The semiconductor sector reaches an all-time high in 2024 with a growth of 19.1%

The Semiconductor Industry Association (SIA) announced today that global semiconductor sales reached $627.6 billion in 2024, marking a 19.1% increase compared to $526.8 billion recorded in 2023. This growth makes 2024 the highest revenue year in the industry’s history, surpassing the $600 billion barrier for the first time.

The figures, compiled by the World Semiconductor Trade Statistics (WSTS), also show a 17.1% increase in fourth-quarter sales for 2024 ($170.9 billion) compared to the same period in 2023, and a 3.0% rise compared to the third quarter of 2024. However, December 2024 sales ($57.0 billion) experienced a slight decline of 1.2% compared to November of the same year.

Uneven Regional Growth

Regionally, annual sales showed mixed results. The Americas led the growth with a 44.8% increase, followed by China (18.3%) and the Asia Pacific/Others region (12.5%). Conversely, Japan experienced a decline of 0.4%, and Europe saw a drop of 8.1%. In December, monthly sales only increased in the Americas (3.2%), while they decreased in Asia Pacific/Others (-1.4%), China (-3.8%), Japan (-4.7%), and Europe (-6.4%).

Optimistic Projections for 2025

John Neuffer, SIA President and CEO, emphasized that “the global semiconductor market had its best year in 2024, surpassing $600 billion in annual sales for the first time, and double-digit growth is projected for 2025.” Neuffer stressed that semiconductors are essential for modern technologies such as artificial intelligence, medical devices, communications, defense applications, and advanced transportation, among others.

Moreover, he noted that the United States is on track to triple its chip manufacturing capacity by 2032, which will strengthen supply chains and help meet growing global demand. “To maintain leadership in semiconductor technology, leaders in Washington must promote policies that encourage production and innovation, strengthen the high-tech workforce, and restore the U.S. commercial leadership,” he added.

Logic and Memory: The Highlighted Segments

In 2024, logic products led sales with a total of $212.6 billion, followed by memory products, which saw a 78.9% growth, reaching $165.1 billion. Within the latter segment, DRAM products recorded the highest percentage increase, with an 82.6% rise.

A Promising Future

The report highlights that, despite monthly and regional fluctuations, the long-term outlook for the semiconductor industry is extremely positive. With the ongoing rise of emerging technologies like AI and the push for domestic manufacturing in countries like the United States, the sector is well-positioned to maintain its growth in the coming years.

The SIA, which represents 99% of the U.S. semiconductor industry and nearly two-thirds of non-U.S. firms in the sector, continues to work with political and business leaders to promote policies that drive innovation and global competitiveness.

Semiconductor Sales in December 2024 (in billions of dollars)

Month-over-Month Comparison

Year-over-Year Comparison

Three-Month Moving Average

Source: Semiconductors.org