Global semiconductor sales hit record high amid AI chip demand

AI chip demand global semiconductor sales TSMC profit record EDA market growth semiconductor equipment forecast

The Semiconductor Industry Association reported that worldwide semiconductor sales reached a record $120.6 billion in May 2026, up 9.2 % month‑on‑month and 104.1 % year‑on‑year. Growth was broad‑based, with the Americas, APAC (excluding China), China, Europe and Japan all posting double‑digit increases, driven by expanding AI‑related investments in high‑performance logic, memory and storage chips.

Taiwan Semiconductor Manufacturing Co. (TSMC) is expected to post a fifth straight quarter of record earnings, with net profit projected at T$632.6 billion (about $19.65 billion) – a 59 % jump – and revenue up 36 % as demand for its 3‑nm and 2‑nm AI chip processes and advanced packaging (CoWoS) remains strong. The company is also planning $165 billion of capital spending for new fabs in Arizona.

The global electronic design automation (EDA) and semiconductor IP market recorded $5.75 billion in revenue for Q1 2026, a 12.7 % year‑on‑year rise, with computer‑aided engineering up 15.5 % and semiconductor IP up 14.1 %. The Asia‑Pacific region led growth at 17.7 %.

Semiconductor manufacturing equipment sales are forecast to hit a record $165.9 billion in 2026, a 23.2 % increase, as AI‑driven chip production fuels higher spending on wafer‑fab, test and packaging equipment. The trend is expected to continue through 2028.