Goldman Sachs Raises WFE Forecasts on HBM4, Advanced Nodes

Wafer fabrication equipment, or WFE, includes the lithography, etching and deposition systems needed to manufacture semiconductors, making spending a key gauge of industry investment. The transition to HBM4 and continued scaling at advanced logic nodes are broadening the equipment cycle beyond a single memory-led rebound, with DRAM producers and leading-edge foundries emerging as parallel sources of demand.

Goldman Sachs sharply raised its global WFE forecasts for 2026 through 2028, with the estimate reaching as high as $281 billion. The bank said HBM4 packaging architecture would spur a surge in DRAM capital expenditure, while Taiwan Semiconductor Manufacturing Co.’s N2 expansion would make foundry investment the next growth engine, creating a more diversified upcycle for semiconductor equipment suppliers.