In 2022, the global market value of ABF substrate materials was approximately $470 million. Impacted by reduced demand and the depreciation of the Japanese yen, the growth rate was a mere 4.4% compared to 2021. Looking ahead to 2023, despite the sustained development in sectors such as High-Performance Computing (HPC), Artificial Intelligence (AI), and electric vehicles, the subdued computer market remains a concern for the growth of the ABF substrate materials market. As a result, it is projected that the ABF substrate materials market will experience a modest growth rate of 5.2% in 2023, reaching a market value of $490 million.

Presently, the ABF substrate materials market is predominantly monopolized by the Japanese company Ajinomoto, holding a market share of 96.4%. In terms of application markets, networking, servers, and computers stand as the three major sectors. With the emergence of AI applications, the demand for high computational power has surged, leading to increased quantities and upgraded specifications of server-grade CPUs/GPUs. Additionally, the advancement in chiplet packaging technology has significantly elevated the usage of ABF substrate materials. Consequently, servers are poised to become the primary application sector for ABF substrate materials in the foreseeable future.

Furthermore, in recent years, Taiwan WaferChem Technology announced a successful development of additive films specifically designed for ABF substrates. Currently, they are actively pursuing certifications from end customers. A successful market entry could reinforce Taiwan's substrate supply chain resilience. Moreover, localized production offers advantages including cost reduction and minimizing product carbon footprints.