Our strategy

Growth through Innovation

ASM has a legacy of innovation of more than half a century, innovation is at the core of what we do. With our global, networked R&D model, we can collaborate closely and early with our customers, industry partners, and universities. Over the past 20 years, we have accumulated a vast amount of know-how in ALD materials and chemistries. Coupled with decades of experience in developing reactors and processes.

Our main strengths

We are a focused deposition equipment provider in the semiconductor wafer fab equipment (WFE) market. Our principal technologies are ALD and epitaxy, and these play a critical role for our customers in enabling the transition to new device generations. We have helped shape the industry by driving innovation through our collaborative R&D models, successfully delivering advanced new materials, products and processes to our customers. 

 

During the period of 2016-2022 we have significantly outperformed the overall WFE market. Our target is to continue outperforming the market by leveraging our strong position in advanced nodes. 

 

Our revenue growth in recent years, has helped us to generate healthy cash flow and profitability, and enabled us to further increase investments in R&D, creating value for our stakeholders. 

 

Latest developments 

In 2022, we added a new product line – silicon carbide (SiC) epitaxy equipment, addressing the growing electrification of the automotive industry. SiC devices provide greater battery life and a longer range for electricity vehicles. 

Our strategic objectives

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Grow ALD business by maintaining leadership in logic/foundry and expanding in memory

Our ALD business is a key priority. ALD will continue to grow as a core technology as our customers transition to the next nodes. We expect the ALD market to be the fastest-growing segment in the deposition market in coming years.

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Increase epitaxy market share

Epitaxy has become the second growth engine in our product portfolio. In 2022, we have entered the silicon carbide (SiC) epitaxy market, which complements our epitaxy silicon offerings.

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Selective growth in VF, PECVD, and SiC epitaxy niches

We want to further develop our current niche positions by addressing targeted growth opportunities. Vertical furnace applications for the analog/power market are an example of a niche position we have selectively been investing in. Silicon carbide devices are an example of green tech. This market segment is experiencing strong growth, primarily driven by the rapidly expanding market for electric vehicles.

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Grow spares & services business

We aim to accelerate the growth of our spares & service business through continued expansion of our installed base, and growing our offerings to include differentiated outcome-based services, in addition to our existing offering of spare parts, maintenance and support services.

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Accelerate sustainability

Our focus is to deliver long-term sustainable value creation for all our stakeholders and have a positive impact on the world. We aspire to be a sustainability leader in our industry, continuing to address key ESG topics and opportunities.

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Drive strong financial performance

Healthy profitability will allow us to continue investing in growth. Per our profitability targets for the period 2021-2025, we strive to achieve sustainably higher gross margins between 46% and 50%, and an improved operating margin of 26% to 31%, generating strong free cashflow.

    

Our strategy enablers

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Best people

Our people are at the heart of our company’s success. We strive to create a safe, inspiring, and motivating workplace where our people have the opportunity to use their talents, excel, and develop their potential as we work together to deliver the cutting-edge technologies of tomorrow.

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Leading-edge innovation

The core element in our overall growth strategy is continuous innovation. With R&D centers in seven countries, we have helped shape today’s leading-edge semiconductor products by driving innovation through our collaborative R&D models.

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Early customer engagements

We have strong customer relationships with leading semiconductor manufacturers, working closely together in the early stages of their device roadmaps. As we have expanded our R&D engagements, we have deepened our understanding of the next generation’s key requirements.

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Flawless operational excellence

By driving operational excellence, we provide value to our customers with quality, reliable, leading-edge products and services. With our technology leadership, we develop new, high-performance products to meet our customers’ key inflections and support their production ramp with on-time delivery.

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Strong financial position

We strive to maintain a strong balance sheet that allows us to continue investing in R&D. To this end, our target is to increase the minimum amount of cash on our balance sheet from €300 million to €600 million in the period until 2025.

    

Our story

Read about our history and our present.

Purpose & mission

Read what drives us and what we contribute to the industry.

Culture at ASM

Our systems and products might shape the future, but they're made by our people: our true strength.