Core Insights - The Chinese electron beam lithography (EBL) system industry is transitioning from "catching up" to "keeping pace" with international standards, achieving breakthroughs in technology such as 0.6 nm resolution and a production capacity of 60 wafers per hour, nearing global advanced levels [1][7][11] - The market size of the Chinese EBL system industry is projected to reach approximately 294 million yuan in 2024, representing a year-on-year growth of 59.78% [1][8] - Despite advancements, the industry faces challenges such as insufficient domestic production of EUV photoresists (less than 1%) and technical hurdles in processes below 2 nm [1][5][14] Industry Overview - EBL systems utilize high-energy electron beams for nanoscale structure fabrication, offering advantages like ultra-high resolution (less than 10 nm) and flexibility without masks, widely applied in semiconductor manufacturing and quantum device preparation [2][3] - The upstream supply chain includes materials like high-purity quartz glass and photoresists, while the downstream applications focus on semiconductor manufacturing and research [3][4] Market Size - The Chinese EBL system market is expected to grow significantly, with a forecasted market size of 294 million yuan in 2024, marking a 59.78% increase from the previous year [1][8] - The domestic demand for semiconductor chips continues to rise, driven by emerging technologies such as 5G and AI, which further supports the growth of the EBL system market [7][12] Key Companies and Institutions - Notable advancements have been made by companies like Zeyou Technology and Zhejiang University, with the "Xizhi" EBL machine achieving 0.6 nm precision and 8 nm linewidth technology, marking significant progress in domestic capabilities [8][11][9] - Zeyou Technology's EBL system has achieved over 95% localization rate and is being applied in various high-tech fields, breaking the monopoly of foreign companies [9][10] Industry Development Trends 1. **Technological Breakthroughs**: The focus will be on achieving resolutions below 0.6 nm and enhancing multi-beam parallel technology, with the aim of increasing production capacity to 120 wafers per hour [11][12] 2. **Expanding Market Demand**: The demand for high-precision chips in sectors like quantum computing and advanced packaging is expected to surge, driven by government support and industry collaboration [12][14] 3. **Complete Supply Chain Development**: The industry aims to achieve self-sufficiency across the entire supply chain, enhancing the localization of critical materials and addressing challenges in EUV photoresist production [14]

Core Viewpoint - The article discusses the critical role of photomasks in semiconductor manufacturing, highlighting the technological challenges and market dynamics that affect China's chip industry, particularly in the context of US export restrictions and the need for domestic alternatives [2][3]. Group 1: Photolithography and Photomasks - Photolithography is a key process in chip manufacturing, where patterns from photomasks are transferred onto silicon wafers, directly impacting chip performance and power consumption [5][8]. - The precision required for photomasks has reached atomic levels, with line width errors needing to be controlled within 5 nanometers, equivalent to one ten-thousandth of a human hair [3][4]. - The photomask manufacturing process involves complex steps including CAM data processing, coating, exposure, development, etching, and inspection, with each step having stringent requirements [15][17]. Group 2: Technical Challenges in Photomask Production - The photomask manufacturing process faces significant challenges, including the need for precise environmental control during exposure, where temperature fluctuations can lead to position drift of up to 0.5 nanometers [18][19]. - Position accuracy between different layers of photomasks is critical, with requirements for 7nm processes needing alignment within 1.5 nanometers [19][20]. - Exposure control is vital, as deviations in exposure energy can lead to significant variations in line width, affecting the final product quality [20][28]. Group 3: Market Dynamics and Trends - The global semiconductor materials market is projected to grow, with the photomask segment expected to reach a market size of approximately $5.4 billion by 2023, driven by increasing demand for advanced processes [49][50]. - The photomask market exhibits higher profit margins compared to flat panel displays, with advanced process photomasks showing significant improvements in profitability due to technological advancements [54][57]. - The shift of semiconductor manufacturing capacity to China is anticipated to increase domestic demand for photomasks, with projections indicating a rise in the number of 12-inch wafer fabs in the region [61][63]. Group 4: Photomask Industry Structure - The photomask supply chain is characterized by a heavy reliance on imports for key materials, with major suppliers located in Japan and Korea, leading to a significant domestic technology gap [42][44]. - The cost structure of photomasks is primarily composed of direct materials and manufacturing costs, with photomask substrates accounting for over 90% of direct material costs [46]. - The photomask industry is segmented into in-house production by wafer manufacturers and independent third-party suppliers, with the latter being more prevalent in mature process nodes [52].

Group 1 - The UK has established the second electron beam lithography (EBL) center globally, which is capable of producing semiconductor chips with a resolution below 5 nanometers, using a 200kV system from JEOL [1][2] - The new EBL facility at the University of Southampton is expected to enhance the UK's capabilities in semiconductor research and development, particularly in quantum computing and silicon photonics [2][3] - The EBL technology, while advanced, is primarily used for academic research and training, and does not directly compete with ASML's EUV lithography machines [8][10] Group 2 - Electron beam lithography (EBL) is a mature technology that has been in use since the 1960s, providing higher resolution than traditional photolithography, making it suitable for mask fabrication and small-scale semiconductor production [3][4] - Major manufacturers of EBL systems include Raith, NBL, JEOL, NuFlare, and IMS Nanofabrication, with each company focusing on different aspects of the technology and market [5][6] - ASML, while dominant in the EUV lithography market, is also developing its own EBL technology, indicating ongoing competition and innovation within the sector [8][10]