The World Semiconductor Trade Statistics (WSTS) has communicated its latest projections for the global semiconductor market. The data collected present an encouraging scenario, highlighting robust growth expectations for 2024 and 2025. After the negative results of 2023 (-8.2% compared to 2022), last year the sector already saw signs of recovery that should continue in 2025.
2024: projections revised upward
WSTS has revised its 2024 projections upward, indicating a significant 19% year-over-year growth in the global semiconductor market. The market value is now estimated to reach $627 billion, reflecting the improved performance in the second and third quarter of 2024, particularly in the computing sector. Growth in the last year has been largely fuelled by two segments of the Integrated Circuit category: Memory, which is expected to increase by 81% compared to the previous year, and Logic, with a projected growth of 16.9%. Meanwhile, other categories like Discrete, Optoelectronics, Sensors, and Analog Semiconductors have seen declines (according to the forecast).
Regionally, the Americas and Asia Pacific led the recovery, with growth rates of 38.9% and 17.5%, respectively. In contrast, Japan is expected to post a modest growth of 1.4% and Europe a decline of 6.7%.
The positive trend should continue in 2025
The World Semiconductor Trade Statistics predicts a robust growth for the global semiconductor market in 2025, with an 11.2% increase compared to the previous year. This brings the market valuation to an estimated $697 billion. Considering the various products, growth will be driven predominantly by the Logic and Memory sectors. Together they are projected to exceed $400 billion in value (about $243 billion and $189 billion respectively). This includes a year-over-year growth of over 16% for Logic and 13% for Memory.
Observing the other products in the Integrated Circuit category, Analog Semiconductors are projected to totalize $83 billion (+4.7%). And the Micro products should reach almost $84 billion for an increase of 5.6% compared to 2024. According to the projections, the total value of the Integrated Circuit category will achieve $600 billion, a growth of +12.3% compared to the last year.
Other semiconductor categories are expected to grow at single-digit rates, signalling steady overall expansion for the industry. Sensors should reach $20 billion in 2025, an increase of 7% compared to 2024. While Discrete Semiconductors will achieve (according to the forecast) about $33 billion with a year-over-year growth of +5.8%. Finally, the Optoelectronics products are expected to increase to about $43 billion. This represents a growth of 3.8%.
As regards to the different regions, in 2025 Americas and Asia Pacific are projected to maintain their double-digit growth on a year-over-year basis. They should increase by +15.4% and +10.4% respectively. Besides, Japan is expected to post growth of 9.4%, while Europe should be the region with the lowest growth rate (+3.3%).
