Intel has tested chipmaking tools this year from ACM Research, a Fremont, California-based maker of chipmaking equipment with deep roots in China and two overseas units — in Shanghai and South Korea — that were targeted by US sanctions over claims they have supported the 
government’s efforts at harnessing commercial technology for military use and making advanced chips or chipmaking tools.
The two wet etch tools, used for removing material from the silicon wafers that are transformed into semiconductors, were tested for possible use in Intel's most advanced chipmaking process, known as 14A. That process is due for an initial launch in 2027.
Intel declined to comment on whether it had tested ACM's tools this year for 14A, but said that ACM's tools "are not used in our semiconductor production process, and we comply with all applicable US laws and regulations."
ACM has confirmed that its US team has sold and delivered multiple tools from its Asian operations to domestic customers. Three tools have been shipped to a major US-based semiconductor manufacturer, which are being tested and some of which have met performance standards.
The fact that Intel, now part-owned by the US government, would consider adding tools made by a firm with sanctioned units into its most advanced manufacturing line, raises important national security concerns: possible transfer of sensitive technological know-how to China, the eventual displacement of trusted Western tool suppliers with China-linked firms and even the potential for sabotage efforts by Beijing.
Intel's testing of ACM tools “highlights egregious gaps in US technology protection policies and should not be permitted”.
“Chinese tools could easily be remotely or physically manipulated by Beijing to degrade or even halt US chip production. And US companies should play no part in helping China improve its chipmaking tools, which are the foundation of all advanced technology development.”
ACM was founded in 1998 by David Wang, who still serves as CEO and owns over 57% of the company's voting shares. Wang is a US citizen with Chinese permanent residence.
ACM sells equipment to sanctioned chipmakers YMTC and CXMT. SMIC, which has also been targeted by US sanctions, accounts for 14% of ACM's sales.
While ACM is headquartered in California, most of the company's R&D takes place in China, where ACM established its Shanghai-based R&D facility in 2006. It has complete R&D, engineering and manufacturing operations at its Zhangjiang High-Tech Park facility in Shanghai, China.
In Nov 2023, ACM announced the opening of a new facility in Hillsboro, Oregon — the Silicon Forest — "strategically located near key customers and partners" to serve as the company's new sales and service hub. The facility is about a mile from Intel's flagship R&D and early-stage manufacturing plant and there are no other cutting-edge chip factories in the state.
The facility was aimed at supporting ACM's relationship with Intel. ACM qualified a new tool there in late 2023, and delivered additional tools in mid-2024.
ACM "has laid the foundation for expansion outside China through strategic engagements with global leaders such as Intel" which could bear fruit in 2026. The toolmaker has "active tool evaluations across a range of cleaning process steps" at Intel and the firm is "upgrading its customer demonstration lab and local R&D capabilities there to enable Intel to run wafers locally on ACMR tools.”
There are reports that ACM has sold equipment to a semiconductor manufacturer with US operations that also formally certified ACM’s tools for use in its production line.
ACM is still a small player on the global stage, ranking 24th in the global semiconductor equipment market with an 8% share of the segment for cleaning tools. Tools from ACM and Chinese counterparts are 20% to 30% cheaper than those made by rivals like Applied Materials and Lam.
reuters.com/world/china/in
government’s efforts at harnessing commercial technology for military use and making advanced chips or chipmaking tools.
The two wet etch tools, used for removing material from the silicon wafers that are transformed into semiconductors, were tested for possible use in Intel's most advanced chipmaking process, known as 14A. That process is due for an initial launch in 2027.
Intel declined to comment on whether it had tested ACM's tools this year for 14A, but said that ACM's tools "are not used in our semiconductor production process, and we comply with all applicable US laws and regulations."
ACM has confirmed that its US team has sold and delivered multiple tools from its Asian operations to domestic customers. Three tools have been shipped to a major US-based semiconductor manufacturer, which are being tested and some of which have met performance standards.
The fact that Intel, now part-owned by the US government, would consider adding tools made by a firm with sanctioned units into its most advanced manufacturing line, raises important national security concerns: possible transfer of sensitive technological know-how to China, the eventual displacement of trusted Western tool suppliers with China-linked firms and even the potential for sabotage efforts by Beijing.
Intel's testing of ACM tools “highlights egregious gaps in US technology protection policies and should not be permitted”.
“Chinese tools could easily be remotely or physically manipulated by Beijing to degrade or even halt US chip production. And US companies should play no part in helping China improve its chipmaking tools, which are the foundation of all advanced technology development.”
ACM was founded in 1998 by David Wang, who still serves as CEO and owns over 57% of the company's voting shares. Wang is a US citizen with Chinese permanent residence.
ACM sells equipment to sanctioned chipmakers YMTC and CXMT. SMIC, which has also been targeted by US sanctions, accounts for 14% of ACM's sales.
While ACM is headquartered in California, most of the company's R&D takes place in China, where ACM established its Shanghai-based R&D facility in 2006. It has complete R&D, engineering and manufacturing operations at its Zhangjiang High-Tech Park facility in Shanghai, China.
In Nov 2023, ACM announced the opening of a new facility in Hillsboro, Oregon — the Silicon Forest — "strategically located near key customers and partners" to serve as the company's new sales and service hub. The facility is about a mile from Intel's flagship R&D and early-stage manufacturing plant and there are no other cutting-edge chip factories in the state.
The facility was aimed at supporting ACM's relationship with Intel. ACM qualified a new tool there in late 2023, and delivered additional tools in mid-2024.
ACM "has laid the foundation for expansion outside China through strategic engagements with global leaders such as Intel" which could bear fruit in 2026. The toolmaker has "active tool evaluations across a range of cleaning process steps" at Intel and the firm is "upgrading its customer demonstration lab and local R&D capabilities there to enable Intel to run wafers locally on ACMR tools.”
There are reports that ACM has sold equipment to a semiconductor manufacturer with US operations that also formally certified ACM’s tools for use in its production line.
ACM is still a small player on the global stage, ranking 24th in the global semiconductor equipment market with an 8% share of the segment for cleaning tools. Tools from ACM and Chinese counterparts are 20% to 30% cheaper than those made by rivals like Applied Materials and Lam.
reuters.com/world/china/in
Quote
Byron Wan
@Byron_Wan
Intel — the same Intel that is currently begging the US and European governments for subsidies due to East Asian dominance in the semiconductor industry — is in the process of qualifying a tool from ACM Research for Intel’s Oregon campus, which
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