Business Context and Reporting Period
This Form 6-K filing by STMicroelectronics N.V. covers the period of August 2002. The report primarily serves to disclose a press release dated August 27, 2002, regarding a strategic technological milestone achieved in collaboration with Motorola and Philips.
Key Financial Metrics
The filing does not contain current financial results, revenue, profit, cash flow, or debt figures for the reporting period. It references historical data from 2001 for context:
- STMicroelectronics 2001 Net Revenues: $6.36 billion
- STMicroelectronics 2001 Net Earnings: $257.1 million
- Motorola 2001 Worldwide Semiconductor Sales: $4.9 billion
- Philips 2001 Total Sales: $28.8 billion
Current liquidity, margins, and debt levels are not provided in this document.
Material Changes and Strategic Developments
The primary material event is the debut of the industry's first 90-nanometer (90nm) CMOS design platform by the alliance of Motorola, Philips, and STMicroelectronics. Key developments include:
- Technological Leadership: The alliance has released 90nm cell libraries and a design platform for system-on-chip (SoC) solutions, targeting low-power, wireless, and high-speed applications.
- Platform Features: The platform offers multiple threshold-based library elements, supporting core supplies of 1.0V or 1.2V, and includes dense embedded memories (6T-SRAM and embedded DRAM).
- Operational Progress: The platform is already being utilized by STMicroelectronics' internal product development groups for complex SoC applications.
Guidance, Outlook, and Management Commentary
Management commentary focuses on the strategic advantages of the alliance and future manufacturing goals:
- Outlook: Chris Belden (Motorola) stated the plan is to have the first 300mm silicon on 90nm technology by the end of 2002.
- Competitive Position: Theo Claasen (Philips) and Joel Monnier (STMicroelectronics) emphasized that this achievement places the companies in a leadership position at the 90nm node and demonstrates a commitment to being leaders in 90nm CMOS technology.
- Long-term Alliance: The companies aim to jointly develop CMOS technology from the 90nm node down to 32nm over the next five years, utilizing the Crolles2 R&D center in France.
- Risks and Contingencies: No specific financial risks or contingencies are detailed in this filing; the focus is on technological execution and market timing.
Key Facts for Investor Verification
- Verify the timeline for the availability of 300mm silicon on 90nm technology, which management targets for the end of 2002.
- Assess the commercial impact of the 90nm design platform on STMicroelectronics' future product roadmap and revenue mix.
- Monitor the progress of the Crolles2 R&D center and the broader alliance's ability to execute the roadmap down to 32nm.
- Review subsequent quarterly filings for financial performance, as this 6-K contains no current period financial data.