Global chip industry set to hit $1.3 trillion by 2026
The global chip industry is on track to hit over $1.3 trillion in revenue by 2026, its fastest growth in 20 years, says Gartner.
What's fueling this? Mostly the huge demand for AI processing power and data centers, plus a sharp rise in memory chip prices.
It's the third year in a row of double-digit growth, showing just how central chips have become for powering all things AI.
Memflation may persist until late 2027
By 2026, about 30% of all chip revenue will come from AI semiconductors as tech giants pour money into smarter infrastructure.
These investments are set to jump more than 50%, driving up demand for GPUs and custom chips.
Meanwhile, memory prices (think DRAM and NAND flash) are soaring; Gartner calls it memflation, and warns that high costs could stick around until late 2027 or even impact non-AI tech through 2028.