Semiconductor Assembly and Testing Services (SATS) Market : Surging Adoption of Consumer Electronics Will Drive Demand for SATS Providers: Global Industry Analysis and Opportunity Assessment 2015-2021

1. Semiconductor Assembly and Testing Services (SATS) Market : Surging Adoption of Consumer
Electronics Will Drive Demand for SATS Providers: Global Industry Analysis and Opportunity
Assessment 2015-2021
Semiconductor Assembly and Testing Services (SATS) Market :
Insights into the Competitive Scenario of the Market
The global market for semiconductor assembly and testing services (SATS) will continue to be
primarily driven by the surging demand for high-end packaging solutions. The global
semiconductor assembly and testing services market will possibly reach a value of US$ 24.72 Bn
by 2016 end. The market will gain continued traction communication vertical. Asia Pacific will
remain the most attractive market for semiconductor assembly and testing services.
Increased demand for outsourced SATS or OSAT services will be a remarkable trend favouring
the growth of the global SATS market. With the rapidly thriving consumer electronics industry,
the demand for connectivity and mobility is also on the rise, which is foreseen to be an important
booster to the demand for connected devices, eventually fostering the semiconductor assembly
and testing services market.
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services-market
Rising adoption of multimedia technology devices is identified to be another factor bolstering the
demand for SATS. A number of SATS providers offer value added services, such as in-house
testing and high-end packaging, which will remain an important driver to the market growth.
Several integrated design manufacturers are increasingly prioritising semiconductor assembly
and testing services as a time-efficient alternative.
Moreover, rising demand for automotive safety systems is expected to be a strong factor
providing impetus to the SATS market. Due to higher costs associated with larger wafer
fabrication factory, manufacturers are largely inclined toward outsourcing semiconductor
assembly and testing services to third party providers. Leading fabless companies will continue
to outsource everything, including testing, assembly, and packaging of semiconductor. This will
favour the market growth. Rising adoption of automotive electronics and promising emergence
of next-generation electronic vehicles are likely to boost the market growth further.

2. This 222 page report gives readers a comprehensive overview of the Semiconductor Assembly
and Testing Services (SATS) Market. Browse through Table. Browse through 98 figures and 23
data tables to unlock the hidden opportunities in this market.
On the basis of packaging solution, the copper wire and gold wire bonding segment is expected
to retain the leading segment position with over 53% market value share, accounting for the
revenues of around US$ 13.24 Bn in 2016. However, the growth of this segment is likely to
witness sluggish growth post-2016. The flip chip segment is foreseen to exhibit a robust growth
rate, contributing around 18% share to the entire market revenues in 2016. This segment will
witness an impressive Y-o-Y growth of 8.6% in 2017 over 2016.
Based on application, communication segment is projected to remain dominant, whereas
consumer electronics application segment is likely to register a stellar growth rate in terms of Y-
o-Y.
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By regional analysis, the global semiconductor assembly and testing services market is
segmented into four key markets viz. North America, Europe, Asia Pacific, and Middle East and
Africa. APAC will remain the dominant market with over 84% market value share in 2016 but is
anticipated to witness a consistent Y-o-Y decline post-2016. On the other side, North America is
likely to see a consistent gain in the Y-o-Y growth post-2016. This region will account for over
31% share of the market in 2016, in terms of revenues.
Some of the key companies operating in the global marketplace for semiconductor assembly and
testing services (SATS), include Amkor Technologies Inc., ASE Group, Silicon Precision
Industries Co. Ltd., STATS ChipPAC Ltd. (JCET), Psi Technologies Inc. (IMI), Powertech
Technology Inc., Global Foundries, CORWIL Technology corporation, and Chipbond
Technology Corporation.
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