In recent years, semiconductor silicon wafer has become an integral component of several microelectronic devices and equipment. It has become the foundation of the global electronics sector. With electronic mobility and digitization are the current popular trends in the global technology landscape. These products are now finding several applications in wide range of devices. In addition to this, there has been a growing demand for small sized devices with improved and increased functionalities from a single device. Hence, developments in the wireless computing gadgets such tablets and smartphones, have helped in improving the design activity among the semiconductor designers. As the industry is currently facing some criticism in terms of their overall environmental impact, the leading companies in the global market are now trying to focus on the recycling on improving the overall brand image in the near future.

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In recent years, the emphasis in the global market has moved on new customer electronic devices and other connected devices, with customer interest more inclined towards purchasing new and innovative products. Drones, AR, VR, and wearables among others are some of the most preferred technologies and devices.

In addition to this, the advent of internet of things or IoT has considerably transformed the overall customer electronics sector, with important technology pioneers in the industry are now reliant on the concept of connectivity, so as to cut down the gap between the device capability and consumer concerns. Even though the customer electronics sector has been on a steady decline, new products such as UHD (4K) TVs, set top boxes, TV game consoles, over the top (OTT) are projected to witness a promising demand in the near future. Some other technologies such as AI voice assistants such as Alexa, and Google Home are also important for the development of the global silicon wafers market.

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Global Silicon Wafers Market: Snapshot

The global market for silicon wafers has been treading on a steady growth path so far and in the years ahead too will continue doing so on the back of the solid demand for the consumer electronics and automotive sectors. However, the market growth is being hampered to an extent by the high initial investments. This has made entry barriers high and the competitive landscape consolidated – currently the top four companies hold about 70.0% share in it. High cost of 300 mm silicon wafers is another hurdle the market needs to overcome to grow sales.

A study by Transparency Market Research expects the global silicon wafers market would tread on steady yet not-so-impressive growth path by registering a CAGR of 6.8% over the course of the forecast period during 2017 and 2025. Rising at this pace, the market is projected to become worth US$14.21 mn by 2025.

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Wafers of Size 300 mm and Above Hold Maximum Market Share

Silicon wafers come in different sizes of 100mm, 150mm, 200mm, and 300mm and above. In 2016, the segment of 300 mm and above wafers size held a leading share in the market. They are also expected to surpass the other segments vis-à-vis growth rate over the course of the forecast period. The 200 mm wafer size segment is also plays a pivotal role in the market and is expected to rise at a significant pace in the near future. This is because of their increasing application with progress in logic, analog, RFID, image sensors, microprocessors, and power opto-electronics devices.

Device-wise, the market for silicon wafers is classified into MEMS, beach logic and memory, CMOS, and RFID. The logic and memory segment, among them, is forecasted to outshine all others in terms of growth rate on the back of their rising uptake in various applications of IoT (Internet of Things) and the increasing usage of networking devices across the different part of the globe.

Depending upon the method of fabrication, the market is divided into horizontal gradient freeze, horizontal bridgeman freeze, etc. In 2016, segment of horizontal bridgeman freeze accounted for a leading share in the market. The segment is expected to grow at maximum pace in the years ahead too.

Asia Pacific Leads Owing to Booming Automotive and Electronics Market

Asia Pacific is a leading region in the global market for silicon wafers. Its market value was worth US$4.77 bn in 2015. By 2025, by clocking the maximum CAGR of 7.3% during the forecast period, it is expected to grow that value to US$9.60 bn by 2025. The dominance of the region is a result of the booming automotive and electronics market in the region, which are the key end-users of silicon wafers.

North America also plays a pivotal role in the market for silicon wafers. The market in the region is expected to expand at a healthy clip in the upcoming years because of the presence of numerous semiconductor manufacturers driving up demand for silicon wafers. The market in North America is primarily powered by the U.S. where wafer size of 300mm and above are seeing soaring demand and will likely rise at a 7.9% CAGR over the course of the forecast period. Silicon wafers are finding application in CMOS and logic and memory in North America.

The leading four companies in the global silicon wafers market are SUMCO Corporation, Shin-Etsu Chemical Co., Ltd., Siltronic AG, and SK Siltron Co., Ltd. Other key players in the market are Okmetic, Wafer World Inc., Global Wafers Co., Ltd., Silicon Materials Inc., Global Wafers Co., Ltd., Sil’tronix Silicon Technologies, and Wafer Works Corporation.

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