Canon's 5nm Nano-Imprint: A US EUV Ban Breakthrough

Canon, a prominent player in Japan's semiconductor manufacturing equipment industry, is significantly expanding its product range to address a broad spectrum of market demands. Their aim is to encompass the entire spectrum, ranging from established semiconductor chips to cutting-edge chip manufacturing. This move challenges ASML's dominant position in the micro-imaging equipment sector.

According to reports by Bloomberg and Techspot, Canon recently unveiled its latest semiconductor chip manufacturing system, the FPA-1200NZ2C. This system employs advanced Nano Imprint Lithography (NIL) technology. It is capable of producing state-of-the-art 5-nanometer logic chips and also offers a compelling advantage in terms of reducing the overall cost of ownership.

However, it's worth noting that Canon's new micro-imaging system may introduce a new element into the ongoing trade tensions between the United States and mainland China. The current U.S. trade restrictions pertain to DUV and EUV micro-imaging equipment, but Canon's new equipment operates on a different technological basis and is not subject to these original trade restrictions.

Canon has chosen not to comment on this matter when approached for inquiries.

NIL technology holds great potential for achieving circuit patterns with a minimum linewidth of 10 nanometers, equivalent to a 2-nanometer node, as mask technology continues to advance.

Diverging from traditional optical micro-imaging equipment, which projects circuit patterns onto wafers coated with etch-resistant materials using masks, NIL technology functions by imprinting the circuit-patterned mask onto the wafer, akin to a stamp. The absence of a reliance on optical mechanisms and specific wavelength light sources makes NIL technology ideal for faithfully replicating intricate circuit patterns on wafers, even facilitating complex 2D or 3D circuit patterns with a single imprint. This not only contributes to cost reduction but also plays a role in mitigating carbon emissions.

Furthermore, the FPA-1200NZ2C is equipped with groundbreaking environmental control technology, which effectively minimizes fine particle contamination.

Historically, NIL technology has served as a cost-effective alternative to optical micro-imaging technology and has garnered endorsements from key memory manufacturers, including SK Hynix and Toshiba. KIOXIA, for instance, conducted trials with this technology prior to its commercial readiness.

Pranay Kotasthane, a high-tech geopolitical expert at India's Takshashila Institution, points out that NIL technology, despite being in existence for over two decades, has not enjoyed significant industry attention. The continued success of ASML's EUV equipment for the production of intricate chip products largely accounts for this.

Canon, which initially focused on manufacturing semiconductor equipment for less advanced chips, has dedicated nearly a decade to advancing NIL technology since its acquisition of Molecular Imprints, a pioneer in nanoimprint lithography, in 2014. The company is presently constructing a state-of-the-art micro-imaging equipment plant in Utsunomiya, north of Tokyo, with plans for production commencement in 2025. This strategic shift represents a substantial evolution in Canon's business direction.