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Gartner: Global semiconductor revenue to reach $705 billion by 2025

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February 7, 2025

February 7, 2025 /SemiMedia/ — According to market research firm Gartner, global semiconductor revenue is forecast to grow by 12.6% in 2025, reaching approximately US$705 billion. This growth follows an 18.1% surge in 2024, when semiconductor revenue climbed to US$626 billion, driven predominantly by escalating demand in artificial intelligence applications.

Market analysts emphasize that robust demand for AI technologies is propelling the semiconductor industry, with significant impacts across both storage and non-storage segments. In 2024, sales of data center application chips nearly doubled, reaching US$112 billion—a reflection of the increasing need for high-performance computing and AI acceleration.

Among semiconductor manufacturers, Samsung Electronics emerged as the leading supplier in 2024, posting an impressive 62.5% increase in annual sales. Intel trailed behind, while Nvidia nearly doubled its chip sales on the back of surging demand for AI acceleration chips, positioning itself among the top three suppliers.

Storage manufacturers also enjoyed strong performance. Both SK Hynix and Micron saw substantial revenue gains, largely driven by higher average selling prices for storage solutions. This trend is especially pronounced in high-bandwidth memory (HBM), which is critical for data center AI applications.

Gartner's analysis reveals that while non-storage revenue is projected to grow by 6.9% in 2024, storage revenue is expected to surge by 71.8%. Consequently, storage is set to account for 25.2% of the overall semiconductor market revenue in 2024, compared to 74.8% for non-storage.

Gartner analyst George Brocklehurst highlighted the pivotal role of storage and AI semiconductors in the near-term market expansion. HBM, in particular, is anticipated to capture an increasing share of DRAM revenue. By 2025, HBM revenue is expected to jump 66.3% year-over-year to reach US$19.8 billion.

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