SMIC China Sanctions – Headwinds For Applied Materials And Lam Research

SMIC China Sanctions – Headwinds For Applied Materials And Lam Research
by Robert Castellano on 10-05-2020 at 6:00 am

Micron Technology and SMIC C1

On September 26 there were media reports that the U.S. Commerce Department has added China’s largest chipmaker, Semiconductor Manufacturing International Corporation (SMIC) , to its entity list, after it determined there an “unacceptable risk” that equipment SMIC received could be used for military purposes

U.S. firms would… Read More


Why I’m Lowering Semiconductor Equipment Revenue Growth to -6.9% in 2020

Why I’m Lowering Semiconductor Equipment Revenue Growth to -6.9% in 2020
by Robert Castellano on 04-09-2020 at 10:00 am

Applied Materials Lam lower C2

Because of significant $4 billion in equipment pull-ins in Q4 from sales in Asia, I was reducing my semiconductor wafer front-end (WFE) equipment revenue growth from an earlier +5% to 0% in 2020. Now, based on CORVID-19, I am further reducing revenue growth to -6.9%.

Chart 1 also shows the cyclical nature of semiconductors and semiconductor… Read More


ASML Will Take Semiconductor Equipment Lead from Applied Materials in 2019

ASML Will Take Semiconductor Equipment Lead from Applied Materials in 2019
by Robert Castellano on 12-02-2019 at 10:00 am

For the first time since 1990, Applied Materials is poised to lose its lead in the semiconductor equipment market, according to my recently published report “The Global Semiconductor Equipment: Markets, Market Shares, Market Forecasts.

Applied Materials, which has been losing market share in the wafer front end (WFE) equipment… Read More


The China trade issue is back with a vengeance!

The China trade issue is back with a vengeance!
by Robert Maire on 08-06-2019 at 10:00 am

Watching the boats go by in Shanghai-

As I write this note I happen to be looking out my hotel window over the Bund onto the brightly lit party boats cruising the Huangpu river that meanders through Shanghai.  All is well here in China and the parties on the boats with millions of LEDs go on……

The view from China is that the… Read More


Semiconductor Equipment Revenues To Drop 17% In 2019 On 29% Capex Spend Cuts

Semiconductor Equipment Revenues To Drop 17% In 2019 On 29% Capex Spend Cuts
by Robert Castellano on 04-25-2019 at 7:00 am

The semiconductor equipment market grew 37.3% in 2017 on the heels of capex spend by memory companies in order to increase bit capacity and move to more sophisticated products with smaller nanometer dimensions. Unfortunately these companies overspent resulting in excessive oversupply of memory chips. As memory prices started… Read More


Semiconductor Equipment Companies Facing Significant Headwinds in 2019

Semiconductor Equipment Companies Facing Significant Headwinds in 2019
by Robert Castellano on 02-13-2019 at 12:00 pm

In January 2019, the memory market has been hit with a significant amount of negative news.

  • On Jan. 15, DRAM manufacturer Nanya Technology reported its Q4 2018 revenue was $551 million, down 30.4% QoQ.
  • On Jan. 24, 2019, SK Hynix reported Q4 2018 earnings. Revenues fell 13.7% QoQ to $8.7 billion, while operating profit amounted to
Read More

The Disconnect Between Semiconductor and Semiconductor Equipment Revenues

The Disconnect Between Semiconductor and Semiconductor Equipment Revenues
by Robert Castellano on 11-27-2018 at 7:00 am

Historically, the semiconductor and semiconductor equipment industry were inextricably linked due to the cyclical nature of the chip industry. An increase in semiconductor revenues was followed within a short period with an increase in equipment revenues, as semiconductor companies purchased equipment to make more chips… Read More


Further delays in KLAM deal not a good omen

Further delays in KLAM deal not a good omen
by Robert Maire on 08-14-2016 at 4:00 pm

Deal likely getting worse as time & remedies go by…
Just a couple of short weeks ago on the earnings conference call, Lam management was adamant about the KLAM deal getting done and done by the Oct 20th deadline. Martin Anstice, the CEO , went to great lengths to tell us that the deal was under control, was going to happen,
Read More


Diversity of chip segments had tempered downturns but no more?

Diversity of chip segments had tempered downturns but no more?
by Robert Maire on 10-29-2015 at 12:00 pm

* The Current Downturn is more Broadly Based…
* Back to the “bad old days” of Lemmings off a cliff???
* Its not just a Foundry thing…
* All corners of the chip industry are impacted!!!Read More


Just One Month to SEMICON Taiwan

Just One Month to SEMICON Taiwan
by Paul McLellan on 08-07-2015 at 7:00 am

SEMICON Taiwan is the first week of September in the Taipei Nangang Exhibition Center. To be precise it is September 2nd to 4th. Last year there over 26,000 people attended. This year it is the 20th anniversary show. SEMICON Taiwan attracts the world’s leading technology companies who design, develop, manufacture, and supply … Read More