SAN FRANCISCO, Feb 5 (Reuters) – Increased demand for artificial intelligence (AI) and continued needs from the auto industry will help boost global chip sales this year, according to data released on Monday by the Semiconductor Industry Association (SIA).
The SIA forecasts a 13.1% increase in global chip sales for 2024, which should reach $595.3 billion (€554.03 billion), after a drop of around 8% in 2023.
Last year, weak demand for laptops and smartphones hurt chipmakers like Intel and Qualcomm.
Sales of so-called “logic” chips increased 1.1% to $178.5 billion, and those of memory chips fell 29% to $92.3 billion, according to the SIA.
However, the frenzy by tech giants to deliver products and services that deploy AI has sparked a surge in demand for advanced chips produced by Nvidia, with cloud computing companies seeking to bolster their ability to operate such software.
“AI is a very strong market and, in my opinion, if you look around there are a lot of positive things to see,” John Neuffer, chief executive of SIA, said in an interview with Reuters . (Reporting Max A. Cherney; French version Lina Golovnya, edited by Blandine Hénault)
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