Market Trends
In the face of a collapsing mainstream semiconductor sector over the past 18 months, the MEMS business held its own and remained flat.  While this is great news for MEMS overall, for the many MEMS companies that made production infrastructure investments in 2006 and 2007, flat business made 2008 & 2009 really difficult.
The MEMS industry remains highly diverse and as such the impact of the financial collapse and economic recession has been varied.  While established applications have struggled, new ways to package and integrate MEMS devices in systems buttressed the industry.  New MEMS devices are indeed growing very fast - 2 axis gyros, MEMS IMU and MEMS Oscillator to name a few.
Reviewing key players - several companies stopped their MEMS production entirely or in part (Delphi, Continental, Colibrys, Systron Donner Automotive…) while others saw their businesses enter a huge growth phase (InvenSense, Kionix, STMicroelectronics, SiTime…). All in all, booming new business was entirely offset by flagging established business with the net result flat.
Innovation in MEMS is changing: few totally new devices are now launched and most new applications are linked to new usage of existing devices (human machine interface, replacement of existing technologies…). With packaging averaging more than 40% of the cost of a MEMS device strong efforts are being put into adapting the packaging to drive out cost and enter new applications (like mobile applications).
In parallel MEMS foundries are coming out of the economic downturn in a strong position: more system manufacturers have made the decision to stop internal MEMS manufacturing and are now working with MEMS foundries.  MEMS foundries are extremely active with these new customers.  As can be expected, this growth is attracting new players like TSMC, UMC and others.  In addition, wafer level packaging and 3D chip stacking using through silicon vias (TSV) are also a growth driver for the MEMS foundries.  Driven by cost reduction goals needed for consumer applications investments in 8’’ infrastructure continued despite the downturn. 

Report feature
«Status of the MEMS industry 2009» provides a 360° analysis of the evolution of MEMS applications and markets:
•    Updated data on MEMS markets,
•    Analysis of the industry from the manufacturing and innovation points of view,
•    Analysis of the strategies of the main players,
•    Evolution of the equipment markets for MEMS production
•    MEMS packaging trends
 
For the 6th year, “Status of the MEMS industry” is the only publication analyzing the MEMS industry, from key technical aspects to business strategies of the TOP30 MEMS companies.
Market Trends
The MEMS markets are flat since 2007: from $7.1B in 2007, to $6.8B in 2008 to an estimated $6.9B in 2009.  But that result is the sum of a huge plus in consumer electronics applications which grew 25% CAGR and a huge minus with established automotive business taking a big hit.
A restart of the net growth is expected after 2010, with a CAGR of 12% in the next 4 years.
The production equipment market is extremely low at $140M (in 2008, 2009 and 2010) and will restart in 2011:
1.    The production infrastructure in place is sufficient to absorb the growth for the next 2 years and we will have to wait until 2011 for a significant restart of the MEMS production equipment market
2.    The MEMS foundry growth in 2008 and 2009 was limited at 6% (after years of 30% growth annually) and will restart in 2010 with more than 25% CAGR expected in the next 4 years

Report highlights
Analysis of the business trends and expected evolution of the 15 major applications areas of MEMS devices (pressure sensor, ink jet, accelerometer, gyroscopes, silicon microphone, microfluidic devices, thermography, micro displays & picoprojector, optical MEMS, RF MEMS…)
Long term vision of MEMS markets 2008-2020: evolution of the MEMS markets, current drivers of the industy
Technology and business trends at equipment and materials level
Detailed analysis of the evolution of the MEMS foundry business and of the main players: What is the strategy of each of the TOP30 MEMS manufacturers?
Evolution of MEMS packaging: How MEMS companies are learning from changes in the packaging fields (TSV, WLP, Si Interposers…)
Analysis of the latest 12 month M&A in MEMS and venture capital investments in MEMS
 
Report Methodology
“Status of the MEMS industry” is a compilation of the day to day contacts of the 20 full time analysts of YOLE, interviewing more than 2,500 companies per year, from system integrators to device manufacturers to technology developers the market & technical information has been gathered directly at:
•    System manufacturers: automotive equipment manufacturers, IT equipment and medical device manufacturers…
•    Device manufacturers: key MEMS inertial sensor manufacturers worldwide
•    Equipment & materials suppliers for the MEMS industry
This 2009 edition is also the result of the daily work of the analysts at Yole who update the forecasts as soon as the information is obtained. Data from thousands of interviews every year (50 to 70 industrial interviews every week) provide the primary data we are using for analysis and forecasts.

Companies described in the report
Akusitca, AMS, Analog Devices, Avago Technologies, Bosch, Canon, Colibrys, Conti, Dalsa Semiconductor, Delphi, Denso, Discera, Flir, Freescale, GE, Honeywell, HP, IMT, Infineon, Kionix, Knowles Acoustics, Lexmark, Melexis, Micralyne, Murata, Olivetti, Omron, Panasonic, Seiko Epson, Schneider Electric, Silex, Silicon Sensing Systems, Silverbrook, SiTime, STM, TI, Ulis, VTI Technologies...

Benefits of the report

• What are the market shares of MEMS manufacturersper applications?
• What is the evolution of the MEMS foundry business?
• What are the trends and competitive landscape in the MEMS production equipment business?
• Detailed analysis of the major 15 applications of the MEMS markets:

Pressure sensor, accelerometer, gyroscope, ink jet head, silicon microphone, Optical MEMS, micro displays, micro bolometers, microfluidics for research, microfluidics for diagnostic, microfluidics for drug delivery, RF MEMS, micro tips and probes, micro fuel cells, emerging applications.

• Strategic analysis of each application and analysis of the competitive landscape
• Detailed equipment manufacturer analysis
•  Detailed analysis of the evolution of the MEMS packaging

Who should buy the report? 

• The executive of MEMS companies in order to think out of the box and look at the complete MEMS business and the major evolution that could impact the industry
• The technology team of MEMS companies, willing to learn from the development of the other parts of the MEMS industry
• The end users, trying to understand the evolution of the MEMS industry and find data on each applications and who is doing what
• The marketing and technology team of equipment and materials manufacturers, willing to have a complete picture of the MEMS manufacturers and the key metrics of the industry

Table of Contents

List of Tables

·         MEMS devices development phase

·         MEMS markets forecast 2007-2012 in $

·         MEMS market data 2008-2012 in $

·         MEMS markets data by applications fields 2008-2012 in $

·         MEMS market per applications 2008-2012 in units

·         Ink jet heads markets in $ and units

·         Pressure sensors markets in $ and units

·         Accelerometers markets in $ and units

·         Gyroscopes markets in $ and units

·         Optical MEMS markets in $ and units

·         Thermography markets in $ and units

·         Micro displays and picoprojectors markets in $ and units

·         Microfluidics markets in $ and units

·         RF MEMS markets in $ and units

·         Micro tips markets in $ and units

·         Emerging MEMS applications markets in $ and units

·         MEMS diffusion models in mobile phones

·         MEMS for mobile phones applications 2007-2012

·         Market penetration of MEMS in mobile phones per function

·         Long term evolution of MEMS markets 2008-2020

·         MEMS supply chain 2008-2020

·         TOP Ranking of TOP30 MEMS companies

·         2007-2008 comparison of TOP30 MEMS companies

·         Breakdown of MEMS players by business models and geographical areas

·         M&A in MEMS 2008-2009

·         Historic analysis of M&A in MEMS 200-2009

·         VC investments in MEMS 2008-2009

·         Historic data of VC investments in MEMS 2000-2009

·         Status of the MEMS companies with VC investments

·         TOP20 MEMS foundries ranking

·         MEMS foundry market evolution 2007-2012

·         MEMS foundry breakdown per product type 2007-2012

·         List of 8’’ MEMS manufacturing facilities

·         MEMS equipment markets 2008-2012

·         MEMS equipment market per type of equipment 2008-2012

·         MEMS product by wafer size

·         MEMS wafer size shipment per type of devices 2008-2012

·         Focus: MEMS in Taiwan

·         Different packaging approaches in MEMS

·         WLP markets for MEMS packaging

·         3D MEMS roadmap

·         3D MEMS roadmap per company

·         Evolution of packaging of 3 axis accelerometers (Chipworks)

·         Cost simulation of last generation of DLP from TI (S+C)

·         Cost simulation of InvenSense 2 axis gyroscope (S+C)

• Definition and methodology                                                          5

• Executive summary                                                                     17

• Analysis of the MEMS market situation                                        29

• Analysis of the 15 major MEMS applications                               60

• Focus on MEMS for mobile phone applications                           64

• Long term vision of MEMS markets 2008-2020                              73

• Evolution of the market players and of the industry                     85

• M&A in MEMS 2008 and 2009                                                       91

• VC investment in MEMS 08-09                                                    100

• Evolution of the MEMS foundry business                                    107

• Production trends                                                                       113

• Equipment and materials markets for MEMS production            121

• Focus: MEMS in Taiwan                                                             125

• MEMS Packaging trends                                                             150

• 3D MEMS trends                                                                         168

• Trends in MEMS R&D                                                                 171

• Evolution of the MEMS cost production infrastructure               182

• Strategy of the TOP30 MEMS manufacturers                             202

• Conclusions                                                                               207