- The global pure-play semiconductor foundry industry’s revenue is projected to swell to a record $165 billion in 2025, up from $105 billion in 2021, a healthy 12% CAGR between 2021 and 2025.
- Advanced nodes (7nm and below) will contribute to more than 56% of total revenue in 2025, driven by AI smartphone, HPC and server chipsets.
- Mature nodes will remain largely flat compared to four years ago, though 28nm will remain the bright spot.
- The introduction of 2nm will shift the mix more towards advanced node revenues, with 2nm alone making up over 10% of the revenue mix in 2027.
Commenting on the semiconductor market revenue, Senior Analyst William Li said, “Looking ahead, the 2nm node, though projected to contribute just 1% to total revenue in 2025, is poised for rapid expansion as TSMC ramps up its new capacity in Taiwan. The node is expected to account for more than 10% of the revenue by 2027. We believe 2nm will become one of the most long-lived and impactful nodes over the next five years or so, surpassing the previous nodes in terms of business contribution, thanks to growing demand from AI and computing applications – from cloud to edge.”
Looking at other nodes, the 20-12nm range is expected to remain steady, contributing 7% to total revenue, as we continue to see some chip applications from mature nodes migrating through these nodes toward advanced nodes.
As a result, mature nodes such as 28nm and higher are expected to see their combined share drop to 36% in 2025, down from 54% in 2021 and indicating a gradual phasing out of legacy technologies. However, revenues are expected to remain largely flat compared to four years ago, with 28nm being the only bright spot among these mature nodes, showing a 5% CAGR.
Overall, the global pure-play semiconductor foundry industry’s revenue is projected to grow by 17% YoY in 2025, reaffirming that advanced process nodes continue to fuel the semiconductor market and technology trends. TSMC, at the advanced node end, is the biggest beneficiary, although Samsung and Intel are not far behind. For the rest of the nodes, UMC, GlobalFoundries and SMIC continue to see healthy demand, even though, in revenue terms, they may not be growing at the pace of the advanced nodes. While innovations in front-end processes with High-NA EUV and other technologies continue, backend packaging processes are also witnessing diverse innovations and revenue opportunities, like through HBM memory integration and the migration to chiplet packaging.
About Counterpoint Research
Counterpoint Research is a global market research firm specializing in products across the technology ecosystem. We advise a diverse range of clients – from smartphone OEMs to chipmakers and channel players to Big Tech – through our offices located in the world's major innovation hubs, manufacturing clusters and commercial centers. Our analyst team, led by seasoned experts, engages with stakeholders across the enterprise – from the C-suite to professionals in strategy, analyst relations (AR), market intelligence (MI), business intelligence (BI), product and marketing – to deliver services spanning market data, industry thought leadership and consulting. Our core areas of coverage include AI, Automotive, Consumer Electronics, Displays, eSIM, IoT, Location Platforms, Macroeconomics, Manufacturing, Networks and Infrastructure, Semiconductors, Smartphones and Wearables. Visit our Insights page to explore our publicly available market data, insights and thought leadership, and to understand our focus, meet our analysts and start a conversation.
Global Pure-Play Semiconductor Foundry Revenues to Grow 17% YoY in 2025, Driven by AI, High-Performance Computing Chips
The global pure-play semiconductor foundry industry’s revenue is projected to swell to a record $165 billion in 2025, up from $105 billion in 2021, a healthy 12% CAGR between 2021 and 2025.Advanced nodes (7nm and below) will contribute to more than 56% of total revenue in 2025, driven by AI...
www.counterpointresearch.com
