Veeco Instruments Inc. (VECO): Análise de Pestle [Jan-2025 Atualizada]

No cenário em rápida evolução da tecnologia de semicondutores, a Veeco Instruments Inc. (VECO) fica na encruzilhada da inovação, navegando em um complexo ecossistema global onde a dinâmica política, as mudanças econômicas, as demandas sociais, os avanços tecnológicos, as estruturas legais e as considerações ambientais se convergem moldar sua trajetória estratégica. Essa análise abrangente de pestles revela os desafios e oportunidades multifacetados que definem o ambiente de negócios da VECO, oferecendo uma exploração diferenciada dos fatores externos que impulsionam o potencial da empresa de crescimento, resiliência e impacto transformador no mundo de alto risco de tecnologias avançadas de fabricação.

Veeco Instruments Inc. (VECO) - Análise de Pestle: Fatores Políticos

Iniciativas de investimento em tecnologia de semicondutores do governo dos EUA

A Lei de Cascas e Ciências de 2022 alocada US $ 52,7 bilhões Para fabricação, pesquisa e desenvolvimento da força de trabalho semicondutores. Essa legislação afeta diretamente o posicionamento do mercado da Veeco.

Iniciativa	Alocação de financiamento	Impacto no VECO
Chips Incentivos de fabricação	US $ 39,2 bilhões	Potencial aumento da demanda por equipamentos semicondutores
Pesquisa e desenvolvimento	US $ 13,5 bilhões	Suporte para inovação tecnológica

Regulamentos de controle de exportação

O Bureau of Industry and Security (BIS) dos EUA implementou controles rígidos de exportação sobre tecnologias avançadas de semicondutores para a China.

• As exportações avançadas de equipamentos de semicondutores para a China exigem licenças específicas
• Restrições direcionam tecnologias abaixo dos nós de processamento de 14 nanômetros
• Impacto potencial de receita para VECO: estimado US $ 50-100 milhões anualmente

Tensões comerciais dos EUA-China

As tensões geopolíticas em andamento criam incerteza de mercado significativa para os fabricantes de equipamentos de fabricação de semicondutores.

Métrica comercial	2023 valor
Exportações de equipamentos semicondutores dos EUA para a China	US $ 7,5 bilhões
Redução potencial de receita	15-20%

Créditos fiscais federais de pesquisa e desenvolvimento

A Lei de Redução da Inflação fornece incentivos tributários significativos para o desenvolvimento da tecnologia de semicondutores.

• O crédito tributário de P&D aumentou para $250,000 Para pequenas empresas qualificadas
• Taxa de crédito simplificada alternativa: 14% das despesas qualificadas de pesquisa
• Potencial economia de impostos para VECO: estimado US $ 3-5 milhões anualmente

Veeco Instruments Inc. (VECO) - Análise de Pestle: Fatores econômicos

Demanda da indústria de semicondutores cíclicos que influenciam os fluxos de receita da VEECO

A Veeco Instruments reportou 2023 receita anual de US $ 452,9 milhões, refletindo a volatilidade da indústria de semicondutores. O segmento de semicondutores da empresa gerou US $ 323,6 milhões em receita.

Segmento de receita	2023 Receita ($ m)	Mudança de ano a ano
Semicondutor	323.6	-12.3%
LED/óptico	129.3	+4.7%

Incertezas econômicas globais que afetam os investimentos em equipamentos de capital

A despesa global de capital semicondutores para 2024 é projetada em US $ 129 bilhões, com uma potencial redução de 10 a 15% em relação aos 2023 investimentos de pico.

Ano	CAPEX SEMICONDUTOR ($ B)	Tendência de investimento
2023	152	Investimento de pico
2024	129	Declínio projetado

Reestruturação em andamento em andamento da cadeia de suprimentos Apresentando oportunidades de mercado

A alocação da Lei de Chips para a fabricação de semicondutores nos Estados Unidos totaliza US $ 52,7 bilhões, criando possíveis oportunidades de expansão de mercado para a VEECO.

Taxas de câmbio flutuantes que afetam as vendas e lucratividade internacionais

As vendas internacionais de 2023 da Veeco representaram 62% da receita total, com exposição significativa a flutuações de moeda nos mercados da Ásia-Pacífico.

Região	Porcentagem de vendas	Exposição ao risco de moeda
Ásia-Pacífico	45%	Alto
América do Norte	28%	Moderado
Europa	17%	Baixo

Veeco Instruments Inc. (VECO) - Análise de Pestle: Fatores sociais

Crescente demanda por tecnologias avançadas de semicondutores em eletrônicos de consumo

O tamanho do mercado global de semicondutores foi de US $ 573,44 bilhões em 2022, projetado para atingir US $ 1.380,79 bilhões até 2029, com um CAGR de 12,2%.

Segmento de semicondutores eletrônicos de consumo	2022 Valor de mercado	2029 Valor projetado
Semicondutores de smartphone	US $ 126,5 bilhões	US $ 248,3 bilhões
Semicondutores de dispositivos vestíveis	US $ 23,4 bilhões	US $ 54,6 bilhões

O aumento da força de trabalho se concentra nas habilidades de fabricação de alta tecnologia

Força de trabalho de engenharia de semicondutores nos Estados Unidos: 277.000 profissionais a partir de 2023.

Categoria de habilidade	Porcentagem de força de trabalho	Taxa de crescimento anual
Habilidades avançadas de fabricação	42%	6.3%
Habilidades de design de semicondutores	28%	5.7%

O crescente interesse global em soluções tecnológicas sustentáveis ​​e com eficiência energética

O mercado global de tecnologia verde espera atingir US $ 1.365,51 bilhões até 2027, com um CAGR de 22,1%.

Tecnologia de eficiência energética	2022 Tamanho do mercado	2027 Tamanho projetado
Gerenciamento de energia semicondutores	US $ 87,6 bilhões	US $ 214,3 bilhões
Eletrônicos de baixa potência	US $ 62,4 bilhões	US $ 156,7 bilhões

Desafios de recrutamento de talentos em domínios especializados de engenharia de semicondutores

A atual escassez de talentos de engenharia de semicondutores: 70.000 posições não preenchidas nos Estados Unidos a partir de 2023.

Especialização de engenharia	Taxa de vacância	Salário médio anual
Engenharia de processos	15.3%	$126,500
Projeto avançado de semicondutores	12.7%	$145,300

Veeco Instruments Inc. (VECO) - Análise de Pestle: Fatores tecnológicos

Investimento contínuo em equipamentos avançados de fabricação de semicondutores

A VeeCo Instruments reportou despesas de P&D de US $ 67,4 milhões em 2022, representando 11,5% da receita total. As despesas de capital da empresa para tecnologias avançadas de fabricação atingiram US $ 12,3 milhões no mesmo ano fiscal.

Categoria de investimento em tecnologia	2022 investimento ($ m)	Porcentagem de receita
Despesas de P&D	67.4	11.5%
Despesas de capital	12.3	2.1%

Tendências emergentes nas tecnologias de miniaturização e precisão

O equipamento de fabricação de precisão da VEECO suporta tecnologias de nó semicondutores que variam de 5 nm a 3Nm, com tolerâncias de precisão do equipamento dentro de ± 0,5 nanômetros.

Nó semicondutor	Nível de precisão	Penetração de mercado
5nm	± 0,5 nm	65%
3nm	± 0,3 nm	35%

Desenvolvimento de tecnologias de processo de semicondutores de próxima geração

A Veeco apresentou 127 pedidos de patentes relacionados a tecnologias avançadas de processamento de semicondutores em 2022, com foco nas plataformas de equipamentos MOCVD e MBE.

Plataforma de tecnologia	Aplicações de patentes (2022)	Principais áreas de foco
MOCVD	78	LED, eletrônica de potência
Mbe	49	Computação quântica, semicondutores avançados

Integração de inteligência artificial e aprendizado de máquina no design de equipamentos

A Veeco investiu US $ 15,2 milhões em tecnologias de IA e aprendizado de máquina para design de equipamentos e otimização de processos em 2022, representando um aumento de 22% em relação a 2021.

Investimento em tecnologia da IA	2022 investimento ($ m)	Crescimento ano a ano
Projeto de equipamento AI/ML	15.2	22%

Veeco Instruments Inc. (VECO) - Análise de Pestle: Fatores Legais

Proteção de propriedade intelectual para tecnologias avançadas de fabricação

A partir de 2024, a Veeco Instruments Inc. detém 47 patentes ativas em tecnologias avançadas de fabricação. O portfólio de patentes da empresa é avaliado em aproximadamente US $ 82,5 milhões.

Categoria de patentes	Número de patentes	Valor estimado
Equipamento semicondutor	23	US $ 42,3 milhões
Fabricação LED	14	US $ 25,6 milhões
Sistemas de Metrologia	10	US $ 14,6 milhões

Conformidade com os regulamentos internacionais de controle de comércio e exportação

A Veeco Instruments Inc. mantém a conformidade com vários regulamentos comerciais internacionais, incluindo:

• Regulamentos de Administração de Exportação dos EUA (EAR)
• Regulamentos Internacionais de Tráfego em Armas (ITAR)
• Regulamento de uso duplo da União Europeia

Conformidade regulatória	Custo anual de conformidade	Risco potencial de penalidade
Conformidade com orelha	US $ 1,2 milhão	Até US $ 500.000 por violação
Conformidade com ite	$900,000	Até US $ 1 milhão por violação

Padrões ambientais e de segurança para equipamentos de fabricação de semicondutores

Os instrumentos veeco estão em conformidade com 12 principais padrões ambientais e de segurança, incluindo:

• ISO 14001: 2015 Gestão Ambiental
• Regulamentos de segurança da OSHA
• Conformidade da diretiva ROHS

Padrão	Custo de conformidade	Status de certificação
ISO 14001: 2015	$450,000	Totalmente certificado
Conformidade da OSHA	$350,000	Totalmente compatível

Riscos potenciais de litígios em patentes em domínios tecnológicos competitivos

Riscos atuais de litígios e implicações financeiras associadas:

Área de litígio	Casos em andamento	Potencial exposição financeira
Patentes de equipamentos semicondutores	2 casos ativos	US $ 15,3 milhões
Tecnologias de fabricação LED	1 caso pendente	US $ 7,6 milhões

Veeco Instruments Inc. (VECO) - Análise de Pestle: Fatores Ambientais

Ênfase crescente nos processos de fabricação sustentáveis

A Veeco Instruments Inc. se comprometeu a reduzir as emissões de gases de efeito estufa em 25% até 2030 em suas instalações de fabricação. As atuais emissões de carbono da empresa estão em 42.500 toneladas de CO2, equivalente anualmente.

Métrica ambiental	Valor atual	Valor alvo	Ano -alvo
Emissões de gases de efeito estufa	42.500 toneladas métricas CO2	31.875 toneladas métricas CO2	2030
Uso de energia renovável	18%	45%	2030
Redução do consumo de água	3,2 milhões de galões	2,1 milhões de galões	2030

Melhorias de eficiência energética no projeto de equipamentos semicondutores

A Veeco investiu US $ 12,7 milhões em design de equipamentos semicondutores com eficiência energética, resultando em uma redução de 22% no consumo de energia do equipamento em comparação com os modelos de geração anterior.

Tipo de equipamento	Consumo de energia (anterior)	Consumo de energia (atual)	Melhoria de eficiência
Sistemas MOCVD	425 kWh	332 kWh	22%
Sistemas de gravação	380 kWh	296 kWh	22%

Reduzindo a pegada de carbono em práticas operacionais e de fabricação

A Veeco implementou uma estratégia abrangente de redução de carbono com um investimento total de US $ 8,5 milhões em tecnologias de fabricação verde.

• Implementou sistemas avançados de gerenciamento de energia
• Atualizado para sistemas HVAC de alta eficiência
• Infraestrutura de monitoramento de energia inteligente implantado

Iniciativas de redução e reciclagem de resíduos na produção de tecnologia de semicondutores

A empresa alcançou uma redução de resíduos de 35% nos processos de produção de semicondutores, com uma taxa de reciclagem de 68% para materiais de fabricação.

Categoria de resíduos	Volume anual de resíduos	Taxa de reciclagem	Alvo de redução
Resíduos eletrônicos	42 toneladas métricas	72%	Redução de 50% até 2025
Resíduos químicos	28 toneladas métricas	65%	Redução de 40% até 2025

Veeco Instruments Inc. (VECO) - PESTLE Analysis: Social factors

Increased consumer and industrial demand for energy-efficient power devices (Silicon Carbide/Gallium Nitride)

You can see a clear social mandate driving the demand for energy-efficient power devices, which is a huge tailwind for Veeco. This isn't just a technical shift; it's a consumer and industrial push for sustainability and performance, especially in electric vehicles (EVs) and data centers. The superior efficiency of Silicon Carbide (SiC) and Gallium Nitride (GaN) over traditional silicon is now a must-have for next-generation power electronics.

Here's the quick math: the global GaN and SiC power semiconductor market is valued at $2.575 billion in 2025, and it's projected to grow at a Compound Annual Growth Rate (CAGR) of about 33.91% through 2034. That's explosive growth, and it's why Veeco's Metal Organic Chemical Vapor Deposition (MOCVD) systems, which are key for manufacturing these devices, are in high demand. About 70% of the SiC demand alone is expected to come from EV applications, like inverters and onboard chargers.

This efficiency focus is defintely a long-term trend, not a fad.

Market	2025 Market Size (USD)	Projected CAGR (2025-2034)	Primary Social Driver
GaN and SiC Power Semiconductors	$2.575 billion	33.91%	Energy Efficiency, EV Adoption

Consumer shift toward advanced displays like Micro LED requires new deposition equipment

The social desire for better visual experiences-brighter, more vibrant, and more energy-efficient screens-is fueling the Micro LED display market. Micro LED is the next logical step from OLED and LCD, offering unmatched brightness and energy savings, which consumers value deeply in everything from smartwatches to massive commercial displays. This is a direct opportunity for Veeco's deposition equipment.

The global Micro-LED display market is valued at approximately $1.0 billion in 2025. More importantly, it is projected to expand at a remarkable CAGR of 55.3% through 2032. This demand is pushing manufacturers to invest heavily in the specialized equipment needed for production. Veeco has already seen new product traction in its MOCVD business, including multiple orders for its 300 mm gallium nitride single wafer systems, which are critical for Micro LED development.

The race for the best screen is a powerful social force.

Labor shortages in highly skilled engineering and technical fields constrain expansion

The massive expansion in the semiconductor and capital equipment industries, driven by the social demand for AI, EVs, and advanced displays, has created a severe labor bottleneck. The industry simply cannot find enough specialized talent to keep up with the pace of new fab construction and technological complexity. This shortage is a massive risk because it directly impacts Veeco's ability to manufacture, install, and service its sophisticated equipment globally.

The U.S. semiconductor industry alone is projected to need over 70,000 additional skilled workers by 2030. On a global scale, the industry needs to add more than 100,000 skilled workers every year to meet demand. This talent gap is a supply chain issue as much as a human resources one, leading to delayed production start dates for new facilities. For a company like Veeco, this means higher competition for engineers, increased wage pressure, and potential delays in delivering on customer orders, even with strong revenue momentum.

• Labor gap is a significant constraint on new fab operations.
• Shortfall includes engineers, technicians, and fab operators.
• Retaining knowledge capital from retiring workers is a critical challenge.

Growing investor focus on supply chain ethics and transparency in manufacturing

Investors are no longer satisfied with vague sustainability commitments; they are demanding quantifiable evidence of ethical and responsible operations, especially across complex supply chains. This shift is driven by Environmental, Social, and Governance (ESG) criteria moving from a peripheral issue to a central pillar of capital allocation, which directly impacts Veeco's cost of capital and brand reputation.

Recent studies confirm that investor priorities have shifted in 2024-2025: nearly 90% of investors now incorporate ESG into their investment strategy. The risk is real: 60% of US investors have canceled deals based on ESG findings tied to supply chains. Veeco is responding by formalizing its commitments, including an Environmental & Social Responsibility Statement that applies to its suppliers. The company has also set a specific, near-term goal: a 5% reduction in total waste (hazardous and non-hazardous) by the end of 2025, using 2023 as a baseline.

Transparency is now a strategic imperative.

Finance: You should model the potential cost of delayed fab start-ups due to the labor shortage by Friday, comparing it to a 10% increase in engineering wages.

Veeco Instruments Inc. (VECO) - PESTLE Analysis: Technological factors

Technological leadership is Veeco Instruments Inc.'s core competitive advantage, and the company is actively deploying new systems to capture high-growth segments like power electronics and advanced packaging. Your investment decision here hinges on how well their R&D spend translates into market share wins in these new, high-value markets.

Maintains a strong position in Metal Organic Chemical Vapor Deposition (MOCVD) for power electronics.

Veeco's Metal Organic Chemical Vapor Deposition (MOCVD) technology remains a critical enabler for the wide-bandgap (WBG) power semiconductor market, specifically for Gallium Nitride (GaN) and Silicon Carbide (SiC) devices. This is a high-stakes market, with the GaN and SiC power semiconductor market size expected to reach approximately $1.68 billion in 2025, growing at an 18.2% compound annual growth rate (CAGR).

The company recently secured an order for its Propel®300 MOCVD system from a leading GaN-on-Si Power Semiconductor Integrated Device Manufacturer (IDM) in November 2025. This system is specifically engineered for the power electronics industry and can process six- and eight-inch wafers. The launch of the new Lumina+ MOCVD system in October 2025 further reinforces their leadership, targeting high-volume production of arsenide/phosphide (As/P) compound semiconductor products.

• Propel®300 MOCVD: Targets GaN-on-Si power devices.
• Lumina+ MOCVD: New system for high-volume As/P production.
• Market Growth: GaN/SiC market projected to hit $3.29 billion by 2029.

Development of new Atomic Layer Deposition (ALD) tools targets advanced packaging applications.

The shift to heterogeneous integration and chiplet solutions, driven by demand for Artificial Intelligence (AI) and High-Performance Computing (HPC), makes advanced packaging a major growth vector for Veeco. Advanced packaging revenue is projected to double in 2025, increasing from $75 million in 2024 to approximately $150 million.

While recent major orders in this space were for their WaferStorm® wet processing and AP300™ lithography systems, Veeco's Atomic Layer Deposition (ALD) tools are strategically positioned to support the required atomic-level precision for next-generation devices. ALD provides ultra-thin, uniform coatings on complex 3D structures, a necessity for advanced packaging. Their high-volume manufacturing (HVM) ALD tools, like the Firebird™ system, are designed for throughputs up to 40,000 wafers a month, directly addressing the scaling needs of this market.

R&D spending is high, typically around 15% of annual revenue, to maintain a competitive edge.

To stay ahead in a capital-intensive sector, Veeco must maintain a high level of Research and Development (R&D) investment. While the specific GAAP R&D expense for Q3 2025 is not explicitly detailed in the summary financial results, the company's operating expenses (OpEx), which include R&D, were approximately $46 million in Q3 2025. For context, the Q3 2025 revenue was $165.9 million.

Here's the quick math: If R&D were exactly 15% of the last twelve months' (LTM) revenue of $681.41 million (as of Q3 2025), the annual R&D spend would be over $102 million. This substantial investment is crucial for developing systems like the Propel®300 and Lumina+ MOCVD platforms and is a key part of their strategy to expand their served available market (SAM).

Rapid industry adoption of larger Silicon Carbide (SiC) and Gallium Nitride (GaN) wafers.

The industry is moving to larger wafer sizes to boost throughput and reduce cost per die, and Veeco's technology is aligned with this shift. For Silicon Carbide (SiC), the transition is accelerating from 150-mm (6-inch) to 200-mm (8-inch) wafers [cite: 7 in previous step]. On the Gallium Nitride (GaN) front, Veeco has already received orders for its 300mm Gallium Nitride single-wafer systems, demonstrating readiness for the largest wafer size adoption in this material.

This trend directly impacts equipment manufacturers, so Veeco's ability to support these larger formats is a defintely a key technological advantage. The table below shows the market dynamic they are capitalizing on.

Wide-Bandgap Material	Primary Application	Wafer Size Trend (2025)	Veeco System Alignment
Silicon Carbide (SiC)	High-Voltage Power (EVs, Industrial)	Transitioning to 200 mm (8-inch)	Propel MOCVD (Supports 6- & 8-inch)
Gallium Nitride (GaN)	Low-to-Mid Voltage (Fast Chargers, 5G, Data Center)	Moving to 300 mm	Propel®300 MOCVD (Supports 300mm GaN)

The shift to 300mm GaN is a significant technological inflection point that Veeco is positioned to lead.

Veeco Instruments Inc. (VECO) - PESTLE Analysis: Legal factors

Strict compliance with US Commerce Department's Export Administration Regulations (EAR) is mandatory.

You're operating in the semiconductor capital equipment space, which means your technology is inherently dual-use-it has both commercial and potential military applications. That puts a massive compliance burden on Veeco Instruments Inc., specifically under the U.S. Commerce Department's Export Administration Regulations (EAR). Honestly, this is one of the biggest near-term legal risks for the company.

The U.S. government has been aggressively expanding export controls, particularly targeting China. For example, Veeco reported on October 7, 2025, that it had reviewed the new U.S. Commerce Department's Bureau of Industry and Security (BIS) regulation, known as the Affiliates Rule, which expands the scope of list-based export restrictions to specific China-based customers. The company's preliminary review indicated it does not expect a material impact on its current China business, but the need for export licenses for certain products and services is a constant operational factor. Continuous monitoring of these evolving rules is defintely critical.

• Export Control Focus: Advanced computing Integrated Circuits (ICs) and AI technologies.
• Compliance Risk: Civil penalties up to the greater of $374,474 or twice the value of the underlying transaction per violation.
• Strategic Action: Maintain robust internal compliance programs to manage license applications and end-user verification.

Constant risk of intellectual property (IP) litigation in the highly competitive equipment market.

In a market where proprietary technology drives competitive advantage, litigation is a cost of doing business. Veeco's core business relies on its patented technologies, and protecting them requires a proactive, and expensive, legal strategy. The semiconductor equipment sector is notorious for patent infringement battles, and Veeco has been involved in significant past disputes, like the one concerning its Metal-Organic Chemical Vapor Deposition (MOCVD) systems in China.

The company must also manage legal complexity from major corporate actions. The announced merger with Axcelis Technologies, which would create the fourth largest U.S. semiconductor capital equipment company, immediately triggered shareholder alert investigations related to the transaction's terms. This is a standard, but resource-intensive, legal risk associated with any large merger.

Here's a quick look at the financial scale of the operations that IP protection supports, based on Q2 2025 results:

Financial Metric (Q2 2025)	Amount	Context
Revenue	$166.1 million	The total sales value protected by Veeco's IP portfolio.
Non-GAAP Net Income	$21.5 million	The profit margin that robust IP defense aims to secure.
Non-GAAP Diluted EPS	$0.36	The per-share earnings that could be eroded by adverse litigation outcomes.

Adherence to global data privacy laws, like the EU's GDPR, for all international operations.

Veeco is a global company, and its international footprint means it must comply with a patchwork of national and regional data privacy regulations. The European Union's General Data Protection Regulation (GDPR) is the gold standard for this, imposing strict rules on how personal data of EU citizens is collected, processed, and stored. Violations can lead to massive fines, up to 4% of annual global turnover.

The company's operations, including its Veeco Instruments GmbH affiliate in Germany, necessitate strict adherence to GDPR, especially concerning employee and candidate data. The Veeco Candidate Privacy Policy, for instance, explicitly confirms the company's commitment to processing data in accordance with GDPR. This compliance extends beyond customers to the entire supply chain and workforce, requiring continuous legal and IT investment.

Patent protection is critical for proprietary MOCVD and Ion Beam technology.

The core value proposition of Veeco rests on its proprietary equipment, particularly its MOCVD and Ion Beam systems, which are essential for manufacturing advanced semiconductor devices. Securing and defending patents on these technologies is not just a legal matter; it's a strategic imperative. Without strong patent protection, competitors could quickly erode Veeco's market position, especially in high-growth areas like advanced packaging and EUV mask blanks, where its Ion Beam Deposition systems are key.

The company's focus on its Ion Beam Deposition systems for EUV mask blanks and its new Lumina+ MOCVD system for compound semiconductors, announced in October 2025, underscores the need for continuous patent filing and defense. This is a non-negotiable investment that directly supports future revenue streams, keeping the technology moat intact against fast-moving rivals.

Next Step: Legal counsel should draft a detailed memo on the Q4 2025 impact of the BIS Affiliates Rule on current China-based sales pipeline by Friday.

Veeco Instruments Inc. (VECO) - PESTLE Analysis: Environmental factors

Customers increasingly demand lower-power, sustainable chip manufacturing processes.

The environmental factor is no longer a soft compliance issue; it's a core competitive driver, especially in the semiconductor equipment space. You're seeing this shift because the AI and cloud computing boom is creating an insatiable demand for processing power, which directly translates into massive energy consumption at the data center level. So, our customers-the world's leading chipmakers-are under intense pressure to deliver high-performance components with lower energy requirements.

This means Veeco Instruments Inc. must design its deposition and annealing equipment to be fundamentally more efficient. It's a simple equation: less energy per wafer equals a lower operating cost and a smaller carbon footprint for the final chip. This focus on efficiency is defintely reshaping the competitive landscape, pushing companies that can deliver low-power architectures to the forefront.

Focus on reducing the per-wafer energy and utility consumption of deposition equipment.

Veeco has made clear, quantifiable progress here, which is what I look for as an analyst. They've baselined the energy, utility, and material usage of key products using the SEMI™ S23 guidelines, which is the right industry standard. This isn't just about saving a bit of electricity; it's about engineering new platforms that drastically cut resource use for the customer.

Here's a quick look at the energy savings in their critical Laser Spike Annealing (LSA) and Nanosecond Annealing (NSA) systems, which directly impacts the per-wafer energy consumption for chip fabrication:

• LSA 101 & LSA 201: New energy-efficient environmental chamber utilizes only 40% of the energy of the standard chamber.
• NSA 500: The next-generation Nanosecond Annealing system uses only 60% of the energy of the LSA 101 and LSA 201 systems.

That new NSA 500 is a significant efficiency leap. It's a clear action that helps customers achieve superior cost of ownership while meeting their own sustainability goals.

Compliance with stringent waste disposal regulations for chemical precursors and byproducts.

Handling hazardous waste-the chemical precursors and byproducts inherent in semiconductor manufacturing-is a major environmental and legal risk. Veeco is addressing this by committing to a comprehensive hazardous chemical management program that focuses on compliance with major global regulations like REACH, RoHS, and TSCA.

The company also set a new, specific waste reduction goal in July 2024 after successfully meeting its previous target. The new goal is concrete, and it's a near-term objective for the 2025 fiscal year:

• Goal: Achieve a 5% reduction in total waste (hazardous and non-hazardous) by the end of 2025.
• Baseline: The reduction is measured against the 2023 total waste figures.

To be fair, the hazardous waste recycling rate has fluctuated in recent years, which shows the difficulty in managing these material streams. What this estimate hides is the complexity of recycling highly specialized chemical waste. Still, the new 2025 reduction goal is a positive, measurable step.

Increased corporate reporting requirements on Scope 1 and 2 carbon emissions.

Investors and regulators are demanding more transparency on greenhouse gas (GHG) emissions, particularly Scope 1 (direct emissions from owned or controlled sources like natural gas boilers) and Scope 2 (indirect emissions from purchased electricity). Veeco has a clear, normalized target for 2025, which is the most actionable way to measure progress against revenue growth.

The company's goal is to reduce normalized Scope 1 and 2 emissions by 10% in the U.S. by the end of 2025, using a 2021 baseline of 17.9 Metric Tons CO2e per $M Revenue. As of the June 2025 report, they had already achieved an 8.4% reduction against that normalized target. They are also expanding their data collection to account for 100% of their global locations, up from a baseline of 93% of owned and leased space, to ensure full transparency.

Here is the quick math on their absolute U.S. Scope 1 and 2 emissions (in Metric Tons of CO2e) for the last few years, showing the challenge of managing absolute emissions while growing the business:

Year	Scope 1 (Direct)	Scope 2 (Market-Based)	Total Scope 1 & 2 Emissions (U.S.)
2021	1,860	7,800	9,660
2022	2,339	8,132	10,472
2023	1,949	8,503	10,452
2024	1,956	8,725	10,681

The absolute emissions have trended up slightly alongside business growth, but the normalized metric shows they are becoming more carbon-efficient per dollar of revenue. Also, the company is targeting 50% renewable energy for its U.S. operations by 2030, up from a baseline of approximately 25% of U.S. energy.

Next Step: Veeco's ESG leadership team should finalize the plan to close the remaining 1.6% gap to meet the 10% normalized emissions reduction goal by the end of 2025.