Bank of America raises growth forecasts for semiconductor and cybersecurity sectors

Bank of America has issued updated growth forecasts for both the semiconductor and cybersecurity sectors, driven largely by the expansion of artificial intelligence.

In the semiconductor industry, the bank raised its annual growth projection for the US chip sector to 18 percent through 2030, up from a previous estimate of 14 percent. The addressable market is expected to reach $3.2 trillion by 2030. This growth is fueled by increased demand for memory manufacturing equipment, server CPUs, and cloud investments, benefiting companies such as NVIDIA and AMD.

Regarding cybersecurity, Bank of America raised its price target for Okta to $200. Analysts suggest that the rise of autonomous AI agents creates a permanent need for identity providers to manage authentication, authorization, and monitoring. To address the governance risks associated with AI agents, Okta has joined the Blueprint Alliance alongside companies including AWS, Google Cloud, Salesforce, and CrowdStrike to develop a standardized architecture for managing AI identities.