San Francisco, California – Applied Materials, based in Santa Clara, held a webcast on the 14th of December, 2022, unveiling its “eBeam Technology and Product Launch.” This strategic move by the company aimed to introduce new products to the market, positioning itself in the competitive landscape of semiconductor equipment manufacturers.

During the webcast, Applied Materials showcased its latest E-beam metrology/inspection technology, but despite its efforts to promote this new technology, KLA, led by Optical technology, continued to outpace them in terms of growth. The Optical wafer inspection sector held a market share value 5.4 times greater than that of the E-beam technology introduced by Applied Materials.

While Applied Materials touted its new technology in 2022, it failed to address the fact that KLA had dominated the market, outperforming them in market share with their optical technology. This information was highlighted in The Information Network’s report titled “Metrology, Inspection, and Process Control in VLSI Manufacturing.”

A comparison of market share data for Applied Materials in the two key sectors where its e-beam systems compete revealed a decline in revenue. The company saw a 30% decrease in revenue in the metrology/inspection segment of the overall WFE equipment market, despite marginal growth in the overall WFE sector.

Due to U.S. sanctions and China’s focus on producing trailing-edge chips, Applied Materials experienced a decline in sales of metrology/inspection equipment. In contrast, KLA’s optical systems were less affected by these factors, meeting the demands of process control for trailing-edge chips in China.

The market share analysis showed that Applied Materials had lost ground to competitors like KLA in the metrology/inspection sector. Furthermore, a comparison of share prices over a one-year and three-year period revealed that KLAC outperformed Applied Materials, signaling challenges for the latter in maintaining its competitive position in the industry.

In conclusion, the performance of Applied Materials in the market, especially in the face of competition from KLA, raises concerns about the company’s future trajectory. Despite efforts to innovate and introduce new technologies, Applied Materials faces significant challenges in maintaining its market share and profitability.