AI and Electric Vehicles to Influence Semiconductor Industry in 2024

By Shubhendra Anand , 08 March, 2024

The semiconductor industry is rapidly growing due to the increasing demand for chips in tech and other sectors. Artificial intelligence is pivotal in increasing the semiconductor chip requirement in the market. Experts' analysis of the semiconductor industry shows that artificial intelligence will progress in the different market sectors, indicating a more prominent need for semiconductor chips in 2024.

The market conditions in 2023 have different scenarios in the semiconductor industry. Due to numerous supply chain disruptions, the semiconductor industry faced many problems in 2023. However, in 2024, the supply of semiconductors is expected not to be disturbed by geopolitical issues. Instead, the semiconductor industry will explore different solutions with good harmony and robust security of global supplies in 2024. The rise in the use of semiconductors has resulted from a growing demand for semiconductor chips in the automotive sector, computers, and others. The semiconductor industry has faced many difficulties due to supply chain disruptions in recent years. Therefore, the semiconductor industry will pick up the pace from the beginning of 2024 to adjust the continuous supply process. The domestication of chip manufacturing and the increased number of semiconductor chip-producing centers will ensure a constant supply globally in 2024.

Based on the surveys, Nvidia stands to be the top leader in the semiconductor industry for 2023. It is expected to continue to be in the highest position for 2024 with the growing demands of artificial intelligence. Nvidia plans to launch the most awaited chip, H100, in 2024, which will impact the company's sales to rise to 18 billion. Broadcom, Samsung, and others follow it as the leading companies in the semiconductor industry. The increased number of AI applications and growing demand for electric vehicles increase the need for semiconductors. Various applications of semiconductors are also based outside the memory products heavily affected by artificial intelligence. Hence, the demand for semiconductor chips tends to grow in 2024 in both memory and non-memory products per market needs.