Heraeus Electronics developed a new strategic business model to disrupt traditional semiconductor value chains by approaching fab-less companies and original device makers (ODM) to design-in its products which increased revenues significantly – despite the global pandemic. This new approach expects revenues and market share to increase further.
“Current technology trends are driving 5G communications, and market demand is increasing exponentially. With 5G Smartphones enabling more powerful features in smaller and slimmer spaces, Heraeus Electronics found an opportunity to apply its expertise and products to respective applications”, says Li-San Chan, Head of Semiconductor Advanced Packaging Market Segment, who accepted the award in Singapore on behalf of the company. “We would like to thank our customers and partners for their confidence in our abilities.”
The business model started by identifying top players in 5G mobile communications semiconductor devices as they outsource manufacturing to assembly and test (OSAT) companies; and ODMs who design, produce, and sometimes outsource their production. Because of the complexity within such leading-edge technologies, materials selection decisions lie with these leading players instead of the subcontractors. Currently, the majority of 5G high-end Smartphones launched in 2020 use HET Welco® materials that are developed and produced in their Singapore factories.