Driven by an unprecedented surge in global artificial intelligence (AI) infrastructure investments, memory semiconductors are projected to capture approximately 60% of the entire global semiconductor market this year. This dramatic shift marks the first time in history that memory chips have accounted for more than half of the total semiconductor revenue, solidifying memory technology as the core anchor of the global tech supply chain.

According to data released on August 6 by market research firm Sigmaintell, the global semiconductor market is expected to reach $1.587 trillion in 2026, representing a massive 107% expansion compared to the previous year. While the industry historically relied on consumer electronics such as smartphones and personal computers for momentum, the present growth supercycle is overwhelmingly propelled by enterprise AI servers and data center infrastructure buildouts.

The growth trajectory of the memory sector has far outpaced earlier projections. The global memory market is forecasted to surge 290% year-over-year to $960 billion, absorbing roughly 60% of total semiconductor revenues. By comparison, market research firm Gartner previously reported that memory chips represented only 25.2% of the total semiconductor market revenue in 2024. Even during prior cyclical peaks, memory rarely exceeded the 30% threshold. Earlier this year, the Export-Import Bank of Korea’s Overseas Economic Research Institute had anticipated memory’s share to climb to around 50%, but accelerated AI spending has pushed the figure even higher.

The rapid expansion stems from soaring demand for high-performance enterprise memory components required by generative AI workloads. Big Tech firms and data center operators are simultaneously increasing orders for High Bandwidth Memory (HBM), next-generation Double Data Rate (DDR) DRAM, and enterprise Solid-State Drives (SSDs). Furthermore, as major chipmakers reallocate a significant portion of their wafer capacity toward HBM production, conventional DDR DRAM supply has tightened dramatically. Sigmaintell projects that the average selling price (ASP) of DDR chips in the third quarter will rise four- to five-fold from the same period last year, driving overall annual DRAM revenues up by more than 300%. The NAND flash market is experiencing a similar rebound, with enterprise SSD demand expected to lift total NAND revenues by roughly 250% year-over-year.

This structural shift underscores the expanding strategic weight of South Korean semiconductor giants, namely Samsung Electronics and SK Hynix. Together, the two firms hold approximately 70% of the global DRAM market and around 50% of the global NAND flash market, effectively controlling the primary supply bottlenecks for AI server memory. Industry analysts expect memory supply constraints to persist through at least 2028 due to the time required to bring new cleanroom capacity online.

Meanwhile, Sigmaintell also expects the broader AI boom to benefit the foundry sector, forecasting global foundry revenues to expand 20% year-over-year to $189 billion as demand grows across both advanced and mature node fabrications.

Lee Mi-hye, a senior researcher at the Export-Import Bank of Korea, noted in a recent report that major tech companies are increasingly seeking long-term supply agreements spanning three to five years with binding volume commitments to secure necessary memory inventory. With rising prices and sustained structural demand, South Korea's memory exporters are expected to maintain strong pricing power and robust export momentum for the foreseeable future.

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