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If you're wondering what KLA-Tencor does, it's important that you get a firm grasp of what the company has to offer. Read on to discover some of their products and services, including yield management solutions, software and services, and wafer inspection systems.
KLA-Tencor is one of the leading suppliers of process control and yield management solutions for the semiconductor industry. This multinational company currently employs over 6,800 people around the globe, but none of those are in Michigan. That's about to change, though, as the company announced plans to open a new research and development center in the Ann Arbor area. The project will bring total private investment of more than $70 million to the area.
KLA-Tencor's yield management and process control solutions help semiconductor manufacturers understand and manage their production yield. These solutions measure microscopic layers on chips, provide feedback and help correct manufacturing errors. KLA-Tencor's products are used by leading semiconductor manufacturers in Europe and Japan. The company also offers yield management consulting services that help its customers implement best practices and maximize yield.
Among the latest products introduced by KLA-Tencor are two new automated yield-management solutions. One of them is a scanning electron microscope review system, and the other is a software solution that connects yield data from the entire process. The latter is designed to help fabs accelerate their technology transitions by streamlining their yield management processes.
KLA-Tencor's history dates back to the 1970s. It was founded by Kenneth Levy and Robert R. Anderson, two Silicon Valley entrepreneurs who believed that their technology could help the semiconductor industry open new segments. After four years of research and development, the company introduced its first automated photomask inspection system, the Alpha-Ste stylus surface profiler. The Alpha-Ste system improved step-height measurement, a critical parameter in determining the thickness of a film.
The KLA-Tencor solution, Datasweep, allows the company to improve the quality of its products. It replaces manual paper-based systems with online procedures and checklists. It also helps engineers spend more time on analysis and problem solving. This results in improved quality and reduced cycle time.
KLA's sales started to skyrocket in the early 1990s, as the semiconductor industry grew in popularity around the world. In addition, the company's new in-line defect monitoring concept began to garner interest. In 1993, KLA lowered its development costs to $24 million, or 14 percent of sales.
KLA-Tencor wanted to leverage the web to ensure the quality of their equipment and improve their product lifecycle management. This meant implementing a centralized "eQuality" system to capture and track data from their manufacturing processes. The company also wanted to integrate this information into its enterprise applications, such as Oracle ERP and Clarify CRM. The company also needed a solution that would provide deep unit-level tracking capabilities, detailed "as-built" configuration information, and online visibility of their equipment.
KLA-Tencor has several solutions and services that cater to its customers' needs. These include software for yield management and process control. The company also offers knowledge and learning services. These services are helpful in making informed decisions and determining how to best implement new technologies. For instance, the company offers a technology stack report based on its customer list. The company's employees' details are also readily available on its website, making it easy for customers to compare their software and services to their competitors.
KLA-Tencor Software and services helps semiconductor manufacturers to make high-quality devices faster. Their solutions help customers manage the yield, accelerate development ramp cycles, and improve profitability. The company's software and services are used by a wide range of industries, including semiconductor equipment manufacturers and other semiconductor companies. Its software and services allow users to perform high-quality testing and analyze a wide variety of data.
KLA-Tencor is a global leader in process control and yield management software. Its products enable semiconductor manufacturers to analyze the manufacturing process and make corrective decisions. Its products measure microscopic layers of chips, providing feedback to correct errors in the process. The company is headquartered in Milpitas, California, and focuses on the semiconductor and data storage industries. The company's software and services support all phases of integrated circuit chip production.
KLA-Tencor's software and services are based on the latest analytics technologies and tools. The company was founded in 1976 by two Silicon Valley entrepreneurs, Kenneth Levy and Robert R. Anderson, who believed they could open new segments in the semiconductor industry. They created the first generation of manufacturing inspection systems, which helped improve the chip-making process.
KLA-Tencor wafer inspections systems help manufacturers detect and correct defects on a variety of substrates. The latest systems offer advanced sensitivity and throughput. They also incorporate machine-learning-based defect classification. In addition to detecting surface defects, they can detect defects in pattern or unpatterned wafers.
KLA-Tencor's comprehensive wafer inspection solution offers high throughput, high sensitivity, and flexible process solutions. Its AIT XP+ wafer inspection system processes 200 and 300-mm wafers, and offers the flexibility to accommodate growing wafer volumes. Its eS20XP inspection tool enables defect detection as small as 100 nm and is compatible with most substrate types and process layers. Enhanced sensitivity is achieved with the Adaptive Mode feature.
The latest KLA-Tencor wafer inspection solutions address 3D NAND process challenges. The PWG5 wafer geometry inspection system features electron optics for a high resolution image, while the Surfscan SP7XP wafer defect inspection system provides 10 billion pixels per scan. The SP7XP wafer inspection system is also equipped with Simul-6(tm) sensor technology to collect deep trench and surface information.
KLA-Tencor's 392x Series broadband plasma defect inspection systems enable wafer-level defect discovery and yield learning, and in-line monitoring. It leverages super-resolution deep ultraviolet (SR-DUV) wavelength bands for improved accuracy and sensitivity. The 3920 and 3925 systems also provide high sensitivity to detect unique defect types and yield-critical pattern locations.
KLA-Tencor offers comprehensive wafer inspection solutions for LED manufacturing. Its KLARITY LED defect analysis system and ICOS WI-2220 wafer inspection system enable LED device makers to realize increased yields while lowering production costs. Furthermore, ICOS WI-2220 offers sensitivity to 200-mm wafers for defect analysis.
The 2300 NPT-2 wafer inspection system features an integrated FOUP based dual-stage wafer handling system. It supports 200mm bridge applications on one stage and 300mm on the second. It also has an edge grip automation system to manage wafer contact. The tool also has multiple source bottles for process particles.
KLA-Tencor offers a full portfolio of semiconductor wafer inspection products, including metrology and analysis products. Quality assurance starts with error-free reticles, which are key to high semiconductor yields. KLA-Tencor has advanced reticle inspection systems that use optical imaging and multiple inspection modes to ensure high quality semiconductor products.
KLA-Tencor's DataSweep Advantage allows manufacturers to store and retrieve more detailed information on the manufacturing process. The company says this solution will help them improve customer satisfaction and product quality, reduce cycle times, reduce production delays, and improve ISO certification.
The company's Datasweep Advantage includes integrated manufacturing execution (IME) solutions, supplier and service management, and business intelligence (BI) solutions. These solutions enable global manufacturers to improve processes and reduce overall product lifecycle costs. Customers typically experience faster time-to-benefit and lower cost-of-ownership. In most cases, customers can deploy Datasweep in as little as eight weeks.
Datasweep Advantage 3.0 brings new web-based modules and integration with ERP systems. These solutions enable OEMs to gain a real-time view of their extended manufacturing supply chains and improve scheduling. In addition, they also provide better insight into product lifecycle management.
Novalux, an emerging leader in the fiber optical component market, is implementing Datasweep's new solutions in its first production facility. The company plans to roll out the solution across its other facilities. The company manufactures optoelectronic lasers that deliver data, video, and voice systems for optical networks. The lasers must meet rigorous industry requirements.
This technology makes it easier to forecast demand for components. This reduces the probability of component shortages by up to 25%. Furthermore, KLA-Tencor is better able to predict demand for components and minimize the risk of a component shortage. This capability enables the company to better anticipate demand and reduce inventory costs.
Datasweep Advantage provides a comprehensive view of production costs, allowing manufacturing managers to see the complete cost of production. As the company grows and expands its installed base, it can also offer its customers a comprehensive array of value-added services. This allows customers to maximize yields. KLA's services segment generates approximately 25% of its revenue and is growing at a nine to 11 percent rate. The company's service revenue is derived primarily from subscription-like annual contracts.
If you have ever heard of the Kosovar Liberation Army (KLA), you may be wondering what the full name of the organization is. Previously, the company was known as KLA-Tencor Corporation. Now, it will be known as KLA Corporation. This corporation is one of the largest providers of advanced process control solutions. The new name reflects the company's new tagline, "Keep Looking Ahead."
The Kosovar Liberation Army (KLA) is the armed forces of Kosovo, a nation in southeastern Europe. Its numbers once topped 8,000, and it has been accused of atrocities in the conflict. The KLA is known to recruit members from Albania, refugee camps and the diaspora. Though its command remains decentralized, Bislim Zyrapi is believed to be its chief commander. The KLA is receiving crucial supplies of ammunition and medical supplies from neighboring countries like Albania, while Macedonia accuses it of conducting military activities within its borders.
Thaci, who serves as KLA's commander, is accused of ordering the murder of senior KLA members, a claim that his political opponents deny. Thaci also faces charges of using his self-appointed government as a racket. In January 2000, UN police raided his elder brother's apartment, where they found $250,000 in cash.
Initially, the KLA was a small, partisan organization that started in the early 1990s. Its early operations were meant to provoke Serb forces and draw attention to Kosovo. Although it had some success in attacking Serb positions, the KLA was never able to hold its own against Serb regular forces. Ultimately, the KLA was pushed out of western Kosovo in March 1999.
While the United States has criticized the KLA for a series of provocative acts, it has not placed them on its official list of terrorist organizations. Indeed, the Clinton administration has taken a favorable view of the KLA as a rebel force. In June, former U.S. Secretary of State Madeline Albright held talks with its leader in Kosovo. This stance has helped the KLA win the support of both NATO and the U.S. It is critical that the United States engage the KLA in negotiations to create an inclusive democratic leadership that can act quickly to establish a peaceful civilian government.
Although the KLA has not yet achieved political change, there is a strong support for them among Kosovo Albanians. Despite being a relatively small group, KLA members are highly trained and are often former Yugoslav army soldiers. Many KLA members have also gotten involved in the extensive criminal network in Kosovo.
The Kosovo Liberation Army's short history of conflict has made it the leading force in Kosovo in the 1990s. Its establishment grew out of a long history of resistance movements in the region. Its origins can be traced back to the People's Movement of Kosovo (LDK) party, which advocated nonviolent resistance.
KLA members have been accused of abducting and murdering Serb residents. A Human Rights Watch researcher reported the incident to a German KFOR contingent, which refused to investigate. Human Rights Watch had to make repeated visits to the contingent headquarters in Prizren and local posts in order to get information about the harassment.
The KLA's history of violence dates back to 1981, when the League of Communists was the only recognized political party. This period of clandestine activism laid the foundation for the later, institutionally sanctioned changes in the region. During this period, KLA members engaged Serbian troops and relayed their positions to NATO.
Since early June, Human Rights Watch has reported numerous abductions of Roma and Serb men in Kosovo. Most of them are released after being beaten, but others remain missing and presumed dead. Human Rights Watch interviewed numerous Serb and Roma civilians and KLA members. They also reported the KLA's involvement in the violence of Roma and Serbs.
The KLA is widely blamed for this conflict. Many ethnic Albanians took part in burning down Serb property and looting Roma property. In addition, KLA members were also accused of violent attacks on their neighbors. Many Serbs have been forced to flee because of the KLA's actions.
The KLA also used weapons to assert themselves. This practice comes from Albanian customary law and was developed in response to Serb repression. In rural areas, weapons were viewed as a means to protect family integrity and honor. In fact, some people thought the use of weapons was gendered.
In the long run, the current developments in Kosovo will have profound implications on the ethnic balance in the region. Many ethnic minorities who were forced to leave will have trouble returning to the area. If the situation continues, an international police force will be needed to ensure that human rights are protected. The international community should provide peace in Kosovo and make the region safe for all its citizens.
"A young ethnic Serb man was recently detained by KLA soldiers. He was beaten by the KLA soldiers for two hours. KLA soldiers kicked him and hit him with the butts of their weapons. The incident occurred at the home of S.B.'s brother-in-law. The KLA soldiers demanded that the man surrender his weapons.
If you've been racking your brains to figure out what KLA stands for in KLA-Tencor, you've come to the right place. Not only is KLA a leading process control equipment manufacturer, but it's also an education and learning company. The company offers services that help you get the most out of your technology and learn from the best in the industry.
KLA-Tencor is a global leader in advanced process control. Founded in 1975, the company provides advanced tools for semiconductor manufacturing and other industries. Its name was inspired by founders Ken Levy and Bob Anderson. The company has over a thousand employees around the world.
KLA-Tencor develops metrology and inspection technologies for semiconductor manufacturing. These instruments measure the microscopic layers of chips and provide feedback to correct errors in manufacturing. Its products have become indispensable in the semiconductor manufacturing industry. In 2001, the company's strongest sales were in Europe and Japan. However, it also sells its products domestically, making it a global leader.
KLA continues to pour cash into research and development. During the 1990s, it spent $64 million on R&D, representing 22 percent of its revenue. In 1992, KLA posted a $14 million loss. By 1993, it had completed major product introductions and had lowered its development costs to $24 million, or 14 percent of its sales.
KLA-Tencor provides defect inspection solutions, defect review tools, and data management systems. The company also provides comprehensive metrology and analysis products to solve IC manufacturing challenges. Error-free reticles are essential for high yields in semiconductor manufacturing. Defects in the reticle can replicate on production wafers. Therefore, KLA-Tencor offers high-sensitivity reticle inspection systems that use multiple inspection modes.
KLA was founded in 1976 by Kenneth Levy and Robert R. Anderson, two entrepreneurs in Silicon Valley. Both men had a vision to develop a new segment of the semiconductor industry. Their first breakthrough was a manufacturing inspection system that helped improve the chip-making process.
Process control equipment is a key part of semiconductor manufacturing, and KLA-Tencor offers a wide variety of equipment for this process. Today's semiconductors require incredibly precise manufacturing processes. Even the smallest error can throw off the entire batch, reducing yields and costing big chipmakers money.
In the early 1990s, KLA's products helped the semiconductor industry regain its footing. The company developed automated wafer inspection systems called WISARD to detect defects on wafers. After projecting a reticle pattern, the systems looked for circuitry errors and defects in a wafer. The WISARD systems helped semiconductor manufacturers ensure that their products had high yields. As a result, KLA's product line began growing rapidly.
The company's growth continued to improve as the 1990s progressed. By the end of the decade, KLA's sales topped $600 million. It then entered into a merger with Tencor Instruments, Inc., for $1.3 billion. Although the companies originally agreed to merge in 1992, the deal was broken early in 1993.
KLA is not the world's largest semiconductor equipment maker, but it has a nearly 50% market share in the process control equipment niche. Its market share is also over four times higher than its closest competitor in this market. Its strong position in this market will ensure it remains a leader in the industry. In addition, KLA expects to introduce new innovations twice as fast as the PDC equipment market as a whole.
KLA-Tencor has a long-standing history of providing quality, innovative process control solutions to the semiconductor industry. KLA-Tencor has over 4,800 employees worldwide and offers a comprehensive portfolio of products and services for the semiconductor, data storage, LED, and other manufacturing processes. Their products are used by every major semiconductor manufacturer in the world. The company is headquartered in Milpitas, California, with dedicated customer operations worldwide.
In addition to quality control equipment, KLA-Tencor offers a variety of metrology and inspection solutions. The company's PlasmaWafer suite combines sensors and metrology solutions to offer a comprehensive set of process information. With this suite, chipmakers can monitor the operating conditions of their etch systems and determine if they need to make any changes. The new solution also makes it easier to troubleshoot and improve their manufacturing processes.
The KLA-Tencor training center will serve both internal and external training needs. According to Efren Lopez, senior director of Learning and Knowledge services at KLA-Tencor, training courses will range in duration from one to six weeks. The courses will cover the basics of wafer detection, as well as equipment maintenance and repairs.
Training is a critical component of success in the semiconductor industry. The industry demands that engineers constantly upgrade their knowledge and skills to keep up with rapidly evolving technologies. To meet this challenge, KLA-Tencor developed its Right People, Right Knowledge process. This process monitors the global competency levels of its employees and uses data analytics to modify training curricula and certification design as needed. In addition, KLA-Tencor constantly aligns its talent management process with changing business needs.
KLA-Tencor offers learning and knowledge services that can help improve the quality and efficiency of manufacturing processes. Datasweep, for example, replaces manual paper-based systems and makes technical data readily available online. This means that engineers can focus more time on problem-solving and analysis instead of data entry and paperwork.
KLA-Tencor has added several new tools to improve the user experience. Online Recipe Services, for example, help users speed up the qualification process and solve tool recipe problems. These tools are available through KLA's iSupport network. They have already been used by multiple leading foundries and integrated device manufacturers.
KLA-Tencor needed a solution that would enable it to leverage the web to enhance its product lifecycle management. The company wanted an easy-to-use web-based solution with an intuitive user interface and wizards that would integrate seamlessly with enterprise systems. The company also needed an eQuality system that would give it the deep unit-level tracking capability it needed, along with detailed "as-built" configuration information. KLA needed online visibility and customization capabilities for its product configuration and design.
As the semiconductor industry began to improve in the early 1990s, KLA's sales began to rise. Its new in-line defect monitoring technology had gained widespread appeal and KLA was well-positioned to capitalize on this new industry niche. Its debt load was minimal, and KLA's cash position was strong.
KLA-Tencor is on an acquisition spree, and could increase its market share by buying smaller companies. It could also bid on Nikon's lithography assets, which could drive substantial cost synergies. However, investors should be aware that the company's CEO is reluctant to increase the company's dividend.
KLA was founded in 1976 by Kenneth Levy and Robert R. Anderson, who saw the potential of the semiconductor industry. The two men believed that they could enter new segments in the industry by developing a better manufacturing inspection system. They have since acquired companies in 6 countries and 3 US states.
KLA has also improved its core products like WISARD and RAPID. Their KLA 5000 series wafer inspection systems have improved yields in the semiconductor industry. These machines cost $300,000 to $550,000 each. The company also developed new products such as electron beam imaging systems. These products offer improved sensitivity and are sold for $300,000 to $550,000 per unit.
KLA has benefited from low competition in its domestic market. It has also expanded globally to make up for its weakness in the domestic market. In the early 1990s, the company garnered 22 percent of its sales in Japan and 40 percent in Europe. During this time period, the semiconductor industry experienced a severe downturn in Japan. As a result, the company has slowed down their release of new systems to the market and temporarily reduced its order volume.
If you're interested in finding out what KLA stands for, you've come to the right place. KLA is a semiconductor company that was founded in 1975. It has strong financials and a successful service business model. However, what makes KLA different from other semiconductor companies is its history.
KLA is a semiconductor company based in Silicon Valley. It was founded in 1976 by Kenneth Levy and Robert R. Anderson, two entrepreneurs who believed they could open up new segments in the semiconductor industry. The company's first product, a manufacturing inspection system, helped semiconductor companies improve their chip making processes.
KLA is a leading provider of semiconductor process control equipment. The company's products enable semiconductor manufacturers to eliminate defects and improve yields. Its products and services support all stages of the semiconductor manufacturing process, from wafer fab equipment to semiconductor process software. KLA has four business segments: IC manufacturing products, Semiconductor Process Control, Special Semiconductor Process, and PCB, Display, and Component Inspection.
The company grew at a healthy pace over the next few years, reaching revenues of $600 million in 1997. In 1997, KLA agreed to merge with Tencor Instruments, Inc., for a total of $1.3 billion. The two companies had previously agreed to merge in 1992, but broke off the deal in early 1993.
KLA continued to pour money into research and development in the early 1990s. The company spent $64 million on research and development in those years, which was nearly 22 percent of its revenues. It posted a $14 million loss in 1992 and cut its development costs to $24 million and 14 percent of its sales in 1993.
KLA was founded in 1975 by Ken Levy and Bob Anderson. Both were silicon valley entrepreneurs who saw the need for a more effective way to inspect semiconductor chips before production. Their invention led to a major breakthrough in the chip-making process. As a result, KLA is one of the leading manufacturers of semiconductor equipment.
The company provides semiconductor manufacturing solutions and services, including patterned wafer inspection, defect inspection, surface characterization, and electrical property measurement. It also provides optical inspection systems and computer-aided manufacturing solutions. The company also provides inspection systems for the display and advanced semiconductor packaging markets. In addition, KLA has partnered with leading companies in the electronics industry to manufacture semiconductors.
The company's early products focused on reticles. It developed the RAPID reticle inspection system in the late 1970s. The technology behind RAPID utilized advanced optical and image processing techniques to inspect the stencils used to print circuit designs. Because defective stencils can cause millions of dies to be rejected, the RAPID system was a huge step forward for the semiconductor industry. The RAPID 210e series became a standard in the semiconductor industry and formed the foundation for all KLA products that followed. In 1980, the company went public, raising funds for marketing the RAPID systems and continuing research and development.
During the early 1990s, KLA continued to pour cash into R&D. In 1991, it spent $64 million on R&D, or 22 percent of sales. However, in 1992, KLA suffered a $14 million loss. By 1993, major product introductions were complete, and the company reduced its development costs to $24 million, or 14 percent of sales.
KLA has strong financials, with over $2.3 billion in cash and no long-term debt. Its strong operating cash flow and high margins have enabled it to grow revenue and lower costs. KLA has a flexible maturity profile, with a high level of institutional ownership, including Blackrock and Vanguard. Its revenue growth has been robust, and it continues to pay down debt.
The company has paid dividends to shareholders for at least ten years. This shows that management cares about its shareholders. However, the dividend payout ratio is projected to fall to 21% in the next three years and the ROE will be slightly below 50%. That may change depending on other factors. But KLA is a solid investment for long-term growth, and its stock is currently trading at less than ten times forward EV/EBITDA.
KLA generates $1.9 billion in free cash flow (FCF), and its FCF margin is 30%. This growth is a strong sign of strong momentum in KLA's core markets, as well as the company's attractive operating leverage. In addition to this, KLA has a strong earnings history, with year-over-year EPS growth of 56% and 30% year-over-year growth in revenue. Moreover, KLA is committed to returning 70% of its free cash flow to shareholders. Moreover, the company has excellent margins, and its IP portfolio is wide and deep.
KLA is one of the world's largest semiconductor equipment providers, and it is the market leader in process control. It also has a successful service-based business model, which removes revenue volatility and ensures long-term profitability. Semiconductor industry growth will be driven by the transition from 5nm to 2nm by 2023. This will enable global semiconductors to generate secular growth, which is a key factor when global tech companies are facing inflation expectations.
KLA is one of the world's largest semiconductor equipment providers, with a leading position in process control. The company has consistently held market share in this niche, thanks to its successful service business model. KLA also has a solid balance sheet, with $2.7 billion of total cash and $6.7 billion of debt. The company's high FCF yield, low debt to equity ratio, and strong gross margins all contribute to its solid financial performance. In addition, the company has a sustainable, recurring revenue stream.
KLA's service business model combines product and process development with repair and maintenance. With its extensive portfolio of PCBs and other semiconductor products, KLA is able to provide customer-specific solutions to meet their specific needs. It also offers services such as direct imaging, drilling, inspection, test product development, and software solutions. The company also offers deposition and etch processes. It has developed processes that enable the production of semiconductors for power, RF, MEMS, and advanced wafer-level packaging.
The KLA service business model also allows it to build a network of its customers. By using user forums, the company can connect its customers in a way that makes individual buy-ins to new value propositions more visible. As a result, KLA's users are encouraged to adopt new technologies through positive marketing. Ultimately, this accelerates technology adoption.
KLA is a leading semiconductor company, and it enjoys a solid recurring revenue stream. Its high gross margins and long-standing relationships with its clients are key indicators of its success. In addition, the company maintains a large share of the semiconductor market and enjoys a high level of institutional ownership. This helps it generate high profit margins and make substantial investments in product innovation.
KLA has consistently delivered results and increased its recurring revenue stream over the last decade. Its R&D spending is in line with its revenue growth. It also has a large installed base that supports its growing service business. Additionally, its strong installed base tempers the impact of semiconductor downturns on its wafer fabrication equipment. As semiconductor production technology becomes increasingly complex, KLA's revenue will continue to rise, leveraging its broad portfolio and ongoing investment in next-generation technologies.
Companies with a strong recurring revenue stream can better track cash flow and plan for future growth. Unlike one-time purchases, recurring revenue allows companies to predict future earnings and allocate resources more efficiently. In addition, it helps establish a company's worth and guides business decisions.
KLAC generates revenue from two distinct segments: Wafer Inspection and Patterning. In both segments, the company offers advanced equipment for wafer inspection and analysis. Customers use these tools to solve manufacturing problems and improve yields. In turn, KLA's customers increase their profitability.
The company's service team has remained embedded with customers and acts as an extension of their manufacturing teams, assisting customers with the ramp-up of new and existing facilities. As a result, factory utilization rates at its legacy nodes are high, bolstering demand for reliable and efficient performance that enables higher yields. Accordingly, the company expects to see higher sales of its Orbotech and core chip equipment in the second half of 2019.
KLA's free cash flow was $746 million during the third quarter, with a conversion rate of 86% and a margin of 30%. The company's balance sheet demonstrates an active balance sheet, with $2.7 billion of cash and $6.7 billion in debt. While the company continues to face cost pressures, it anticipates reasonable savings in labor costs and SG&A costs that could reach 8% to 10% of revenues. In addition, the company plans to make significant investments in new technologies to improve its business and increase its share of the semiconductor market.
As the demand for semiconductors continues to increase, the company's long-term outlook looks rosy. The company's tools are critical to semiconductor manufacturers, helping them yield defect-free chips. These tools are likely to become even more vital as chip manufacturers move toward more challenging fabrication processes. In addition, as node sizes shrink, process control will become increasingly important. This should help KLA stay ahead of the competition. Furthermore, KLA's free cash flow has been positive over the past few years.
Founded in 1979, KLA is a leading global provider of process control and yield management solutions. The company was named after its founders Bob Anderson and Ken Levy, who sought a name that would be easy to remember. The company was formerly known as Tencor.
When Tencor, KLA and Acme Systems merged in 1997, they created the KLA-Tencor Corporation. This new company was the result of a combination of the two companies' strengths in process control and yield management. Together, they offer comprehensive software and services to improve manufacturing yield.
During the past decade, KLA has consistently maintained a 50 percent share in the process control market. Its dominance in this segment is largely the result of its technology leadership in optical and process control yield management equipment. This leadership has translated into industry-leading gross margins. In the last five years, KLA has consistently reported a 60% gross margin (GM), beating industry peers by over 10%.
KLA and Tencor are also committed to building a more efficient and innovative supply chain. The KLA-Tencor platform allows companies to share information and collaborate in new ways. For example, users can view ratings from suppliers. This makes it easier to identify and contact potential suppliers. In addition, KLA-Tencor maintains standardized training procedures for core supply chain development, which includes negotiation skills and software knowledge.
As a global leader in yield management and process control systems, KLA-Tencor Corporation has been working with customers around the world for more than 40 years. KLA-Tencor's innovative products help semiconductor manufacturers analyze the manufacturing process, measuring the microscopic layers of chips and providing feedback to improve results. The company is headquartered in Milpitas, California, with dedicated customer operations and service centers around the world.
In the semiconductor industry, KLA-Tencor is a clear leader. Its fiscal 2001 revenues were $2.1 billion, up 40 percent from the year before. The company also launched 19 new metrology systems and improved its net income by 74 percent. The company is currently a leading player in the field and looks set to continue to grow.
KLA was well positioned to capitalize on emerging trends. It controlled about 70 percent of the wafer inspection equipment market, including reticle inspection systems. As semiconductors became increasingly complex, they required more automated and high-tech tools for quality control. Founders Levy and Anderson recognized the need for "in-line" monitoring systems that integrated into the manufacturing process and provided immediate detection of defects.
KLA-Tencor is committed to providing its customers with the highest-quality equipment. Its "eQuality" system allows customers to streamline production process and reduce manufacturing quality defects. The web-based solution integrates with their enterprise systems, such as Oracle ERP, Clarify CRM, and Sherpa PDM. With this web-based software, the company can collect and track manufacturing data from multiple sources, reducing production cycles, and improving ISO 9002 certification.
KLA-Tencor's comprehensive metrology and analysis products are designed to address the complex process control measurement challenges faced by semiconductor equipment manufacturers. These products help fabs maximize yields and increase profitability.
KLA-Tencor is a global provider of yield management and process control solutions. The combination of these two companies, KLA Instruments and Tencor Instruments, brought together more than 2,500 employees and $4 billion in annual revenues to create one of the largest names in the industry. KLA provides high-end automated optical wafer inspection and reticle inspection systems, while Tencor focuses on low-cost high-throughput yield monitoring.
The company is dedicated to meeting the needs of the microelectronics industry with comprehensive yield management solutions. Its products and services help simplify planning, coordinate processes, and improve equipment compatibility. KLA-Tencor products can be found in the semiconductor, data storage, LED, and photovoltaic industries.
The company's PMC-Net Applications Suite is a centralized database that holds yield-relevant data from all fabs. It consists of eight plug-in application modules, including reticle defect monitoring, bin failure to defect correlation, focus exposure matrix (FEM) process window optimization, defect line monitoring, and defect tool identification. In addition, KLA's PMC solutions can be customized and optimized to meet the specific needs of semiconductor fabs.
The company has long-standing relationships with key customers such as TSMC and Samsung. These customers require long-term support and maintenance for their equipment. With this in mind, KLA is committed to providing the best possible customer service and support for its products. With this relationship, the company is one step ahead of the competition in the industry.
KLA's growth was largely due to international sales. KLA continued to invest heavily in research and development. In the early 1990s, the company earned almost 60 percent of its total revenue outside of the U.S. The company expanded its business in other countries, including Japan and Europe. In 1987, KLA's sales from overseas markets grew by nearly 40 percent.
As the semiconductor industry began to rebound, KLA focused on developing new technology and products that would improve the semiconductor manufacturing process. The company started introducing its RAPID system in the late 1970s, which used advanced image processing technology to analyze stencils that were used to print circuit designs. This product was the first of its kind, and was quickly accepted by the industry. Its RAPID 210e series became the foundation for future product lines. In the late 1980s, KLA went public and began marketing its RAPID systems. The company also started offering engineering consulting services.
A key part of KLA-Tencor's executive management team is Ben Tsai, a former executive at the company. He has worked in a variety of positions at KLA Instruments, including president and CEO. He also serves on the Board of Directors of SEMI and Beckman Coulter.
When it comes to process control yield management, KLA is one of the most trusted names in the industry. Since the late 1980s, the company has invested heavily in research and development, making improvements to existing products and developing new lines of equipment. As a result, the company has a strong cash position and a manageable debt load.
KLA-Tencor Corporation, headquartered in Milpitas, California, is a leading supplier of process control and yield management solutions for the semiconductor industry. The company's products help semiconductor manufacturers analyze and improve chip manufacturing by measuring the microscopic layers of the chips and providing feedback to correct manufacturing mistakes. KLA's products are used by every major semiconductor manufacturer in the world.
KLA's technology has helped semiconductor manufacturers improve their chip yields. The company's earliest products were automated wafer inspection systems, known as WISARD. These systems looked for defects in the wafer's circuitry after a reticle pattern was projected on it. These systems helped ensure high chip yields. Throughout the 1980s, KLA continued to develop its products and entered the semiconductor industry. By the end of the decade, it had created its own yield management software services group, and was able to develop systems that would integrate data from various sources.
KLA-Tencor has elected two new directors, Robert P. Akins and Kiran M. Patel. They both have extensive industry experience and the ability to see the root of complex problems. They were previously vice presidents of the Wafer Inspection Group. They have been responsible for improving customer service, manufacturing efficiency and sales operations.
KLA has a leading position in the semiconductor industry and is a leading provider of process control solutions. With a record backlog, the company expects to see strong demand for its products. Revenue growth will be supported by the growing complexity of advanced semiconductor production, as well as expected gains in market share through continued investments.
The company offers a comprehensive suite of metrology and analysis products to assist semiconductor manufacturers in their quest for high yields. The company's reticle inspection systems feature multiple inspection modes and optical imaging for high sensitivity. They also offer a comprehensive range of process window optimization solutions.
KLA-Tencor has developed a unique platform that facilitates transparent collaboration between its employees. This platform cuts across multiple communities and allows suppliers to engage in conversations in new ways. For example, suppliers can view ratings of KLA-Tencor projects, and can connect with others through the platform.
The company's PlasmaWafer Suite includes sensors that measure critical in-chamber process conditions. This suite of sensors and metrology systems delivers new types of process information to semiconductor manufacturers. It also allows chipmakers to monitor the operating conditions of their etching systems.