![]() ![]() ![]() This edge directly manifests itself into improved economies and improved defences, making it more challenging for hostile nations to escalate conflicts. By limiting the semiconductor abilities of nations at odds with the West, it is possible for the West to advance quicker, thereby giving the West a technological edge. New export controls introduced under increasing US pressureĬonsidering that ASML is the only company in the world to produce EUV systems, it comes as no surprise that the US has been doing everything it can to get the Dutch government to impose export restrictions that prevent countries such as Russia and China from getting access to these systems. Overall, The Netherlands has full control over the manufacture of new semiconductor devices needed to produce cutting-edge devices, ranging from smartphones to military defence systems. The technology used to generate the EUV light is particularly unique it involves firing a high-powered CO2 laser at tiny droplets of tin, which generates a plasma that emits EUV light 3. This process is incredibly complex and requires a high level of precision and control. These systems use a process called extreme ultraviolet lithography, which involves the use of high-frequency photons to create intricate patterns on a silicon wafer. To understand the complexity of the technology involved, let's delve a bit deeper into the workings of ASML's EUV systems. In fact, considering the numerous technical challenges involved, it may actually be impossible to create a EUV system without violating patents protecting ASML technologies, meaning that ASML would have a monopoly over the market for the next few decades. Unlike traditional lithography, where a mask is placed in a beam of collimated light to expose specific areas of a wafer, the use of high-frequency photons combined with the tiny size of features makes it extremely challenging to create a reliable mask and pattern.ĪSML has been able to achieve this with years of research and the use of unique in-house technologies, such as the use of tin drops targeted with CO2 lasers to produce EUV light. The answer to this comes down to the sheer complexity involved with single nanometre photolithography. The reason for this importance comes down to one company, ASML, which, to date, is the only manufacturer in the world of extreme ultraviolet lithography machines needed to produce features in single nanometres.Ĭonsidering how lucrative the semiconductor industry is, it’s perfectly understandable to wonder why no other company has decided to manufacture their own systems and compete with ASML. This tiny nation that sits between Belgium and Germany has a population of just 17.53 million and is responsible for just about every single high-end semiconductor manufactured today, making it arguably the most important country in the world for semiconductors. But while these countries are responsible for producing most next-gen level hardware, all of these countries have one nation in common The Netherlands. When thinking about countries with the biggest influence in semiconductor manufacturing, most would think of the US, Japan, South Korea, and, probably the most important, Taiwan. Why is the Netherlands so important to global semiconductor manufacturing? Why is the Netherlands so important to global semiconductor manufacturing, what exactly will the restrictions do, and does this demonstrate the power that the US has over the semiconductor market? Recently, the Netherlands announced new rules that will restrict exports involved with semiconductor manufacturing equipment, such as those produced by ASML, after increasing pressure from the US. ![]()
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