Merck KGaA and Praxair Form Global Alliance
13 April 1999
Merck KGaA and Praxair Form Global Alliance to Supply Semiconductor Gases, Chemicals, Systems and Services
DANBURY, Conn.--April 12, 1999--Merck KGaA Electronic Chemicals and Praxair, Inc. announced today a global alliance to provide high-purity process gases and chemicals, related equipment and site services to the worldwide semiconductor industry.The microelectronic circuits made by this industry are the brains in today's modern computers, automobiles, telecommunication and other electronic equipment.
This alliance combines the respective sales, product lines, and organization of each global company to create the first one-source materials supplier and interface to the customer. Annual purchases of specialized gases and chemicals by the worldwide microelectronics industry was an estimated $2.7 billion in 1998. Together, Merck KGaA and Praxair will be the leading suppliers of these critical products and services to this high-growth industry.
In addition to having the broadest product line available, this alliance will offer customers tangible savings on operating costs through shared local warehousing, logistics, and site gas and chemicals service operations.
Another important aspect of this relationship is the significant cost savings for the customer through the shared project management and material procurement in the installation of turnkey gas and chemical dispense systems.
"This alliance extends the reach and capabilities of both of our organizations," said Dr. Jurgen Eichler, Director and GM Merck Electronic Chemicals. "Together, we can deliver the broadest range of materials that offer cost-of-ownership advantages and high quality products with advanced logistics."
"Praxair's strengths in atmospheric and process gases together with Merck's expertise in wet chemicals and dopants will help customers in a number of ways that boost productivity," said Ted Trumpp, Vice President and General Manager of Praxair's worldwide semiconductor gases business. "Through our alliance we can offer semiconductor-manufacturing markets in Europe, North America and Asia the ease of doing business through one supplier."
The Merck Group currently serves integrated circuit customers all over the world from production sites in Germany, France, Singapore, and Taiwan, supplying high-purity process chemicals for cleaning, deposition, and etching silicon wafers while also providing Total Chemical Management. TCM covers on site chemical handling, maintenance operations, and quality control within the chemical process chain. These processes are enhanced by Merck's full line of chemical delivery equipment, including chemical cabinets and waste treatment solutions.
The Merck Group of Germany has annual sales of $5 billion with offices in 60 countries and employs more than 27,000 people. Merck KGaA has over 300 years of experience in chemicals and pharmaceuticals, and is a worldwide leader in the manufacturing of chemicals and reagents. For more information visit Merck KGaA on the Internet at www.merck.de
Praxair Semiconductor Materials is supported by a network of advanced gas production and warehousing facilities in Asia, Europe and the United States, supplying more than 40 specialized gases in grades up to Ultra-high purity. Praxair currently has 16 Total Gas Management (TGM) operations at semiconductor customer sites around the world, more than two dozen on-site nitrogen plants, and also designs, manufactures, and services a complete line of advanced gas-handling equipment including gas cabinets, valve manifold boxes and gas controllers.
Praxair is the largest specialty and industrial gases company in North and South America, and one of the largest worldwide, with 1998 sales of $4.8 billion. The company produces, sells and distributes atmospheric, process and specialty gases, and high-performance surface coatings. Praxair is a recognized leader in the commercialization of new technologies that bring productivity and environmental benefits to a diverse group of industries. For more information visit Praxair on the Internet at www.praxair.com/semiconductor.