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Asia-Pacific Semiconductor Assembly and Testing Services Market Forecast to 2028 - COVID-19 Impact and Regional Analysis By Services and Application

Asia-Pacific Semiconductor Assembly and Testing Services Market Forecast to 2028 - COVID-19 Impact and Regional Analysis By Services and Application

  • May 2021
  • 125 pages
  • ID: 6075643
  • Format: PDF
  • The Insight Partners
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The APAC semiconductor assembly and testing services market is expected to grow from US$ 29,883.56 million in 2020 to US$ 42,517.76 million by 2028; it is estimated to grow at a CAGR of 4.7% from 2021 to 2028. The technological upgrades in semiconductor packaging techniques are boosting the APAC semiconductor assembly and testing services market growth. The integrated circuit (IC) manufacturers incorporate newer chip-packaging options such as 2.5D ICs and 3D ICs into their production processes for ensuring high performance at low costs. These advanced packaging technologies are in their initial phase, claiming greater chip connectivity and lower power consumption over the traditional packaging configurations. With the adoption of advanced packaging technologies, the semiconductor equipment is likely to garner high demand in future. Additionally, amid the widespread trend of digitalization and the Internet of Things (IoT) as well as growing popularity of smartwatches and IoT devices, the modern packaging technologies, such as embedded die packaging, help companies offer advanced electronic devices to consumers. The embedded die packaging technology supports new features such as health monitoring, activity monitoring, and internet connectivity in smart wearables.

India is the worst-hit country by the COVID-19 pandemic in APAC.Countries such as China, India, South Korea, and Japan are moving toward new networking solutions such as 5G, 4G, and VoLTE.

China and India are the most prominent manufacturing hubs in the region and have an enhanced focus on industrialization. However, the imposition of social distancing measures, partial lockdown, travel and transport restrictions, etc., to control the disease spread is limiting the growth of the manufacturing sector in several APAC countries. However, demand for advanced electronics such as a smartwatches, smart wearables, and healthcare machines has risen significantly in APAC. Moreover, companies in Asia have restructured their capabilities by adopting strategies such as automation, partnerships, and acquisitions. Owing to such positive outlook, the manufacturing sector is likely to recover soon by enhancing its production capabilities in the second half of 2021. Further, the increasing efforts toward the development of new airports and rising defense expenditure in countries such as China and India are providing growth opportunities to the semiconductor assembly and testing services market players in this region.

The automotive segment is expected to register the highest CAGR in the market during forecast period.The inclusion of semiconductor technologies in vehicle designs has become a major for supporting the continuous growth of the automotive industry.

At present, cars are more sophisticated, and the average new vehicles have computer systems that run on over 100 million software codes.Vehicles these days are incorporated with a range of telematics (long-distance data transmission) and infotainment capabilities, which are transforming them into mobile hotspots.

The infotainment capabilities are also essential for feeding drivers information on various aspects, ranging from collision avoidance to available parking spot locations.The increasing production of vehicles, leading to the rise in demand for automotive semiconductors, is thus driving the semiconductor assembly and testing services market in APAC.

Further, the growing trend of vehicle electrification and burgeoning demand for advanced features, convenience, comfort, and safety systems are contributing to the market growth in the region. Vehicle manufacturers focus on providing better convenience and comfort to their customers by conferring features such as safety, telematics, and infotainment systems to gain an edge over their competitors; this escalates the demand for semiconductor devices as well as semiconductor assembly and testing services.
The APAC semiconductor assembly and testing services market size has been derived using both primary and secondary sources.To begin the research process, exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the APAC semiconductor assembly and testing services market.

The process also serves the purpose of obtaining overview and forecast for the APAC semiconductor assembly and testing services market with respect to all the segments pertaining to the region.Also, multiple primary interviews have been conducted with industry participants and commentators to validate the data, as well as to gain more analytical insights into the topic.

The participants of this process include industry expert such as VPs, business development managers, market intelligence managers, and national sales managers—along with external consultants such as valuation experts, research analysts, and key opinion leaders—specializing in the APAC semiconductor assembly and testing services market. Amkor Technology; ASE Group; Chipbond Technology Corporation; Integrated Micro-Electronics, Inc.; JCET Group Co., Ltd.; Powertech Technology Inc.; Siliconware Precision Industries Co., Ltd.; and Unisem Group are among the key companies operating in the market in APAC.

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