Vapor Deposition Market To Generate Revenue worth $85.1 Billion by 2030

The global vapor deposition market is projected to generate USD 85.1 billion revenue by 2030, advancing at a CAGR of 9.9% during 2024–2030. The growth of the market is due to the rising adoption of such processes in the semiconductor and PV industries. Moreover, the growing demand for medical devices and LED screens propels the market.

Moreover, the growing automotive industry offers lucrative opportunities to this market. The vapor deposition process helps apply a Strongly adherent pure metal or alloy coating on vehicle parts with mechanical, optical, and electronic functionalities. Moreover, the increase in the pace of technological innovations in the associated products and growth of other end-use industries, including microelectronics and energy, bodes well for the market.

Furthermore, the rapidly growing need for the highly sophisticated surface properties, such as super-magnetism, optical clarity and transmission, catalysis, and electronic abilities, has contributed to the growth of the market, by propelling the application of advanced mono-structured coatings.

Further, the evolution in the medical device industry has a significantly positive impact on the market because vapor-deposited coatings provide resistance from corrosion as well as extreme surface hardness. Moreover, the process creates highly wear resistance and biocompatible, thin films on various types of medical devices, including orthopedic implants, pacemakers, stents, surgical instruments, medical pressure sensors, and dental instruments.

Electrical & Electronics Category Dominates Market

Based on end user, the electrical & electronics category dominates the market, accounting for a share of 30% in 2023, and it is also expected to experience a strong CAGR during the projection period. This is owing to the growing demand for electrical and electronics components in numerous industries. The accompanying surge in the production of microelectronics and semiconductors makes the category dominant.

Vapor deposition plays a very crucial role in the electrical and electronics industry, serving as a fundamental process for creating thin films of materials on semiconductor substrates. Moreover, this process allows for advanced semiconductor device fabrication by offering precise control over thickness, material composition, and other properties. In the semiconductor sector, one of the major applications of this process is in the production of integrated circuits (ICs).

Moreover, chemical vapor deposition permits the application of thin SiO2 and Si3N4 films as insulation, which is essential for keeping different IC components isolated. Similarly, physical vapor deposition (PVD) techniques, such as sputtering, help in the deposition of metals, such as copper and aluminum, to form an interconnect linking various elements of the circuit. The deposition of these materials plays a crucial role in ensuring the functionality and performance of the final IC.

Moreover, these processes enable the production of faster, smaller, and more energy-efficient electronic devices. Hence, as the demand for advanced technologies continues to grow across industries, ranging from automobiles to wearable medical devices, so will the importance of such vapor deposition processes.

North America To Register Fastest Growth

North America is expected to register the fastest growth over the forecast period, attributed to the rapid industrialization in the region. Moreover, governments in both the U.S. and Canada are taking initiatives to increase the production of semiconductors in the region.

The MEA and LATAM markets are projected to witness significant growth during the forecast period, partly due to the surge in automotive production in the regions. Moreover, the growing disposable income, economic development, and government efforts to boost local industry offer opportunities for the growth of the vapor deposition markets in both these developing regions. For instance, in September 2021, the Mexican government announced plans to boost semiconductor manufacturing in the country by setting up a new production facility in the southern states. Moreover, the neighboring countries share supply chains, especially for semiconductors, which also drives the market.

Some of the major players are IHI Group, Applied Materials Inc., ADEKA CORPORATION, Plasma-Therm LLC, Aixtron SE, Tokyo Electron Limited, Kurt J. Lesker Company GmbH, and Veeco Instruments Inc.