PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1373914
PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1373914
Surface mount technology market size was valued at USD 5,108.9 Million in 2022, expanding at a CAGR of 8.2% from 2023 to 2030.
Surface mount devices are electronic devices built using surface mount technology. Surface-mount technology (SMT) is a process by which electrical components are installed directly on the printed circuit board (PCB) surface. Additionally, when compared to traditional soldering through-hole technology, this technology is very distinct. SMT uses relatively different soldering principles and equipment that offer greater electrical conductivity and reliability in comparison to thru-hole soldering. Moreover, it is the most commonly used process for consumer electronic assemblies, which are high-production and low-cost. Surface mount technology components consist of passive surface transistors & diodes, mount devices, and integrated circuits.
Surface Mount Technology Market- Market Dynamics
Rising demand and consumption of miniaturized consumer electronic products to fuel market growth
The growing demand and consumption of miniaturized consumer electronics are likely to drive the surface mount technology market. There is a growing need for portable and compact devices such as tablets, smartphones, and laptops with advanced features, with a rise in migration of people from one region to another owing to personal or work-related responsibilities. In addition, the growing adoption of numerous outdoor activities including medical or healthcare and sports & recreation has registered higher sales for compact television systems or other entertainment, as a result boosting the market growth. However, the high costs of surface mounting equipment systems are projected to hinder the market growth over the forecast period. Furthermore, since SMT is a common technique in assembling semiconductor devices, the semiconductor sector has an indirect impact on the surface mount technology market demand across the globe.
Surface Mount Technology Market- Key Insights
As per the analysis shared by our research analyst, the global surface mount technology market is estimated to grow annually at a CAGR of around 8.2% over the forecast period (2023-2030)
The surface mount technology industry is projected to grow at a significant rate due to the growing demand and consumption of miniaturized consumer electronics
Based on service segmentation, designing was predicted to show maximum market share in the year 2022
Based on equipment segmentation, placement equipment was the leading type in 2022
As the buying power of end-consumers continues to rise as well as the greater requirement for highly advanced yet small-in-size electronic components, the worldwide market size will continue to expand.
The global surface mount technology market is segmented on the basis of service, equipment, component, and region.
The market is divided into four categories based on service: manufacturing, supply chain services, aftermarket services, designing, and test & prototype. The designing segment is accounted to witness the highest growth rate over the forecast period. The segment growth is attributed to the rising demand for design for manufacturing (DFM) services, electronic circuit design, and PCB design for consumer electronics. In addition, designing services providers can assist manufacturers in reducing the overall cost of manufacturing; optimizing their designs for cost, and improving profitability.
The market is divided into five categories based on equipment: cleaning equipment, repair & rework equipment, placement equipment, soldering equipment, and screen printing equipment. The placement equipment segment is attributed to witness the largest market share. The segment is anticipated to grow due to the increasing requirement for inspection quality, reliability, improving product technology, and responsiveness. Moreover, the rising use of these tools in automotive, computing, telecommunications, storage, and consumer electronics will likely boost the segment's growth
Surface Mount Technology Market- Geographical Insights
The surface mount technology market is attributed to witness the highest growth in Asia-Pacific. The presence of a robust electronics sector is the leading cause of the high regional growth rate. The region is the home of a complete set of suppliers, manufacturers, designers, and corporate companies dealing with PCB assembly lines and SMT. Additionally, the regional governments have continued to encourage and support the domestic PCB and SMT industry as the SMT market in Asia-Pacific has tremendous demand. Moreover, North America is witnessing a significant rate boosted by the presence of various end-users of the final components. The regional SMT sector has applications in various industries such as automotive and medical, two of the fastest-growing regional markets.
In recent times, various new nations particularly emerging nations with substantial resources are eyeing the semiconductor market and offering new investment opportunities for international players to spend in the upcoming regional semiconductor industry. The existing market leaders continue to amplify their efforts in maintaining market dominance. Additionally, the market players are involved in several strategies such as partnerships, collaborations, new product launches, mergers & acquisitions, and R&D spending. For instance, in October 2022, Apple unveiled the new iPad with an all-screen design featuring a large 10.9-inch Liquid Retina display. The A14 Bionic chip, that powers the new iPad, offers even faster performance with incredible power efficiency for demanding tasks while still maintaining all-day battery life.
For instance, in May 2022, LG launched a new line of OLED-based smart TVs along with ultra-premium R Signature TVs with rollable display panels. The company is launching multiple premium variants of smart OLED TVs - G2, C2, Z2, A2, and Signature R OLED series-- with screen sizes ranging between 42-inch and 97-inch with slim bezel design language.