Equipment boom to start next year, says SEMI

Demand for HPC, automotive applications and memory will fuel double-digit percentage spending increases in equipment investments over the three-year period, says SEMI’s quarterly  300mm Fab Outlook Report to 2026.

“The projected equipment spending growth wave underscores the strong secular demand for semiconductors,” said Ajit Manocha, SEMI President and CEO. “The foundry and memory sectors will figure prominently in this expansion, pointing to demand for chips across a wide breadth of end markets and applications.”

Korea is expected to lead global 300mm fab equipment spending in 2026 with $30.2 billion in investments, nearly doubling from $15.7 billion in 2023.

Taiwan is forecast to invest $23.8 billion in 2026, up from US$22.4 billion this year.

China is projected to spend $16.1 billion  in 2026, an increase from $14.9 billion in 2023. Americas equipment spending is expected to nearly double from $9.6 billion this year to $18.8 billion in 2026.

Foundry is projected to lead other segments in equipment spending at $62.1 billion in 2026, an increase from $44.6 billion in 2023, followed by memory at $42.9 billion, a 170% increase from 2023.

Analogue spending is forecast to increase from $5 billion this year to $6.2 billion in 2026.

The microprocessor/microcontroller, discrete (mainly power devices), and optoelectronics segments are expected to see spending declines in 2026, while investments in logic is forecast to rise.

The SEMI 300mm Fab Outlook Report To 2026 report lists 369 facilities and lines globally, including 53 high-probability facilities expected to start operation during the four years starting in 2023.