Comprehensive Report on Semiconductor Production Equipment Market 2018| Size, Growth, Demand, Opportunities & Forecast To 2026

Semiconductor Production Equipment Market – Snapshot

The world of semiconductors is shifting toward smaller, compact, and cost effective products. From consumer electronics to high end-industrial sectors, semiconductors have established their distinct position in contributing to the overall GDP. To achieve this desired output from semiconductors, the semiconductor production equipment fabricates the complexities involved in manufacturing integrated circuits and other semiconductor components. This huge sized equipment involves multiple step processes on a sequential basis to produce semiconductor components. Focusing on this extremely rapid pace of semiconductors, TMR adopted the report study on semiconductor production equipment market to better understand the granularity of the market insights and the competitive landscape prevailing in this market. According to the latest market study released by TMR, semiconductor production equipment is expected to expand at a CAGR of about 8.8% in terms of value to reach US$ 92 Bn in 2026. Besides, the market is also estimated in terms of volume forecast and the volume growth rate during the forecast period is expected to be around 6.6%.

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This growth in the semiconductor production equipment market is anticipated to reach US$ 92 Bn in 2026 and is driven by sectors such as automotive, fabs, consumer electronics and Internet of Things (IoT). Consumer electronics requires high end microprocessors and memory devices. Additionally, technology used in semiconductor production equipment is constantly being improved due to increasing demand for higher performing consumer products. Accordingly, there has been a considerable shift toward wireless semiconductors. This enables manufacturers of semiconductor production equipment to improve the efficiency and technology aspects, aiding the midstream players such as semiconductor and electronics manufacturers. Another driving actor impacting the semiconductor production equipment market is the diversifying demand for automotive semiconductors. The number of automobiles on roads is increasing day by day. Technologies such as vision-based, enhanced graphics processing units, application processors, sensors, and DRAM & NAND flash are explicitly utilized in automotive semiconductors to showcase simultaneous technological disruptions. Additionally, the semiconductor industry is perceiving construction of new fabs across the globe especially in emerging regions. The semiconductor industry is facing tough competition due to factors such as product design technologies, process technologies, and product features. These determinants draw attention to the growing fab investments as many players are investing in new fab construction and fab equipment. Additionally, the semiconductor industry is driven largely by technological innovation taking place in end-user industries such as consumer electronics, automotive, communications, etc. The emerging concept of IoT is leading to numerous advances in sensor technology. The borders between real and the virtual digital world is blurring due to technologies such as augmented reality and virtual reality. Consequently, the growing adoption of IoT across the semiconductor industry is expected to drive the sales of semiconductor production equipment.

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However, as the industry is focusing on continuous innovation owing to intense competition, higher R&D costs are raising stakes for the semiconductor production equipment market. This is due to the increasing influence on traditional R&D affordability owing to changing market dynamics such as price pressure, narrow margins, and the commercialization of equipment. On the other hand, the semiconductor production equipment market is expected to be an opportunistic market with the redefined digital supply chain. Each and every sector across the globe is moving toward a digital supply chain network, and the semiconductor industry has also started engaged in digital supply chain network. Another factor expected to offer opportunity are for Kerfless wafer producers as traditional wafers are expected to face a shortage.

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The report study on semiconductor production equipment market has covered some of the key trends. This industry is witnessing a shift toward adoption of new raw materials such graphene, silicene, germanene, and black phosphorous. Furthermore, semiconductor industry players are investing in advanced analytics for performance improvement in manufacturing, R&D, and sales. Besides, manufacturers are shifting toward capturing full value from distribution channel partnerships due to a consolidated customer base, soaring costs, and limited margins. With rising competition across different geographical semiconductor production bases, players are strategically focusing on Industry 4.0 especially front-end fabs. Semiconductor companies are focusing on opportunities by engaging in software ventures to stay ahead of the competition in the end service. Enterprises are looking forward to large storage of data owing to higher commercial engagements to derive insights and take strategic decisions. Due to economic downturn in 2012, players faced reduced demand in major end markets. Accordingly, players in the industry consolidated their crowded DRAM and memory segment.

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Some of the leading players profiled under the semiconductor production equipment market report are Applied Materials, Inc., ASML Holding N.V., Lam Research Corporation, KLA-Tencor Corporation, Advantest Corporation, Teradyne Inc., Canon Inc., Nikon Corporation, Hitachi, Ltd., Screen Holdings Co., Ltd., Tokyo Electron Limited, and Hitachi, Ltd. Companies are strategically focusing on increasing their product innovation investments to withstand the rising completion among top players.

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