About 10% Higher Than Last Year
The Semiconductor Equipment and Materials International (SEMI) said in its report on Jan. 12 that this year’s capital expenditures in the global semiconductor industry are estimated at an all-time high of US$98 billion.
“The estimate is about 10 percent higher than last year’s capital expenditures and the figure is expected to increase for the third consecutive year,” it said, adding, “Previously, the figure increased for three years in a row in the mid-1990s and from 2016 to 2018.”
Last year, the capital expenditures increased 39 percent. In 2020, the figure showed a year-on-year increase of 17 percent.
According to the association, the capital expenditures of South Korea, Taiwan and China are estimated to account for 73 percent of the annual total, those of South Korea and Taiwan are likely to increase 14 percent each, and China’s are predicted to decrease by 20 percent. In addition, those of Europe and the Middle East are expected to jump 145 percent and Japan’s are expected to increase 29 percent.
“Capital expenditures in the foundry sector are expected to increase 13 percent year on year to account for 46 percent of the total,” it said, adding, “The ratio of memory chip-related capital expenditures is estimated at 37 percent.”