Global semiconductor market to grow to $1.07 trillion at 5.08% by 2035

The global semiconductor market size is estimated to grow from USD 623 billion in 2025, to USD 1.07 trillion by 2035, at a CAGR of 5.08% during the forecast period, to 2035.

Semiconductor market growth and trends
The fourth industrial revolution, known as Industry 4.0, is transforming the operations of manufacturing, production, and businesses globally through the integration of intelligent computers and connected devices. Over time, there has been a growing global demand for electronic products, data center chips, integrated circuits, batteries, and more, aimed at simplifying human life.

As a result, manufacturers are continuously using silicon and other materials to create discrete semiconductors, which are essential components in electronic devices. Semiconductors, often referred to as wafer chips, play a vital role in today's world by forming the foundation of functionality for a range of consumer products, such as smartphones, televisions, and computers.

From construction to aerospace and the telecommunications sector, semiconductors are utilized across diverse fields; automotive technologies, such as stability control and traction control systems, employ advanced micro integrated circuits and memory integrated circuits to enhance vehicle safety and performance. An analysis of the global semiconductor industry reveals a strong recovery following the pandemic, after a difficult 2023, with the market growth forecast indicating a notable annual increase.

Major trends in the semiconductor market include:
* Growing demand fueled by generative AI.
* Integration of virtual reality into smart manufacturing.
* Cloud computing and cutting-edge automotive technologies that are anticipated to transform the semiconductor supply chain.

Moreover, the semiconductor market outlook for the current year indicates a positive climate for innovation and investment, as companies adjust to changing semiconductor technology trends and an increased reliance on logic integrated circuits.

Type of component

Based on the type of component, the global semiconductor market is segmented into memory devices, logic devices, analog ICs, MPU and others. According to estimates, currently, memory devices segment captures the majority share of the market.

However, fueled by the increasing demand for smart devices such as smartphones, smartwatches, and smart televisions, the market for analog ICs and other innovative semiconductor technologies is projected to experience a higher (CAGR) during the forecast period.

Technology used
Based on technology, the semiconductor market is segmented into MOSFET, FinFET, Gate-First, Gate-Last, 3D stacked and others. According to estimates, currently, metal oxide semiconductor field effect transistors(MOSFET) segment captures the majority share of the market.

However, due to the lower current leakage associated with fin-field effect transistors (FinFET), which enables them to function with reduced power consumption, the FinFET technology market is projected to experience a higher CAGR throughout the forecast period, creating new opportunities within the semiconductor supply chain.

Type of packaging
Based on type of packaging, the semiconductor market is segmented intoSystem-in-Package (SiP), System-on-Chip (SoC), System-on-Module (SoM), Chip-on-Board (COB), Chip-on-Flex (COF) and others. According to estimates, currently, system-on-chip (SoC) segment captures the majority share of the market.

However, due to the flexibility and customization optiopakans they offer, the market for SoP packaging is anticipated to experience a higher compound annual growth rate (CAGR) throughout the forecast period.

Memory devices
Based on type of memory devices, the semiconductor market is segmented into DRAM, SRAM, flash drives, ROM and others. According to estimates, currently, DRAMs segment captures the majority share of the market. However, due to the quicker data transfer rates provided by SRAM, the market for SRAM devices is anticipated to grow at a higher CAGR during the forecast period.

Application area

Based on application area, the semiconductor market is segmented into telecommunication, defense and military, industrial, consumer electronics, automotives and others. According to estimates, currently, semiconductors used in telecommunication devices captures the majority share of the market.

This can be attributed to the launch of 5G technology, which allows for high-speed data transmission with reduced latency among various cloud-connected devices.

Node size
Based on node size, the semiconductor market is segmented into 16/14nm, 10/7nm, 7/5nm, 65nm and others. According to estimates, currently, node size of 16/14nm captures the majority share of the market. However, owing to the growing demand for more compact transistor chips, the market for semiconductors sized at 7/5nm is projected to expand at a higher CAGR during the forecast period.

Fabrication material
Based on type of fabrication material, the semiconductor market is segmented into silicon, germanium and others. According to estimates, currently, silicon-based semiconductors captures the majority share of the market. This is primarily due to its ease of purification, its abundant availability, and the stability of the element's structure.