TECHCET— the electronic materials advisory firm providing business and technology information reports that the ALD CVD precursor market is expected to grow roughly 8% in 2025. Following a dip in wafer starts earlier in 2024, the global market rebounded from USD 1.7 billion to USD 1.9 to end the year. This recovery was largely attributed to advancements in logic devices and a slower recovery in DRAM and NAND wafer starts. Looking ahead, wafer starts for logic devices smaller than 45nm are projected to grow at over 8.6% CAGR through 2029, potentially pushing the market past USD 2.5 billion. More information on market forecasting and trends is included in TECHCET’s Critical Materials Reports™ on ALD/CVD Precursors.
Taking a closer look, as the industry advances to the 3nm and 2nm technology nodes, this will fuel strong growth in the ALD/CVD materials market, which are now critical to enabling the smaller, more complex structures of next-generation logic and memory chips. Meanwhile emerging applications beyond traditional semiconductor technologies are opening new opportunities for ALD uses.
Market dynamics are shifting as Samsung Electronics, SK Hynix, and Micron are reportedly planning to drop earlier versions of memory to address stronger opportunities, such as DDR5 and high-bandwidth memory (HBM), to meet the growing demands of AI and high-performance computing applications.
Even with geopolitical tensions and resultant shifts in the supply chain, the long-term outlook for the precursor market remains strong, with a projected CAGR of 7.3% through 2029.
