A thin wafer is semiconductor wafers that consist of diameters less than their standard thickness. The global market for thin wafers is poised to show a healthy growth over the next five years primarily on account of the miniaturization of electronic devices and the growing adoption of smartphones and wearable technology globally. The constantly growing disposable income and the rapid urbanization and industrialization in the major emerging economies of the globe such as India and China among others is further propelling the demand for electronics as well as other devices that further use semiconductors as major components.
Thin Wafer Market, Forecasts From 2019 to 2025, in US$Billion
Source: Knowledge Sourcing Intelligence Estimates
The figure above represents the market size of the thin wafer market from 2019 to 2025. The rising popularity of e-health coupled with the growing product launches by major players in the development and launch of new and enhances smart wearables is further propelling the business growth opportunities for the market players over the course of the next five years. the emergence of wireless technologies has led to the development of personalized healthcare systems. This evolution has resulted in the fast global adoption of wearable devices that aids in an uninterrupted transmission of health-related information to service providers. The communication between patient and doctor is clear and precise and is devoid of ambiguities. This is one of the factors which is furthering enabling the growth of wearable devices throughout the globe which is further augmenting the thin wafer market growth throughout the forecast period. Additionally, the growing adoption of semiconductor devices across several industry verticals that include IT and Telecommunications, automotive, consumer electronics and others is also positively impacting the market growth throughout the forecast period. Simultaneously, the growth of these industries is will also directly impact the demand for thin wafers during the next five years, thereby playing a significant role in shaping up the market growth throughout the forecast period.
Growing Automotive Industry
The automotive industry around the globe is on the verge of rising owing to the fact that there has been an increase due to the fact that the propensity of consumers to spend on comfort and luxury is increasing as the disposable income is increasing in many economies especially India and China. Furthermore, the growing middle-class population is also significantly driving the automotive industry throughout the globe. This combined with the increasing consumer expectations regarding the features and safety of the vehicles has led the automotive manufacturers to embed more and more features in the vehicles manufactured by them such as ABS, EBS, infotainment, and others. This further requires necessary electronic components for the proper functioning of these systems which further drives the demand for semiconductors for the automotive industry, thereby driving the market growth throughout the forecast period. Furthermore, the penetration of telematics solutions across the automotive industry coupled with the budding investments in electric as well as autonomous vehicles are also some of the additional factors supplementing the market growth during the next five years. The technology-based on telematics is rapidly emerging into the automotive industry. It is increasingly being seen as a way to increase road safety, improving driving behavior, and boost car insurance industry profitability. As a consequence, auto manufacturers are investing heavily in connected car technologies in order to provide customers with an advanced telematics system. As the vehicles are becoming more advanced and user-friendly, through the incorporation of technologies such as heads-up display and human-machine interface, the demand for semiconductors is poised to increase over the forecast period.
Globally Growing Consumer Electronic Industry
Consumer electronics comprising semiconductors includes smartphones, wearables, and cameras among other consumer electronics. The increased consumer spending on consumer electronics products due to the growing disposable income in many parts of the world is also positively impacting the market growth throughout the forecast period. Moreover, the major market players operating in the consumer electronics industry are further investing heavily in the R&D for enhancing the designs of numerous products and reduce the thickness such as smartphones, televisions, and others is also playing a significant role in shaping up the market growth over the next five years. The household final consumption expenditure is increasing globally which is also plays an important role in driving the demand for consumer electronics products. For example, according to the statistic from the World Bank Group, the household’s and NPISHs Final consumption expenditure reached US$48.362 trillion by the year 2018 from US$37.785 trillion in 2010. In addition, the expansion of distribution channels and the rapidly growing e-commerce industry has also led to an increase in purchase frequency of electronic products in both developed and developing economies of the world. Similarly, the logistics industry is expected to positively drive the market for thin wafers on account of the growing adoption of RF solutions across the logistics industry.
Households and Npishs Final Consumption Expenditure (Current US$), World, in Trillion
Source: The World Bank Group