Semi Equipment Sales To Fall 20 To 34bn In 2008

Semi Equipment Sales To Fall 20 To 34bn In 2008

Industry association Semiconductor Equipment and Materials International SEMI said 2008 semiconductor manufacturing equipment sales will fall approximately 20 this year to 34.12 billion.

While this drop follows 6 market growth in 2007 SEMI believes the semiconductor manufacturing equipment industry will experience a rebound with annual growth of 13 in 2009 and 6 in 2010.

“We began to see equipment spending declines during the second half of 2007 driven by lower spending in the memory sector and a less than favorable device pricing environment. However expectations for 2009 are leaning toward a solid industry recovery and subsequent growth in the low double digits ” Myers commented in a statement.

Wafer processing equipment which is the largest product segment by dollar value is expected to contract 21 this year to 25.4 billion while the market for assembly and packaging equipment will decline by 14 to 2.44 billion.

At the same time SEMI expects the market for semiconductor test equipment to decline by 20 to 4.04 billion this year.

On a geographic basis SEMI said growth is expected to be negative in all regions except China where equipment sales are projected to increase 1 over 2007 with the new equipment market in China expected to surpass both the European and Rest of the World markets this year.

Meanwhile SEMI predicts the Japanese market will reclaim the number 1 spot from Taiwan thanks to significant capital expenditure cutbacks in Taiwan this year with Taiwan expected to fall back to the number 2 spot followed by South Korea at number 3.

About the writer:  http://www.electronicsinchina.com/buysemiconductor_test2520equipment2520/

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