Global semiconductor chip sales rose 19.1% to $627.6 billion in 2024 and growth is expected to grow double-digit percentages in 2025, according to a report by the Semiconductor Industry Association (SIA).
The SIA said the 2024 numbers hit a new record and compared to the 2023 total of $526.8 billion. The reason, of course, was spectacular demand for AI processors and memory, said John Neuffer, CEO of the SIA, the chip industry’s lobbying group, in an interview with GamesBeat.
The 19.1% actual growth was above the 13% forecast that the SIA made, and the 2024 growth compares to an 8.2% contraction in 2023. That’s a huge swing in demand thanks to AI. And it’s one reason why Nvidia is one of the most valuable companies in the world with a valuation of $3.15 trillion.
And in 2025, chip sales are expected to hit 11.2% growth, said Greg LaRocca, director of market research and economic policy at the SIA, in an interview. This is important for the economy as chips are the heart of everything electronic and are a vital part of the technology food chain.
The data comes at an important time in the national discourse, as President Donald Trump has pledged to place tariffs on semiconductor chips coming not only from China but also our ally Taiwan. While he took action against Mexico, China and Canada last weekend, he did not yet place tariffs on Taiwan or chips. (The Mexico and Canada tariffs were delayed 30 days).
John Neuffer, CEO of the Semiconductor Industry Association.
Jensen Huang, CEO of Nvidia, visited Trump last Friday at the White House to emphasize the importance of the semiconductor industry and U.S. leadership in AI. N …