Lithography, dielectric etch tools forecast to stand out in flat fab equipment market next year
The Semiconductor Reporter
October 12, 2006
NEW TRIPOLI, Pennsylvania -- The market for front-end semiconductor fab equipment will grow 17.5% in 2006, but will be flat in 2007, according to The Information Network, a market research company. However, the lithography and dielectric dry etch sectors will exhibit nearly double-digit growth in 2007, the firm predicted.
"Enormous quantities of manufacturing equipment ordered over the last several months are now being installed, and have begun affecting semiconductor inventory levels," said Robert Castellano, president of The Information Network. "In addition, the rate of growth for new orders has slowed dramatically and we believe some of the existing orders will be pushed out or canceled altogether."
While the overall lithography market will grow more than 8% in 2007, from a 30.2% growth forecast for 2006, the market for 193-nm immersion tools will double from $600 million in 2006 to $1.2 billion in 2007, according to the forecast.
For the dielectric etch sector, growth is directly a function of the changeover to copper damascene processes, Castellano said. The sector will grow nearly 9% in 2007, from a 22.1% growth forecast for 2006. In contrast, the metal and polysilicon etch sectors will see a decline in 2007, he predicted.
"The conversion to copper damascene by DRAM and flash manufacturers will be key to the growth of the copper market and hence the dielectric etch sector," Castellano said. "We expect these manufacturers to start significantly increasing the use of copper interconnects in 2007. Already, NOR flash manufacturers have started the migration, and several NAND flash manufacturers will start using copper in 2007."
Micron Technology has converted to copper interconnects, and other DRAM manufacturers will start migrating to copper in late 2007 or early 2008, he noted. |
