Epitaxy and ALD market to rise to more than a billion dollar – Webcast



Epitaxy and ALD equipment are crucial enablers for the surging compound semiconductor markets such as GaN, SiC, MicroLED and VCSEL market

In the innovation race to add more functionalities into our everyday devices using the More-than-Moore (MtM) approach, the Power-Performance-Area-Cost (PPAC) factor is improved not only by scaling but also by using non-Si materials and by heterogeneously integrating them to one another. In this regard, Si, along with non-classical substrates such as GaAs, GaN, SiC, and InP, is growing at significant Compound Annual Growth Rates (CAGRs). However, this requires special deposition techniques for bulk materials growth (such as epilayers or seed layers) and thin layers (such as nucleation layers or passivation layers). In this context, epitaxy equipment (such as MOCVD, HTCVD and MBE) and atomic layer deposition (ALD) equipment are indispensable for MtM market.

Epitaxy equipment market driven by power GaN, power SiC, VCSEL and microLED is expected to increase by a factor of 1.58 X and reach 1.1B$ by 2026. Though MOCVD represents the biggest market size, HTCVD provides the key growth opportunity. It is also intriguing to see that China is the major driver for such equipment, where an overcapacity build-up might be happening.

ALD equipment market almost doubles, growing from $345M in 2020 to $680M in 2026, driven by photonics (30% CAGR), power electronics (12% CAGR) and wafer level encapsulation (13% CAGR). Many existing ALD equipment vendors diversify the lineup between 200 mm and 300 mm platform while more vendors appear worldwide.

This webinar is co-presented by two Yole Développement analysts from Semiconductor Manufacturing team, Vishnu Kumaresan and Taguhi Yeghoyan, and one System Plus Consulting Technology & Cost Analyst, Amine Allouche.

Yole Développement will explain latest advancement in the equipment from technology and market point of view as well as discuss epitaxy and ALD ecosystem.

System Plus Consulting will present some real examples of SiC and GaN epitaxy structures in power electronic devices and their impact on final device manufacturing cost.

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  • Taguhi Yeghoyan

    Technology & Market Analyst

  • Vishnu-KUMARESAN-rounded-ronde-photo

    Vishnu Kumaresan

    Technology & Market Analyst, Semiconductor Manufacturing

  • Amine Allouche

    Technology & Cost Analyst


Yole Développement provides market researchtechnology analysisstrategy consultingtargeted media, and financial advisory services.

With a strong focus on emerging applications using silicon and/or micro manufacturing since 1998, Yole Développement has expanded to include more than 80 collaborators worldwide covering Photonics – Lighting – Imaging – Sensing & Actuating – Display – RF Devices & Technologies – Compound Semiconductors & Emerging Materials – Power Electronics – Batteries & Energy Management – Semiconductor Packaging and Substrates – Semiconductor Manufacturing – Memory – Computing and Software.

The market research, technology and strategy consulting company Yole Développement, along with its partners System Plus Consulting and PISEO – all part of the Yole Group of Companies-, support industrial companies, investors and R&D organizations worldwide to follow technology trends to grow their business and help them understand the 6 specific markets.

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System Plus Consulting specializes in the cost analysis of electronics, from semiconductor devices to electronic systems. Created more than 20 years ago, System Plus Consulting has developed a complete range of services, costing tools and reports to deliver in-depth production cost studies and estimate the objective selling price of a product. System Plus Consulting engineers are experts in:
Integrated Circuits – Power Devices & Modules – MEMS & Sensors – Photonics – LED – Imaging – Display – Packaging – Electronic Boards & Systems.
Through hundreds of analyses performed each year, System Plus Consulting offers deep added-value reports to help its customers understand their production processes and determine production costs. Based on System Plus Consulting’s results, manufacturers are able to compare their production costs to those of competitors. System Plus Consulting is a sister company of Yole Développement.