CHICAGO, Sept. 2, 2021 /PRNewswire/ -- According to a research report "Semiconductor Bonding Market by Type (Die Bonder, Wafer Bonder, and Flip Chip Bonder), Application (RF Devices, MEMS and Sensors, LED, 3D NAND and CMOS Image Sensors), Process Type, Technology and Region - Global Forecast to 2026", published by MarketsandMarkets™, the global Semiconductor Bonding Market size is projected to grow from USD 887 million in 2021 to USD 1,059 million by 2026; it is expected to grow at a CAGR of 3.6% from 2021 to 2026.
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Notable R&D investments and technological advances have increased the demand for reliable and high-performance miniaturized electronic components, such as microelectromechanical systems (MEMS) and microoptoelectromechanical systems (MOEMS), from high-growth and high-value industries, including aerospace, military, automotive, consumer electronics, and medical. Die bonder equipment are extensively being used for the assembly and packaging of MEMS and MOEMS devices. MEMS and MOEMS devices find applications in sensors, robotics, microvalves, flow controllers, global positioning systems (GPS), and biotechnology. The microfabrication capability of die bonders makes them ideal for the assembly and packaging of MEMS and MOEMS.
Advancements in electronic devices with the adoption of the latest semiconductor technology have led to the development of multi-chip modules (MCM) in logic ICs, memory chips, RF devices, and sensors, which can be integrated into smaller systems and miniature electronic devices. Also, 3D-integrated ICs, MEMS, and MCM have made it possible to mount small form factor electronic components on a substrate. As a result of significant R&D investments by many companies, die bonders offering placement accuracy of more than 5 ìm are available to ensure high-speed and high-precision assembly of MCMs, MEMS devices, and other components and enable miniaturization of electronic devices without loss of performance. Die bonder equipment facilitate the assembly of power devices, high-power communication devices, LED packages, servers, and portable electronics. Thus, the capability of die bonders to assemble nano-sized components for miniaturized electronic devices is driving the growth of the semiconductor bonding market.
Die bonder is expected to be the largest type segment of the semiconductor bonding market with market size of USD 410.6 million in 2021. Increasing demand for miniature electronic components is a major driving factor for the growth of the die bonder equipment market. Increasing demand for 3D semiconductor assembly and packaging is an opportunity for the manufacturers in the die bonder equipment market. However, the high cost of ownership is hindering the growth of the market. Key players are launching new products to increase their market penetration. For instance, in April 2021, ASM Pacific Technology launched three new manufacturing systems with X-Celeprint's Micro Transfer Printing and ASM AMICRA's high-precision die bonding technology to enable high-volume heterogeneous integration of ultra-thin dies up to 300 mm base wafer. Panasonic offers MD-P200 die bonder that offers high-quality bonding with multi-small die stacking capabilities, which contribute to reducing the size of various devices. It has flip chip and thermosonic bonding capabilities, which contribute to higher densification and performance for semiconductor devices. MD-P200 is used in the production of sensors and RF devices.
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APAC exhibit the highest CAGR during the forecast period
APAC is likely to continue to dominate the semiconductor bonding market, in terms of size and CAGR, in the coming years. The commanding position of APAC is due to the presence of a large number of foundries, IDM, and OSAT companies in the region. The major IDMs and foundry players present across the world have their headquarters in APAC. These companies use die bonding equipment in the semiconductor fabrication process. Additionally, an increasing number of IDMs in the region is expected to boost market growth in the near future. Similarly, the mass production of electronic products such as smartphones, wearables, and white goods in China and Taiwan is also expected to accelerate the market's growth in APAC.
Increasing demand for 3D semiconductor assembly and packaging
The increasing use of 3D chip modules is expected to drive the semiconductor bonding market in the near future. 3D ICs are manufactured by stacking two or more semiconductors vertically, using different bonding methods such as adhesive, soft soldering, and eutectic. Other than taking less space, 3D packaging offers high product performance and lower power consumption. Die bonders ensure a smooth bonding process by offering micro-level precision, which is required for the fabrication of 3D chip modules. The growing adoption of 3D semiconductor components, increasing competition among outsourced semiconductor assembly and testing (OSAT) companies and foundries, and rising demand for MEMS and MOEMS from the automotive industry are expected to boost the growth of the semiconductor bonding market in the near future. 3D ICs are used in RF transmitters and transceivers, which are critical components of mobile devices.
For instance, semiconductor foundries, such as Teledyne DALSA and Teledyne Micralyne, contribute significantly to the market's growth. These foundries need thin wafers for the manufacturing of 3D-integrated circuits and power semiconductor devices. The initiatives undertaken by the Canadian government are also supporting the market's growth. In 2019, the Canadian government invested USD 96 million to support the coast-to-coast electric vehicle charging network, along with natural gas stations. Also, consumers of electric vehicles in the country can obtain incentives of up to USD 5000. Electric vehicles extensively use electric components such as LEDs, power devices, MEMS, and photodiodes. The need to produce efficient components is expected to boost the requirement for thin wafers and wafer bonding equipment.
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