Global semiconductor industry hits record high sales in Q3

semiconductor industry hits record sales

Worldwide semiconductor sales reached a record high in the third quarter, selling 4.1 percent more than the second quarter and 13.8 percent more than last year’s third quarter, the Semiconductor Industry Association recently announced.

2018 Third Quarter Sales Hit Peak

The third quarter sales tally hit $122.7 billion during 2018, which represents a 4.1 percent increase from last quarter and a 13.8 percent increase since 2017’s same quarter. The worldwide sales total for September hit $40.9 billion in September 2018, which marks a 2 percent increase from $40.16 billion the previous month and 13.8 percent more than June 2017 totals.

Global Semiconductor Industry Impact

Semiconductors are notably the “brains” behind modern technological advances and innovations in transportation, military systems, health care, clean energy and a plethora of other applications. The small chip is also powering the future as new technologies emerge in areas like robotics, artificial intelligence (AI), brain-inspired computing, virtual reality and so much more.

Robust third quarter sales and the push toward a record high annual sales tally means applications harnessing the power of semiconductors are thriving with the increased demand. To give an idea of their importance in the global marketplace, the U.S. semiconductor industry commands 46 percent of global market share and semiconductors rank fourth in U.S. exports after airplanes, refined oil and automobiles.

Pushing Toward an Annual Record High

According to John Neuffer, president and CEO, Semiconductor Industry Association, the global industry is currently on pace to post its highest annual sales yet. This means the semiconductor industry will top last year’s record of $412 billion.

“While year-to-year growth has tapered in recent months, September marked the global industry’s highest-ever monthly sales, and Q3 was its top-grossing quarter on record,” Neuffer added. “Year-to-year sales in September were up across every major product category and regional market, with sales into China and the Americas continuing to lead the way,”

Regional sales reflected a boost compared to September of last year in several locations including China (26.3 percent), the Americas (15.1 percent), Europe (8.8 percent), Japan (7.2 percent) and Asia Pacific/All Other (2.4 percent). Monthly sales increased over last month in the Americas (6.0 percent), China (1.8 percent), and Europe (1.2 percent), with a slight decrease in Asia Pacific/All Other (-0.1 percent) and Japan (-0.6 percent).