Global chip sales are surging to record highs, underscoring a new growth cycle for semiconductors as demand from AI and tech giants accelerates worldwide.
Global semiconductor sales surged to a record level in November 2025, driven by demand across major product categories, as per the Semiconductor Industry Association (SIA).
The SIA said worldwide chip sales rose 29.8% year-over-year to $75.3 billion in November.
The global chip sales were 3.5% higher than October’s $72.7 billion.
SIA represents 99% of U.S. semiconductor revenue and nearly two-thirds of global chipmakers outside the U.S.
Outlook Points To $1 Trillion Market
John Neuffer, SIA CEO, said, “Looking ahead, the global chip market is projected to grow substantially in 2026, reaching nearly $1 trillion in annual sales.”
On a year-over-year basis, sales rose sharply in Asia Pacific/All Other regions by 66.1%, followed by the Americas at 23.0%, China at 22.9%, and Europe at 11.1%. Japan was the only major market to post a decline, with sales down 8.9% from a year earlier.
Month-to-month growth was also broad-based. Sales increased 5.0% in Asia Pacific/All Other, 3.9% in China, 3.0% in the Americas, and 1.2% in Europe, while Japan recorded a marginal 0.1% decline.
That optimism has been reinforced by the rising market influence of semiconductor leaders. Nvidia Corp. (NASDAQ:NVDA) became the first company to reach a $4.5 trillion market capitalization in 2025, surpassing Apple Inc. (NASDAQ:AAPL) and Microsoft Corp. (NASDAQ:MSFT), highlighting the sector’s growing dominance within global equity markets.
Analysts See Strong Momentum
Analysts say multiple tailwinds are aligning for the sector. Bank of America Securities analyst Vivek Arya said secular, cyclical, and pricing drivers are converging for U.S. semiconductors following meetings with more than a dozen management teams at CES in Las Vegas.
Arya said those discussions strengthened his confidence in an above-consensus forecast for 30% year-over-year growth and what he expects to be the industry’s first $1 trillion revenue year.
He cited strong demand visibility, AI-led secular growth, and pricing power, with particularly positive sentiment around Nvidia, Credo Technology Group Holding Ltd. (NASDAQ:CRDO), Microchip Technology Inc. (NASDAQ:MCHP), Analog Devices Inc. (NASDAQ:ADI), and Micron Technology Inc. (NASDAQ:MU).
He also noted that the PHLX Semiconductor Sector Index has gained about 45% over the past year, far outpacing the S&P 500.
On Nvidia, Arya highlighted projected 2026 R&D spending of $26 billion and demand visibility for roughly $500 billion in combined Blackwell and Rubin orders across 2025 and 2026, reiterating a Buy rating and naming it his top sector pick.
NVDA Price Action: Nvidia shares were down 0.38% at $184.33 at the time of publication on Friday, according to Benzinga Pro data.
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