Ohio MEMS Association:
Packaging Technology Center -
Research, Development, and Commercialization Opportunities

The MEMS Packaging Technology Center provides new research, development and commercialization opportunities in three ways:

• New entrepreneurial high-tech manufacturing and product development is encouraged,
• Industrial collaborators such as Timken, Nordson, and ABB can be attracted to the organization, and
• New products impact the hiring of high-tech workers and the growth of the BioMEMS and General Industrial MEMS markets in Ohio.

MEMS device packaging is a critical step in the manufacturing process since it is through packaging that MEMS devices interface with the macro world. Specific aspects of packaging process that must be addressed include the ability to package multiple MEMS devices as a single unit, automating the entire process, and refining knowledge of the “ilities” of the process (reliability, maintainability, survivability, etc.).

To reduce the risk, several separate aspects of the packaging process are best explored and demonstrated in a pre-production (not R&D or prototype) process. Furthermore, the process to enclose MEMS devices is often naively believed to be as low-risk as that of a traditional integrated circuit (IC) manufacturing technique; though the latter is high-tech and is commonly automated and used to produce large numbers of high volume IC enabled devices for consumer markets. The demonstration of major packaging process elements -- coupled with the appropriate perspective on manufacturing techniques -- reduces the risk associated with packaging MEMS devices.

New opportunities
Our industry analysis identifies the following business opportunity:
• Market analysis of products containing MEMS components clearly indicates that the packaging process development is a critical path in commercialization
• Most small and medium size enterprises (SME) fail due to cost variance (and awareness of how variance is manifest in packaging) during unplanned product concept commercialization issues.
• Adequate return on packaging capital equipment cannot be justified for process development work in the pre-production phase of commercialization.
• Shared facilities permit a broader scope of packaging options to be explored by SME product development teams and with the same asset investment.
• Pre-production application engineering is easy to share; there are few IP issues associated with this phase that standard confidentiality agreements cannot cover.

Business Sustainability, Viability, and Growth in Ohio
The success of the MPTC is based on an ability to achieve a scalable business model, to identify a portfolio of revenue streams, and to understand of the factors favorable to profitability.

Scalable business model
• Different products use the same fundamental matrix of packaging equipment.
• Expansion of services is not linked to a specific product.
• MEMS Packaging Institute is not capital-equipment intensive, but relationship-based – this is a scalable model (Powder Coating Institute as proof-positive).

Revenue sources
• Membership fees
• Equipment rental fees
• Packaging consulting fees
• Application engineering support fees
• Market surveys and related publications
• Instructional fees

Favorable factors for profitability
• Shared resources have higher utilization than SME (Small-to-Medium-sized Enterprise) dedicated resources (work queuing and load balancing for multiple projects vs one project)
• SME start-up capital requirements are less for “fab-less pre-production” packaging development (post-prototype investment is more efficient).
• There is no MEMS-related packaging technology center located in proximity to any major city in Ohio (existing centers all focus on wafer fabrication only).

Multiple revenue streams
• Business model is based on serving multiple product markets
• Aggregate product market reduces impact of individual market sales cycles

International Significance
In 2004 a key objective of the MPTC is to become an authorized node on the MEMS Exchange virtual fabrication network, and to be the first packaging center of excellence on that node. This provides national and international exposure to new business opportunities and potential revenue streams (external to the State of Ohio).

Further, as we accumulate knowledge about new technologies and research activities through the MEMS-Exchange Network , the growth of the MPTC facilities makes possible new contributions to the international technical arena – a specific focus on MEMS packaging makes the MPTC uniquely qualified to collaborate and partner with the IVAM/AZT packaging center-of-excellence in Dortmund, Germany. Our site visit to IVAM and subsequent discussions suggest that as early as May 2005 the MPTC could begin providing international service.