Global Semiconductor Metrology and Inspection Equipment Market Grows at a Staggering CAGR of 10.5%

Introduction

Instruments used in semiconductor metrology include ion mills, C-V systems, interferometers, source measure units (SME) magnetometers, optical and imaging systems, profilometers, reflectometers, resistance probes, resistance high-energy electron diffraction (RHEED) plans, X-ray diffractometers. A company can improve yield and quality by merely sampling a small percentage of the daily thousands of wafers handled through statistical process control. As a result, metrology/inspection systems' revenue growth is less rapid than other equipment. Numerous companies are launching new items in the semiconductor metrology/inspection equipment market that show development and innovation.

Market Dynamics

Rising Demand for Low-Cost and High-Performance Semiconductors Drives the Global Market

The demand for high-performance, reasonably priced semiconductor materials is driven by smartphones, other consumer electronics, automotive, and other applications. These industries have been motivated by technological breakthroughs, including wireless technologies (5G), artificial intelligence, etc. The trend toward increasing Internet of Things (IoT) devices to generate intelligent products is also expected to compel the semiconductor industry to invest in this equipment. The market for metrology equipment is projected to expand in response to the growing demand for electronic goods. Technology improvements have made it possible for manufacturing lines to use next-generation, incredibly precise equipment. These have active process control systems aiding the market's steady growth. Market participants are continually improving the equipment's performance in terms of metrology.

Rising Demand for Semiconductor Wafers in Consumer Electronics Creates Tremendous Opportunities

People are increasingly turning to connected and intelligent devices throughout the world. More sensors can be packed into the same volume as older, bulkier electronics, and they can even do some basic computation. Additionally, metrology is necessary for developing semiconductors and maintaining low error rates, extending the device's lifespan. Advances in metrology have allowed companies to produce enormous amounts of semiconductors by lowering mistake rates. Sales of silicon wafers for semiconductor applications are expected to surpass 17,600 million square inches by 2025, up from 11,810 million square inches in 2019. This prediction comes from Semiconductor Equipment and Materials International (SEMI). These factors are anticipated to create tremendous opportunities during the forecast period.

Regional Analysis 

Asia-Pacific is the most significant shareholder in the global semiconductor metrology and inspection equipment market and is expected to grow at a CAGR of 5.20 % during the forecast period. Asia-Pacific is one of the critical regions for the semiconductor industry in terms of production and consumption. The Asia-Pacific semiconductor market, which according to SIA, is the largest regional semiconductor market, is dominated by China. The semiconductor metrology/inspection equipment market is experiencing several local enterprises working together and entering into partnership arrangements. For instance, in July 2021, a legally binding five-year Memorandum of Understanding was created between Shenzhen JT Automation Equipment, a Chinese tool manufacturer for semiconductor manufacturing, and HiSilicon Technologies, the leading chip developer in China.

North America is expected to grow at a CAGR of 4.95%, generating USD 1,194.36illion during the forecast period. American and Canadian companies continue to lead the world in developing cutting-edge wireless networks like 5G, quantum computing, and artificial intelligence (AI). The American semiconductor industry has continued to dominate the global market and maintain relatively high R&D and capital spending despite 2019's negative year-over-year sales growth. In North American countries, investments in the semiconductor industry are soaring. This investment includes a large portion of the equipment that supports modern fabs operating all over the US. The semiconductor sector has fab capacity in the United States, equivalent to 18 states, which benefits employment and exports.

Europe has one of the negligible market shares because there are not many semiconductor manufacturing companies in the region. Investments in the automotive, renewable energy, aerospace, and military sectors are anticipated to substantially impact the region's semiconductor demand throughout the projection period. Due to the rising need for consumer electronic gadgets, it is anticipated that the market for semiconductor equipment will increase year over year in the region. Some semiconductor companies were better able to invest in expansion thanks to the vertical integration and consolidation activities in the European fabrication industry. It is predicted that these significant industry shifts will increase demand for new semiconductor manufacturing and processing facilities, increasing the demand for semiconductor metrology and inspection instruments.

Key Highlights

• The global semiconductor metrology and inspection equipment market was valued at USD 4,491.30 million in 2021. It is projected to reach USD 7,027.43 million by 2030, growing at a CAGR of 5.10% during the forecast period (2022-2030).
• Based on type, the global semiconductor metrology and inspection equipment market is bifurcated into lithography metrology overlay, dimension equipment, mask inspection/metrology) wafer inspection, thin film metrology, and other process control systems. The lithography metrology segment is the highest contributor to the market and is expected to grow at a CAGR of 4.90% during the forecast period.
• Asia-Pacific is the most significant shareholder in the global semiconductor metrology and inspection equipment market and is expected to grow at a CAGR of 5.20 % during the forecast period.

Competitive Players

Competitive Players

The global semiconductor metrology and inspection equipment market’s major key players are KLA Corporation, Applied Materials Inc., Onto Innovation Inc. (Rudolph Technologies Inc.), Thermo Fisher Scientific Inc., Hitachi Hi-Technologies Corporation, Nova Measuring Instruments Ltd, ASML Holding NV., Lasertec Corporation, JEOL Ltd, Nikon Metrology NV, and Camtek Limited.

Recent Developments

Market News

• In June 2021, China's top chip developer, Huawei's HiSilicon Technologies subsidiary, and Shenzhen JT Automation Equipment, a manufacturer of chip fabrication tools, announced a legally binding five-year memorandum of agreement. Both businesses want to increase their collaboration on developing semiconductor packaging tools and establish a self-sufficient, regulated sector.
• In March 2021, For Markham's VentureLab to upgrade its Hardware Catalyst Initiative Lab with virtual access and increased testing capabilities, the Canadian government approved an additional FedDev Ontario financing of USD 4.7 million. Due to the COVID-19 period, virtualizing equipment is becoming increasingly important. As a result, VentureLab may purchase cutting-edge computer infrastructure for the lab with the support of this new financing.

Segmentation

Global Semiconductor Metrology and Inspection Equipment Market: Segmentation

By Type

• Lithography Metrology
• Wafer Inspection
• Thin Film Metrology
• Other Process Control Systems

By Regions

• North America
• Europe
• Asia-Pacific
• LAMEA