During the first quarter of 2026, shipments of silicon wafers reached a total of 3,275 million square inches, reflecting a 13.1% increase compared to the same period in 2025. This growth is indicative of a burgeoning semiconductor market, essential for various advanced chip technologies including CPUs and GPUs, all starting from silicon slices up to 300mm in diameter.
Ginji Yada, who serves as the Chairman of SEMI Silicon Manufacturers Group and is also the Managing Executive Officer at SUMCO Corporation, pointed out that the demand for silicon wafers, particularly for AI data centers, remains strong. However, he noted disparities in recovery across sectors, with some manufacturers seeing growth in industrial semiconductors while the smartphone and PC markets face challenges.
Although there was a seasonal decline of 4.7% from the previous quarter, the report by SEMI highlights how the rising demand for AI is shifting the landscape of silicon usage. Companies such as Intel and AMD have responded to pressures on CPU supplies by raising prices by up to 15% this year, indicating that consumer electronics are increasingly competing for the limited silicon resources that are now prioritized for AI applications.
This trend suggests that the semiconductor market may continue to evolve, with manufacturers likely reallocating resources and increasing investments in areas that support AI technologies, ensuring sustained demand for silicon in the near future.