- SIA announced that the first quarter of 2023 recorded chip sales of $119.5 billion.
- The report attributed the decline to market cyclicality and macroeconomic headwinds.
Global semiconductor sales recorded a drop of 21.3% in the first quarter of 2023 as compared to the same quarter a year ago, despite reaching the highest-ever annual total of $574 billion in 2022.
The Semiconductor Industry Association (SIA) announced that the first quarter of 2023 recorded chip sales of $119.5 billion, a decrease of 8.7% compared to the fourth quarter of 2022. Global semiconductor sales fell 19.6% year-on-year in March, compared with declines of 24.1% y-o-y in February and 20.1% y-o-y in January.
“Semiconductor sales continued to slip during the first quarter of 2023 due to market cyclicality and macroeconomic headwinds, but month-to-month sales were up in March for the first time in nearly a year, providing optimism for a rebound in the months ahead,” said John Neuffer, SIA president and CEO.
The World Semiconductor Trade Statistics Fall 2022 Semiconductor Industry Forecast, forecasted that global semiconductor industry sales would decrease to $556 billion in 2023, but increase to $602 billion in 2024.
SIA represents 99% of the US semiconductor industry by revenue and nearly two-thirds of non-US chip firms. Semiconductor companies based in the US reported 48% of the global sales, worth $275 billion and invested $58.8 billion in research and development, as per SIA’s 2023 Factbook. The US exported $61.1 billion worth of semiconductors in 2022.
Regionally, month-to-month sales increased in Europe by 2.7%, in Asia Pacific/All Other by 2.6%, and in China by 1.2%. Monthly sales decreased in Japan by 1.1% and in the Americas by 3.5%. Year-to-year sales decreased across all regions — Europe (-0.7%), Japan (-1.3%), the Americas (-16.4%), Asia Pacific/All Other (-22.2%), and China (-34.1%).
