Global Semiconductor Capital Equipment Market Share Analysis 2024, Forecast To 2033
10 Oct, 2024
The semiconductor capital equipment market size has shown robust growth in recent years, projected to increase from $76.39 billion in 2023 to $82.86 billion in 2024, achieving a compound annual growth rate (CAGR) of 8.5%. This historical growth is attributed to advancements in semiconductor technology, heightened demand for consumer electronics, the expansion of data centers and cloud infrastructure, a rise in automotive electronics, innovations in artificial intelligence and machine learning, and developments in memory and storage. The semiconductor capital equipment market size is expected to reach $115.27 billion in 2028, with a CAGR of 8.6%. Future growth is driven by the adoption of 5G technology, the proliferation of IoT devices, the shift towards advanced packaging, increased complexity in semiconductor designs, and investments in green technology. Key trends anticipated during the forecast period include the integration of AI in manufacturing processes, the development of new semiconductor materials, a focus on wafer-level packaging, advanced metrology techniques, and the growth of equipment leasing models.
Major Driver In The Semiconductor Capital Equipment Market
The rapid rollout of 5G technology is anticipated to spur growth in the semiconductor capital equipment market in the coming years. 5G technology represents the fifth generation of mobile network technology, providing significantly faster data speeds, lower latency, and greater connectivity than previous generations. The demand for 5G technology is escalating due to its capacity to support rapid data speeds and minimal latency, essential for emerging applications such as autonomous vehicles, smart cities, and augmented reality. Semiconductor capital equipment is crucial for implementing 5G technology, as it facilitates producing advanced chips and components vital for high-speed data processing and communication infrastructure. For instance, in March 2024, 5G Americas, a US-based industry trade organization, noted that global 5G connections surged to 1.76 billion by the end of 2023, reflecting a 66% year-over-year increase, with an additional 700 million connections added. This growth trajectory is expected to accelerate, with forecasts estimating 7.9 billion 5G connections by 2028. Therefore, the rapid deployment of 5G technology will drive the growth of the semiconductor capital equipment market through 2023, into 2024, and is projected to continue expanding by 2028.
Request A Free Sample Of The Semiconductor Capital Equipment Market ReportSemiconductor Capital Equipment Market Competitive Landscape
Major companies operating in the semiconductor capital equipment market are Applied Materials Inc., ASML Holding N.V., Lam Research Corporation, Tokyo Electron Limited, KLA Corporation, United Microelectronics Corporation, Microchip Technology Inc., Semiconductor Manufacturing International Corporation (SMIC, Nikon Corporation, Hitachi High-Technologies Corporation, Advantest Corporation, MKS Instruments Inc., Teradyne Inc., Screen Holdings Co. Ltd., Bruker Corporation, ASM International N.V., DISCO Corporation, Kulicke & Soffa Industries Inc., Edwards Vacuum, Cohu Inc., Veeco Instruments Inc., Rudolph Technologies Inc., Mattson Technology Inc., BE Semiconductor Industries N.V. (BESI), Aixtron SE
Key Semiconductor Capital Equipment Market Trend
Leading companies in the semiconductor capital equipment market are moving towards heterogeneous chip integration and system-level packaging techniques, such as hybrid bonding, to improve performance, increase functionality, and meet the rising demand for advanced, high-efficiency semiconductor solutions. Hybrid bonding creates a direct bond between semiconductor chip surfaces, typically involving a metallic and insulating layer. For instance, in July 2023, Applied Materials, a US semiconductor equipment manufacturer, launched new materials, technologies, and systems designed to assist chipmakers in integrating chiplets into advanced 2.5D and 3D packages using hybrid bonding and through-silicon vias (TSVs). These innovations expand Applied's comprehensive portfolio of technologies for heterogeneous integration (HI). Heterogeneous integration enables semiconductor manufacturers to combine chiplets of different functions, technology nodes, and sizes into a single package, allowing them to operate as a unified system. This method addresses industry challenges driven by increasing demand for transistors in high-performance computing and artificial intelligence. As the traditional 2D scaling of transistors becomes more costly and less effective, HI presents a strategic solution to enhance chip performance, power efficiency, cost, and market time (PPACt).
Purchase The Global Semiconductor Capital Equipment Market Report Directly And Get A Swift DeliveryGlobal Semiconductor Capital Equipment Market Segmentation
The semiconductor capital equipment market covered in this report is segmented –
1) By Type: Wafer Manufacturing Equipment, Assembly And Packaging Equipment, Test Equipment, Other Types
2) By Application: Wafer Processing, Surface Conditioning, Chemical Mechanical Planarization, Chemical Vapor Deposition, Assembly And Packaging
3) By Industry: Consumer Electronics, Healthcare, Automotive, Information Technology (IT) And Telecommunication, Other Industries
By Geography:The regions covered in the semiconductor capital equipment market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
North America was the largest region in the semiconductor capital equipment market in 2023.
The Semiconductor Capital Equipment Global Market Report 2024 furnishes information about the global semiconductor capital equipment market, encompassing details like market size, projections for growth, segmentation across various sectors and regions, and an overview of competitors, including their revenues, profiles, and market shares. Furthermore, the report pinpoints potential opportunities and strategic directions derived from market trends and the strategies adopted by key competitors. The report also offers an assessment of how the COVID-19 pandemic, the Russia-Ukraine conflict, and increasing inflation have affected both global and regional markets, furnishing valuable strategic insights for businesses.