PUBLISHER: Fortune Business Insights Pvt. Ltd. | PRODUCT CODE: 1887068
PUBLISHER: Fortune Business Insights Pvt. Ltd. | PRODUCT CODE: 1887068
The global EUV lithography market is entering a phase of rapid technological and commercial expansion as semiconductor manufacturers increasingly shift toward advanced nodes below 7nm. According to 2024 estimates, the global market was valued at USD 11.19 billion. With strong demand from semiconductor foundries, integrated device manufacturers, and advanced consumer electronics, the market is projected to reach USD 12.16 billion in 2025 and further expand to USD 24.23 billion by 2032, reflecting a CAGR of 10.35% during the forecast period. Europe led the global landscape with a 44.15% share in 2024, supported by robust R&D ecosystems and world-leading lithography equipment manufacturers.
EUV lithography is essential for enabling advanced semiconductor fabrication, particularly in producing chips with feature sizes below 7 nanometers. By using extreme ultraviolet light, the technology enables more precise patterning on silicon wafers, allowing manufacturers to increase transistor density and extend Moore's Law. EUV tools are critical in producing processors, memory chips, and ultra-fast electronics used in AI systems, 5G infrastructure, data centers, and high-performance consumer devices.
Impact of Generative AI
Generative AI is transforming semiconductor manufacturing processes by optimizing pattern layouts, enhancing simulation accuracy, and improving defect detection. EUV lithography benefits significantly from AI-assisted modeling, which reduces manufacturing variability, shortens production cycles, and increases wafer yield rates. As semiconductor companies adopt advanced AI-driven automation, the integration of AI into lithography pattern design will continue to accelerate market expansion.
Market Drivers
The primary driver of EUV lithography adoption is the increasing complexity of integrated circuits. Advanced processors and memory architectures demand ultra-fine geometries and higher transistor densities, which are only achievable through EUV lithography. Growing investment in 5nm, 3nm, and emerging sub-3nm nodes places EUV at the center of semiconductor innovation.
Furthermore, the expansion of data centers, cloud computing, and high-performance computing intensifies demand for next-generation memory devices such as NAND Flash and DRAM. EUV enables the precision and scalability required for advanced memory structures. Strategic collaborations-such as TSMC's partnership with ASML to expand EUV capacity-highlight the ongoing shift toward EUV-enabled mass production.
Market Restraints
Despite its advantages, EUV lithography faces major barriers. The equipment is extremely expensive, costing several times more than conventional lithography tools. EUV components-including masks, pellicles, and high-energy light sources-are highly complex and costly to manufacture. Smaller foundries face financial limitations in adopting EUV technology, and global shortages of specialized components have caused installation bottlenecks.
Additionally, challenges in mask integrity, pellicle durability, and achieving defect-free patterns continue to slow full-scale adoption, although industry innovations are gradually resolving these issues.
Market Opportunities
Expanding global investment in semiconductor fabrication and the rapid growth of data centers provide significant opportunities for EUV lithography systems. As consumer electronics, automotive electronics, and AI-enabled devices require powerful and energy-efficient chips, EUV lithography becomes indispensable for manufacturing advanced nodes. Increasing R&D funding for next-generation High-NA EUV technology will further enhance pattern accuracy and enable even smaller geometries, strengthening long-term market prospects.
By Equipment Type
The light source segment held the largest share in 2024 at 42.12%, driven by innovations in high-power EUV generation systems. Masks are expected to register the fastest growth due to rising demand for high-precision semiconductor patterns and sub-7nm structures.
By End-User
Integrated Device Manufacturers (IDMs) dominated the market in 2024, leveraging EUV to deliver high-density, high-performance chips. IDMs are projected to hold 55.77% of the market in 2025. Foundries will exhibit the highest CAGR of 12.27%, as leading players increasingly transition to EUV for commercial chip production.
Europe - Market Leader
Europe led global demand with a valuation of USD 4.94 billion in 2024. The region benefits from strong semiconductor R&D ecosystems and major investments such as Intel's multi-billion-dollar chip manufacturing projects in Germany and Poland.
Asia Pacific
Asia Pacific is the fastest-growing region, expected to reach USD 3.40 billion in 2025, driven by TSMC, Samsung, and SMIC's extensive EUV deployments.
North America
North America is projected to reach USD 1.80 billion in 2025, supported by rising demand for AI chips and advanced computing technologies.
Competitive Landscape
ASML remains the exclusive producer of EUV systems globally, giving it a dominant position in the market. Other major players-Samsung, Canon, KLA, Nikon, ZEISS, and Advantest-play critical roles in optics, metrology, and inspection systems. Continuous product innovations, strategic alliances, and High-NA EUV developments will define the competitive landscape through 2032.
Segmentation By Equipment
By End-user
By Region
Companies Profiled in the Report ASML (Netherlands), Samsung Electronics Co. Ltd. (South Korea), Canon Inc. (Japan), KLA Corporation (U.S.), NTT Advanced Technology Corporation (Japan), Nikon Corporation (China), ZEISS Group (Germany), ADVANTEST CORPORATION (Japan), SUSS MicroTec SE (Germany)