Semiconductor Assembly and Packaging Equipment Global Market Opportunities and Strategies to 2032

This report describes and explains the semiconductor assembly and packaging equipment market and covers 2017-2022, termed the historic period, and 2022-2027 termed the forecast period, along with further forecasts for the period 2027-2032. The report evaluates the market across each region and for the major economies within each region.

The global semiconductor assembly and packaging equipment market reached a value of nearly $10,399.4 million in 2022, having grown at a compound annual growth rate (CAGR) of 8.7% since 2017. The market is expected to grow from $10,399.4 million in 2022 to $18,508.8 million in 2027 at a rate of 12.2%. The market is then expected to grow at a CAGR of 12.1% from 2027 and reach $32,709.2 million in 2032.

Growth in the historic period resulted from strong economic growth in emerging markets, an increasing demand for semiconductor equipment, an increasing demand for consumer electronics and a rise in disposable income. The market was restrained by the coronavirus pandemic and trade conflicts between major countries.

Going forward, government initiatives to propel the semiconductor industry, an increasing demand for electric vehicles, an increasing demand from the medical industry, rising urbanization and an increasing demand for portable electronic devices will drive market growth. Factors that could hinder the growth of the semiconductor assembly and packaging equipment market in the future include fluctuating price of raw materials, slow economic progress in some countries and restrictions on export of semiconductors equipment.

The semiconductor assembly and packaging equipment market is segmented by type into plating equipment, inspection and dicing equipment, wire bonding equipment, die-bonding equipment, and other types. The inspection and dicing equipment market was the largest segment of the semiconductor assembly and packaging equipment market segmented by type, accounting for 37.3% of the total in 2022. Going forward, the die-bonding equipment segment is expected to be the fastest growing segment in the semiconductor assembly and packaging equipment market segmented by type, at a CAGR of 12.8% during 2022-2027.

The semiconductor assembly and packaging equipment market is segmented by application into consumer electronics, healthcare devices, automotive, enterprise storage, and other applications. The consumer electronics market was the largest segment of the semiconductor assembly and packaging equipment market segmented by application, accounting for 48.1% of the total in 2022. Going forward, the other applications segment is expected to be the fastest growing segment in the semiconductor assembly and packaging equipment market segmented by application, at a CAGR of 13.3% during 2022-2027.

The semiconductor assembly and packaging equipment market is segmented by end-user into OSATs (outsourced semiconductor assembly and test) and IDMs (integrated device manufacturers). The OSATs market was the largest segment of the semiconductor assembly and packaging equipment market segmented by end-user, accounting for 75.6% of the total in 2022. Going forward, the OSATs segment is expected to be the fastest growing segment in the semiconductor assembly and packaging equipment market segmented by end-user, at a CAGR of 12.3% during 2022-2027.

Asia Pacific was the largest region in the semiconductor assembly and packaging equipment market, accounting for 55.4% of the total in 2022. It was followed by North America, Western Europe and then the other regions. Going forward, the fastest-growing regions in the semiconductor assembly and packaging equipment market will be Asia Pacific and North America, where growth will be at CAGRs of 13.6% and 11.8% respectively. These will be followed by Western Europe and South America, where the markets are expected to grow at CAGRs of 10.4% and 8.6% respectively.

The global semiconductor assembly and packaging equipment market is consolidated with small number of large players dominating the market. The top ten competitors in the market made up to 61.01% of the total market in 2021. Tokyo Electron Ltd was the largest competitor with 14.51% share of the market, followed by Applied Materials, Inc. with 12.46%, Kulicke and Soffa Industries, Inc. with 9.27%, ASML Holding N.V with 7.76%, BE Semiconductor Industries N.V with 5.03%, Tokyo Seimitsu with 3.31%, Amkor Technology with 3.05%, ASM Pacific Technology with 2.44%, Screen Holdings Co. Ltd with 1.70% and KLA-Tencor with 1.47%.

The top opportunities in the semiconductor assembly and packaging equipment market segmented by type will arise in the inspection and dicing equipment segment, which will gain $2,956.3 million of global annual sales by 2027. The top opportunities in the semiconductor assembly and packaging equipment market segmented by application will arise in the consumer electronics segment, which will gain $3,680.4 million of global annual sales by 2027. The top opportunities in the semiconductor assembly and packaging equipment market segmented by end-user will arise in the OSATs segment, which will gain $6,163.4 million of global annual sales by 2027. The semiconductor assembly and packaging equipment market size will gain the most in China at $1,910.5 million.

Market-trend-based strategies for the semiconductor assembly and packaging equipment include focus on the launch of new semiconductor inspection machines using big data and AI (artificial intelligence), focus on innovating new products such as the introduction of a new automatic flip-chip bonder, focus on introducing compound semiconductor equipment to strengthen the wet process product line, focus on increasing investment and focus on undergoing partnerships to develop new products.

Player-adopted strategies in the semiconductor assembly and packaging equipment market include strengthening business operations through the launch of new products, enhancing data-enabled equipment offerings through strategic partnerships and enhancing business operations through collaborations and partnerships.

To take advantage of the opportunities, the publisher recommends the semiconductor assembly and packaging equipment companies to focus on introduction of big data and AI technology in semiconductor equipment, focus on compound semiconductor equipment, focus on product innovations, expand in emerging markets, continue to focus on developed markets, focus on strategic partnerships, provide competitively priced offerings, continue to use B2B promotions, participate in trade shows and events, continue to target fast-growing applications.