Semiconductor capital equipment spending is projected to increase by double digit percentages in both 2014 and 2015, according to the fab tool vendor trade group SEMI.
Equipment spending is projected to grow by nearly 21 percent this year to $38.4 billion, followed by additional growth of nearly 11 percent in 2015 to reach $42.6 billion, according to SEMI’s latest capital equipment spending forecast. The forecast was released Monday (July 7) on the eve of the annual Semicon West tradeshow in San Francisco.
According to San Jose, Calif.-based SEMI, the projected growth will be driven by investments in sub 20nm process technology by foundry and logic fabs, as well as NAND flash technology and capacity upgrades and technology investments by DRAM makers for mobile applications. Advanced packaging upgrades will also help drive the projected increases, SEMI said.
"Mobility and interconnectivity require leading-edge process technologies, both at the fab level and in packaging, and are key factors for growth in equipment spending, said Denny McGuirk, president and CEO of SEMI, in a statement. “We expect capital spending to increase throughout the remainder of 2014 and into 2015.”
Semiconductor capital equipment spending declined in both 2012 and 2013.
Also Monday, SEMI announced the results of its annual board of directors elections. New directors elected included Lam Research Corp. President and CEO Martin Anstice, SPTS Technologies President and Chief Operating Officer (COO) Kevin Crofton, ASE Group COO Tien Wu and Sevenstar Electronics Executive Vice President Guoming Zhang, SEMI said. Six directors were also re-elected for another two-year term, SEMI said.
SEMI’s executive confirmed that by André-Jacques Auberton-Hervé, chairman, CEO and president of Soitec, will continue as SEMI chairman and Yong Han Lee, chairman of Wonik, will continue as SEMI vice-chairman, the trade group said.
SEMI also announced that James C. Morgan, chairman emeritus of Applied Materials Inc., has committed to match up to $500,000 in donations to the SEMI Foundation, an organization that supports STEM education and promotes career awareness in the areas of semiconductor and high-tech manufacturing and technology.
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