Semi Revenues to Surge 62.7% in 2026 Driven by Unprecedented Memory Growth, Omdia Estimates
Research firm Omdia has significantly raised its 2026 semiconductor revenue forecast, predicting a 62.7% jump driven by explosive growth in the DRAM and NAND Flash memory markets due to AI demand.
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- 📰 Published: April 24, 2026 at 10:46
- 🔍 Collected: April 24, 2026 at 11:01 (14 min after Published)
- 🤖 AI Analyzed: April 24, 2026 at 18:07 (7h 5m after Collected)
(Central News Agency, Hsinchu, 24th) Research institution Omdia has drastically increased its 2026 semiconductor revenue forecast, estimating a growth rate of 62.7%. This is primarily due to unprecedented growth in the memory markets, specifically Dynamic Random Access Memory (DRAM) and NAND Flash.
Omdia stated that AI applications have moved beyond simple Q&A, significantly increasing the demand for memory and processors, which in turn drives the overall revenue growth of the semiconductor industry.
Omdia pointed out that to handle increasingly demanding workloads, enterprises are accelerating the retirement of old hardware, triggering a replacement wave for enterprise servers in 2026. Benefiting from strong demand for data center servers and rising memory prices, semiconductor revenue for computing and data storage in 2026 will exceed $700 billion, a 90% year-on-year increase, making it the fastest-growing semiconductor application area.
Consumer electronics and wireless sectors are also expected to grow. Omdia mentioned that besides the launch of several flagship phones like foldable and AI-powered handsets, rising memory prices will drive semiconductor revenue growth.
Omdia noted that this year's semiconductor revenue growth is mainly driven by rising average selling prices (ASP) rather than shipment volume growth. The DRAM market size is estimated to nearly double, while the NAND Flash market could grow fourfold.
According to Omdia, memory manufacturers are shifting focus to producing higher-priced High Bandwidth Memory (HBM), exacerbating supply tightness for traditional memory. Strong enterprise and data center demand will continue to influence the 2026 market, with supply expected to ease only by 2027.
Omdia stated that AI applications have moved beyond simple Q&A, significantly increasing the demand for memory and processors, which in turn drives the overall revenue growth of the semiconductor industry.
Omdia pointed out that to handle increasingly demanding workloads, enterprises are accelerating the retirement of old hardware, triggering a replacement wave for enterprise servers in 2026. Benefiting from strong demand for data center servers and rising memory prices, semiconductor revenue for computing and data storage in 2026 will exceed $700 billion, a 90% year-on-year increase, making it the fastest-growing semiconductor application area.
Consumer electronics and wireless sectors are also expected to grow. Omdia mentioned that besides the launch of several flagship phones like foldable and AI-powered handsets, rising memory prices will drive semiconductor revenue growth.
Omdia noted that this year's semiconductor revenue growth is mainly driven by rising average selling prices (ASP) rather than shipment volume growth. The DRAM market size is estimated to nearly double, while the NAND Flash market could grow fourfold.
According to Omdia, memory manufacturers are shifting focus to producing higher-priced High Bandwidth Memory (HBM), exacerbating supply tightness for traditional memory. Strong enterprise and data center demand will continue to influence the 2026 market, with supply expected to ease only by 2027.