Semiconductor News 20260407

In today’s semiconductor news, we report on trends that are clearly divided into two distinct areas: growth areas centered on AI and stagnation in existing markets. While the global semiconductor market is showing a dramatic recovery with a 61.8 percent year-on-year increase, the harsh reality is highlighted in Japan, where the market has been in negative growth for nine consecutive months. While the recovery of ICs for smartphones has been pushed back until 2027, the internal production of semiconductors by giant IT companies and the battle for supremacy is intensifying, with NVIDIA dominating self-driving and Tesla pulling its personnel out of Taiwan. In addition, the geopolitical supply chain is increasingly reorganizing, as China strengthens its own ecosystem with HBM development and 2.5D packaging investments, and India lays bare its ambitions as a new manufacturing hub.

Main News

1. February 2026 Global Semiconductor Market Grew 61.8 Percent, but Japan Sinks in Negative Growth for Ninth Consecutive Month
   The global semiconductor market posted a dramatic 61.8 percent jump in February 2026 over the same month last year, with AI investment and a rapid rebound in demand driving the industry as a whole strongly. However, among that robust global market, only Japan sank into negative growth for the ninth consecutive month, the SIA survey revealed. This highlights the structural challenges and declining competitiveness of Japan’s semiconductor industry, which is not fully reaping the benefits of global special demand.
2. SUMCO Postpones Construction of Two Silicon Wafer Factories in Response to Market Changes
   Silicon wafer giant SUMCO has decided to postpone the construction of two planned new silicon wafer factories in response to recent changes in market conditions. Although global semiconductor demand is surging for AI applications, inventory adjustments in legacy semiconductors and some general-purpose products have been protracted, increasing market uncertainty. This suggests that material suppliers have entered a phase where they are carefully assessing the timing of major investments.
3. HBM Game Changer Move in China Threatens Samsung/SK Throne
   In China, a potential game changer in the HBM market, the high-bandwidth memory essential for next-generation AI chips, has been captured. Currently, South Korea’s Samsung Electronics and SK Hynix reign the throne of the HBM market with their overwhelming market share and technological prowess, but Chinese companies are rapidly developing their own technologies and building their own ecosystems. The wave of internal manufacturing in China in response to U.S. export restrictions poses a potential threat to the dominance of Korea’s top two.
4. NVIDIA dominates AI self-driving and other areas, disrupting the finished car-driven pyramid.
   NVIDIA has become the dominant centripetal force in “physical AI” operating in the real world, including humanoid robots, automobiles, and the communications field. Especially in the area of self-driving, NVIDIA’s advanced AI chips and platforms are beginning to dominate the brains of cars, fundamentally disrupting the traditional pyramid structure of the automotive industry, which until now has been dominated by complete car manufacturers. We are entering an era in which software and semiconductors will determine the value of the automobile.
5. Apple’s U.S. Manufacturing Program, TDK and Bosch to Manufacture Sensors in the U.S.
   TDK and Bosch have joined Apple as key partners in the company’s U.S. manufacturing program. Against the backdrop of geopolitical risk aversion and the U.S. government’s policy of returning to supply chains, giant tech companies are accelerating their moves to move their procurement networks for key components to the U.S. mainland. For Japanese parts manufacturers, establishing a local production system in the U.S. has become an indispensable business strategy.
6. U.S. Tesla is recruiting semiconductor personnel in Taiwan, and there is a sense of caution locally about “pulling out.”
   Tesla Inc. led by Elon Musk is actively recruiting semiconductor-related personnel in Taiwan in order to strengthen the development and manufacture of its own semiconductors. As the IT giant moves toward vertical integration, in which it will manufacture its own AI chips and other products in-house, it is targeting talented engineers in Taiwan, the world’s largest foundry base. In response to this aggressive recruitment drive, the local semiconductor industry in Taiwan is rapidly growing wary of the outflow and extraction of core technologies.
7. China’s Semiconductor Industry Makes Steady Global Inroads, Both Sales and Profits Increase
   China’s semiconductor industry is experiencing steady growth in both sales and profits, accelerating its expansion into global markets. Despite strict U.S. export restrictions and technological encirclement, a self-sustaining ecosystem is beginning to function, from chip design to manufacturing to equipment, backed by strong domestic demand and massive government support. China’s “core” is steadily going from strength to strength, building its own supply chain and increasing its presence in the global market.
8. Smartphone Order Decline Hurts IC Design; Market Recovery Postponed Until 2027
   Weak smartphone demand and the resulting decline in orders are dealing a serious blow to the IC design industry. Inflation and consumers’ prolonged replacement cycles are affecting the industry, resulting in a prolonged inventory adjustment of chips for mobile devices. While the AI sector is booming, the stagnant consumer product market is weighing on the industry.
9. India Accelerates Ambition in Electronics and Semiconductor Sector with New Approvals and Factory Construction
   India is rapidly expanding its national ambitions in the electronics and semiconductor sectors. It is seeking to establish itself as a global semiconductor manufacturing hub by approving new government projects, promoting the construction of semiconductor factories in the country, and restricting the supply chain to protect its own industry. As a new giant market and manufacturing center to replace China, it is beginning to play an important role in the restructuring of the global semiconductor supply chain.
10. Chinese 2.5D Packaging Demand Surges, Driving Growth of Korean Back-end Equipment
    Demand for 2.5D packaging technology, essential for AI chips and other products, is surging in China. Investments in cutting-edge packaging to extract advanced semiconductor performance are on the rise, supporting the impressive growth of Korean back-end (back-end) equipment manufacturers. As U.S. regulations limit front-end miniaturization, China’s focus on advanced back-end technology is benefiting the equipment industries of neighboring countries.

News List