KLA (KLAC) Bank of America 2026 Global Technology Conference summary

Industry outlook and growth expectations

• Industry investment in 2026 is expected to rise by high teens to 20%, with strong customer urgency and improved visibility into demand.

• Wafer equipment market for 2026 is projected to exceed $140 billion, with potential upside.

• 2027 is anticipated to show meaningful growth, supported by new fabs and broad-based participation in logic, foundry, and memory.

• The environment is described as constructive, with a focus on ramping supply chain and execution to support multi-year growth.

• Long-term planning includes a $215 billion WFE market assumption for 2030, with current momentum possibly exceeding prior forecasts.

Strategic positioning and market share

• Outlined a 2030 plan targeting 11% semiconductor revenue growth and 12% wafer equipment growth, with rising market share from 7.5% to 9%.

• Achieved 80 basis points share gain in process control, now 7.5x larger than the nearest competitor.

• Advanced packaging market share grew from under 1% to over 6% in recent years, with revenue in packaging expected to reach $1 billion.

• Targeting 50 basis points of share gain per year, with expectations to gain another 150 basis points over the next five years.

• Differentiation and portfolio breadth are key to maintaining and expanding share.

Technology and market drivers

• High-Performance Compute and High Bandwidth Memory are driving increased process control intensity and larger die sizes.

• Introduction of EUV in memory and logic is increasing demand for advanced process control.

• Advanced packaging, especially hybrid bonding, is becoming a significant growth area, with more stringent requirements and higher adoption of front-end tools.

• Memory intensity is expected to rise, with High Bandwidth Memory and EUV in DRAM contributing to growth.

• Service business is expanding, driven by longer tool lifetimes and higher contract penetration.