Revenue in the semiconductor industry is expected to exceed $1 trillion for the first time this year.

On Friday, local time, February 6, the Semiconductor Industry Association (SIA) in the United States released a report stating that the semiconductor industry will achieve a record revenue of $1 trillion for the first time this year. SIA represents the majority of American chip companies. Its data shows that global chip sales will reach $791.7 billion by 2025, up 25.6% from the previous year. The organization predicts that global chip sales will increase by another 26% in 2026, reaching $1 trillion. SIA CEO John Neuffer stated that the milestone of reaching $1 trillion in the chip market will be achieved faster than previously expected, which is a positive signal for the entire business world. "When our industry grows, it means other industries will benefit exponentially," Neuffer said in an interview. "Our technology is the foundation of almost all key strategic industries, which is a pretty good fundamental signal." In terms of specific categories, the fastest growing and largest category of chips is logic chips produced by NVIDIA, AMD, and Intel. In 2025, sales of these chips increased by 39.9% to reach $301.9 billion. The second largest category is memory chips. Amid the supply and demand tension sparked by artificial intelligence (AI), the price of memory chips has risen sharply, with sales increasing by 34.8% to reach $223.1 billion. Tech companies like Google, Microsoft, and Meta are accelerating the construction of AI infrastructure, absorbing a large supply of memory chips, leading to a shortage in supply and an increase in prices of memory chips. In terms of regional distribution, the Asia-Pacific region, the Americas, and Europe saw growth, with only Japan experiencing a decline. Neuffer stated that the chip industry will continue to exhibit its typical cyclical fluctuations in the future, but the long-term upward trend is very clear. "Our industry has always been associated with fluctuations, and that will undoubtedly continue," he said. "But the 'cake' is constantly expanding." Neuffer revealed that during a recent visit to Silicon Valley, many executives of small and medium-sized chip companies expressed optimism about the outlook for 2026. "The general consensus I heard was, 'No one knows how much the development of AI infrastructure will progress in a year, but my orders are already fully booked,'" Neuffer said. "At least for the next year, we are still on a fairly, fairly robust growth trajectory."