Die Attach Machine Market Expected to Reach $2.1 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Die Attach Machine Market," The die attach machine market size was valued at $1.2 billion in 2021, and is estimated to reach $2.1 billion by 2031, growing at a CAGR of 5.9% from 2022 to 2031.

Commonly observed types of die attach machines are flip chip bonder and die bonder. Among these, the die bonder segment accounted for the largest die attach machine market share by revenue in 2021, owing to an increase in demand from various industries such as semiconductor equipment, chip assembly, and others. Moreover, the market is analyzed with respect to different applications of die attach machines such as in making RF and MEMS, optoelectronics, logic, memory, CMOS image sensors, LED, and others.

Among all these segments, the LED segment accounted for a larger market share in 2021, in terms of revenue. This is attributed to the rising in demand for products such as LED displays, LEDs, and other products that incorporate LED circuits. Furthermore, the optoelectronics segment is anticipated to grow with a higher CAGR during the forecast period, owing to a rise in semiconductor industrial projects and growth in initiatives for smart cities.  

The market is mainly driven by global economic growth and development in hybrid chips, and semiconductor memory industry sectors. However, fluctuations in raw material prices restrain the growth of the die attach machine market.  

In 2021, Asia-Pacific accounted for a larger revenue share of the market, followed by Europe and North America. Moreover, the market in Asia-Pacific is anticipated to dominate the die attach machine market forecast by growing with the highest CAGR. Asia-Pacific has a high concentration of industries such as consumer electronics, industrial, telecommunications, data centers, and automotive that utilize semiconductors in significant numbers. Moreover, in March 2023, the government of the country and Samsung a major manufacturer of chips announced that the Samsung will invest $230 billion to build world’s largest chip manufacturing facility in the Gyeonggi province, which is part of the Seoul Metropolitan area. In addition, LAMEA is also emerging as a significant contributor to the die attach machine market, owing to urbanization and economic development in developing countries such as Brazil, Argentina, and others. Samsung has invested $20 million in year 2020 for the growth of electronic products such as Televisions at the Dube Trade Port in South Africa's KwaZulu-Natal region in response to increased consumer demand in Africa. 

Moreover, favorable government policies to promote industries such as automotive and electronics across the globe drive the demand for the die attach machine market. In addition, an increase in demand for LED chips propels the die attach machine market growth.  

Further, there has been significant growth in the semiconductor industry in recent years and it is projected to grow significantly in the future. For instance, according to the data published by Semiconductor Industry Association (SIA) in February 2022, the semiconductor industry sold 1.15 trillion semiconductors totaling $555.9 billion in 2021. This is an increase of 26.2% compared to the 2020 total of $440.4 billion. However, the semiconductor industry growth is expected to witness a slow growth rate of 4.1% in 2023, as forecasted by the World Semiconductor Trade Statistics (WSTS). These scenarios are expected to affect the growth of the die attach machine market during the forecast period. 

However, during the pandemic, various manufacturers in the die attach machine market had to stop their business in countries such as China, the U.S., and India. This directly impacted the sales of die attach machine manufacturers. In addition, the lack of manpower and raw materials also constricted the supply of equipment of die attach machines. However, the reopening of production facilities and introduction of vaccines for coronavirus disease are anticipated to lead to the re-opening of die attach machine companies.  

The die attach machine market has witnessed significant growth in the past decade, owing to a rise in semiconductor manufacturing activities in developing countries and an increase in demand for semiconductor assembly equipment and machinery. Moreover, key players in the die attach machine industry are partnering with other companies to strengthen their foothold in the global market. For instance, in October 2020, BE Semiconductors Industries N.V. formed a joint venture with Applied Materials to accelerate Chip Integration Technology for Die-based Hybrid Bonding in equipment solutions. 

Key Findings of the Study 

• The report provides an extensive analysis of the current and emerging die attach machine market trends and dynamics.   

• Depending on the type, the flip chip bonder segment is anticipated to grow with a higher CAGR. 

• By Technique, the epoxy segment accounted for a higher revenue share of the market share in 2021. 

• By application, the LED segment dominated the die attach machine market, in terms of revenue in 2021. 

• Asia-Pacific is projected to register the highest growth rate in the coming years.  

• The key players within the die attach machine market are profiled in this report, and their strategies are analyzed thoroughly, which help understand competitive outlook of the die attach machine industry.  

• The report provides an extensive analysis of the current trends and emerging opportunities in the market.   

• In-depth die attach machine market analysis is conducted by constructing estimations for the key segments between 2022 and 2031.