AI PCB Boom: Equipment and Material Prices Rise Together — PCB Equipment & Material Discussion 20251101

1. Expansion Plans of Leading PCB Companies

Driven by the demand for AI servers, leading PCB companies are focusing their expansion on high-end fields, while mid-to-low-end companies face weak orders. Shenghong and Founder are aggressively expanding production due to orders for AI servers like NVIDIA’s GB200, with equipment procurement reaching tens of billions. Companies such as Huadian, Jingwang, Dongshan Precision, and Shennan Circuit are also accelerating their expansion, with Huadian increasing capacity through the acquisition of Flex factories, and Wuxi Senchan Circuit purchasing over a hundred drilling machines and 90 pressing machines in multiple phases. Second-tier companies like Guanghe Electronics and Zhongfu Circuit are also joining the expansion, but the main expansion remains with a few top-tier companies like Shenghong, Founder, and Huadian.

2. PCB Equipment Investment and Material Market

(1) Equipment Investment Structure

In high-end PCB production line equipment investment, drilling machines account for the highest proportion (35%), including mechanical drills (including CCD back drilling machines) and laser drills, with the proportion of CCD back drilling machines for AI server production lines increasing to 25%, and carbon dioxide laser drills accounting for 40%. Exposure machines (LDI) account for 15%, laminating equipment for 5%, plating lines for 10%, and testing and other equipment for 15%. Based on a capacity of 100,000 square meters, total equipment investment can be estimated according to this ratio.

(2) Material Market Structure

Drilling tools are the core consumables, with a high market concentration: Dingtai Gaoke accounts for 19%, Jingzhou Jinggong 18%, Japan’s Yuran (diamond drill bits) 14%, and Taiwan’s Top Point 9%, with these four accounting for 60% of the market, while the remaining 40% is divided among domestic second-tier brands. Jingzhou Jinggong, leveraging its “Jujin PCB” coating technology, has lower costs than Japan’s Yuran and supplies leading companies like Shenghong and Founder, rapidly increasing its market share.

3. Drilling Technology and Process Applications

Drilling technology selection is based on hole diameter: micro-holes (such as HDI blind buried holes) with a diameter ≤0.1mm use laser drills, achieving efficiencies of 1700-1800 holes/second (Mitsubishi equipment), while domestic Dazhu laser equipment achieves about 800-900 holes/second; through-holes, slot holes, and controlled depth holes with a diameter ≥0.2mm use mechanical drills, which are lower in cost and can handle processes like slot holes and depth control that laser drills cannot achieve. For blind hole processing, mechanical drills can be used for holes >0.2mm, while laser drills are relied upon for holes <0.2mm.

4. Upgrades and Technical Impacts of M9 Materials

M9 materials, as low dielectric loss materials, are primarily used in high-performance AI server scenarios, driving upgrades in equipment and consumable technologies:

·Equipment Side: Requires higher precision CCD back drilling machines (with residual copper column control within 2μm) and laser drills (reducing blind buried hole leakage rates);

·Consumable Side: M9 materials have high hardness and wear resistance, leading to a significant reduction in drill bit lifespan (M8 material drill bits last 300-500 holes, while M9 only lasts 200 holes), driving demand for diamond-coated drill bits, with Japan’s Yuran’s diamond drill bits and Jingzhou Jinggong’s “Jujin PCB” coated drill bits becoming mainstream choices. Currently, M9 materials are still in the R&D stage, with copper-clad laminates having completed testing, but PCB mass production will take time.

5. Drilling Technology and Efficiency for High-Layer Boards

High-layer boards (such as 72-layer and 112-layer orthogonal backplanes) require segmented drilling processes (divided into 1/3, 2/3, 3/3 segments), but efficiency is relatively low. The efficiency of mechanical drilling is significantly affected by equipment performance: German graphite drilling machines, with their “fast rotation function,” “stroke optimization,” and “broken tool detection,” are 13%-20% more efficient than Dazhu equipment. The drilling time for M9 materials is about 50% longer than for M8, as the feed speed must be reduced to avoid tool breakage.

6. Laminating Equipment and Process Requirements

The core requirements for laminating equipment include:

·Flatness: The flatness of the heating plate must reach 0.05mm (50μm) to ensure uniform board thickness;

·Vacuum Level: The laminating process must be vacuumed to eliminate air bubbles, avoiding board scrap;

·Temperature Uniformity: Within ±1.5℃, while domestic equipment often ranges from ±3-4℃, which is difficult to meet the requirements of M9 materials. The 5-stage HDI laminating process requires 5 cycles, with a single furnace duration of 2-3 hours, and the number of openings is designed based on board size (e.g., 45×51 inches), with mainstream laminating machines having 12 openings. The laminating temperature for M9 materials must reach 300℃, and existing equipment can meet this through customized heating power, but the duration is about 0.5 hours longer than for M8.

7. Equipment Capacity and Domestic Replacement Opportunities

The tight capacity of overseas equipment provides a window for domestic replacement: the capacity of German graphite drilling machines is planned to expand from 1700 units in 2026 to 3000 units in Q2 2027, with orders extending to Q2 2027; Mitsubishi’s laser capacity remains stable without expansion. Domestic companies like Dazhu Laser have achieved replacement in mid-to-high-end fields such as through-hole drilling and ordinary lamination, with their CCD back drilling machines priced at only 50%-60% of German graphite machines (Dazhu 1.5 million/unit vs. graphite 2.5-2.6 million/unit), although slightly lower in precision, they can enhance cost-effectiveness by cooperating with overseas equipment (e.g., first using measurement equipment to obtain board thickness data, then using graphite machines for high-difficulty processes). It is expected that domestic drilling machine demand will grow by 30% in 2026, with companies like Dazhu expanding to a capacity of 8000 units.

Q&A

Q1: In the context of high demand for AI leading to a shortage of PCB supply, what are the investment expansion plans of mainstream PCB manufacturers in the coming years?

A1: Currently, expansion is mainly concentrated among leading PCB manufacturers, with Shenghong and Huadian being the most aggressive, building large-scale factories in Hubei and other regions; Founder, Jingwang, Dongshan Precision, Shennan Circuit, and Guanghe Electronics are also actively expanding. These leading manufacturers are primarily focused on high-end capacity related to AI servers, while mid-to-low-end manufacturers face weak orders and limited expansion. In terms of equipment procurement, leading manufacturers continue to add machines, such as Wuxi Senchan Circuit purchasing a hundred drilling machines and 90 pressing machines, with expansion progressing in multiple phases.

Q2: What is the investment amount for equipment expansion in high-end PCBs (high-level HDI and high multilayer), and what is the value proportion of various types of equipment? For example, how much equipment investment is needed for a capacity of 100,000 square meters?

A2: In high-end PCB expansion equipment investment, the value proportion of various types of equipment is approximately: drilling machines (including through-hole drills, CCD back drilling machines, laser drills) 35%, LDI exposure machines 15%, laminating equipment 5%, plating lines 10%, edge washing machines 10%, testing equipment and others 10%, and consumables (such as drill bits) 5%. The specific investment amount needs to be combined with capacity scale and equipment configuration; currently, leading manufacturers can invest tens of billions in a single factory.

Q3: What is the hole diameter range for through-holes in high multilayer and 5-stage HDI, and do they use mechanical or laser drills?

A3: The standard for through-hole diameter classification is: holes with a diameter of 0.2mm and above use mechanical drills, which are lower in cost; holes below 0.1mm (micro-holes) use laser drills, which are more efficient (e.g., Mitsubishi laser drills can process 1700-1800 holes per second). 5-stage HDI, due to small hole sizes and narrow line spacing, often uses laser drills for processing blind buried holes; mechanical drills can be used for blind holes above 0.2mm, but laser drills are more widely used in blind buried hole processing.

Q4: Do through-holes in Q-step materials use mechanical or laser drills?

A4: The method of drilling through-holes is determined solely by the hole diameter, regardless of the material (such as Q-step). Holes below 0.1mm (micro-holes) use laser drills, while those 0.2mm and above use mechanical drills. Q-step, as a composite material, follows the above hole diameter classification principles for through-hole drilling.

Q5: What is the upgrade pace of M9 materials and the new requirements for drilling machines and drill bits?

A5: M9 materials are currently in the R&D stage, with interactive versions having completed verification, but PCB mass production applications are not yet mature. Their upgrade aims to meet the demands of AI servers for low dielectric loss and high signal transmission efficiency. Requirements for drilling machines include: higher precision (e.g., CCD back drilling machines need to control residual copper columns within 2μm), and better stability in processing blind buried holes (to avoid leakage and misalignment). Requirements for drill bits include high hardness and wear resistance, such as Japan’s Yuran diamond drill bits, which can cope with the high wear resistance of M9 materials; the lifespan of drill bits has significantly decreased, with M9 drill bits only able to process 200 holes, while M8 drill bits can process 300-500 holes.

Q6: In laser processing of M9 materials, does carbon dioxide laser have thermal effects, and will it be replaced by ultrafast lasers in the future?

A6: The carbon dioxide laser has better stability in laser processing of M9 materials, and no significant thermal effect has been found to impact processing. Ultrafast lasers (such as picosecond lasers) and carbon dioxide lasers belong to different technical paths, with high costs (about 5-6 million/unit) and not yet widely commercialized, and the market has not verified their advantages in processing M9 materials. Mainstream manufacturers like Mitsubishi do not plan to develop ultrafast laser replacement solutions; currently, carbon dioxide lasers remain the mainstream choice.

Q7: With high silica content in Q-step materials, will using carbon dioxide lasers cause hole clarity issues or dust affecting PCB quality due to high temperatures?

A7: Currently, no issues have been found in production practice regarding hole clarity or dust contamination affecting PCB quality when processing Q-step materials with carbon dioxide lasers. The impact of laser sources on materials mainly depends on hole diameter and is less related to the material itself; the role of carbon dioxide lasers in micro-hole processing cannot be replaced.

Q8: What is the difference in drilling time for the same hole (depth and diameter) between M9 and M8 materials, and how is the drilling efficiency for M9?

A8: The drilling time for M9 materials is significantly longer than for M8, mainly because the feed and retract speeds must be slowed to avoid tool breakage, with processing time being about twice that of M8. In terms of drilling efficiency, the lifespan of M9 drill bits is only 200 holes, while M8 drill bits last 300-500 holes, showing a significant decrease in efficiency, and high-hardness drill bits (such as diamond drill bits) are required.

Q9: How does tool change during segmented drilling affect efficiency?

A9: Segmented drilling is mainly for ultra-thick boards (such as over 70 layers), solving the issue of incomplete drilling through segmented hole drilling (e.g., 1/3, 2/3, 3/3 depth) and does not involve tool change operations, only requiring parameter settings in the software. Therefore, segmented drilling has a minimal impact on efficiency, with the main influencing factors being drilling parameters (such as feed and retract speeds) and equipment performance.

Q10: What is the number of holes and size range for GB200 boards?

A10: The number of holes in GB200 boards varies by specification, typically ranging from 50,000 to 100,000; common sizes are 22×24 inches, with larger sizes reaching 22×32 inches and 22×48 inches (over a meter), with specific sizes needing to match the drilling machine’s table size, such as mainstream drilling machine table sizes of 570×730mm (22.4×28.7 inches) and 631×730mm (24.8×28.7 inches).

Q11: What is the impact of upgrading materials from M7 to M9 on laminating machines, and what are the single board area and opening numbers for 5-stage HDI?

A11: The upgrade from M7 to M9 materials has no significant impact on laminating machines, which can meet requirements by controlling the flatness of the heating plate (to 0.05mm), vacuum level, and temperature uniformity (±1.5℃). The mainstream size for 5-stage HDI laminating machines is 3151 (850×1350mm), with 12 openings; common sizes for copper-clad laminates are 45×51 inches and 51×59 inches, with single board areas needing to match the drilling machine’s table size.

Q12: How many laminating cycles are required for positive glue backplanes, and what layers is Q cloth suitable for?

A12: The number of laminating cycles for positive glue backplanes is related to the number of layers, such as 3-stage laminating 3 times, 6-stage laminating 6 times, requiring multiple reflows. Q cloth, as a prepreg, replaces traditional PP materials for bonding between layers, and all layers that need to be interconnected must use Q cloth to achieve low dielectric loss and high signal transmission efficiency.

Q13: What are the changes in laminating time and temperature for laminating machines when upgrading from M7 to M9 materials?

A13: The laminating time increases by about 0.5 hours when upgrading from M7 to M8 (from 2.5 hours to 3 hours), while for M9, specific times are not yet clear as mass production has not started, but it is expected to further extend. In terms of temperature, laminating machines can customize heating temperatures (usually 260-300℃), and M9 materials are expected not to require additional temperature increases, as existing equipment can meet the demand.

Q14: When overseas equipment supply is tight (such as graphite and Mitsubishi), can domestic equipment manufacturers like Dazhu replace CCT and other machinery?

A14: With tight capacity for overseas equipment (such as graphite drilling machines and Mitsubishi laser drills), orders have extended to Q2 2027. Domestic manufacturers (like Dazhu) can replace in mid-to-low-end and auxiliary roles, such as for board thickness measurement and general drilling. However, in high-end fields (such as high-difficulty back drilling and laser micro-holes), domestic equipment still lags behind overseas performance, and leading board manufacturers typically adopt a “domestic + overseas” comprehensive usage strategy, with the proportion of domestic equipment orders expected to increase.

Q15: What is the relationship between adhesive materials and resin electronic cloth?

A15: Adhesive materials (such as Q cloth) and resin electronic cloth are in a synchronous supporting relationship, with a ratio of about 1:1, and a higher ratio in multilayer boards. For example, in a 30-layer board, the ratio of copper-clad laminate to Q cloth is about 1:20, with each additional layer requiring a corresponding increase in adhesive materials, thus significantly increasing the demand for adhesive materials in multilayer boards, necessitating substantial capacity expansion.

Q16: If the resin electronic cloth remains unchanged, how does increasing the number of layers from 22 to 36 affect drilling efficiency, and does a 78-layer positive glue backplane require a completely new drill bit?

A16: Increasing the number of layers (such as from 22 to 36) will lead to a decrease in drilling efficiency, as segmented drilling must be used and the drill bit length is limited (usually 5-10mm). A 78-layer ultra-thick board, due to its thickness exceeding the drill bit length limit, requires the use of high-hardness drill bits (such as diamond drill bits) and segmented drilling technology, as existing ordinary drill bits are not applicable, mainly due to the increased cutting difficulty caused by the brittle and hard materials and increased thickness.