Technavio expects global wafer fab equipment market to reach over $40 billion by 2020

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This global market research report includes a detailed segmentation of the wafer fab equipment market by node size (7 nm and below, 10 nm, 14 nm, 22 nm, 32 nm, 45 nm, and 65 nm and above) and by end users (foundry, memory, and IDM). It outlines the market shares for key regions such as the APAC, Europe, and North America. The top vendors analyzed in this report are Applied Materials, ASML, KLA-Tencor, Lam Research, and TEL.

Technavio has released updated information on the semiconductor wafers market, with the publication of its new market research report, global wafer fab equipment market. The global wafer fab equipment market is expected to grow at a CAGR of 4% between 2016 and 2020, owing to the recent increase in the sale of consumer electronic devices, such as smartphones, hybrid PCs, wearables, and video game consoles. APAC dominates the global market for wafer fab equipment, occupying around 72% of the overall market share. The presence of prominent semiconductor foundries, such as Taiwan Semiconductor Manufacturing, United Microelectronics, Samsung, and Semiconductor Manufacturing International, in this region, is expected to drive market growth during the forecast period.

“Of late, there is high adoption of semiconductor wafers in automobiles, owing to increased electrification and automation in vehicles. Recent rise in demand for driverless and smart cars created huge need for advanced sensors. Increase in the production of such electric hybrid cars have boosted the growth of wafer fab equipment during the forecast period,” says Asif Ghani, Lead Analyst, Hardware & Semiconductor, Technavio Research

Technology transition in the semiconductor industry is the key driver for the growth of this market. The rising demand for compact electronic devices has forced semiconductor device manufacturers to produce ICs that are compact, faster, and consume less power. This transition towards smaller and efficient semiconductors is estimated to positively impact the production of wafer fabs during the forecast period.

The key vendors in the global wafer fab equipment market include Applied Materials, ASML, KLA-Tencor, Lam Research, and TEL. This market is highly fragmented and has a significant growth potential due to the rapidly expanding semiconductor industry. Large vendors like Applied Materials and ASML dominate this market and account for more than 50% of the overall market share during the predicted period. Companies that focus on developing expertise in a particular type of equipment are envisaged to gain maximum market traction during the forecast period.

A more detailed analysis is available in the Technavio report, Global Wafer Fab Equipment Market 2016-2020.

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