Conformal Coatings in the Global Electronics Industry

REPORT HIGHLIGHTS

• The value of the worldwide conformal coatings markets was $800 million in 2005. It is projected to grow in value at an average annual growth rate (AAGR) of about 15% to reach $1.6 billion by 2010. Key markets include semiconductor/electronics, medical devices, aerospace and automotive.
• Conformal coating use in the aerospace sector is the most developed segment of the industry. The aerospace sector represents about 21% of the market ($170 million). It is projected to grow at an AAGR of 8% through 2010 to $250 million.
• Automotive markets, representing about 18% of the market, will show an AAGR of 20%, increasing to $360 million by 2010. This growth will be driven by increased use of electronic monitoring, sensing/controlling devices, and computer systems over the next several years

REPORT SCOPE

INTRODUCTION

This report will cover the area of conformal coatings predominantly used in electronic applications but also biomedical devices and other industrial areas. The goal of this study is to determine the current status of the worldwide conformal coatings industry, to provide an assessment of the industry's growth potential over a five year period from 2005 to 2010, and to determine emerging new technologies, directions and trends of the industry.

Conformal coatings are used in many areas of electronics. As the electronics industry moves towards lower costs, higher circuit densities, more portable and wireless electronic devices, use in biomedical systems and harsher environments, and incorporations of nanomaterials, the conformal coatings industry has responded with the development of new technologies and markets. We examine more traditional use of conformal coatings as well as many developing areas of use including, for example, flexible electronics, high density circuit fabrication and biomedical devices.

SCOPE OF STUDY

The report includes:

• An analysis of global markets for conformal coating materials, dispensing systems, supporting consumables and a discussion of trends and sales in these markets through 2010
• Study of factors influencing the adoption of new technologies, growth and demand, along with the range of conformal coating uses in a number of key markets, and profiles of key companies within the conformal coating supply chain
• Examination of the impact of global shifts toward China, Korea, Taiwan and South East Asia, as well as the effects of changing environmental controls, international specifications and standardization.
• Summaries of typical uses of conformal coatings, plus key emerging areas of potential high growth such as implantable biomedical devices, flexible electronics, nano coatings and ultrathin films. Also, areas of technical innovation, which will be of significant commercial impact by 2010
• Study of key existing classes of materials including acrylates, urethanes, silicones, epoxies, and parylenes, as well as emerging materials such as refractory metals, alloys and dielectric oxides. Discussion of advanced deposition processes and novel application areas driven by significant changes in film formation processing, electronics use environments and introduction of new circuit materials.

METHODOLOGY AND INFORMATION SOURCES

Information was gathered on over 200 companies in all areas of the conformal coating supply chain to obtain relevant data for this study. Sources included Internet web sites, published data, books, articles, industry organizations, academic contacts, technical, business and patent databases, U.S. industry census reports

ANALYST'S CREDENTIALS

The author, Debora F. Bergstrom, has 20 years of experience in the chemical industry including roles in research, product development, commercialization, new business development, technical management, intellectual property management and operations. Dr. Bergstrom has a Ph.D. in inorganic chemistry and has worked for small and large companies in the areas of silicone materials, bio-enzymes, energy systems, and nanomaterials. She spent over 13 years in silicone technology development in sealants, elastomers, resins, thin film dielectrics, photonics, biomaterials, energy, coatings, nanoparticles and thermoplastics. Dr. Bergstrom has authored or coauthored over 9 U.S. patents, 20 publications and more than 30 technical reports and presentations.

RELATED REPORTS

• GB-131R Conformal Coatings in the Global Electronics Industry, 1994
• SMC012A Electronic Materials Industry Review, 2000
• SMC012D Electronic Materials Industry Review, 2003