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Global Front End of the Line Semiconductor Equipment Market 2016-2020

Global Front End of the Line Semiconductor Equipment Market 2016-2020

About Semiconductor Equipment Industry and Front-End Process

The semiconductor equipment industry is an important part of the overall semiconductor market, with semiconductor chipmakers investing 20% of their sales in obtaining manufacturing equipment. The equipment manufacturing companies are leading the development of most core process technologies in the semiconductor market. The semiconductor production equipment industry is divided into front-end and back-end process equipment. The front-end process includes advanced technology and integration. Investment in front-end equipment is more than back-end equipment, with 60% of the total investment made for front-end equipment. The front-end process is subdivided into front-end-of-the-line (FEOL) and back-end-of-the-line (BEOL).

Technavio’s analysts forecast the global front-end-of-the-line (FEOL) semiconductor equipment market to grow at a CAGR of 1.78% during the period 2016-2020.

Covered in this report

The report covers the present scenario and the growth prospects of the global front-end-of-the-line (FEOL) semiconductor equipment market for 2016-2020. To calculate the market size, the report considers revenue generated from the sales of FEOL semiconductor equipment.

The market is divided into the following segments based on geography:

  • Americas
  • APAC
  • EMEA
Technavio's report, Global Front-End-Of-The-Line (FEOL) Semiconductor Equipment Market 2016-2020, has been prepared based on an in-depth market analysis with inputs from industry experts. The report covers the market landscape and its growth prospects over the coming years. The report also includes a discussion of the key vendors operating in this market.

Key vendors
  • Applied Materials
  • ASML
  • KLA-Tencor
  • Lam Research
  • Tokyo Electron
Other prominent vendors
  • Dainippon Screen Manufacturing
  • Hitachi High-Technologies
  • Nikon
  • Hitachi Kokusai Electric
Market driver
  • Increase in number of fabs worldwide
  • For a full, detailed list, view our report
Market challenge
  • High cost of equipment
  • For a full, detailed list, view our report
Market trend
  • Proliferation of automotive electronics
  • For a full, detailed list, view our report
Key questions answered in this report
  • What will the market size be in 2020 and what will the growth rate be?
  • What are the key market trends?
  • What is driving this market?
  • What are the challenges to market growth?
  • Who are the key vendors in this market space?
  • What are the market opportunities and threats faced by the key vendors?
  • What are the strengths and weaknesses of the key vendors?


Press Release

Technavio Announces the Publication of its Research Report – Global Front-End-Of-The-Line (FEOL) Semiconductor Equipment Market 2016-2020

Technavio recognizes the following companies as the key players in the global front-end-of-the-line (FEOL) semiconductor equipment market: Applied Materials, ASML, KLA-Tencor, Lam Research, and Tokyo Electron

Other Prominent Vendors in the market are: Dainippon Screen Manufacturing, Hitachi High-Technologies, Nikon, and Hitachi Kokusai Electric

Commenting on the report, an analyst from Technavio’s team said that proliferation of automotive electronics is one of the trends spurring growth for the market. The automotive market is going through a lot of changes with electronics such as advanced driver assistance systems (ADAS), connected vehicles, and electric energy, having good growth potential. In the future, most of the automobile buying decisions will be made based on the electronics content of the vehicles and the associated services. In 2015, 70 million units of cars were sold globally, and 73.54 million units will be sold in 2016. The semiconductor content will increase in vehicles during the forecast period.

According to the report, increase in number of fabs worldwide is a key driver aiding to the growth of this market. Financial services are one of the most data-intensive industries. The semiconductor market will see a high demand for semiconductor chips and memory devices from 2017 onward due to the growing adoption of IoT, high demand for connected devices, and increased vehicle automation. Semiconductor device manufacturers are increasing their capital spending by expanding their production facilities or constructing new fabs. The majority of the investment for new facilities will be for the development of memory and logic ICs due to their high demand.

Further, the report states that high cost of equipment is challenge the market is facing. Semiconductor manufacturing equipment is expensive. The cost of constructing a semiconductor fab is between $3 and $4 billion, with equipment accounting for the majority of this cost. By 2020, a semiconductor fab will cost around $20 billion. This is because of the growing adoption of 3D packaging solutions like TSV, stacked packaging, flip chip packaging, and MEMS packaging, which require upgraded equipment. The price of equipment varies widely, depending on its function. For instance, the equipment used in front-end wafer fabrication are relatively more expensive than back-end testing and assembly equipment. This is due to the high level of sophistication of the operations they perform.

Companies Mentioned

Applied Materials, ASML, KLA-Tencor, Lam Research, Tokyo Electron, Dainippon Screen Manufacturing, Hitachi High-Technologies, Nikon, Hitachi Kokusai Electric

  • Executive summary
    • Highlights
  • Scope of the report
    • Market overview
    • Definition
    • Source year and forecast period
    • Product segmentation
    • End-user segmentation
    • Geographical segmentation
      • Table List of major countries considered
    • Common currency conversion rates
    • Top-vendor offerings
      • Table Product offerings
  • Market research methodology
    • Research methodology
    • Economic indicators
  • Introduction
    • Key market highlights
      • Table Semiconductor production equipment
  • Technology landscape
    • Technology landscape of wafer fab equipment
      • Table Semiconductor IC manufacturing process
      • Table Front-end chip formation steps
      • Table Back-end chip formation steps
    • Wafer-level manufacturing equipment categories
      • Table Wafer-level manufacturing equipment categories
      • Table Requirements of a manufacturing equipment
    • Key customers
  • Market landscape
    • Market overview
    • Market size and forecast
      • Table Global FEOL semiconductor equipment market 2015-2020 ($ billions)
    • Five forces analysis
      • Table Five forces analysis
  • Market segmentation by product
    • Market overview
    • Market size and forecast
      • Table Global FEOL semiconductor equipment market by product 2015-2020 (% share)
      • Table Global FEOL semiconductor equipment market by product 2015-2020 ($ billions)
  • Market segmentation by end-user
    • Market overview
    • Market size and forecast
      • Table Global FEOL semiconductor equipment market by end-user 2015-2020 (% share)
      • Table Global FEOL semiconductor equipment market by end-user 2015-2020 ($ billions)
    • Foundry
      • Table Global FEOL semiconductor equipment market by foundry segment 2015-2020 ($ billions)
    • Memory
      • Table Global FEOL semiconductor equipment market by memory segment 2015-2020 ($ billions)
    • IDM
      • Table Global FEOL semiconductor equipment market by IDM segment 2015-2020 ($ billions)
  • Geographical segmentation
    • Global FEOL semiconductor equipment market by geography
      • Market size and forecast
        • Table Global FEOL semiconductor equipment market by geography 2015-2020 (% share)
        • Table Global FEOL semiconductor equipment market by geography 2015-2020 ($ billions)
    • APAC
      • Table FEOL semiconductor equipment market in APAC 2015-2020 ($ billions)
      • Table Global wearables market 2015-2020 ($ billions)
    • Americas
      • Table FEOL semiconductor equipment market in Americas 2015-2020 ($ billions)
    • EMEA
      • Table FEOL semiconductor equipment market in EMEA 2015-2020 ($ billions)
  • Key leading countries
    • Taiwan
    • South Korea
    • Japan
  • Market drivers
    • Increase in number of fabs worldwide
      • Table Global NAND flash market 2015-2020 (% share)
    • Growth of advanced consumer electronics market
      • Table Consumer electronics market 2015-2020 (unit shipment in millions)
    • Miniaturization of electronic devices
      • Table Global MEMS market 2015-2020
    • Advent of 3D ICs
  • Impact of drivers
    • Table Impact of drivers
  • Market challenges
    • High cost of equipment
    • Long payback period
    • Fluctuations in the semiconductor industry
      • Table Global semiconductor market trend 1990-2015 ($ billions)
  • Impact of drivers and challenges
    • Table Impact of drivers and challenges
  • Market trends
    • Proliferation of automotive electronics
      • Table Cars shipment growth forecast 2015-2020 (% growth)
    • Growing number of connected devices through IoT and other emerging markets
      • Table IoT spending and device penetration 2014, 2015, and 2020
    • Increasing investment in memory capacity
      • Table CAGR of 3D NAND and DRAM 2015-2020
    • Shorter replacement cycle of smart devices
    • Adoption of FinFET architecture
  • Vendor landscape
    • Competitive scenario
      • Table Key vendors
      • Table ASML customers by end-user segment
    • Other prominent vendors
      • Table Other prominent vendors
  • Explore Technavio

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