2006

Comprehensive Test Chip Program

Identifies and Resolves Issues Before

Product Introduction

Page 13: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 13

Altera’s Strategies for Delivering New Products

1. Precise investment in features and capabilities

2. Industry’s most comprehensive test chip program

3. Rigorous device check-out procedures

Methodical and thorough check-out procedures help identify and resolve issues before products are released to customers

Page 14: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 14

Altera’s Rigorous 8-Step Product Checkout

1. IC design ensures design meets function,

performance, and power specifications.

2. CAD and layout ensure that mask meets Altera’s

and TSMC’s mask rules.

3. Cross-functional teams perform design-for-

manufacturability (DFM) analysis to ensure

robust manufacturing.

4. TSMC checks masks for high-volume,

high-yield manufacturability.

Page 15: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 15

Altera’s Rigorous 8-Step Product Checkout

5. Altera and TSMC check transistor characteristics, layer thicknesses, line widths and resistances, etc.

6. Product engineering characterizes wafers and packaged units, gives feedback to improve yield.

7. Applications engineering exercises device from user perspective.

8. Reliability group ensures quality of final product before it is shipped to customers.

Page 16: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 16

Altera’s Strategies for Delivering New Products

1. Precise investment in features and capabilities

2. Industry’s most comprehensive test chip program

3. Rigorous device check-out procedures

4. Unique patented redundancy technology

Unique Altera technology provides 7x to 8x yield improvement early in process life cycle

One of many DFM techniques Altera employs

Page 17: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 17 © 2006 Altera Corporation 17

Altera’s 7th

-Generation Patented

Redundancy Technology Improves

Yields

High-

Density

FPGA

Column

With Defect

Deactivated

Redundant

Column

Activated

Patented

Redundancy

Technology

Used Since

1993

Patented Redundancy Technology

Page 18: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 18

Redundancy Enables

Predictable Manufacturability

100 150 200 250 300 350 400 450 500 550

Ra

tio

of

Go

od

Die

fo

r

Re

du

nd

an

cy v

s. N

on

red

un

da

nc

y D

evic

es

Die Size (mm^2)

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

7x to 8x

Higher Yield

Early in

Process 0.5 DD

0.1 DD

2x Higher

Yield in the

Long Run

Page 19: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 19

Altera’s Strategies for Delivering New Products

1. Precise investment in features and capabilities

2. Industry’s most comprehensive test chip program

3. Rigorous device check-out procedures

4. Patented redundancy technology

5. Focused foundry partnership

Industry’s longest and stronger foundry partnership

Accelerates improvement in yield, improves supply

Page 20: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 20

TSMC leads the foundry industry Over 50% market share

Annual R&D investment 55% greater than nearest competitor

Leader in DFM and lithography

Longest-running mask making facility

Semiconductor industry leaders are driving TSMC’s 65-nm process to success

Altera’s Foundry Partner: TSMC

Page 21: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 21 © 2006 Altera Corporation 21

The Industry’s Strongest Foundry Partnership

FPGA Structure What TSMC Gets:

Memory structure

Large dies

Dense interconnect

High performance

Defect identification

Defect density reduction

Back-end improvements

Front-end improvements

What Altera Gets:

Access to most advanced process without huge R&D investments

Pure play foundry—no capacity conflict

Mutual benefit of an exclusive relationship

Ability to get process tuned to its needs

Benefit to

Benefit to

tsmc

Focused Partnership of Industry

Leaders Drives Both to Success

Page 22: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 22

Better product availability Total wafer volume through single foundry maximizes yield enhancement

Eliminates inefficiency of multiple foundries, simplifies supply chain

Streamlined inventory management Multiple foundries may require managing multiple codes for “same” device

Fewer device qualifications Single characterization effort

Eliminates need to do qualifications for more than one foundry

Consistent product performance characteristics One manufacturing process produces the most

uniform results

Avoids inconsistencies arising from multiple

mask sets among multiple foundries

Benefits of Focused Foundry Partnership

Page 23: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 23 © 2006 Altera Corporation 23

Altera-TSMC Record of Defect Density Reduction

10

No

rmali

zed

DD

(A

rbit

rary

Sca

le)

1

Q1 ‘00

Q2 ‘00

Q3 ‘00

Q4 ‘00

Q1 ‘01

Q2 ‘01

Q3 ‘01

Q4 ‘01

Q1 ‘02

Q2 ‘02

Q3 ‘02

Q4 ‘02

Q1 ‘03

Q2 ‘03

Q3 ‘03

Q4 ‘03

Q1 ‘04

Q2 ‘04

Q3 ‘04

Q4 ‘04

Q1 ‘05

Q2 ‘05

0.22 µm

Q3 ‘05

Q4 ‘05

Q1 ‘06

0.18 µm 0.15 µm 0.13µm 90 µm

6%/Qtr 10%/Qtr 13.5%/Qtr 13.5%/Qtr 25%/Qtr

Page 24: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

© 2006 Altera Corporation 24 © 2006 Altera Corporation 24

Conclusion

Altera makes technology choices aimed at

successfully delivering products to customers

Altera has the best industry record of reliably delivering

the benefits of new semiconductor process technology

Metrics for our mutual success:

Meeting commitments to deliver new products on schedule

Achieving smooth ramps to volume production

Resolving product issues before product introduction

Altera Products Fulfill the

Promise of Increased

Productivity and Minimized Risk

Page 25: Managing Technology Risk in 65 nm and Beyond · Altera’s Rigorous 8-Step Product Checkout 1. IC design ensures design meets function, performance, and power specifications. 2. CAD

Thank You Q & A