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A better world
through innovation
Semiconductors are leading the charge towards a data-driven
society, with Tokyo Electron (TELTM) a key player in the evolution of
semiconductor process technology.
perwafermadefromTELproducts by 2030 based on 2018 levels.
Thecompanyalsoplanstoreduce CO 2 emissions from its plants
andofficesby 70% withinthesame period by sourcing 100% of its
powerneedsfromrenewableenergy.
Tomeettheenvironmentalchallenges that reside within its
supplychains,TELestablished E-COMPASS (Environmental Co-
CreationbyMaterial,Processand Subcomponent Solutions). The
initiativealignsTELproductsand operations more closely with its
environmentalmandates,strengthening the company’s ties with
businesspartners,andsolidifying its industry leadership.
“Wewillutiliseeverymanagement resource at our disposal to
drivethemajortrendsofdigitalisation and greening of society, and
activelyendeavourtopreserve the global environment through the
supplychain,”saysMrKawai.
Whiletechnologicaladvances will help drive these goals, these
achievementswillultimatelybe realised by TEL employees. The
companybelievesthatcorporate growth is fi rst and foremost about
people,andthatemployeesare the source of both corporate value
creationandeconomicgrowth.FROMSTRENGTHTOSTRENGTH
Since TEL’sfoundingin1963,the company continues to grow
fromstrengthtostrength.TEL is the only company in the world
thatmanufacturesthefoursequential key types of processing
equipmentindispensableforthe patterning of semiconductors—
theseincludedeposition,coater/developer, etch, and cleaning. TEL
estimatesthatitsproductsare either number-one or number-two
intermsofmarket share, andit owns 100% of the inline coater/
developerforextremeultraviolet lithography market worldwide.
TELholdstheworld’s largest installed base of about 78,000 units,
andpridesitselfonitslowturnover, which ensures business
continuityandsafeguardstechnical information. “Virtually every
semiconductorintheworldpasses through TEL-made equipment,”
saysMrKawai.
TELwillinvestmorethan¥400 billion (US$3.5 billion) in research
anddevelopment(R&D)overthree years from FY 20. The company
maintainsa strongpipelineofnext-generation products, enabling TEL
to pursueprofi tsfrom highvalue-added equipment that customers
willneedin thefuture.Thecompany has also targeted the ambitious
financialmodelofachieving¥2 trillion (US$18 billion) in sales, and
anoperatingmargin andreturn on equity of 30% or more by FY 24—
targetsthatarelikelywithinreach.
Thecompany’scorporatephilosophy
of“contributingtothedevelopment of
a dream-inspiringsocietythrough our
leading-edgetechnologiesand reliable
servicesandsupport”refl ectsthe pledge
TELhasmadetocontinuouslyinvest in
R&D.“Togetherwithouremployees, we
cangrowintoanevenmoredynamic
company,” says Mr Kawai.Thepasttwoyears have usheredinsignificantchangesintheworld
asweknowit—manyofwhichhavebeenforthebetter.Businesses
andsocietyasa wholehavebecomemoredigitallyconnected,thanks
toincreasedadoptionandusageofinformationandcommunication
technology(ICT).Inaddition,rapidlyevolvingtechnologiessuch
asartifi cialintelligence,theInternetofThings(IoT),bigdata,5G
telecommunicationsnetworks,andeven post-5Gtechnologyare
makingourICTtoolsfaster,smarter,saferandmorereliable.
“Therecentcrisishasspedupdigitaltransformationand
technologiesbyseveralyears,acceleratingourevolutiontoa data-
centricdigitalsociety”,saysMrToshikiKawai,presidentandCEO
ofTokyoElectron(TEL).WithrevenuesofmorethanUS$11billion
sinceFY18,TELis theleadingglobalmanufacturerofequipment
andservicesforthesemiconductorandflat-paneldisplay industries.
A BRIGHTFUTUREAWAITS
Notonlydosemiconductorsfeaturewithinvariousdevicesat
homeandforleisure,theyalsoempowerbusinessesofalltypes,
leadingtothecreationofentirelynewdigitisedindustries—from
automatedvehicles,tosmartagriculture,telehealth,andsmart
cities.Thesemiconductormarketwillmorethandoublein value
fromoverUS$440billionin 2020toaboutUS$1trillionby2030.
Semiconductorsareattheheartofthisecosystem.
Yetindustry-widegrowthmustnotbeattheexpenseofthe
environmentorpeople’swell-being.Intacklingenvironmentalissues,
TELconsidersinnovationin semiconductortechnologytobethe
mostimportantfactor.“Asa companythatprovidesequipmentto
semiconductormanufacturers,TELis committedtoensuringthe
industrygrowssustainably,balancing‘digital’and‘green’,”explains
MrKawai.TELhascommittedto a30% reductioninCO 2 emissions
http://www.tel.comToshiki Kawai
President & CEO, Tokyo Electron Limited