RE149 Q1 2025 Market Insights V3 - Flipbook - Page 2
Semiconductor Industry Market Outlook
Global Semiconductor Manufacturing: Insights from Q1 & What’s Next
As we look ahead to the second quarter of 2025, the global semiconductor manufacturing industry is poised for continued
growth, driven by robust demand in artificial intelligence (AI) applications, high-bandwidth memory (HBM) chips, and strategic
investments by key industry players.
Market Growth Projections:
Revenue Growth
The global semiconductor market is forecasted to grow by 15% in 2025, with the memory segment expected to surge by over
24%, according to IDC report. This growth is primarily attributed to the increasing adoption of high-end products such as HBM3
and HBM3e, essential for AI accelerators.
Regional Performance:
The Americas and Asia-Pacific regions are anticipated to lead the industry’s expansion, with projected growth rates of 38.9%
and 17.5%, respectively, based on the Report of WSTS.
Key Industry Developments:
Micron Technology’s Upbeat Forecast: Micron projects higher-than-expected revenue for the upcoming quarter, driven by robust
demand for its HBM chips, which are crucial for AI systems. The company has reported that its HBM chip supply for 2025 is
already sold out, reflecting strong market demand.
Nvidia’s Significant Investment: Nvidia plans to invest around $500 billion over the next four years to enhance its electronics
supply chain, with a substantial portion earmarked for U.S. manufacturing. This strategic move aligns with efforts to mitigate
geopolitical risks and strengthen domestic production capabilities.
Samsung’s Pursuit of M&A Opportunities: Facing challenges in the AI sector, Samsung Electronics intends to engage in significant
mergers and acquisitions to bolster growth. The company acknowledges the need to regain competitiveness in the HBM market
and is exploring strategic initiatives to address this gap.
Passive Components Market:
Demand for passive components has surged by 55% compared to 2024, driven by increased industry requirements.
Manufacturers such as Vishay, AVX, TDK, Murata, and Rohm have experienced significant order growth, particularly for Rohm’s
product range. Supply chain constraints may lead to longer lead times for certain passive components.
Market insights
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