The Marketing Minute: Staying Positive When the Market Isn’t
Marcy’s Musings: Continuing to Invent the Future With SEL
It’s Only Common Sense: Why Failure Is an Opportunity for Growth
Semiconductor Equipment Consensus Forecast: Record Growth Ahead
December 16, 2020 | SEMIEstimated reading time: 1 minute
Global sales of semiconductor manufacturing equipment by original equipment manufacturers are projected to increase 16% compared to $59.6 billion in 2019 and register a new industry record of $68.9 billion in 2020, SEMI is releasing its Year-end Total Semiconductor Equipment Forecast – OEM Perspective at SEMICON Japan. The growth is expected to continue with the global semiconductor manufacturing equipment market reaching $ 71.9 billion in 2021 and $76.1 billion in 2022.
Both the front end and the back end semiconductor equipment segments are expected to power the expansion. The wafer fab equipment segment – which includes wafer processing, fab facilities, and mask/reticle equipment – is projected to rise 15% to reach $59.4 billion in 2020, followed by 4% and 6% growth in 2021 and 2022, respectively. The foundry and logic segments, which account for about half of total wafer fab equipment sales, will see a mid-teens percentage increase this year to reach $30 billion in spending driven by investments in leading-edge technologies. Spending on NAND flash manufacturing equipment will surge 30% this year, surpassing $14 billion, while DRAM is expected to lead the expansion in 2021 and 2022.
The assembly and packaging equipment segment is forecast to grow 20% to $3.5 billion in 2020, followed by 8% and 5% increases in 2021 and 2022, respectively, driven by advanced packaging applications. The semiconductor test equipment market is expected to rise 20% in 2020, reaching $6 billion, and continue to expand in 2021 and 2022 on demand for 5G and high-performance computing (HPC) applications.
China, Taiwan and Korea are projected to be the leading regions in spending in 2020. Robust foundry and memory investment in China is expected to propel the region to the top of the total semiconductor equipment market for the first time this year. In 2021 and 2022, Korea is forecast to lead the world in semiconductor equipment investments on the back of a memory recovery and increases in logic investment. Equipment spending in Taiwan will remain robust, powered by leading-edge foundry investment. Most other regions tracked will also see growth during the forecast period.
Share on:
Testimonial
"We’re proud to call I-Connect007 a trusted partner. Their innovative approach and industry insight made our podcast collaboration a success by connecting us with the right audience and delivering real results."
Julia McCaffrey - NCAB GroupSuggested Items
Automated Production Equipment and Manncorp Announce Strategic Partnership to Expand SMT Solutions for U.S. Electronics Manufacturers
08/06/2025 | Automated Production EquipmentAutomated Production Equipment (APE), a trusted supplier of high-performance soldering and rework systems, proudly announces a strategic partnership with Manncorp, a leading provider of Surface Mount Technology (SMT) production equipment. This collaboration brings together two industry leaders to deliver expanded, end-to-end SMT solutions to electronics manufacturers across North America.
The Chemical Connection: Sales Organization from a Capital Equipment Perspective
07/22/2025 | Don Ball -- Column: The Chemical ConnectionThe sales organization for a capital equipment supplier to the PCB industry tends to differ slightly from a supplier that manufactures and sells circuit boards to their customers. After all, our sales depend on the printed circuit board manufacturer’s sales. If business falls off, you tend to delay or reconsider the need for new or upgraded capital equipment, and then our sales fall off. If your sales go up and you need to increase capacity or replace old equipment, our sales also trend upwards.
IPC-CFX, 2.0: How to Use the QPL Effectively
07/02/2025 | Chris Jorgensen, Global Electronics AssociationIn part one of this series, we discussed the new features in CFX Version 2.0 and their implications for improved inter-machine communication. But what about bringing this new functionality to the shop floor? The IPC-CFX-2591 QPL is a powerful technical resource for manufacturers seeking CFX-enabled equipment. The Qualified Product List (QPL) helps streamline equipment selection by listing models verified for CFX compliance through a robust third-party virtual qualification process.
Technica USA Announces New Strategic Partnership with I.T.C. Intercircuit Production GmbH
06/24/2025 | Technica USATechnica USA is pleased to announce a new distribution and representative agreement with I.T.C. Intercircuit Production GmbH, a globally recognized manufacturer of advanced equipment for the PCB manufacturing industry.
Smart Automation: The Power of Data Integration in Electronics Manufacturing
06/24/2025 | Josh Casper -- Column: Smart AutomationAs EMS companies adopt automation, machine data collection and integration are among the biggest challenges. It’s now commonplace for equipment to collect and output vast amounts of data, sometimes more than a manufacturer knows what to do with. While many OEM equipment vendors offer full-line solutions, most EMS companies still take a vendor-agnostic approach, selecting the equipment companies that best serve their needs rather than a single-vendor solution.