• Login
    • Join
  • FOLLOW:
  • Subscribe Free
    • Magazine
    • eNewsletter
    Checkout
    • Magazine
    • News
    • Printed Electronics
    • Raw Materials
    • Equipment
    • Services
    • Suppliers Guide
    • Resources
    • More
  • Magazine
  • News
  • Printed Electronics
  • Raw Materials
  • Equipment
  • Services
  • Suppliers Guide
  • Resources
  • Current & Past Issues
    Features
    Editorials
    Digital Edition
    Subscribe Now
    Advertise Now
    eNewsletter Archive
    Our Team
    Editorial Guidelines
    Breaking News
    Experts Opinion
    Financial News
    Manufacturers News
    Mergers and Acquisitions
    Online Exclusives
    Personnel
    Product Releases
    Suppliers News
    Live From Shows
    Displays and Lighting
    Photovoltaics
    Printed Batteries
    Printed Circuit Boards/Membrane Switches/In Mold Electronics
    Flexible and Printed Electronics
    RFID and NFC
    Sensors and Wearables
    Smart Cards and Packaging
    Touch Screens
    Adhesives, Barriers and Encapsulants
    Chemicals, Metals and Powders
    Conductive Inks and Coatings
    Electronic Materials
    Film, Paper, Glass and Substrates
    Graphene, Perovskites and Carbon Nanotubes
    Nanomaterials
    Printed Electronic Components
    Research Reports
    Semiconductors and Quantum Dots
    Energy Curing Equipment
    Lab and Testing Equipment
    Manufacturing Equipment
    Printing Equipment
    3D Printing
    Contract Manufacturing Services
    Product Design and Testing
    Research and Consulting
    Research Institutions
    Research Reports
    Universities
    Equipment
    All Companies
    Materials
    Categories
    Converting
    Printed Electronics Systems
    Associations
    Research and Services
    Used Machinery
    Add New Company
    Industry Events
    Live from show events
    Podcasts
    Videos
    Blogs
    Slideshows
    Infographics
    Webinars
    Whitepapers
    Equipment and Services
    Glossary
    • Magazine
      • Current & Past Issues
      • Features
      • Editorial
      • Columns
      • Digital Edition
      • eNewsletter Archive
      • Editorial Guidelines
      • Subscribe Now
      • Advertise Now
    • Breaking News
    • Suppliers Guide
      • Add Your Company
      • Suppliers Guide
    • Printed Electronics
      • Photovoltaics
      • Printed Batteries
      • Printed Circuit Boards/Membrane Switches/In Mold Electronics
      • Flexible and Printed Electronics
      • RFID and NFC
      • Sensors and Wearables
      • Smart Cards and Packaging
      • Touch Screens
    • Raw Materials
      • Adhesives, Barriers and Encapsulants
      • Chemicals, Metals and Powders
      • Conductive Inks and Coatings
      • Electronic Materials
      • Film, Paper, Glass and Substrates
      • Graphene, Perovskites and Carbon Nanotubes
      • Nanomaterials
      • Semiconductors and Quantum Dots
    • Equipment
      • Energy Curing Equipment
      • Lab and Testing Equipment
      • Manufacturing Equipment
      • Printing Equipment
      • 3D Printing
    • Services
      • Contract Manufacturing Services
      • Product Design and Testing
      • Research and Consulting
      • Research Institutions
      • Research Reports
      • Universities
    • Online Exclusives
    • Slideshows
    • Blog
    • Videos
    • Podcasts
    • Infographics
    • Events
      • Industry Events
      • Live from show events
      • Webinars
    • About Us
      • About Us
      • Contact Us
      • Advertise With Us
      • Privacy Policy
      • Terms of Use
    Breaking News

    Applied Materials Plans to Grow Revenue by More Than 55%

    It plans to increase Semiconductor Systems revenue by over 60%.

    Applied Materials Plans to Grow Revenue by More Than 55%
    Related CONTENT
    • OLEDWorks Exhibits at Auto Shanghai 2021
    • SEMI Applauds Introduction of Endless Frontier Act
    • Audi Unveiling 4-door Audi A6 e-tron Concept
    • Nano Dimension Acquires DeepCube Ltd.
    • SEMI, Center for Automotive Research Collaborate
    Anthony Locicero, Associate editor04.08.21

    At its 2021 Investor Meeting, Applied Materials unveiled plans to grow the company’s revenue, earnings and free cash flow by enabling customers to accelerate improvements in chip power, performance, area, cost and time to market (PPACt). 

     

    Applied also announced plans to generate 70% of future services and parts revenue through subscription-like long-term agreements.

     

    Applied outlined five major inflections that are fueling secular growth and the need for innovation as the company drives its longer-term strategy. 

     

    At a macro level, the digital transformation of the global economy is accelerating. 

     

    In computing, AI workloads are fueling the need for new architectures based on entirely new types of silicon. 

     

    Within chipmaking, traditional Moore's Law 2D scaling is slowing, creating the need for a “new playbook” for PPACt that enables continued chip- and system-level improvements. Another inflection is the need to grow the industry more sustainably and equitably. 

     

    Finally, customers are seeking not just better products, but also better outcomes, resulting in a business model shift to solutions delivered via subscription models.

     

    “The core of our strategy is to be the PPACt enablement company,” said Gary Dickerson, president and CEO of Applied Materials. “Our broad portfolio and ability to combine technologies in ways no other company can be accelerating value creation for our customers and puts Applied in a leadership position to advance the state of chipmaking for years to come.”

     

    Applied has aligned its strategy to meet the increasingly complex needs of its customers, many of whom participated in the event to discuss trends in computing, semiconductor technology, services and ESG (environmental, social and governance).

     

    Applied summarized the evolution of its Semiconductor Systems business. The portfolio is expanding from unit process equipment that performs a single step to include co-optimized systems with pre-proven combinations along with Integrated Materials Solutions where multiple process technologies are combined under vacuum to create novel materials and chip structures that are not otherwise possible.

     

    “It has been a great journey to walk with Applied Materials over the past 30 years,” said Dr. Mark Liu, chairman of TSMC. “Beyond 3nm, to sustain the rate of improvement, and I believe we will, we need to work together closer than ever before. We need to innovate in new transistor structures, in new materials, in new system architecture, and new 3D integration. It is an exciting time. We look forward to working with Applied Materials to discover the future semiconductor innovations.”

     

    The company also presented case studies of Applied AIX (Actionable Insight Accelerator) – a new platform that enables semiconductor engineers to use the power of big data and AI to accelerate the discovery, development and commercial deployment of new chip technologies.

     

    “It’s hard to simply put a number on it, but we all know that improving the process margin is the key to enable technology node migration,” said Seok-Hee Lee, CEO and president of SK hynix. “In many cases, it not only requires the adoption of advanced new technologies in a number of areas including materials, process and equipment, but it also requires all those factors to be optimized for the integration of multiple process steps. Each change in process variables affects others at multiple levels, so accelerating the cycle of learning to come up with the optimal solution is crucial. If Applied Materials develops new process technologies which are already co-optimized with adjacent process steps, it will help reduce development complexity for chipmakers. I think our development activities can move at a fast pace if we work together to harness the power of sensors, big data and AI to map and predict the effect of many process variables.”

     

    As electronic products become smarter the silicon content per device is increasing, including specialty semiconductors based on mature process nodes. Applied is addressing this growing demand with its ICAPS group (IoT, Communications, Automotive, Power and Sensors). 

     

    The company is now generating more than $3 billion per year in the ICAPS business.

     

    “GF is focused on the largest, most pervasive segments of the semiconductor industry and where technology has the broadest impact,” said Tom Caulfield, CEO of GF. “Our industry began a fundamental shift 15 years ago with the emergence of the smartphone, which brought new features including image sensors, battery management and secure pay. This also led to the Internet of Things that is now moving from all things connected to all things intelligent. Gary Dickerson and the team saw this trend early on and created a group dedicated to innovation on adding features to semiconductor products on all nodes. Today at GF, we leverage much of Applied’s capabilities for the technologies we innovate and manufacture.”

     

    To support the sustainable growth of the semiconductor industry, Applied underscored its ESG commitments with initiatives that are being driven within the company and in collaboration with suppliers, customers and the computing industry.

     

    “Micron is highly committed to reducing our environmental impact,” said Sanjay Mehrotra, president and CEO of Micron. “We appreciate how Applied Materials has embraced similar goals and made strong commitments to increasing the eco-efficiency of its manufacturing systems.”

     

    2024 Financial Model

    In the base case assumptions of its 2024 financial model, Applied plans to grow revenue by over 55% and non-GAAP EPS by more than 100% as compared to fiscal 2020. 

     

    It plans to increase Semiconductor Systems revenue by over 60%. The company announced a commitment to return between 80 and 100% of free cash flow to shareholders.

     

    Applied plans to grow its services business by over 45 percent as it increasingly moves beyond transactional parts and maintenance to comprehensive services delivered via subscription to give customers better outcomes from lab to fab. The key to the growth strategy is expanding the use of digital services and remote capabilities that use sensors, analytics and AI.

     

    In its Display business, Applied expects to benefit from the next wave of OLED growth as the technology becomes more pervasive in smartphones, notebook PCs, tablets and TVs. Applied plans to increase annual operating margin in its Display business to around $600 million on average over the four years ending 2024.

     

    “The growth momentum in our reporting segments is the foundation of our new target financial model,” said Dan Durn, senior VP and CFO of Applied Materials. “Combined with our focus on execution, discipline and resulting margin improvements, we plan to drive a high-ROI model that generates strong free cash flow and attractive shareholder returns.”

    Suggested For You
    Adesis Achieves ISO 9001:2015 Certification Adesis Achieves ISO 9001:2015 Certification
    Identiv, Ameta International Announce US, Canadian Distribution Partnership Identiv, Ameta International Announce US, Canadian Distribution Partnership
    Louis Widmer SA Complies with EU Anti-Counterfeiting Directive with Zebra Technologies’ Solution Louis Widmer SA Complies with EU Anti-Counterfeiting Directive with Zebra Technologies’ Solution
    SEMI Appoints imec, Soitec Executives to Europe Advisory Board SEMI Appoints imec, Soitec Executives to Europe Advisory Board
    OLEDWorks Exhibits at Auto Shanghai 2021 OLEDWorks Exhibits at Auto Shanghai 2021
    SEMI Applauds Introduction of  Endless Frontier Act SEMI Applauds Introduction of Endless Frontier Act
    Audi Unveiling 4-door Audi A6 e-tron Concept Audi Unveiling 4-door Audi A6 e-tron Concept
    Nano Dimension Acquires DeepCube Ltd. Nano Dimension Acquires DeepCube Ltd.
    SEMI, Center for Automotive Research Collaborate SEMI, Center for Automotive Research Collaborate
    Zebra Technologies Introduces New Alliance Track for PartnerConnect Channel Program Zebra Technologies Introduces New Alliance Track for PartnerConnect Channel Program
    LG Display Cuts Down CO2-eq Emissions by 3 Million Tons in 2020 LG Display Cuts Down CO2-eq Emissions by 3 Million Tons in 2020
    Universal Display Corporation Named to Financial Times’ The Americas’ Fastest-Growing Companies 2021 Universal Display Corporation Named to Financial Times’ The Americas’ Fastest-Growing Companies 2021
    Brady Corporation Announces Tender Offer to Acquire Nordic ID Oyj Brady Corporation Announces Tender Offer to Acquire Nordic ID Oyj
    KYOCERA Licenses TactoTek Injection Molded Structural Electronics Technology KYOCERA Licenses TactoTek Injection Molded Structural Electronics Technology
    Emerson Wins 2021 ENERGY STAR Partner of the Year Award Emerson Wins 2021 ENERGY STAR Partner of the Year Award

    Related Breaking News

    • Breaking News | Displays and Lighting
      OLEDWorks Exhibits at Auto Shanghai 2021

      OLEDWorks Exhibits at Auto Shanghai 2021

      “OLEDs offer clear advantages for automotive applications," CEO Dave DeJoy said.
      Anthony Locicero, Associate editor 04.22.21

    • Breaking News | Flexible and Printed Electronics | Semiconductors and Quantum Dots
      SEMI Applauds Introduction of  Endless Frontier Act

      SEMI Applauds Introduction of Endless Frontier Act

      This bipartisan legislation calls for the investment of more than $100 billion in science and technology initiatives.
      Anthony Locicero, Associate editor 04.22.21

    • Breaking News | Flexible and Printed Electronics | Semiconductors and Quantum Dots
      TechBlick Announces Agenda For Next Printed, Hybrid, Structural, 3D Electronics Virtual Event

      TechBlick Announces Agenda For Next Printed, Hybrid, Structural, 3D Electronics Virtual Event

      TechBlick is a year-round event series with over 350+ analyst-picked live online presentations on emerging technologies.
      Anthony Locicero, Associate editor 04.21.21


    • 3D Printing | Breaking News | Research Institutions
      NREL Takes Novel Approach to 3D-Printed Water Power Prototypes

      NREL Takes Novel Approach to 3D-Printed Water Power Prototypes

      NREL and Montana State University researchers explore the potential for rapid prototyping using additively manufactured composite molds.
      Alexis Powers, NREL 04.21.21

    • Breaking News | Flexible and Printed Electronics | Printed Circuit Boards/Membrane Switches/In Mold Electronics | Sensors and Wearables | Suppliers News
      Canatu Manufactures World’s Thinnest Free-standing CNB Membrane

      Canatu Manufactures World’s Thinnest Free-standing CNB Membrane

      CNB is a hybrid carbon nanomaterial fusing nanotubes with fullerenes.
      Anthony Locicero, Associate editor 04.20.21

    • Breaking News | Displays and Lighting | Manufacturers News
      Audi Unveiling 4-door Audi A6 e-tron Concept

      Audi Unveiling 4-door Audi A6 e-tron Concept

      Digital Matrix LED and digital OLED technology make it possible to achieve maximum brightness from the headlights and taillights, according to Audi.
      Anthony Locicero, Associate editor 04.20.21


    • 3D Printing | Breaking News | Mergers and Acquisitions
      Nano Dimension Acquires DeepCube Ltd.

      Nano Dimension Acquires DeepCube Ltd.

      AI will drive its 3D-AI/ML distributed digital fabrication applications, according to Nano Dimension.
      Anthony Locicero, Associate editor 04.20.21

    • Breaking News | Semiconductors and Quantum Dots
      SEMI, Center for Automotive Research Collaborate

      SEMI, Center for Automotive Research Collaborate

      To advance increased supply chain collaboration between the semiconductor and automotive industries.
      Anthony Locicero, Associate editor 04.19.21

    • Breaking News | RFID and NFC
      Zebra Technologies Introduces New Alliance Track for PartnerConnect Channel Program

      Zebra Technologies Introduces New Alliance Track for PartnerConnect Channel Program

      New track enables improved collaboration with Zebra partner ecosystem.
      Anthony Locicero, Associate editor 04.19.21


    • Breaking News | Flexible and Printed Electronics | Semiconductors and Quantum Dots
      Virtual ASMC 2021 Spotlights Advanced Semiconductor Manufacturing Excellence

      Virtual ASMC 2021 Spotlights Advanced Semiconductor Manufacturing Excellence

      Registration for the event is now open.
      Anthony Locicero, Associate editor 04.19.21

    • Breaking News | Photovoltaics
      European Commission

      European Commission's Innovation Radar Acknowledges 3 ARMOR Innovations

      Innovations developed in the OLEDSOLAR project funded by the European Commission as part of the Horizon 2020 framework program.
      Anthony Locicero, Associate editor 04.16.21

    • Breaking News | Displays and Lighting
      LG Display Cuts Down CO2-eq Emissions by 3 Million Tons in 2020

      LG Display Cuts Down CO2-eq Emissions by 3 Million Tons in 2020

      Said it is in tandem with its commitment to pursuing its carbon neutrality for the green future.
      Anthony Locicero, Associate editor 04.16.21


    • Breaking News | Displays and Lighting
      Universal Display Corporation Named to Financial Times’ The Americas’ Fastest-Growing Companies 2021

      Universal Display Corporation Named to Financial Times’ The Americas’ Fastest-Growing Companies 2021

      Universal Display Corporation ranked No. 441 among public and private high-growth companies in North, Central and South America.
      Anthony Locicero, Associate editor 04.15.21

    • Breaking News | Mergers and Acquisitions | RFID and NFC
      Brady Corporation Announces Tender Offer to Acquire Nordic ID Oyj

      Brady Corporation Announces Tender Offer to Acquire Nordic ID Oyj

      A total equity purchase price of €8.1 million ($9.7 million).
      Anthony Locicero 04.15.21

    • Breaking News | Printed Circuit Boards/Membrane Switches/In Mold Electronics
      KYOCERA Licenses TactoTek Injection Molded Structural Electronics Technology

      KYOCERA Licenses TactoTek Injection Molded Structural Electronics Technology

      The global electronic manufacturer is the first to design, develop, and produce IMSE parts in Japan.
      Anthony Locicero, Associate editor 04.15.21

    Trending
    • Nano Dimension Acquires DeepCube Ltd.
    • NREL Takes Novel Approach To 3D-Printed Water Power Prototypes
    • SEMI Appoints Imec, Soitec Executives To Europe Advisory Board
    • Audi Unveiling 4-door Audi A6 E-tron Concept
    • Impinj Sees RFID Moving Into New Avenues Of Retail
    Breaking News
    • OLEDWorks Exhibits at Auto Shanghai 2021
    • SEMI Applauds Introduction of Endless Frontier Act
    • TechBlick Announces Agenda For Next Printed, Hybrid, Structural, 3D Electronics Virtual Event
    • NREL Takes Novel Approach to 3D-Printed Water Power Prototypes
    • Canatu Manufactures World’s Thinnest Free-standing CNB Membrane
    View Breaking News >
    CURRENT ISSUE

    Fall 2020

    • Flexible Electronics Is Proving to Be Ideal for Healthcare
    • COVID-19 and the Printed Electronics Industry
    • Smart Packaging Looks to Move Forward
    • Electronic & Conductive Ink Conference Showcases Future of Ink Technology
    • Printed Electronics Now’s International Suppliers’ Directory
    • View More >

    Cookies help us to provide you with an excellent service. By using our website, you declare yourself in agreement with our use of cookies.
    You can obtain detailed information about the use of cookies on our website by clicking on "More information”.

    • About Us
    • Privacy Policy
    • Terms And Conditions
    • Contact Us

    follow us

    Subscribe
    Nutraceuticals World

    Latest Breaking News From Nutraceuticals World

    Ashland Supports the Nature Conservancy Forest Restoration Effort to Help Plant a Billion Trees
    Martin Bauer Announces Installation of Agile Filling System at Bethlehem, PA Facility
    PepsiCo and Ingredion Begin Pilot Partnership with Soil and Water Outcomes Fund
    Coatings World

    Latest Breaking News From Coatings World

    AkzoNobel Shareholders Approve Final Dividend at Annual General Meeting
    PPG Maintains EcoVadis Gold Rating
    Sustainable Plastics Will Make Up More Than 15% of Production by 2030
    Medical Product Outsourcing

    Latest Breaking News From Medical Product Outsourcing

    Getinge Receives FDA Clearance for Multiple Products
    Study Shows Benefits of CCHD Screening Using Masimo SET Pulse Oximetry
    TEAM Technologies Acquires ViruDefense
    Contract Pharma

    Latest Breaking News From Contract Pharma

    RDIF, Minapharm to Make Over 40M Doses of the Sputnik V Vaccine in Egypt
    Bora Pharmaceuticals Completes Health Canada Inspection
    Nanoform, Aprecia Partner to Advance 3DP Nanomedicines
    Beauty Packaging

    Latest Breaking News From Beauty Packaging

    Johnson & Johnson Reports Sales Increase in First Quarter of 2021
    THG Launches Recycling Program in UK
    Knoll Printing & Packaging Commits to a Healthy Ocean and Planet
    Happi

    Latest Breaking News From Happi

    L’Oréal Successfully Defends Itself In Patent Infringement Lawsuit
    TFF Names 2021 Honorees for Lifetime Achievement Perfumer and Hall of Fame
    Ashland Donates $20,000 To Help Plant Trees
    Ink World

    Latest Breaking News From Ink World

    Kumon North America Adds Speedmaster XL 106 from Heidelberg
    Acrylic Resins Market Worth $21.9 Billion by 2025: MarketsandMarkets
    SE-DA Invests in Kornit Presto S
    Label & Narrow Web

    Latest Breaking News From Label & Narrow Web

    Ashland commits to forest restoration
    Epson upgrades SurePress demo facility
    Xeikon helps converters navigate toner and inkjet
    Nonwovens Industry

    Latest Breaking News From Nonwovens Industry

    Savaré Strengthens Technical Support for the Americas
    FiberVisions, Avgol Partner with Polymateria
    High-Tech Conversions Launches Wipes Dispenser
    Orthopedic Design & Technology

    Latest Breaking News From Orthopedic Design & Technology

    FDA Clears Orthofix's 3D-Printed FORZA Titanium TLIF Spacer System
    Patients Conclude Clinical Visits in Knee Osteoarthritis Treatment Study
    SeaSpine Begins Limited Rollout of WaveForm TO 3D-Printed Interbodies
    Printed Electronics Now

    Latest Breaking News From Printed Electronics Now

    Identiv, Ameta International Announce US, Canadian Distribution Partnership
    Adesis Achieves ISO 9001:2015 Certification
    Louis Widmer SA Complies with EU Anti-Counterfeiting Directive with Zebra Technologies’ Solution

    Copyright © 2021 Rodman Media. All rights reserved. Use of this constitutes acceptance of our privacy policy The material on this site may not be reproduced, distributed, transmitted, or otherwise used, except with the prior written permission of Rodman Media.

    AD BLOCKER DETECTED

    Our website is made possible by displaying online advertisements to our visitors.
    Please consider supporting us by disabling your ad blocker.


    FREE SUBSCRIPTION Already a subscriber? Login