Semi Equipment Sales to Fall 20% to $34bn in 2008

Industry Association Semiconductor Equipment and Materials International (SEMI) said 2008 equipment manufacturing semiconductor sales will fall about 20% this year to $ 34.12 billion.While follows this down 6% market growth in 2007, SEMI believes that the semiconductor manufacturing equipment industry will experience a rebound with an annual growth of 13% in 2009 and 6% in 2010. "We started to see a decline in capital expenditures during the second half of 2007, fuelled by lower spending and less memory of a favourable price. However, expectations for 2009 are tending towards a solid industry recovery and growth in the low double digits, "Myers said in a statement.Wafer processing equipment, which is the largest product segment by dollar value , Is expected to contract by 21% this year to $ 25.4 billion, While the market for assembly and packaging equipment will decrease by 14% to $ 2.44 billion. At the same time, SEMI expects the market for semiconductor test equipment to cut by 20% to $ 4.04 billion this year.On a geographical basis, SEMI said growth should be negative in all regions, except China, where sales of equipment are expected to increase by 1% compared to 2007, with the new equipment market in China expected to surpass Europe and rest of world markets this year.Meanwhile SEMI predicts the Japanese market will grab the No. 1 spot from Taiwan, thanks to significant reductions in capital spending in Taiwan this year, with Taiwan should return to the No. 2 spot, followed by South Korea at number 3 .
Source: http://www.articlesbase.com/prepress-articles/semi-equipment-sales-to-fall-20-to-34bn-in-2008-487259.html