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Research details developments in the semiconductor production equipment market

Semiconductor Production Equipment Market is expected to report a CAGR of 7.6% between 2017 and 2025, market will reach US$79.51 bn by the end of 2025, from its value of US$41.24 bn in 2016. In terms of revenue, semiconductor electronics manufacturers constituted the largest segment in the global semiconductor production equipment market with a share of a little short of 55% in 2016 Learn details of the Widening Application Base to Enable Sustained Growth

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Global Semiconductor Production Equipment Market: Snapshot

Global market for semiconductor production equipment has been covered under the scope of this report. Semiconductor production equipment (SPE) is used in possibly the most advanced and complex manufacturing process in the world, which is, the production of semiconductor devices.

Semiconductor products, such as memory devices and microprocessors are used in a wide range of devices such as personal computers, consumer electronics and telecommunications equipment. Chip-containing semiconductor products have multiplied in the past years and this has been a key contributor to the increased productivity in every sector of the world.

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Technologies used in semiconductor production equipment are constantly changing owing to the dynamic business environment and the rising demand for high performance semiconductors. However, these advancements in chip technology can reduce the presence of existing chips and the semiconductor production equipment used to make them may become obsolete in just matter of years if an aggressive research and development program is not employed to maintain attractiveness in the semiconductor production equipment industry.

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The demand for semiconductor production equipment is directly proportional to the demand for semiconductors, which, in turn, is proportional to the strength of the economy. The attractiveness of individual semiconductor production equipment firms is thus linked to their capability to design, manufacture and sell products capable of maintaining the standard of the latest and technologically advanced semiconductors at low cost.

Overall, the global semiconductor production equipment market is forecast to reach US$79.51 bn by the end of 2025. In 2016, the market was valued at US$41.24 bn.

If these figures hold true, the global semiconductor production equipment market will exhibit a CAGR of 7.6% between 2017 and 2025.

Electronics Manufacturers Emerge as Major Contributor to Growth Witnessed in Market

The global semiconductor production equipment market, by equipment type, is classified into four categories: Assembly and packaging equipment, wafer processing equipment, test equipment, and other equipment. As of 2016, the wafer processing equipment contributed to the largest revenue share of global semiconductor production equipment market owing to its wide application areas in the production of semiconductors.

The global semiconductor production equipment market, by end-user, is segmented into foundry, semiconductor electronics manufacturer, testing house and others. As of 2016, semiconductor electronics manufacturer contributed to largest revenue share of a little short of 55% in the global market.

The rise in demand for semiconductor electronics such as tablets, and smartphones, among others are likely to drive the growth of this segment during the forecast period.

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North America Emerges as Leading Regional Market, Asia Pacific to Showcase Lucrative Opportunities

Regionally, the global semiconductor production equipment market is segmented into North America, Europe, Asia Pacific, Middle East and Africa and Latin America. By revenue, North America held the dominant share of 43.5% in 2016.

The presence of several leading manufacturers as well as rapid advancements in technology are responsible for the dominance of this region. By revenue, Asia Pacific emerged as the second largest market in the same year, followed by Europe.

China will be a major contributor to the growth of the Asia Pacific region owing to the development of a number of semiconductor manufacturing facilities (fab) in the region.

Some of the leading players in the semiconductor production equipment market are Applied Materials, Inc. (U.S.), Tokyo Electron Ltd. (Japan), ASML Holding, N.V.

(Netherlands), Lam Research Corporation (U.S.), Hitachi, Ltd. (Japan), and Advantest Corporation (Japan).

Some of the other companies operating in the market are KLA-Tencor Corporation (US), Teredyne (U.S.), Nikon Corporation (Japan), SCREEN Holdings Co., Ltd. (Japan), and Tokyo Seimitsu Co., Ltd.

(Japan), among others.

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