YG PRESS NEWS – Semiconductor equipment subsystems: after a sluggish Q1 2024, towards an imminent growth in Q2 2024?
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Q1 2024 witnessed sluggish performance in the semiconductor-related subsystem, component, and module markets. However, growth is anticipated to commence from Q2 onwards.
- 2023 witnessed a cyclical market downturn of the global semiconductor industry. According to Yole Group, the industry went down by 6.8% YoY in 2023.
- 2024 is expected to be a growth year for subsystem suppliers, although in the mid-single digit range. All segments will benefit from this growth with slightly different dynamics in between them.
- 2024 will also be a transition year; after a muted Q1, Yole Group forecasts an acceleration of QoQ growths throughout 2024, possibly prefigurating a strong 2025 year.
According to Yole Group, in the Semiconductor Equipment Subsystems Market Monitor Q1 2024, in Q1 2024, subdued activity persists across all subsystem market segments. Although inventory levels remain elevated at OEMs, there has been a slight decline, signaling a potential ongoing trend in the subsequent quarters. The power and fluid management sectors continue to feel the effects of the sluggish recovery in memory markets. Nevertheless, there are promising signs on the horizon: increasing capital expenditure and fabrication utilization rates, alongside a gradual uptick in orders from suppliers. The introduction of HBM memory later this year could serve as a catalyst, partially alleviating the downturn in the DRAM memory market. Yole Group anticipates not only revenue growth in the next three quarters but also an acceleration throughout 2024, hinting at a potentially robust year in 2025… For more information about this analysis, please contact us!
