Semiconductor Equipment Sales to Reach $37.5 Billion in 2010


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Semiconductor Equipment Sales to Reach $37.5 Billion in 2010

TOKYO, Japan – November 30, 2010 – SEMI projects 2010 semiconductor equipment sales to reach $37.54 billion according to the year-end edition of the SEMI Capital Equipment Forecast, released here today by SEMI at the annual SEMICON Japan exposition.

The forecast indicates that, following a 46 percent market decline in 2009, the equipment market will expand by 136 percent in 2010 and experience annual growth of about 4 percent in 2011 and another 4 percent in 2012. Revenues of $37.54 billion place equipment spending this year on par with 2004 investment levels.

"In terms of year-over-year growth, 2010 will be a record year for the semiconductor equipment market," said Stanley T. Myers, president and CEO of SEMI. "SEMI remains cautiously optimistic about the industry’s growth prospects over the next two years given the pervasiveness of semiconductors in the products we use every day."

Wafer processing equipment, the largest product segment by dollar value, is expected to increase 137 percent in 2010 to $28.11 billion. The forecast predicts that the market for assembly and packaging equipment will grow by 155 percent to $3.59 billion in 2010. The market for semiconductor test equipment is also forecasted to grow by 155 percent to reach $3.96 billion this year.

Growth is forecasted for all regions in 2010, with Taiwan being the largest market for equipment followed by South Korea. North America will be the third largest market for overall spending on semiconductor equipment. China, Korea, Rest of World, Europe, and Taiwan regions will experience growth rates over 100 percent.

The following results are given in terms of market size in billions of U.S. dollars and percentage growth over the prior year:

Forecast by Equipment Segment

Equipment Type

2009

2010 Forecast

% Chg

2011 Forecast

% Chg

2012 Forecast

% Chg

Wafer Processing

$11.84

$28.11

137%

$30.19

7%

$30.83

2%

Test

1.55

3.96

155%

3.76

-5%

4.08

9%

Assembly & Packaging

1.41

3.59

155%

2.97

-17%

3.31

11%

Other*

1.11

1.88

69%

2.03

8%

2.30

13%

Total

$15.92

$37.54

136%

$38.95

4%

$40.52

4%

Forecast by Region

Region

2009

2010 Forecast

% Chg

2011 Forecast

% Chg

2012 Forecast

% Chg

Taiwan

$4.35

$9.99

130%

$9.00

-10%

$9.17

2%

South Korea

2.60

8.61

231%

8.28

-4%

8.72

5%

North America

3.39

5.31

57%

6.01

13%

5.81

-3%

Japan

2.23

4.41

98%

4.90

11%

4.94

1%

Rest of World

1.44

3.62

151%

4.08

13%

4.52

11%

China

0.94

3.27

248%

3.77

15%

4.16

10%

Europe

0.97

2.33

141%

2.91

25%

3.20

10%

Total

$15.92

$37.54

136%

$38.95

4%

$40.52

4%

*Totals and percentages may differ due to rounding of numbers

Source: SEMI November 2010

The Equipment Market Data Subscription (EMDS) from SEMI provides comprehensive market data for the global semiconductor equipment market. A subscription includes three reports: the monthly SEMI Book-to-Bill Report, which offers an early perspective of the trends in the equipment market; the monthly Worldwide Semiconductor Equipment Market Statistics (SEMS), a detailed report of semiconductor equipment bookings and billings for seven regions and over 22 market segments; and the SEMI Semiconductor Equipment Consensus Forecast, which provides an outlook for the semiconductor equipment market. For more information or to subscribe, please contact SEMI customer service at 1.877.746.7788 (toll free in the U.S.) or 1.408.943.6901 (International Callers).

SEMI is the global industry association serving the manufacturing supply chains for the microelectronic, display and photovoltaic industries. SEMI member companies are the engine of the future, enabling smarter, faster and more economical products that improve our lives. Since 1970, SEMI has been committed to helping members grow more profitably, create new markets and meet common industry challenges. SEMI maintains offices in Austin, Beijing, Bengaluru, Berlin, Brussels, Grenoble, Hsinchu, Moscow, San Jose, Seoul, Shanghai, Singapore, Tokyo, and Washington, D.C. For more information, visit www.semi.org

Association Contacts

Deborah Geiger/SEMI

Phone: 408.943.7988

E-mail: dgeiger@semi.org

Dan Tracy/SEMI

Phone: 408.943.7987

E-mail: dtracy@semi.org

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