[HN Gopher] ASML names Christophe Fouquet as new CEO
       ___________________________________________________________________
        
       ASML names Christophe Fouquet as new CEO
        
       Author : newswasboring
       Score  : 87 points
       Date   : 2023-12-01 12:47 UTC (10 hours ago)
        
 (HTM) web link (nltimes.nl)
 (TXT) w3m dump (nltimes.nl)
        
       | jedisct1 wrote:
       | It's pretty nuts that so many industries directly or indirectly
       | depend on ASML, and that they have no competition.
       | 
       | How come companies like TSMC can't build their own machines? Is
       | there really only one company in the world that has the required
       | skills? Or is it only because of patents and exclusivity
       | agreements?
        
         | arethuza wrote:
         | I suspect having close partnerships with the likes of Carl
         | Zeiss AG who do the optics for the EUV machines will be part of
         | it.
        
           | amelius wrote:
           | Why wouldn't Zeiss want to profit from more clients?
        
             | arethuza wrote:
             | I would suspect that they have exclusivity deals with ASML?
             | 
             | Edit: It looks like the Carl Zeiss subsidiary that does the
             | semiconductor manufacturing tech is part owned by ASML:
             | 
             | https://en.wikipedia.org/wiki/Carl_Zeiss_SMT
             | 
             | Edit2: Looks like ASML invested a billion Euros into Carl
             | Zeiss SMT:
             | 
             | https://www.asml.com/en/news/press-releases/2016/zeiss-
             | and-a...
        
               | kergonath wrote:
               | It's like Apple and TSMC. At this scale, both benefit if
               | a large customer helps funding its critical supplier's
               | technology and infrastructure developments. It's a
               | symbiotic relationship, both suffer if one has serious
               | issues.
               | 
               | On one hand it's anti-competitive because it makes it
               | more difficult for the customer's competitors to use
               | leading edge technologies; on the other those leading
               | edge technologies would be much harder and take longer to
               | develop without the customer's contribution.
        
               | amelius wrote:
               | How much did Apple invest in TSMC?
               | 
               | And how is it symbiotic if Zeiss can't take other
               | customers?
        
               | sjsdaiuasgdia wrote:
               | > And how is it symbiotic if Zeiss can't take other
               | customers?
               | 
               | Guaranteed revenue that doesn't need sales/marketing to
               | keep going.
        
               | verall wrote:
               | > How much did Apple invest in TSMC?
               | 
               | A bunch, like more than a million dollars
        
               | kergonath wrote:
               | It's a specific part of Zeiss, it's not like they bet the
               | whole group on it. It's symbiotic because they help ASML
               | get better machines, which helps ASML get more money, a
               | part of which is funnelled back to its suppliers. In the
               | end it's a risk assessment: what is the expected value if
               | we get closer to a single partner, compared to trying for
               | a broader market. Also, bear in mind that both sides have
               | to keep the other working: the customer without suppliers
               | is just as dead as the supplier without customers.
               | 
               | So: they depend on each other, and they get more business
               | and make more money by getting closer and have incentives
               | to help the other improve (so it is not an adversarial
               | relationship). Hence, symbiosis.
        
         | infecto wrote:
         | I don't believe it has much to do with patents, though I
         | suppose it helps. They have the talent, existing knowledge and
         | the manufacturing capabilities to make it happen. One machine,
         | which kind of looks like a CNC machine to me, can cost
         | $200-400million IIRC.
         | 
         | Another way to look at it, China would love to be able to copy
         | their processes and has not yet been able to do so.
        
         | micwag wrote:
         | There is definitely some patent, exclusivity agreements and
         | protectionism going on. But the bigger factor is, that the
         | semiconductor supply chain is very deep and development is VERY
         | expensive and long. In addition to that there was a major
         | switch from lenses to mirror in the lithography system, so
         | everything is very new.
         | 
         | I know of multiple suppliers down the supply chain which had to
         | invest billions and had to wait 10 years before they even saw a
         | penny.
         | 
         | There is a reason why everybody else essentially gave up.
        
         | baybal2 wrote:
         | Lack of experience.
         | 
         | Most of the West has bailed out of the electronics race so long
         | ago, that the experience gap in between practice, and what is
         | told in universities is like 20-30 years now.
         | 
         | No university in the world will teach you how to make a modern
         | stepper. Most of research in this space been going behind
         | closed doors from the beginning of the semiconductor industry,
         | and nearly completely closed since around 2010.
         | 
         | Only places like IMEC and few others are semi-public windows to
         | what happens behind closed doors.
         | 
         | In principle, physics behind the operation of a stepper is
         | nothing secret, components not secret, manufacturing techniques
         | not secret, but the experience of how to arrange all of above
         | in a way it is known to work is only available to, I would say,
         | less than 100 people worldwide.
        
           | verall wrote:
           | But we learned all about stepper motors in undergrad EE!
        
         | username_my1 wrote:
         | As far as I know it's also the only company in the world where
         | the US goverment has a major stake in (25% I think).
         | 
         | Good news is that China has delivered their 8mm lithography
         | machines and are promising 3mm sometime in the next two years.
         | maybe this will introduce more competion down the road
        
           | arethuza wrote:
           | I don't see any listing for USG in their shareholders?
           | 
           | https://en.wikipedia.org/wiki/ASML_Holding
        
           | stephenitis wrote:
           | do you have a source to cite for this?
        
           | st_goliath wrote:
           | > ... 8mm lithography machines and are promising 3mm sometime
           | in the next two years.
           | 
           | Wait what? I've soldered SMD parts smaller than that, I guess
           | I could do 3mm lithography free-hand with a good razor blade.
           | 
           | Sounds like I'd have a nice head-start in the "cutting-edge"
           | field of sub-centimeter lithography.
        
             | maxfurman wrote:
             | I think GP means nm, not mm
        
           | manuelabeledo wrote:
           | > Good news is that China has delivered their 8mm lithography
           | machines and are promising 3mm sometime in the next two
           | years. maybe this will introduce more competion down the road
           | 
           | I have my doubts about this.
           | 
           | SMIC is still struggling with 7nm, unable to deliver at
           | scale. 3nm in two years sounds like a leap.
        
           | MangoCoffee wrote:
           | >China has delivered their 8mm lithography machines
           | 
           | Do you mean 28nm?
           | 
           | https://www.tomshardware.com/news/chinas-first-28nm-
           | capable-...
        
         | skrebbel wrote:
         | It's simply decades of R&D that no other company has done.
         | Barring maybe Canon and Nikon but they're pretty far behind.
         | 
         | ASML machines are truly a marvel of engineering. And duct tape
         | btw, but also engineering.
         | 
         | There's no fundamental reason other companies couldn't compete.
         | Simply invest tens, maybe hundreds of thousands of man-years
         | and there you go, a second ASML.
        
           | kvemkon wrote:
           | > It's simply decades of R&D that no other company has done.
           | 
           | ASML machines consist of at least two main parts: laser and
           | lenses. Both has been engineered by third-party firms: TRUMPF
           | (laser) and Carl Zeiss (lenses).
           | 
           | > Simply invest tens, maybe hundreds of thousands of man-
           | years and there you go, a second ASML.
           | 
           | As it is often, you'd just need to know where to buy your
           | start (remember MS DOS) and then you can invest a lot from
           | your first revenues.
           | 
           | Canon might come up with a good different solution
           | (13.10.2023):
           | 
           | - Canon, [], launches ASML challenge with machine to make the
           | most advanced chips
           | https://news.ycombinator.com/item?id=37870372
           | 
           | - Canon Nanoimprint lithography semiconductor manufacturing
           | system (5nm) https://news.ycombinator.com/item?id=37894925
           | 
           | - Canon Prepares Nanoimprint Lithography Tool to Challenge
           | EUV Scanners https://news.ycombinator.com/item?id=37917587
        
             | FirmwareBurner wrote:
             | _> ASML machines consist of at least two main parts: laser
             | and lenses. Both has been engineered by third-party firms:
             | TRUMPF (laser) and Carl Zeiss (lenses)._
             | 
             | Correction: not lasers and lenses, but EUV light-source and
             | mirrors.
             | 
             | The TRUMPF laser in the EUV machines is nothing too
             | special, but the Cymer EUV light source, consisting of
             | blasting tin microdroplets at the right angles at speed,
             | with said lasers, is the secret sauce.
             | 
             | And mirrors are used instead, because lenses would absorb
             | the EUV radiation.
        
             | dkjaudyeqooe wrote:
             | The mirrors and lasers are not the hard part, the secret
             | sauce is the light source and getting the machines to
             | perform at a level that makes them economically viable.
        
             | skrebbel wrote:
             | FWIW the Zeiss relationship is perfectly symbiotic, in that
             | there's an exclusivity deal and neither company can do
             | without the other. For all intents and purposes you can
             | regard ASML and (the litho department of) Zeiss as a single
             | company.
             | 
             | But the ASML machines are substantially more than just some
             | purchased parts put together. There's a lot of unique
             | engineering in bits that you can't easily point at as a
             | "part", such as the entire metrology software - that's the
             | bit that measures how badly positioned and how crooked the
             | wafer is and adjusts the laser and all stage positioning
             | etc accordingly. You can't buy stuff like that off the
             | shelf, it's all developed in-house. And they have a whole
             | bunch of things like that, which are like part physics,
             | part math, part mechanics, part software and part
             | choosing/speccing (and sometimes designing) the exact right
             | parts.
             | 
             | Canon's new effort looks promising indeed btw, would be
             | great if ASML gets some serious competition one day.
        
           | jacquesm wrote:
           | And some very smart strategic acquisitions, for instance:
           | 
           | https://www.asml.com/en/news/press-releases/2012/asml-to-
           | acq...
        
           | prof-dr-ir wrote:
           | The duct tape parts are probably a fantastic moat in itself -
           | ASML's institutional knowledge of where and how to apply such
           | duct tape solutions might be the most difficult to replicate
           | by another company.
        
             | skrebbel wrote:
             | Yep. The organization is as duct-taped as the machines they
             | build and it's kinda mad.
        
           | bee_rider wrote:
           | There's something neat and vaguely sci-fi in the fact that we
           | all just call them ASML machines.
           | 
           | Like we're in a book and the author needs a technobabble
           | device that is made by just one organization, but
           | incongruously powers entire industries that are foundational
           | to the whole economy, but obviously coming up with an actual
           | description of the device is a bit beyond the ability of the
           | author. So they just call it "the companyname machine" and
           | let the reader come up with details. "Oh it uses mirrors and
           | lenses and concentrates light in a special way that nobody
           | can replicate." Reality is a hack author.
        
         | kanzure wrote:
         | ASML has extremely important infrastructure. I hear a lot about
         | ASML having something that can't be replicated without billions
         | and billions etc. But how much of this is propaganda? Is it
         | really true that this is the only way to run the semiconductor
         | industry? Open up their tech, and then we will know for sure. A
         | million people would race to make this as cheap as possible.
        
         | emptyfile wrote:
         | >How come companies like TSMC can't build their own machines?
         | 
         | Why should they be able to?
         | 
         | >Is there really only one company in the world that has the
         | required skills?
         | 
         | Yes, they invested for decades into R&D for EUV lithography.
         | 
         | >Or is it only because of patents and exclusivity agreements?
         | 
         | No, they have a multi billion dollar and decade long lead.
         | 
         | It makes much more sense to try and pour money into a next
         | generation manufacturing technology and work on it. Easier said
         | then done.
        
         | next_xibalba wrote:
         | What is most surprising to me is that Chinese companies have
         | not yet successfully stolen the IP yet. Why is this? I guess
         | the same is true with TSMC and its cutting edge chips. Do these
         | companies just have better security, or is it the nature of the
         | tech?
        
           | yladiz wrote:
           | My guess is the latter. Some of the things that ASML makes
           | are extremely challenging to manufacture, even if you know
           | how to do it (certain pieces of the EUV systems), as well as
           | things that come from other companies like the mirrors from
           | Zeiss. In fact I wouldn't be surprised if China has some
           | stolen IP, but I don't think it would be that helpful given
           | the above.
        
           | audunw wrote:
           | As far as I know they never got a single machine. So they
           | can't easily reverse engineer it.
           | 
           | They're struggling already just to copy the previous
           | generation DUV machines, and that's while having a bunch of
           | machines they can study and copy.
           | 
           | A lot of technology you can't really just copy it. You need
           | the whole supply chain and expert support around it. Like
           | with EUV they'd need someone like Zeiss to make the mirrors.
           | Even the parts holding the mirrors are extremely niche and
           | extremely hard to make.
           | 
           | SMIC could copy older TSMC tech because they could buy the
           | same machines and poach engineers from TSMC. That's just not
           | viable for EUV.
        
         | dkjaudyeqooe wrote:
         | I don't think you have any idea of how hard EUV was to pull
         | off.
         | 
         | They toiled for 20 years without guarantee of success. They
         | managed to pull it off and now they own the bleeding edge
         | process and will do for the foreseeable future. If someone
         | wants to do the same, they can become competitors.
         | 
         | It's not just a question of patents, they keep almost
         | everything about these machines secret.
        
           | smueller1234 wrote:
           | Back in 2005 the researchers who worked on EUV lensing
           | (mirrors, really) were very cynical and thought that it would
           | never pan out. Coffee breaks were hilarious. It ultimately
           | took a whole lot of time indeed.
        
           | ahartmetz wrote:
           | It's kind of a miracle that no one at ASML made "the hard but
           | necessary decision" to give up on EUV.
        
             | tonyhb wrote:
             | The research wasn't done by them -- it was paid for by the
             | US gov't and developed at US labs. ASML were given the
             | research knowing that it could work.
        
               | _fizz_buzz_ wrote:
               | That is a bit of an oversimplification of what happened.
               | A lot of basic research was done by US labs. But it took
               | ASML almost 20 years to convert this research into a
               | production ready system and nobody else succeeded. And
               | they also got some big research grants from the EU[1]
               | 
               | [1]https://cordis.europa.eu/project/id/28160
        
               | ahartmetz wrote:
               | The US had an EUV project that ran like 2-3 years and
               | cost a few millions. ASML spent two decades and billions
               | on it. That's like saying that the Manhattan project was
               | given to the US by Lise Meitner and Otto Hahn.
        
         | Timshel wrote:
         | If you want some insight on how complex and expensive latest
         | lithographic process are check Asianometry on YT (ex:
         | https://m.youtube.com/watch?v=SB8qIO6Ti_M)
        
         | pkaye wrote:
         | The US government did a lot of EUV research through the 1990s
         | via three national labs (Livermore, Berkeley and Sandia). Then
         | when trying to commercialize it a consortium of US companies
         | were involved. ASML, Canon and Nikon were also interested by
         | only ASML was allowed in. Ultimately ASML acquired SVG and
         | became the sole benefactor of this research at that time. ASML
         | agreed to maintain US production and R&D as part of this. It
         | also gives US some leverage to deny sales of that technology to
         | China.
         | 
         | https://en.wikipedia.org/wiki/Extreme_ultraviolet_lithograph...
        
         | gosub100 wrote:
         | I want to add one word that is missing (but implied) in the
         | many replies: _light_. It 's that hard to make _EUV Light_ in
         | sufficient concentrations to burn wafers. If you could do that,
         | you would be 85-90% of the way there.
        
         | dragonelite wrote:
         | It all worked well pre tech war, east and west semiconductor
         | studios were customers at TSMC and TSMC was a customer at ASML.
         | Then the US started the tech war and the world started
         | bifurcating somewhere in the middle term into a NATOstan and
         | BRICS world..
         | 
         | The question should now be how fast can innovation happen with
         | 2 or maybe even 3 supply lines instead of 1 global supply line
         | for semi conductors.
        
       | falserum wrote:
       | > I am proud that ASML has been able to grow a technologist like
       | Christophe into the CEO position
       | 
       | So he is/was a techy. Nice.
        
         | sixhobbits wrote:
         | Sad that this isn't default and is said with some
         | condescension. If you read Bullshit Jobs he goes into some
         | history of how recent the idea of a "professional CEO" (someone
         | who doesn't necessarily have expertise in the field that they
         | are now top decision maker in) is. Not sure it's going to last
         | long.
        
         | mrtksn wrote:
         | He appears to hold phd in Physics but his role in ASML was Sr
         | Director of Marketing -> VP Product Management -> EVP EUV
         | business Line - ASML Board Member
         | 
         | So, not sure how techie was he in regard of the company duties.
        
           | skrebbel wrote:
           | Marketing at ASML isn't designing billboard ads. It's a very
           | technical role.
           | 
           | That said I do wonder how much marketing a monopolist needs.
        
             | nwiswell wrote:
             | > That said I do wonder how much marketing a monopolist
             | needs.
             | 
             | Marketing in this context means figuring out what the
             | customer will buy, and making sure that the engineers build
             | that.
             | 
             | It is very easy in this industry to build the wrong thing.
             | Even the customer does not necessarily know what they will
             | want or need in a few years.
             | 
             | A lot of the time it can mean predicting the future
             | integration scheme, and deducing the future pain points
             | from that. As you say, it's a very technical role, and you
             | cannot succeed without a deep understanding of the entire
             | process flow.
             | 
             | It's also a no-brainer to transition to strategic
             | leadership, because that's basically what you've been doing
             | the whole time.
        
               | ChrisMarshallNY wrote:
               | I used to work for a competitor of ASML.
               | 
               | You do _not_ want to screw up deals with this kind of
               | kit. The price tag of a single order can be nine digits,
               | and it needs to be kept BSL4 clean, from first baseplate,
               | to final install.
               | 
               | I heard about our company selling a whole line of
               | steppers to a Korean company. They had to be flown out in
               | special 747s, because BSL4, and installed on site.
               | 
               | Then, the customer's company went belly up.
               | 
               | They cut the power to the fab (Maybe like this?[0]).
               | 
               | Instant junkyard.
               | 
               | [0] https://www.youtube.com/watch?v=j3Uy9wsfkok
               | 
               |  _[EDIT] Corrected "BL5" to "BSL4" -Still probably
               | inappropriate_
        
               | dtech wrote:
               | What is BL5? Google doesn't yield anything.
        
               | ChrisMarshallNY wrote:
               | I think it stands for "Bio-Level 5". I have a friend that
               | works for a major sterilizer company, and he uses the
               | term a lot. It may be an inappropriate term, in this
               | context.
               | 
               | Basically, it means "Full bunny suit."[0]
               | 
               | [0] https://www.youtube.com/watch?v=o0bMN9xh9hM
               | 
               |  _[EDIT] I was wrong. I should have said "BSL4", (my
               | friend exaggerates), but the deal is that it is done
               | under the highest clean room conditions. (I was never in
               | that part of the company. I was in the optical part)._
        
         | pseg134 wrote:
         | It would be nicer if we could start getting some diversity in
         | the semiconductor industry but I guess we will have to keep
         | waiting...
        
           | bell-cot wrote:
           | In theory, yes. But for an extremely bright, driven 18-year-
           | old, which of these career paths looks like the better
           | choice?
           | 
           | (1) Ph.D. in physics (~9 grueling years), then - if you're
           | sufficiently awesome - ~23 years working your way up in
           | industry to become the CEO at ASML at age 50.
           | 
           | (2) B.S. in Computer Science (4-5 years), then get a FAANG or
           | near-equivalent job and start raking in the money.
           | 
           | And if you're extra-ambitions...you might note that every
           | single one of Forbes current 11-youngest-billionaires either
           | inherited the big bucks, or raked it in by founding
           | software/crypto firms. Zero of 'em went anywhere near "uber-
           | difficult engineering technology" stuff, like semiconductor
           | manufacturing.
        
             | FirmwareBurner wrote:
             | _> or raked it in by founding software/crypto firms._
             | 
             | That's not exactly something to be proud of in life or
             | someone to look up to. Charles Ponzi, Andrew Tate, and the
             | dozens of other influencers also became quite wealthy by
             | finding legal ways to part desperate people of their money.
             | 
             |  _> Zero of 'em went anywhere near "uber-difficult
             | engineering technology" stuff, like semiconductor
             | manufacturing._
             | 
             | And yet thank God we have no shortage of people who take
             | the difficult path to working on the cutting edge
             | technology to move humanity and the world forward instead
             | of choosing the easy way of moving buffers around to push
             | ads to people for big money, because we can't have a world
             | where everybody is a webdev(satirized well by South Park).
        
           | Almondsetat wrote:
           | Diversity in what?
        
         | orangepurple wrote:
         | I love the HN posters that ask if something was written by an
         | LLM or CEO because nobody can tell the difference.
        
           | FirmwareBurner wrote:
           | _" What kind of world we live in where someone else is making
           | the world a better place instead of us?!"_
        
       | kergonath wrote:
       | What's not mentioned is that he used to work in technical roles
       | with KLA and Applied Materials, and has been with ASML for 15
       | years. He's very much an insider and knows the industry very
       | well.
        
       | skrebbel wrote:
       | I'm more curious who gets to be the new CTO. Van den Brink knows
       | the whole damn machine by heart + the people who made it, gonna
       | be a hard gap to fill.
        
       | rikschennink wrote:
       | Completely random, but Christophe gets his hair cut in my
       | sister's tiny hair salon.
        
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