Global semiconductor fab equipment spending is forecast to recover this year, growing 3 percent from a year earlier to US$57.8 billion (US$1.93 billion), SEMI said yesterday.
Last year, fab equipment spending slumped 7 percent to US$56 billion, it said.
Spending is forecast to plummet 18 percent year-on-year in the first half due to the COVID-19 outbreak, before rebounding in the second half and hitting a new record next year, the trade group said.
“The COVID-19 outbreak has eroded fab equipment spending in China in 2020, prompting downward revisions to the World Fab Forecast report published in November 2019,” SEMI said in a statement.
Despite continuing headwinds from the virus, Chinese equipment spending should grow about 5 percent to more than US$12 billion this year, the organization said.
Next year, spending from China would surge 22 percent annually to US$15 billion, driven by investments by Samsung Electronics Co, SK Hynix Inc, Semiconductor Manufacturing International Corp (中芯) and Yangtze Memory Technologies (長江存儲), it forecast.
Taiwan is expected to be the biggest spender this year, estimated at US$14 billion, mainly due to investments by Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) and Micron Technology Inc.
However, Taiwan would see its ranking slide to third place next year, with fab equipment spending forecast to drop 5 percent to US$13 billion, it said.
South Korea should see growth of 31 percent to US$13 billion this year, making it the second-largest fab equipment spender, SEMI said.
Samsung and SK Hynix would be the biggest contributors to the expansion, SEMI said.
South Korea is expected to surpass Taiwan and become the top spender next year, with fab equipment spending climbing 26 percent year-on-year, it said.
Southeast Asia, mainly Singapore, is expected to register a robust growth of 33 percent year-on-year to US$2.2 billion this year, it said.
The region is expected to grow 26 percent next year, SEMI said.
FIVE NEW FABS: An acquisition of Siltronic would boost GlobalWafers’ market share from 17 to 30 percent, easily surpassing Japanese rival Sumco’s 25 percent GlobalWafers Inc (環球晶圓) yesterday said it is in final talks to acquire Germany-based Siltronic AG in a 3.75 billion euro (US$4.5 billion) deal, which might help it compete with its closest rival Sumco Corp of Japan. The acquisition would be the fifth for GlobalWafers since 2008, as it has grown to become the world’s No. 3 supplier of silicon wafers through such deals. GlobalWafers, which has a 17 percent market share, would see its market position greatly elevated to 30 percent when combined with Siltronic’s 13 percent, according to a presentation Siltronic gave to its investors at a quarterly conference in August. Sumco
With the speed cryptocurrency is emerging as the millennial generation’s alternative asset of choice in India, it is hard to imagine that just two years ago a couple of blockchain pioneers were briefly in police custody. Sathvik Vishwanath and Harish BV, cofounders of a then five-year-old start-up, were arrested in late 2018. No, they had not pulled off a shady initial coin offering. Their “crime” was that they put up a kiosk in a mall in Bangalore where customers could swap bitcoin, ether or ripple for cash or vice versa. That was the whole point of unocoin, their crypto token exchange.
CONCERNS: The bank would act if it noticed currency speculation, the governor said, but he did not comment on a likely trajectory of the NT dollar against the greenback The central bank would intervene in the market whenever necessary to help stabilize the New Taiwan dollar, central bank Governor Yang Chin-long (楊金龍) said yesterday, adding that it is concerned Taiwan might be placed on the US watchlist for currency manipulation. The Control Yuan recently sent letter inquiring about the central bank’s market regulation efforts, Yang told a meeting of the legislature’s Finance Committee on the NT dollar’s appreciation and property price hikes. “It is the central bank’s top responsibility to stabilize foreign exchanges,” he said. The central bank has often stepped in toward the end of trading sessions to moderate the NT
Qualcomm Inc expects global shipments of 5G smartphones to more than double to between 450 million and 550 million units next year from this year, driven by increasing 5G network deployment worldwide and broader adoption of 5G technology beyond smartphones, a company executive told a virtual news conference yesterday. The San Diego-based company said that more than five times more telecoms have commercially launched 5G services in the first 18 months of the 5G era, compared with wireless technology transitions to previous generations. The momentum is to pick up speed in 2022, with the shipment volume of 5G-ready smartphones projected to reach