analysis of the global dimensional metrology market in electronic manufacturing
TRANSCRIPT
Analysis of the Global Dimensional Metrology Market in
Electronic Manufacturing Emphasis on Nanotechnology Increases Demand for High-precision Equipment
NC48-30
May 2013
2 NC48-30
Research Team
Aravind Govindan Senior Research Analyst
Measurement & Instrumentation
Lead Analyst
Research Manager
Vijay Mathew Program Manager
Measurement & Instrumentation
Corporate Communications
Jeannette Garcia Corporate Communications- North America
Measurement & Instrumentation
+1.210.477.8427
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Section Slide Numbers
Executive Summary 4
Market Overview 10
Total Dimensional Metrology Market in the Electronic Manufacturing Industry -
• External Challenges: Drivers and Restraints 18
• Forecasts and Trends 28
• Market Share and Competitive Analysis 42
Bridge-type CMM Segment Breakdown 49
Vision Measuring Machine Segment Breakdown 56
Optical Digitizer Scanners (ODS) Segment Breakdown 64
North American Breakdown 71
Europe Breakdown 75
Asia-Pacific Breakdown 81
Rest of World Breakdown 87
The Last Word 92
Appendix 95
Contents
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Executive Summary
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Electronic manufacturing companies in developed economies have been at the forefront of
adopting dimensional metrology to streamline the quality process and improve manufacturing
efficiency. Dimensional metrology enables end users to measure an object and helps in
identifying production errors before it is supplied in the market.
Dimensional metrology equipment helps in the research and development of products in
terms of measuring the size, structure, and ergonomics of the product.
The competitive landscape in this market is dominated by major product manufacturers with
very well-defined product suites for the electronic manufacturing industry.
Customization of both technology and product means significant growth opportunity in the
market.
Key end users of dimensional metrology in electronic manufacturing are the integrated circuit
manufacturers, micro electro mechanical systems (MEMS) manufacturers, research and
development labs, and electronic fabrications (fabs).
Due to increasing globalization, the electronic manufacturers in emerging markets are
beginning to acknowledge the need for incorporating high-precision metrology equipment in
their manufacturing as well as quality inspection.
Source: Frost & Sullivan
Executive Summary—Market Overview
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Executive Summary—Market Overview (continued)
At present, the global dimensional metrology market in electronic manufacturing is in a
development stage with immense potential for growth over the next decade.
Dimensional metrology in electronic manufacturing is at the development stage and
generated revenue of $190.9 million in 2012, at a growth rate of 5.4% over the previous year.
Asian countries are expected to showcase more demand for low-cost applications, whereas
developed countries, such as the US and Europe, use high-end machines for research and
development activities.
A main factor driving demand for the dimensional metrology market in electronic
manufacturing is the continuous development of advanced nanotechnology, flexible
electronics, smart materials, and green manufacturing.
Even though few dimensional metrology manufacturers are focusing on building products for
advanced electronic manufacturing using the latest technologies, such as a multi-sensor
system, there are huge opportunities in Asia-Pacific market for selling low-cost dimensional
metrology equipment.
Frost & Sullivan believes there will be moderate growth in Asia-Pacific, picking up a low
double-digit growth over the next few years.
Source: Frost & Sullivan
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Compound
Annual Growth
Rate
5.0%
(CAGR, 2012-2017)
Market
Concentration
29.2%
(% of market share held by
top 3 companies)
Market Stage
Growth
Market Revenue
$190.9 M
(2012)
Market Size at
End of Forecast
Period
$255.3 M
(2017)
Base Year
Market Growth
Rate
5.4%
Customer Price
Sensitivity
9
(scale:1 [Low] to 10 [High])
Degree of
Technical
Change
7
(scale:1 [Low] to 10 [High])
Total Dimensional Metrology Market in the Electronic Manufacturing Industry: Global, 2012
For a tabular version click here. Stable Increasing Decreasing
Average Price
Per Unit
$40,000
Market Overview
Note: All figures are rounded. The base year is 2012. Source: Frost & Sullivan
Executive Summary—Market Engineering Measurements
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Average
Product
Development
Time
2
Years
Number of
Companies that
Exited*
0
(2012)
Number of
that Entered*
0
(2012)
Number of
Competitors
More than
75 (active market competitors in
base year)
Attachment
Rate
3
(current number of units per
user – base year)
Competitor Overview
Stable Increasing Decreasing
Total Addressable Market Industry Advancement
Marketing
Spend as a
Percent of
Market Revenue
3-5%
R&D Spend as a
Percent of
Market Revenue
8-10%
*Companies with revenue of more than $1 M.
Replacement
Rate
10-12
Years (average period of unit
replacement)
Note: All figures are rounded. The base year is 2012. Source: Frost & Sullivan
Executive Summary—Market Engineering Measurements
(continued)
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2 Reliability and flexibility solutions will gain
greater prominence among end users.
3
4 There is a clear drive toward products with
flexibility and multi-tasking capabilities.
5
Increasing the relationship with big
semiconductor and consumer electronic
manufacturers will increase sales of high-end
machines.
1 The market is growing at a slow but steady
pace.
Increasing indirect sales partnerships in the
Asia-Pacific market are expected to bring in
more leads.
Source: Frost & Sullivan
Executive Summary—CEO’s Perspective
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Market Overview
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This study is broadly categorized into the following segments:
Vision Measuring Machines (VMMs)
Measuring Microscopes: These are the oldest optical measurement systems in the world. They are
constructed using two compound microscopes in order to perform both two and three-dimensional
measurement. Initially an analog instrument, technological advancement has led to an interfacing with
computers for better analysis.
Profile Projectors: The most common of vision equipment, these systems are very simple in principle.
The image of the object under test is projected onto a screen with a two-dimensional axis present for
measurement by reference. They can be classified as horizontal or vertical depending whether the line of
vision is parallel or perpendicular to the ground.
Multi-sensor Systems: The working principle involves measurement of a test piece by means of different
probes, both contact and non-contact. With instant capture and analysis using the most advanced video
systems, they are categorized as manual and automated systems. The automated systems use computer
numeric control (CNC) to make automatic measurements.
Source: Frost & Sullivan
Market Overview—Product Definitions
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Market Overview—Product Definitions (continued)
Coordinate Measuring Machines (CMM)
Bridge-type CMM: A bridge machine that has a horizontal frame supported by two vertical columns; the
machine arm is vertically suspended to measure the work piece.
The gantry-type CMM, with horizontal arm and articulated arm machines, are not widely-provided
solutions for dimensional metrology vendors in the medical devices industry. Hence, those technologies
are not being covered in this study.
Optical Digitizer Scanner (ODS) Market
White Light Scanners: White light scanner machines are used to measure physical geometry. White
light scanners are the most preferred for the measurement of physical geometrical characteristics.
Laser Tracker: The laser tracker technology is appropriate for measuring large objects in the automotive
and aerospace industry. The research study focuses on semiconductor and consumer electronics in the
electronic industry. Semiconductor boards and consumer electronics are relatively small in size.
Measurement of small objects using laser tracker is not an appropriate solution for the electronics
industry. Dimensional metrology vendors do not provide laser tracker technology solutions to the
electronic industry. Hence, laser tracker technology is not covered in this study.
3D Laser Scanners: The usage of 3D laser scanners in electronic manufacturing has been limited.
Hence, 3D laser scanners are not included in this study.
Source: Frost & Sullivan
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Market Overview—Regional Segmentation
This research covers four regions, as defined below:
• North America: The United States and Canada
• Europe: Western and Eastern Europe, including Russia
• Asia-Pacific: Countries on the western border of the Pacific Ocean, including those on the Indo-Chinese
Peninsula, the Pacific islands, and Central Asia
• Rest of World: Latin America (Brazil, Mexico, Argentina, Central America, and South America) and
regions not mentioned above, particularly the Caribbean Islands, the Middle East, and Africa.
The study covers the following years:
• Base year: 2012
• Forecast period: 2013-2017
Key end-user segments include:
• Semiconductor manufacturers
• Semiconductor research and development companies
• System integrators
• Consumer electronics
Source: Frost & Sullivan
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Market Overview—End Users of the Dimensional
Metrology Market
Semiconductor Industry Value Chain
Fabless
Semiconductor
Companies Pure-play research
and development
firms,
manufacturing
outsourced to
foundries
(Qualcomm,
Marvell,
Broadcomm,
nVidia, Xilinx).
Subcontract
Manufacturers Semiconductor
manufacturing
companies
outsource to
subcontractors in
Asia-Pacific
because
outsourcing
reduces costs in
manufacturing.
Assembly and
Test Services
Assembly facilities
are where the
manufacturing
process is
completed. The
wafer is cut with a
diamond saw,
separating the
microprocessors.
Integrated
Device
Manufacturers
This is a vertically-
integrated
enterprise with a
complete product
life-cycle in house
(Intel, Samsung,
and
STMicroelectronic).
Wafer
Fabrication
Taiwan
Semiconductor
Manufacturing
Company, United
Microelectronics
Corporation, and
Semiconductor
Manufacturing
International
Corporation.
Note: Companies engaged in the above-mentioned business areas have been identified as the key end users of
dimensional metrology equipment. This research service focuses on conventional dimensional solutions such as CMM,
ODS, and VMM. Research indicates that the leading semiconductor manufacturers also provide high-end metrology
solutions; however, these solutions have not been included in the scope of the research.
Source: Frost & Sullivan
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Market Overview—Key Questions This Study Will Answer
Is the market growing, how long will it continue to grow, and at what rate?
Are the existing competitors structured correctly to meet customer needs?
What are the latest key technological trends in the market? What impact do these trends have on
the dimensional metrology market in electronic manufacturing?
Is the market going back to the levels seen in 2008? How will the structure of the market change
over time?
Which of the regional markets represents most of the growth opportunities for the dimensional
metrology products ?
Which of the technology represent most of the growth opportunities for the dimensional metrology
market in electronic manufacturing?
Source: Frost & Sullivan