Semiconductor Machinery Manufacturing in the US - Market Research Report (2014-2029)
New York, United States
Last Updated: September 2024
NAICS 33329aRevenue
$34.8bn
Past 5-Year Growth
Profit
$X.Xbn
Employees
19,976
Businesses
139
Wages
$X.Xbn
Semiconductor Machinery Manufacturing in the US industry analysis
Despite oscillating consumer sentiment, demand conditions for semiconductor machinery manufacturing have remained mainly positive during the current period. Although employee lockdowns across Asia and supply chain inefficiencies have damaged operations during the current period, revenue has ultimately increased at a CAGR of 6.8% due to the unprecedented need for electronics. Record prices for semiconductor components and federal government support to mitigate the global chip shortage have significantly benefited the semiconductor manufacturing industry. Though operators have dealt with numerous supply chain disruptions, they have also benefited from downstream demand for smaller and more powerful chips. After significantly decelerating due to lockdowns in Asia, industry revenue growth has steadily grown during 2023 and is forecast to increase 4.3% during 2024. Overall, aggressive government investment in the sector combined with evolving demand conditions has led to industry revenue rising to $34.8 billion and a profit margin of 6.5%.
Trends and Insights
- The U.S. is ramping up semiconductor manufacturing. The CHIPS Act aims to re-establish the U.S. as a leader in the semiconductor industry. Arizona is emerging as a major hub with new fabrication plant projects demanding industry products.
- EUV Lithography is pushing chip technology to new heights. It's exclusively produced by ASML and promises faster, cooler, and more power-efficient chips, except in China where the technology is banned.
- Silicon Valley remains the tech industry's epicenter. It's packed with technology offices, making it the go-to place for chip production equipment manufacturers who want to be close to their biggest clients and key shipping ports to Asia.
- Entering the chip manufacturing market is extremely costly. Prospective players need hefty capital before they even sell a machine, as manufacturing tolerances are incredibly precise and demand unique, expensive tools and software.
Industry Overview
Market size and recent performance (2014-2029)
Industry revenue has grown at a CAGR of 6.8 % over the past five years, to reach an estimated $34.8bn in 2024.
Trends and Insights
COVID-19 reveals the vulnerability of chip production supply chains and the need for investment
- The pandemic roiled computer chip production equipment manufacturing, first encouraging operators to slash production and lay off employees, then turning around and demanding millions of extra computer chips for digital devices.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
The CHIPS Act will continue to drive demand for industry operators
- According to US officials, after trending towards 8% of global FAB capacity, the United States has recovered to reach 10% and will likely reach 14% of global capacity by 2032 as additional funding is allocated to chip manufacturing.
Biggest companies in the Semiconductor Machinery Manufacturing in the US
| Company | Market Share (%)
2024 | Revenue ($m)
2024 | Profit ($m)
2024 | Profit Margin (%)
2024 |
|---|---|---|---|---|
Tokyo Electron Ltd | 2,758.6 | 777.2 | 28.2 | |
Asml Holding Nv | 2,396.5 | 790.1 | 33.0 | |
Applied Materials Inc. | 2,098.7 | 562.4 | 26.8 |
To view the market share and analysis for all 3 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Wafer equipment - chemical and physical vapor deposition, Wafer equipment - plasma and wet etch and Ion implantation equipment. Wafer equipment - chemical and physical vapor deposition is the largest segment of the Semiconductor Machinery Manufacturing in the US.
Trends and Insights
Thin layer chemical and physical vapor deposition is the classic method for semiconductor creation
- Traditional thin-layer chemical vapor deposition (CVD) machinery, fundamental in semiconductor fabrication, uses gases and energy to form thin films on silicon wafers. Applied Materials and Lam Research dominate the global market for this equipment.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- There are no industries to display.
Complementors
- Computer Manufacturing in the US
- Computer Peripheral Manufacturing in the US
- Semiconductor & Circuit Manufacturing in the US
- Circuit Board & Electronic Component Manufacturing in the US
- Solar Panel Manufacturing in the US
International industries
- Semiconductor Machinery Manufacturing in Canada
Table of Contents
About this industry
Industry definition
This industry manufactures equipment used to make semiconductors, more commonly known as chips or integrated circuits. Products manufactured include wafer-processing equipment, semiconductor assembly and packaging equipment and other semiconductor-making machinery.
What's included in this industry?
Manufacturing etching equipmentManufacturing microlithographyManufacturing semiconductor assembly and packaging machineryManufacturing chemical vapor deposition (CVD) equipmentManufacturing surface mount machinery for making printed circuit boardsManufacturing thin-layer deposition equipmentManufacturing wafer-processing equipmentManufacturing photolithography equipmentManufacturing microelectromechanical systems (MEMS) manufacturing equipmentCompanies
Tokyo Electron LtdAsml Holding NvApplied Materials Inc.Purchase this report to view all 3 major companies in this industry.
Related Terms
FABWAFERBOOK-TO-BILL RATIOPHOTOVOLTAICNANOMETER (NM)SEMICONDUCTORIndustry Code
NAICS 333242 - Semiconductor Machinery Manufacturing in the US
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
The U.S. is ramping up semiconductor manufacturing. The CHIPS Act aims to re-establish the U.S. as a leader in the semiconductor industry. Arizona is emerging as a major hub ...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
EUV Lithography is pushing chip technology to new heights. It's exclusively produced by ASML and promises faster, cooler, and more power-efficient chips, except in China wher...
In this chapter
- Products & Services
- Major Markets
- International Trade
Key metrics
- Largest market segment and value in 2024
- Product innovation level
- Total imports, level and trend
- Total exports, level and trend
- Trade Balance
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
- International trade, including imports by country and exports by country
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
- Recent trends in import and export volumes, country of origin or destination, and expected future trends
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Silicon Valley remains the tech industry's epicenter. It's packed with technology offices, making it the go-to place for chip production equipment manufacturers who want to b...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each state
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each state in 2024
- Number and share of revenue each state accounts for in 2024
- Number and share of wages each state accounts for in 2024
- Number and share of employees in each state in 2024
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Entering the chip manufacturing market is extremely costly. Prospective players need hefty capital before they even sell a machine, as manufacturing tolerances are incredibly...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
A cluster of massive, close-knit companies dominate the industry. Smaller operations can’t afford the billions in research and development needed to upend the semiconductor i...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of Tokyo Electron Ltd's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Asml Holding Nv's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Applied Materials Inc.'s performance by revenue, market share and profit margin from 2018 through 2024
Detailed analysis
- Description and key data for Tokyo Electron Ltd, and factors influencing its performance in the industry
- Description and key data for Asml Holding Nv, and factors influencing its performance in the industry
- Description and key data for Applied Materials Inc., and factors influencing its performance in the industry
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
The CHIPS and Science Act is revitalizing domestic semiconductor production with $52 billion in subsidies. This influx is addressing supply chain issues and boosting the grow...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
High labor costs stem from specialized skills. Semiconductor machinery engineers command hefty salaries, often exceeding $150,000, due to the unique and complex nature of the...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Industry Multiples (2017-2022)
- Industry Tax Structure (2017-2022)
- Income Statement (2017-2022)
- Balance Sheet (2017-2022)
- Liquidity Ratios (2017-2022)
- Coverage Ratios (2017-2022)
- Leverage Ratios (2017-2022)
- Operating Ratios (2017-2022)
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in the US include:
- US Census Bureau
- US Bureau of Labor Statistics
- US International Trade Commission
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Semiconductor Machinery Manufacturing in the US industry in United States in 2024?
The market size of the Semiconductor Machinery Manufacturing in the US industry in United States is $34.8bn in 2024.
How many businesses are there in the Semiconductor Machinery Manufacturing in the US industry in 2024?
There are 139 businesses in the Semiconductor Machinery Manufacturing in the US industry in United States, which has declined at a CAGR of 1.5 % between 2019 and 2024.
Has the Semiconductor Machinery Manufacturing in the US industry in United States grown or declined over the past 5 years?
The market size of the Semiconductor Machinery Manufacturing in the US industry in United States has been growing at a CAGR of 6.8 % between 2019 and 2024.
What is the forecast growth of the Semiconductor Machinery Manufacturing in the US industry in United States over the next 5 years?
Over the next five years, the Semiconductor Machinery Manufacturing in the US industry in United States is expected to grow.
What are the biggest companies in the Semiconductor Machinery Manufacturing in the US market in United States?
The biggest companies operating in the Semiconductor Machinery Manufacturing market in United States are Tokyo Electron Ltd, Asml Holding Nv and Applied Materials Inc.
What does the Semiconductor Machinery Manufacturing in the US in United States include?
Manufacturing etching equipment and Manufacturing microlithography are part of the Semiconductor Machinery Manufacturing in the US industry.
Which companies have the highest market share in the Semiconductor Machinery Manufacturing in the US in United States?
The company holding the most market share in United States is Tokyo Electron Ltd.
How competitive is the Semiconductor Machinery Manufacturing in the US industry in United States?
The level of competition is high and steady in the Semiconductor Machinery Manufacturing in the US industry in United States.
