Applied Materials Moved Back To The Top Of The Semiconductor Equipment Market In 2020 Says The Information Network

NEW TRIPOLI, PA, 18066, March 11, 2021 / — Applied Materials regained its lead in the semiconductor equipment market from ASML in 2020, according to the report “The Global Semiconductor Equipment: Markets, Market Shares, Market Forecasts,” recently published by The Information Network, ( a New Tripoli, PA-based market research company.

“Applied Materials, regained its market share lead in the wafer front end (WFE) equipment market in 2020, retaking the leadership it lost to ASML in 2019,“ noted Dr. Robert Castellano, President of The Information Network. “Of the top five WFE companies in 2020, only Applied Materials and Lam Research gained market share.”

The chart below shows market share for the top five WFE companies between 2015 and 2020. There are two important issues that contributed to WFE’s growth in 2020:

In 2020, there was a pull-in of equipment revenues into China by companies, primarily by foundry SMIC, as a prelude to U.S. Government sanctions blocking equipment into the country starting September 15. Equipment sold to China increased Q3 by 22.5%.

In addition, the anticipated embargo of equipment into China and the move by Intel to have Taiwan’s TSMC make its 7nm chips resulted in equipment pull-ins into Taiwan. Equipment sold to Taiwan increased Q3 by 36.2%.

Applied Materials was able to move to the top position because of robust equipment purchases from Samsung and SK Hynix in late 2020 and in January 2021:

• Etch purchases in January 2021 from the two memory companies were up 25% MoM
• Etch purchases in December 2020 were up 177% MoM
• Etch purchases in November 2020 were up 200% MoM
• Deposition purchases in January 2021 from the two memory companies were up 39% MoM
• Deposition purchases in December 2020 were up 212% MoM
• Deposition purchases in November 2020 were up 4% MoM

“For 2021, I see continued strong spend in foundries as a result of competition between Samsung and TSMC for leadership in the foundry sector,” added Dr. Castellano. “In the memory sector, DRAM capex will be flat YoY as the memory companies move to into a demand-driven cycle from solid PC, 5G smartphone, and data server growth, while NAND capex is weighted to 1H2021.”

Dr. Robert Castellano
The Information Network
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