Logic Test Probe Card Market

Logic Test Probe Card Market Outlook 2031:

The Global Logic Test Probe Card Market was valued at USD 1,849.5 Million in 2022 and is projected to reach USD 3,256.9 Million by 2031, expanding at a CAGR of 6.6% during the forecast period.

A logic test probe card refers to a board or interface used in performing electrical testing of integrated circuits (ICs) on the semiconductor wafer. Each logic test probe card consist of two components: A printed circuit board and an organic substrate (multilayer). A logic test probe card is often electrically connected to the test instrument and mechanically docked with the probe.

It allows semiconductor testing throughout the production process. The purpose of a logic test probe card is to provide an electrical route between the test device and the circuits on the wafer, allowing testing and validation of the circuits on the wafer before they are diced and packaged. It is used to test the performance of chipsets and optimize them for use on a circuit board.

It boosts the performance and functionality of chipsets to improve speed. Various electronic devices such as wearables, smart phones, and other devices, using the Internet of Things (IoT), are increasing the demand for miniature and high-performance gadgets with a long battery life. These logic chips use advanced packaging technologies such as flip-chip and wafer-level packaging to provide a small form factor and improved electrical performance.

Macro-Economic Factors

Economic Growth

Economic growth increases the purchasing power and disposable income of consumers. With economic growth, a large part of the global population is increasingly investing in automotives and high-quality consumer electronic products such as smartphones, laptops, tablets, cameras, and other devices. This increases the demand for semiconductor components, such as ICs.

These ICs require logic test probe cards to test the performance and optimize the chipsets. It also improves the speed and functionality of the chipsets, which are essential for 5G mobility, automotive Advanced Driver Assistance System (ADAS) sensors, and other applications. Thus, economic growth boosts consumer electronics and the automotive industry, which increases the demand of logic test probe cards that are required for testing semiconductor chips in these industries, impacting the overall logic test probe cards market.

Regulatory Framework

Government regulations and policies significantly affect the logic test probe card market in different countries. They influence the demand, supply, pricing, innovation, and competition of the products and services in the market. Some government regulations and policies include:

Environmental Regulations- Governments impose environmental standards to reduce carbon footprint and emissions of various industries. For instance, the European Union has implemented the CO2 emission regulations for cars and vans, which require manufacturers to comply with certain emission levels or face fines. These regulations affect the demand of automotives, which ultimately impact the demand of logic test probe cards as they are used in testing the efficiency of semiconductor ICs in these automotives.

Intellectual Property Rights: Governments protect intellectual property rights (IPR) to encourage creativity, innovation, and investment in various sectors. For instance, South Korea has granted exclusive rights to Samsung Electronics for producing memory chips, which are essential components for logic test probe cards. These rights affect the supply chain and production costs of logic test probe cards from memory chip manufacturers.

Cybersecurity Policies: Governments enact cybersecurity policies to safeguard their national security, data privacy, and digital infrastructure from cyberattacks or data breaches. For example, India has issued guidelines for testing chipsets for 5G devices, which require manufacturers to obtain certification from a recognized testing agency before launching their products in India. These guidelines affect the innovation and quality of logic test probe cards from smartphone chipset manufacturers.

Inflation

Inflation refers to an increase in the prices of goods and services over time. Inflation reduces the real value of money and increases the cost of living, which means that consumers buy less goods and services, including consumer electronics and automotives, with their income.

Thus, high inflation often erodes the purchasing power, making it difficult for people to afford expensive consumer electronics and automotives, lowering the requirement of semiconductor chips. This reduced demand lowers logic test probe cards requirements that are used for testing performance and operational efficiency.

Inflation also increases the cost of raw materials, labor, energy, transportation, and other inputs that are used to produce logic test probe cards. This means that manufacturers have to pay more to produce logic test probe cards, which reduces their profit margins or force them to raise their prices. This affects the supply and availability of logic test probe cards in the market.

Geopolitics Conflicts

Geopolitical conflicts are disputes or tensions between countries or regions over political, economic, or ideological issues. They affect the global logic test probe card market in various ways such as disrupting the supply chain and trade relations of semiconductor manufacturers and suppliers, which may lead to shortages, delays, or increased costs of logic test probe cards.

For instance, the geopolitical frictions between the US and China, as well as the disruptions caused by the COVID-19 pandemic, posed vulnerabilities in the global supply chain of US semiconductor companies, particularly because a large portion of the manufacturing activity is concentrated in East Asia.

The Russia-Ukraine war, which has escalated the tensions and violence in the region, affecting the stability and security of the semiconductor industry and market. The war created supply chain disruptions, as it affects the availability and prices of raw materials, such as metals and minerals, that are used to manufacture logic test probe cards.

Ukraine is a major producer of neon. It produces about half the world's supply of the key ingredient for making chips. The Russia-Ukraine war adversely impacted the semiconductor manufacturing industry by halting the supply of neon, impacting the semiconductor manufacturing industry. This further impacts the logic test probe card market.

On the other hand, the war also had a positive impact. As countries ramp up their military spending and capabilities in response to the war, it increased the demand for military equipment. This increased demand lead to a rise in the demand for semiconductor chips, thereby propelling the logic test probe card market.

Logic Test Probe Card Market Dynamics

Market Driver- Increasing Investments in Manufacturing Facilities

Investments in fabrication facilities lead to expanded production capabilities for semiconductor devices, including logic components. High production volumes necessitate efficient and reliable testing methods, driving the demand for advanced testing equipment such as logic test probe card. For instance, the global semiconductor industry is expected to invest more than USD 500 billion in 84 volume chipmaking facilities by 2024.

Rising investments in fabrication facilities enables the adoption of cutting-edge technologies, necessitating high-performance testing solutions. Moreover, the establishment of new fabrication facilities indicates to the growing demand for wafer testing and logic test probe cards are used in the production of such ICs. For instance, Huawei completed its semiconductor chip facility in China in December 2020.

Furthermore, Taiwan Semiconductor Manufacturing Company (TCMC) opened its fabrication facility 18 Phase 1 production facility in January 2018. The fabrication facility began producing chips using TSMC’s 5 nm technology in the first quarter of 2020.

Fabrication facilities start construction from 2021 to 2023, with segments including automotive and high-performance computing fueling the spending increases. The semiconductor industry built 23 new fabs in 2021. It has started building 33 new fabs in 2023, and it is expected to start on another 28 in 2024. Taiwan is expected to start construction on 14 new facilities, while Japan and countries in Southeast Asia are expected to begin work on six new facilities.

Moreover, according to the European Chips Act, Europe/Middle East investments in new semiconductor facilities is expected to reach a historic high for the region, with 17 new fabs starting construction between 2021 and 2023. These new fabrication facilities are expected to cater to the rising demand for semiconductors from various sectors, such as automotive, consumer electronics, communications, and healthcare and thus, boosting the demand for logic test probe card.

Market Driver- Growing Semiconductor Industry

Semiconductors represent perhaps the world’s most-important industry, as they are the foundation of a wide array of products and services. The growth of the semiconductor industry propels the logic test probe cards market. The expansion of the semiconductor sector is driven by technological advancements and increasing applications and the rising need for efficient testing tools, including the rise of logic test probe cards probe cards.

The ongoing advancements in semiconductor technology leads to the development of powerful ICs. Logic test probe cards must keep pace with these technological changes, spurring innovation and investments in the market. Logic test probe cards play a crucial role in ensuring the functionality and quality of these advanced semiconductor devices by facilitating precise and reliable testing during the manufacturing process.

For instance, as semiconductor processes advance nodes sizes decrease. Small nodes bring challenges such as increased sensitivity to manufacturing variations and defects. This demands sophisticated testing solutions, leading to the development of advanced probes with high pin count and accuracy.

As the intricacy of semiconductor design grows, the need for specialized probe cards, that can handle high-speed, complex logic circuit increases, is estimate to grow, thereby fueling the market. Increasing adoption of advanced semiconductor technologies, such as System-on-Chip (SoC) and Internet of Things (IoT), are expected to drive the demand for highly efficient logic test probe cards.

SoC is a single integrated circuits that contain multiple functions such as processing, memory, communication, and sensing. IoT represents a network of devices that are interconnected and capable of exchanging data over the internet. These advanced technologies necessitate the use of logic test probe cards, which are capable of supporting high-speed and complex functionality testing on large-scale integrated (LSI) circuits.

Moreover, the proliferation of mobile devices, automotive electronics, and IoT applications fuels the semiconductor industry, which in turn, drives the demand for logic test probe cards. As technology advances with new developments such as 5G and edge computing, the need for reliable testing solutions gains importance. Therefore, the logic test probe card market plays a key role in ensuring the quality of the latest semiconductor devices.

Market Restraint- High Manufacturing Costs

The production of logic test probe cards is a complex process that involves the use of sophisticated technologies and materials, which significantly adds to the manufacturing costs. The use of advanced materials and sophisticated manufacturing processes, such as microfabrication, increases the cost.

Additionally, the demand for high-performance materials, such as advanced ceramics and high-quality metals, thereby raising material costs. The incorporation of these materials is crucial for achieving the necessary precision and durability required in logic test probe cards. Manufacturers often grapple with the challenge of meeting performance standards while maintaining cost efficiency.

Furthermore, the demand for customized tailored to specific semiconductor testing requirements further increases expenses. The intricate design and engineering involved in producing probe cards capable of handling diverse logic tests contribute to the high development costs. Logic test probe cards are expensive, especially those with high pin counts and advanced features. This can limit their adoption, particularly for small manufacturers or those with budget constraints.

Market Opportunity- Rising Strategic Partnership and Collaboration

The rise in strategic partnerships and collaborations among organization have significantly influenced the market, presenting numerous opportunities for growth and development. These partnerships often involve joint ventures, alliances, or collaborations between technology companies, semiconductor manufacturers, and testing solution providers.

Moreover, strategic alliances allow market players to extend their reach and customer base. Organization can tap into each others networks, leveraging existing relationships and opening doors to business opportunities, by joining organization. This expansion is particularly crucial for logic test probe card manufacturers, as it allows them to access diverse markets and cater to a broad range of applications.

Partnership can bring together the expertise of different organizations, leading to the fast development of innovative probe cards that are efficient and effective. It can improve supply chains, simplify production processes, and low manufacturing costs through shared resources and expertise. Thus, the growing focus on strategic partnerships and collaborations has immense potential for the market, allowing manufacturers to foster innovation, increase market reach, optimize costs, and improve customer service for semiconductor testing.

For instance, In December, 2022, Cohu, Inc., a global supplier of equipment and services optimizing semiconductor manufacturing yield and productivity, announced a strategic collaboration with Chunghwa Precision Test Tech. Co., Ltd. (CHPT), a leading provider of test interface solutions, to deliver advanced probe card and interface products to the semiconductor test market.

Scope of the Logic Test Probe Card Market Report

The report on the global Logic Test Probe Card Market includes an assessment of the market, trends, segments, and regional markets. Overview and dynamics have also been included in the report.

Attributes	Details
Report Title	Logic Test Probe Card Market – Global Industry Analysis, Size, Share, Growth, Trends, and Forecast
Base Year	2022
Historic Data	2016-2021
Forecast Period	2023–2031
Segmentation	By Product Type (Cantilever Probe Card, Vertical Probe Card, MEMS Probe Card, And Others), End-Use Industry (Consumer Electronics, Healthcare, Automotive, And Others), Sales Channel (Direct Sales And Indirect Sales)
Regional Scope	North America, Europe, Asia Pacific, Latin America, and Middle East & Africa
Report Coverage	Company Share, Market Analysis and Size, Competitive Landscape, Growth Factors, and Trends, and Revenue Forecast
Key Players Covered	FormFactor, MICRONICS JAPAN CO., LTD., JAPAN ELECTRONIC MATERIALS CORPORATION, MPI Corporation, NIDEC CORPORATION (Nidec SV Probe), Synergie Cad, FICT Limited, Korea Instrument Co., Ltd., STAr Technologies Inc., Wentworth Laboratories, Inc.

 

Logic Test Probe Card Market Segmental Outlook

The global Logic Test Probe Card Market is segmented on the basis of Product Type, End-use Industry, Sales Channel, and Region.

In terms of Product Type, the Logic Test Probe Card Market is segmented into Cantilever Probe Card, Vertical Probe Card, MEMS Probe Card, and Others. The MEMS Probe Card segment is expected to dominate the market in 2022, owing to their increasing demand in the semiconductor industry. The growing number of MEMS- based devices and sensors from automotive, healthcare, and telecom industries are also driving the segment’s growth.

On the basis of End-use Industry, the Logic Test Probe Card market is segmented into Consumer Electronics, Healthcare, Automotive, and Others. The Consumer Electronics segment is expected to dominate the market in 2022, owing to the increasing demand for high-quality electronic devices such as smartphones, laptops, tablets, cameras, and others.

Furthermore, changing lifestyles and preferences of consumers seeking more convenience, entertainment, and connectivity boost the segment’s growth.

Based on Sales Channel, the Logic Test Probe Card market is segmented into Direct Sales and Indirect Sales. The Direct Sales segment is expected to hold a substantial share of the market, owing to several advantages such as higher profit margins, better customer relationships, and more flexibility and innovation. Some examples of Direct Sales include Websites, Telemarketing, among several others.

Regional Outlook

Based on regions, the Logic Test Probe Card Market is segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. The market in Asia Pacific is growing at a rapid pace during the forecast period, owing to the demand from huge semiconductor manufacturing industries in China, Taiwan, Japan, and South Korea demand logic test probe cards to test the performance and functionality of semiconductor wafers and chipsets.

Key Benefits for Industry Participants & Stakeholders

• In-depth Analysis of the global Logic Test Probe Card Market

• Historical, Current, and Projected Market Size in terms of Value and Volume

• Potential & Niche Segments and Regions Exhibiting Promising Growth Covered

• Industry Drivers, Restraints, and Opportunities Covered in the Study

• Recent Industry Trends and Developments

• Competitive Landscape & Strategies of Key Players

• Neutral Perspective on Global Logic Test Probe Card Market

Segments

By Product Type

• Cantilever Probe Card
• Vertical Probe Card
• MEMS Probe Card
• Others

By End-use Industry

• Consumer Electronics
• Healthcare
• Automotive
• Others

By Sales Channel

• Direct Sales
• Indirect Sales

By Regions

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa

Key Market Players Profiled in the Report

• FormFactor
• MICRONICS JAPAN CO., LTD.
• JAPAN ELECTRONIC MATERIALS CORPORATION
• MPI Corporation
• NIDEC CORPORATION (Nidec SV Probe)
• Synergie Cad
• FICT Limited
• Korea Instrument Co., Ltd.
• STAr Technologies Inc.
• Wentworth Laboratories, Inc.

Competitive Landscape

• Top players in the market include FormFactor, MICRONICS JAPAN CO., LTD., JAPAN ELECTRONIC MATERIALS CORPORATION, MPI Corporation, NIDEC CORPORATION (Nidec SV Probe), Synergie Cad, FICT Limited, Korea Instrument Co., Ltd., STAr Technologies Inc., Wentworth Laboratories, Inc.

• These companies are considered key manufacturers of Logic Test Probe Card based on their revenue, product offerings, regional presence, and supply chain management system.

• The players are adopting key strategies such as acquisition, collaborations, and geographical expansion where potential opportunity for Logic Test Probe Card Market.