Driven by the rapid development of artificial intelligence (AI) technology, the global semiconductor market hit a new high of US$53.1 billion in sales in August, an annual increase of 20.6%, the largest increase since April 2022.

The Semiconductor Industry Association (SIA) of the United States reported that the Americas market performed outstandingly with an annual increase of 43.9%, becoming the main driving force, and the market is expected to continue to maintain strong growth in the future.

Global semiconductor sales in August increased by 20.6% from US$44 billion in the same period last year, the largest annual increase since April 2022. AI computing demand has driven demand in the chip market, especially in the fields of computing, memory and high-performance processors, and continues to inject momentum into the semiconductor industry.

By region, the Americas market performed well, with an annual sales increase of 43.9% in August, showing the rapid growth of North American companies' demand for AI and digital transformation, becoming the main driving force of the global market. The Chinese market followed closely with an annual increase of 19.2%, reflecting strong demand for AI and 5G applications. Sales in Asia Pacific (excluding China) and other markets increased by 17.1% year-on-year, and Japan increased by 2% year-on-year. In contrast, the European market was the only region to experience negative growth, with sales in August down 9% year-on-year.

In terms of monthly growth, global chip sales in August increased by 3.5% from $51.3 billion in July, recording growth for the fifth consecutive month. The Americas market had the highest monthly growth of 7.5%, followed by Japan at 2.5%, Europe at 2.4%, China at 1.7%, and Asia Pacific and other regions at 1.5%. This reflects the stability of semiconductor demand, with regional markets gradually recovering and continuing to grow.

According to the World Semiconductor Trade Statistics Association (WSTS), global chip sales are expected to reach $611 billion in 2023, up 16% from last year. Sales will further climb to $687 billion in 2024, and although the growth rate is expected to shrink to 12.5%, the growth trend of regional markets remains strong. The Americas and Asia Pacific are expected to grow by 25.1% and 17.5% year-on-year, respectively, indicating that AI and digital transformation will continue to drive demand. In contrast, the European market is expected to grow by only 0.5%, while Japan may see a 1.1% decline.

SIA President Nufo said that the strong growth of the global semiconductor market in August reflects the significant boost to chip demand from the continued development of AI technology, emphasizing that this is the first time since 2023 that all regions have seen monthly sales growth rates rise. As AI applications expand from cloud computing to self-driving cars, data analysis and other fields, semiconductor demand will remain strong in the coming quarters, especially in the Americas and Asia-Pacific markets. The continuous expansion of AI technology applications has driven the demand for semiconductors to soar, and the market outlook is optimistic.