2015-2016 TDK Company Profile English version CONTENTS TDK Technology p03-04 Top message p05-10 Innovation in core technologies P11-12 Research & development P13-14 For the future Relations with Society P31-32 Relation to stakeholders 01 P33-34 History with stakeholders Business Spanning the Globe P15-16 Global network P35 Corporate social activities Growing Markets and TDK Products P17-18 P19-22 Business @ a glance P36 Awards from society Application ICT Network P23-26 Application Automotive P27-30 Application Industrial & Energy P37 Web contents 2015-2016 TDK Company Profile 02 Focusing on growth markets and developing electronic components from the materials level up, to support value creation by customers and contribute to society Takehiro Kamigama President & CEO Top Mess Corporate Motto Contribute to culture and industry through creativity Corporate Principles “Vision”“Courage”“Trust” Smartphones, big data, eco cars, green energy—these any kind of electric or electronic equipment. Passive home & health care segment, where customer are some of the key concepts for the 21st century. components include for example ferrite cores, coils, companies of TDK increasingly demand parts with With the aim of realizing such innovative ideas and transformers, ceramic capacitors, sensors, and many extremely small dimensions and ultra-miniaturized responding to people's expectations, the field of more. Harnessing technological know-how acquired and modules. electronics is constantly advancing and evolving. TDK is perfected over the years in developing such components, a major player in the electronic components sector, TDK has also successfully brought products such as TDK is active in some 30 countries around the world, an area with an amazing pace of progress, driven by magnetic heads, magnets, power supplies, and batteries relying on about 100 major business sites. Both in fierce global competition. to the market. production and in sales, overseas operations account for TDK was founded in 1935 with the pioneering aim of The wide product portfolio is one of the distinguishing use of our global network in the areas of human commercializing the magnetic material “ferrite”. The characteristics of TDK. Currently, the company focuses resources, technology, and production. This gives us the company's driving force was to create something of in particular on three areas that are expected to see edge to speedily introduce unique, highly competitive value that did not exist before, and thereby contribute to further rapid growth in the future: ICT (Information and products and holds the key to further sustained growth. society. During its 80 year history, TDK has continued to Communication Technology), automotive electronics, create electronic components from the source materials and the industrial equipment and energy sector. more than 80 percent. We are committed to making full level up, with particular emphasis on magnetic materials As a global leader in the electronic components industry, TDK will starting from ferrite, and with a strong focus on Smartphones are evolving towards higher communication continue to take up the challenge materials technology. As a result, we were able to offer speeds, and the arrival of hybrid electric and electric of providing our customers with a host of unique and innovative electronic components vehicles has meant that automobiles require ever more electronic components that to the world. electronic components. In the energy sector, the combine great originality and high sage next-generation power distribution concept known as value, and so make a tangible TDK's main product sector is the field of passive the smart grid will undoubtedly drive a surge in demand contribution to society as a whole. components, which are fundamental building blocks for for electronic components. Another focus area is the World's first ferrite cores 2015-2016 TDK Company Profile 04 Innovation in core technologies 1935 A pioneering university-generated venture company The product power of TDK springs from its mastery of materials, acquired in ever growing dimensions since the founding of the company. Here we highlight some core technologies and the resulting innovative developments made possible by taking advantage of that strength. Then Now Innovation Core technologies Founding of TDK Tokyo Denki Kagaku Kogyo K.K., the forerunner of TDK, was founded in 1935 in order to commercialize ferrite, an epoch-making magnetic material that had been invented in Japan by Dr. Yogoro Kato and Dr. Takeshi Takei of the Tokyo Institute of Technology. So TDK really was a pioneering university-generated venture company. Four great world-class innovations by TDK ① Materials technology with origins in ferrite The oxide core catalog of ferrite products from the time of TDK's foundation Dr. Yogoro Kato (left) and Dr. Takeshi Takei (right) The world's first ferrite cores 1930 Progress of wireless technology Ferrite 1940 & Eco Ferrite proves even more important in tackling energy saving and environmental issues of the 21st century Ferrite is an indispensable material in the world of electronics. It proves its worth in a myriad of electronic devices surrounding us in daily life. For example, it serves as core material for various transformers and coils, helps to implement measures against noise, provides magnetic shielding, and is used in electromagnetic wave absorbers. In this way, it also helps to save energy and solve environmental issues. Recognition as IEEE Milestone: TDK's efforts influenced the world's technological history The Institute of Electrical and Electronics Engineers (IEEE), an international academic society relating to electricity and electronics, recognized the "Development of Ferrite Materials and Their Applications" by the Tokyo Institute of Technology and TDK as a historical achievement that has contributed to the development of society and industry. This was the 89th IEEE Milestone awarded worldwide since its IEEE Milestone plaque establishment in 1983 and the 10th in Japan. 05 Through the application of various electroceramic materials, starting with ferrite technology, TDK has successfully created a wide range of electronic components and devices. 1966 Ferrite cores from TDK used extensively in superheterodyne type radio receivers The superheterodyne principle which enables high performance in radio receivers came into wide use around the year 1950. This led to a drastic rise in demand for ferrite from TDK, to be used as core material in intermediate frequency (IF) transformers. After the age of television began, ferrite also found wide application in the deflection yoke cores of CRT tubes. Development of first cassette tape made in Japan Four great world-class innovations by TDK ② Magnetic tape technology revolutionizes music life The Paramistor developed by TDK for use as arithmetic element in the Parametron type electronic computer (Grand Prix at 1958 Brussels World Exposition) TDK developed the first cassette tape made in Japan. The combination of superior magnetic materials technology and coating technology later also proved its worth in the manufacture of video tape products. Memory for electronic calculators A superheterodyne type radio receiver, and ferrite cores for IF transformers (foreground) Before semiconductor memory came into widespread use, ferrite cores from TDK also served as memory elements in electronic calculators. of high-performance 1950 Spread radio receivers Materials technology Memory element consisting of a matrix of ferrite cores 1960 First Synchro Cassette Tape, made in Japan Spread of television Materials & Energy Equipment for manufacturing cassette tapes and video tapes 1970 TDK materials technology is also a crucial advantage in the energy sector The driving factor behind TDK's product power is superior materials technology. Shaping the characteristics of the material at the molecular level enables the creation of innovative electronic components and devices that meet even the most advanced needs of the market. Power conditioners connected to solar power or wind power generation systems use so-called reactors (consisting of a step-up coil and smoothing coil). The cores of these products also utilize ferrite from TDK. ● Materials design technology Control of main raw material composition as well as microadditives is an effective approach for achieving specific targeted properties. Reactor core made of large current compatible ferrite material PE90 ● Powder control technology Most raw materials are used in powder form. Various advanced techniques are applied to control properties such as base powder microstructure, uniformity, and dispersion on the nanometer level. Assortment of main raw materials ● Ferrite (magnetic ceramics material) ● Dielectric ceramics ● Piezoelectric ceramics ● Semiconductor ceramics Piezo actuators Multilayer chip varistors (left) / Ring varistors (right) ● Microstructure control technology Electroceramic materials are polycrystalline substances consisting of crystal grains. By controlling the internal composition of the crystal grain as well the boundary between particles and other properties, various characteristics can be realized. Neodymium magnet crystal grain structure: Finer crystal grain and greater uniformity result in improved magnetic characteristics. Ferrite cores (left) / Ferrite magnet (right) Ceramic capacitors: High-voltage type (left) / Stacked type (right) 2015-2016 TDK Company Profile 06 Innovation in core technologies Ferrite or ceramic sheet 1980 Four great world-class innovations by TDK ③ Fine multilayering technology drives miniaturization and weight reduction of electronic equipment Conductor pattern (coil semicircle) Via (for connecting conductors between sheets) Innovation Then NowCore technologies 1980 In 1980, TDK developed the first multilayer chip inductor, using original multilayering technology to form three-dimensional spiral coils inside the chip. Further refining of this technology led to the introduction of multilayer ceramic chip capacitors, multilayer chip beads, multilayer chip varistors and various other multilayer electronic components which significantly contribute to reduced size and weight of electronic devices. Multilayer chip inductor structure (right) and multilayer method (left): On a sheet of ferrite or other material, an internal electrode pattern is printed using metallic paste, and multilayering is used to form the spiral coil. Smaller dimensions and lighter weight of electronic devices process Process technology Process technology extracts the maximum of the characteristics of materials. Super-advanced control techniques operating with nanometer level precision result in products with outstanding performance and functionality. Ferrite cores of various shapes, produced with high level forming technology ● Forming technology Ferrite cores, magnets etc. are formed by adding a binder to the base powder. A high degree of technical sophistication is required to achieve compact, low-profile, and complex shapes. ● Sintering technology Nanoscale structure of a TMR head (read element of an HDD magnetic head) 07 Examples of element distribution evaluation for ceramic dielectric (capacitor material) using advanced analyzing equipment Electroceramic materials and magnetic materials are shaped and then sent to the sintering process to become the sintered compact. This requires extremely accurate environmental control, because the resulting microstructure is affected by factors such as temperature and gas components in the sintering furnace. Ferrite sintering process Core and shell structure of dielectric ceramics particles The magnetic heads business of TDK began in 1962 with the development of a ferrite head core piece for storage devices such as magnetic drums. Magnetic head technology opens the way to amazingly high recording density The areal density of HDDs has grown by a factor of about 10 every five years. Magnetic head technology from TDK has greatly contributed to this development. Currently, TDK is in the process of bringing the next head generation, thermal assisted magnetic heads, from the lab to the practical application stage. Thin film technology triggers magnetic head progress Thanks to the development of magnetic heads utilizing thin film process technology on the nanometer level, the recording density of hard disk drives took a giant leap forward in the 1990s. 10T Areal density (bits per square inch) 1994 TDK's magnetic head technology enables HDDs with much larger storage capacities Four great world-class innovations by TDK ④ TMR/PMR heads 1T Advanced GMR heads 100G Slider Magnetic head of the 1970s (Winchester head) Trend towards digital 1990 Thin film magnetic heads GMR heads 10G 1G MR :Magnetoresistive effect magnetoresistive effect TMR :Tunnel magnetoresistive effect PMR :Perpendicular magnetic recording MR heads 100M 1990 1995 GMR :Giant 2000 2005 2010 Evolution of HDD magnetic heads and areal density 2015 (Year) Spread of mobile phones, PCs, Internet HDD ● Thick film process technology ● Thin film process technology ● Winding technology ● Electrode materials technology A technique that involves printing type electrodes onto dielectric or ferrite sheets to create a multilayer structure. It is used in the production of multilayer electronic components such as chip capacitors and chip inductors. A technique that involves creating a thin film on a wafer and using etching processing or similar to form an electrode, coil, head element etc. It is used in the production of magnetic heads for hard disk drives, thin film electronic components etc. Advanced technology for the process of winding wire on the cores of coils and transformers. Automatization and optimization result in a highly reliable product. Core technology know-how is also applied for internal electrodes of capacitors, electrodes for lithium ion batteries, and similar. Dielectric layer Chip cross section view Power coils Electrode Appearance and internal structure of a multilayer ceramic chip capacitor Both volume and weight have shrunk to about 1/200 since 1990 2012 1608 1005 format Grain of rice Thin-film common mode filter formed on wafer (left), and enlarged photograph (right) Common mode filters Multilayer ceramic chip capacitors Lithium ion polymer batteries ● Coating technology Coating technology produces a very thin uniform film on a substrate or film base. TDK can harness advanced coating techniques developed in manufacturing magnetic tape. ● High-speed winding technology This technology is applied in the manufacturing process for film capacitors and other products, ensuring fast and highly precise winding of the plastic film. 1005 0603 0402 Miniaturization of multilayer ceramic chip capacitors (2012 format dimensions: 2.0 x 1.2 mm, 0402 format dimensions: 0.4 x 0.2 mm) Head element formed on wafer (right), and enlarged photograph (left) ITO transparent conductive films ITO (indium-tin-oxide) powder Film capacitors 2015-2016 TDK Company Profile 08 Innovation in core technologies 2003 Increased applications of thin film technology Breakthrough to even smaller size and higher performance TDK is also pursuing further miniaturization and higher performance of electronic components via other approaches besides multilayering. A thin film common mode filter developed by applying thin film process technology from magnetic heads is a case in point. The manufacturing process comprises film forming technology using a vacuum equipment, proprietary fine pattern forming technology and other advanced methods. To support the evolution of smartphones and other mobile devices towards ever higher speeds, multi-function capability, and higher frequencies, TDK has developed thin film band-pass filters, thin film baluns, thin film couplers and a range of other RF components using advanced thin film technology. Structure of thin film common mode filter with ESD function Innovation Thin film band-pass filter Then NowCore technologies Thin film capacitor 2000 Thin film balun Thin film coupler Spread of various mobile devices Evaluation and simulation technology Evaluation and simulation expertise takes TDK's accumulated technology to the next level. Activities range from material analysis and examination, simulation of product structure, thermal conditions, and electromagnetic field to noise measurements and design of noise control solutions using radio wave anechoic chambers. These effectively sustain the creation of new products. ● Evaluation and analysis technology Tasks such as observation of microstructure and visualization of elemental distribution are carried out using the latest analysis equipment and simulation techniques. ● Simulation technology ● EMC countermeasure technology Harnessing the power of computers to visualize the distribution of thermal energy emitted by circuits, or the electromagnetic field distribution of noise sources is helpful in designing products more efficiently and ensuring effective noise countermeasures. EMC measures are aimed at ensuring that a device is not susceptible to interference from other devices and also does not become the cause of interference in other devices. TDK offers a range of EMC countermeasure products. Anechoic chambers are also used for purposes such as noise measurement and evaluation, antenna evaluation etc. Thermal analysis simulation Radio wave anechoic chamber Element imaging technology for components mounting substrates 09 Noise measurement Advanced vacuum technology is another TDK strength HDD magnetic heads, thin film electronic components, functional films and similar TDK products are manufactured using advanced vacuum technology and vacuum equipment (sputtering etc.). Vacuum container High voltage Packing plate (cooling plate) Target 2012 Magnet innovation Year Zero of the Magnet–A new TDK challenge In order to improve performance, magnets are usually fabricated under addition of various kinds of rare earth materials. But TDK is forging ahead with the development of new magnets that either reduce the use of costly rare earth additions significantly or eliminate them altogether. In 2012, TDK successfully established a mass production process for dysprosium-free neodymium magnets. To mark this new beginning, 2012 was designated as the "Year Zero of the Magnet", and TDK is continuing to work towards the realization of various new magnets that do not rely on rare earth materials at all. Argon ion Argon gas Another achievement: thinner ferrite magnets Exhaust gas ITO film Resin substrate Target particle Basic principle of ITO film forming by sputtering 2010 Existing manufacturing method Neodymium magnets (NEOREC series) from TDK DC motors used in automobiles, as well as electric motors for various other applications increasingly are subject to severe space limitations. To shrink the dimensions of such motors, thinner ferrite magnets are highly desirable. With conventional manufacturing methods, magnets of less than 3 mm thickness are difficult to achieve, but the proprietary NS1 method from TDK has enabled the realization of high-performance ferrite magnets with a thickness on the order of only 1 mm. NS1 method Magnets for motors. The NS1 method allows also wide-angle designs that snugly envelop the rotor (right). Thin ferrite magnets produced with the NS1 method enable the realization of smaller and lighter motors. Spread of smartphones and tablets, evolution of cloud computing ● MEMS technology Device & module technology MEMS (micro electro mechanical systems) technology involves configuring sensor, actuator, and similar functions on a chip using micro machining to build a very compact functional device. ● Circuit design technology This comprises selecting optimum components and designing the circuitry including the wiring and thermal dissipation arrangement using advanced simulation techniques. AC-DC switching power supply (board type) Power modules ● Packaging technology ● LTCC technology Parts assembly, bonding, sealing, as well as structural design and shape design are optimized to achieve compact dimensions and high performance. Low temperature co-fired ceramic (LTCC) technology allows the integration of a high number of components such as capacitors and inductors on a dielectric sheet to create a printed multilayer module. NTC thermistors (left) and RF components (right) LTCC RF module ● Semiconductor embedded substrate (SESUB) technology MEMS microphone This technology involves embedding semiconductor IC chips into the resin substrate, and mounting passive and other components in a threedimensional arrangement to achieve a modular product. MEMS pressure sensor Bluetooth module Power management unit Production technology The TDK policy of QCD (Quality, Cost, Delivery) is being further strengthened, to enable swift and effective adaptation to changes in the marketplace. A system of unified production extending from source material to finished product is aimed at enhanced manufacturing power. ● Equipment technology Outstanding products come from outstanding manufacturing facilities. TDK not only develops innovative manufacturing techniques but realizes these by building much of the required equipment in-house. This comprehensive approach is the key to superior craftsmanship. High-speed, high-precision automatic winder used for film capacitor manufacturing TDK factory automation equipment: Flip chip bonding machine (left) / FOUP load port (right) 2015-2016 TDK Company Profile 10 Research & development TDK is making full use of its worldwide network linking Japan, China, other Asian countries, Europe, and the U.S. Specific priority operation fields have been defined for each region. This enables us to pursue R&D at the cutting edge of technology, in order to anticipate and meet specific demands. Some representative accomplishments are highlighted on this page. The Cutting Edge of Evaluation and simulation technology R&D Passive components Applied products Ferrite cores HDD heads Production technology Transformers Inductors TDK core technologies Device & module technology Process technology Materials technology Neodymium magnets Ferrite magnets Aluminum electrolytic capacitors Film products Film capacitors Power supplies Ceramic capacitors Rechargeable batteries RF components and modules MEMS applied products Flash storage applied products Radio wave absorbers, anechoic chambers 1 1 Circuit protection components Materials technology with ferrite as a starting point, combined with process technology to fully utilize the potential of a material and obtain the utmost in performance—these are the major reasons for TDK's unique product development power from the materials level up. By pushing the envelope in its core technology fields, TDK forges ahead to make visionary dreams a reality. Innovative electric vehicle charging concept Wireless Power Transfer This system is designed to allow wireless charging of the batteries in an electric vehicle, thereby eliminating the need for cumbersome cable connections. Coils using high-performance ferrite, along with a unique auto tuning principle enable optimized charging even if the parking position is not totally accurate. The technology also has high promise for industrial equipment applications. Ferrite Vehicle side Spiral coil (Wound type coils can be made thinner than coils with E-shaped core) Wireless power transfer for charging an electric vehicle (concept) Road side Sensors EMC countermeasure products Piezoelectric material products TDK core technologies Manufacturing equipment Principle of wireless charging High-performance batteries sustain the smart society High-Capacity Rechargeable Battery Material For lithium ion type batteries and other rechargeable batteries used in vehicles and similar applications, achieving high storage combined with high safety is a key objective. TDK is also conducting original and innovative research into areas such as positive and negative electrode materials and separator materials. Separator Li Positive electrode + Charge e- Discharge Negative electrode Electrolyte Li + Discharge Charge e- e- Electron Li+ Lithium ion Principle of lithium ion battery Enlarged photograph of separator Breakthrough towards ultra-high-capacity HDDs Cutting-edge technology creates tiny modules with high performance Thermal Assisted Magnetic Recording Heads Semiconductor Embedded Substrate (SESUB) Near field light generated by a laser beam heats up a small spot area exposed to the magnetic flux from the recording head, which enables amazingly high recording density of more than one terabit per square inch. TDK is now working on bringing thermal assisted magnetic recording heads with integrated laser to the product stage for market introduction. Laser beam Recording head (PMR element) This technology involves embedding semiconductor IC chips with lowered profile into the resin substrate, and mounting other components in a three-dimensional arrangement to achieve a modular product. Advantages include reduced size, low height, excellent thermal dissipation, and reduced noise emissions. Read head (TMR element) Near-field light Thermal assisted magnetic recording head with integrated laser Principle of thermal assisted magnetic recording IC Die SESUB based power management module for smartphone (left) and Bluetooth module (right) IC Die SESUB cross-section view (example) Next-generation high speed communication device The advancement of cloud computing means that hard disk drives, the main form of data storage in data centers, need to offer even higher storage capacities. Fundamental solutions to eliminate dependence on rare earth materials Optical Engine This device transforms an electrical signal into an optical signal for high-speed communication. The development is aimed at communications between or within devices such as ICT or industrial equipment. Small size, low power consumption, and high resistance to noise are some of the advantages, making the system ideal for high-speed signal transmission over long distances. Electrical signal Optical signal Magnets with Reduced or No Rare Earth Material Content The manufacturing process of neodymium magnets and ferrite magnets usually requires the addition of various rare earth materials to improve performance. In order to counter risks such as fluctuations in price and stability of supply, TDK is engaged in developing magnets that require significantly lower amounts of rare earth additions or even eliminate the need for them altogether. Image processing board Optical engine integrated in connector section Next-generation high-efficiency power supplies TDK is also engaged in the following advanced fields: Dysprosium-free neodymium magnet for VCM (voice coil motors) in HDDs Microstructure of neodymium magnet Multi-function, high-performance sensors Ultra-miniaturized chip components MRAM (Magnetoresistive Random Access Memory) Ultra-high-performance magnetic materials 2015-2016 TDK Company Profile 12 For the future TDK core technologies based on materials technology are also contributing to the future of electronics. We are challenging accepted notions and are constantly working on innovative solutions. Some examples are highlighted on this page. Software Solution Creating high value-added products Wireless Technology A fusion of core technologies and software Application of magnetic materials technology and magnetic circuit technology Transportation systems of the future will support wireless charging while in motion Aiming for higher productivity and better quality, TDK is promoting the integration of materials technology and other core technologies with software. For example, intense efforts are directed at the design and development of high-efficiency power supplies for electric vehicles, as well as the creation of high value-added products for the energy infrastructure of the future. Wireless power transfer, which is already a reality for charging mobile devices and similar, is poised to spread to electric vehicles (EV). A technique that holds promise for the near future is wireless power transfer using magnetic resonance. Power transmitting devices installed along highways could be matched to onboard receiving devices in vehicles, to enable wireless power transfer while driving. Possible usage scenarios also include rail and other transport systems. PrDevice ocess&techn module Production tec Wireless transfer supporting high amounts of energy CORE TECHN Materials technology Process technology CoreTechnolog technology dule technology Device & mo culture Contribute and industry Production tec Evaluation & simulation through creativitytoFerrite cor Transform Passive Compon Wearable Computers Freely controlling Film Application Products Mthe electron agnetic spin O Application ther Induct Taking the Cha • Sens Spintronics Core Technologies Materials technology Detecting extremely feeble biomagnetism in the brain or heart Application of TMR elements developed for HDD heads allows realization of ultra-sensitive magnetic sensor. Promising application fields include health care and medical sector. The science of controlling the charge and spin of an electron through nanotechnology is called spintronics. The application of TMR (tunnel magnetoresistive effect) elements developed for HDD magnetic heads to this field makes it possible to realize a compact magnetic sensor with low power consumption but extremely high sensitivity, comparable to a SQUID (superconducting quantum interference device) which is a very sensitive magnetometer used to measure extremely subtle magnetic fields. TDK is also working on the development of TMR elements utilizing MRAM (Magnetoresistive Random Access Memory), which is considered the next generation of nonvolatile memory. 13 Energy Harvesting Battery-less mobile devices may become a reality Materials Innovation Accessing and utilizing energy that is all around us Breaking through theoretical limitations “Temperature difference power generation system”converts waste heat into energy Development of magnets better than neodymium The concept of energy harvesting involves technology for converting heat, vibrations, radio waves etc. in the environment into electrical power. It may even enable the realization of mobile devices that do not need a battery. TDK is engaged in research into a “temperature difference power generation system” that makes use of the Seebeck effect. nology e technology chnology NOLOGIES Aiming for the world's most powerful magnet Established opinion considers it difficult to exceed the magnetic force of neodymium magnets. But TDK is challenging this assumption with cutting-edge technology such as a nanocomposite magnet material whose structure is controlled on the nanometer level. Our R&D efforts are directed at creating the world's most powerful magnet that surpasses even neodymium. Evaluation & simulation technology allenge to theEnergy Next Level Wireless Technology Harvesting gies y chnology res nentsducts mers tors nsors Pro Evaluation & simulation technology Software Solution Spintronics Materials Innovation Bringing electronics and humans closer together Wearable Computers ICT equipment for the post-smartphone age Next-generation electronic components and modules using substrate embedding technologies will make wearable computers a reality Wearable computers taking for example the form of wristwatches, eyeglasses or belts are expected to become the next big thing in the ICT (Information and Communication Technology) sector. They will allow flexible use in many situations, freeing the user from the need to carry a smartphone or tablet around. TDK is pushing the technology envelope in this field, with SESUB technology for embedding chips in substrate, RF module technology, and other advanced techniques for electronic components and modules. We have also developed an ultra-low-profile thin film capacitor (TFCP) that is flexible and allows embedding in the substrate. 2015-2016 TDK Company Profile 14 Global network TDK Group's Global Network Building a flexible R&D and production framework to accommodate worldwide and diversifying business activities of our customers SAE (Hong Kong, China) Europe [Germany] TDK Europe GmbH TDK-Lambda Germany GmbH EPCOS AG TDK-EPC AG & Co. KG [Hungary] EPCOS Elektronikai Alkatrész Kft. [Taiwan] [UK] EPCOS (Germany) [Italy] TDK UK Ltd. Becromal S.p.A. EPCOS Taiwan Co. Ltd [France] TDK Italy S.r.L. [Korea] TDK-Lambda France SAS [Iceland] TDK Korea Corporation [Spain] Becromal Iceland ehf EPCOS Electronic Components S.A. [Austria] [Czech Republic] EPCOS OHG EPCOS S.r.o. [Croatia] [Sweden] EPCOS Croatia d.o.o. TDK Nordic AB [Poland] [Finland] EPCOS Polska Sp.zoo TDK Nordic OY [Switzerland] [Portugal] EPCOS 2 Portugal Lda 15 TDK Taiwan Corporation TDK-Lambda UK Ltd. EPCOS Schweiz GmbH TDK Electronics Korea Corporation EPCOS Korea LLC [Malaysia] TDK (Malaysia)Sdn.Bhd. TDK-Lambda Malaysia Sdn. Bhd. EPCOS Sdn. Bhd. EPCOS RDC Sdn. Bhd. [Singapore] TDK Singapore (Pte) Ltd. TDK-Lambda Singapore Pte. Ltd. [Russia] Entrocomponent Solution Singapore Pte. Ltd. TDK CIS LLC EPCOS Pte Ltd. [Thailand] TDK (Thailand) Co.,Ltd. TDK Dalian Corporation Magnecomp Precision Technology Public Co., Ltd. TDK-EPC Hong Kong Ltd. [Philippines] TDK Xiamen Co., Ltd. TDK Philippines Corporation TDK Electronics Philippines Corporation [Israel] TDK-Lambda Ltd. Islambda Electronics Ltd. Lambda Electronics Ltd. Qingdao TDK Electronics Co., Ltd. TDK (Shanghai) International Trading Co., Ltd. TDK (Suzhou) Co., Ltd. SAE Technologies Development (Dongguan) Co., Ltd. Amperex Technology Ltd. Wuxi TDK-Lambda Electronics., Ltd. [China] Acrathon Precision Technologies (HK) Ltd. TDK Hong Kong Co., Ltd. SAE Magnetics (Dongguan) Limited SAE Magnetics (H.K.) Ltd. TDK Dongguan Technology Co., Ltd. Technical Center (Japan) Japan TDK Corporation Headquarters (Tokyo) Akita Plant (Akita) Chokai Plant (Akita) Inakura Plant (Akita) Narita Plant (Chiba) Technical Center (Chiba) Asia Kofu Plant (Yamanashi) Shizuoka Plant (Shizuoka) Mikumagawa Plant (Oita) TDK-Lambda Corporation Headquarters (Tokyo) Nagaoka Technical Center (Niigata) TDK-EPC Corporation TDK-MCC Corporation Kitakami Plant (Iwate) Honjo Plant (Akita) TDK Ugo Corporation Ouchi Plant (Akita) Americas Headway Technologies, Inc. (USA) Asama Techno Factory (Nagano) [USA] [Brazil] TDK Corporation of America TDK do Brasil Ind. e Com. Ltda. TDK Ferrites Corporation EPCOS do Brasil Ltda. TDK Components U.S.A., Inc. TDK RF Solutions Inc. Headway Technologies, Inc. TDK-Lambda Americas Inc. EPCOS Inc. Konoura Plant (Akita) Acrathon Precision Technologies (Dongguan) Co.,Ltd. TDK-NITTO (Shanghai) Electro-Energy Co., Ltd. Guangdong TDK Rising Rare Earth High Technology Material Co.,Ltd. EPCOS Limited EPCOS (Zhuhai) Co., Ltd. EPCOS (Zhuhai FTZ) Co., Ltd. EPCOS (Xiaogan) Co., Ltd. EPCOS Technology (Wuxi) Co., Ltd. Iwaki Plant (Akita) TDK Yurihonjo Corporation Honjo Plant (Akita) Yashima Plant (Akita) TDK Shonai Corporation Sakata Plant (Yamagata) Tsuruoka Plant (Yamagata) Iida Plant (Nagano) TDK Kofu Corporation TDK Precision Tool Corporation EPCOS (Shanghai), Ltd. EPCOS (Xiamen) Co., Ltd. (Major sites as of October, 2015) [India] EPCOS India Private Ltd. [Indonesia] PT. EPCOS Indonesia 2015-2016 TDK Company Profile 16 Business @ a glance D Other 20,800 TDK is one of the leading electronic component manufacturers in the world. million yen 2% A Passive Components 541,200 million yen Exclusive mastery of core technologies combined with the spirit of craftsmanship sustains our activities in a wide range of fields. C B A 17 Film Application Products 151,200 million yen Magnetic Application Products 369,200 million yen Passive Components 14% 34% 50% Consolidated net sales 1,082,550 million yen Consolidated net sales for fiscal year ended March 2015, by segment Many different kinds of electronic components sustain advanced applications in today's modern world. Active components such as integrated circuits and LSI chips could not be driven without capacitors and inductors, and they also need many other passive components, along with structural parts such as printed circuit boards. Configuring passive components as chips and surface mount devices (SMD) or integrating them into modules sustains the trend towards smaller dimensions, lower weight, and thinner profile of electronic products. Ceramic capacitors Inductive devices RF components and modules Used for noise suppression and signal processing in a wide range of electronic devices indispensable for daily life. As the trend towards electric vehicles and extensive use of electronics in automobiles continues, more than 1,000 multilayer ceramic chip capacitors are commonly found in a single vehicle, and smartphones and tablets use some 400 or more to realize small dimensions and high functionality. This field includes inductive devices made by wire-wound, multi-layer, thin film process, transformer and EMC components. They contribute significantly to power savings in automobiles, higher efficiency in communication systems, as well as higher sensitivity and longer battery life in smartphones. These high-frequency components and modules are designed for use in smartphones, tablets, and similar products. New products are being developed using SAW/BAW technology, low temperature co-fired ceramic (LTCC) technology, thin film technology, and Micro Electro Mechanical Systems (MEMS) technology. Piezoelectric material products, circuit protection components Piezoelectric actuators and other products utilizing piezoelectric materials contribute to enhanced fuel economy in automotive engines. Other key items in this area are circuit protection components such as varistors and arresters. B Magnetic Application Products TDK's extensive technical know-how in magnetic materials, magnetic circuits and related fields, along with thin film process technology, spintronics, and other cutting-edge technology is clearly evidenced in our range of magnetic application products. High-efficiency power supplies incorporating outstanding ferrite and transformer technology, as well as high-performance magnets contribute significantly to the conservation of power and resources. Power supplies Power supplies Magnets Recording devices Designed mainly for industrial equipment, the extensive lineup includes AC-DC switching power supplies, programmable power supplies, DC-DC converters, power supplies for charging batteries, etc. Automotive power supplies for various hybrid electric and electric vehicle configurations are also available. In addition to our neodymium and ferrite magnets with wide range of property, we produce magnet applied products and contribute greatly to the energy saving for the automobiles and home appliances. Advanced magnetic theory and leading-edge thin film technology contribute to recording capacity expansion of HDD. Various sensors using high-performance GMR and TMR elements are also widely used in the auto-focus encoders of single-lens reflex cameras. Sensors The lineup includes temperature sensors, pressure sensors, gear tooth sensors, toner sensors and various other sensors that are essential for multifunction capability in electronic devices and in the car electronics sector, as well as for factory automation and office automation. Aluminum electrolytic & Film capacitors Aluminum electrolytic capacitors feature high capacitance and come in various types, such as large products for industrial equipment, high-reliability axial lead types for automotive applications, and various other configurations. Film capacitors offer outstanding reliability and are suitable for a wide range of applications. C Film Application Products The application of materials technology and film forming technology has resulted in the creation of functional films and other new products with high added value. Applied films Applied films TDK supplies ITO transparent conductive films and other functional films used in the touch panels of smartphones. Coating technologies derived from magnetic tape manufacturing processes (including wet coating) and thin film process technologies with vacuum coating process such as the sputtering are applied to create those films. Energy devices TDK products in the energy sector range from thin batteries ideal for use in smartphones, tablets, and other small-size electronic equipment to high-capacity batteries for automotive use and for storing the energy generated by solar power and wind power installations. D Other TDK core technologies are proving their worth in growth markets such as Information and Communication Technology (ICT), automotive, and energy & industrial equipment sector. Flash memory applied devices Flash memory applied devices TDK supplies solid state drives (SSD) with proprietary memory control chips and CompactFlash cards for industrial use. These are found for example in communication base stations and traffic control systems, providing support for the age of Big Data. Radio wave anechoic chamber & EMC measurement system More than 1,200 radio wave anechoic chambers from TDK are installed around the world. High-performance antennas and automated measurement systems with dedicated software improve the efficiency of EMC measurements. TDK also offers EMC solutions comprising highly accurate EMC measurement services to support effective noise countermeasures in electronic devices. Mechatronics Production equipments (production equipment) TDK's expertise in mechatronics gained in the production of outstanding electronic components is available in the form of production equipment. TDK provides load ports and flip chip bonders for various wafer sizes, as well as a range of other advanced factory automation equipment. 2015-2016 TDK Company Profile 18 Application ICT Network Staying in touch, staying connected, going global Smartphone market continues to grow The smartphone market that drives mobile computing is expanding rapidly. Smartphones now account for about half of all mobile phones worldwide, and yearly sales amount to about one billion units. Boosted by the higher speeds afforded by LTE or 4G networks, smartphones have become the tools that connect a myriad of things. The wide variety of electronic components and modules from TDK, making full use of advanced core technologies, dramatically expands the possibilities of the smartphone. 19 RF circuits Diplexers/Baluns Charging mobile devices wirelessly is the way of the future Many smartphones and other mobile devices are equipped with lithium ion polymer batteries made by TDK. And wireless power transfer systems that allow charging a device without physical contact simply by placing it near a charger are about to make the mobile lifestyle even more convenient. Relying on its expertise in magnetic materials and magnetic circuits, TDK is providing coil units and other parts for such wireless power transfer systems. Used in smartphones and other mobile phones for picking a desired signal out of a wide-band signal, and also for balanced/unbalanced signal conversion and other applications. RF circuits SAW filters/ RF modules SAW (Surface Acoustic Wave) filters are key components in RF circuits. Multiple circuit elements are integrated into a single high frequency module. Application examples: Smartphones, mobile phones, etc. Application examples: Smartphones, mobile phones, etc. Temperature sensors Chip type NTC thermistors Chip components made from a special kind of semiconductive ceramics. Designed to be used in a control circuit as temperature sensor or for temperature compensation. Application examples: Internal temperature control for smartphones, mobile phones, etc. ICT Netw Projected shipping volume of smartphones and tablets in 2019 About 2.2 Power supplies Lithium ion polymer batteries billion units* 2014: about 1.6 billion units (expected) Interfaces Thin film common mode filters Smartphones Tablets Highly compact and ultra-low-profile chip components manufactured using thin film technology. Used for noise countermeasure in high-speed interfaces. Application examples: Smartphones, tablets, other mobile devices Cameras Power supply circuits Power supply circuits SMD inductors 3-terminal feed-through capacitors These surface mount type power coils are key components for DC-DC converters that convert the voltage supplied by a battery. This multilayer ceramic chip capacitor has three terminals (two electrodes and ground). It provides highly effective noise suppression over a wide frequency range. work Application examples: Smartphones, mobile phones, tablets, etc. Application examples: Smartphones, mobile phones, etc. Lens actuators for camera modules Compact actuators realize high-speed auto-focus and optical image stabilizing functions for cameras in smartphones and other devices. Application examples: Smartphones, mobile phones, etc. Multilayer chip varistors Designed to bypass static electricity discharges from the human body or other sources, to protect the circuitry and prevent malfunction of microprocessor chips. Application examples: Smartphones, tablets, other mobile devices Application examples: Smartphones, tablets, other mobile devices Power supplies Wireless power transfer coil units Transmitting and receiving coil units compatible with various wireless power transfer standards. The receiving coil is characterized by an extremely low profile achieved through use of a flexible sheet. Application examples: Smartphones, tablets, handy terminals, other mobile devices Microphones MEMS microphones Connectors Pouch type battery widely used in smartphones and other mobile devices, employing a gel instead of a solution as electrolyte. High-performance microphone manufactured with advanced MEMS (Micro Electro Mechanical Systems) technology, integrated in a compact and low-profile package. Application examples: Smartphones, mobile phones, etc. * TDK data projection (as of July 2014) RF circuits Hi-Q inductors Q factor is a parameter that characterize an inductor. The higher the Q factor, the lower the losses. This product comes in a small package with high Q factor. Application examples: Smartphones, mobile phones, etc. 2015-2016 TDK Company Profile 20 Application ICT Network Innovation in lifestyles, innovation in business Touch panels Building the ICT infrastructure for the age of cloud computing ICT products including smartphones, tablets, and PCs continue to evolve into a high level social infrastructure intricately connected via wired and wireless networks. Along with convenience and connectivity, security and reliability are aspects that will become even more important. Technology and products from TDK contribute significantly to the establishment of an ICT infrastructure for the age of cloud computing. 21 ITO transparent conductive films High-capacity HDDs and SSDs are key storage solutions for a world of Big Data Data centers rely largely on high-capacity hard disk drives for storage. TDK is the world's leading manufacturer of magnetic heads for HDDs. Head drive motors also use neodymium magnets from TDK. Data centers are increasing their efficiency by implementing hierarchical storage patterns where solid state drives (SSDs) are used in combination with hard disk drives (HDDs). TDK also supplies a range of SSDs designed for industrial applications including use in data center servers, thereby providing support for the world of Big Data. ICT Network This conductive film is produced by coating a plastic film with the transparent electrode material ITO (indium-tin-oxide). It is widely used in touch panels and similar applications. Application examples: Tablets, smartphones, notebook PCs, etc. Various circuits Multilayer ceramic chip capacitors These components are essential for filter circuits, noise countermeasure, and other applications. Array types where multiple capacitors are arranged on a single chip are also commonly used. Application examples: Smartphones, mobile phones, tablets, etc. Data Centers HDD Projected explosion of worldwide information data volume by 2020 About 40 times more than in 2010* HDD magnetic heads Various circuits Sophisticated thin film technology creates head elements on a wafer, which is then cut into individual chips for mounting on the suspension/arm assembly. Semiconductor Embedded Substrate (SESUB) A technology for embedding integrated circuit (IC) chips within the resin substrate. A three-dimensional packaging technology with SESUB contributes enormous customer PCB space saving. Application examples: Smartphones, mobile devices, wearable devices, etc. ICT Devices Resonance circuits Various circuits Multilayer high gigaspira beads Using a unique multilayer structure and ferrite technology, this EMC countermeasure component provides noise suppression over a wide frequency range from a single chip. Application examples: Noise countermeasure in smartphones, notebook PCs, electrical household appliances, etc. This product combines C0G characteristics with industry-leading high capacitance. It can be used instead of film capacitors, thanks to minimal temperature or voltage dependent capacitance fluctuations. Application examples: Resonance circuits of wireless power transfer systems, snubber circuits, etc. HDD Neodymium magnets for VCM Base stations Isolators/ Circulators Voice coil motors (VCM) are the actuators to drive the heads of a hard disk drive. They make use of high performance neodymium magnets. Power supply circuits Multilayer ceramic chip capacitors, class I, C0G type Application examples: Hard disk drives in notebooks, desktop computers, servers, etc. Application examples: Hard disk drives in notebook PCs, desktop computers, servers, etc. Electric double layer capacitors (EDLC) These energy storing devices feature characteristics that are about halfway between capacitors and rechargeable batteries. They store an electrical charge by means of an electric double layer formed on the surface of an activated carbon electrode. Application examples: Battery load leveling, high-intensity LED flash, energy harvesting, etc. Power supply circuits Megacap MLCCs This is a multilayer ceramic chip capacitor with metal fitting type terminals. It provides high reliability by absorbing stresses to solder joints caused by board flexing, thermal shocks and similar conditions. Application examples: Power supply circuits of base stations requiring high reliability, etc. These components which allow output only in one direction are designed to prevent unwanted signal reverse flow at base stations for mobile phone networks and similar. Application examples: Wireless communication base stations and relay stations for mobile phone networks, etc. Flash storage SSD/CF/CFast for industrial applications Data centers Distributed power architecture These are highly reliable flash storage products incorporating a proprietary SSD controller developed by TDK. Application examples: Data center servers, small-scale base stations, various kinds of industrial equipment, etc. * TDK data projection (as of July 2014) This power supply architecture aims for higher efficiency by combining a front end power supply that converts AC input to DC output, an intermediate bus converter, and compact POL converters. Application examples: IT communication devices etc. 2015-2016 TDK Company Profile 22 Application Automotive The unstoppable progress of car electronics Battery and power supply technology sustains "xEV" evolution The moniker "xEV" refers to the category of eco-friendly cars that includes hybrid electric vehicles (HEV), plug-in hybrid electric vehicles (PHEV) and electric vehicles (EV). Battery technology and advanced power-saving techniques are essential aspects of the rapid progress made in this area. TDK supplies high-performance automotive batteries using high-capacity lithium ion cells. Harnessing its advanced ferrite technology and circuit technology know-how, TDK also offers compact, highly efficient DC-DC converters that are utilized in electric vehicles both in Japan and overseas, contributing significantly to better range and electric power cost savings. High-performance magnets and highly reliable automotive electronic components The drive motors of many hybrids and electric vehicles rely on powerful neodymium magnets from TDK. Furthermore, the many small DC motors that operate for example the windshield wipers and power mirrors also make extensive use of high-performance ferrite magnets made by TDK. With the aim of ensuring safe and comfortable driving, TDK supports car electronics through a wide lineup of electronic components and devices specifically optimized for use in the automotive environment. Their outstanding ability to withstand extreme conditions such as soaring temperatures and high levels of vibrations results in excellent reliability. Power supplies DC-DC converters for xEV Power supplies Batteries for xEV Harnessing advanced electrode material technology, TDK has created a high-capacity lithium ion battery for automotive applications. Application examples: Power supply systems Application examples: Rechargeable battery for main motor drive Electric motors for the automotive applications Ferrite magnets/ Neodymium magnets Power supplies Battery chargers for PHEV/BEV Optimized design has resulted in a high-capacity, high-efficiency battery charger fulfilling automotive-grade quality requirements. Automoti A large number of electric motors are installed on an automotive vehicle and TDK's high performance magnets help make them smaller and lighter and greatly contribute to fuel efficiency. Application examples: HEV/EV main drive motors, compact DC motors for various automotive use. 23 Efficiently changes the high voltage of the main battery in a HEV or EV into the lower voltage required by the electric and electronic equipment of the car. Also used for charging the auxiliary battery. Application examples: Rechargeable battery for main motor drive Car Electronics ive Projected production volume/market size for eco-friendly cars in 2020 About 7.2 million units* 2013: about 2 million units ECU (Electronic Control Unit) Aluminum electrolytic capacitors Power supplies Film capacitors A type of capacitor using plastic film as dielectric. Features include long service life, high reliability, and ability to withstand pressure. Application examples: Inverter smoothing circuits for control of main drive motor, etc. A type of capacitor using an aluminum oxide layer as dielectric, enabling high capacity ratings. Used extensively for smoothing and other purposes in various kinds of power supplies. Application examples: ECUs mounted directly in engine room, other automotive electronic devices operating in a high-temperature/high vibration environment Power supplies Transformers These transformers use high-performance, low-loss ferrite as a core material. High power conversion efficiency helps to conserve energy. Application examples: Power conversion in automotive DC-DC converters etc. ECU (Electronic Control Unit) Multilayer ceramic chip capacitors, soft termination type A layer of soft conductive resin is used for the terminal electrodes of this capacitor. This absorbs stresses caused for example by board flexing, thereby preventing cracks from forming in solder joints. Temperature control Compact case-type NTC thermistors Temperature sensors able to withstand temperatures up to 200°C. Allow accurate temperature detection in the severely limited space inside HEV/PHEV drive motors. Application examples: Improvement of reliability and prevention of cracks in solder joints, etc. Power supplies Inverter/converter unit Multilayer ceramic chip capacitors, mid voltage type Changes such as the trend to higher battery voltage levels in cars (from 12 to 48 V), higher power ratings of ECUs requiring higher voltages, and xEV type vehicles becoming mainstream have resulted in a rise in demand for high-capacity products rated for higher voltages. Multilayer chip coils Advanced materials technology and multilayer process result in improved characteristics as well as small dimensions and low profile that is difficult to achieve with existing winding processes. Application examples: Voltage stabilization in power supply circuits, noise suppression, etc. Application examples: High-voltage circuitry in inverters, converters, charging units etc. for xEV use Actuators Piezo actuators ECU (Electronic Control Unit) SMD inductors with guaranteed high temperature ratings Application examples: Detection of water temperature and room temperature, coil temperature of HEV/PHEV main drive motors * According to "Comprehensive Study of In-Vehicle Electronic Devices & Components 2014" by Fuji Chimera Research Institute Unique structure design and manufacturing method result in automotive-grade inductors able to withstand temperatures up to 150°C. Application examples: ECUs mounted directly in engine room, other automotive electronic devices operating in a high-temperature environment These piezo actuators are made of piezoelectric materials which generate stress and/or strain, and are used to control fuel injection valves. Application examples: Fuel injection systems etc. 2015-2016 TDK Company Profile 24 Application Automotive Enjoying eco-conscious mobility in harmony with the environment Current control ECUs and automotive LANs are the brains and nervous system of the "electronified" automobile The number of cars produced worldwide is expected to exceed the 100 million mark in 2020 or thereabouts. At the same time, the xEV market will also have expanded enormously. With the spread of ICT, having cars continuously connected to the Internet is a coming trend. This also means that electronic components in the car play an ever more important role. TDK is offering a broad lineup of electronic components optimized for use in ECUs (electronic control units) and automotive LAN applications. 25 Current sensors Sensors are available in various product configurations, including combined magnetic circuit and Hall element types, GMR element types, and more. Sensors support safe, pleasurable, environmentfriendly and worryfree driving Various kinds of sensors designed for the automotive environment are indispensible for system control in car electronics. The TDK product range in this sector includes sensors for temperature, current, and rotation speed, pressure sensors based on MEMS (Micro Electro Mechanical Systems) technology, advanced TMR sensors created by harnessing HDD head technology, and many more. These all work together to enhance reliability and contribute towards safe, enjoyable, and environment-conscious driving. Automotive Application examples: Battery charge/discharge current management for HEV/EV Oil temperature control ATF temperature sensors Glass-encapsulated NTC thermistors integrated in a resin case. The sensors feature excellent oil resistance and compact dimensions for easy mounting. Application examples: Temperature detection of ATF (automatic transmission fluid) in automobiles, etc. Rotation control Gear tooth sensors This is a rotation sensor using a high accuracy hall IC with a TDK original housing technology. It contributes to better fuel economy in motorbikes, as well as cleaner exhaust gas, etc. Application examples: Angle detection in cams and crankshafts etc. ECU (Electronic Control Unit) Megacap MLCCs This is a multilayer ceramic chip capacitor with metal fitting type terminals. It provides high reliability by absorbing stresses to solder joints caused by board flexing, thermal shocks and similar conditions. Application examples: Improvement of reliability and prevention of cracks in solder joints, etc. Projected market size for automotive devices and components in 2025 About 58 ECU, navigation systems Multilayer chip varistors These products make use of the special properties of semiconductive ceramics. They help to protect circuitry by absorbing or deflecting static electricity and pulse surges to ground. trillion yen* 2013: about 34 trillion yen Position control Position sensors This is a non-contact type position sensor using a Hall element and magnet. Application examples: Protection against voltage surges and static electricity Application examples: Position detection in transmissions Rotation control Telematics TMR angle sensors This device represents an application of TMR elements used in HDD heads. It can detect very subtle magnetic fields, making it suitable for use as a high-sensitivity angle sensor. Application examples: Electric steering, engine control systems, etc. Tire pressure monitoring systems, keyless entry systems Transponder coils These compact, high-sensitivity antenna coils can be used in tire pressure monitoring systems, keyless entry system and similar applications. SAW filters High-performance RF filters making use of piezoelectric material. These are key components in traffic and onboard systems using wireless communications. Application examples: Transmitter/receiver circuits in wireless systems, etc. Application examples: Tires, electronic keys, etc. Pressure sensor dies MEMS pressure sensor dies Car Electronics Very compact yet durable MEMS pressure sensor. Depending on application requirements, Application examples: metallization of the glass or Fuel injection systems etc. bonding pad is possible. Power supplies Choke coils Automotive LAN Common mode filters for CAN-BUS/FlexRay/Ethernet system Compatible with the CAN-BUS, FlexRay and Ethernet LAN standards. Elimination of common mode noise protects the electrical system of the car from malfunction. Application examples: CAN-BUS, FlexRay, etc. Inductors for power supply applications requiring high current ratings. Ferrite or magnetic metal is used as core material. Application examples: Automotive DC-DC converter, ECU power supply circuits, etc. * According to "Comprehensive Study of In-Vehicle Electronic Devices & Components 2014" by Fuji Chimera Research Institute 2015-2016 TDK Company Profile 26 Application Industrial & Energy Towards a clean & smart social infrastructure TDK products and technology also contribute to maintaining high power quality and high-efficiency conversion Smart cities implementing the next-generation power distribution concept called the smart grid are being built in various locales, with the expectation that they will serve as models for the social organization of the near future. Products and technology from TDK play a vital role also in the energy sector. Grid-connection and step-up reactors, aluminum electrolytic capacitors, film capacitors for DC link applications—these are just some of the power electronics products from TDK that contribute significantly to maintaining power quality and ensuring high-efficiency conversion. 27 Power generators Versatile noise countermeasure components keep the energy infrastructure going The power connections of electronic systems and equipment to the power grid can become entry and exit points for noise. To protect circuits from transmitted noise such as surge type noise caused by lightning, pulse noise, or RF noise, TDK offers varistors, surge arresters, power line EMC filters and various other protection and noise control components that benefit from our extensive know-how in materials technology and other core technologies. Neodymium magnets for wind power generators TDK supply large-sized high performance neodymium magnet assemblies for the rotors of gearless type wind power generators (multipolar permanent magnet generators). Application examples: Rotors for permanent magnet multipolar synchronous generators Inverters, converters Power film capacitors Film capacitors are widely used in power generation and distribution facilities, and also have been adopted for high-voltage direct current (HVDC) power transmission systems in Europe. Application examples: Semiconductor protection (snubber circuits) etc. Inverters, converters Aluminum electrolytic capacitors Aluminum electrolytic capacitors feature high capacity and are used in all sorts of power supplies, as well as in solar power and wind power systems and similar. Application examples: Various types of power supplies, solar and wind power generation systems, etc. Industrial & En Inverters, converters Film capacitors These capacitors use various kinds of plastic film as dielectric. They are characterized by high reliability and long service life. Projected renewable energy generation in 2020 About 7,000 Application examples: Industrial equipment such as machine tools, conveyors, etc. TWh* 2013: about 5,000 TWh Power supply lines/ Communication lines Surge arresters Wind Power Generator nergy Inverters, converters AC/DC reactors for power conditioners Power conditioners that convert the power generated for example from sunlight use special coils called reactors or reactor chokes for step-up and grid connection purposes. Application examples: Grid-connection chokes, step-up chokes A protection device using a discharge tube filled with inert gas. Protects power supply lines and communication lines from lightning surges and similar. Application examples: Lightning surge protection in communication, industrial and medical applications etc. Inverters, converters Ferrite PE90 materials for high-power reactors and transformers This ferrite material boasts high saturation flux density and low core losses. It is optimal for use as core material for transformers in power electronics equipment rated for high power levels. Application examples: Cores of reactors and transformers for high-power applications Power supply circuits Power supply lines Varistors Smart meters SAW filters High-performance RF filter making use of piezoelectric material. TDK supplies products specially developed for smart meters. Application examples: Transmit/receive circuitry in smart meters with automated wireless recording function, etc. A product made of metal oxide. Protects circuits from over-voltage caused by lightning surges or similar. Application examples: Lightning surge protection in power conditioners etc. *IEA World Energy Outlook 2013 Multilayer ceramic chip capacitors soft termination type A layer of soft conductive resin is used for the terminal electrodes of this capacitor. This absorbs stresses caused for example by board flexing, there by preventing cracks from forming in solder joints. Application examples: Energy solutions requiring long-term maintenance-free service (solar power/ wind power systems), base stations, etc. 2015-2016 TDK Company Profile 28 Application Industrial & Energy Helping to save energy and increase reliability in the industrial equipment sector as well TDK power electronics products are all around us A stable power source with constant voltage is essential for the proper functioning of electric and electronic products. TDK supports these needs with an extensive range of power supply solutions, including high-efficiency front end power supplies, AC-DC and DC-DC power modules, compact DC-DC converters, CVCC (constant voltage constant current) power supplies, and more. The lineup also comprises products optimized for special applications, such as medical equipment, railway carriages, LED lighting etc. Power supplies High efficiency AC-DC power supplies More efficient power supplies enable vital energy savings The process of converting, transmitting and storing electrical energy always involves certain losses. One of the key aspects of power electronics therefore is the pursuit of higher efficiency. TDK offers advanced solutions designed with the next-generation energy infrastructure in mind, such as bidirectional DC-DC converters and AC-DC power supplies for electrical storage systems. In the area of factory automation, our flip chip bonding machines that reflect TDK's original production technology are much sought after. These products operates universal AC input and provides DC output. Our wide spectrum products design to meet various industrial applications. Application examples: Factory automation, process control, test and measurement, medical equipment etc. Power supplies AC-DC power modules Compact modules that combine AC-DC conversion, DC-DC conversion and other circuitry in a single module. Power supplies DC-DC power modules Compact power supplies for DC-DC conversion in industrial equipment. Industry standard brick sizes are used, realizing small dimensions, low profile, and high power density. Application examples: Information and communication equipment, industrial equipment, railway carriages, transport systems, etc. 29 Industrial & Energy Application examples: Various industrial equipment, communications equipment, etc. Power supply lines Power line EMC filters Projected global market for smart city related services in 2030 About 120 Application examples: Factory automation equipment, solar and wind power generation systems, etc. trillion yen* Power storage systems Power supplies Energy EMC countermeasure components designed to prevent noise interference from entering into or being radiated from power supply lines. The lineup includes various types for industrial equipment. LED power supplies Compact, highly efficient and highly reliable power supplies optimized for LED lighting and LED signage. Designed to withstand dust and water. Application examples: Power supply for LED lighting, LED signage, etc. High-capacity lithium ion batteries Flash storage SSD/CF/CFast for industrial applications These rechargeable batteries are characterized by high energy density. They are also increasingly being used for storing power generated by solar or wind power systems. These are highly reliable flash storage products incorporating a proprietary SSD controller developed by TDK. Application examples: Integration in factory automation equipment and various other industrial equipment Application examples: Backup power supplies, peak power cut/shifting applications, etc. Power conversion equipment Bidirectional DC-DC converters These power conversion devices can turn the DC current of the source into a suitable voltage, and also perform power exchange between the DC bus and the storage system. Automatic mounter Application examples: Equipment for electrical energy storage systems, energy recovery, etc. Flip chip bonding machines Power conversion equipment Power conversion equipment AC-DC power supply for battery charging applications These constant voltage, constant current power supplies are optimized for charging electrical energy storage systems in commercial facilities or small to medium buildings, serving for peak power shifting and backup. Application examples: Storage systems for peak power shifting, backup systems using batteries * Nikkei BP Cleantech Institute, "Smart City Data & Data"(July 2012) Programmable CVCC power supplies Ultra-compact CVCC (constant voltage constant current) power supplies with high power density. Perfectly suited for use in production facilities for semiconductors, automobiles, plasma display panels, organic EL displays, ultra-pure water and similar, as well as for measurement, testing, and research applications. High-precision automatic mounter directly mounts and bonds bare chips (LED elements, ICs, etc.) onto the substrate. Application examples: Factory automation equipment Application examples: Various inspection and evaluation devices (automatic test equipment), semiconductor manufacturing equipment, measuring instruments 2015-2016 TDK Company Profile 30 Relation to stakeholders 1. Contribution to the world by Technology Design development Development Sales Sales promotion Value creation in the value chain Manufacturing The TDK Group’s The TDK Group’s CSR philosophy is to practice the corporate motto TDK is a social entity supported by a wide range of stakeholders, and local communities, and that, while engaging in communication operations on the basis of the TDK Code of Conduct. By practicing result contribute to the sustained development of the Quality assurance Production technology Customers SESUB technology is used in wearable terminals, smartphones, etc. The origin of TDK’s monozukuri is our founding spirit of creativity―“creating values not yet existing in the world from the level of materials.” We inherit this spirit throughout the entire value chain, from development to sales. It is the driving force behind our creation of products meeting the expectations of customers. 2. Development of Human Resources Suppliers Shareholders and investors TDK’s business activities TDK’s Code of Conduct CSR activities Inheriting the creative spirit in the whole value chain to create innovations Local communities Employees Important Areas of Activity from a CSR Perspective Nurturing global human resources through IMD training for overseas managers Nurturing global human resources through IMD training for overseas managers Started in 1997, the IMD program will be held for the seventeenth time this year. The training has four objectives: (1) to make participants understand TDK’s corporate philosophy (founding spirit), (2) to expand their horizons and viewpoints, (3) to develop their leadership qualities, and (4) to widen their person-to-person networks. 31 The TDK Group sets important areas of activity from a CSR perspective and promotes them on a daily basis in light of “what society expects of us” and “in what fields we can utilize our advantages and have a significant impact.” Social Econo Enviro CSR Philosophy and thoroughly imbue corporate ethics. This means that we recognize including customers, suppliers, employees, shareholders and investors, with stakeholders, we promote CSR activities through TDK’s business our corporate motto, we will enhance our corporate value and as a company and the realization of a sustainable society. 3. Society and Environmental Considerations in the Supply Chain Upstream companies Suppliers Procurement Midstream TDK companies Suppliers Buyers Procurement Continued evolvement of business aspect mic aspect nmental aspect Implement corporate motto Buyers CSR internal auditor training as a supplier’s responsibility As a midstream company, TDK has the position of both supplier and buyer. In order to fulfill our social responsibility in the supply chain, we endeavor to raise the awareness of employees through CSR internal auditor training. Contribute to culture and industry through creativity Enhance corporate value Downstream companies Creation of a sustainable society 4. Symbiosis with the Global Environment ● Activities in FY 2014 CO² emissions (environmental load) Reduction of CO² emissions through from manufacturing operations products (environmental contributions) 1,068 thousand t-CO² 1,251 thousand t-CO² Activities to be downsized 1. Contribution to the world by Technology 2. Development of Human Resources 3. Society and Environmental Considerations in the Supply Chain 4. Symbiosis with the Global Environment Promotion of energy saving Emissions caused by production activities Activities to be expanded Expansion of contributed products CO2 emissions Environmental Contribution of TDK Products (by Field) Automotive (including HEV/EV) 135,000 t-CO² Industrial equipment 533,000 t-CO² CO2 contributions Contribution on ICT 311,000 reducing CO² emissions in the t-CO² society through products and know-how General household electric appliances 272,000 t-CO² Efforts to achieve carbon neutrality The TDK Environmental Charter stipulates the environmental policy of the entire TDK Group, which aims to contribute to sustainable development. Furthermore, in FY2012 TDK announced the TDK Environmental Action 2020 initiative, becoming the first company in the electronic industry to set the target of achieving carbon neutrality. 2015-2016 TDK Company Profile 32 History with stakeholders 1935 The world’s first ferrite core 1958 Memory core for parametron arithmetic element 1955 The Ulcon disc capacitor 1961 “Todenka” appears on the Tokyo Stock Exchange’s signboard. 1965 Local subsidiary established in New York Shiba-ku, Tokyo with the aim of producing ferrite core 1966 Synchro Cassette tapes put on sale 1937 Kamata Plant completed; mass production of ferrite cores started 1968 Joint venture established in Taiwan 1951 Production of ceramic capacitors started at Hirasawa Plant, Akita Prefecture 1972 Winchester Heads developed 1953 Synchro Tape, a magnetic recording tape, put on sale 1955 Ulcon, a disc capacitor, put on sale 1958 Paramistor, a parametron arithmetic element using memory cores 1959 1978 Video master tape using AVILYN magnetic material 1972 Development of Winchester Heads Tokyo Denki Kagaku Kogyo KK founded in Tamura-cho, 1935 33 1966 Synchro Cassette, the first made-in-Japan cassette tape Local subsidiary established in Dusseldorf 1978 Headquarters moved to 1-13-1 Nihombashi, Chuo-ku, Tokyo VHS-format Super AVILYN Video Cassette put on sale made of ferrite core, awarded Grand Prix at Brussels World Exposition 1980 Magnetic heads using amorphous material put on sale First overseas office opened in Los Angeles 1982 Listed on New York Stock Exchange Shares offered on Tokyo Stock Exchange over-the-counter market 1983 Name changed to TDK Corporation 1960 Yawata Plant opened in Ichikawa, Chiba Prefecture 1961 Shares listed on First Section of Tokyo Stock Exchange 1982 Listed on the New York Stock Exchange Designated official supplier for the first IAAF World Championships in Athletics in Helsinki 1989 Local subsidiary established in Malaysia 1994 Local subsidiary established in Xiamen, China 2009 The IEEE Milestone plaque 2001 2012 Dysprosium-free magnet developed Manufacturing and sales company for multilayer ceramic chip capacitors established in Suzhou, China TDK R&D Corporation established as R&D center in the United States 1990 Technical Center completed 2005 TDK History Museum opened 2002 Outside director and corporate officer system introduced Mikumagawa Plant becomes first TDK Group site to achieve zero emission 2004 First recording media maker to become Blu-ray Disc Founders member Activities started to achieve zero emission in China 1986 Magnetic head maker SAE Magnetics (H.K.) Ltd. acquired 1989 Local subsidiaries established in Malaysia and Luxembourg 1990 Technical Center completed in Ichikawa, Chiba Prefecture 1991 Local subsidiary established in Thailand 1992 Recordable CD-R compact disc using organic colorant film put on sale 1994 High-density recording MR heads put on sale 2005 Amperex Technology Ltd. acquired (Hong Kong company manufacturing and selling polymer lithium batteries) Lambda Power Group (power-supply business) acquired from UK company Invensys plc TDK History Museum opened in Nikaho, Akita Prefecture 2007 TDK brand recording media sales business transferred to Imation Corp. (US company manufacturing and selling recording media) 2008 EPCOS, a German electronic device maker, acquired through takeover bid TDK-EPC Corporation established through corporate split Local subsidiary established in Xiamen, China “Development of ferrite materials and their applications” recognized as IEEE Milestone 1995 Plant established in Hungary 1997 Plant constructed in the Philippines for magnetic head production 1998 TDK Malaysia becomes first overseas plant to acquire ISO 14001 certification 2011 TDK Environmental Action 2020 initiative compiled as basic environmental plan; started in April 2011 1999 Green purchase started (sites in Japan) 2012 Dysprosium (Dy)-free magnet developed 2000 US magnetic head maker Headway Technologies Inc. acquired 2014 Ferrite Selected as One of "Top 100 Innovations in Postwar Japan" 2009 by the Institute of Electrical and Electronics Engineers (IEEE) 2015-2016 TDK Company Profile 34 Corporate social activities Introduction to principal activities IAAF World Championships in Athletics TDK Orchestra Concert Outreach (left) and open rehearsal (right) The world’s top athletes compete once every two years The IAAF World Championships in Athletics is one of the three largest sporting events in the world, along with the Olympic Games and soccer’s World Cup. Since the endless pursuit of records, the fair play of the athletes, and the spirit of contest on a level playing field are consistent with the management philosophy that TDK strives to attain, TDK became an official partner of the first championships held in Helsinki in 1983 35 and has been a main sponsor (men’s bib sponsor) of the tournament ever since. The IAAF World Championships have seen many new world records set in various events and provided many memorable moments for spectators around the world. The IAAF World Championships in Athletics were held in Moscow in 2013 and Beijing in 2015 and are scheduled to be held in London in 2017. Sponsored the Berlin Philharmonic Orchestra in 2013, together with open rehearsal and outreach programs for students The concept of the TDK Orchestra Concert is based on the management philosophy of TDK, the corporate motto of which is “Contribute to culture and industry through creativity.” We not only sponsor performances by world-class orchestras but also, since 2003, organize open rehearsal and outreach programs every year so that young people have the opportunity to experience high-quality and emotive classical music, which is a lingua franca of the world. In 2013 the outreach program took members of the Berlin Philharmonic Orchestra to the city of Higashimatsushima in Miyagi Prefecture, which suffered heavy damage in the Great East Japan Earthquake of 2011. There the orchestra members gave a performance and engaged in musical exchange with local students. In the fall of 2014 TDK will sponsor a performance by the Mariinsky Theatre Symphony Orchestra and host an open rehearsal as well. We will continue to sponsor these concerts as part of our modest social contribution activities conducted for the general public. Awards from society Introduction to principal awards received in recent years TDK Named as One of Thomson Reuters Top 100 Global Innovators 2014 Ferrite Selected as One of “Top 100 Innovations in Postwar Japan” Global intellectual property strategy Ferrite plays indispensable role in development of electric and electronic industries in postwar Japan In 2014 TDK was named as one of the Thomson Reuters Top 100 Global Innovators for the third consecutive year. On the basis of its patent data, Thomson Reuters analyzes intellectual property and patent trends and annually selects companies and research institutions as the top 100 global innovators in terms of not only patent applications but also their promotion of outstanding innovations on a global scale. The selection is made according to four criteria: the overall volume of patents, success rate, globalization, and influence (citations). Of these four criteria, TDK received particularly high appraisal for success rate and influence in citations. On July 8, 2014, ferrite was selected as one of the “Top 100 Innovations in Postwar Japan” announced by the Japan Institute of Invention and Innovation (JIII). The JIII was choosing the top 100 in commemoration of its 110th anniversary. On the basis of its own surveys and the opinions of learned persons, it selected innovations that had achieved growth in Japan since 1945 and made a substantial contribution to industrial and economic development. Thirty-eight innovations were selected for the first announcement. Ferrite has been an indispensable material in the postwar development of the electric and electronic industries in Japan. In the 1950s it was used in wireless communication devices, radio antenna cores, and for the control of electronic beams in cathode-ray tubes. In the 1960s and 1970s it was used as the core material in tape recorders, videotape recorders, magnetic heads for floppy disc drive devices, and magnetic tape for recording media. Despite the fact that it was invented before the war, ferrite was selected because of its ongoing application and significant contribution in a wide range of fields. 2015-2016 TDK Company Profile 36 Web contents Introduction of Website Contents to Further Your Understanding of TDK 1 What kind of company is TDK? 2 3 How wonderful is TDK’s technology? Check out TDK Digest, which explains TDK’s corporate information and the electronic components industry in an easy-to-understand manner, and various pamphlets introducing our businesses. Illustrated text explains everything from the basics of electronic components to the latest technology in a comprehensible manner. Lots of product information! TDK Digest Tech Mag Want to see TDK videos? Check out our videos on, among other things, recruitment information, corporate profile, advertisements, and open rehearsals for the annual TDK Orchestra Concert. TDK Channel http://www.global.tdk.com/digest/ http://www.global.tdk.com/techmag/ What’s TDK? TDK Brand Movie Product Center Open rehearsal for the TDK Orchestra Concert http://www.global.tdk.com/news_center/tdk_channel/ http://www.global.tdk.com/news_center/publications/ 37 http://product.tdk.com/en/ TDK Corporation 3-9-1 Shibaura, Minato-ku, Tokyo 108-0023, Japan http://www.global.tdk.com