Show Miniature Circuit Revolution Tiny electronic circuits known as microcircuits or integrated circuits have become become become be be- come a major sector in the semiconductor industry and its investment in these devices is rapidly approaching the takeoff takeoff takeoff take take- off period The should see seea a bonanza for these incredibly small circuits which can combine combine combine com com- bine or more functions on ona ona ona a single chip of silicon Inthe In Inthe Inthe the billion dollar semiconductor industry sales of integrated circuits grew from million in 1963 to million in 1969 and may exceed million this year WITH THE invention of the transistor the state solid-state age of electronics was ushered in Transistors replaced vacuum tubes because of their unique characteristics of more power cooler operating efficiency less weight longer life increased increased in increased in- in creased reliability and most important reduced costs Integrated circuits quickly won wona a place in computers where these requirements were a must Today these devices are available in all sizes for all types of tasks Two particular types have been developed which now dominate the industry One is the monolithic integrated circuit and the other is dubbed dubbed dubbed dub dub- bed the MOS for oxide metal-oxide- silicon semiconductor circuit The former fonner is especially well adapted for very fast speeds and is used in giant computers MOS is used in smaller computers computers com com- computers requiring less speed and in computer terminals calculators and adding machines machines machines ma ma- chines where cost is the principal principal principal prin prin- cipal factor IN RECENT years the micro- micro circuitry has been carried one step further with the development development develop develop- development ment of super integrated cir cir- cir cir- These are called or scale large-scale integration Currently SSI and ISI for or small- small and scale medium-scale respectively respectively respectively re re- re- re circuits are being produced in sizeable volume SSI incorporates up to 12 circuits circuits circuits cir cir- cir cir- on a single silicon chip while places up to circuits on the chip 0 SCALE LARGE-SCALE devices devices devices de de- de- de vices have more than cir cir- cir cir- An enormous market for these super circuits is predicted predicted predicted pre pre- as complete systems will be designed around them Moreover it is expected to further the development of electronic hardware not possible possible possible pos pos- sible under present technology MOST companies are reporting reporting reporting re re- re- re porting lower dollar sales in individual semi However those firms also producing integrated semiconductor semiconductor ductor circuits have been experiencing experiencing experiencing ex ex- a resurgence in their business because of the rapid growth in use of these devices Yet there is fierce competition tion pirating of talent relatively relatively rela rela- relatively high production costs and an increasing number of bottlenecks because of the extremely extremely extremely ex ex- specialized technology involved THE TilE INDUSTRY'S three leaders Texas Instruments Motorola and Fairchild Camera Camera Camera Cam Cam- era Instrument are not immune immune immune im im- mune to any of these problems There is room for smaller participants with an base of competence The Research Staff of Babson's Babson's Babson's Bab- Bab sons son's Reports has singled out three lesser for con con- GENERAL Instrument NYSE NYSE NYSE NY- NY SE is a leader in the second type of circuit called MOS 1 and also has undisputed capability in the burgeoning field of cable television National S Semi e m i conductor OTC is the only industry stalwart devoted exclusively to the semiconductor business and places considerable emphasis emphasis emphasis em em- on consumer markets FINALLY Sprague Electric NYSE once an old-line old producer of conventional electrical electrical electrical elec elec- and electronic com corn components components is today recognized as a broadly based manufacturer manufacturer manufacturer of integrated circuits The company's past production production production tion problems are being steadily steadily steadily stead stead- ily corrected Babson's Reports Reports Reports Re Re- ports pursuing its term long policy of diversification recommends a package in investment investment investment in- in vestment in all three of the stocks mentioned rather than purchase of one issue alone |