Catalyst Semi's Lead-Free Pioneers Go Halogen Free

by Lee H. Goldberg

Catalyst Semiconductors is among the first U.S. chip makers to be able to offer products that are both lead-free and ozone-friendly. The company, whose primary products include programmable products including flash memories, parallel and serial EEPROMs, NVRAMs, and programmable mixed-signal products, has completed a year-long effort to offer its products in packages that are compatible with lead-free soldering technologies, and use materials that are halogen free. Besides being a technical and environmental success, the pioneering project has also begun yielding some unexpected business dividends for the company.

Dan Terry Catalyst's Director of, Quality Systems, who spearheaded the "green packaging" program, says that they were motivated by customer demand, as well as the fact that it was, "the right thing to do." While they had planned to address lead-free issues at some point, Catalyst's schedule was accelerated by the demands of its customers. About 18 months ago, their documentation department began to get ever-increasing numbers of inquiries regarding the availability of lead-free products and the associated certification paperwork from manufacturers who were trying to comply with regulations that would ban lead from their products.

Unexpected Demand
Terry says that the greatest interest in green semiconductors is coming primarily from Japan and Europe where environmental regulations are particularly strong. It seems that the consumer electronics market is the primary motivator since those products are most likely to end up in landfills, and eventually contaminate the soil and groundwater. Lead-free laws are already in force in Japan and the EU is scheduled for a total lead ban in its electronic products by 2008. Even the U.S.-based National Electronic manufacturing Initiative (NEMI) is calling for elimination of lead from many products by 2004.

Besides direct customer interest, Catalyst realized that as an ISO 900-compliant company, they would have to address the environmental issues in part of the new ISO 9000-2000 standard that will be in force soon. While not an environmental-performance document per-se, it incorporates some of environmental principles from the ISO 14000 environmental standard. Most major manufacturers are planning on being compliant with ISO 9000-2000 by the end of 2003.

Multiple Technical Challenges
While changing the tinning compound they used on their connections from a tin/lead compound to all-tin was relatively straightforward, there were a number of other hurdles that had to be overcome before Catalyst could actually ship lead-free products. Most of the challenges arose from the higher reflow solder thermal profile required for lead-free surface mount products. With peak temperatures of 260ºC (vs. 240ºC for tin/lead) the packaging engineers had to find a new die-attach compound and a moldable plastic for the packages to survive the higher temperatures.

Working closely with its partner, Orient Semiconductor (OSE), a major Asian semiconductor test and assembly house, it identified Able Bond's RP119-10 epoxy as able to meet the new requirements. Although Catalyst was using a packaging plastic (Sumitomo G-66) that could take the higher temperatures, it still contained halogen-based compounds that could release ozone-depleting gasses. More work and research identified Sumitomo's G-600 plastic that is 100% halogen-free and MSL-1 (moisture sensitivity, level 1) compliant. All of Catalyst's products are currently available in lead-free format, and fully green products (no lead, no halogens) are now sampling, with volume manufacturing by September of this year.

The economics of the project have been surprising, with a relatively modest investment yielding a tremendous customer response. There was some significant up-front investment consisting mainly of engineering efforts that were borne jointly by Catalyst and OSE, but Dan Terry says that they were more of an investment in time and commitment. The new, "green" materials have little or no cost premium associated with them, allowing the company to now offer any of its semiconductor products in packaging that is considered 100% green without passing on a price increase to customers.

Catching The Wave Early
Because it took early action, Catalyst is enjoying increased sales and handling many new inquiries from manufacturers who need to comply with European or Japanese environmental regulations. Catalyst will also continue to offer its customers the option of getting their products with leaded attachments until they have all transitioned to the new process. "Once the genie is out of the bottle, you're stuck" explains Terry, "Since lead-free and leaded attach technologies are incompatible because of their different thermal profiles. Ideally all components should follow the same temperature profile during assembly, so once a board has one lead-free component, it will drive how the entire board is assembled."

He enthusiastically continues, "We're committed to supporting our customers with legacy lead-based processes, but I am convinced that because of its all-or-nothing nature, once lead-free catches a foothold, the trend will go hockey-stick." Noting that some manufacturers have tried to ignore the trend, Terry says, "The speed of the transition will surprise a lot of people since moving an assembly line, and more likely an entire facility, cannot be gradual. And there is no turning back."

Final Analysis: A Win-Win
In retrospect, Catalyst views their lead/halogen-free products as both the right thing to do and as a strategic advantage. The ability to supply green products is expected to become a significant sales advantage which will help differentiate themselves from competitors. "There is a tremendous potential for synergy when green meets business plan" says Dan Terry, "The manufacturer, subcontractor, customers (OEMs) and society at large all win if we apply a little ingenuity to the problem. Our work here is a great example of how a smaller, more nimble company can take the lead and have a positive impact on global issues." He smiles, "And, the changes can sometimes be made in months, not years."



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