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2026/02/10 17:23:39

Semiconductors Global Market

Semiconductor is a material that, in terms of its specific conductivity, occupies an intermediate place between conductors and dielectrics and differs from conductors in a strong dependence of specific conductivity on the concentration of impurities, temperature and exposure to various types of radiation. The main property of a semiconductor is an increase in electrical conductivity with an increase in temperature..

Content

Chipmakers

Main article: Chipmakers

Biggest Chip Consumers

Main article: The largest consumers of chips

Semiconductor Market Trends

Main Article: Semiconductor Market Trends

Market segments

Processors

Main Article: Processors (Global Market)

Industrial chips

Main article: Industrial chips

Analog chips

Analog chips are used to measure sound, temperature, etc., and then convert this data to digital format.

Main article: Analog chips

Automotive Chips and Electronics

Main article: Automotive electronics (On-board computers of cars)

Chips for IoT devices

Main article: Chips for IoT devices

NAND flash

Main article: NAND flash (global market)

Baseband chips (modems)

Main article: Modems (baseband chips)

Chip Manufacturing Equipment Market

Main Article: Chip Manufacturing Equipment (Global Market)

Semiconductor materials

Main article: Semiconductor materials

Chip sales in selected regions of the world

Semiconductors in Russia

Main article: Semiconductors (Russian market)

Semiconductors in China

Main article: Semiconductors (China market)

Semiconductors in India

Main Article: Semiconductors (Indian Market)

Semiconductors in Europe

Main article: Semiconductors (European market)

Semiconductors in Italy

Main article: Semiconductors (Italian market)

Semiconductors in Germany

Main article: Semiconductors (German market)

Semiconductors in the United States

Main Article: Semiconductors (US Market)

2025

Global chip sales up 25.6% to hit record $791.7 billion - SIA

At the end of 2025, the global semiconductor chip market reached $791.7 billion. This is 25.6% more compared to the previous year, when the supply of such products in monetary terms was estimated at $630.5 billion. The corresponding data in early February 2026 was published by the Semiconductor Industry Association (SIA).

John Neuffer, President and CEO of SIA, notes that in 2025, product sales in the market under consideration set a new annual record. The key drivers of the industry are the Internet of Things (IoT), next-generation mobile networks (including 6G developments), autopilot platforms and artificial intelligence. These technologies lead to a sharp increase in the volume of generated data. Against this background, hyperscalers and cloud providers are actively modernizing existing data centers and creating additional sites with high-performance equipment. Data center operators purchase in large quantities powerful servers equipped with graphics accelerators (GPUs), tensor processors (TPUs), special data processing chips (DPUs) and other semiconductor components. As a result, there is an increase in market volume.

Global chip sales up 25.6%

The growth rate of chip sales, according to SIA, accelerated by the end of 2025. In particular, in the fourth quarter, shipments in money amounted to $236.6 billion, which is 37.1% more than in the fourth quarter of 2024, and 13.6% more than in the third quarter of 2025. At the same time, a shortage of DRAM and NAND memory was formed. This is due to the high demand for equipment from data centers in the context of the AI boom. Suppliers of semiconductor components redistribute production capacity towards products focused on the AI sector. This provokes a shortage of products for other segments, including smartphones, tablets, personal computers, etc.

In regional terms, sales of semiconductor microchips in 2025 in the Americas increased by 30.5%, China in - by 17.3%, in - To Europe by 6.3%, in the Asia-Pacific region and in all other countries - by 45%. At the same time Japan , a drop of about 4.7% was recorded in.

The authors of the study specifically highlight several product categories. Thus, sales of logical components in 2025 increased by 39.9%, reaching $301.9 billion. Products of this type contribute the most to the total volume of the market under consideration. Memory chips were in second place in sales, shipments of which jumped 34.8% in monetary terms and amounted to $223.1 billion.

Analysts believe that in the future the industry will maintain high growth rates. In 2026, sales of semiconductor chips are expected to be at the level of $1 trillion. This will correspond to an increase of 26.3% compared to the previous year. Industry body World Semiconductor Trade Statistics (WSTS) forecast growth in all key regions and product categories. At the same time, memory chips and logical components will again become the leaders in terms of sales, the shipments of which in monetary terms will increase by more than 30% compared to 2025. Most other sectors will continue their gradual recovery, expanding at a moderate pace. Geographically, growth is expected in all major markets. The greatest contribution will be provided by North and South America, as well as the Asia-Pacific region, while in Europe a lower dynamics is expected due to the emerging geopolitical situation.[1]

The volume of the global chip market for the year grew by 21% and reached $793 billion

In 2025, the global semiconductor chip market amounted to $793.45 billion. This is 21% more than in the previous year, when costs were estimated at $655.88 billion. The key driver of the industry is artificial intelligence, as stated in a study by Gartner, the results of which were published on January 12, 2026.

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Products for AI systems, including processors, high bandwidth memory (HBM) and network components, have experienced unprecedented growth, generating nearly a third of total sales (in monetary terms) in 2025. This trend will only intensify as AI infrastructure spending is expected to exceed $1.3 trillion in 2026, says Rajeev Rajput, senior analyst at Gartner.
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The annual volume of the global chip market increased by 21%, amounting to $793 billion

The rating of leading suppliers of semiconductor chips in 2025 was headed by Nvidia, whose sales on an annualized basis soared by 63.9% - from $76.69 billion to $125.7 billion. As a result, the company took 15.8% of the global market. Nvidia's leadership is primarily due to the high demand for powerful GPU-based AI accelerators (GPUs): such products are purchased in a large volume by hyperscalers and cloud providers.

In second place in the list is Samsung, whose deliveries in monetary terms increased from $65.7 billion in 2024 to $72.54 billion in 2025, that is, by 10.4%. The South Korean company controls 9.1% of the global semiconductor chip market. Samsung's positive performance was driven by a 13% rise in memory sales, while revenue from other products declined 8% year-on-year. Gartner analysts emphasize that Samsung's lag from Nvidia has exceeded $50 billion.

SK Hynix closes the top three, which increased sales by 37.2% over the year - from $44.19 billion to $60.64 billion, taking 7.6% of the market. This was facilitated by the high demand for HBM memory, which is used in AI accelerators.

From third to fourth place fell, Intel in which shipments on an annualized basis decreased by 3.9% - from $49.8 billion to $47.88 billion: the corporation controls 6% of the industry. Among the top ten semiconductor chip suppliers in 2025, only Intel showed a decline in sales.

Micron Technology is in fifth position, which ranked seventh a year earlier. The company increased deliveries by 50.2% - from $27.62 billion to $41.49 billion, receiving a share of 5.2%. In addition, the top ten included (revenue in 2025; market share):

Thus, the top ten players jointly control 62.4% of the global semiconductor chip market in monetary terms. The total share of all other participants is estimated at 37.6%, which corresponds to $298.32 billion.

Gartner analysts note that the rapid development of AI infrastructure generates high demand for related semiconductor products, including accelerators of various types and HBM memory. According to estimates, in 2025, HBM accounted for approximately 23% of the DRAM market, and the volume of sales of such solutions in monetary terms exceeded $30 billion. At the same time, sales of processors for AI systems crossed the $200 billion mark. Semiconductor products focused on artificial intelligence platforms are expected to account for more than 50% of the total market in question by 2029. [2]

2024

Global sales of chips with mixed signals for the year exceeded $24 billion

At the end of 2024, the volume of the global market for "systems on a chip" with mixed signals (MxSoC) reached $24.1 billion. More than a third of this amount was in the Asia-Pacific region. Industry trends are addressed in the Fortune Business Insights survey presented on November 6, 2025.

MxSoC products combine digital and analog components. In fact, this is a "mini-computer on a chip," performing a number of tasks, including processing various signals. Unlike traditional solutions that focus exclusively on analog or digital functions, MxSoC chips combine the advantages of both types of systems. In particular, the MxSoC may include analog-to-digital converters (ADCs) for receiving analog signals such as sound or sensor data, and digital circuitry for further information processing and computing. Integration of components of different types into one chip reduces power consumption, as well as provides a higher speed of interaction between functional units. In addition, compared to multi-chip solutions, the dimensions of devices are reduced.

One of the drivers of the analytics market is the introduction of artificial intelligence. Neural networks simplify the development of MxSoC by taking on resource-intensive tasks, such as joint optimization of analog and digital components. Electronic Device Design Automation (EDA) tools based on AI make product creation easier, reducing costs and speeding up the launch of finished products into the commercial market. However, generative AI helps expand the scope of MxSoC.

The development of the automotive sector has a positive impact on the industry. Modern vehicles are equipped with a large number of all kinds of sensors, for the processing of heterogeneous data from which MxSoC is increasingly used. In addition, such "systems on a chip" are widely in demand in consumer electronics.

The key deterrent for analysts is the complexity of the design and production of MxSoC, which is due to the need to integrate analog and digital units on a single chip: this leads to higher development costs and longer testing cycles. In addition, in the formed geopolitical situation, there may be disruptions in the operation of supply chains and an increase in prices for components.

In terms of MxSoC applications, the industry is segmented into consumer electronics, IT and telecommunications, automotive, automation industry and platforms, medicine, etc. In 2024, the largest share of revenue was provided by the first of the listed areas - 29%. From a geographical point of view, the Asia-Pacific region leads, which accounted for 34.9% of global spending, or $8.42 billion. Globally, major industry players are:

In 2025, the MxSoC market size is expected to reach $26.4 billion. At the same time, North America will have $8.76 billion, Europe - $5.38 billion. Fortune Business Insights analysts believe that in the future, the CAGR will be 10.9%. Thus, by 2032, costs may increase to $54.33 billion.[3]

The volume of the global market for semiconductor products for mobile phones for the year reached $37.37 billion

At the end of 2024, costs in the global semiconductor market for mobile phones reached $37.37 billion. More than half of this amount was in the Asia-Pacific region. This is stated in a study by Fortune Business Insights, the results of which were published on October 24, 2025.

Analysts take into account the costs of developing, manufacturing and supplying integrated circuits and other semiconductor components used in smartphones and conventional cellular phones. These components include processors and systems-on-a-chip (SoC), radio frequency chips, RAM and flash memory modules, power elements, etc.

One of the main drivers of the market, the authors of the study call the rapid development of 5G networks. The International Telecommunication Union (ITU) estimates that more than half - 51% - of the world's population was covered by 5G communications in 2024. There has been an acceleration in the adoption of 5G Advanced technology, or 5.5G, which is an intermediate stage between 5G and 6G standards. In such a situation, there is a growing demand for the latest mobile processors with high speed, as well as for advanced radio frequency chips. Analysts note that 5G opens up qualitatively new opportunities such as augmented and virtual reality, Ultra HD video streaming and cloud gaming, further increasing the need for high-performance semiconductor components for cellular devices.

The growing spread of smartphones is having a positive impact on the industry. According to Exploding Topics, released in mid-June 2025, there are 7.21 billion such devices worldwide. At the same time, there is an increase in the number of smartphones with support for artificial intelligence, which creates additional hardware requirements, stimulating the demand for powerful SoCs and neural processors.

Technological advances are important. Smartphone chip developers are investing immensely in next-generation products that deliver higher performance and lower power consumption. There is an increasing demand for specialized chips optimized for AI tasks. In addition, there is a transition to advanced production processes based on 5 nm and 3 nm standards.

At the same time, certain restraining factors stand out. These include disruptions in global supply chains, a strong reliance on a limited number of manufacturing centers in Asia, and the high cost of developing advanced semiconductor components. In addition, the saturation of the smartphone sector in developed regions is recorded, which slows down sales.

By device type, the market is segmented into smartphones, mobile phones and other products. In 2024, the lion's share of revenue - 50.1% - was provided by the first of these categories. Geographically, Asia-Pacific dominates with 60.05%, or $22.44 billion. Globally, major industry players are:

In 2025, the market size of semiconductor products for mobile phones is expected to reach $40.88 billion. Fortune Business Insights analysts predict that in the future, the CAGR will be 9.9%. Thus, by 2032, costs may increase to $79.11 billion.[4]

The volume of the global market for single-chip systems for the year exceeded $134 billion

In 2024, sales of single-chip systems (System-on-chip, SoC) on a global scale reached $134.09 billion. About a third of this amount was in the North American region. Industry trends are addressed in the Fortune Business Insights survey, which TAdviser reviewed in mid-May 2025.

SoC is an electronic circuit that performs the functions of an entire device: it integrates various components into one silicon chip. In particular, such a product, in addition to computing processor cores, may include a graphics accelerator, wireless communication controllers, interfaces for connecting external devices, digital-to-analog and analog-to-digital converter units, system controllers, etc. Compared to traditional multi-component systems, SoCs consume less power, have optimized performance, require less space, and provide higher reliability. Single-chip solutions are widely used in a variety of products - from smartphones and wristwatches to Internet of Things (IoT) devices and automotive platforms.

One of the drivers of the market is technological advances. Developers are constantly improving the characteristics of SoCs, expanding their functionality and increasing energy efficiency. The introduction of artificial intelligence allows you to increase the speed of SoC design, reduce the time of product entry into the commercial market and reduce development costs. Manufacturers pay great attention to the creation of products optimized for AI tasks: for this, neuroprocessor units (NPUs) are introduced into the chips.

In addition, single-chip systems are increasingly being used in various fields. For example, automakers use SoCs to keep advanced on-board driver assistance systems (ADAS) running. These chips are also involved in infotainment complexes. The rapid development of the IoT sector and Internet-connected devices creates an additional need for SoCs.

The main deterrent to the authors of the study is the high cost of designing and organizing the production of advanced SoCs. The design of such solutions is extremely complex, and therefore, their creation requires significant investments in research and development work. Rapid technical changes create the need for accelerated upgrades and upgrades to the SoC, which entails additional costs. At the same time, the complexity of single-chip systems and the complexity of design are constantly increasing.

By the number of cores, the SoC market is divided into one-, two-, four-, six-, eight-core solutions, etc. The segment of eight-core products occupied the largest share in 2024. In terms of application, analysts distinguish household (consumer) electronics, automotive, network infrastructure, computing and data storage, healthcare, industry, etc. The first two segments are in the lead: for example, consumer electronics accounted for 22.2% of revenue. Geographically, 32.6% of expenses were provided by North America - $43.74 billion. Globally, significant players are:

Fortune Business Insights analysts believe that in the future, the CAGR in the market under consideration will be 9.4%. As a result, by 2032, sales will rise to $269.83 billion.[5]

Global chip market soars 25% to hit record $683 billion thanks to AI

In 2024, the global semiconductor chip market reached $683.37 billion, a new record. Costs jumped by about 25% compared to 2023, which is primarily due to the rapid development of artificial intelligence. Such data are provided in a study by Omdia, the results of which TAdviser reviewed in mid-April 2025.

Analysts note that during 2024, AI had a significant impact on various segments of the semiconductor product market. In particular, against the background of a sharp increase in the load on data centers, hyperscalers and cloud providers around the world were forced to actively expand their infrastructure by purchasing high-performance servers storage systems and (). DSS This has led to an increase in the supply of high-bandwidth memory (HBM) chips, which are used in powerful AI accelerators. In addition, fast SSD PCIe (NVMe) SSDs based on NAND flash memory and switching solutions are in demand.

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While the HBM sector outperformed other DRAM segments in terms of growth, improved supply-demand balance contributed to higher average prices and higher revenues in the global memory chip market as a whole, the study noted.
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Thanks to the high demand for GPU-based AI accelerators (GPUs), NVIDIA took the lead in revenue in 2024 - $107.48 billion. This is 118.6% more than the previous year, when the company received $49.16 billion. In second place in the ranking of the world's largest suppliers of semiconductor chips is Samsung, which increased sales on an annualized basis by 69.2% - from $44.37 billion to $75.09 billion. Intel Corporation, which was in first place in 2023, fell to third place: sales year-on-year decreased by 1.3% - from $51.2 billion to $50.51 billion. The top ten also includes SK Hynix ($47.25 billion in 2024), Qualcomm ($34.86 billion), Broadcom ($31.25 billion), Micron Technology ($29.2 billion), AMD ($25.48 billion), Apple ($25.04 billion) and MediaTek ($16.53 billion).

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Samsung, SK Hynix and Micron in 2024 were among the seven largest suppliers of semiconductor products in terms of revenue. Each of these companies rose by at least one position compared to their position in the previous ranking, which was a significant improvement compared to 2023, when they were distributed on the Top 11 list (third, sixth and eleventh places, respectively), Omdia notes.
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At the same time, analysts emphasize, during 2024, not all segments of the global semiconductor chip market showed positive dynamics. While the data processing sector saw strong growth, other key areas - automotive, consumer and industrial - faced declining revenue. In particular, the decline in the industrial sector, which began in 2023, worsened in 2024, creating additional problems for companies focused on this sector.

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Historically, the direction of semiconductor products for industry has shown an increase of about 6% each year. However, after accelerated development in 2021 and 2022, the segment's revenue decreased by double-digit percent in 2024. The decline in demand, combined with the adjustment of stocks, had a negative impact on the business of companies focused on this area, says Cliff Leimbach, chief analyst at Omdia.[6]
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Global Power Management Chip Market Growth to $39.39 Billion

In 2024, costs in the global power management chip market amounted to $39.39 billion. More than a third of this amount fell on the North American region. This is stated in a study by Fortune Business Insights, the results of which were released on March 31, 2025.

Analysts note that the COVID-19 pandemic had a significant impact on the industry. On the one hand, the work of many enterprises and supply chains has been disrupted, which has led to a decrease in demand for power management chips in various sectors, including automotive and industrial. But, on the other hand, the pandemic has accelerated digital transformation, increasing demand in the areas of consumer electronics, medical equipment and equipment for IT infrastructures. In general, the changes provoked by coronavirus restrictions emphasized the need to form sustainable and diversified supply chains. As a result, companies in various regions of the world began to invest in the development of local industries.

The authors of the study call technological advances a significant market driver. Modern electronic devices require increasingly sophisticated integrated power management circuits capable of supporting fast charging, energy-saving modes and other functions. This encourages manufacturers to invest in R&D to create advanced products that meet customer requirements.

The rapid expansion of the Internet of Things (IoT) infrastructure has a stimulating impact on the industry. Smart household appliances, wearable gadgets, industrial equipment and many other IoT devices are equipped with power management chips. Plus, demand is growing among manufacturers of electrified vehicles.

At the same time, there are also certain restraining factors. These are, in particular, increasing requirements for energy efficiency and environmental compliance. In addition, analysts point to the complexity of integrating advanced features and the high costs associated with research and development.

Depending on the end use area, the market is segmented into consumer electronics, automotive, industry, telecommunications, healthcare, etc. In 2024, the first of the listed sectors occupied the largest share (approximately 33%) due to the widespread use of smartphones, tablets, wearable gadgets and other portable devices that require effective power management solutions. At the same time, the highest growth rates are observed in the automotive industry, which is associated with the active electrification and integration of advanced electronics into vehicles. Geographically, North America is leading, accounting for 35.4% of total costs in 2024, or $13.95 billion. The major players on a global scale are:

In 2025, spending on power management chips worldwide is expected to reach $41.82 billion. Fortune Business Insights analysts believe that in the future, the CAGR in the market under consideration will be 6.5%. As a result, by 2032, costs on a global scale could increase to $64.8 billion.[7]

The volume of the global market for contract chip production services for the year reached $148.45 billion

In 2024, costs in the global market for contract chip production services reached $148.45 billion. Moreover, the lion's share of this amount fell on the Asia-Pacific region. This is stated in a study by Fortune Business Insights, the results of which were released on March 21, 2025.

The industry in question, analysts say, is showing positive dynamics. This is facilitated by advances in artificial intelligence, machine learning, 5G and the Internet of Things (IoT). Worldwide, there is an increasing demand for high-performance graphics chip-based AI accelerators, tensor processors (TPUs) and neural processors (NPUs). The IoT ecosystem is rapidly expanding, which consists of billions of interconnected devices that collect and communicate over the Network. This hardware requires state-of-the-art semiconductor solutions for wireless, power management, and security. In addition, there is a growing demand for chips in the automotive industry amid the development of robotic vehicles and smart cars with advanced driver assistance systems (ADAS).

The development of the global market for contract chip production services is also facilitated by the ongoing digital transformation. Organizations are actively moving workloads to the cloud, which is why hyperscalers and data center operators are forced to increase computing power. This creates an additional need for chips for data centers and communication infrastructure. As a result, the volume of orders from contract manufacturers is growing. The observed trend contributes to an increase in investments in equipment for the production of semiconductor products and the construction of new enterprises. The industry was positively affected by the pandemic, COVID-19 which led to the development of remote work and distance learning platforms: this required the purchase of additional computer and network devices.

But there are also deterrents. The construction and maintenance of semiconductor chip manufacturing facilities requires significant financial investments in research and development, equipment and infrastructure. In addition, the semiconductor industry is vulnerable to supply chain disruptions related to geopolitical tensions, natural disasters and unexpected fluctuations in demand.

Depending on the technological process, the market is segmented into 3 nm, 4-10 nm, 14-28 nm, and 28-130 nm norms. The 4-10 nm sector occupies the largest share due to maturity and widespread adoption in various industries. In the end-use plan, communication, computing, consumer, automotive, industrial and other segments are distinguished. The first of these areas accounts for the largest revenue, which is due to the high demand for semiconductor components in telecommunications infrastructure, network equipment, smartphones and other devices. Geographically, the Asia-Pacific region is leading, accounting for $128.16 billion in revenue in 2024. Significant players in the global industry are:

Fortune Business Insights analysts believe that in the future, the CAGR in the market under consideration will be 5.7%. As a result, by 2032, costs on a global scale could rise to $258.27 billion.[8]

Sales of electronic sensors of all types in the world for the year exceeded $241 billion

In 2024, the global market for sensors of various types reached $241.06 billion. The demand for such products is growing rapidly, which is associated with the ongoing digitalization and introduction of artificial intelligence, as well as with technological advances. Industry metrics are cited in the Fortune Business Insights survey, which TAdviser reviewed in mid-March 2025.

The study takes into account the supply of radar sensors, touch, temperature and humidity sensors, all kinds of biosensors, optical sensors, level, pressure and flow sensors, as well as image sensors, etc. One of the main drivers of the market, the authors of the study call the development of the consumer electronics sector. Smartphones and various wearable devices, including smartwatches, fitness trackers and health monitors, are equipped with a rich set of sensors to track a user's actions and collect data on the vital signs of his body. As technologies develop, the array of sensors in such gadgets expands, which leads to an increase in the volume of the market under consideration as a whole.

The strengthening of the IoT ecosystem has a significant impact on the industry. Sensors can collect huge amounts of data on the state and performance of equipment, which helps optimize enterprise operations. At the same time, artificial intelligence algorithms make it possible to analyze information from numerous industrial sensors with high speed and efficiency. Using sensor readings and AI tools, companies can identify patterns and trends that are not obvious in traditional analysis. This approach gives organizations the opportunity to improve their activities, respond faster to market requirements and accurately predict future trends. IoT sensors provide proactive maintenance, improved resource allocation, and optimal supply chain management .

Another important area of ​ ​ market development is robotic and intelligent vehicles. Such cars are equipped with a huge set of a variety of sensors - from radars and lidars to video cameras and ultrasonic sensors. In addition, advanced sensors are widely used in many other fields, including science, health care, meteorology, defense sector, housing and communal services, etc.

In terms of the use of sensors, analysts distinguish such areas as consumer electronics, automotive, biomedicine and healthcare, industry, aerospace and defense, etc. In 2024, the largest revenue was provided by the consumer electronics segment - 28.5% of the total. At the same time, the biomedicine and health sector demonstrates the highest average annual growth rates. Geographically, the Asia-Pacific region dominates with costs of $107.9 billion, which is due to the high concentration of companies that develop and produce sensors. Significant players in the global industry are named:

Fortune Business Insights analysts believe that in the future, the CAGR in the market under consideration will be 8.5%. As a result, costs globally could rise to $457.26 billion by 2032.[9]

The volume of the global market for radio frequency chips for the year grew to $23.72 billion

At the end of 2024, the costs of the global radio frequency chip market reached $23.72 billion. This sector is showing steady growth due to the development of communication systems around the world. Industry trends are addressed in the Fortune Business Insights survey, which TAdviser reviewed in mid-March 2025.

By radio frequency chips, the authors of the study mean semiconductor components designed to operate at radio frequencies, which are usually in the range from 3 kHz to 300 GHz. Such products are essential components of equipment for wireless communication, radar systems, etc.

Analysts call the rapid development of wireless and cellular network infrastructure a key market driver. We are talking, in particular, about the spread of 5G. Devices with support for this standard require more expensive chips. 5G modems are increasingly used in various consumer electronic gadgets, as well as in automotive on-board complexes. At the same time, the expanding ecosystem of 5G-based applications, including augmented and virtual reality, as well as the Internet of Things (IoT), is further fueling demand, pushing manufacturers to invest heavily in improving chip performance.

In addition, there is a development of the Wi-Fi 7 standard, also known as IEEE 802.11be. It supports three frequency bands - 2.4 GHz, 5 GHz and 6 GHz, as does Wi-Fi 6E, providing higher data rates compared to Wi-Fi 6. The penetration of Wi-Fi equipment and smartphones is increasing in emerging markets such as Indonesia, India, Nigeria, etc.

Another stimulating factor, the authors of the study call technological advances and the active introduction of artificial intelligence. For example, generative AI can optimize the design of RF components, reducing development time and costs. AI algorithms are able to automate complex problems such as circuit layout estimation. In addition, AI improves semiconductor manufacturing processes, increasing productivity and reducing waste by analyzing and adjusting parameters in real time.

One of the main restraining factors analysts consider high costs for the development and production of products. For example, the use of alternative materials such as gallium nitride or gallium arsenide increases the efficiency of the devices, but also increases their cost.

In terms of radio frequency chip applications, Fortune Business Insights identifies segments such as telecommunications, consumer electronics, automotive, aerospace and defense, healthcare, etc. In 2024, the largest revenue was provided by the direction of consumer electronics thanks to the distribution of smartphones, tablets and other wireless devices. Geographically, the Asia-Pacific region dominated with a cost of $9.5 billion. Significant players in the global industry are named:

In 2025, spending on RF chips worldwide is expected to be $25.61 billion. Fortune Business Insights analysts believe that in the future, the CAGR will be 10.1%. As a result, by 2032, costs on a global scale could increase to $50.26 billion.[10]

Sales of chips for data centers for the year rose to $12.75 billion

At the end of 2024, the global market for chips for data centers reached $12.75 billion. Demand for such products is growing rapidly amid the rapid development of artificial intelligence and the continued transfer of workloads to the cloud. This is stated in a study by Fortune Business Insights, the results of which were published at the end of February 2025.

Central processors (CPUs), graphics chips (GPUs), specialized integrated circuits (ASICs) and user-programmable gate arrays (FPGAs) are taken into consideration. In combination, these products are noted to be critical for supporting large-scale applications, cloud services, AI services, and big data analytics.

One of the main drivers of the market is the introduction of generative AI. Such applications require huge computing power, so cloud providers and hyperscalers purchase additional equipment in large volumes. These are primarily high-performance GPU cards, as well as specialized accelerators. Numerous IoT devices and autopilot cars create a significant burden on data centers, which generate colossal data streams. Additional computing resources are required to effectively analyze this information.

The authors of the study call the focus on energy efficiency and sustainability another industry driver. Data center operators and large cloud providers around the world are looking to reduce their carbon footprint and lower operating costs associated with operating equipment. Therefore, increased attention is paid to the purchase of server chips with reduced power consumption.

Analysts call the high cost of research and development work in the field of creating advanced chips for data centers a deterrent. The complexity of designing and manufacturing processors creates the need to attract significant funds. And this leads to an increase in the cost of final products. As a result, only well-funded companies can afford to innovate quickly, potentially slowing the global market and limiting the ability of small firms and startups.

In 2024, the largest share in total revenue was provided by central processors: the CPU segment dominates due to versatility. At the same time, GPU solutions, which are widely used for teaching large language models (LLM) and infantry, demonstrate the highest growth rates. In terms of the end use of chips, segments such as BFSI (banking, financial services and insurance), healthcare, retail, telecommunications, media and entertainment, power and utilities, etc. In 2024, the largest revenue was provided by the telecom sector, where there is a high demand for high-performance data processing and storage solutions. Geographically, North America is leading thanks to its developed IT infrastructure: revenue amounted to $4.61 billion. Significant players in the global industry are named:

Fortune Business Insights analysts believe that in the future, the CAGR in the market under consideration will be 7.4%. As a result, by 2032, costs on a global scale could rise to $22.53 billion.[11]

The volume of the global 5G chip market for the year exceeded $33 billion

In 2024, costs in the global 5G equipment chip market reached $33.08 billion. This market is rapidly developing, as stated in a Fortune Business Insights study, the results of which were released on March 11, 2025. Read more here.

Growth in the global chiplet market by 21% to $44.82 billion

At the end of 2024, the costs of the global chiplet market reached $44.82 billion. This is 21% more than in the previous year, when expenses were estimated at $37.06 billion. The market is showing steady positive momentum as reported in the Fortune Business Insights survey published on February 3, 2025.

Chiplets mean small crystals of integrated circuits with certain functionality. Such blocks may be combined to create a higher level of complexity product. The chiplets are assembled into a single body using a complex connection system, replacing the traditional monolithic design. The chiplet layout provides a number of advantages over the standard approach. In particular, individual modules can be manufactured according to different technological processes, which provides additional flexibility. In addition, chiplets can be supplied by different manufacturers.

The study says that one of the main drivers of the market in question is the rapid development of artificial intelligence. Chiplets allow you to create more powerful AI products, distributing complex functions between small specialized modules. This approach helps developers optimize performance by choosing the most appropriate chiplets for specific tasks. As a result, design flexibility is improved and costs associated with traditional monolithic solutions are reduced. Modular chip designs are becoming increasingly popular as they enable more efficient and adaptable products to meet specific needs. The development of the high-performance computing sector, where the need for powerful chips with a certain set of functions increases, also has a positive impact on the market.

But there are also deterrents. One of the significant problems is the difficulty of integrating chiplets due to their different origins, specifications and designs. In addition, the introduction of special methods is required to effectively dissipate the heat generated by each of the chiplets in a single product.

Depending on the application of chiplets, the market is segmented into enterprise-class products, consumer electronics, automotive systems, industrial automation devices, military and aerospace industries, etc. As of 2023, the first of the listed sectors dominated with a share of approximately 29% in total revenue. At the same time, the automotive segment is showing the highest growth rates, which is associated with the active development of electrified and intelligent vehicles. North America held the main share in 2023 - $13.78 billion: the dominance of the region is due to the high concentration of large developers, the rapid introduction of AI and the placement of a large number of data centers focused on high-performance computing. Significant players in the global market are named:

Fortune Business Insights analysts believe that in the future, the CAGR in the market under consideration will be 22.9%. As a result, by 2032, costs on a global scale could increase to $233.81 billion.[12]

Sales of battery management chips in the world grew by 11% over the year to reach $4.96 billion

In 2024, the global market for battery control chips reached $4.96 billion. The indicator of the previous year, when sales of such products were estimated at $4.49 billion, was exceeded by 11%. This is stated in a study by Market Research Future, the results of which were published in mid-February 2025.

One of the main drivers of the analytics market is the development of electrified vehicles. Battery module control chips play a key role in monitoring and optimizing the operation of power systems, thereby maximizing the efficiency and performance of electric vehicles. Against this background, the developers are investing heavily in the creation of advanced battery technologies aimed at improving charging and energy efficiency, improving durability and safety.

The industry is also being stimulated by a shift towards renewables, including solar and wind power plants. Such facilities require efficient solutions for storing excess energy, which creates additional demand for battery management chips. In addition, the consumer electronics sector makes a significant contribution to the development of the market: smartphones, laptops and all kinds of wearable gadgets require more efficient batteries that provide long battery life on a single charge. This increases the need for advanced integrated circuits for power management.

Technological advances have been cited as another growth factor. In particular, the integration of artificial intelligence allows you to improve monitoring tools, as well as expand optimization opportunities. There is a tendency to miniaturize battery control chips. The use of new generation materials and improved manufacturing processes makes it possible to increase energy storage density and reduce charging time, but also requires the introduction of new generation integrated control circuits.

The authors of the study identify four key market segments: consumer electronics, electric vehicles, renewable energy systems and the industrial sector. In 2024, the first of these areas is estimated to have generated revenue of $1.2 billion: this segment is showing significant growth amid strong demand for portable electronic devices such as smartphones and tablets that require highly efficient batteries. Chips for electrified vehicles accounted for $2 billion, while renewable energy systems brought in $0.9 billion. The contribution of the industrial sector is estimated at $0.86 billion. Significant players in the global market are:

From a geographical point of view, the Asia-Pacific region is leading, where expenses amounted to $2 billion at the end of 2024. This is followed by North America with an estimate of $1.36 billion, and Europe closes the top three with costs of $1.1. South America secured a contribution of $0.4 billion, the Middle East and Africa - $0.1 billion.

Market Research Future analysts believe that in the future, the CAGR in the market under consideration will be 10.58%. As a result, by 2035, costs on a global scale could increase to $15 billion.[13]

Chip sales in the world for the year reached a record $627.6 billion

In 2024, global sales of semiconductor chips reached $627.6 billion, an absolute record. This is 19.1% more compared to 2023, when the volume of the industry was estimated at $526.8 billion. Such data are presented in a study by the Semiconductor Industry Association (SIA), the results of which are presented on February 7, 2025.

Geographically, annual sales increased the most in the American region - plus 44.8% compared to 2023. China recorded an increase of 18.3%, and in the Asia-Pacific region - by 12.5%. At the same time, there was a decrease in shipments in monetary terms in Japan (minus 0.4% on an annualized basis) and in Europe (minus 8.1%).

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The global semiconductor products market has shown the best sales in history - in 2024 its volume for the first time exceeded $600 billion, while in 2025 it is expected further growth by double-digit percent. Semiconductor chips are used in almost all modern devices, including medical devices, communication equipment, advanced vehicles, artificial intelligence solutions and products for the defense sector. The industry's long-term prospects are incredibly strong, "says John Neuffer, President and CEO of SIA.
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In 2024, logic components brought in $212.6 billion in revenue - the largest segment in the global semiconductor chip market. In second place with sales at $165.1 billion is the memory sector, where year-on-year growth was 78.9%. Such a significant increase is due to a significant increase in prices for memory chips. In addition, there is an increase in demand for expensive high-bandwidth memory (HBM) chips, which are in demand in the AI accelerator segment. At the same time, DRAM products showed an increase in sales by 82.6%, which is the largest percentage growth among all product categories in 2024.

The review also said semiconductor chip sales totaled $170.9 billion in the fourth quarter of 2024, up 17.1% from a year earlier. Revenue for December rose by the same amount on an annualized basis, amounting to about $57 billion.

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As semiconductor sales grow globally, America is expected to triple its domestic chip manufacturing capacity by 2032. This will help the region strengthen supply chains and meet the growing global demand for products, says Neuffer.
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One of the main drivers in the global semiconductor industry is GPU-based accelerators and specialized accelerators designed for data centers (data centers) that support demanding AI tasks. The growth of this segment contributes to the growth of sales of servers and network equipment, as well as high-performance storage systems. As a result, the demand for memory chips, including NAND flash chips, is increasing.

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The semiconductor industry in 2024 showed versatile dynamics. While the consumer, automotive, and industrial segments were struggling, the artificial intelligence sector was experiencing active growth, leading to higher average prices for memory chips and logic components. As interest rates decline, consumer sentiment is expected to improve in 2025, which will boost spending, adds Boris Methodiev, director of analytics at TechInsights.
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[14]

Global sales of chips for smartphones and wearable devices for the year exceeded $64 billion

At the end of 2024, the global market for semiconductor chips for mobile devices reached $64.18 billion. This is about 6% more compared to 2023, when sales of such products were estimated at $60.63 billion. The industry is showing steady positive dynamics, as stated in the Market Research Future review presented in early February 2025.

The study takes into account shipments of processors, memory modules, power control chips and RF components for smartphones, cell phones and wearable gadgets. Analysts cite the growing penetration of mobile devices and a shift towards high-performance devices with advanced capabilities as among the main drivers of the market. Consumers are increasingly preferring smartphones that are capable of working with resource-intensive applications such as gaming, video streaming and artificial intelligence. Against this background, manufacturers equip their products with more powerful chips and increase memory capacity, which leads to an increase in the volume of the segment of semiconductor components as a whole.

The development of 5G infrastructure has an important impact on the industry. Devices with support for such networks require more expensive modems. At the same time, the expanding ecosystem of 5G-based applications, including augmented and virtual reality, as well as the Internet of Things (IoT), is further fueling demand, pushing manufacturers to invest heavily in improving chip performance. There is a tendency towards miniaturization of semiconductor components due to the need for thinner and more compact devices with improved energy efficiency.

In addition, there is an increase in demand for all kinds of wearable gadgets, including smartwatches. It is noted that people around the world are paying more and more attention to their health and well-being. Growing concerns about obesity, diabetes and other diseases associated with low-activity lifestyles are driving sales of devices to monitor the body's various vital signs, including the number of steps taken and calories spent.

According to Market Research Future estimates, in 2024, the bulk of the revenue was provided by processors and memory modules - $25 billion and $18 billion, respectively. Another approximately $11.18 billion was brought by radio frequency components, including 5G and 4G modems, as well as Wi-Fi controllers. Power management chips accounted for about $10 billion. In terms of the type of devices that use semiconductor chips, smartphones dominate. Among the significant players in the global market are named:

Geographically, in 2024, the Asia-Pacific region dominated with an estimate of $28 billion: many large production of semiconductor components and mobile devices are concentrated here. In second place is North America with expenses of about $18 billion, and Europe closes the top three with $12 billion. South America secured a contribution of approximately $3.5 billion, the Middle East and Africa - $2.68 billion.

Market Research Future analysts believe that in the future, the CAGR in the market under consideration will be 5.85%. As a result, by 2035, costs on a global scale could increase to $120 billion.[15]

Leader changed in the global chip market: Samsung ahead of Intel - Gartner data

At the end of 2024, Samsung Electronics became the world's largest supplier of semiconductor chips, taking the palm from Intel. The latter found itself in a difficult position due to the limited range of products for artificial intelligence platforms. Industry trends are addressed in the Gartner survey published on February 3, 2025.

The volume of the global semiconductor chip market in 2024 reached $625.97 billion. This is 18.1% more than in the previous year, when costs were estimated at $529.96 billion. It is noted that the main driver of the industry was accelerators based on GPUs and specialized accelerators designed for data centers (data centers) focused on AI loads. Income from semiconductor products for data centers in 2024 amounted to about $112 billion, which is almost twice as much as in 2023, when such products accounted for $64.8 billion.

Samsung's revenue from the sale of semiconductor chips in 2024 reached $66.52 billion, which is 62.5% more on an annualized basis: the South Korean company occupied 10.6% of the industry. Such a significant increase is due to a significant increase in prices for memory chips. Intel, which dropped to second place, was able in 2024 to increase revenue by only 0.1% - to $49.19 billion, which corresponds to a share of 7.9%. Nvidia rose from fifth to third place in a year, fueled by strong demand for GPU accelerators among server manufacturers, data center operators and hyperscalers. In 2024, Nvidia increased revenue by 83.6% with a final result of $45.99 billion and a share of 7.3%. In addition, the ranking of the ten leading suppliers of semiconductor chips on a global scale includes:

4. SK hynix - $42.82 billion; market share 6.8%;

5. qualcomm - $32.36 billion; 5,2%;

6. Micron Technology - $27.84 billion; 4,4%;

7. broadcom - $27.64 billion; 4,4%;

8. AMD - $23.95 billion; 3,8%;

9. apple - $18.88 billion; 3%;

10. Infineon Technologies - $16 billion; 2,6%.

It is said that all other suppliers combined in 2024 provided revenue of $274.78 billion, which corresponds to 43.9% of the market: year-on-year growth was at 4.3%. Nine of the top ten semiconductor chip suppliers recorded sales growth in 2024. Only Infineon Technologies showed negative dynamics - minus 6% compared to 2023.

Revenue from memory chips in 2024 increased by 71.8%, amounting to $157.74 billion. In the total market volume, such products accounted for approximately 25.2%. Revenue from DRAM implementation climbed year-on-year by 75.4%, while NAND memory revenue showed a 75.7% increase. High bandwidth memory (HBM) production is also showing positive dynamics, since such chips are in demand in the AI accelerator segment. In 2024, HBM solutions accounted for 13.6% of total revenue in the DRAM segment.

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Memory as well as AI chips will remain drivers of short-term market growth, with HBM's share of DRAM expected to reach 19.2% in 2025. Sales of HBM memory will increase by 66.3% in 2025, amounting to $19.8 billion, says George Brocklehurst, vice president of analytics at Gartner.
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The study also notes that in the non-memory semiconductor chip sector, revenue in 2024 increased by 6.9% to $468.23 billion. In the total volume of the world market, such solutions accounted for 74.8% of income.[16]

Sales growth of communication chips by 4% to $39 billion

At the end of 2024, the global market for communication microchips reached $38.95 billion. This is 4% more than in the previous year, when sales of such products were estimated at $37.45 billion. Such data are given in the Market Research Future study, the results of which were released at the end of January 2024.

One of the main drivers of the industry in question is the growing demand for high-speed data transmission in various areas. This is facilitated by the rapid expansion of the Internet of Things (IoT) infrastructure, the increasing need for intelligent devices, advances in wireless technologies and the development of 5G mobile networks . In addition, there is significant potential in smart cities, autonomous vehicles and smart industries. Against this background, the developers focus on creating innovative communication chips that expand data transfer capabilities while reducing energy consumption.

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Increased information transfer rates, reduced latency and improved energy efficiency are critical factors that stimulate market expansion, the study notes.
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Industry participants are forced to innovate at an accelerated pace and develop more complex integrated circuits that can cope with the high demands of modern communication systems. In particular, miniaturization and the application of the SoC architecture ("system on a chip") provide improved integration, allowing multiple functions to be combined into a single product. This not only simplifies the design process, but also reduces production costs and increases energy efficiency. As new materials and manufacturing processes are introduced, the capabilities of communication chips improve, which stimulates further growth. In addition, the expansion of the industry is facilitated by the use of artificial intelligence algorithms that help optimize the operation of communication systems.

In terms of the scope of chips, the authors of the study identify several key market segments: telecommunications, consumer electronics, industrial automation, automotive solutions and medical equipment. In 2024, the first of these areas provided revenue in the amount of $12.5 billion. The contribution of consumer electronics is estimated at $10 billion, industrial automation - at $8 billion. Another $6 billion fell on the automotive sector, approximately $2.45 billion - on medical devices. Among the significant players in the global market are named:

Geographically, as of 2024, North America was leading with expenses of about $15 billion: the dominance of the region is due to the high level of IT development and the rapid implementation of advanced communication solutions. This is followed by Europe with an estimate of $10 billion, and the Asia-Pacific region closes the top three with $9 billion. South America provided a contribution of $2 billion, while the Middle East and Africa accounted for about $2.95 billion.

Market Research Future analysts believe that in the future, the CAGR in the market under consideration will be 4.01%. As a result, by 2035, costs on a global scale could increase to $60 billion.[17]

Investment in the development of the semiconductor industry

As of May 2024

2023

Memory chip sales up 5% to $134.7 billion

At the end of 2023, the global memory chip market reached $134.7 billion. For comparison, a year earlier, sales of these products were estimated at $128.91 billion. Thus, growth was recorded at 5%. Industry statistics are provided in the Market Research Future review presented at the end of December 2024.

Analysts consider dynamic (DRAM) and static (SRAM) RAM, permanent memory (ROM ) and flash memory. One of the main drivers of the market is the increasing demand for consumer electronics, including smartphones, laptops, tablets and smart appliances. Such devices require different types of memory chips, thanks to which the volume of revenue is growing. In addition, with the introduction of more powerful processors, high-resolution displays, augmented (AR) and virtual (VR) reality technologies, as well as other modern electronic components, memory chip capacity and bandwidth requirements are increasing.

The expansion of data centers, the growing adoption cloud computing and development of the ecosystem Internet of things () IoT is also driving the demand for memory chips. Enterprises and organizations around the world are moving to cloud services to improve flexibility, scalability, and cost-effectiveness. At the same time, there is a widespread introduction of artificial intelligence machine learning and high-performance computing. Because of this, there is an increasing need for fast, high-capacity memory chips, which are needed to process huge amounts of information.

Technological advances make an important contribution to revenue growth. Manufacturers are constantly improving the characteristics of their products, including products with high bandwidth (HBM), which are in demand in the segment of accelerators for data centers. Developers also focus on sustainability and energy efficiency.

In 2023, the DRAM segment provided revenue at $55 billion: this type of memory is widely used in various equipment. Another $25 billion was brought by SRAM products, while the contribution of ROM is estimated at $18 billion. Flash memory sales amounted to $36.7 billion. The key players in the market are:

Geographically, North America is leading with an estimate of $50 billion at the end of 2023: the dominance of the region is explained by the high level of IT development, technological advances, the presence of many large manufacturers and the increasing demand for consumer electronics. In second place is the Asia-Pacific region, where costs amounted to $40 billion: there is rapid urbanization and active digitalization in various industries. Europe closes the top three with $30 billion, supported by strong sectors of automotive and industrial electronics. South America, the Middle East and Africa together provided a contribution of about $14.7 billion.

In the future, stable positive dynamics are expected to remain. At the end of 2024, sales of memory chips are estimated at $140.75 billion. Market Research Future analysts believe that in the future, the CAGR (average annual growth rate in complex percentages) will be 4.49%. As a result, by 2032, costs on a global scale could rise to $200 billion.[18]

Global Wireless Electronics Charging Chip Market Growth to $3.83 Billion

In 2023, costs in the global market for chips for wireless charging electronics reached $3.83 billion. Demand for related solutions is showing steady growth, according to the Fortune Business Insights survey, which TAdviser reviewed in mid-December 2024.

The authors of the study highlight several key drivers of the industry in question. One of them is the active integration of wireless charging functions into smartphones and all kinds of gadgets, such as smartwatches and fitness trackers. In smart homes, wireless charging pads and surfaces are becoming more common, allowing users to simultaneously replenish the power supply of multiple devices without the need for numerous power supplies and cables. In addition, smartphone wireless charging systems are increasingly being integrated into cars.

Another stimulating factor is technological advances. Some wireless charging systems can be compared to traditional wired solutions in speed. At the same time, the usability of mobile devices is increased. The next generation wireless charging chips provide higher efficiency and compatibility with various form factors of consumer products. The direction of wireless charging of electric vehicles is also developing.

However, there are also restraining factors. One of them is the price: the cost of wireless charging components turns out to be significantly higher than traditional wired solutions. In addition, there are compatibility issues: chargers with support for various wireless charging protocols are on the market, and some of them may not work with all gadgets. This confuses consumers and prevents the technology from penetrating more quickly. In addition, the need for accurate alignment between the charging panel and the device can impair user experience. As a result, many consumers prioritize the capabilities of fast wired charging, which allows you to replenish the power supply of gadget batteries in a matter of minutes.

According to the power range, the authors of the study distinguish three segments: up to 5 W (low power), 5-15 W (average power) and more than 15 W (high power). The largest share is occupied by medium power solutions, which are offered by the optimal balance of efficiency and charging speed. For applications, segments such as consumer electronics, automotive systems, industrial solutions, healthcare products, etc., are considered. The first of these areas provided the largest share of revenue in 2023 - 47.7%: this is due to the widespread use of smartphones, wearable gadgets and other portable devices with wireless charging functions. From a regional point of view, North America is in the lead, where costs amounted to approximately $1.4 billion at the end of 2023. The dominance of the region is due to the high concentration of technology companies and car manufacturers. Significant players in the global market are named:

At the end of 2024, sales of chips for wireless charging are estimated at $4.66 billion. Fortune Business Insights analysts believe that in the future, the CAGR (CAGR in compound percentage) will be 22.3%. As a result, costs globally could rise to $23.32 billion by 2032 [19]

Sales of 5G chips in the world for the year reached $21.89 billion

In 2023, the global 5G chip market reached $21.89 billion. This industry is rapidly developing due to the rapid expansion of the Internet of Things (IoT) ecosystem, an increase in the amount of data generated and the introduction of advanced technologies such as robotic cars and smart cities. Industry trends are addressed in the Fortune Business Insights survey, which TAdviser reviewed in early December 2024.

The report says that a pandemic has had a stimulating effect on the market, COVID-19 due to which employees of companies around the world began to switch to remote work. Against this background, there was a need for communication facilities with high bandwidth and low delays - 5G networks have such characteristics. In addition, the number of IoT devices that create additional load on data channels is increasing.

5G chip sales are also boosted by the expansion of 5G infrastructure in general. These products are increasingly being installed in all kinds of consumer products - smartphones, laptops, tablets, routers, etc. 5G chips are widely used to provide real-time communication for critical applications such as telemedicine systems, robotic car platforms, etc.

Another significant factor contributing to the increase in demand for 5G chips is the constant development of technologies and the introduction of innovations in the telecommunications sector. Companies are investing massively in R&D, bringing new technologies that boost performance and empower 5G platforms. Government initiatives are also driving the industry, with authorities in many countries providing financial incentives to businesses and organizations implementing 5G technology.

But there are also restraining factors, the main of which is the price: 5G products are significantly more expensive than 4G chips. Moreover, the cost increases in proportion to the improvement in characteristics. At the same time, rising prices for 5G components lead to an increase in the cost of end products, such as smartphones and laptops. Therefore, in most cases, manufacturers of budget devices prefer 4G solutions.

By industry, the market is segmented into power and utilities, manufacturing, IT and telecommunications, media and entertainment, transport and logistics, consumer electronics, healthcare, etc. In 2023, the IT and telecommunications segment brought the largest revenue - approximately 31.9% in total. In addition, consumer electronics made a significant contribution. Among the key players in the industry are:

Geographically, the Asia-Pacific region dominates, which is associated with a high concentration of semiconductor production capacities. China South Korea Taiwan,,, Singapore and Japan are major suppliers of chips to small and medium enterprises on a global scale. North America In lead, and in USA-. In the Middle To Europe Germany East, in South To Africa America, there is a moderate growth.

At the end of 2024, sales of 5G chips are estimated at $27.03 billion. Fortune Business Insights analysts believe that in the future, the CAGR (compound percentage CAGR) will be 30.2%. As a result, by 2032, costs globally could rise to $223.48 billion[20]

The volume of the global market for chips for identity identification for the year grew by 12%, to $5.48 billion

In 2023, sales of chips for identity identification on a global scale amounted to $5.48 billion in monetary terms. This is 12% more compared to 2022, when the volume of the industry was estimated at about $4.9 billion. Such data are given in the Market Research Future study, the results of which were published at the end of November 2024.

The growing need for enhanced security measures and robust identity verification solutions is one of the major drivers of the market in question. Organizations around the world are striving to strengthen their protection by restricting access to closed objects and confidential information. Against this background, sales of chips for identification are steadily increasing: these products are in demand in various areas, including border control, banking and healthcare. For example, hospitals and various medical institutions are actively integrating chips to identify into their systems to optimize processes, reduce errors and improve overall security.

The continued digitalization and expansion of the Internet of Things (IoT) ecosystem further stimulate the industry, as many applications and services require reliable identification systems to operate efficiently. Technological advances are also driving sales growth. The focus is on developing systems that are user-friendly in terms of privacy and security. In particular, contactless identity verification is gaining more and more popularity. In addition, the biometrics segment is actively expanding . However, thanks to innovations in miniaturization, energy efficiency and performance, chips are becoming more complex, and therefore more expensive. This leads to an increase in total revenue.

The authors of the reports identify four key market segments: these are identification itself, access control, tracking and monitoring in healthcare. In 2023, the first of these areas accounted for about $1.8 billion. Access control brought revenue of $1.5 billion, tracking (tracking) - approximately $1.4 billion. Monitoring health care in the field provided revenues in the amount of $0.78 billion. The key players in the industry are:

In 2023, North America led geographically with sales of $2.2 billion: demand here is stimulated by technological advances and the development of the security sector. In second place is Europe with costs of $1.6 billion, and the Asia-Pacific region closes the top three with $1.4 billion, fueled by growing investments in smart health solutions. South America secured a contribution of about $0.2 billion, the Middle East and Africa - $0.08 billion. In general, as noted, the industry is characterized by the rapid introduction of technological innovations and increasing security problems, which stimulates the use of chips for identification in various regions.

At the end of 2024, revenue in the segment under consideration is estimated at $6.13 billion. Market Research Future analysts believe that in the future, the CAGR will be 11.85%. As a result, by 2032, costs on a global scale could increase to $15 billion.[21]

The volume of the global market for chips for consumer electronics for the year grew by 5% and reached $432.39 billion

At the end of 2023, the costs on the global semiconductor market for consumer electronics amounted to about $432.39 billion. For comparison, in 2022, expenses were estimated at $412.74 billion. Thus, growth was recorded at 5%, as stated by the Market Research Future review, published in mid-November 2024.

One of the key drivers of the industry in question, the authors of the study name technological advances. As user expectations for smarter and more efficient devices grow, so does the need for advanced microchips. Such semiconductor solutions play an important role in improving the performance and functionality of consumer electronics, providing the ability to integrate artificial intelligence, augmented reality and other advanced developments. In addition, the market is being stimulated by growing demand for smartphones, tablets, smart TVs, wearable gadgets, smart home equipment, etc.

The industry is also boosted by the rapid expansion of the Internet of Things (IoT) infrastructure. Due to the rapid proliferation of smart devices in various sectors, including healthcare, industrial automation and automotive platforms, there is a growing need for sophisticated semiconductor components that are responsible for communications, data collection and processing. These are, in particular, all kinds of sensors, microcontrollers, integrated circuits and other products. The authors of the report call the desire for energy efficiency another driver. Consumers are increasingly looking for devices that consume less power while delivering high performance, prompting manufacturers to prioritize the development of more cost-effective semiconductor solutions. The shift to electric vehicles and renewables is also increasing demand for advanced semiconductor components.

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There has been a marked shift towards more efficient and sustainable technologies as companies prioritise reducing their carbon footprint. In addition, the emphasis on miniaturizing electronic components to create more compact devices is obvious, the review says.
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The researchers identify five key market segments: consumer electronics, appliances, wearables, smartphones and televisions. In 2023, the first of these areas provided revenue in the amount of $130 billion. Household appliances accounted for approximately $90 billion. Sales of chips for wearable gadgets are estimated at $40 billion. Products for smartphones and TVs brought in $100 billion and $72.39 billion, respectively. The list of leading market players includes:

From a geographical point of view, North America leads with a result of $178.53 billion in 2023. Revenue in the Asia-Pacific region amounted to $130.15 billion, in Europe - $102.08 billion. South America accounted for $15.56 billion.

At the end of 2024, revenue in the segment of chips for consumer electronics is estimated at $452.97 billion. Market Research Future analysts believe that in the future, the CAGR will be 4.76%. As a result, costs globally could rise to $657 billion by 2032.[22]

Growth of the global market for contract chip production services by 7% to $85 billion

In 2023, costs in the global market for contract chip production services reached $84.97 billion. For comparison, a year earlier, the volume of this industry was estimated at $79.77 billion. That is, growth was recorded at almost 7%. The analysis of the sector is given in the material Market Research Future, published in early November 2024.

The market is experiencing a significant surge in demand for advanced semiconductor technology, the study said. This is due to the increasing complexity of electronic devices and the introduction of advanced technologies such as artificial intelligence, machine learning and the Internet of Things (IoT). With the proliferation of such systems, the need for high-performance chips increases, including GPU-based accelerators and specialized accelerators. The demand for smartphones, all kinds of wearable gadgets and smart household devices creates an additional demand for microchips, and therefore for their contract production services.

Another industry driver for analytics is advances in manufacturing processes, such as FinFET technologies and 3D layout. The introduction of these techniques allows you to increase the speed of chips, while reducing power consumption. The proliferation of electric vehicles and autopilot machines creates the need for a large number of specialized semiconductor components, for the production of which the capacities of contract suppliers are used. The rapidly expanding 5G infrastructure makes an additional contribution to the increase in demand. At the same time, the observed trends indicate a shift towards more localized production, as companies seek to reduce dependence on global supply chains.

The market in question is segmented into silicon wafer fabrication, assembly and packaging, testing services, and design services. In 2023, the first of these areas brought the largest revenue - about $30 billion. Another $25 billion fell on assembly and packaging. Testing costs are estimated at $15 billion, for design and design - at $14.97 billion. The list of significant players includes:

In 2023, North America dominated with an estimate of $34 billion. Next comes the Asia-Pacific region, where costs reached $24 billion. Europe accounted for $22 billion. Thus, these three markets provided more than 94% in the total volume of the industry. The result of South America amounted to $2.5 billion, the Middle East and Africa - $2.47 billion. These regions, while contributing significantly less, are essential to diversifying the industry and have potential for future development.

As the market expands, smaller companies may benefit from niche areas, such as specialized components for a new type of electronic device, the report noted. In addition, the growing emphasis on sustainable development opens up opportunities for the introduction of environmentally friendly production methods.

At the end of 2024, revenue in the segment of contract chip production services is estimated at $90.51 billion. Market Research Future analysts believe that in the future, the CAGR will be 6.52%. As a result, by 2032, costs on a global scale could increase to $150 billion.[23]

9% market drop to $544.8 billion - Omdia

At the end of 2023, the global semiconductor market amounted to approximately $544.8 billion. This is 9% less compared to 2022, when costs were estimated at $597.7 billion. Such data are reflected in the Omdia study, the results of which were released on March 28, 2024.

The industry's recorded contraction followed two years of record growth, which the report noted reflected the cyclical nature of the semiconductor market. In 2023, despite the overall decline in the semiconductor industry, artificial intelligence became an important growth driver, and companies developing related products such as Nvidia are strengthening their positions.

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The prolonged rise that began in the era of COVID-19 has ended. After a sharp increase in demand for semiconductor products during the pandemic, which led to a shortage in the market, the situation changed. Demand has declined due to macroeconomic factors, while supply chain performance has improved, "comments Cliff Leimbach, senior analyst at Omdia.
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In addition to GPU-based accelerator (GPU) suppliers, high-bandwidth memory (HBM) manufacturers benefit from the rapid development of the AI industry. SK Hynix is leading in this segment, and competition is intensifying. The memory market as a whole saw a decline in 2023, while the HBM sector saw 127% growth from the previous year in terms of capacity. Omdia believes that HBM will show higher growth rates in 2024 - in the range of 150-200% and is expected to contribute to the growth of the memory market as a whole.

In 2023, the automotive segment had a significant impact on the semiconductor industry, showing revenue growth of more than 15% on an annualized basis: the figure exceeded $75 billion. This is facilitated by the growth of the number of electric vehicles and the integration of AI tools into the transport infrastructure. According to the results of 2023, the automotive sector accounted for about 14% of the total semiconductor product market.

The largest player in the industry in 2023 was Intel Corporation with revenue of approximately $51.2 billion: this is 15.8% less than in 2022, when the figure was $60.81 billion, and Intel itself ranked second in the ranking. Nvidia climbed to the second line from the eighth, with annual revenue soaring by 133.6% - from $21.05 billion to $49.16 billion. Samsung closes the top three, which in 2022 was the market leader: its sales on an annualized basis decreased by 33.8% - from $67.06 billion to $44.37 billion.

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Nvidia's rapid growth in semiconductor revenue made it the second-largest company by revenue in 2023 - second only to Intel. Samsung, the industry leader in 2022, dropped to third place in 2023 as its revenues from memory supplies almost halved from 2021 levels, Leimbach notes.
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The decline especially affected large memory manufacturers, traditionally among the leading semiconductor companies in terms of sales. So, in the period from 2017 to 2021, Samsung, SK Hynix Micron Technology were among the five largest companies in terms of revenue. However, in the current market situation, SK Hynix was in sixth place at the end of 2023, and Micron Technology was in 12th place. The top ten, as noted in the study, includes,, Qualcomm,, and Broadcom AMD. Apple Infineon Technologies STMicroelectronics[24]

Global market cut of 8.2% to $526.8 billion - SIA

Chip sales on a global scale in 2023 reached $526.8 billion, which is 8.2% less than a year ago ($574.1 billion). This was reported in the Semiconductor Industry Association (SIA), which includes about 99% of American chipmakers and almost two-thirds of chipmakers outside the United States.

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Global semiconductor sales were sluggish in early 2023, but rebounded sharply in the second half of the year, and double-digit market growth is forecast in 2024, says SIA President and CEO John Neuffer. - With chips playing a bigger role in the myriad products on which the world depends, the long-term outlook for the semiconductor market is very optimistic. State support for R&D, strengthening personnel capacity in the field of semiconductors and reducing trade barriers should help the industry continue to grow and innovate for many years to come.
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Chip sales globally reached $526.8 billion in 2023, down 8.2% from a year ago

The volume of the global semiconductor market in 2023 decreased in almost all regions except Europe, where an increase of 4% was recorded. In the Americas, the volume of the semiconductor industry in 2023 decreased by 5.2% compared to 2022, in China - by 14%, in Japan - by 3.1%, in Asia-Pacific - by 10.1%.

China leads in chip trade

According to SIA, in 2023, memory chip sales amounted to $92.3 billion. The microcontroller segment grew by 11.4% to $27.9 billion. Sales of automotive chips increased by 23.7%, to a record $42.2 billion.

According to analysts at Counterpoint Research, the volume of the chip market in 2023 in money decreased by 8.8% and amounted to $521.3 billion. Only six of the top twenty semiconductor companies managed to generate revenue growth, according to the study. As a result, there were noticeable permutations in the rating of chipmakers compared to the previous year, the researchers add.[25]

The global chip market has dropped sharply to $534 billion. The schedule is Gartner

At the end of 2023, revenue from the supply of semiconductor products on the world market is estimated at $534 billion. For comparison, in 2021 the figure was $598 billion, and in 2022 - $600 billion. Such figures are given in a study by Gartner, the results of which were published on December 4, 2023.

Analysts note that the rapid development of artificial intelligence, including generative services (GenAI), as well as the growing demand for high-performance computing (LDCs) are increasing the need for specialized hardware solutions such as GPU-based accelerators (GPUs). However, in 2023, sales of such products could not compensate for the decline in the chip market as a whole. Gartner records a reduction in the supply of smartphones and personal computers, while hyperscalers and data center operators, amid macroeconomic difficulties and the crisis, reduce the cost of developing their infrastructures. All this leads to a fall in the global market for semiconductor products.

In 2022, the industry showed year-on-year growth of about 0.2%, but in 2023 there was a sharp decline - minus 10.9% in monetary terms. In the segment of memory chips in 2023, there was a decrease in revenue by 38.8% on an annualized basis. This is due to overproduction, the accumulation of large stocks and falling prices. Thus, in the NAND flash memory segment, sales at the end of 2023 decreased to $35.4 billion, which is 38.8% less than the result for the previous year. At the same time, Gartner experts believe that the cost of NAND products may reach its minimum value by the end of the first or second quarter of 2024.

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As economic headwinds persist, weak demand for electronics is seen in both the consumer and corporate segments, creating an uncertain investment environment. In addition, the oversupply in the chip market leads to increased inventory and lower chip prices, says Gartner Vice President Richard Gordon.
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However, as noted in the study, the development of GenAI platforms and large language models creates conditions for growth in the long term. Data center operators need next-generation high-performance servers based on GPU cards and specialized accelerators that help not only increase the speed of processing AI tasks, but also reduce power consumption, and therefore reduce total cost of ownership. According to Gartner, in the context of the rapid development of neural networks and machine learning by 2027, more than 20% of new servers in data centers will be equipped with accelerators to solve AI problems.

Revenue from the supply of semiconductor products in the global market is estimated at $534 billion

Analysts believe that in 2024 the global semiconductor products industry will begin to recover. Its volume will reach $624 billion, which will correspond to an increase of 16.8% compared to 2023.

At the same time, the memory segment will show an increase of 66.3% year-on-year. In the NAND sector in 2024, supplies will rise on an annualized basis by 49.6%, reaching $53 billion. DRAM chip sales will increase by 88%, amounting to approximately $87.4 billion.

Gartner notes that in the future, AI will continue to stimulate sales of semiconductor chips. The survey of 1,400 senior executives found that 55% of organisations are testing or using GenAI tools in some form as of September 2023. According to estimates, the global chip market in 2025 will reach $721 billion, which will correspond to an increase of about 15.5% compared to the previous year.[26]

Armenia became the fourth largest exporter of semiconductors for the defense industry of Russia

On July 28, 2023, it became known that Armenia it became the fourth largest exporter of semiconductor products for the defense industry in the world. Russia More. here

Overview of countries' strategies in the development of chip production

The United States, the EU, China, India, and the Republic of Korea are actively allocating significant financial resources for ambitious long-term projects and are searching for effective industry management policies. The focus is on three main areas: localization of production in the national territory; access to the latest technologies and strengthening positions in production chains; qualified personnel. Read more about the strategies of these countries (as well as Taiwan and Great Britain) in the development of chip production in an article published based on the review prepared by the Center for Global IT Cooperation in July 2023.

Launch of new factories by region of the world: China and Taiwan are among the leaders

Chip sales fell 18.5% to $41.33 billion in January

Global chip sales in January 2023 fell 18.5% to $41.33 billion compared to $50.74 billion a year earlier, the Semiconductor Industry Association, SIA, said.

2022

The volume of the global market for chips for AI for the year is estimated at $44.22 billion

At the end of 2022, the global market for microchips intended for use in artificial intelligence and machine learning systems reached $44.22 billion. This is stated in the Gartner study, the results of which were released on August 22, 2023.

Analysts note that the rapid development of generative AI, as well as services based on this technology, leads to an increase in demand for graphics accelerators and specialized chips. Against this background, the need for AI servers is increasing - this is a relatively new category of systems for data centers that use accelerators and semiconductor solutions with fast memory. According to Alan Priestley, vice president of analytics at Gartner, the current situation is stimulating an increase in the production of AI chips, despite the fact that the development of the IT industry as a whole has slowed down due to the current macroeconomic situation and the crisis.

The global market for chips used in artificial intelligence (AI) technologies will grow by 20.9% in 2023 compared to 2022

Gartner notes that as new AI-based workloads are implemented, more companies and organizations will deploy systems built with specialized microchips and accelerators. As a result, the supply of such products will continue to grow steadily. In particular, analysts believe that by the end of 2023, the market volume will be $53.45 billion, which will correspond to an increase of 20.9% compared to 2022. In 2024, experts say, the costs will reach $67.15 billion - plus 25.6% compared to the previous year.

According to the study, the demand for AI processors is increasing in various industries. In the consumer electronics segment, in 2022, the cost of chips with artificial intelligence amounted to approximately $558 million. In 2023, according to Gartner experts, costs will rise to $1.2 billion, that is, they will more than double.

It says the need for resources to efficiently execute AI-related workloads will accelerate the adoption of specialized chips optimized for relevant tasks. Priestley notes that this trend will be especially noticeable in the field of generative AI and large language models. In the short term, large data center operators and hyperscalers will continue to purchase GPU-based systems. However, in the long term, analysts say, the use of specially designed artificial intelligence chips is expected to expand. Such chips will not only increase performance, but also reduce power consumption.

Analysts say the emergence of advanced consumer services based on generative AI contributes to the rapid development of the market for chips for AI solutions

The main customers of AI servers are leading cloud platform operators: they include Amazon Web Services (AWS), Google Cloud and Microsoft Azure, as well as large Chinese sites. These companies are forced to constantly increase computing resources to meet the needs of customers who are actively developing projects in the field of AI. Foxconn Chairman Liu Yangwei believes that by the end of 2023, global costs for AI servers will amount to approximately $30 billion. In 2027, according to analysts' forecasts, this value will reach $150 billion, which will correspond to fivefold growth. At the same time, Gartner believes, in 2027, AI chips will bring revenue to suppliers in the amount of $119.4 billion.

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The reality is that the development of generative AI does not stop. There is a pressing need for a new class of tools to manage data flows between users and companies, adds Avivah Litan, vice president of analytics at Gartner.[27]
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The contract chip manufacturing market soared 27.9%. Leaders

The volume of the global contract microchip industry in 2022 showed an increase of 27.9% compared to the previous year, reaching a new record level. Such data are contained in the IDC study, the results of which were released on June 27, 2023.

Analysts say several factors are having a positive impact on the market. These are, in particular, new long-term cooperation agreements that the largest contract manufacturers conclude with customers. In addition, prices for shipped products are growing against the background of the current macroeconomic situation and high inflation. At the same time, new technological processes are being introduced: the products manufactured using them are more expensive than the products of the previous generation. Additional capacities are also being commissioned.

The market for contract chip production soared by 27.9% over the year
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Contract manufacturing plays a key role in the supply chains of semiconductor products. All leading manufacturers in 2022 showed double-digit growth in revenue. However, due to changing market conditions, the revision of orders led to a sharp decrease in the capacity utilization of enterprises, "said Galen Zeng, IDC Senior Manager for Research in Semiconductor Products in the Asia-Pacific Region.
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The top ten contract chipmakers include TSMC, Samsung Foundry, UMC, GlobalFoundries, SMIC, HHGrace, PSMC, VIS, Tower and Nexchi. The undisputed global market leader is Taiwan's TSMC, which controls more than half of the industry. This company continues to develop its advanced production processes, thanks to which it has the opportunity to strengthen its position. Thus, according to IDC estimates, TSMC's share rose from 53.1% in 2021 to 55.5% in 2022. It is said that an increase in the number of orders for products manufactured according to 3, 4 and 5 nm standards also contributes to the strengthening of the company's position.

Samsung Foundry is in second place in the ranking of the largest contract microchip manufacturers with a result of 16% in 2022. Closes the top three UMC with a share of 6.8%. This is followed by GlobalFoundries, which controls 5.9% of the global industry. SMIC accounts for 5.3%. HHGrace, PSMC, VIS, Tower and Nexchi jointly hold 7.1% of the global contract production market. The total share of all other players is approximately 3.4%.

The contract chip market soared 27.9% over the year.

The IDC study notes that Chinese manufacturers are actively introducing new technical processes, thereby strengthening their market position. Their total share in 2022 was at the level of 8.2% against 7.4% in 2021. Revenues of such producers rose by more than 30% on an annualized basis.

Data based on capacity utilization suggests that integrated circuit developers were actively stocking up until the first half of 2022. At the same time, the signing of long-term contracts contributed to the preservation of stable prices for services of contract producers and provided capacity utilization up to 90-100%. However, from the second quarter of 2022, a change in the situation began to be observed in supply chains, and the developers of integrated circuits reduced the volume of orders. In particular, some long-term agreements on consumer electronics products were canceled. At the same time, IDC notes, there is a high level of orders for microchips related to devices and systems of artificial intelligence, as well as high-performance computing (HPC). Analysts believe that by the end of 2023, the volume of the global contract production industry will decrease by 6.5% on an annualized basis.[28]

Global semiconductor industry slowdown to 4% by Q4

After the rapid growth of the world semiconductor industries by 25% in 2021, the growth forecast in 2022 by 13-14% by the fourth quarter slowed down to 4%. Rising interest rates, high, inflation declining consumer confidence and a downturn in the stock market have reduced the market capitalization of the world's 10 largest chip companies by 34% from $2.9 trillion in November 2021 to $1.9 trillion in November 2022[29] Learn more here.

The global chip market showed a slight increase of 1.1% to $601.7 billion

On January 17, 2023, Gartner released the results of a study of the global semiconductor chip industry. It is reported that in 2022 the market volume reached $601.7 billion. This is 1.1% more than the result for 2021, the total revenue of suppliers was estimated at $595.0 billion.

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2022 began with a shortage of many semiconductor products, which led to an increase in delivery time and higher prices. And this turned into a reduction in the production of electronic equipment for many end markets. As a result, OEMs have begun to insure themselves against chip shortages by stockpiling chips, said Andrew Norwood, vice president of analytics at Gartner.
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Experts point out that by the second half of 2022, the global economy began to slow down due to high inflation, rising interest rates, higher energy costs and ongoing restrictions due to the COVID-19 pandemic in China. This situation has negatively affected the functioning of global supply chains. In addition, consumers, amid market uncertainties, began to reduce spending on equipment, which provoked a decrease in demand for computers and smartphones. Spending has also begun to trim businesses in anticipation of a global recession. All this affected the overall sales of semiconductor products.

The top three semiconductor chip suppliers are unchanged in 2022. The rating is topped by Samsung Electronics with revenue of $65.6 billion and a 10.9% share. At the same time, sales of the South Korean giant on an annualized basis decreased by 10.4%. In second place is Intel, which received $58.4 billion, which corresponds to 9.7% of the global market. The corporation's revenue compared to 2021 decreased by 19.5%, which is explained by a sharp drop in demand for products for the consumer segment. SK Hynix closes the top three, which in 2022 raised $36.2 billion, taking 6.0% of the global industry. For this company, sales on an annualized basis decreased by 2.6%.

The top ten largest players in the semiconductor chip market also include, Qualcomm,, Micron Technologies,, and Broadcom AMD. Texas Instruments MediaTek Apple It is noted that the total revenue of 25 leading industry participants in 2022 rose by 2.8% and amounted to 77.5% of the total.

The memory segment, which accounted for about 25% of semiconductor sales in 2022, showed the worst dynamics: revenue decreased on an annualized basis by 10%. By mid-2022, this sector was showing signs of a significant drop in demand, as OEMs began to drain the memory reserves that they retained in anticipation of an increase in demand. Conditions have worsened to the point where most memory companies announced capex cuts in 2023, and some have begun to reduce wafer output to restore balance in the market.

At the same time, the revenue of manufacturers, not related to memory chips, in 2022 rose by 5.3%. However, against the background of a changed market situation, the dynamics varied greatly for different categories of consumer electronics and commercial products. The largest growth was in the segment of analog solutions with an increase of 19%. This is followed by discrete devices - plus 15% compared to 2021. The growth of both analog and discrete products is primarily due to high demand from the automotive and industrial sectors. This is due to the long-term prospects for sustainable development in the field of vehicle electrification, industrial automation and innovations in the energy sector.[30]

The largest countries and regions by capacity for the production of chips

Data for 2022

6-Month Decline in Semiconductor Sales

A decline in semiconductor sales in July 2022 adds to fears of a global recession, with global chip sales slowing for six straight months.

The pace of humiliation is the longest since the U.S.-China trade war in 2018.

The three-month moving average in chip sales correlates with global economic performance in recent decades.

Chip sales act as an indicator of the global economy and can predict ups and downs in it.

2021

Global Chip Development Market Growth by 48% - TrendForce

The revenue of the world's ten leading integrated circuit development companies in 2021 increased by 48% on an annualized basis, to $127.4 billion. TrendForce researchers reported this in mid-March 2022.

In its study, TrendForce points out three main differences from the 2020 rating. First, Nvidia overtook Broadcom to finish second. Second, Taiwan's Novatek and Realtek climbed to sixth and eighth, respectively. Originally ranked tenth, Dialog was replaced in that position by Himax after Dialog was acquired by IDM Dialog Renesas.

Chip developers without factories for the year increased revenue by 48%

Qualcomm continues to rank first among all developers in the world, primarily due to sales growth of SoC for mobile phones (System on Chip) and IoT chips by 51% and 63% year-on-year, respectively. Adding diversified development to the company's radio frequency and automotive chip business was key to a 51% revenue increase. Nvidia implemented the integration of software and hardware, demonstrating its ambitions in creating a "comprehensive computing platform." With 64% and 59% annual revenue growth from gaming graphics cards and data centers, respectively, Nvidia has successfully risen to second place. Broadcom has benefited from solid sales figures for network chips, broadband chips and storage and bridge chips, with revenue up 18% year-on-year. AMD's computer and graphics revenue rose 45% year-on-year thanks to strong sales of Ryzen processors and Radeon GPUs, as well as an increase in the average selling price. Coupled with growing demand from cloud companies, annual revenue for AMD's corporate, embedded and partially specialty divisions increased 113%, resulting in annual growth in total revenue of up to 68%.

The largest chip developers who do not have their own production facilities

Taiwanese firms' strategy is different in that MediaTek's focus on mobile phone SoCs has performed well. Driven by increased 5G penetration, MediaTek's mobile phone product portfolio sales figures rose 93% and the company committed to increasing its high-end product portfolio share, leading to an annual revenue growth of 61%. Both of Novatek's main product lines - SoC and display drivers - have grown significantly. Thanks to improved product performance, increased shipments and beneficial price increases, revenue rose 79% year-on-year, the highest among the top ten companies. Realtek's success is driven by strong demand for Netcom products and commercial laptops, while the performance of audio and Bluetooth chips remains fairly stable, delivering 43% annual revenue growth. Himax is in the top ten for the first time in 2021. Due to a significant annual increase in revenue from large and medium/small IC drivers by 65% and 87%, respectively, total revenue exceeded $1.5 billion, or 74% on an annualized basis.

More broadly, growing demand for high-performance products such as high-performance computing, high-speed data transfer, servers, automotive and industrial applications will create good business opportunities for integrated circuit companies and drive overall revenue growth. However, terminal system manufacturers continue to face the problem of component mismatch. In addition, rising foundry costs, worsening geopolitical conflicts and rising inflation will hurt global economic growth and could affect the already weakened consumer electronics market. These are challenges that integrated circuit companies will face in 2022, according to Trend Force.[31]

Global chip sales reach 1.15 trillion units

On February 14, 2022, the Semiconductor Industry Association (SIA) published a study in which it reported that in 2021, chip sales globally reached $555.9 billion, the highest in the history of market surveillance and 26.2% more than in 2020 ($440.4 billion).

The industry delivered a record 1.15 trillion semiconductor devices in 2021 as chip companies ramped up production to meet strong demand amid global chip shortages. Global sales for December 2021 amounted to $50.9 billion, which is 28.3% more than in December 2020, and 1.5% more than in November 2021. Sales in the fourth quarter amounted to $152.6 billion, which is 28.3% more than in the fourth quarter of 2020 and 4.9% more than in the third quarter of 2021.

Global chip sales reach 1.15 trillion units

Monthly sales are compiled by World Semiconductor Trade Statistics (WSTS) and represent a three-month moving average. SIA represents 99% of the U.S. semiconductor industry by revenue and nearly two-thirds of firms that make chips outside the U.S.

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In 2021, amid ongoing global chip shortages, semiconductor companies have significantly increased production to unprecedented levels to meet consistently strong demand, leading to record chip sales and shipments, said John Neuffer, president and chief executive of SIA. - Demand for semiconductor production is projected to increase significantly in the coming years as chips are further introduced into critical technologies of the present and future. To ensure the growth of semiconductor manufacturing and innovation in America over the long term, the U.S. government must quickly fund investment under the CHIPS Act in semiconductor research, development and manufacturing under bipartisan competitiveness legislation. This will greatly strengthen the American economy, national security, critical infrastructure, supply chains and technological leadership.
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Global chip sales reach 1.15 trillion units

In regional terms, the largest growth (27.4%) in 2021 was observed in the market of the Americas. China remains the largest individual semiconductor market, sales on which in 2021 will amount to $192.5 billion, an increase of 27.1%. Annual sales in 2021 will also increase To Europe in (27.3%), Asia-Pacific/all others (25.9%) and (Japan 19.8%). December 2021 sales increased from November 2021 in the Americas (5.2%), (China 0.8%), (To Europe 0.3%) and Asia-Pacific/all others (0.1%), but declined slightly in Japan (-0.3%).

Several segments of semiconductor products stood out in 2021. Analog devices, a type of semiconductor commonly used in vehicles, consumer products and computers, had the highest growth rate of 33.1% per year, reaching $74 billion in 2021. Logic ($154.8 billion in 2021) and drives ($153.8 billion) were the largest categories of semiconductors in terms of sales. Annual sales of logic products increased by 30.8% compared to 2020, and sales of memory products - by 30.9%. In the microprocessor category, sales in 2021 increased by 15.1% to $80.2 billion. Sales of all non-memory products combined increased by 24.5% in 2021. The implementation of automotive integrated circuits increased by 34.3% compared to 2020 and reached a record high of $26.4 billion.[32]

Global chip market up 25%, to $583.48

The global chip market in 2021 grew by 25% compared to 2020 and for the first time exceeded $500 billion - the volume reached $583.48. Such data were released on February 1, 2022 by Gartner analysts.

According to their estimates, the world's ten largest buyers of semiconductor products in 2021 increased spending on it by 25.2% and occupied 42.1% of the market. Apple still spends the most money on microcircuits: in 2021, the share of the American corporation in global chip purchases reached 11.7%. It is noted that Apple's memory spending increased by 36.8%, on other types of chips combined - by 20.2%. At the same time, the American technology giant cut back on the purchase of computing processors (MPU) due to the transition to proprietary solutions.

Rating of chip purchasing companies in 2021

Samsung Electronics, which retained second place in the list of the largest buyers of chips in 2021, increased spending on them by 28.5%. Purchases of memory for devices of the South Korean giant increased by 34.1%, and the rest of the chips - by 23.9%. Samsung's money spending on memory increased largely due to the increase in its cost, as well as the increase in shipments of smartphones, solid state drives (SSDs) and other electronics that the company is betting on, the study said.

According to the results of 2021, the three largest buyers of chips included, Lenovo which increased purchases by a third, to $25.28 billion, Huawei which in 2020 was in the top 3, a year later dropped to seventh place in this rating due to sanctions. USA Shipments of chips of the Chinese company in 2021 sank by 32.3%.

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In 2021, semiconductor manufacturers increased chip supplies, but demand from OEMs far outstripped supplier production capacity, said Gartner research director Masatsune Yamaji.
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The lack of chips did not allow OEMs to increase the production of not only cars, but also various electronic equipment, including smartphones and game consoles. However, the deficit significantly increased selling prices, which meant that OEMs spent much more on semiconductor purchases in 2021 than in previous years, the researchers point out.

The global chip market grew by 25% over the year and for the first time exceeded $500 billion

The average cost of sold semiconductor chips, such as microcontroller units, general purpose logic integrated circuits (ICs) and various specific application processors, in 2021 increased by at least 15%.

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The shortage of chips has also accelerated dual OEM redundancy and contributed to panic buying, resulting in a spike in their semiconductor costs, Yamaji reported.
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Analysts add that the chip shortage and the COVID-19 coronavirus pandemic negatively affected the production of semiconductor products in 2021, but leading electronics manufacturers were able to significantly increase purchases of microcircuits. The growth of the memory market was stimulated by the purchase of servers for cloud data centers, a large-scale transition to a remote format of work and training, as well as a surge in demand for PCs and mobile devices.

According to the industry organization World Semiconductors Trade Statistics (WSTS), the global semiconductor market in 2021 recorded an increase of 25.6%, which is almost four times more than the increase in 2020, when a rise of 6.8% was recorded. In money, the market volume in 2021 grew to $553 billion from $440 billion a year earlier. This jump was the most significant since 2010 - then global semiconductor sales grew by 31.8%.[33]

Capital spending in the semiconductor industry soared by a third, to $152 billion

Capital expenditures in the semiconductor industry in 2021 increased by a third compared to 2020 and reached $152 billion. This was announced on December 14, 2021 by the research company IC Insights.

According to analysts, in 2021 the foundation sector (IC Foundry - the production of semiconductors according to the technical documentation of customers) again became the first in terms of investments in the development of the industry - it accounted for $53 billion or 35% of the global capital expenditures in the chip market. Data from IC Insights shows that since 2014, contract semiconductor manufacturers have almost invariably led in this indicator. The exceptions were only twice, in 2017 and 2018, when investment in DRAM and flash memory chips soared in the industry.

Experts note that the capital investments of the foundation sector have become a very important and necessary component of the further development of the semiconductor industry in the face of growing demand for microcircuits made using advanced technological processes.

Capital spending in the semiconductor industry increased by a third

The $53 billion spent by contract manufacturers on capacity expansion fell mainly on market leaders. Thus, TSMC spent 57% of the total, and the Chinese SMIC accounted for only 8%, since due to US sanctions, this company was forced to reduce capital expenditures by a quarter to $4.3 billion. Contract manufacturers as a whole increased their capital expenditures by 42% compared to 2020.

In 2021, memory manufacturers increased capital investments only in the direction of RAM - by 34% to $24 billion, and the solid-state memory segment was limited to a 13% increase in costs to $27.9 billion. In addition to the contract direction, in 2021, manufacturers of microprocessor products (up to $23.5 billion) and various logic devices (up to $12.4 billion), including analog solutions (up to $11.2 billion), demonstrated an increase in costs by more than 40%.[34]

Chip waiting times increased to 18 weeks

Chip-deficient industries will have to wait a little longer as delays to orders continue to mount.

Chip waiting times in May increased by seven days to 18 weeks, according to research by Susquehanna Financial Group. That gap is now more than four weeks above the previous peak in 2018.

Semiconductor shortages are most felt in the auto industry, which is projected to lose more than $100 billion.

Other areas have felt the shortage, too: many electronics manufacturers, including major companies like Apple Inc, are unable to meet all demand for their products.

2020

Growth in the global PC chip market by 17.3%, to $160 billion - IDC

By the end of 2020, the global market for chips for personal computers and servers reached $160 billion, which is 17.3% more than a year earlier, and exceeds the growth rate of the entire semiconductor industry (+ 10.8%). This is evidenced by data from IDC analysts.

They calculated that global sales of chips of all types in 2020 amounted to $464 billion. Thus, the computing solutions segment accounted for about a third of the revenue in the market under consideration.

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Demand for PC processors remains strong, especially in those segments where the supply price is paramount, "said Shane Rau, vice president of semiconductor research for computing systems at IDC.
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PC and server chip sales up 17.3% in 2020

The study also notes that sales of chips for mobile phones in monetary terms in 2020 increased by 9.1%, while deliveries of the devices themselves decreased by more than 10%. Analysts explained this situation by several factors:

  • shifting demand for -network-enabled chips, 5G which cost more;
  • increasing the average amount of memory in devices;
  • the advent of more sensors in electronics;
  • support for extended radio frequency bands by gadgets.

According to experts, despite the impact of the COVID-19 coronavirus on the global economy, the global chip market has shown strong performance in 2020. Demand for semiconductors has been uneven throughout the year due to global restrictions, a massive shift to remote work and training, and shifts in consumer buying behavior. IDC considers the demand for chips for consumer devices, computers, 5G equipment and automotive electronics to be one of the catalysts for the growth of the semiconductor industry.[35]

Semiconductor Materials Market Growth 4.9%, to $55.3 Billion - SEMI

At the end of March 2021, the international association SEMI announced that the global semiconductor materials market grew by 4.9% in 2020 to $55.3 billion, setting a new record.

The previous market high of $52.9 billion was set in 2018. Revenue from the sale of materials for the production of plates and materials for housing, which in 2020 amounted to $34.9 billion dollars and $20.4 billion, respectively, increased by 6.5% and 2.3% compared to the same period in 2019. The growth in wafer production grew due to sales of photoresistors and auxiliary materials, liquid reagents and chemical-mechanical segments, while the growth in packaging materials production was driven by the expansion of the organic substrate and thermocompression welding wire market.

Global Semiconductor Materials Market Increased in 2020 to $55.3 Billion

For the eleventh year in a row Taiwan , it became the world's largest market for semiconductor materials with a capital of $12.4 billion due to its foundry capacity and a modern base of packaging products (an increase of 8.2%). Thanks to an aggressive increase in capacity China , it overtook Korea and took second place ($9.7 billion with an increase of 12.0%). China Taiwan and Taiwan saw particularly strong growth, but markets and South Korea Japan other countries also South Korea expanded: it saw an increase of 3.9% to $9.2 billion, in Japan - by 3.1% to $7.9 billion, in all other Southeast countries, Asia including, - by Singapore 5.4 Malaysia% Philippines to $6.7 billion.

At the same time, the markets of North America and Europe experienced a decline due to the COVID-19 pandemic: in North America by 0.6% to $5.5 billion, in Europe by 7.3% to $3.6 billion.

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Global semiconductor sales in 2020 have grown moderately, despite the difficult macroeconomic conditions caused by the pandemic and other factors, commented President and CEO SIA John Neuffer.
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At the same time, he expressed concern about a decrease in the US contribution to world chip production.[36]

Growth in chip sales by 5.4% due to memory, to $442 billion - IDC

According to the analytical company IDC, despite the impact of the COVID-19 coronavirus pandemic, the global semiconductor market in 2020 performed better than expected, thanks to an increase in demand for cloud computing and devices to support remote work and training. Global semiconductor revenue rose to $442 billion in 2020, up 5.4% from 2019, according to an IDC report. The DRAM and NAND memory segments also recovered from a disappointing 2019, posting 4% and 32.9% growth, respectively.

According to experts, the volume of the semiconductor industry will grow even faster as the economy recovers. At the same time, the nature of the recovery will depend on how quickly government stimulus plans stabilize global macroeconomics and ensure consumer confidence, said Mario Morales, vice president of the IDC technology and semiconductor development program.

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Certain markets are especially important for restoring the economic situation - these are 5G, cloud technology, peripheral computing and the specialized foundry industry. Semiconductor technologies remain a critical component in the development and recovery of all industries, he stressed.
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Chip sales rise 5.4% in 2020 due to memory

The chip segment for computing systems, including personal computers and servers, outperformed the semiconductor market as a whole in 2020 in terms of growth, increasing by 10.9% year-on-year to $152 billion in 2020. Measures to combat COVID-19 forced company employees and students to stay at home, which forced organizations and consumers to purchase new PCs. In addition, the dispersal of workers and students has forced cloud service providers, telecommunications service providers, and corporate IT departments to develop their computing infrastructure.

Smartphones became the second largest driver of demand for chips in 2020. Healthy competition has led to 5G-enabled phones being sold in a wide range of prices, reaching a wider range of consumers. Cellphone shipments fell more than 5% in 2020, but ultimately sales of cellphone semiconductors rose about 3% thanks to the use of 5G modems, increased memory, sensors and extended range in devices, said Phil Solis, director of communications and semiconductor research for smartphones. At the same time, in the future, 5G phones will account for up to 30% of all smartphone shipments, and chips for 5G phones will account for almost 54% of revenue in this segment.

Global semiconductor revenue rises to $442 billion in 2020

The pandemic has also significantly affected the automotive and industrial chip markets. Sales improved in the third quarter of 2020, but carmakers cannot maintain normal production due to a shortage of semiconductors. Sales of cars, including light commercial vehicles, in 2020 decreased by 14.5% to 71 million cars, as a result of which revenue from sales of automotive semiconductors decreased by 8.4% to $37 billion. The restoration of the automotive industry in the future depends on the effectiveness of vaccination. However, the increase in the content of semiconductors in vehicles continues to outstrip the growth in car sales due to the growth in the production of semiconductors that provide electrification, infotainment and communication technologies, says Nina Turner, research manager at Automotive Semiconductors[37]

Global Chip Market Showed Growth Again

The global chip market began to grow again in 2020, which was largely facilitated by the COVID-19 coronavirus pandemic. Sales of semiconductor products globally reached $449.8 billion, up 7.2% from 2019, when there was a 12 percent decline, according to data from Gartner.

The memory segment grew the strongest in 2020 - by $13.5 billion, which corresponds to 44% of the increase in the entire semiconductor industry. Memory sales have grown due to a surge in demand for desktops and laptops caused by the massive transition of people to work and study from home due to the pandemic.

In 2020, revenue from the sale of NAND flash memory in the world reached $52.8 billion, rising by almost 24% on an annualized basis. There were problems with the supply of flash memory in 2020, which led to its tangible rise in price in the first half of the year. At the end of the year, NAND flash solutions fell by an average of 2%.

In the second half of 2020, NAND flash supplies exceeded demand - memory manufacturers were counting on even higher sales, given the earlier demand from owners of hyperscale data centers and manufacturers of personal computers.

In 2020, the global chip market again showed growth
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At the beginning of 2020, it was expected that COVID-19 would negatively affect all markets for final equipment, but the real effect was not so strong, "says Andrew Norwood, vice president of research at Gartner, whose words are quoted in a press release. - The automotive industry, industry and some segments of the consumer market have been hit hard by spending cuts for companies and consumers. However, the shutdowns significantly increased the volume of remote work and study, and all the markets that contributed to such activities were in the black.
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According to the expert, the demand for server solutions in 2020 was strong thanks to the owners of hyperscale data centers (they account for more than 65% of server memory sales), which increased capacity amid a surge in demand for cloud services in a pandemic.

In addition, as reported in the study, the spread of coronavirus led to the fact that people began to work and learn more often from home, and this, in turn, spurred the demand for computers from consumers and companies. The result was growing sales for processors and memory DRAM and NAND flash, analysts explained.

Top 10 semiconductor suppliers by revenue in the world, 2020 (in $ million)

Intel remained the leader in the global chip market due to the fact that in 2020 its sales increased by 3.7% due to a surge in the supply of processors for servers and personal computers. The American vendor accounted for 15.6% of the market against 12.5% of Samsung Electronics, which took second position. SK Hynix also entered the top 3 chipmakers in terms of revenue in 2020, as well as in 2019.

According to Gartner, despite the slowdown in the market as smartphones a whole, high sales of supported devices 5G helped Qualcomm MediaTek to achieve solid growth in 2020 - the semiconductor revenue of these companies rose by 21.5% and 38.3%, respectively. High growth rates were also observed in (+ Kioxia 30.4%) and (+ Nvidia 37.7%).

Texas Instruments, which has seen its chip sales decline 2.2% in 2020, fared worst. Moreover, the American company turned out to be the only vendor from the top 10 with falling revenue on the market.

Demand for 5G solutions will offset weakening demand for system chips, analysts said, as the former are more cost-effective products - the average price of 5G chipsets is higher, plus they require additional installation of chips for power management and RF components.[38]

For the first time, chip developers without factories accounted for a third of the market

For the first time, the developers of chips without factories (fabless model) accounted for a third (32.9%) of the market. This happened in 2020, according to analysts at IC Insights.

For comparison, in 2019, the share of chipmakers that only develop microcircuits (the largest among them are AMD and Qualcomm), but produce them, was 29.7%, in 2018 - 25.8%. The previous record figure for such companies dates back to 2016, when it was measured at 30.6%.

According to the study, in 2002, fabless vendors accounted for only 13% of revenue in the semiconductor industry. In 2017 and 2018, the share of these companies decreased due to a surge in memory chip sales, where faceless developers are very poorly represented. However, in 2019, when the memory segment performed poorly, the situation changed, and the share of these developers in the chip market rose by 3.9 percentage points, to 29.7%.

Dynamics of revenue changes for chip developers who do not have production capacity and semiconductor IDM companies, data from IC Insights

In 2020, growth continued, and the total revenues of chip developers without production capacity reached $130 billion, an increase of 22% compared to 2019. AMD made the greatest contribution to this rise, with sales growing by $2.8 billion.

The IC Insights report compares faceless chip makers to companies specializing in the IDM (Integrated Device Manufacturers) model, in which companies offer contract chip manufacturing services but also produce proprietary chips. This model is practiced by Samsung and Intel.

Change in the share of faceless chipmakers in the total volume of the semiconductor industry, data from IC Insights

According to experts, the total turnover of IDM manufacturers in 2020 turned out to be $267.8 billion, which is 6% higher than a year ago. The growth dynamics of manufacturers working on the fabless and IDM models tend to be very different. At the same time, there is a close connection between the growth of turnover of faceless semiconductor companies and contract manufacturers (they only produce products by order, but do not develop them), experts emphasized.[39]

2019

Chip market slumps at 20-year record pace

According to the analytical company Omdia, the volume of the global semiconductor industry in 2019 amounted to $485 billion, down 11.7% or $56.6 billion compared to 2018. There has not been such a severe market downturn for almost two decades. The previous record regression in the 21st century was recorded in 2009, when chip sales decreased by 10.9%.

Revenue in many segments of the semiconductor industry declined in 2019. For example, the implementation of RAM chips sank by 37.2%, flash memory - by 24.5%. Experts also note a drop in revenue from sales of chips for working with artificial intelligence by 7% and a 13.3 percent decrease in revenue in the category of wireless communication technologies.

Despite the decline in the volume of the semiconductor industry, Intel's revenue in it increased by 1.3% and reached $71 billion. Thanks to this, the American corporation returned to first place in the market, ahead of Samsung, which led in 2018.

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Intel's results in 2019 were the result of the triumph of the company's diversified business model. Five years ago, she began to change her strategy, refocusing the business on several important products and end markets. In 2019, this brought its results and allowed Intel to avoid dependence on one product or product segment, thanks to which the consequences of a large-scale fall in the market for Intel were weaker, said Omdia analyst Ron Ellwanger.
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Samsung's semiconductor revenue in 2019 sank about 30% due to the company's large business dependence on the memory market. For the same reason, SK Hynix and Micron Technology experienced a significant decline.

Sony's revenues in the chip market rose 31% due to the dominance in the image sensor segment, the study said.[40]

Market collapse, coronavirus will further worsen sales

Memory chip sales on a global scale at the end of 2019 amounted to $109.02 billion, according to data from the analytical company ResearchAndMarkets.

Experts did not specify the dynamics in comparison with 2018. Most likely, there was a decline: according to estimates by the Semiconductor Industry Association, in 2019 the volume of the global chip market decreased by a third, amounting to just over $106 billion. Gartner recorded a 31.5 percent regression and noted that memory accounted for 26.7% of revenue in the semiconductor industry in 2019.

The memory market experienced a collapse in 2019. Coronavirus will further worsen sales

According to experts, by the end of 2019, memory chip stocks returned to fairly healthy levels, partly due to the fact that some manufacturers were actively engaged in supplies to ease the negative consequences of the introduction of duties on the import of some goods from China into the United States.

However, the situation may worsen due to the outbreak of coronavirus, which undermines the production of semiconductors. According to the DigiTimes portal, citing industry sources, enterprises in China register low employee returns after celebrating the Lunar New Year. In addition, against the background of morbidity, several Chinese cities were isolated. In such a situation, not only local high-tech companies, but also foreign ones with production facilities in the PRC, introduce quarantine measures.

Participants in the supply chain for memory manufacturers say that the existing stocks of materials will only last until mid or late February, and in the future, supply interruptions may begin, since the coronavirus has disrupted production from the relevant suppliers. In their memory chip factories, less than 30% of employees were able to return to work amid the ongoing epidemic, sources said.[41]

Worst year for the chip market since 2001

The volume of the global chip market in 2019 amounted to $412.1 billion, down 12.1% compared to 2018. That decline was the strongest since 2011, when chip sales collapsed 32% in the so-called dot-com crisis. Such data are provided by the Semiconductor Industry Association (SIA).

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The combination of several factors, including global trade conflicts and cyclical fluctuations in prices for semiconductor products, has led to a significant reduction in chip sales in the world, said SIA President and CEO John Neuffer.
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According to him, in the second half of 2019, the global chip market recovered somewhat, and in the fourth quarter, chip sales increased compared to the previous three months. To further restore the semiconductor industry, measures are needed to promote free trade and openness of world markets, the expert said.

The volume of the global chip market in 2019 amounted to $412.1 billion, down 12.1% compared to 2018

Most of the semiconductor market in 2019 came from sales of memory and logic chips - the volume of each of these segments amounted to about $106.4 billion. Memory spending fell by 32.6%. Revenue in the DRUM and flash categories decreased by 37.1% and 25.9%, respectively.

The three largest segments of the semiconductor industry in 2019 were closed by microprocessors, sales of which reached $66.4 billion. The study also notes a 9.3 percent increase in optoelectronics sales.

Analysis from a geographical point of view indicates widespread negative dynamics. Semiconductor sales fell the most in North and Latin America - by 23.8%. In Japan and Asia-Pacific, declines were measured at 10% and 9%, while in China and Europe, semiconductor revenue decreased by 8.7% and 7.3%, respectively.[42]

2018

Deep learning chip sales reach 164.9m - Tractica

The global market for chips designed to solve deep learning problems reached 164.9 million units in 2018. Such data were released on May 6, 2019 by the analytical company Tractica. Read more here.

Market growth of 10% to 1.07 trillion - IC Insights

In 2018, the size of the semiconductor market reached a record, for the first time exceeding 1 trillion. Deliveries of all types of chips, including integrated circuits (IC), optoelectronic circuits, sensors and discrete solutions (O-S-D), amounted to 1.07 trillion units, an increase of 10% compared to 2017. This is stated in a study by IC Insights, excerpts from which were released on January 24, 2019.

Since 1978, when 32.6 billion chips were shipped globally, the semiconductor industry has grown by about 9.1% annually. Analysts called this indicator impressive, given the cyclical and unstable semiconductor industry.

Semiconductor Market Dynamics, IC Insights Data

The largest segments of the semiconductor industry in IC Insights are optoelectronic circuits, sensors and discrete chips. By the beginning of 2019, O-S-D accounts for 70% of the total volume of semiconductor shipments, and the remaining 30% - integrated circuits. For comparison, in 1980, the shares of these products were measured 78% to 22%.[43]

In terms of the highest supply growth rates, semiconductor solutions for smartphones, automotive electronics and computing systems that enable artificial intelligence, deep learning applications and big data analysis are leading.

The volume of the chip market in money in IC Insights was estimated at $514 billion at the end of 2018. The top 10 chipmakers controlled 60% of revenue in the industry, while in 2008 they accounted for only 45% of the total.

The contribution of the top five in the same period increased by 14 percentage points and amounted to 47% against 33% 10 years ago. Experts also compared data on a wider list of chip makers, including 25 and 50 largest semiconductor companies. If in 2008 they accounted for 68% and 82% of all revenue in the industry, the volume of which amounted to $365.2 billion, then in 2018 the indicators increased to 79% and 89%, respectively.

2017

How Japan lost the chip market

Over the past 27 years, the global semiconductor market has undergone significant changes in terms of the contribution of various regions to the total turnover. If in 1990 the most influential participants in the industry were chipmakers from Japan, then in 2017 the dominant role was transferred to companies from North America and the Asia-Pacific region. This was reported in the IC Insights study of April 11, 2018.

Regional Contribution to Total Chip Market Sales, 1990-2017, IC Insights Data

According to experts, sales in the semiconductor market in 2017 amounted to $444.7 billion. Almost half of this amount, 49%, was provided by North American chipmakers. An analysis of the dynamics in the region over the past 27 years showed that the smallest contribution to the revenue of companies from North America was made in 1990, when their share was 38%, but since 1995 the figure has been around 50%.

At the same time, Japanese chipmakers have experienced a real collapse. Their share in revenue decreased from 49% in 1990 to only 7% in 2017. During this period, representatives of the Land of the Rising Sun such as NEC, Hitachi, Mitsubishi, and Matsushita dropped out of the ranking of leading chip suppliers, compiled annually by IC Insights. Given the upcoming sale of Toshiba Memory to a consortium led by the American investment fund Bain Capital, analysts predict a further reduction in the presence of chipmakers from Japan.

Shares of Leading Chipmakers in Global Semiconductor Revenue, IC Insights Data

Experts call their South Korean competitors the main culprits of the decline of Japanese manufacturers, which in the study are represented in a subgroup of vendors from the Asia-Pacific region. From 1990 to 2017, the share of the latter in global semiconductor revenue increased from 4% to 38%.

European companies' contribution to global chip sales for much of the period under review hovered around 9%, but fell to 6% in 2017.

Analysts also noted a trend towards an increase in the market share of leading chipmakers. If in 2007 the 5 largest semiconductor companies controlled 33% of revenue, then 10 years later the figure reached 43%. A similar trend among vendors from the top 10, top 25 and top 50.[44]

Record growth rate over 14 years

In 2017, two significant events took place on the global semiconductor market at once. The total revenue of chipmakers increased by 21.7%, which was the most significant increase in the last 14 years. In addition, the industry leader has changed: instead of Intel, which has permanently headed the list of the largest chipmakers for a quarter of a century, South Korean Samsung has risen to the first line. This was reported in a report by IHS Markit, published on March 28, 2018.

According to analysts, the global sales of semiconductor products in 2017 amounted to $429.1 billion, while in 2016 the figure was at the level of $352.6 billion. Among the product categories, the memory chip segment became the record holder in terms of growth rates, where experts registered an increase of 60.8%. In particular, sales of DRAM products last year increased by 76.7%, and for NAND Flash chips the increase was 46.6%. Analysts stressed that this is the most significant progress in the last 10 years, adding that revenue growth came amid rising prices and increased demand amid limited supplies.

Major chipmakers, data from IHS Markit

Experts also noted that excluding the memory segment, the semiconductor market in 2017 grew by 9.9%. Positive dynamics was observed in all types of products and in all regions of the world.

SK Hynix and Micron distinguished themselves among vendors, whose semiconductor revenue increased by 81.2% and 79.7% compared to the previous year. In the top 10 list, companies took third and fourth places with results of $26.6 and $22.8 billion, which corresponds to shares of 6.2% and 5.3%.

At the head of the rating is Samsung, whose chip sales increased by 53.6%, to $62.03 billion, which became an absolute record for the South Korean company and allowed it to break into the industry leaders. Intel finished second with $61.4 billion in revenue. In percentage terms, Samsung and Intel's contribution to global semiconductor sales was estimated at 14.5% and 14.3%.[45]

2016

Recovery Course - IHS Data

On March 30, the analytical company IHS Markit published a press release in which it announced the results of 2016 in the global semiconductor market. It is noted that after the recession that was observed in the industry a year earlier, the chip industry headed for recovery. Global semiconductor revenue amounted to $352.4 billion, which is 2% more than in 2015, when the figure was at the level of $345.6 billion.

Market growth was provided by DRAM and NAND flash memory chips: in this direction, analysts registered a rise of more than 30% in the second half of 2016. The stimulating factors were limited supplies and high demand, combined with higher prices. In 2017, the listed trends are expected to continue and again contribute to record revenue in the memory chip segment.

Biggest chipmakers by revenue, IHS data

Another fast-growing focus of the semiconductor market was chips designed for use in automobiles. Sales of such chips increased by 9.7% on an annualized basis, experts calculated, adding that every year the automotive industry uses more semiconductor products such as microprocessors and integrated circuits.

Among vendors, Intel remains the leader in revenue in the semiconductor industry. In 2016, the processor giant increased sales by 6.9%, earning almost $55 billion on chips. Samsung Electronics, Qualcomm, Broadcom Limited and SK Hynix also entered the top 5.

In addition, the study reports that Qualcomm ranked first in terms of sales among the so-called fabless companies - "faceless" chipmakers that do not have their own production facilities. The top 3 in this category also includes Taiwanese mobile SoC developer MediaTek and leading GPU maker Nvidia.[46]

Growth by 1.5% to $339.7 billion. Intel and Samsung lead the way

Global chip sales rose 1.5% in 2016. At the same time, the market has become more consolidated, according to a study published by Gartner on January 18, 2017.

According to experts, in 2016 the volume of the global semiconductor market reached $339.7 billion against $334.8 billion a year earlier.

According to Gartner, the 25 largest chipmakers recorded 75.9% of the global chip market in 2016, which is 7.9 percentage points more than in 2015. There was one change in the top three: Qualcomm ahead of SK Hynix and climbed to third position. Intel and Samsung Electronics remained the leaders.

The largest chipmakers in 2015 and 2016, data from Gartner
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After a poor start to the year, which is characterized by inventory sales, there was a surge in the second half of the year caused by an increase in product volume, improved demand and the price situation, says senior analyst at Gartner Adriana Blanco. - Overall, semiconductor revenue was higher in the second half of the year than in the first, reflecting a stronger memory market and continued inventory increases, as well as increased purchases of the Apple iPhone 7 and the impact of the New Year's season.
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For the NAND flash and DRAM memory segments, the beginning of 2016 was accompanied by overproduction and falling prices. By the middle of the year, there was already a shortage of products, and prices rose significantly.

The semiconductor industry is traditionally influenced by the economic situation in the world. In 2016, the euro was quite stable against the dollar, while the yen strengthened significantly. Britain's decision to leave the European Union did not have a strong impact on the global chip market, although the sterling rate sank significantly, which led to an increase in the price and a drop in demand for IT equipment in the country, the study said.[47]

2015: Sales cut 1.9% to $333.7 billion

In 2015, global semiconductor sales reached $333.7 billion, which is 1.9% lower than in 2014, when its volume in monetary terms was recorded at $340.3 billion, Gartner reports. The actual result turned out to be better than the forecast made by the company in January 2015. Then the reduction was expected by the 5.4 percent[48].

According to analysts, the negative dynamics is due to a decrease in demand for major electronic parts, an increase in the dollar exchange rate and increased warehouse balances.

However, the decline in sales did not affect all categories - optoelectronic components, neoptic sensors, analog components and specialized integrated circuits (ASIC) showed positive dynamics.

The largest growth was demonstrated by the ASIC segment thanks to demand from Apple. Sales of ASIC products increased by 2.4% in 2015. In turn, sales of analog components and neoptic sensors rose 1.9% and 1.6%, respectively.

The first and second places in terms of revenue from the sale of semiconductors were retained by Intel and Samsung Electronics, respectively. SK Hynix climbed from fifth place to third. Qualcomm went down from third to fourth. The fifth place was taken by Micron Technology, which in 2014 was in fourth position. Thus, the first five survived in composition, although some permutations occurred.

2014: Sales up 8% to $340 billion

According to Gartner, sales of semiconductor products used in all categories of electronic devices increased by 8% in 2014, revenue amounted to $340 billion. Intel remains the leader, which, after two years of declining revenues, has returned to the path of growth. Intel has been leading for 23 years in a row, its market share is 15%. Gartner attributes Intel's success to the recovery of the PC industry, in which chip sales grew 8% to $52 billion.

In second place in terms of income is the company Samsung with $34 billion and a market share of 10%. At the same time, in terms of growth rates in the period 2013-2014, the South Korean company was almost twice ahead of Intel - 13%.

In third place comes Qualcomm with an income of $19 billion, the growth compared to 2013 is 12%, but the company's market share is noticeably inferior to the leaders - 6%. The aggregate income indicator of the first 25 manufacturers with a market share of 72% (against 70% in 2013) increased by 12%.

If you look at market segments, memory manufacturers performed best for the second year in a row, showing an increase of 17%. Their income amounted to $46 billion, exceeding the previous 1995 record of $41.8 billion.

2012

IDC: Market shrinks 2.2%

In May 2013, IDC[49] released data according to which the global semiconductor market in 2012 decreased by 2.2% to $295 billion. The weakness of the industry is due to a dramatic decline in sales in the directly related personal computer market, which has been observed for several quarters and especially intensified in the second half of 2012.

The release of Windows 8 spurred purchasing activity, but not as much as vendors hoped. In addition, Asian brands continued their policy of lowering product prices and producing competitive and budget device models, which did not contribute to market growth. However, IDC believes that in 2013 the semiconductor market will be able to show 3.5% more revenue than a year earlier.

The IDC study involved more than 120 semiconductor manufacturers, and most noted a decline in revenue in 2012. Only 17 companies with revenues of a billion dollars or more were able to achieve revenue growth of 5%. Among the 25 largest companies, only 7 showed positive dynamics, among them Qualcomm, Broadcom, NXP, Nvidia (Nvidia), MediaTek, Apple and Sharp Electronics. AllWinner, manufacturers of tablet processors, posted the largest revenue gain in 2012.

The market leader is Intel, but its revenue in 2012 in annual comparison decreased by 3% to $50 billion. The business of Samsung, the second largest player, sank 6%. In comparison, Qualcomm's revenue in third place grew 34% to $13.2 billion, largely due to the success of a smartphone processor called Snapdragon in the market.

Supplier number four (by revenue in 2012 Texas Instruments), also reduced revenue by 6%. The company closes Toshiba the top five, whose revenue decreased by 13% compared to 2011.

The study also says that the top 10 vendors in 2012 accounted for 52% of the global semiconductor market, and the first 25 companies earned a total of $206 billion, which is 3% less in annual terms.

Gartner: Market shrank 2.6%

The global semiconductor market reached $299.9 billion in 2012, 2.6% lower than 2011, according to Gartner[50]. At the same time, although the market as a whole showed negative dynamics, among the top 25 vendors there were those whose business, on the contrary, grew. However, the total revenue of the 25 largest players in the market sank even more than the market itself - by 2.8% in 2012. Their overall market share declined to 68.9% from 69% in 2011.

The thing is, analysts believe that the markets, traditionally drivers of processor sales growth, themselves experienced significant problems in 2012: these are the markets for computer, wireless, consumer electronics and others.

Top 10 semiconductor suppliers by revenue, 2012, $ million

Ranking 2011 Ranking 2012 Vendor Revenue 2011 Revenue 2012 Growth 2011-2012,% Share 2012,%
1 1

|Intel

50669 49089 -3,1 16,4
2 2 Samsung 27764 28622 3,1 9,5
6 3 Qualcomm 9998 13177 31,8 4,4
4 4 Texas Instruments 11754 11111 -5,5 3,7
3 5 Toshiba 11769 10610 -9,8 3.5
5 6 Renesas Electronics 10650 9152 -14,1 3,1
8 7 SK Hynix 9388 8965 -4.5 3
7 8 STMicroelectronics 9635 8415 -12,7 2,8
10 9 Broadcom 7160 7846 9,6 2,6
9 10 Micron Technology 7643 6917 -9,5 2,3
Others 151343 146008 -3,5 48,7
Total 307773 299912 -2,6 100

Gartner, 2013

In 2012, Intel posted a record 3.1% decline in revenue compared to 2011 due to a decline in PC sales. Still, that hasn't stopped the company from maintaining its leadership in a market it has owned for 21 consecutive years. The company's share in 2012 was 16.4% compared to 16.5% in 2011.

The company became the second in terms of revenue from semiconductor sales Samsung with 9.5%. Qualcomm (4.4%), (Texas Instruments 3.7%) and (Toshiba 3.5%) also entered the top five. Separately, analysts noted the successes that Qualcomm managed to advance from 6th to 3rd place in a year. Among the top 25 players in 2012 are companies. showed the maximum revenue growth - by 31.8%. Samsung and Broadcom also demonstrated positive results.

Japan industry crisis

Main article: Electronics industry in Japan

The Japanese semiconductor industry continues to develop in a downward spiral as competition increases from manufacturers from countries such as Taiwan, South Korea and the United States, according to research firm IC Insights.

Sales of semiconductor products at manufacturing facilities in Japan by vendors such as Toshiba, Renesas Electronics, Sony and Fujitsu decreased by 16% in the second quarter of 2012 compared to the first quarter of the same year.

The weak position of Japanese chip manufacturers is associated with a general system crisis in the computer memory market, in particular the NAND flash memory, which is used in smartphones and tablets, said Bill McClean, president and analyst at IC Insights.

Another negative factor for the Japanese microelectronic industry was the fact that Elpida will soon be acquired by Micron Technology. In early July 2012, this US company announced the imminent purchase of the bankrupt Elpida for $2.5 billion. Despite the fact that Elpida was the dominant company in the memory market during the 1980-1990s. The sale of Elpida means the departure of Japanese manufacturers from the DRAM market, since Toshiba left this business 10 years ago.

Sales of the largest Japanese semiconductor manufacturer, Toshiba, amounted to $2.4 billion in the second quarter of 2012, down 26% compared to the first quarter. At the same time, Toshiba is the sixth largest semiconductor manufacturer in the world after Intel, Samsung, TSMC (Taiwan Semiconductor Manufacturing Co.), Texas Instruments and Qualcomm.

To somehow repel the blow, Toshiba plans to reduce NAND production by 30%. In addition, the company makes integrated components, sensors and other chips whose sales were not so seriously affected, the study said.

In contrast, competing vendors from other countries, such as South Korea's Samsung Electronics and Taiwan's TSMC, are showing significant progress in the semiconductor market, with 100% production capacity and business showing serious growth. In particular, TSMC sales amounted to $4.3 billion and increased by 22% in the second quarter of 2012 compared to the first quarter of the same year.

While sales of Renesas semiconductors, Japan's second-biggest player and the world's seventh-largest, fell 10% in the first quarter of 2012. Semiconductor sales at Fujitsu - fell 23%, while Sony - rose 3%.

Despite the gloomy results of the first half of 2012, McClean believes that Japanese vendors have a good chance to rehabilitate themselves by the end of the year. A common positive for the industry is the imminent entry into the Windows 8 market, which can stimulate sales of smartphones and tablets, as well as the potential success of ultrabooks.

In general, in the world, semiconductor sales in the first half of 2012 reached $105 billion, the forecast for the third quarter is 5% growth compared to the second quarter. According to the results of the second quarter, Intel was named the world's leading player with revenue of $12.4 billion, its revenue growth compared to the first quarter was 5%.

According to the international Semiconductor Industry Association (SIA), in August 2012, global semiconductor sales reached $24.30 billion, which is only 0.1% more than in July, when all kinds of chips were sold by $24.27 billion. However, compared to August 2011, when sales amounted to $25.1 billion, this figure decreased by 3.2%.

From the beginning of 2012 to August, inclusive, total sales, according to SIA, were at the level of $189.46 billion, and this is 4.6% lower than the same indicator for the previous year.

August annualized figures and sales for the 8 months of this year decreased in all regions of the world, with a slight decrease in the Asia-Pacific region and Japan, and a more significant drop was recorded in Europe and both American continents.

However, in August relative to July, sales on the American continents increased by 1% (for the first time since April 2012). In Japan, sales also increased by 1% in August, but in Europe they fell by 1.9%. According to SIA analysts, the situation in the United States may improve after the elections in November, when the uncertainty in business will be somewhat removed.

Unfulfilled forecasts

After the first quarter of 2013, leading analytical companies summed up the final results of the semiconductor market for 2012. So, the IDC calculated that in 2012 it decreased by 2.2% to $295 billion, Gartner also recorded a decrease of 2.6% to $299.9 billion.

Since the computer technology market, adjacent to the semiconductor market, experienced a permanent crisis in 2012, until recently there was an intrigue about how much depressive this circumstance will have on the chip manufacturing market, which is an important part of the IT industry in North America and Asia.

As a result, among the previously published forecasts for 2012, not a single one hit the point. Moreover, analysts at IHS iSuppli in December 2012 hoped that the market would decline by 2.3% to $303 billion, and even earlier, in August, they promised only a 1.7% decrease in market volume. By the end of the year, hopes for a fix were fading. Be that as it may, IHS iSuppli's forecast for the chip market for 2013 remains more than optimistic - an increase of 9% by 2013.

Interestingly, in mid-2012, even Gartner published a forecast according to which the global chip market will reach $316 billion in 2012, which is 4% more than 2011. Global capital expenditures on semiconductors, according to Gartner forecasts, in 2012 will amount to $35.2 billion, which is 19.2% lower than in 2011 - $43.5 billion. The updated data on capital expenditures have not yet been made public.

According to Klaus' Rinnen, Managing Vice President of Gartner, the decline in volumes will be observed in all sub-segments of the market. And while the race in the 28 nanometer (nm) format will continue, the costs of the 45-90 nm technology will be reduced. For example, this will be due to less than previously expected growth in the production of tablets and other devices.

Global Semiconductor Capital Expenditures, 2009-2015, million dollars


Gartner, 2011

Capital expenditures on equipment in the field of global semiconductor production in 2012 are expected to amount to $51.7 billion, which is 19.5% less than the projected costs at the end of 2011 - $64.2 billion, the analytical company Gartner concludes.

Capital expenditure dynamics in the global semiconductor industry

 

2010

2011

2012

2013

2014

2015

Semiconductor Industry Capex (US $ Million)

56,526.2

64,242.7

51,706.5

61,624.5

63,549.4

60,966.0

Growth

118.4%

13.7%

  • 19.5%

19.2%

3.1%

  • 4.1%

Major Equipment (US $ MM)

40,639.1

43,200.0

34,010.5

42,528.9

43,893.6

41,664.5

Growth

142.7%

6.3%

  • 21.3%

25.0%

3.2%

  • 5.1%

WFE Equipment (US $ MM)

31,624.7

34,729.6

26,764.0

33,119.3

34,729.9

31,886.4

Growth

145.5%

9.8%

  • 22.9%

23.7%

4.9%

  • 8.2%

Test Automation Equipment (US $ MM)

2,859.8

2,688.3

2,245.4

3,096.4

3,002.3

3,169.8

Growth

148.7%

  • 6.0%

  • 16.5%

37.9%

  • 3.0%

5.6%

Other Expenses (US $ MM)

15,887.0

21,042.7

17,696.0

19,095.6

19,655.7

19,301.5

Growth

73.9%

32.5%

  • 15.9%

7.9%

2.9%

  • 1.8%


Gartner, 2011

According to Gartner data presented in the table, in 2012 the decline will affect all segments without exception, and already in 2013 none of them will develop with a minus sign. Although already in 2014-2015, minor downward fluctuations may occur in a number of segments.

The decline in the semiconductor market is forecast by Gartner to take the rest of this year and the first half of next year. After that, supply and demand are balanced due to the stabilization of the economy. Already in 2013, capital expenditures on semiconductors are expected to increase by 18.4%. In 2014 - an increase of 2.4%, and in 2015 - a new decline, but not as sharp as in 2012 (5.1%).

2011

Market growth 3.7% to $301 billion - IDC

Despite the unstable economic situation in the United States and European countries, earthquakes and tsunamis in Japan, flooding in Thailand, the global semiconductor market in 2011 grew by 3.7% to $301 billion, IDC said. The main reasons for the increase in revenue of component base manufacturers are the increased demand for a variety of electronic devices: smartphones, tablets, laptops, servers, automated infotainment systems. In 2012, according to IDC, growth may be even more - from 6% to 7%.

The first place with revenues of $51.8 billion is occupied by Intel. The semiconductor giant during 2011 managed not only to increase earnings, but also increased market share by 3%. The second place is occupied by Samsung - the revenues of the Korean manufacturer reached $29 billion. The top five is closed by Texas Instruments, Toshiba and Renesas Electronics.

The results of the IDC are the same as previously published data from the reports of Gartner and IHS Markit (formerly IHS Inc. and Markit Ltd.) iSuppli. Research companies celebrate Intel's success in a number of areas - the vendor has made good money selling components for PCs and servers and flash memory. The $1.4 billion acquisition of Infineon Technologies' mobile chip division also benefited the corporation.

This year, Intel intends to clearly identify its presence in the segment of compact mobile devices. So far, the vast majority of smartphones and tablets run on ARM Holdings architecture processors, which Qualcomm, Samsung, Texas Instruments and Nvidia (Nvidia) have significantly succeeded in producing. Intel has already taken the first step along this path - on April 23, Lava International introduced the XOLO X900 smartphone on the Indian market, built on the Intel Atom Z2460 platform (codenamed Medfield).

The recently officially unveiled new Ivy Bridge platform will obviously find application not only in ultrabooks - Intel's popularized variety of very thin and light laptops - but also in tablets.

IHS iSuppli Forecast

In September 2011, research firm IHS iSuppli projected that the global semiconductor market would grow by 2.9% compared to 2010. Two months later, analysts lowered their forecast by more than half to 1.2% year-on-year.

Dale Ford, vice president of iSuppli, said global manufacturers' third-quarter revenue was strong enough - 3.5% above similar second-quarter numbers. And in the last three months of 2011, the revenue of vendors is expected to decrease by 2% compared to the third quarter.

At the same time, according to Ford, even a slight increase of 1.2% at the end of the year is good news for the market, more psychologically, since the decline, and quite serious, was expected in the third quarter, and vendors were simply afraid of failed results at the end of the year.

The main difficulties in the market arose in March 2011, when the computer chip industry came under the influence of the consequences of the devastating earthquake and tsunami in Japan. Then the production capacities of many manufacturers, as well as the transport infrastructure, suffered. A few months after the disaster, most production was moved outside the affected area, so that the situation began to gradually improve.

According to iSuppli, the main segment that pulls down the entire semiconductor market is the memory device segment - DRAM, SRAM and NOR. Revenues from Flash memory sales will decrease by 15% at the end of this year. Analysts expect that in 2012 the situation in this segment will not change.

Meanwhile, there is good news. They concern microprocessors, image sensors and some other devices. In these segments, manufacturers' revenue in 2011 is projected to grow by more than 15%.

Zeus Kerravala, lead analyst at ZK Research, agrees with iSuppli's findings, although he believes economic hardship will continue to impact this market globally in 2012. 'The difficult times are not going to end. Europe is a mess. In the United States, IT spending goes down sharply, "he said.

According to Kerrawal, the semiconductor market usually acts as an indicator of the state of macroeconomics. In his opinion, the beginning of 2012 will be "weak" for manufacturers.

See also

Semiconductor lasers

Notes

  1. ↑ Global Annual Semiconductor Sales Increase 25.6% to $791.7 Billion in 2025
  2. ↑ Gartner Says Worldwide Semiconductor Revenue Grew 21% in 2025
  3. ↑ Mixed Signal System-on-Chip (MxSoC) Market Size, Share & Industry Analysis
  4. ↑ Mobile Phone Semiconductor Market Size, Share & Industry Analysis
  5. ↑ System-on-Chip Market Size, Share & Industry Analysis
  6. ↑ AI powers record 2024 revenue, but automotive and industrial struggles linger says Omdia
  7. ↑ Power Management IC Market Size, Share & Industry Analysis
  8. ↑ Semiconductor Foundry Market Size, Share & Industry Analysis
  9. ↑ Sensor Market Size, Share & Industry Analysis
  10. ↑ RF Semiconductor Market Size, Share & Industry Analysis
  11. ↑ Data Center Chip Market Size, Share & Industry Analysis
  12. ↑ Chiplets Market Size, Share & Industry Analysis
  13. ↑ Battery Management IC Market Research Report
  14. ↑ Global Semiconductor Sales Increase 19.1% in 2024; Double-Digit Growth Projected in 2025
  15. ↑ Mobile Phone Semiconductor Market Research Report
  16. ↑ Gartner Says Worldwide Semiconductor Revenue Grew 18% in 2024
  17. ↑ Communication Logic Integrated Circuit Market Research Report
  18. ↑ Memory Chip Market Research Report
  19. ↑ Wireless Charging IC Market Size, Share|Growth Report [2032]
  20. ↑ 5G Chipset Market Size, Share & Industry Analysis, By Type
  21. ↑ Human Identity Chips Market Research Report
  22. ↑ Semiconductor Device in Consumer Industry Market Research Report
  23. ↑ Foundry Service Market Research Report
  24. ↑ New Omdia Research Reveals 2023 Semiconductor Market Revenue Down 9% From 2022
  25. ↑ Global Semiconductor Sales Decrease 8.2% in 2023; Market Rebounds Late in Year
  26. ↑ Gartner Forecasts Worldwide Semiconductor Revenue to Grow 17% in 2024
  27. ↑ Gartner Forecasts Worldwide AI Chips Revenue to Reach $53 Billion in 2023
  28. ↑ Worldwide Semiconductor Foundry Market Grew 27.9% YoY in 2022, Projected to Decrease by 6.5% YoY in 2023 due to Inventory Adjustments, IDC Finds
  29. ↑ semiconductor industry outlook ', Deloitte, accessed April 2, 2023 (available through VPN).
  30. ↑ Gartner Says Worldwide Semiconductor Revenue Grew 1.1% in 2022
  31. ↑ Amid Rising Volume and Pricing, Top 10 IC Design Companies Post 2021 Revenue Topping US$100 Billion
  32. ↑ Global Semiconductor Sales, Units Shipped Reach All-Time Highs in 2021 as Industry Ramps Up Production Amid Shortage
  33. ↑ Gartner Says Top 10 Semiconductor Buyers Increased Chip Spending by 25.2% in 2021
  34. ↑ Semi Capex on Pace for 34% Growth in 2021 to Record $152.0 Billion
  35. ↑ Worldwide Semiconductor Revenue Grew 10.8% in 2020 to $464 Billion, Growth Will Accelerate This Year Despite Market Shortages, According to IDC
  36. ↑ Global Semiconductor Materials Market Sets New High of $55.3 Billion With 5% Expansion in 2020, SEMI Reports
  37. ↑ Worldwide Semiconductor Revenue Grew 5.4% in 2020 Despite COVID-19 and Further Growth Is Forecast in 2021, According to IDC
  38. ↑ Gartner Says Worldwide Semiconductor Revenue Grew 7.3% in 2020
  39. ↑ Fabless Company Share of IC Sales to Set New Record in 2020 at 32.9%
  40. ↑ Intel shines amidst the carnage of the 2019 semiconductor market
  41. ↑ Global Memory Chips Market Report 2020 - Featuring Sony Corporation, Toshiba & SK Hynix Among Others - ResearchAndMarkets.com
  42. ↑ Semiconductor industry had the worst year since 2001
  43. ↑ Semiconductor Unit Shipments Exceeded 1 Trillion Devices in 2018
  44. ↑ Semiconductor Leaders’ Marketshares Surge Over the Past 10 Years
  45. ↑ With its Highest Growth Rate in 14 Years, the Global Semiconductor Industry Topped $429 Billion in 2017, IHS Markit Says
  46. ↑ 2016 Marks Year of Recovery for Global Semiconductor Market, IHS Markit Says
  47. ↑ Gartner Says Worldwide Semiconductor Revenue Grew 1.5 Percent in 2016
  48. ↑ global semiconductor market rushed down
  49. ↑ Worldwide Semiconductor Market Contracted 2.2% in 2012 to $295 Billion - IDC Expects 3-4% Revenue Growth in 2013
  50. ↑ Worldwide Semiconductor Revenue Declared 2.6 Percent in 2012
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