Phoenix Research has officially published results from its latest study, which claims that the Global Used Semiconductor Equipment Market is expected to grow at a compound annual growth rate (CAGR) of around 7% between 2024 and 2031. In a monetary sense, this means growing from an estimated $12.9 billion worth of value in 2023 to approximately $19.9 billion by 2031. Apart from that, the report also examines global opportunities and competitive analysis of the given market. For instance, it says that more and more firms may target particular geographic regions, where demand for used equipment is significant so to capitalize on local market needs and regulatory environments across these regions. Next up, Phoenix’s report digs into how a greater number of businesses may opt for offering high-quality refurbishment services. This will do to build upon refurbishment market for semiconductor equipment’s whopping valuation, which was touted to be $3.2 billion during the year 2023. Moving on, we can also see an uptick in companies establishing credibility for reconditioned equipment through warranties and certifications. The incentive for them to do the same is markedly rooted in the fact that well over 70% of consumers deem warranties an important factor in their selection process. Another trend we are likely to see throughout the semiconductor market is more of those component upgrades. You see, companies focus on upgrading key components of used equipment to extend operational life and improve performance. These measures may include installing newer software or replacing outdated hardware. Expanding upon the benefits of such upgrades, such a move is understood to enhance the equipment’s efficiency by up to 25%, making it more competitive in the market.
Phoenix also predicts the semiconductor market to see better innovation integration, something which should be able to boost the equipment’s capabilities, with innovations potentially increasing performance metrics by up to 30%. This makes older equipment more viable in modern applications. Anyway, then, there is the promise of more extensive collaboration with OEMs. In essence, partnering with original equipment manufacturers (OEMs) or other equipment suppliers can broaden the range of products available, as well as enhance credibility. Installing further weightage to the measure is how more than 40% of companies in the used semiconductor equipment market are currently engaging in partnerships with OEMs to strengthen their market position.
Hold on, we are still not done yet, considering we haven’t touched upon the projected increase in joint ventures, as forming joint ventures within the semiconductor ecosystem can come in handy for pooling resources, sharing market insights, and expanding market reach. A more concrete lowdown on the same would reveal that joint ventures presently account for an upwards of 15% strategic growth activities in the sector. Beyond that, we are also likely to see a more efficient brand of sourcing. Basically, conceiving a robust network for sourcing used equipment from various regions can help in obtaining high-quality products at competitive prices. At the moment, though, effective sourcing strategies contribute to a 10% reduction in procurement costs and increase supply chain efficiency. Joining the same would be an industry-wide bid to implement efficient logistics and supply chain strategies, strategies that are crucial for timely delivery and minimizing operational disruptions. As for its potential impact, optimized logistics can reduce delivery times by up to 20% and decrease operational costs by 15%.
More on Phoenix Research’s Global Used Semiconductor Equipment Market research report will reveal its ability to offer an in-depth analysis of the global market size, which is further segmented into regional and country-level market share. Covering various key factors like trade regulations, government spending, and R&D advancements, the scope of this particular report happens to include market sizing and forecast for segmentation by equipment type, application, end-user, and geography.
