Published: 02 May 2024
After an 11.7% decline in 2023, the semiconductor industry is entering a revenue recovery phase. Worldwide semiconductor revenue will grow 17.4% in 2024 and 13.7% in 2025 to cross the $700 billion milestone. Memory will lead 2024 growth at 70.5%, while nonmemory segments will grow at 6.2%.
Smartphone unit shipments will increase only 1.6% in 2024 due to continued weakness in consumers’ discretionary spending power.
After an oversupply for most of 2023, memory devices will remain undersupplied throughout 2024, with prices increasing almost 50% after declining by nearly half in 2023.
By 2028, driven by the shift from training to inference, more than 80% of workload accelerators deployed in data centers will be used to execute AI inference workloads, up from 40% in 2023.
Nonmemory semiconductor revenue in smartphones is reduced by $1.6 billion in 2024 and $1.1 billion in 2025. While total semiconductor growth remains
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Analysts:
Rajeev Rajput, Alan Priestley, Jon Erensen, Joseph Unsworth, Masatsune Yamaji, Nikita Singh, Shrish Pant
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