Semiconductor sales of $526.8 billion last year were 8.2% down on  2022’s  record-breaking total of $574.1 billion, says the SIA, which forecast a sales rise of  13% this year to almost $600 billion.

Q4 sales of $146 billion were up 11.6% y-o-y and 8.4% m-o-m..

“Global semiconductor sales were sluggish early in 2023 but rebounded strongly during the second half of the year, and double-digit market growth is projected for 2024,” says SIA CEO John Neuffer, “with chips playing a larger and more important role in countless products the world depends on, the long-term outlook for the semiconductor market is extremely strong. Advancing government policies that invest in R&D, strengthen the semiconductor workforce, and reduce barriers to trade will help the industry continue to grow and innovate for many years to come.”

Europe was the only regional market that experienced annual growth in 2023, with sales there increasing 4.0%. Annual sales into all other regional markets decreased in 2023: Japan (-3.1%), the Americas (-5.2%), Asia-Pacific/All Other (-10.1%), and China (-14.0%). Sales for the month of December 2023 increased compared to November 2023 in China (4.7%), the Americas (1.8%), and Asia Pacific/All Other (0.3%), but decreased in Japan (-2.4%) and Europe (-3.9%).

Several semiconductor product segments stood out in 2023. Sales of logic products totaled $178.5 billion in 2023, making it the largest product category by sales. Memory products were second in terms of sales, totaling $92.3 billion. Microcontroller units (MCUs) grew by 11.4% to a total of $27.9 billion. And sales of automotive ICs grew by 23.7% year-over-year to a record total of $42.2 billion.