Investing.com -- UBS is forecasting a substantial expansion in the global semiconductor industry, projecting revenues will reach $2.38 trillion by 2027 as agentic AI drives broad-based demand across memory, logic, and CPU segments.
Analyst Nicolas Gaudois told clients in a note that UBS forecasts semiconductor industry sell-in to hit $1.62 trillion in 2026, up 118% year-over-year, before climbing a further 46% to $2.38 trillion in 2027.
Memory semiconductors are expected to lead the charge, with revenues forecast at $961 billion in 2026, up 318% year-over-year, rising to $1.638 trillion in 2027.
Gaudois attributed much of the momentum to agentic AI, which UBS said is "boosting not only HBM but also DDR5/LPDDR5 and NAND flash demand."
CPU revenues are also forecast to grow strongly, reaching $75 billion in 2026 and $96 billion in 2027, despite what UBS described as a sluggish PC market.
While UBS acknowledged that year-over-year growth rates will inevitably decelerate from elevated levels, the firm said other cycle indicators "remain in the green," including foundry utilization rates, assembly equipment revenues, and memory industry operating profits, all pointing upward into late 2027.
UBS added that upside risk from AI, extending beyond accelerators and HBM into CPU, DRAM, NAND, networking, and power management, "could continue to push out the inflexion point in the cycle."
ca.finance.yahoo.com
semis industry's GOLDEN AGE
Analyst Nicolas Gaudois told clients in a note that UBS forecasts semiconductor industry sell-in to hit $1.62 trillion in 2026, up 118% year-over-year, before climbing a further 46% to $2.38 trillion in 2027.
Memory semiconductors are expected to lead the charge, with revenues forecast at $961 billion in 2026, up 318% year-over-year, rising to $1.638 trillion in 2027.
Gaudois attributed much of the momentum to agentic AI, which UBS said is "boosting not only HBM but also DDR5/LPDDR5 and NAND flash demand."
CPU revenues are also forecast to grow strongly, reaching $75 billion in 2026 and $96 billion in 2027, despite what UBS described as a sluggish PC market.
While UBS acknowledged that year-over-year growth rates will inevitably decelerate from elevated levels, the firm said other cycle indicators "remain in the green," including foundry utilization rates, assembly equipment revenues, and memory industry operating profits, all pointing upward into late 2027.
UBS added that upside risk from AI, extending beyond accelerators and HBM into CPU, DRAM, NAND, networking, and power management, "could continue to push out the inflexion point in the cycle."
UBS sees generational semiconductor boom, highlights stock winners
Investing.com -- UBS is forecasting a substantial expansion in the global semiconductor industry, projecting revenues will reach $2.38 trillion by 2027 as agentic AI drives broad-based demand across memory, logic, and CPU segments.
ca.finance.yahoo.com
semis industry's GOLDEN AGE