Toto’s Electrostatic Chucks Revolutionize Chip Manufacturing Beyond Toilets!

Most people recognize Toto for its high-tech toilets and bathroom ceramics, but the company has also been making significant contributions to the semiconductor industry. Since the 1980s, Toto has been producing electrostatic chucks (e-chucks), which have become crucial in the fabrication of modern semiconductors. A report by Nikkei suggests that Toto’s operating profits from these components are anticipated to surpass $100 million this year.

In the realm of semiconductor production, electrostatic chucks (ESCs) are essential for holding silicon wafers or other substrates securely in place using electrostatic force, which avoids the need for mechanical grips or vacuum setups. ESCs play a pivotal role in numerous stages of chip manufacturing, such as EUV lithography, plasma etching, chemical vapor deposition (CVD), physical vapor deposition (PVD), and other processes that require precise wafer placement and minimal contamination.

Historically, e-chucks have been utilized primarily in CVD, PVD, and plasma etching processes. DUV lithography, performed in either an ambient environment or under immersion fluid, did not require them because a vacuum system beneath the wafer sufficed for maintaining proper flatness and alignment. However, EUV lithography is different. Operating at the extremely short wavelength of 13.5nm, EUV lithography requires a high-vacuum to prevent light absorption, making e-chucks a better choice over vacuum chucks. They offer easier handling, more uniform pressure distribution, reduced stress, decreased distortion, and enhanced control over overlay and critical dimensions.

The creation of a chip involves more than 4,000 steps, and with the increasing implementation of EUV processes, the demand for ESCs has risen, significantly boosting Toto’s revenue and profits. The ceramics used in e-chucks must be robust and crack-resistant. Leveraging its extensive experience in molding and firing ceramics for its bathroom products, Toto has developed materials that maintain consistent properties throughout. Despite increasing competition from companies like Shinko Electric Industries and Applied Materials, Toto continues to hold its ground.

In an effort to solidify its market position, Toto invested ¥11.8 billion in 2020 to build a new ceramics production facility in Oita, Japan. From April 2020 to April 2024, the company has expanded its ceramics production staff by about 20%. Toto’s president, Noriaki Kiyota, has indicated that plans for another new factory are under consideration.

For the fiscal year 2024, Toto projects that its ceramics division will generate ¥20 billion ($130 million) in operating profits, boasting a margin close to 40%, which is significantly higher than the company’s overall projected margin of 7%. By 2026, Toto aims to increase this figure to ¥25 billion and broaden its range of products.

Looking forward, Toto is exploring opportunities beyond wafer processing into later stages such as cutting and packaging. Advanced techniques like three-dimensional chip stacking are expected to increase the demand for new substrate technologies where ceramics are likely to become increasingly important.

“Semiconductors are expected to continue their exponential growth despite periodic fluctuations,” said Noriaki Kiyota, Toto’s president, in a conversation with Nikkei.