The global Physical Vapor Deposition market is expected to reach USD 29.70 Billion by 2026, according to a new report by Reports and Data. It is a combined set of processes deployed to deposit thin layers of material, usually ranging from few nanometers to several micrometers.
Several drivers including the rising demand from the semiconductor industry, which has deployed physical vapor deposition on a large scale, have fueled the growth of market. The growing demand for microelectronics in various application areas like the automotive industry is playing a significant role in driving market growth. The worldwide increase in demand for consumer electronic goods such as IoT devices and portable devices like smartphones are also expected to fuel market growth.
Moreover, PVD coatings provide excellent decorative finishings that increases its application in several areas, boosting the market growth in upcoming years. PVD coating cutting tools run faster, thereby reducing cycle time and increasing demand for the cutting tools.
The requirement of high capital investment is a major factor that may create hindrances in the market growth during the forecast period. The market is also restricted by strict regulations as regards to the prevalent PVD technologies. Strict legislation is creating barriers for new entrants, which in turn, reduces the competition and hinders the market growth.
Further key findings from the report suggest
- PVD equipment typically encompasses vacuum, heating, condensation, and coating equipment. PVD equipment contributed to the largest market share occupying 60% of the market in 2018 and is estimated to have a CAGR of 5.9% during the forecast period.
- PVD services comprise the installation of equipment and coating services. Growth in end-use industries like microelectronics industry and solar products industry is anticipated to stimulate growth of the PVD services market. PVD services are likely to witness the fastest growth rate of 6.2% in the forecast period.
- Microelectronics contributed to the largest market share with around 40% of the market share, in terms of revenue, in 2018.
- Medical equipment is estimated to be an important application segment witnessing a growth rate of 6.2% in the period 2019-2026. Increase in expenditure by governments across the globe to provide basic healthcare facilities is likely to support the market demand for medical devices and equipment, consequently propelling market growth.
- The market in Asia Pacific region dominated the market in 2018 and is expected to have a growth rate of 6.1% in the forecast period. Countries, such as China, India, and Japan are likely to lead the market in terms of market demand.
- Key participants include AJA International Inc., Applied Materials Inc., Advanced Energy Industries Inc., Angstrom Engineering Inc., Intevac Inc., CHA Industries, Denton Vacuum, Oerlikon Balzers, Impact Coatings AB, and Johnsen Ultravac among others.
- The Endura Al Slab PVD system by Applied Materials Inc., a key player in the market, deposits aluminum over tungsten plugs in Logic and DRAM devices to form metal wiring. The system offers superior electromigration resistance and surface morphology along with the low cost of ownership and high system reliability.