Equipment Spending At 2005 Levels

Worldwide sales of semiconductor manufacturing equipment totaled $31.6 billion in 2013, representing a year-over-year decrease of 14% and spending on par with 2005 levels, says SEMI.

Wafer Processing equipment contracted 11%, while Assembly and Packaging and Test equipment contracted 26 and 24% respectively. The Other Front-end segment (Other Front End includes Wafer Manufacturing, Mask/Reticle, and Fab Facilities equipment) contracted 34%.

TSMC continued with its aggressive investments in 2013, resulting in the Taiwan market increasing 11% to maintain the top spot ($10.6 billion) in equipment spending.

The only other region to experience year-over-year growth was China spurred by investments by Hynix, Samsung, and SMIC, with an increase of 30%.

North America overtook Korea to claim the second spot, device makers reduced their spending in Korea last year. Japan remained in the fourth top spot, just above China, with $3.4 billion in equipment sales.

Equipment sales to Europe decreased 25% in 2013. Investments in the Rest of World region remained relatively flat when compared to 2012.

Rest of World region aggregates Singapore, Malaysia, Philippines, other areas of Southeast Asia and smaller global markets.

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  1. david manners
    April 04, 2014 06:52

    In normal circumstances Yes, DontAgree, but these days I think the central bankers will keep pumping out their funny money until they know the world economy is out of the woods.

  2. DontAgree
    April 04, 2014 05:13

    Lead indicator for a world wide economic down turn???

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