Thin Wafer Processing & Dicing Equipment Market - Forecast(2024 - 2030)

The Thin Wafer Processing & Dicing Equipment Market size is estimated to reach US$890.2 million by 2028, growing at a CAGR of 7.1% from 2023 to 2028. Growing demand for consumer electronics and the trend towards miniaturization of electronic devices are primarily driving the Thin Wafer Processing & Dicing Equipment industry during the forecast period. Additionally, the rising demand for three-dimensional integrated circuits, as they are being rapidly used in Micro Electro Mechanical Systems (MEMS) and other semiconductor devices, is also creating growth opportunities for the market. Dicing Technology is also evolving due to the rising demand for thinner wafers and more substantial die which increases the Thin Wafer Processing & Dicing Equipment Market size. Furthermore, rising applications of Logic and Memory, Power Devices, Radio Frequency Identification (RFID) and CMOS Image Sensors across industry verticals are also boosting the demand for dicing technologies such as blade dicing, laser dicing, plasma dicing and others. These aforementioned factors would positively influence the Thin Wafer Processing & Dicing Equipment industry outlook during the forecast period.

By Wafer Thickness: 750 micrometres, 120 micrometres and 50 micrometres.

By Application: Logic and Memory, Micro Electro Mechanical Systems (MEMS), Power Devices, Radio Frequency Identification (RFID), CMOS Image Sensor and Others.

Based on Wafer size, the 12 inches wafer segment in the Thin Wafer Processing & Dicing Equipment Market report is analyzed to grow at the highest CAGR of 7.8% during the forecast period 2023-2028. Increasing utilization of these wafers for producing energy-efficient and compact devices, rising adoption of microprocessors across industry verticals and advancements in dicing technology such as blade dicing, laser dicing and plasma dicing are driving the demand for this 12-inch wafer segment and thereby boosting the Thin Wafer Processing & Dicing Equipment Market growth. In April 2022, China Great Wall launched fully automated 12-inch thin film laser grooving equipment, capable of ultra-thin wafer dicing. Such factors are expected to accelerate the growth of this segment within the Thin Wafer Processing and Dicing Equipment industry during the forecast period.

Based on Application, the microelectromechanical systems (MEMS) in the Thin Wafer Processing & Dicing Equipment Market report is analysed to grow at the highest CAGR of 8.1% during the forecast period 2023-2028. The rising popularity of IoT in semiconductors and the growing requirement for smart consumer electronics and wearable devices are some of the major factors influencing the growth of the MEMS segment in the Thin Wafer Processing & Dicing Equipment Market. With the growing trend of miniaturization in semiconductors and electronics, there is a need for high precision in wafer fabrication, which tends to open up opportunities for market growth. In January 2022, TDK Corporation announced the T5828 SoundWire MEMS microphone as part of the SmartSound performance products for mobile, IoT, TWS and other consumer devices. These developments boost the MEMS segment and increase the Thin Wafer Processing & Dicing Equipment Market size.

APAC dominated the global market for Thin Wafer Processing & Dicing Equipment with a market share of 39% in 2022. The region is also analyzed to have significant growth over the forecasting period. Increasing wafer grinding machinery automation, increasing smartphone, tablet and other consumers electronic device penetration, booming semiconductor industry and continuous R&D investments by major manufacturers are driving the market growth in this region. In May 2022, SML Group established a Technology Innovation Development Centre in Hong Kong for Radio Frequency Identification (RFID) inlay production. These factors are set to transform the Thin Wafer Processing and Dicing Equipment industry outlook within the APAC markets.

The semiconductor industry is expected to grow significantly over the forecast period. Semiconductors are primary components in the formation of any electronic device. These materials help manufacture high-performance integrated circuits that provide better speed and reliability and use less power. Due to technological advancements and integration of these high-performance integrated circuits in power devices, CMOS image sensors, MEMS, logic and memory devices, the rapidly growing semiconductor industry is creating ample opportunities for the Thin Wafer Processing & Dicing Equipment industry to grow. In December 2021, the Indian Government approved a US$10 billion incentive plan to boost the semiconductor industry after the crippling effects of the coronavirus on the industry. These factors would drive the demand for Thin Wafer Processing & Dicing Equipment.

High maintenance costs are restricting the growth of the Thin Wafer Processing & Dicing Equipment Market. The development of such equipment requires high precision and such core technological capabilities are held by dominant firms resulting in their limited production. Implementation and maintenance costs of such equipment are extremely expensive for SMEs, resulting in their limited adoption. According to Alibaba, the cost of wafer processing equipment ranges between US$2700 and US$7000 and wafer dicing equipment costs between US$1500 and US$2500. Such factors are impeding the growth of the Thin Wafer Processing and Dicing Equipment industry.

Product launches, collaborations and R&D activities are key strategies adopted by players in the Thin Wafer Processing & Dicing Equipment Market. The top 10 companies in the Thin Wafer Processing & Dicing Equipment Market are: