The SEMI World Fab Forecast indicates that capital expenditure will increase to $41.1 billion in 2011, the highest on record. This new prediction is revised downwards to a 23% increase (from 31% increase predicted in May 2011), as some companies have adjusted plans due to broader economic conditions. Although 2012 spending will decline, the total for 2012 may still be the second highest on record.
“Changes in the global economy affect the semiconductor industry. Economic developments in recent months decreased consumer confidence and spending, and the semiconductor industry has reacted to this slowdown,” said Christian Gregor Dieseldorff, senior analyst of fab information in the SEMI Industry Research and Statistics group.
In 2011, SEMI counts 223 facilities spending on equipment. Of these, 77 projects are for LED dedicated facilities. Next year, 190 facilities will start or continue equipping, with 72 LED projects.
The highest spending in 2011 occurs in the Americas with about $10 billion, followed by Taiwan with about $9 billion. The Americas region last led spending in 2002. Although Intel spends the most, another key reason for America’s lead is Samsung’s spending of about $2.5 to $3 billion in their Austin fab, dubbed the “S2-line.” In 2012, Korea is predicted to step ahead of the Americas, with over $10 billion in fab equipment spending, followed by Taiwan at $9.2 billion.