Semiconductor Manufacturing Equipment Market by Front-end Equipment (Lithography, Wafer Surface Conditioning, Cleaning Processes), Backend Equipment (Assembly & Packaging, Dicing, Bonding, Metrology), Fab Facility, and Geography - Global Forecast to 2023

The semiconductor manufacturing equipment market was valued at USD 39.07 Billion in 2016 and is expected to reach USD 62.56 Billion by 2023, at a CAGR of 6.86% during the forecast period.

The years considered for the study are as follows:

• Base Year: 2016
• Estimated Year: 2017
• Projected Year: 2023
• Forecast Period: 2017 to 2023

The objectives of the study of this report

• To define, describe, and forecast the semiconductor manufacturing equipment market on the basis of front-end equipment, back-end equipment, fab facility equipment, dimension, and geography
• To forecast the market size of various segments with regard to 3 main regions:North America, Europe, and Asia Pacific
• To provide detailed information regarding the major factors influencing the growth of the market (drivers, restraints, opportunities, and industry-specific challenges)
• To analyze the value chain and market roadmaps to study the evolution
• To strategically analyze the micromarkets1 with regard to individual growth trends, prospects, and contributions to the total market
• To analyze the opportunities in the market for stakeholders by identifying high-growth segments in this market
• To strategically profile key players, comprehensively analyze their market share and core competencies2, and detail the competitive landscape of the Semiconductor Manufacturing Equipment market
• To analyze competitive developments such as joint ventures, mergers and acquisitions, product launches and developments, business expansions, and research and development (R&D) activities in this Semiconductor Manufacturing Equipment market

This research study involves an extensive use of secondary sources, directories, and databases (such as Hoovers, Bloomberg BusinessWeek, Factiva, and OneSource) to identify and collect information useful for this technical, market-oriented, and commercial study of the grow light market. To find the overall market size, top-down and bottom-up approaches have been used to estimate the sizes of other individual markets by using percentage splits from secondary sources such as Hoovers, Bloomberg BusinessWeek, Factiva, and OneSource as well as with the help of primary research. The entire procedure includes the study of the annual and financial reports of the top market players and extensive interviews of industry leaders such as CEOs, VPs, directors, and marketing executives for key insights (both qualitative and quantitative) pertaining to the market.

The figure below shows the breakdown of the primaries, on the basis of company type, designation, and region, conducted during the research study.

To know about the assumptions considered for the study, download the pdf brochure

Market Ecosystem:

The semiconductor manufacturing equipment market comprises key manufacturers such as Tokyo Electron Limited (Japan), LAM RESEARCH Corporation (US), ASML Holdings N.V.  (Netherlands), Applied Materials Inc. (US); and raw material suppliers such as AlsilMaterial (US), Atecom Technology Co., Ltd (Taiwan); end users such as Qualcomm Technologies, Inc. (US), Micron Technology Inc. (US), Intel Corporation (US), and Samsung Group (South Korea); and suppliers such as KLA-Tencor Corporation (US), Screen Holdings Co., Ltd (Japan), and Teradyne Inc. (US).

Target Audience:

• Semiconductor Manufacturing Equipment Manufacturers
• Semiconductor Manufacturing Equipment Panel Technicians and Technologists
• Research Organizations and Consulting Companies
• Associations, Forums, and Alliances Related to Grow Lights Investors

“Study answers several questions for the target audiences, primarily which market segments to focus in the next two to five years for prioritizing the efforts and investments.”

Scope of the Report:

In this report, the overall semiconductor manufacturing equipment market has been segmented on the basis of front-end equipment, backend equipment, fab facility equipment, dimension, and geography.

By Front-end Equipment:

• Lithography
• Wafer surface conditioning equipment
• Cleaning processes
• Others

By Backend Equipment:

• Assembly & packaging equipment
• Dicing equipment
• Bonding equipment
• Metrology equipment
• Test equipment

By Fab-facility:

• Automation
• Chemical control equipment
• Gas control equipment
• Others

By Dimension:

• 2D
• 2.5D
• 3D

By Geography:

• North America
  • US
  • Canada and Mexico
• Europe
  • UK
  • Italy
  • Ireland
  • Israel
  • France
  • Rest of Europe
• APAC
  • China
  • Japan
  • Taiwan
  • South Korea
  • Rest of APAC

Available Customizations

With the given market data, MarketsandMarkets offers customizations according to the company’s specific needs. The following customization options are available for the report.

Company Information

• Detailed analysis and profiling of additional market players (up to 10)

Table of Contents

1 Introduction (Page No. - 14)
    1.1 Objectives of the Study
    1.2 Market Definition
    1.3 Scope of the Study
           1.3.1 Markets Covered
           1.3.2 Years Considered for the Study
    1.4 Currency
    1.5 Package and Size
    1.6 Limitations
    1.7 Stakeholders

2 Research Methodology (Page No. - 17)
    2.1 Research Data
           2.1.1 Secondary Data
                    2.1.1.1 Key Data From Secondary Sources
           2.1.2 Primary Data
                    2.1.2.1 Key Data From Primary Sources
                    2.1.2.2 Key Industry Insights
                    2.1.2.3 Breakdown of Primaries
    2.2 Market Size Estimation
           2.2.1 Bottom-Up Approach
           2.2.2 Top-Down Approach
    2.3 Market Breakdown and Data Triangulation
    2.4 Research Assumptions

3 Executive Summary (Page No. - 25)

4 Premium Insights (Page No. - 30)
    4.1 Attractive Growth Opportunities in the Semiconductor Manufacturing Equipment Market
    4.2 Semiconductor Manufacturing Equipment Market, By Front-End
    4.3 Semiconductor Manufacturing Equipment Market in APAC
    4.4 Growth Rate of the Leading Countries in Semiconductor Manufacturing Equipment, 2016
    4.5 Semiconductor Manufacturing Equipment Market, By Dimension

5 Market Overview (Page No. - 34)
    5.1 Value Chain Analysis
    5.2 Market Dynamics
           5.2.1 Drivers
                    5.2.1.1 Progress in Research and Development Facilities
                    5.2.1.2 Increasing Demand for Electric and Hybrid Vehicles
                    5.2.1.3 Growing Consumer Electronics Market and Increase in the Number of Foundries
           5.2.2 Restraints
                    5.2.2.1 High Costs and Maintenance of the Equipment
                    5.2.2.2 Complexity of Pattern and Functional Defects in Manufacturing Process
           5.2.3 Opportunities
                    5.2.3.1 Rise in Demand for Silicon-Based Sensors in Iot
                    5.2.3.2 Expanding Chip Industry in China
                    5.2.3.3 Growing Number of Data Centers and Servers
           5.2.4 Challenges
                    5.2.4.1 Technical Problems Faced During Fabrication Process
                    5.2.4.2 Increased Complexities Related to Miniaturized Structures of Circuit

6 Semiconductor Manufacturing Market, By Front-End Equipment (Page No. - 43)
    6.1 Introduction
    6.2 Lithography
           6.2.1 DUV
           6.2.2 EUV
    6.3 Wafer Surface Conditioning Equipment
           6.3.1 Etching
           6.3.2 Chemical Mechanical Planarization
    6.4 Cleaning Process
           6.4.1 Single-Wafer Spray System
           6.4.2 Single-Wafer Cryogenic System
           6.4.3 Batch Immersion Cleaning System
           6.4.4 Batch Spray Cleaning System
           6.4.5 Scrubber
    6.5 Others
           6.5.1 CVD

7 Semiconductor Manufacturing Equipment Market, By Back-End (Page No. - 56)
    7.1 Introduction
    7.2 Back-End Processes
           7.2.1 Assembly and Packaging
                    7.2.1.1 Assembly
                    7.2.1.2 Packaging Equipment
           7.2.2 Dicing Equipment
           7.2.3 Bonding Equipment
           7.2.4 Metrology Equipment
           7.2.5 Test Equipment

8 Semiconductor Manufacturing Equipment Market, By Fab Facility (Page No. - 64)
    8.1 Introduction
    8.2 Automation
    8.3 Chemical Control Equipment
    8.4 Gas Control Equipment
    8.5 Others

9 Semiconductor Manufacturing Equipment Market, By Dimension (Page No. - 67)
    9.1 Introduction
    9.2 2D
    9.3 2.5D
    9.4 3D

10 Semiconductor Manufacturing Equipment Market, By Geography (Page No. - 71)
     10.1 Introduction
     10.2 North America
             10.2.1 US
                        10.2.1.1 Some of the Major Semiconductor Device Manufacturers Belong to the US
             10.2.2 Canada
             10.2.3 Mexico
     10.3 Europe
             10.3.1 UK
                        10.3.1.1 Effort to Increase the Growth of Semiconductor Manufacturing Equipment
             10.3.2 Italy
                        10.3.2.1 One of the Leading Countries of Europe
             10.3.3 Ireland
                        10.3.3.1 High Experience in Semiconductor Market
             10.3.4 France
                        10.3.4.1 One of the Largest Electronic Market in Europe
             10.3.5 Rest of Europe
     10.4 Asia Pacific
             10.4.1 China
                        10.4.1.1 Semiconductor Manufacturing Equipment Market for China in APAC is Expected to Grow at A High Rate
             10.4.2 Japan
                        10.4.2.1 Presence of Major Players in Japan
             10.4.3 Taiwan
                        10.4.3.1 Taiwan Being A Major Semiconductor Manufacturer Hub is Expected to Boost the Demand for Semiconductor Manufacturing Equipment
             10.4.4 South Korea
                        10.4.4.1 Second Largest Semiconductor Industry in the World
             10.4.5 Rest of APAC

11 Competitive Landscape (Page No. - 104)
     11.1 Overview
     11.2 Market Ranking Analysis for Semiconductor Manufacturing Equipment Market
     11.3 Semiconductor Manufacturing Equipment Market Dive Chart
             11.3.1 Vanguards
             11.3.2 Dynamic
             11.3.3 Innovators
             11.3.4 Emerging
             11.3.5 Micro Quadrant
                        11.3.5.1 Product Offering Parameters
                        11.3.5.2 Business Strategy Parameters
*Top 25 Companies Analyzed for This Study are -ASML Holdings N.V., Nikon, Canon, Jeol, Nuflare Technology, Ultratech, Rudolph Technology, EV Group, Screen Semiconductor Solutions Co., Ltd, Toshiba, Tokyo Ohka Kogyo Co., Ltd, Adams Lithographing , Am Lithography Corporation, Vistec Electron Beam GmbH, Qoniac GmbH, S-Cubed, Inc., Inpria, Zeiss, Mapper Lithography, Raith GmbH, Gigaphoton Inc, Energetiq Technology, Inc, Suss Microtech Ag, Nil Technology
     11.4 Competitive Situations and Trends
             11.4.1 Product Launches
             11.4.2 Contracts, Partnership, Agreements, and Collaborations
             11.4.3 Merger & Acquisition
             11.4.4 Expansions and Awards

12 Company Profile (Page No. - 115)
     12.1 Introduction
(Overview, Strength of Product Portfolio, Business Strategy Excellence, Recent Developments, Key Relationships)*
     12.2 Tokyo Electron Limited
     12.3 LAM Research Corporation
     12.4 ASML Holdings N.V.
     12.5 Applied Materials Inc.
     12.6 KLA-Tencor Corporation.
     12.7 Screen Holdings Co., Ltd.
     12.8 Teradyne Inc.
     12.9 Advantest Corporation
     12.10 Hitachi High-Technologies Corporation.
     12.11 Plasma-Therm.
     12.12 Rudolph Technologies, Inc
     12.13 Startup Ecosystem

*Details on Overview, Strength of Product Portfolio, Business Strategy Excellence, Recent Developments, Key Relationships Might Not Be Captured in Case of Unlisted Companies.

13 Appendix (Page No. - 151)
     13.1 Insights of Industry Experts
     13.2 Discussion Guide:
     13.3 Knowledge Store: Marketsandmarkets’ Subscription Portal
     13.4 Introducing RT: Real-Time Market Intelligence
     13.5 Available Customization
     13.6 Related Reports
     13.7 Author Details

List of Tables (66 Tables)

Table 1 Front-End Equipment Shipment Unit, 2014-2023
Table 2 Presence of Domestic Companies in Different Semiconductor Manufacturing Equipment
Table 3 Front-End Semiconductor Manufacturing Equipment Market, By Type, 2014–2023 (USD Billion)
Table 4 Front-End Semiconductor Manufacturing Equipment Market, By Geography 2014–2023 (USD Billion)
Table 5 Front-End Lithography Equipment Market, By Geography, 2014–2023 (USD Billion)
Table 6 Front-End Wafer Surface Conditioning Equipment Market, By Type, 2014–2023 (USD Billion)
Table 7 Front-End Wafer Conditioning Equipment Market, By Geography, 2014–2023 (USD Billion)
Table 8 Etching Wafer Conditioning Equipment Market, By Geography, 2014–2023 (USD Billion)
Table 9 CMP Wafer Conditioning Equipment Market, By Geography, 2014–2023 (USD Billion)
Table 10 Wafer Cleaning Equipment Market, By Geography, 2014–2023 (USD Billion)
Table 11 Other Wafer Processing Equipment Market, By Geography, 2014–2023 (USD Billion)
Table 12 Back-End Semiconductor Manufacturing Equipment Market, By Type, 2014–2023 (USD Billion)
Table 13 Back-End Semiconductor Manufacturing Equipment Market, By Geography, 2014–2023 (USD Billion)
Table 14 Back-End Assembly and Packaging Equipment Market, By Geography, 2014–2023 (USD Billion)
Table 15 Back-End Dicing Equipment Market, By Geography, 2014–2023 (USD Billion)
Table 16 Back-End Bonding Equipment Market, By Geography, 2014–2023 (USD Billion)
Table 17 Back-End Metrology Equipment Market, By Geography, 2014–2023 (USD Billion)
Table 18 Back-End Wafer Testing Equipment Market, By Geography, 2014–2023 (USD Billion)
Table 19 Semiconductor Manufacturing Equipment Market, By Fab Facility, 2014–2023 (USD Billion)
Table 20 Market, By Dimension, 2014–2023 (USD Billion)
Table 21 Comparison Between 2D, 2.5D, and 3D Ic Technology
Table 22 Semiconductor Manufacturing Equipment Market, By Geography 2014–2023 (USD Billion)
Table 23 North America Market, By Country, 2014–2023 (USD Billion)
Table 24 North America Market, By Type, 2014–2023 (USD Billion)
Table 25 Lithography Equipment Market in North America, By Country, 2014–2023 (USD Billion)
Table 26 Etching Equipment Market in North America, By Country, 2014–2023 (USD Billion)
Table 27 CMP Equipment Market in North America, By Country, 2014–2023 (USD Billion)
Table 28 Wafer Cleaning Equipment Market in North America, By Country, 2014–2023 (USD Billion)
Table 29 Other Wafer Processing Equipment Market in North America, By Country, 2014–2023 (USD Billion)
Table 30 Assembly and Packaging Equipment Market in North America, By Country, 2014–2023 (USD Billion)
Table 31 Dicing Equipment Market in North America, By Country, 2014–2023 (USD Billion)
Table 32 Bonding Equipment Market in North America By Country, 2014–2023 (USD Billion)
Table 33 Metrology Equipment Market in North America, By Country, 2014–2023 (USD Billion)
Table 34 Wafer Testing Equipment Market in North America, By Country, 2014–2023 (USD Billion)
Table 35 Semiconductor Manufacturing Equipment Market in North America, By Dimension, 2014–2023 (USD Billion)
Table 36 Semiconductor Manufacturing Equipment Market in Europe, By Country, 2014–2023 (USD Billion)
Table 37 Europe Market, By Type, 2014–2023 (USD Billion)
Table 38 Lithography Equipment Market in Europe, By Country, 2014–2023 (USD Billion)
Table 39 Etching Equipment Market in Europe, By Country, 2014–2023 (USD Billion)
Table 40 Europe: CMP Equipment Market in Europe, By Country, 2014–2023 (USD Billion)
Table 41 Wafer Cleaning Equipment Market in Europe, By Country, 2014–2023 (USD Billion)
Table 42 Europe: Other Wafer Processing Equipment Market in Europe, By Country, 2014–2023 (USD Billion)
Table 43 Assembly and Packaging Equipment Market in Europe, By Country, 2014–2023 (USD Billion)
Table 44 Wafer Dicing Equipment Market in Europe, By Country, 2014–2023 (USD Million)
Table 45 Bonding Equipment Market in Europe, By Country, 2014–2023 (USD Million)
Table 46 Metrology Equipment Market in Europe, By Country, 2014–2023 (USD Billion)
Table 47 Wafer Testing Equipment Market in Europe, By Country, 2014–2023 (USD Billion)
Table 48 Semiconductor Manufacturing Equipment Market in Europe, By Dimension, 2014–2023 (USD Billion)
Table 49 Semiconductor Manufacturing Equipment Market in APAC, By Country, 2014–2023 (USD Billion)
Table 50 APAC Market, By Type, 2014–2023 (USD Billion)
Table 51 Lithography Equipment Market in APAC, By Country, 2014–2023 (USD Billion)
Table 52 Etching Equipment Market in APAC, By Country, 2014–2023 (USD Billion)
Table 53 CMP Equipment Market in APAC, By Country, 2014–2023 (USD Billion)
Table 54 Wafer Cleaning Equipment Market in APAC, By Country, 2014–2023 (USD Billion)
Table 55 Other Wafer Processing Equipment Market in APAC, By Country, 2014–2023 (USD Billion)
Table 56 Assembly and Packaging Equipment Market in APAC, By Country, 2014–2023 (USD Billion)
Table 57 Wafer Dicing Equipment Market in APAC, By Country, 2014–2023 (USD Billion)
Table 58 Wafer Bonding Equipment Market in APAC, By Country, 2014–2023 (USD Billion)
Table 59 Metrology Equipment Market in APAC, By Country, 2014–2023 (USD Billion)
Table 60 Wafer Testing Equipment Market in APAC, By Country, 2014–2023 (USD Billion)
Table 61 Semiconductor Manufacturing Equipment Market in APAC, By Dimension, 2014–2023 (USD Billion)
Table 62 Ranking of Top 5 Players: Power Bank Market, 2016
Table 63 Product Launches, 2015–2017
Table 64 Contracts, Agreements, and Collaborations, 2015-2017
Table 65 Merger and Acquisition, 2015-2017
Table 66 Expansions and Awards, 2015-2017

List of Figures (50 Figures)

Figure 1 Semiconductor Manufacturing Equipment Markets Covered
Figure 2 Semiconductor Manufacturing Equipment Market Research Design
Figure 3 Market Size Estimation Methodology: Bottom-Up Approach
Figure 4 Market Size Estimation Methodology: Top-Down Approach
Figure 5 Data Triangulation
Figure 6 Assumptions of the Research Study
Figure 7 in North America 3D Segment is Expected to Grow at the Highest CAGR During the Forecast Period
Figure 8 APAC to Grow at the Highest Rate in the Semiconductor Manufacturing Equipment Market During the Forecast Period
Figure 9 Lithography Equipment to Hold Large Demand in the Semiconductor Manufacturing Equipment Market During the Forecast Period
Figure 10 Bonding Equipment is Expected to Witness the Highest Growth Between 2017 and 2023
Figure 11 APAC Held the Largest Market Share in 2016
Figure 12 Growing Consumer Electronics Market and Increase in the Number of Foundries are Driving the Market
Figure 13 Lithography Equipment is Expected to Hold the Largest Market Share for Semiconductor Manufacturing Equipment During the Forecast Period
Figure 14 Taiwan Held the Largest Share of the Semiconductor Manufacturing Equipment Market in APAC in 2016
Figure 15 APAC is Expected to Grow at A Highest CAGR During the Forecast Period
Figure 16 3D is Expected to Hold the Highest Share Between 2017 and 2023
Figure 17 Value Chain Analysis: Semiconductor Manufacturing Equipment
Figure 18 Value Chain Analysis (Front-End Manufacturing Equipment)
Figure 19 Value Chain Analysis (Back-End Manufacturing Equipment)
Figure 20 Growing Demand for Consumer Electronics and Electric-Based Automobiles are the Major Drivers for the Market
Figure 21 Increasing Sales of Electric Vehicles Between 2011 and 2014
Figure 22 Lithography Equipment Accounts for the Largest Market Share Among All Equipment Types in 2017
Figure 23 CMP Market is Expected to Grow With the Highest CAGR During the Forecast Period
Figure 24 APAC Market is Expected to Grow With the Highest CAGR During the Forecast Period
Figure 25 Semiconductor Manufacturing Equipment Market, By Geography
Figure 26 China Expected to Register the Highest Growth Rate in the Semiconductor Manufacturing Equipment Market During the Forecast Period
Figure 27 APAC Holds the Largest Semiconductor Manufacturing Equipment Market in Market in 2017
Figure 28 North America, Geographic Snapshot, 2016
Figure 29 Market in the US is Expected to Grow With the Highest CAGR During the Forecast Period
Figure 30 3D Market in North America is Expected to Grow at the Highest CAGR During the Forecast Period
Figure 31 Germany is Expected to Grow With the Highest CAGR Between 2017 and 2023
Figure 32 Germany Accounts for Largest Market in Assembly and Packaging Market in 2017
Figure 33 Among All Dimensions 3D Market in Europe is Expected to Grow at the Highest CAGR During the Forecast Period
Figure 34 APAC, Geographic Snapshot, 2016
Figure 35 Taiwan Holds Largest Market Share Among All APAC Countries in 2017
Figure 36 Taiwan Holds Largest Market for APAC Wafer Cleaning Equipment Market
Figure 37 3D Market in APAC is Expected to Grow at the Highest CAGR During the Forecast Period
Figure 38 Companies Adopted Product Launches as Key Growth Strategy Between 2014 and 2017
Figure 39 Dive Chart
Figure 40 Battle for Market Share: Product Launches Was the Key Strategy Between 2014 and 2017
Figure 41 Tokyo Electron Limited: Company Snapshot
Figure 42 LAM Research Corporation: Company Snapshot
Figure 43 ASML Holdings N.V.: Company Snapshot
Figure 44 Applied Materials Inc.: Company Snapshot
Figure 45 KLA-Tencore Corporation: Company Snapshot
Figure 46 Screen Holdings Co., Ltd.: Company Snapshot
Figure 47 Teradyne Inc.: Company Snapshot
Figure 48 Advantest Corporation: Company Snapshot
Figure 49 Hitachi High-Technologies Corporation: Company Snapshot
Figure 50 Rudolph Technologies, Inc: Company Snapshot

The semiconductor manufacturing equipment market is expected to reach USD 62.56 Billion by 2023, at a CAGR of 6.86% between 2017 and 2023. The progress in research and development (R&D) facilities, increasing demand for electric and hybrid vehicles, growing consumer electronic market, and increase in the number of foundries are the key drivers for the semiconductor manufacturing equipment market.

This market is segmented on the basis of backend equipment, front-end equipment, fab facility equipment, dimension, and geography. Among all semiconductor backend devices, bonding equipment is expected to grow at the highest CAGR during the forecast period. The development of several potential applications in the semiconductor industry has given rise to the concept of wafer bonding. Today, in the semiconductor manufacturing industry, wafer bonding is rapidly launching itself as a persistent technology. Wafer bonding is a very intricate process that is used in various applications such as LEDs, power devices, radio frequency (RF), MEMS, CMOS image sensors (CIS), and advanced packaging. Owing to all these reasons, this is expected to grow at the highest CAGR during the forecast period.

On the basis of front-end, the semiconductor manufacturing equipment market has been segmented into lithography, wafer surface conditioning equipment, and wafer cleaning process. The increasing demand for semiconductor devices across the globe had led to the use of photolithography equipment for manufacturing semiconductor devices. The application of different semiconductor devices such as ICs and transistors in various industries such as automotive, telecommunication, and consumer electronics led to the increased demand for semiconductor devices.

The semiconductor manufacturing equipment market, on the basis of back-end, has been segmented into assembly and packaging, dicing equipment, bonding equipment, metrology, and test equipment. The bonding equipment is expected to grow at the highest CAGR between 2017 and 2023. The development of several potential applications in the semiconductor industry has given rise to the concept of wafer bonding. To ensure dependability and efficient productivity, wafer-bonding equipment became a necessity for semiconductor manufacturers. Today, in the semiconductor manufacturing industry, wafer bonding is launching itself as a persistent technology. Owing to all the benefits of this process, it is expected to grow at the highest CAGR during the forecast period.

APAC was the leading market for semiconductor manufacturing equipment in 2016. APAC has been a game changer for the semiconductor equipment market for the last 45 years. The growth of Silicon Valley in California from the 1970s is mainly attributed to the support it has received from the players of APAC. The development of semiconductor devices in Asian economies such as China, Japan, South Korea, and Taiwan drives the semiconductor equipment market. The semiconductor manufacturing equipment market in APAC held the largest share owing to the low-cost labor in China, Taiwanese innovation and advancement in fabrication plants, and Japanese semiconductor equipment manufacturing capabilities, which are some of the cutting-edge advantages for the Asian semiconductor industry.

Semiconductor manufacturing devices are expensive depending upon its function, and for the process, it is used. New companies entering this industry face the cost hurdle because R&D cost and capital requirement are high. As operations performed by tools used in front-end wafer fabrication are complex, their cost becomes high. For instance, photolithography is one of the most complex processes. Recently in 2015, ASML Holdings (Netherlands) received an order for 15 EUV lithography systems from Intel Corporation (US), and this order was worth USD 75 million. Sometimes, it becomes difficult to maintain older parts of machines, as they are no longer produced by original equipment manufacturers (OEMs). Thus, the equipment is often used beyond its lifespan. The unavailability of parts of older systems and difficulties in the maintenance of the equipment become constraints to the semiconductor device manufacturers in high-volume production.

Applied Material (US) holds a leading position in the semiconductor manufacturing equipment market, and it is a recognized brand in the semiconductor manufacturing equipment market and is also a global provider of material engineering solutions used to virtually produce chips and advanced displays. The company has developed innovative products to cater to a large number of customers by combining its expertise in semiconductor front-end processes such as etching, chemical–mechanical, and metrology. The company mainly focuses on collaboration and product launches to stay ahead in the competition. For instance, in July 2016, the company launched PROVision system that delivers 3 times faster throughput for challenging e-beam applications. The company also concentrates on R&D to expand its capabilities to provide innovative products and technologies to its customers.

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