Communication is at the heart of commerce. It is the vehicle by which buyer and seller align. It is also the heart of development. Many conversations must be had for ideas to become things. It is especially true of the semiconductor ecosystem. Especially now, and especially in a world where technology is in such an intense period of flux and change, where geopolitical hunger for the most advanced technologies is greater than at any time since the end of the Cold War.
A key vehicle in effective communication is the use of analogy, metaphor, and simile. Such use not only allows points to be made with better clarity and less ambiguity, but they are already a key characteristic of a technologically advancing market. The word “chiplet” as a diminutive of “chip” is a case in point. Even the phrase “Artificial Intelligence” which does not refer to literal artificial intelligence at all, yet still conveys something very profound. Then there is “machine learning”. Thus, we see metaphors used in this way can provide real understanding, but there is more to their value than this.
Metaphors are processed differently than literal speech. They make for quicker comprehension, easier recall and more intuitive understanding. For example, with CMOS technologies ingrained in our collective thinking, the pattern of development it provides became the parameters by which the industry is developing optical silicon photonics. Something similar may be said of chiplets. We utilize past principles to take us into the future. Thus, anyone familiar with CMOS technology can gain quick insight into aspects of silicon photonics or chiplet potentiality with far less additional information that someone who is unfamiliar.
In terms of the characteristics of those working in this metaphor filled environment, one phrase that comes to mind is “horses for courses”. If it is said that “dogs are a man’s best friend” then it must also be said that “horses are man’s oldest friend”. Humanity’s connection with the equine world dates back to the very beginnings of civilization, as equally reflecting the very diverse nature of the habits in which our ancestors dwelt—from high plateau to desert, from Mongolia to Sahara, to the fields of England. This is unambiguous today by the breeds by which we reference different types of horse, whether the Shire from the English Shires, or the Arab from Arabia, whose DNA dates back 3,500 years. While they are both horses, the distinctives of each could not be more asymmetric, respectively, strong but slow, fast and but not strong. The point of that particular metaphor is that we collectively achieve the most when we stay aligned behind our area of expertise and work together.
Like the outstanding attributes of the Arab horse, the advent of AI, quantum technologies, hybrid and chiplet packaging, the process of their development goes back a long way. For innovators in the ecosystem, the length and stages of this evolution represents a series of contemporary opportunities and challenges. An opportunity, because the basic principles are widely understood leaving a lot of leeway for inventiveness. A challenge, because each represents a potential fork in the road where development decision making is clouded by thick layers of fog. Only in retrospect, is all clear.
Market performance among semiconductor companies has varied wildly over the past 12 months; one well known stock has tanked, while another has gone to stratospheric heights, with many following in both directions. In each case, these differing outcomes date back to earlier decisions made at these same critical cross roads. The reality is that such choices are difficult.
A key reason for this is that the underlying realities for advanced packaging are actually very thin—by which we mean they are technically at an early and very fluid stage. While developers recognize this, markets do not. This “thinness” is pretty much true of all the major technologies just mentioned in the previous paragraph. The underlying realities are also in a state of tension; settled, not settled according to who you ask.
The blog opened up on the subject of communication, and some of the tools available to us all to make it clearer and easier to say what we mean and as a means to deepen individual understanding—but for this to work, the right conversations need to be happening with the right people. As we enter still further into the era of advanced packaging, one challenge we face is the differing expectations, differing perceptions of back-end and front-end of the advanced semiconductor industry, of investors and the companies in which they invest. Throw in the voices of the wider ecosystem, and the result is not so much a fork in the road as a matrix of potential ways forward, perhaps finding a perfect metaphor in the Bose-Einstein condensate; one aspect being the quantum superposition phenomena so loved by science fiction.
Yet, this is exactly the kind of gordian knot we love untangling at Palomar’s global Assembly Service division—something we have been doing for over four decades. We admit that “knots” have grown in complexity over the years, but when broken down into discreet challenges, the road to a solution has remained utterly consistent through these decades.
That having been said, one key element has not been remotely static, namely our collective growth in experience and knowledge. Not just technical knowledge, but an ever-improving business model by which to better serve our customers. For us at Palomar we have constantly sought to improve upon six core characteristics: fluidity and agility both in process and the types of engineer we like to employ, the exercise of commercial cognizance on behalf of all our customers, prioritizing of opportunities that advance both the company and our customers, maintaining close customer relationships as the core to product development, ensuring that Assembly Service has an imperative to learn, not just do, and finally, continued iteration of the tactics needed to continually enhance all the above.
As our regular readers will know, the latest manifestation of our commitment in these respects came with the appointment of a Point of First Contact for Assembly Services, Christian Shu. This role quickly morphed into a first to last point customer advocate within the company. Please feel free to contact our Assembly Services on this page. Christian has made such a positive difference that we are looking to repeat the idea in other customer facing areas of the company. Watch this space for updates as they happen. As for horses, hopefully we share characteristics of both the Shire and Arab as needed, at least metaphorically!
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Dr. Anthony O'Sullivan
Strategic Market Research Specialist
Palomar Technologies