Atomic Layer Deposition Market by - Partner & Customer Ecosystem (Product Services, Proposition & Key Features) Competitive Index & Regional Footprints by MarketDigits - Forecast 2024 – 2032

The global atomic layer deposition market size was estimated at USD 1.7 billion in 2022 and is anticipated to expand at a compound annual growth rate (CAGR) of 12.3% from 2023 to 2030.The increasing demand for semiconductor chips used in various electronic products is expected to drive the growth of the semiconductor manufacturing industry during the forecast period. ALD is a technique utilized for depositing materials in semiconductor fabrication. However, the COVID-19 pandemic had a negative impact on the ALD market due to its significant effect on the semiconductor industry and the demand for lithium-ion batteries and solar cells. The market is expected to recover as precautions increase and vaccinations progress.

Growing concerns about global warming and environmental pollution have prompted governments worldwide to invest in and promote the use of electric vehicles, leading to a rise in the demand for lithium-ion batteries. The application of ALD for depositing Nanostructured materials in lithium-ion batteries positively influences market growth. Additionally, the increasing innovation and product development in solar cells, coupled with investments in renewable energy technology, contribute to the growth of the ALD market. Manufacturers of photovoltaic cells in China are adopting ALD technology. The rising demand for lightweight and energy-efficient electronic devices also drives market growth, as ALD is widely used for semiconductor chip fabrication. The automotive sector is another influential segment that contributes to the expansion of the ALD market.

Product Insights:

Thermal ALD is the leading product segment, accounting for 36.3% of global revenue in 2021. This technique enables the formation of uniform layers with precise surface control and conformity, regardless of the surface geometry. It is commonly used for depositing aluminum-containing molecules, particularly aluminum oxide films, which serve as effective permeation barriers due to their pin-hole-free morphology and uniformity. The ease of access to precursor materials and the stability of aluminum oxide films on various substrates contribute to the growth of this segment.

The plasma-enhanced ALD segment is the fastest-growing among all the products, with a projected CAGR of 12.6% during the forecast period. This product offers advantages such as facilitating the deposition of thin films at lower temperatures and achieving higher growth rates compared to traditional deposition methods like thermal ALD. Extensive research in this technology has led to advancements in nucleation and the deposition of particles and polymers. However, due to its high capital costs and specific applications, this technology holds a smaller share of the overall market. ALD on polymers, for example, addresses challenges in space polymers by reducing the erosion rate of oxygen atoms and vacuum ultraviolet exposure in spacecraft.

Application Insights

The electronics and semiconductors segment has been the leading market segment, accounting for 45.2% of the global revenue share in 2022. The increasing demand for electronic components in the automotive industry is expected to drive the demand for semiconductors, positively impacting the atomic layer deposition market. Semiconductor companies are increasing their manufacturing throughput to meet the demand, as reported by the World Economic Forum.

The solar devices segment is projected to be the most promising segment during the forecast period. Government initiatives to shift towards green energy due to the environmental impact of conventional devices and power sources have led to specific measures promoting extensive use of renewable energy. Additionally, the growing acceptance and popularity of solar devices will drive the growth of this segment.

The increasing concerns of global warming have prompted governments to aim at reducing carbon footprints, leading to a higher adoption of environmentally friendly technologies. This has resulted in a rising demand for electric vehicles worldwide, which, in turn, drives the demand for lithium-ion batteries and subsequently boosts the atomic layer deposition market.

Changing consumer preferences and government initiatives to reduce greenhouse gas emissions have also contributed to the rapid growth of the solar sector. Atomic layer deposition is widely used for conformal coatings in solar cells and devices. The solar devices segment is expected to be the fastest-growing application sector during the forecast period.

Regional Insights

Asia Pacific held the largest market share, accounting for 40.6% of the revenue share in 2021, primarily due to the presence of numerous electronics manufacturers in the region. Furthermore, increased government spending on infrastructure development to attract top electronics and automotive manufacturers has a favorable impact on market expansion in this region. The well-established electronics manufacturing base in South Korea, China, and Taiwan has driven the demand for deposition technologies, supported by the rapid modernization and growing economies in these countries.

North America is expected to witness substantial growth, with a projected CAGR of 12.2% over the forecast period. The manufacturing of lithium-ion batteries and solar systems in the U.S. is driven by the increasing number of solar energy projects and data centers built to meet the demand for renewable and sustainable energy sources.

In Europe, adequate government regulatory support to promote domestic-level private investment is a key driver for the expanding semiconductor and consumer electronics industry. Additionally, the increasing demand for atomic layer deposition, particularly in Germany and France, is driving the adoption of this technology in various end-user applications.

Key Companies & Market Share Insights

Manufacturers in the atomic layer deposition market employ various strategies such as acquisitions, mergers, joint ventures, new product developments, and geographical expansions to enhance their market penetration and meet the changing technological requirements of different industries.

Prominent players in the global atomic layer deposition market include Forge Nano Inc., Beneq Group, Oxford Instruments plc, The Kurt J. Lesker Company, Pico sun Oy, SENTECH Instruments GmbH, Arradiance, LLC, NCD Co. Ltd., Lam Research Corporation, ASM International, Applied Materials, Inc., Veeco Instruments Inc., and CVD Equipment Corporation. These companies have undertaken regular technological upgrades and product launches to manufacture high-quality conformal films and achieve sustainability in the sector. For example, in July 2021, Pico Sun Group collaborated with Hermes-Epitek Corporation Pte. Ltd to establish a global network for sales and service of semiconductor and optoelectronic manufacturing equipment.

Global Atomic Layer Deposition Market Segmentation

This report forecasts revenue growth at global, regional & country levels and provides an analysis on the industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global atomic layer deposition market based on the product, application, and region:

• Product Outlook (Revenue, USD Million; 2023 - 2030)
  • Thermal ALD
  • Metal ALD
  • Plasma-enhanced ALD
  • Others
• Application Outlook (Revenue, USD Million; 2023 - 2030)
  • Electronics & Semiconductors
  • Solar Devices
  • Medical
  • Others
• Regional Outlook (Revenue, USD Million; 2023 - 2030)
  • North America
    • U.S.
    • Canada
    • Mexico
  • Europe
    • U.K.
    • Germany
    • France
    • Italy
  • Asia Pacific
    • China
    • India
    • Japan
    • Australia
  • Central & South America
    • Brazil
    • Argentina
  • Middle East & Africa
    • South Africa
    • UAE