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Home › MarketWatch › Global semiconductor market to reach $700.9 billion in 2025, driven by AI and memory growth
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Global semiconductor market to reach $700.9 billion in 2025, driven by AI and memory growth

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June 5, 2025

June 5, 2025 /SemiMedia/ — The global semiconductor market is expected to grow 11.2% in 2025 to reach $700.9 billion, according to the latest forecast released by the World Semiconductor Trade Statistics (WSTS) organization. The growth will be mainly driven by continued momentum in logic and memory sectors, fueled by rising demand from artificial intelligence, cloud infrastructure, and advanced consumer electronics.

WSTS noted that both logic and memory products are projected to see strong double-digit growth. Other segments such as sensors and analog devices will also contribute to overall market expansion, though at a more moderate pace.

However, not all segments are expected to grow. Discrete semiconductors, optoelectronics, and micro ICs are forecast to decline slightly, primarily due to ongoing geopolitical tensions and economic headwinds that are disrupting supply chains and dampening demand in specific applications.

Regionally, the Americas and Asia-Pacific are set to lead global growth with projected increases of 18.0% and 9.8%, respectively. Europe and Japan are expected to post more modest gains.

Looking ahead to 2026, WSTS forecasts a further 8.5% increase in the global semiconductor market, reaching $760.7 billion. Memory will remain the primary growth engine, with logic and analog components also contributing. All major regions are expected to expand, with the Americas and Asia-Pacific continuing to drive growth, and Europe and Japan strengthening their positions.

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