Emergence of Product Miniaturization Propelling Growth in the Global Semiconductor Capital Equipment Market: Technavio Report

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London, 19 November 2014: TechNavio, the independent tech-focused global research firm, has published a report on the Global Semiconductor Capital Equipment Market 2015-2019, which is expected to grow at a CAGR of 2.58 percent during the period 2014-2019.

Recent advances in technology, along with improved durability, reduced energy consumption, superior performance, enhanced quality, and the highly efficient features of semiconductor capital equipment, are making them an attractive solution in the Semiconductor industry. The benefits attributed to semiconductor capital equipment are expected to increase the revenue of the Global Semiconductor Capital Equipment market.

“Vendors in the market are focusing on manufacturing miniaturized personal electronic products that consume less power,” says Faisal Ghaus, Vice President of TechNavio.

“Since the market is witnessing the emergence of miniaturized personal electronic products, semiconductor foundries are focusing on factors such as integrating different features, reducing the size of semiconductor wafers, and lowering IC power consumption.”

Key Market Drivers

  • Increased Demand for Smartphones and Tablets
  • Steady Growth of Semiconductor Wafer Industry
  • Declining Cost per Function of ICs
  • Emergence of 3D Chip Packaging
  • Increase in New Product Development

Key Market Trends

  • Short Replacement Cycle of Portable Electronic Devices
  • Emergence of Product Miniaturization
  • Increased M&A
  • Fabless Semiconductor Companies
  • Shift from Aluminum to Copper Interconnections
  • Increased R&D Spending

Key Market Vendors

  • Applied Materials Inc. (AMAT)
  • ASML Holdings NV
  • Lam Research Corp.
  • Tokyo Electron Ltd.

To define the market circumstances in the next 3-4 years, TechNavio analysts have conducted in-depth analysis of the impact of market drivers, challenges and trends featuring data on product segmentations, vendor shares, growth rate by revenue and an evaluation of the different buying criteria in the order of importance.

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