Recently, SEMI released its latest report, which shows that in the second quarter of 2024, global silicon wafer shipments achieved a quarter-on-quarter increase of 7.1% to 3.035 billion square inches (MSI), although this figure is still down from the same period last year (8.9%), but it has clearly shown a positive signal of market recovery.
Behind this growth, strong demand for data centers and generative AI products has become the main driver. With the acceleration of digital transformation and the advent of the era of big data, the construction and expansion of data centers, as the core infrastructure for data storage and processing, have surged, directly driving the demand for high-performance silicon wafers. At the same time, the rapid development of generative AI technology, especially the rise of large-scale language models such as ChatGPT, has reached unprecedented heights in terms of computing power and storage capacity, which has further stimulated the recovery of the silicon wafer market.
Notably, 300mm (or 12-inch) wafers performed well in the second quarter, with shipments up 8% sequentially, making it the fastest-growing category of any wafer size. The growth of wafers of this size not only reflects the strong demand for high-end semiconductor products, but also indicates that the semiconductor industry is moving towards higher technology and large-scale production.
Chart: Global silicon wafer shipment growth in Q2 2024
In addition, the report notes that more and more new semiconductor factories around the world are under construction, or are already in operation and gradually ramping up production. This round of semiconductor capacity expansion is not only a positive response to the current market demand, but also a bet on the long-term growth potential of the semiconductor market in the future. Mr. Chongwei Lee, Chairman of SEMI SMG and Vice President and Chief Auditor of GlobalWafers, said: "The semiconductor market is expected to reach $1 trillion in the long term, and this trend will undoubtedly drive the demand for silicon wafers to continue to grow.”
As a basic material in the semiconductor industry, the importance of silicon wafers is self-evident. It not only supports the development of the entire electronics industry, but also is a key force to promote scientific and technological progress and social change. With the continuous progress of technology and the continuous expansion of application fields, the silicon wafer market will usher in a broader space for development.
To sum up, the global silicon wafer market is gradually coming out of the trough after a period of adjustment, showing a strong recovery momentum. Growing demand for data centers and generative AI products has breathed new life into the market, while the expansion of semiconductor capacity has laid a solid foundation for the long-term growth of the market. In the future, with the continuous innovation of technology and the continuous enrichment of application scenarios, the silicon wafer market is expected to continue to maintain a growth trend and contribute to the prosperity and development of the global technology industry.
