Spin on Carbon Market Size & Share Analysis - Trends, Drivers, Competitive Landscape, and Forecasts (2024 - 2030)

Spin on Carbon Market Size

Spin on Carbon Market Trends & Drivers

EUV Lithography Is a Key Market Trend

• EUV lithography, or extreme-ultraviolet lithography, is a soft X-ray technology that has a wavelength of 13.5 nm, which is much shorter than that of traditional optical lithography.
• ASML is the key player that makes EUV lithography machines for producing these tiny chips.
• When it comes to EUV lithography, a spin-on carbon hardmask can be employed as part of the multi-layer lithography process to define the patterns on the semiconductor wafer.
• The purpose of the hardmask is to protect certain areas of the underlying layers while allowing the EUV light to expose the desired regions.
• After the lithography step, the hardmask is typically etched away, and the underlying layers are further processed to create the final semiconductor device.

Furthermore, market players, such as Intel Corporation, Advanced Micro Devices Inc., and Taiwan Semiconductor Manufacturing Company Limited, actively invest in this technology. For instance, n June 2022, Brewer Science developed a pattern transfer process using HTSOC with EUV lithography.

Increasing Chip Complexity and Miniaturization Drive the Market

• The growing pace of advancements in technology has led to a rise in the demand for smaller and more-portable tablets, laptops, smartphones, and other gadgets.
• Compact devices provide the convenience of on-the-go computing, enabling users to carry their technology wherever they go.
• As the demand for smaller and more-powerful chips continues to rise, semiconductor manufacturers are dealing with increasing complexities and consumers’ demand for miniaturization.
• SoC plays a vital role in addressing these challenges by providing high etch resistance, low defectivity, and effective gap filling for intricate chip designs.

Moreover, miniaturization requires lithography techniques with higher resolutions. EUV lithography, with its shorter wavelength, allows for the creation of smaller features. Spin-on carbon materials as hardmasks or as part of the lithography process help define and protect these features during the fabrication process.

Rising Demand for HPC and AI also Drives Market

The growing adoption of high-performance computing (HPC) and artificial intelligence (AI) applications necessitates semiconductor devices with enhanced processing power. SoC contributes to the production of high-performance chips by enabling precise and efficient lithography processes, which are crucial for achieving the desired chip performance.

Spin on Carbon Industry Outlook

Material Type Insights

Based on the material type, the hot-temperature category accounted for the larger market share, of 70%, in 2024.

• Hot-temperature spin-on-carbon (HTC) materials are specialized coatings designed to endure the high temperatures common in semiconductor manufacturing.
• They are essential in protecting semiconductor components and ensuring their performance under extreme thermal conditions.
• In semiconductor manufacturing, various processes involve elevated temperatures, such as chemical vapor deposition (CVD), physical vapor deposition (PVD), and annealing.
• HTC materials are engineered to withstand these environments, while providing many other desirable properties, such as chemical resistance and low outgassing.

In photolithography processes, materials with normal-temperature spin-on-carbon (NTC) are used as an underlayer. These materials are appropriate for environments that require carbon hard masks but not the high temperature resistance of HTC coatings. NTC formulations are made to function well at standard temperatures, typically up to 200 °C, which is sufficient for a lot of semiconductor process flows. HTC is the preferred solution in high-temperature operations for offering stability and integrity, while NTC is adequate for less-demanding processes, where it offers economic advantages and practicality for standard temperature ranges.

The following material types have been analyzed in the report:

• Normal-Temperature
• Hot-Temperature (Larger and Faster-Growing Category)

Application Insights

Based on application, the power devices category held the second-largest market share, of 20%, in 2024.

• This is mainly due to the growing demand for high-energy and power-efficient devices in the electronics industry.
• Moreover, it plays a crucial role in controlling and managing electrical power in various applications.
• MOSFETs and IGBTs, in particular, are key components in power electronics, converting and regulating electrical power efficiently.

The logic devices category also holds a significant market share. Logic devices comprise microprocessors and integrated circuits (ICs), and they are used in digital systems; therefore, these components rely on advanced semiconductor fabrication technologies. Hence, SoC materials are used in semiconductor manufacturing to enhance the performance and reliability of logic devices. Moreover, logic devices consist of multiple layers of semiconductor materials. SoC materials are used for planarization, which helps help create a smooth and even surface between layers, thus contributing to the reliability and performance of multilayer logic devices.

• Advanced wafer packaging techniques have gained widespread popularity in the past few years.
• With the increasing adoption of ICs in automobiles, the demand for advanced packaging has increased.
• Some key advanced packaging applications include fan-out wafer-level packaging (FOWLP), system-in-Package (SiP), and 3D Packaging.
• FOWLP has emerged as a promising technology to meet the ever-increasing demand for consumer electronic products.
• SOC materials are employed in the creation of the redistribution layers and other essential components of FOWLP structures.

The application segment has been categorized as follows:

• Memory Devices
• Power Devices (Second-Largest Category)
• MEMS
• Photonics
• Logic Devices
• Advanced Packaging

End User Insights

Based on end user, the foundries category dominated the market, with a share of 55%, in 2024.

• Semiconductor foundries, also referred to as fabrication plants, are factories where ICs and other semiconductor devices are manufactured.
• SoC materials are vital in the creation of ICs.
• The rising adoption of consumer electronics devices, such as earphones, laptops, earphones, wearables, and smartphones, is likely to boost the semiconductor foundry market.
• This is because semiconductor are the essential components of these consumer electronics; thus, their increasing production propels the demand for advanced SoC materials.

According to the Consumer Technology Association, the consumer electronics industry witnessed a 2.8% revenue increase from 2021, which has itself seen an impressive 9.6% growth over 2020. This is mainly driven by the rising demand for smartphones, automotive technologies, healthcare devices, and streaming services. For instance, in October 2023, Apple launched new MacBook Pro and iMac models.

The outsourced semiconductor assembly and test (OSAT) category also held a significant market share in 2024.

• OSAT is the practice of outsourcing the final stages of semiconductor manufacturing, including assembly, packaging, and testing, to specialized third-party companies.
• These companies provide services to semiconductor companies that design and fabricate chips but may not have the facilities or expertise to complete the entire manufacturing process.
• OSAT companies play a crucial role in the semiconductor supply chain by adding value to the semiconductor devices and preparing them for integration into electronic products.

The following are the end users covered in the report:

• Foundries (Largest and Fastest-Growing Category)
• Integrated Device Manufacturers (IDMs)
• Outsourced Semiconductor Assembly and Test (OSAT) Companies

North American Market Holds Largest Share

Geographically, North America held the largest share, of 45%, in 2024, and it is projected to grow at the highest CAGR. This is mainly due to the presence of many leading market players in this region, such as Brewer Science Inc., JSR Micro Inc., and Nano-C. In addition to this, the increasing use of semiconductors in automobiles drives the market. Further, according to an article, the U.S. has more than 25 OSAT companies.

Moreover, the rising number of government initiatives in the semiconductor industry is propelling the market growth in this region.

• For instance, in June 2020, the CHIPS Act was introduced, encouraging semiconductor manufacturers to announce many new projects in order to increase manufacturing capacity in the U.S. and expand the domestic semiconductor value chain.
• The Canadian government will spend around CAD 250 million on its domestic semiconductor industry to boost R&D and manufacturing.

APAC also held a significant market share in 2024. This is mainly due to the rising demand for consumer electronics that require high-grade semiconductors and economic growth. Moreover, the rising disposable income, rapidly growing population, and increasing urbanization rate create a massive demand for advanced consumer electronic devices.

• Under its 14th Five-Year Plan, Chin has set a goal to achieve self-sufficiency in all the segments of the semiconductor sector.
• Over the last few years, China has funded the construction of more than 52 fabs.
• Moreover, the Chinese government owns about 40% of its top 100 semiconductor companies.
• Similarly, the Indian government has announced that it would offer over USD 1 billion for each new fab set up locally and encourage other investments across the semiconductor value chain.

Essentially, the growing demand for smaller, faster, and more-power-efficient semiconductors is driving the adoption of advanced technologies, such as EUV and advanced packaging technologies. For instance, in December 2023, Imec and Mitsui Chemicals formed a strategic alliance to develop and market carbon-nanotube-based pellicles for EUV lithography. This partnership combines Imec’s technologies with Mitsui Chemicals' existing CNT pellicle solutions to meet extensive production demands. They plan to launch their advanced CNT pellicles, designed for high-power EUV systems, between 2025 and 2026.

Europe will witness significant growth in the market over this decade. This will be mainly due to the increasing adoption of advanced semiconductor production technologies and the rising demand for smartphones in major countries, such as the U.K., Germany, and France.

The regions and countries covered in the report are:

North America (Largest and Fastest-Growing Regional Market)

• U.S. (Larger and Faster-Growing Country Market)
• Canada

Europe

• Germany (Largest Country Market)
• U.K. (Fastest-Growing Country Market)
• France
• Italy
• Spain
• Rest of Europe

Asia-Pacific (APAC)

• China (Largest Country Market)
• India (Fastest-Growing Country Market)
• Japan
• South Korea
• Australia
• Rest of APAC

Latin America (LATAM)

• Brazil (Largest Country Market)
• Mexico (Fastest-Growing Country Market)
• Rest of LATAM

Middle East and Africa (MEA)

• Saudi Arabia (Largest Country Market)
• South Africa
• U.A.E. (Fastest-Growing Country Market)

Spin on Carbon Market Share

Market players have grown over the historical period via collaboration and geographical expansion. Moreover, these strategic alliances and product launches lead to a competitive edge.

Spin on Carbon Industry News

• In April 2023, Merck KGaA, in partnership with the Commonwealth of Pennsylvania, has declared plans to expand its semiconductor manufacturing facility in Hometown. This expansion is a key component of Merck's extensive growth strategy initiated in late 2021, which includes a commitment to invest over EUR 3 billion in increasing capacity and driving innovation by the year 2025.
• At the Advanced Packaging Summit 2023, Brewer Science Inc. presented their latest advancements in both permanent and temporary bonding materials tailored for advanced packaging uses. These innovations are designed to enhance bonding uniformity and adhesion for high-density substrates, provide stability under high temperatures, and improve surface modifications.
• A MoU was signed by the South Korean industry ministry with SK Hynix, Samsung Electronics, and other chip firms in August 2023, focusing on the joint development of advanced semiconductor packaging technologies.