Semi upswing in 2024

In this article, World Semiconductor Trade Statistics summarizes the findings of its latest market forecast which predicts 13.1 growth, largely fueled by the memory sector.

World Semiconductor Trade Statistics (WSTS) has published its latest semiconductor market forecast, generated in November 2023. Exceeding Spring projections with slightly better Q2 and Q3 results, WSTS has revised its forecast, anticipating a single- digit contraction in the global semiconductor market of 9.4 per cent in 2023. However, this is anticipated to be followed by a robust recovery, with an estimated growth of 13.1 per cent in 2024.

The updated market valuation for 2023 is now estimated at US$520 billion, marking a 9.4 per cent decline from the previous year.

Reflecting the stronger performance observed in the last two quarters, WSTS has revised its growth projections slightly upward, noting improvements in certain end-markets. For 2023, discrete semiconductors, primarily propelled by power semiconductors, are projected to experience a 5.8 per cent year-over-year growth.

However, all integrated circuit categories, including analog, micro, logic and memory, are anticipated to witness an 8.9 per cent decline compared to the previous year. The outlook for 2024 points to a vigorous upswing in the worldwide semiconductor market, with projections indicating a 13.1 per cent increase, reaching a valuation of US$588 billion. This growth is expected to be largely fueled by the memory sector, which is on track to soar to around US$130 billion in 2024, representing an upward trend of over 40 per cent from the previous year. The majority of other principal segments, including discrete, sensors, analog, logic and micro, are also expected to record single-digit growth rates.