Moore's Law says that the number of transitors that can be placed (inexpensively) on an integrated circuit will double every 18-24 months. That essentially means that the speed of a chip today will operate at half the speed of a chip, of the same size, made two years from now. This unprecedented technological record of innovation has allowed electronic manufacturers to make products like smart phones, small digital cameras, and notebook computers.
Who Benefits From Moore's Law
- Semiconductor Equipment Manufacturers: As chips become smaller and faster, the production process becomes longer and more complex. This provides new market opportunities for these equipment makers. KLA-Tencor (KLAC) is the top process and diagnostic control company in the world and stands to benefit directly from this trend. As the production process becomes more complex, companies are likely to invest more into process diagnostics and control in order to minimize defects and mistakes in the production process.