ESIA reports semiconductor market to grow in 2022, followed by a decline in 2023

Following a strong growth of 26.2% in 2021, WSTS forecast a total size of $580 billion for the worldwide semiconductor market in 2022, i.e., up 4.4%.

The WSTS forecast updated the growth estimation as inflation rises and end markets see weaker demand, especially those exposed to consumer spending. Some major categories are still expected to see double-digit year-over-year growth in 2022, led by analogue devices with 20.8%, sensors with 16.3%, and logic with 14.5% growth. Memory is expected to turn negative in the forecast and decline with 12.6% year over year.

In 2022, all geographical regions are seen to show double-digit growth except Asia-Pacific. The largest region, Asia-Pacific, is expected to decline 2.0%. The Americas region is expected to show growth of 17.0%, Europe 12.6%, and Japan 10.0%.

Worldwide semiconductor market is expected to decline slightly in 2023

For 2023, the global semiconductor market is projected to decline by 4.1% to $557 billion, driven by the memory segment. In this latest forecast, this category is projected to fall to $112 billion in 2023, dropping by 17% compared to the previous year. Some other major categories showing single-digit growth like optoelectronics, sensors, discretes and analogue.

All regions are expected to remain flat in 2023, only Asia-Pacific is estimated to decline by 7.5% year over year.

WSTS forecast summary