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Global Semiconductor Packaging Equipment Market 2016-2020

Global Semiconductor Packaging Equipment Market 2016-2020

About Semiconductor Packaging

Semiconductor packaging is carried out to provide extra protection to wafers or substrates. The package casing is made up of materials such as metal, plastic, glass, or ceramic and contains one or more semiconductor electronic components.

Semiconductor packaging offers the following benefits to wafers:

  • Prevents corrosion
  • Offers protection in case of impact
  • Dissipates heat produced in the device
  • Secures the contact leads or pins used to plug in the device to its external circuits
Technavio’s analysts forecast the global semiconductor packaging equipment market to grow at a CAGR of 8.04% during the period 2016-2020.

Covered in this report

The report covers the present scenario and the growth prospects of the global semiconductor packaging equipment market for 2016-2020. To calculate the market size, the report considers the sale of semiconductor packaging equipment to the end-users — OSATs and IDMs.

The market is divided into the following segments based on geography:
  • APAC
  • Europe
  • North America
Technavio's report, Global Semiconductor Packaging 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
  • ASM Pacific Technology
  • Kulicke and Soffa Industries
  • Tokyo Electron Limited
  • Tokyo Seimitsu
Other prominent vendors
  • ChipMos
  • Greatek
  • Hua Hong
  • Jiangsu Changjiang Electronics Technology
  • Lingsen Precision
  • Nepes
  • Tianshui Huatian
  • Unisem
  • Ultratech
Market driver
  • High demand for polymer adhesive wafer bonding equipment
  • For a full, detailed list, view our report
Market challenge
  • Fluctuation of foreign exchange rates
  • For a full, detailed list, view our report
Market trend
  • Growing number of mergers and acquisitions
  • 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 Semiconductor Packaging Equipment Market 2016-2020



Technavio recognizes the following companies as the key players in the global semiconductor packaging equipment market: Applied Materials, ASM Pacific Technology, Kulicke and Soffa Industries, Tokyo Electron Limited, and Tokyo Seimitsu.

Other Prominent Vendors in the market are: ChipMos, Greatek, Hua Hong, Jiangsu Changjiang Electronics Technology, Lingsen Precision, Nepes, Tianshui Huatian¸ Unisem, and Ultratech.

Commenting on the report, an analyst from Technavio’s team said: “One of the key trends for market growth will be growing number of mergers and acquisitions. The number of mergers and acquisitions is growing in the global semiconductor packaging and assembly equipment market. The existing vendors are focusing on M&A to increase their market share. For instance, in 2015, ASE agreed to buy a 24.99% stake in SPIL, a provider of advanced packaging solutions, for more than $919 million. Earlier in 2015, SPIL and Hon Hai Precision Industry announced a stock swap to strengthen their product offerings in SiP technology. New entrants in the market also prefer M&A in order to enter in the already highly competitive market.”

According to the report, growing number of fabs will be a key driver for market growth. The rising demand for semiconductor chips and memory devices from electronics end-user devices, sensor systems, IoT-connected devices, and medical devices is propelling the semiconductor industry on the high growth trajectory. However, the industry will slow down in 2016 mainly due to its cyclical nature, slow growth of the Chinese economy, falling ASPs of smartphones, and declining tablet and PC segments. The market is expected to gain ground in 2017 due to the evolution of the IoT, high demand for connected devices, and automation in automobiles. In order to meet this growing demand, semiconductor device manufacturers are increasing their capital spending by expanding their production facilities or constructing new fabs. The majority of the investment in new facilities will be toward the development of memory and logic ICs due to their high demand pattern.

Further, the report states that high investment market will be a challenge for the market. The increase in demand for compact ICs and the emergence of new 3D packaging solutions like TSV, stacked packaging, flip chip packaging, and MEMS packaging have led to a change in the manufacturing process of semiconductor ICs. Manufacturers are required to invest heavily in manufacturing equipment to produce compact ICs. Further, the manufacturing process is complex, requires more time, and has a high probability of defects, thereby increasing the cost of manufacturing. The rapid technological change in the semiconductor industry compels vendors to upgrade and maintain their equipment, which increases the cost of ownership of the equipment. Therefore, companies are going fabless, which is reducing the number of potential customers for semiconductor packaging equipment vendors.

Companies Mentioned

Applied Materials, ASM Pacific Technology, Kulicke and Soffa Industries, Tokyo Electron Limited, Tokyo Seimitsu, ChipMos, Greatek, Hua Hong, Jiangsu Changjiang Electronics Technology, Lingsen Precision, Nepes, Tianshui Huatian¸ Unisem, Ultratech.

  • Executive summary
    • Highlights
  • Scope of the report
    • Definition
    • Source year and forecast period
    • Market reportage
    • Market size computation
    • Market segmentation
      • Table Segmentation of global semiconductor packaging equipment market
    • Geographical coverage
      • Table List of countries in key regions
    • Vendor segmentation
      • Table Market vendors
    • Common currency conversion rates
      • Table Currency conversions
    • Top-vendor offerings
      • Table Product offerings
  • Market research methodology
    • Research methodology
    • Economic indicators
  • Introduction
    • Key market highlights
  • Technology landscape
    • Table Steps involved in back-end chip formation
    • Wafer-level versus die-level packaging and assembly
    • Roadmap of semiconductor packaging industry
      • Table 2.5D IC block diagram
      • Table 3D IC block diagram
    • Ecosystem of semiconductor IC packaging industry
      • Table Supply chain in traditional semiconductor IC packaging industry
      • Table Supply chain in new semiconductor IC packaging industry
  • Market landscape
    • Customer perspective
    • Market size and forecast
      • Table Global semiconductor packaging equipment market 2015-2020 ($ billions)
    • Five forces analysis
      • Table Five forces analysis
  • Market segmentation by type
    • Types of packaging equipment
      • Table Global semiconductor packaging equipment market by type 2015 (% share)
      • Table Global semiconductor packaging equipment market by type 2020 (% share)
    • Die-level packaging equipment
      • Table Global semiconductor packaging equipment market by die-level packaging equipment 2015-2020 ($ millions)
    • Wafer-level packaging equipment
      • Table Global semiconductor packaging equipment market by wafer-level packaging equipment 2015-2020 ($ millions)
  • Market segmentation by end-user
    • Global semiconductor packaging equipment market by end-user
      • Table Global semiconductor packaging equipment market by end-user 2015 (% share)
      • Table Global semiconductor packaging equipment market by end-user 2020 (% share)
    • OSATs
      • Table Global semiconductor packaging equipment market by OSAT 2015-2020 ($ millions)
    • IDMs
      • Table Global semiconductor packaging equipment market by IDM 2015-2020 ($ millions)
  • Geographical segmentation
    • Global semiconductor packaging equipment market by region
      • Table Global semiconductor packaging equipment market by region 2015 (% share)
      • Table Global semiconductor packaging equipment market by region 2020 (% share)
    • APAC
      • Table Semiconductor packaging equipment market in APAC 2015-2020 ($ millions)
    • North America
      • Table Semiconductor packaging equipment market in North America 2015-2020 ($ millions)
    • Europe
      • Table Semiconductor packaging equipment market in Europe 2015-2020 ($ millions)
  • Market drivers
    • Growing number of fabs
      • Table Global semiconductor packaging equipment market 2015-2020 (% share)
    • High demand for polymer adhesive wafer bonding equipment
    • Complex semiconductor IC designs
    • Explosive growth of wireless computing devices along with advent of IoT
    • Growing demand for compact electronic devices
    • High need for SoC technology
      • Table CAGR of LED chip and sensor market 2015-2020
  • Impact of drivers
    • Table Impact of drivers
  • Market challenges
    • High inventory levels in supply chain
      • Table Global semiconductor market trend 1992-2015 ($ billions)
    • Dependency on few key suppliers
    • Fluctuation of foreign exchange rates
    • High investment market
  • Impact of drivers and challenges
    • Table Impact of drivers and challenges
  • Market trends
    • Development of 3D chip packaging
    • Increase in number of OSAT vendors
    • Growing number of mergers and acquisitions
    • FOWLP technology
    • High need for semiconductor memory devices
      • Table CAGR of 3D NAND and DRAM 2015-2020
    • Growing acceptance of wearable devices
    • Automation in automobiles
      • Table Cars shipment growth forecast 2015-2020 (% growth)
  • Vendor landscape
    • Competitive scenario
    • Key vendors
      • Table Applied Materials: Segment-wise revenue contribution 2015 (% share)
      • Table Applied Materials: Segment-wise revenue break-up 2015 ($ billions)
      • Table Applied Materials: Silicon system segment performance 2014-2015 ($ billions)
      • Table Applied Materials: R&D expenses 2011-2015 ($ billions)
      • Table TEL: Sector performance by revenue 2012-2015
      • Table Tokyo Seimitsu: Business segmentation by revenue 2013-2015 ($ millions)
    • Other prominent vendors
      • Table Other vendors in global semiconductor packaging equipment market
  • Appendix
    • List of abbreviations
  • Explore Technavio

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