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TAP TIMES      -8-                                         APRIL 2022


         Fab equipment spending moving                          represent a staggering growth of 248%.

          toward $107B record this year                         While comparatively smaller, this would
                                                                represent a staggering growth of 248%
        MILPITAS, Calif. — Global fab equip-                    YoY.
        ment spending for front-end facilities
        is expected to jump 18% year-over-                      Taiwan, Korea and SE Asia
        year to an all-time high of $107 billion                Taiwan, Korea and Southeast Asia are also
        in 2022. This will mark a third consec-                 expected to register record high invest-
        utive year of growth following a 42%                    ments in 2022. In the Americas, the report
        surge in 2021,                                          shows fab equipment spending peaking at
                                                                $9.8 billion by 2023.
        Historic milestone
        “Crossing the $100 billion mark in spend-               The SEMI World Fab Forecast report shows
        ing on global fab equipment for the first               the global industry increasing capacity 8%
        time is a historic  milestone for the semi-             this year after a 7% rise in 2021. Capacity
        conductor industry,” said Ajit Manocha,                 growth is expected to continue increasing,
        president and CEO of SEMI.                              rising 6% in 2023.


        “This  significant achievement is a tribute             The fab equipment industry last saw a YoY
        to the relentless drive to add and upgrade              growth rate of 8% in 2010, when it topped
        capacity to address a diverse range of                  16 million wafers per month (200mm
        markets and emerging applications, solidi-              equivalents) — nearly half of the 29 million
        fying expectations for long-term industry               wafers per month (200mm equivalents)
        growth to enable electronics for the digital            projected for 2023.
        world.”
                                                                Capacity increases
        “Global fab equipment spending is fore-                 Over 83% of equipment spending in 2022
        cast to have another healthy year in 2023               will stem from capacity increases at 150
        and is expected to remain above the $100                fabs and production lines, a proportion ex-
        billion mark,” said Sanjay Malhotra, vice               pected to edge down to 81% next year as
        president of corporate marketing and the                122 known fabs and lines add capacity.
        Market Intelligence Team at SEMI.
                                                                As expected, the foundry sector, with a
        Steady growth                                           share of about 50%, will account for the
        “We expect global semiconductor capacity                bulk of equipment spending in 2022 and
        to maintain steady growth this year and in              2023, followed by memory at 35%. The
        2023.”                                                  two sectors also represent most of the ca-
                                                                pacity increases.

        Taiwan is expected to lead fab equipment
        spending in 2022, increasing investments                The SEMI World Fab Forecast report lists
        56% YoY to $35 billion, followed by Ko-                 1,426 facilities and lines globally, including
        rea at $26 billion, a 9% rise, and China at             124 future facilities and lines with various
        $17.5 billion, a 30% drop from its peak                 probabilities that are expected to start vol-
        last year.                                              ume production no sooner than 2022.
                                                                                                        semi.org
        Europe/Mideast is forecast to log record
        high spending of $9.6 billion this year, and               Reach more markets with TAP TIMES!
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