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DMG and Adtech form optoelectronics foundry

DMG Technologies and Adtech Technologies have pooled resources to establish Netchip, a Los Angeles-based optoelectronics semiconductor foundry.
DMG Technologies, a manufacturer of optical subassemblies used in telecom, datacom, CATV, and instrumentation systems, and Adtech Technologies, a designer of semiconductor-based optoelectronic devices, have formed a partnership in order to establish Netchip.

Netchip, based in Los Angeles, will initially produce distributed feedback (DFB), Fabry-Perot, and coarse wavelength division multiplexing (CWDM) lasers, as well as avalanche photodiodes (APDs).

While some of the production is designated for use in DMG s line of optical subassemblies, Netchip is already filling sub-contract orders for other international laser manufacturers.

The new firm will utilize the packaging, marketing, and distribution resources of DMG Technologies, according to DMG’s CEO, Malcolm McLean. “Netchip will make high performance, high quality, low cost optoelectronic chips,” he said. “In fact, we intend to deliver what the market demands - Japanese quality, American service, and Chinese pricing.”

McLean says that Netchip will be able to control the price at the chip level. “As a result, control of the chip cost allows DMG to have tighter control of the module cost. This means further production savings, which we fully intend to pass on to our customers.”

Toshi Makino, recently appointed CTO of DMG, will also act as CTO of Netchip. “Netchip has assembled an outstanding team of semiconductor design and process engineers from such firms as Nortel, Agere, Fujitsu, and Hitachi,” said Makino. “We are confident that we can deliver superior technology at an affordable price.”

DMG was founded in August 2003 when it acquired the Demeter Module Group from Finisar (see DMG Technologies buys Demeter from Finisar).

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