News

American IC manufacturers have 56% of their wafer capacity installed at fabs located in other regions of the world, according to the new Global Wafer Capacity 2023 report from Knometa Research. As of year-end 2022, American companies have installed capacity of 4.6 million 200mm-equivalent wafers per month, with 2.0 million in domestic fabs and 2.6 million in fabs at foreign sites.

Of the major IC producing countries and regions (Americas, China, Europe, Japan, Korea, and Taiwan), the Americas region is unique in that foreign capacity exceeds that of domestic capacity.

Global installed capacity for image sensors was one million 200mm-equivalent wafers per month at the end of 2021. According to the new Global Wafer Capacity 2022 report, image sensor capacity is forecast to increase 13% in 2022.

By the end of 2026, installed capacity for image sensors is projected to be 1.8 million 200mm-equiv. wafers per month. That’s an average annual growth rate of 12.5% over the forecast period, making image sensor capacity among the fastest growing segments.

At the end of 2021, 57% of the industry’s total monthly wafer capacity was owned by the top five companies. One year earlier the share was 56% and back in 2018 it was 53%. A decade ago, the share held by the top five was about 40%. The industry continues to get more top heavy regarding the composition of companies fabricating ICs. This analysis comes from Knometa’s recently released Global Wafer Capacity 2022 report.

With fab construction activity at its highest level in many years, it is not surprising that there has been talk of a market crash coming from too much capacity being added. The new Global Wafer Capacity 2022 report makes the case that, while fab expansion plans are certainly aggressive and could lead to some downward pricing pressure in 2024, a significant market downturn caused by too many fabs sitting with idle capacity is not expected.