Global semiconductor sales have seen a massive rise with the advent of the AI hype, as SIA reports that total quarterly sales have reached up to $166 billion, marking a huge rise.
AI Hype & Consumer Demand Has Taken Semiconductor Sales To New Heights, Showing 23% QoQ Improvement
[Press Release]: The Semiconductor Industry Association (SIA) today announced global semiconductor sales were $166.0 billion for the third quarter of 2024, an increase of 23.2% compared to the third quarter of 2023 and 10.7% more than the second quarter of 2024. Global sales were $55.3 billion during the month of September 2024, an increase of 4.1% compared to the August 2024 total of $53.1 billion.
The global semiconductor market continued to grow during the third quarter of 2024, with quarter-to-quarter sales increasing at the largest rate since 2016. Sales in September reached the market’s highest-ever monthly total, driven by a 46.3% year-to-year increase in the Americas.
- SIA President and CEO John Neuffer
Monthly sales are compiled by the World Semiconductor Trade Statistics (WSTS) organization and represent a three-month moving average. SIA represents 99% of the U.S. semiconductor industry by revenue and nearly two-thirds of non-U.S. chip firms.
Regionally, year-to-year sales in September were up in the Americas (46.3%), China (22.9%), Asia Pacific/All Other (18.4%), and Japan (7.7%), but down in Europe (-8.2%). Month-to-month sales in September increased in Japan (5.3%), Asia Pacific/All Other (4.5%), the Americas (4.1%), Europe (4.0%), and China (3.6%).
[Journalist Note]: The massive plummet in semiconductor sales over the quarters of 2024 is indeed associated with how the AI industry is evolving, notably the increase in demand for computing power, which prompts manufacturers like NVIDIA to "push out" more products, ultimately fueling the need for semiconductors. Firms like TSMC have reported a steady rise in demand over the quarters, particularly for sub-3nm products, and given how the markets are evolving, it won't be wrong to say that the demand will continue to grow moving into 2025.
About the author: Muhammad Zuhair is a hardware and technology reporter for Wccftech, specializing in the semiconductor industry and the complex interplay between technology, manufacturing, and geopolitics. His coverage focuses on the corporate strategies and technological roadmaps of industry giants like TSMC, NVIDIA, Samsung, and Intel. Zuhair's expertise lies in deconstructing complex topics such as fabrication nodes (e.g., 2nm process), the economic impact of policies like the CHIPS Act, and the strategic development of AI infrastructure from NVIDIA, AMD and Intel.
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