Despite Falling Memory Prices, Companies Continue to Spend big on 300 mm Fabs
SAN JOSE, Calif. – August 7, 2007 – In a recent analysis of its Fab Database reports, SEMI® has found that despite the steep pricing declines experienced by memory, device manufacturers continue to invest significantly in additional 300 mm fab capacity. In total, worldwide 300 mm capacity will double from the beginning of this year by the end of 2008 as 25 new 300 mm high-volume fabs come online. By the end of 2008 only 73 -300 mm fabs will provide over 6.2 million wafers per month. The fab landscape is changing; fewer but larger fabs are being constructed.
Having reached record levels in 2006, fab construction spending is expected to decline only slightly this year, with Taiwan and Japan accounting for the largest share of worldwide construction spending at 30 percent and 20 percent respectively, followed by China with over 16 percent. These investments are for 300 mm and Memory (DRAM and Flash), as device manufacturers are expecting a significant increase in demand for DRAM and Flash. The study also revealed that even foundries have retained their ambitious capex plans for 2007. Fab construction expenditures are expected to increase 40 percent to reach to record levels of $10B in 2008, with South Korea expected to have the largest growth followed by Southeast Asia.
A closer look at fab equipping trends reveals 5 percent growth this year and another 5 percent increase projected in 2008. In 2007, Taiwan is expected to account for over 24 percent of fab equipment spending, followed closely by Japan at almost 22 percent. South Korea is expected to represent about 17 percent of worldwide spending for fab equipment. These investments will result in a 17 percent increase in worldwide fab capacity this year and about an 11 percent increase in 2008. Memory products will comprise about 38 percent of all worldwide capacity this year and 40 percent in 2008.
For more information about SEMI’s fab database products, please visit www.semi.org/fabs for additional information on these reports.
‘Fab Capacity Report’:
Provides a comprehensive listing of over 1,000 fabs worldwide and features details by company and by fab in over 12 categories (including capacity ramps, geometries, wafer sizes, product types and regions) and covers three years – the past 6 quarters and the next six quarters. This report is in an easy to use Excel format and lists by quarter and by fab capital expenditure for fabs constructing and equipping, capacities, geometries, product types, and wafer sizes and more. NEW features include: Capital expenditures of fabs equipping and includes fabs with construction projects.
The Next 6 Quarters’ lists fab details of 2 years: for the past 2 quarters and the next 6 quarters for more than 200 fabs in which major expenditures are taking place. The report is in an easy to use Excel format and lists by quarter cost of construction and equipment spending by fab, the capacities, geometries and wafer sizes, key milestone dates and more.
SEMI is a global industry association serving companies that provide equipment, materials and services used to manufacture semiconductors, displays, nano-scaled structures, micro-electromechanical systems (MEMS) and related technologies. SEMI maintains offices in Austin, Beijing, Brussels, Hsinchu, Moscow, San Jose (Calif.), Seoul, Shanghai, Singapore, Tokyo and Washington, D.C. For more information, visit www.semi.org.
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