And judging by the level of activity and technical papers at SPIE, a technology called extreme ultraviolet (EUV) has clearly emerged as the frontrunner in the NGL. But competitive NGL candidates like electron-beam projection lithography (EPL) and even X-ray have made substantial progress, based on this week's presentations, according to analysts.

NGL tools are being targeted for delivery in the 70-nm node and below, and they are expected to be ready for production fabs around 2007. But still, several entities are already planning to place orders for these exotic tools, reportedly including IBM, Intel, Selete, and International Sematech, according to sources.

Meanwhile, the SPIE conference started off with a bang as a group from France, Germany and Holland on Monday formally announced a new and ambitious EUV consortium, dubbed MEDEA+. Led by ASML Holding NV of theNetherlands, the MEDEA+ consortium is developing several EUV technologies, including an alpha tool (see March 4 story).

Then on Tuesday, little-known Exitech Ltd. of the United Kingdom entered the NGL race, announcing its own EUV tool. One of the first systems has been ordered by International Sematech, an R&D organization in Austin, Tex. (see March 5 story).

Playing a behind the scenes role is a U.S.-led EUV consortium--the Extreme Ultraviolet LLC, which is working with both MEDEA+ and Exitech to develop EUV technologies.

Meanwhile, in a separate effort in the United States, JMAR Inc. announced plans to extend its X-ray stepper technology into the NGL space (see March 7 story).

And not to be outdone, a Japanese R&D group called ASET announced a new alpha EUV tool. Canon Inc., Nikon Corp., and others are part of the ASET-backed consortium (see March 6 story).

While there are several new and exciting efforts going on in NGL, there are also some major challenges in the arena. For example, EUV tools could cost as much as $40 million each--more than three times the cost of today's most advanced lithography scanners. There are also few--if any--viable power sources, inexpensive masks, metrology systems and resists to support NGL tools.

Not ready for prime time

Most believe there is still plenty of work to do in the arena. "We have a long ways to go in NGL," acknowledged Giang Dao, co-director of lithography at International Sematech, in a presentation at SPIE.

Others agreed. "There is a big question mark about EUV," said analyst Klaus-Dieter Rinnen at Dataquest Inc. in San Jose. "At the same time, EPL faces an uphill battle," he told SBN.

Still others believe that conventional optical lithography will continue to make progress, pushing out the need for NGL. For example, Nikon Corp. believes that it can extend 157-nm tools down to the 35-nm (0.35-node), with the help of phase-shift masks, according to a paper presented by the company at SPIE.

But the progress of NGL is moving at a rapid pace as well. In Europe, for example, there appears to be three EUV tools in development.

In one effort, France's Leti labs claims that it is developing its own EUV prototype tool, which is due out in late 2003 or so. At SPIE, officials from Sopra and Leti provided few details on the effort.

Another one is being developed within the new European MEDEA+ consortium, a group that consists of ASML, Leti labs, Sagem, Sopra, Xenocs, and Carl Zeiss.

Within MEDEA+, there are several working groups, including an effort called "Extatic" or the Extreme UV Alpha Tool Integration Consortium. MEDEA+ is also working on EUV blank photomask, laser sources, metrology and other technologies.

Leading the "Extatic' group is ASML of the Netherlands, which announced plans to develop an "operational" EUV tool at the end of 2003 or early 2004. The company is expected to deliver a production-worthy tool in 2007-if not sooner.

Targeted for processing chips at the 50-nm node and below, the EUV tool is build around ASML's Twinscan architecture, a platform used in the company's existing 200- and 300-mm scanners, said Hans Meiling, senior scientist for the Dutch-based company, in a presentation at SPIE.

The alpha tool is based on a six-mirror, optical subsystem, which features a high numerical aperture (NA) of 0.25, Meiling said. The lens, dubbed the MET-2, is being developed by Carl Zeiss of Germany.

The tool makes use of modular, five-chamber system to process the wafers. One of the chambers supports the laser source, although ASML has not committed to a specific type of source technology, Meiling said. "We want to keep our options open in terms of the laser source technology," he told SBN after the presentation.

While ASML's EUV tool is geared for production purposes, Exitech of the U.K. is reportedly developing a EUV system for R&D purposes, according to industry sources. Representatives from Exitech could not be reached for comment.

During a presentation at SPIE, consortium Sematech announced that it has ordered one of the first EUV systems from Exitech. Sematech also described the details of the tool, which is expected to be delivered to the Austin, Tex.-based R&D consortium by the end of 2003.

The system--called the EUV Micro Exposure Tool--makes use of two-mirror optical subsystem, which is geared to process wafers as low as the 23-nm (0.023-micron) node, said Sematech's Dao.

The optics were co-developed by Zeiss and the U.S.-led EUV LLC. Last year, the EUV LLC announced the world's first alpha EUV tool, and this week, described new performance upgrades to the system (see March 5 story).

The EUV LLC has no plans to commercialize this tool, but rather it will co-develop and license technologies to other concerns, said Donald Sweeney, program manager and chief technology officer of the EUV LLC. "We're working with ASML," Sweeney said. "We also co-developed the optics for Exitech."

Another U.S.-based group is taking a different approach to NGL. While EUV was one of the hotter topics at SPIE, JMAR was at the event, promoting development of an alternative and possibly lower cost solution, based on X-ray lithography.

JMAR is looking to develop an X-ray stepper for use in chip-processing fabs at the 70-nm (0.07-micron) and 50-nm (0.05-micron) technology nodes. The company aims to ship an X-ray stepper for advanced chip processing in the 2006 time frame.

NGL at half the price

"We are looking at developing a direct-write system that will sell at half the price of EUV," said John Carosella, president of JMAR Research Inc. The operation is the R&D arm of San Diego-based JMAR.

Still others were also skeptical about the prospects of using EUV, namely lithography powerhouse Nikon of Japan. "Nikon doesn't adhere to the universal view that EUV will be required for next-generation lithography," declared John Weisner, senior vice president of engineering for Nikon's U.S. subsidiary in Belmont, Calif. "We think that there are some technical issues associated with EUV," Weisner told SBN.

Nikon, along with IBM Corp., are aggressively co-developing a rival NGL technology called EPL. Last year, Nikon announced the EB Stepper and plans to offer production systems by the end of 2004.

IBM is developing the optics for the tool, while Nikon is handling the systems integration portion of the work. At the time, the companies said the tool was geared to process chips at the 70-nm node (0.07-micron) and below.

This week, Nikon and IBM said EPL tool is still in the R&D stage, but the working system has demonstrated the ability to process chips with technology that would be equivalent to the 60-nm (0.06-micron) or 50-nm (0.05-micron) nodes in the future (see today's story).

But in a move to hedge its bets, Nikon is also developing EUV as well. The company, which announced those intentions last year, is working with Japanese R&D organization--called ASET--to develop EUV technology. Nikon expects to roll out a EUV tool by 2007.

Lithography rival Canon Inc. is developing NGL technology on several fronts. The company recently joined ASET to develop EUV technology. Canon and Nikon are teaming up to develop the metrology technology for EUV, according to ASET.

Last year, Canon also announced that it is developing a EUV tool for use in processing chips at 70-nm node and below. While that program is still ongoing, the company plans to ship a production tool by 2007, said Phillip M. Ware, senior fellow for Canon U.S.A.'s Semiconductor Equipment Division. Canon is also working on a direct-write e-beam tool for NGL, according to the company, it was noted.

Within ASET, Canon and Nikon are also working together on metrology tools for EUV technology, according to ASET.

The Japanese R&D organization also announced it has completed development of a new alpha prototype tool based on EUV. The EUV exposure system can be used to process integrated circuits at the 35-nm node, according to ASET.