According to recent SEMI Fab Database reports, spending on fab construction projects and fabs equipping will likely see double digit declines in 2008 as many fab construction projects are put on hold or pushed out to end of the year or into 2009. Spending on equipping fabs in 2008 is expected to decline 15% compared to the 9% growth last year. The analysis represents a downward revision of the outlook reported in the October 2007 Fab Database Report.
The reports indicate a decline in equipment spending by almost 10% for foundries, about 15% for memory, and about 30% for the logic/MPU segment.
Spending on fab construction projects is expected to decline in 2008 by 9%, compared to the strong growth in 2007. In 2008, 12 new volume fabs are expected to start construction, which represents a total capacity addition when fully operational of 1.53 million wafers per month (wpm) in 200 mm equivalents. The five biggest spenders on fab construction projects in 2008 are expected to be Flash Alliance (Toshiba/Sandisk JV), Samsung, Hynix, Rexchip (Elpida/Powerchip JV) and Powerchip.
Semiconductor manufacturing capacity is projected to grow by about 11% in 2008, which is consistent with the numbers reported in the October 2007 edition of the report. Memory still retains the largest share of total fab capacity, and is expected to increase this year to 41% from 38% in 2007.
Memory fabs are projected to increase capacity by 18% year over year, followed by logic/MPU, which are expected to see five percent growth. Foundries are forecasted to add about eight percent more capacity.
More info: SEMI Worldwide Fab Database Reports