IBM, Ibis in pact to improve chip making methods

Zardon · Jan 7, 2003, 07:38 PM

DANVERS, MASS. (REUTERS) - Ibis Technology Corp., which sells the wafers used in making microchips, on Tuesday signed an agreement with International Business Machines to develop a lower-cost, high-quality wafer.

Wafers, salad- or dinner-plate sized disks, are the foundation for making tiny microchips used in computers, mobile phones and other electronic equipment.

Shares of Ibis rose 51 cents, or more than 10 percent, to $5.52 in early trading on the news. Shares of IBM, the world's largest computer maker, were up 98 cents, or about 1 percent, at $84.57.

IBM and Ibis will focus on developing a better, less costly process for making wafers that in turn will produce chips that are faster and consume less power than conventional microchips, Ibis said. It added that the research will be conducted at both companies.

Ibis said IBM, which accounts for more than 10 percent of its sales, developed the current method of making wafers and licensed Ibis to make the wafers for IBM and Ibis's other customers.

Jan 7, 2003, 07:38 PM	#1
Zardon DriverHeaven Founder Join Date: May 2002 Posts: 32,480 Rep Power: 179	IBM, Ibis in pact to improve chip making methods DANVERS, MASS. (REUTERS) - Ibis Technology Corp., which sells the wafers used in making microchips, on Tuesday signed an agreement with International Business Machines to develop a lower-cost, high-quality wafer. Wafers, salad- or dinner-plate sized disks, are the foundation for making tiny microchips used in computers, mobile phones and other electronic equipment. Shares of Ibis rose 51 cents, or more than 10 percent, to $5.52 in early trading on the news. Shares of IBM, the world's largest computer maker, were up 98 cents, or about 1 percent, at $84.57. IBM and Ibis will focus on developing a better, less costly process for making wafers that in turn will produce chips that are faster and consume less power than conventional microchips, Ibis said. It added that the research will be conducted at both companies. Ibis said IBM, which accounts for more than 10 percent of its sales, developed the current method of making wafers and licensed Ibis to make the wafers for IBM and Ibis's other customers.