Advantest IR Technical Briefing

Test needs and Solutionsin the High-End SoC Semiconductor MarketDecember 7th , 2022
Koichi TsukuiDirector, Senior Executive Officer, CTO (Chief Technology Officer)
Leader, ATE Business Group
Ralf Stoffels
Senior Vice President, V93000 Marketing, SoC Test Business Unit, ATE Business GroupAll Rights Reserved - ADVANTEST CORPORATIONNOTE
Cautionary Statement with Respect to Forward-Looking Statements– This presentation contains “forward-looking statements” that are based on Advantest’s current expectations, estimates andprojections. These statements include, among other things, the discussion of Advantest’s business strategy, outlook andexpectations as to market and business developments, production and capacity plans. Generally, these forward-looking
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Agenda✓ Our Dynamic SoC Test Business✓ High Performance Computing (HPC) is the major driver of SoC Test

✓ Future Test Needs & Solutions✓ Summary

3All Rights Reserved - ADVANTEST CORPORATIONOur Dynamic SoC Test Business

All Rights Reserved - ADVANTEST CORPORATIONSemiconductors Support Changing Lifestyles
More applications, more technology
Evolution of Semiconductor
Technology
Autonomous
Smart Transportation

AI / Machine Learning

Data Centers

Edge Computing

Smart Factory

XR, Metaverse
Infrastructure
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2D Scaling
2.5D / 3D Scaling
Higher speeds
Lower power consumption

Higher demand for solutions
to customer issues: “PPAC”-Performance
PowerAreaCost

R&D Management Initiatives from FY2018
Maintain our high level of R&D investment to date as a driving force for value creation andsocial contribution
1st Mid-Term Management Plan
(FY2018-2020) Results
Total cumulative investment

2nd Mid-Term Management Plan*(FY2021-2023)
Total cumulative investment

Approx. ¥120B

Approx. ¥170B

R&D investment*Revised July 28th, 2022

Initiatives from FY2018 “Converging to grow”✓ Executing R&D based on a long-term roadmap aligned with semiconductor technology trends. At the sametime, we are expanding our platform strategy for diverse customers and applications✓ Providing comprehensive test solutions
ー Expanding our business domains from semiconductor mass production test to design/ evaluation
processes and new system level test
ー Offering end-to-end solution coverage, along with device handling, temperature control, and device contact✓ Developing a new business domain that utilizes the cloud, software, and data analytics
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More R&D Synergies
Sharing technologies and accelerating development efficiency- Integration of V93000, T2000 and Memory tester development team in FY2018
Total: 56 sites, 6,464 employees(As of March 31, 2022)

MunichShanghai
Boeblingen

Cheonan Factory

Amerang★TokyoSan Jose

HsinchuPenang Factory
Index★ Global Headquarters

Singapore
Gunma R&D Center

Regional Headquarters

Saitama

Major R&D Bases & Factories
Service Facilities
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Gunma Factory
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Overview

Today’s Focus : High-End SoC Test
Test Needs and Solutions✓ More Complexity, More Power & Thermal Requirements
Pin scale 5000

XPS256

Advantest offers an industry-leading test module line-up✓ Signal integrity
Advantest's high-quality end-to-end solutions enable a comprehensive test environment

Test Systems＋

Test Interface Boards＋

Test Sockets

We are reinforcing our core technologies and platform strategy
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High Performance Computing (HPC) is
the major driver of SoC Test

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Era of High-Performance Compute - Exascale Computing
Semiconductor Revenue in Billion $1,000First $200 Billion in 40 years

5 years?

Next $200 Billion in 17 years

4 years?

800

2018: Data from machines
exceeds humans

600

Era of AI & HPC
400

2002: 1st Blackberry smartphone
Era of Mobility
200

1989: 20M PCs annual shipment
Era of PC & Internet

Source: WSTS (1988-1999), TechInsights (2000-2030)
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2030

2029

2028

2027

2026

2025

2024

2023

2022

2021

2020

2019

2018

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1988

1989

Era of Mainframe Computing0Advantest V93000 led the way towards EXA Scale Computing
Installed base ~10,000 Systems

Semiconductor Revenue in Billion $1,000

V93000 EXA Scale
Generation
800

Won major
Hyperscalers

V93000 Smart Scale
Generation

600

Era of AI & HPC

V93000 Pin Scale
Generation
400

Leader in Test ofAndroid Phone APU

Era of Mobility
200

Leader in PC-GPU and PC-CPU Test

Era of PC & Internet

Source: WSTS (1988-1999), TechInsights (2000-2030)
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2030

2029

2028

2027

2026

2025

2024

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2022

2021

2020

2019

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1988

1989

Era of Mainframe Computing0

Technology Leadership by continuous Innovation

First Integrated
1Gbps ChannelFirst 160A
Power Supply>1000A possible

First 1.6Gbps Universal Channel
Fastest/Deepest Scan
16Gbps High Speed IO

Fastest Universal ATE Pin – 5Gbps
Deepest Scan Vector Memory
First 1..256A
Power Supply>1000A

Compatible and Upgradeable
V93000 Pin Scale
Generation

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V93000 Smart Scale
Generation

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V93000 EXA Scale
Generation

Major Segments and ATE Customers
Traditional Computation IC Market

Future Computation IC Market
PC/Server CPU (x86)
Several Players

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PC/Server CPU (x86)

PC/Server (ARM, RISC-V)

Several Players

Several Players+Many Startups in China

PC Graphics

PC Graphics

Several Players

Several Players established Players + China Startups

Mobile APU/Modem

Mobile APU/Modem

Mobile APU/Modem

Several Players

Several Established Players
New Players in China

Phone Makers
System Providers

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PC/Server (ARM, RISC-V)
Many New Players
Hyperscalers
System Companies
ChinaMajor HPC Trends – Growing Complexity
Chiplets Everywhere• CPU, GPU, cache, I/O, HBM

ARM Server CPUs
• New players, new architectures

Complexity Growth• New process nodes 5nm, 3nm, ..

3D Packaging• Micro bump → hybrid bonding

Power & Thermal• More power & thermal challenges

High-Speed Fabrics• Large and fast data center networks

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Growing Complexity drives Market Size for ATE
Average transistor count (millions Tr)

Test Data Volume tracks
Number of Transistors

160,000

140,000

Further Data Compressionis hard to achieve

120,000

3D Integration and System
Failures drive additional Test

100,000

80,000Focus on Software andSystem Level Testing on ATE

60,00040,000Power becomes a major
Challenge for Test

20,000Smartphone APU0201620172018

20192020202120222023

20242025

2026

2027

Source: Processor Quarterly Market Monitor, Q2 2022 - Yole Intelligence
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Future Test Needs & Solutions

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100x Complexity – Moore’s Law + 3D Integration
Test data will continue to explode

Advantest – Test Processor
2.5D Integrated, Multi-Core + Memory

3D Integration with drive density by factors

Industry’s only 5Gbps ATE
Deepest ATE Memory
Enabling Future High Speed IO Scan17

All Rights Reserved - ADVANTEST CORPORATIONPower and Thermal beyond 1000W
Power and Cooling become major Challenge

XPS256
Industry highest Power Integration
High Currents and Dynamics require newapproaches for Power Supply and Cooling
during test

Industry’s highest Power Density
256A per Card, >2000A in System
First full Digital Control loop

Unique Probe Card Protection
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Time To Market Challenge
Example: Software based functional Verification

Link Scale
First integrated Computing Platform

First ATE-integrated Compute System
Native PCIe and USB
Functional Test Coverage on Tester

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SummaryMarketSemiconductor Market to grow to$1Trillion by 2030

ATE will grow in line with Semiconductor market
ATE Volume driven by large
Digital Integration

Challenges & Opportunities

Technical Leadership

100x Complexity Growth (incl. 3D)

V93000 EXA Scale was developedwith and for the High-End SoC Leaders

Test coverage for Data Centers
become critical
New system players require
turn-key test solutions
Time to market becomes a major
Challenge

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Major Market Share in this Segment
V93000 EXA Scale Generation
addresses increasing Test Complexity,
Power/Thermal and TTM Challenges bySuperior Test Solutions