SMIC Announces Formation of Center for Vision, Sensors and 3DIC

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SHANGHAI, Oct. 22, 2013 -- Semiconductor Manufacturing International Corporation ("SMIC"; NYSE: SMI; SEHK: 981), mainland China's largest and most advanced semiconductor foundry, announced today the formation of SMIC's Center for Vision, Sensors and 3DIC (CVS3D). CVS3D consolidates and strengthens SMIC's R&D and manufacturing capabilities for silicon-based sensors, thru-silicon-via (TSV) technology and other middle-end wafer process (MEWP) technologies. MEWP technology has led to significant advancements in CMOS image sensors, MEMS sensors, 3D stacked devices, and high performance TSV-based 2.5D and 3D systems-in-package (SiP).

The semiconductor industry is rapidly adopting TSV-based 2.5D and 3DIC technology in order to further miniaturize system ICs while reducing power consumption and boosting device and system performance. Market research [1] forecasts global TSV wafer shipments to be around 1.35 million 12" wafers in Y2013, expanding to 9.58 million 12"wafers by Y2017, representing a 63% CAGR over the next 5 years. In particular, by Y2017, close to 63% of wafer demand will be for Logic 3D SiP/SoC, MEMS Sensors, RF/Mixed Signal, and CIS-related ICs, all of which are essential for today's smartphone and mobile computing applications.

The formation of CVS3D is a strategic step in driving SMIC's technology differentiation strategy as SMIC expands its value-added technology offerings to a global customer base. One of our customers is already in production using CVS3D's technology offerings, a few customers have multiple additional products in qualification.

"Mobile phones, tablets, and emerging wearable devices are becoming more intelligent and are now equipped with powerful vision and sensing devices which have increased computational capability and improved energy efficiency, all at much smaller sizes," said Dr. Shiuh-Wuu Lee, SMIC's Executive VP of Technology Development. "Going forward, the core concepts and fabrication methodology of 3DIC are clear drivers for advancing design, fabrication and system packaging technology of future imaging and other functional sensor devices. The emerging MEWP technology as a whole plays a very critical role in empowering new silicon device designs, wafer level integration and system packaging solutions. In sharing this enlightening vision with its partners and customers, SMIC's CVS3D is devoted to driving innovative technology to help our customers successfully realize their designs."

"We are encouraged by our customers' responses to our CVS3D technology offerings," said Mike Rekuc, SMIC's Executive Vice President of Worldwide Sales and Marketing. "This milestone is significant, particularly in China, due to the potential market size and number of applications. Over the past few years, SMIC has been developing specialty silicon process technologies such as MEMS, 3DIC, BSI and TSV to meet our customers' growing needs in addressing the mobile computing and smart device markets. With the formation of SMIC's dedicated Center for Vision, Sensors and 3DIC, SMIC is able to extend its manufacturing and R&D capabilities from CMOS front-end services to MEWP services. SMIC is ready to further strengthen our competitive position and leadership in this booming market by offering our customers the best solutions and services."

[1] P. Viaud, Yole Developpement, "3DIC and 2.5D Interposer Market Trends and Technological Evolutions", Semicon China, March 2013

About SMIC

Semiconductor Manufacturing International Corporation ("SMIC"; NYSE: SMI; SEHK: 981) is one of the leading semiconductor foundries in the world and the largest and most advanced foundry in mainland China, providing integrated circuit (IC) foundry and technology services at 0.35-micron to 40-nanometer. Headquartered in Shanghai, China, SMIC has a 300mm wafer fabrication facility (fab) and a 200mm mega-fab in Shanghai, a 300mm mega-fab in Beijing, a 200mm fab in Tianjin, and a 200mm fab project under development in Shenzhen. SMIC also has customer service and marketing offices in the U.S., Europe, Japan, and Taiwan, and a representative office in Hong Kong.

For more information, please visit www.smics.com.