Americas Semiconductor Device Market Size (2024 - 2029)

Americas Semiconductor Device Market Analysis

The Americas Semiconductor Device Market size is estimated at USD 156.28 billion in 2024, and is expected to reach USD 240.46 billion by 2029, growing at a CAGR of 9% during the forecast period (2024-2029).

America's semiconductor industry is noticing rapid growth, with semiconductors emerging as the basic building blocks of all modern technology. Improvements and innovations in this field are resulting in a direct impact on all downstream technologies. In addition, the United States is innovating in semiconductor manufacturing, creation, and research. The country is also the frontrunner in semiconductor packaging innovation, boasting 80 wafer fabrication plants across 19 states.

• With the growing adoption of 5G technology, the semiconductor industry is expected to experience a considerable impact. As the 5G standard can transmit over ten times the data rates achievable using advanced forms of 4G, semiconductors are expected to meet the new requirement to manage the data generated in a 5G ecosystem. In addition, 5G is also opening up new frontiers of semiconductor demand in the U.S. For instance, as per GSMA, 5G will become the lead network technology in the U.S. by 2025. The increasing implementation of 5G networks coincides with the increasing demand for faster high-performance computing devices, for which semiconductors form a critical element.
• Furthermore, vendors investing in semiconductors devices may further propel the studied market growth. For instance, in February 2022, Texas Instruments detailed its plan to invest billions in United States semiconductor chip production through 2030. Texas Instruments revealed plans to invest USD 3.5 billion annually in its U.S. semiconductor chip manufacturing through 2025 as manufacturers face a global shortage of the tech necessary for increasing goods.
• In addition, Micron Technology Inc. (an American company) had planned to invest about USD 3 Billion by 2030, intending to increase memory production at its plant in Virginia. These investments are expected to support the company's leadership in the rapidly growing market for high-quality and high-reliability memory products.
• Further, in April 2022, Wolfspeed officially opened its state-of-the-art, 200mm Silicon Carbide fabrication facility in Marcy, New York, United States, further driving the studied market growth.
• Furthermore, many regulations have been implemented in recent years to promote the use of electric vehicles in the country. For instance, New York state lawmakers recently passed a bill that essentially mandates that all new passenger cars sold in the state run on electric power by 2035. Moreover, the United States has set a target to ensure half of the vehicles sold in the country are electric by 2030.
• Moreover, with wafer starts being the primary constraint within the chip supply chain, impacts from this heightened demand are primarily experienced at wafer foundries. Manufacturers like Texas Instruments, Intel, and TSMC are investing considerably in constructing new fabs to ramp up chip production. Additionally, governments across the nation have also joined forces to increase chip capacity. For instance, in July 2022, the United States Senate and House of Representatives passed the CHIPS Act, which includes about USD 52 billion in government subsidies for the research and production of semiconductors in the country.

Americas Semiconductor Device Industry Segmentation

A semiconductor device is an electronic element that relies on the electronic properties of a semiconductor textile (primarily silicon, gallium arsenide, germanium, and organic semiconductors) for its function. Its conductivity lies between conductors and insulators. 

Americas semiconductor device market is segmented by device type (discrete semiconductors, optoelectronics, sensors, integrated circuits {analog, logic, memory, micro [microprocessors (MPU), microcontrollers (MCU), digital signal processors]), by end-user vertical (automotive, communication [wired, wireless], consumer, industrial, computing/data storage), and by region (North America, Latin America). The report offers market forecasts and size in value (USD) for all the above segments.