Semiconductor Chemical Vapor Deposition Equipment Market Size & Share Analysis - Trends, Drivers, Competitive Landscape, and Forecasts (2024 - 2030)

Semiconductor Chemical Vapor Deposition Equipment Market Trends & Drivers

Market Driven by Growing Semiconductor Industry

The semiconductor industry is rising at a high pace, which is directly leading to the growth in the semiconductor CVD equipment market. The industry growth can be attributed to the rising consumption of electronic devices across the globe; the increasing demand for automotive electronics for navigation control, collision detection systems, and infotainment systems; and the surging need for industrial electronics, wireless communication systems, and data storage devices. In all these systems, semiconductors are widely used. Moreover, semiconductors are used in wearables and web-integrated healthcare and medical devices, which further contribute to the market growth.

Increasing Application of CVD Equipment Drives the Market

Chemical vapor deposition is widely used in the electronics industry to manufacture thin films of electronic materials such as conductors, semiconductors, and insulators. Also, the process and the equipment gaining traction, due to the increased production of high-performance, high-purity solid materials, which are majorly used in microelectronic devices.

Moreover, the rising consumer demand for metallic coatings to prolong the life of finished goods and for numerous surface-related characteristics such as electronic, optical, magnetic, and catalytic; and the shift in consumer preference toward durable, contemporary, and reliable electronic devices, have all contributed to the increase in the use of semiconductor CVD equipment.

Strict Regulation Regarding Usage of Cr(VI)

Hexavalent chromium Cr(VI), produced by an industrial process, is being used in electroplating. Chrome plating is highly toxic and is known to cause cancer, and targets respiratory systems, kidneys, liver, skin, and eyes. Therefore, regulations in developed countries have long been in place to make sure that anyone working in a setting where chrome products are manufactured is provided with protective clothing, breathing equipment, and ventilation. Also, the Cr(VI) has been registered on the list of hazardous substances under the Registration, Evaluation, Authorization, and Restrictions of Chemicals (REACH) directive since 2004.

In addition, in September 2017, stricter regulations were imposed on the usage of hexavalent chromium coatings in an attempt to ensure the health of both individuals and the environment. Similarly, in the U.S., to protect workers from Cr(VI) exposure, specific OSHA standards (1910.1026) are in place for general industry. Such standards or legislation regulations help the market to grow at a significant pace.

Semiconductor Chemical Vapor Deposition Equipment Market Analysis

Memory Manufacturer Application To Show Fastest Growth

The memory manufacturer category is expected to witness the fastest growth during the forecast period, advancing at a CAGR of over 6.0%, in the market. The rising consumption of data across the globe results in high demand for memory products. This leads to the expansion of the memory business, and also because of the increasing need for these products from the consumer electronics and data center sectors. Thus, these factors are responsible for the high market growth in this category.

Whereas, integrated device manufacturers accounted for the largest revenue share, of over 50%, in 2023, and the category is further expected to dominate the market during the forecast period, advancing at a significant CAGR. This is attributed to the increasing usage of thin-film deposition in the semiconductor industry to manufacture ICs or microchips. Furthermore, the growing sales of microelectronic and consumer electronic products are expected to drive the market share of this category.

Geographical Analysis

Globally, the Asia-Pacific semiconductor chemical vapor deposition equipment market accounted for the largest revenue share, of over 45%, in 2023, and it is expected to maintain its position in the coming years as well, advancing at a robust CAGR of 6.2%. The extensive manufacturing infrastructure for semiconductor-based electronic products; the rise in demand for nanotechnology-based materials such as silicon nanowire, carbon nanotube, and graphene to enable the production of battery materials used in electric vehicles; and the surge in need for consumer electronic goods, are the key factors flourishing the APAC market.

• China contributed the majority of revenue to the regional market in 2021 and is further expected to lead the market during the forecast period. This is because the country is one of the major producers of semiconductor-based chips in the world, which are widely employed in mobile phones, laptops, storage devices, and other electronic products.
• Countries, such as India, Indonesia, and Vietnam, are witnessing speedy economic growth, rapid urbanization, and fast development of the electronic products manufacturing ecosphere, which further contributes to the market growth in the region.

The European market for semiconductor chemical vapor deposition equipment will witness substantial growth during the forecast period, owing to the growing end-use industries such as electronics, telecom, and automotive, where semiconductors are widely used; and the presence of several local market players.

• Germany contributes the majority of revenue to the regional market, owing to the high R&D spending and the rising investments by several market players and the government to build production facilities to manufacture semiconductors.

Market Breakdown

This fully customizable report gives a detailed analysis of the semiconductor chemical vapor deposition equipment industry, based on all the relevant segments and geographies.

Based on End User

• Foundries
• Integrated Device Manufacturers
• Memory Manufacturers

Geographical Analysis

• North America
  • U.S.
  • Canada
• Europe
  • U.K.
  • Germany
  • France
  • Italy
  • Spain
• Asia-Pacific
  • China
  • Japan
  • Australia
  • India
  • South Korea
• Latin America
  • Brazil
  • Mexico
• Middle East & Africa
  • Saudi Arabia
  • South Africa

Top Semiconductor Chemical Vapor Deposition Equipment Companies

Semiconductor Chemical Vapor Deposition Equipment Market News

To maintain a strong market position and remain competitive, players have adopted several strategies, including facility expansion, collaborations, partnerships, acquisitions, and client wins. For instance:

• In June 2022, Applied Materials Inc. acquired a Finland-based semiconductor equipment firm Picosun Oy, to expand its product portfolio of atomic layer deposition (ALD) technology.
• In March 2022, CVD Equipment Corporation received a huge production order for plasma enhanced chemical vapor deposition (PECVD) systems worth roughly $1 billion. This PECVD200 system will be employed to manufacture discrete semiconductor devices on 200 mm wafers to assist 5G wireless technology.