C Sun Forges Alliance to Tackle Advanced Packaging Technology: From PCB Ovens to Semiconductor Processing Equipment

Taiwan’s C Sun started out as a manufacturer of industrial ovens for printed circuit boards. As growth potential shrank in a maturing market, C Sun pivoted to the semiconductor market. Today, they are an important supplier of advanced packaging technology equipment for global industry leader Taiwan Semiconductor Manufacturing Company (TSMC).

Views

548

By Kaiyuan Teng
web only
2025-02-18

前往中文版調整字體尺寸

To support the massive computational power required for high-performance computing (HPC) and artificial intelligence (AI), TSMC increased its wafer capacity for chip-on-wafer-on-substrate (CoWoS), an advanced packaging technology that allows for the integration of multiple chiplets, memory, and logic packages on a single substrate. For TSMC supply chain member C Sun, this development provided an unprecedented growth opportunity.

In 2023, C Sun was honored with the TSMC Excellent Performance Award for outstanding production support, becoming the first Taiwanese equipment maker to receive the award in almost a decade.

(Source: Pei-Yin Hsieh)

C Sun, which originally had a capacity of just one piece of semiconductor processing equipment per year, now generates more than 30 percent of its revenue from such products, demonstrating its competitiveness in that market segment.

From Imitation to Innovation: The Progress of C Sun’s Equipment Technology

C Sun’s corporate history reflects the evolution of Taiwan’s electronics industry. In the 1970s, the company entered the electronics industry by replicating industrial oven technology from abroad, establishing itself as a key supplier of PCB equipment. Once that market matured, the company began seeking technological breakthroughs, eventually shifting into semiconductor processing equipment a decade ago.

Their product development focused on ovens and temporary bonding systems, which play a crucial role in the advanced packaging process:

Ovens are used to dry and cure the chemical adhesives applied during wafer stacking and packaging.
Temporary bonders hold wafers in place to prevent damage during the thinning, testing, and packaging processes.

Compared to PCB equipment, semiconductor machinery requires significantly higher precision and stability, posing a major challenge for C Sun.

From Trial to Breakthrough: C Sun’s Conquest of the Semiconductor Market

Entering the semiconductor equipment market was far from easy. In its early development phase, C Sun struggled with the high level of confidentiality surrounding semiconductor manufacturing processes—customers often wouldn’t disclose the specific purpose of the equipment. Instead, C Sun had to rely on extensive trial and error to meet client demands.

For example, when C Sun received its first semiconductor equipment order, the customer only provided temperature specifications. The company had to independently determine the heating speed and design equipment details.

Developing semiconductor processing equipment requires long testing and validation periods—often demanding over a decade of patience and investment. As a family-owned business with a philosophy of long-term stability over short-term profits, C Sun committed itself to continuous development, even absorbing early losses. Over ten years, the company refined its equipment through more than ten generations of upgrades, ultimately enabling mass production and securing strong customer trust.

Raising Customer Trust Through Localized Service

Another of C Sun’s competitive advantages is its highly localized service model. Large international semiconductor equipment manufacturers often struggle with bureaucracy, making them slow to respond to customer needs. In contrast, C Sun provides rapid adjustments and even assigns technicians to customers' production lines to ensure smooth operations.

The company has also established laboratories across northern, central, and southern Taiwan, replicating customer production environments. This setup allows clients to troubleshoot technical issues in C Sun’s labs without halting their own production lines, further reinforcing customer reliance on C Sun’s equipment.

Pooling Strengths: The Rise of the G2C+ Alliance

By 2020, the rapid advancement of advanced packaging technology made it clear that C Sun alone could not meet market demand. To enhance production capacity and technological competitiveness, the company formed the G2C+ Alliance with Gallant Precision Machining Co. (GPM) and Gallant Micro Machining Co. (GMM). This strategic partnership combines the three companies’ expertise and production capabilities, offering a one-stop solution for customers.

The Three Strengths of G2C+:

Capacity Integration – Share swaps within the alliance improve resource allocation.
Mutual Technological Support – Each company contributes unique core technologies, boosting development efficiency.
Optimized Service – Clients receive a comprehensive solution through a single contact point, reducing communication costs.

C Sun General Manager Frank Liang explains:

"Taiwanese equipment makers are generally small. Entering the semiconductor market is like playing in the NBA—if you’re not big enough, survival is tough. Through this alliance, we demonstrate to customers that our technology is strong and our production capacity is sufficient."

C Sun General Manager Frank Liang. (Photo: Pei-Yin Hsieh)

Next Step for Taiwan’s Equipment Industry: Tackling a Higher-End Market

Currently, the semiconductor equipment sector remains dominated by large international corporations. However, as TSMC nurtures Taiwan’s local supply chain, domestic equipment makers are gaining competitiveness.

The success of the G2C+ Alliance has solidified Taiwan’s foothold in the back-end packaging sector, making expansion into high-end front-end semiconductor processing equipment a real possibility.

Chen Kuan-neng, Dean of the International College of Semiconductor Technology at National Yang Ming Chiao Tung University, notes:
"Although the precision and specifications of back-end semiconductor processes are not as stringent as front-end processes, Taiwanese manufacturers have already captured key process equipment markets, and there is still room for growth."

The Rise of Taiwan’s Equipment Industry

C Sun’s transformation from a PCB equipment manufacturer into a major supplier for TSMC’s advanced packaging technology has expanded its market presence while proving Taiwan’s international competitiveness in semiconductor equipment manufacturing.

As demand for AI and HPC continues to surge, advanced packaging technology will rapidly evolve. With its strategic expansion, C Sun and the G2C+ Alliance are poised to secure an even stronger position in the global semiconductor equipment market.

"We’ve been running in this race for so long—finally, it’s our time to shine," says Liang. The battle for technological leadership, led by Taiwan’s local equipment manufacturers, is just getting started.

Have you read?

Translated by Susanne Ganz
Uploaded by Ian Huang