Global fab equipment spending will reach US$68.8 billion this year, according to SEMI.
This is a rise of 16% compared to 2019 and highest figure ever.
Fab equipment will continue to rise in the next two years: it will reach US$72.1 billion in 2021 and US$76.1 billion in 2022, SEMI said.
Front-end equipment spending will increase 15% this year compared to 2019 to US$59.4 billion. Spending will increase 4% in 2021 and 6% in 2022. Spending in foundry and logic will account for half the spending this year at around US$30 billion.
Equipment spending related to NAND increased by 30% year-on-year in 2020 to be US$14 billion. SEMI said spending will focus on DRAM in 2021 and 2022.
Fab equipment spending was the highest in China this year at US$18.1 billion. This was followed by Taiwan’s US$16.8 billion, South Korea’s US$15.7 billion and Japan’s US$7.3 billion.
However, for the next two years, South Korea will spend the most out these countries. The country is expected to spend US$18.9 billion in 2021 and US$19.7 billion in 2022.
South Korea, thanks to recovery in memory demand and increased investments into logic areas will spend the most in semiconductor equipment in 2021 and 2022, SEMI said.