Semiconductor Assembly and Testing Services (SATS) Industry : Key Trends, Challenges, Standardization and Forecast

The SATS market is anticipated to have substantial growth mainly driven by the increasing costs for advanced packaging solutions. However, with increasing competition, the price is expected to decrease in the foreseeable future. Major drivers propelling the market include: increasing demand for mobility and connectivity in consumer electronic products and increasing demand of advanced electronic systems in the automobiles Additionally, increasing demand for mobility and connectivity in the consumer electronic products and ability of SATS providers to facilitate a more efficient supply chain and reduced time-to-market are few other factors propelling the market growth. SATS providers offer additional features over in-house testing and packaging capabilities which is one of the primary factors for Integrated Device Manufacturers (IDM) to outsource the SATS services. In addition, the global market of semiconductor assembly and test services has been witnessing the emergence of strategic alliances and collaborations among the leading providers and manufacturers due to rising financial pressures.

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Currently, more than 50% of the market accounted for Outsourced Semiconductor Assembly and Testing (OSAT) services, and this fraction is expected to increase during the forecast period. Although many of the low-end SATS providers are competing on price-driven products, the leading players including ASE group, STATS ChipPAC Ltd., Amkor technology Inc. and Siliconware Precision Industries Co., Ltd (SPIL) are focusing on obtaining the competitive edge by targeting the advanced expensive packages.

To understand and assess the opportunities in this market, the report is categorically split into three sections, namely, market analysis by services, application, and region. The services section is further sub-segmented on the basis of interconnecting technologies. The report analyzes the global semiconductor assembly and testing services market in terms of market value (US$ Mn).

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The report starts with an overview of the global semiconductor assembly and testing services market and usage of these services in various applications across the globe. In the same section, PMR covers the global semiconductor assembly and testing services market performance in terms of revenue. This section includes PMR’s analysis of key trends, drivers, and restraints from supply and demand perspectives. Impact analysis of key growth drivers and restraints, based on the weighted average model, is included in this report to better equip clients with crystal clear decision-making insights.