Computer Microchip Market Report 2026

The computer microchip market size has grown rapidly in recent years. It will grow from $26.43 billion in 2025 to $29.1 billion in 2026 at a compound annual growth rate (CAGR) of 10.1%. The growth in the historic period can be attributed to rise of personal computers, growth of consumer electronics, demand for mobile devices, early internet and networking expansion, initial adoption of GPUs in gaming.

The computer microchip market size is expected to see rapid growth in the next few years. It will grow to $42.76 billion in 2030 at a compound annual growth rate (CAGR) of 10.1%. The growth in the forecast period can be attributed to AI-driven applications, expansion of 5g and iot networks, autonomous vehicle technology, edge computing adoption, growth in wearable and healthcare devices. Major trends in the forecast period include miniaturization and high-density integration, advanced semiconductor fabrication, low-power and energy-efficient microchips, high-performance computing and speed optimization, chip security and embedded encryption.

The rising adoption of consumer electronics is expected to fuel the growth of the computer microchip market going forward. Consumer electronics are electronic devices designed for personal use, primarily for entertainment, communication, and personal management, aimed at simplifying daily life through user-friendly technology. The adoption of consumer electronics is driven by factors such as enhanced connectivity, the rise of remote work and learning, greater affordability, and improved accessibility. Computer chips function as the central processing units of these devices, executing operations and ensuring smooth performance. They also manage connectivity and optimize power usage to support efficient battery life in portable electronic products. For example, according to Digital Commerce 360, a US-based ecommerce and media company, online sales in the consumer electronics sector continued to grow, with online penetration reaching 72.9% after exceeding $51.3 billion in 2022. Therefore, the increasing adoption of consumer electronics is driving the growth of the computer microchip market.

Major companies in the computer microchip market are focusing on advanced technologies, including semiconductor chips engineered for space applications that can function under extreme temperatures ranging from -55°C to 125°C. For example, in September 2025, Semiconductor Laboratory, an India-based R&D institution under ISRO, introduced the Vikram 3201, the country’s first fully indigenous 32-bit microprocessor designed for space use. The chip supports complex floating-point computations and Ada programming, features 32 general-purpose registers, a 5-stage pipeline for efficient processing, and dual on-chip 1553B bus interfaces for reliable communication. Successfully validated in space, the microprocessor is crucial for navigation, control, and mission management in launch vehicles, marking a major step toward India’s technological self-reliance in advanced chip design for aerospace, defense, and other high-tech industries.

In May 2025, Advanced Micro Devices (AMD), a US-based semiconductor company, acquired Enosemi for an undisclosed amount. Through this acquisition, AMD aims to enhance its technological capabilities in silicon photonics to accelerate the development of next-generation light-based interconnect technologies for high-performance computing and AI infrastructure. Enosemi is a US-based provider of photonic integrated circuits (PICs), a specialized type of computer microchip used for high-speed data transmission in AI systems.

Major companies operating in the computer microchip market are Samsung Electronics Co. Ltd., Taiwan Semiconductor Manufacturing Company Limited, Intel Corporation, Qualcomm Incorporated, Micron Technology Inc., NVIDIA Corporation, Toshiba Corporation, Advanced Micro Devices Inc., Texas Instruments Incorporated, STMicroelectronics N.V., MediaTek Inc., Infineon Technologies AG, NXP Semiconductors N.V., Analog Devices Inc., Renesas Electronics Corporation, ON Semiconductor Corporation, Microchip Technology Inc., Marvell Technology Group Ltd., Nuvoton Technology Corporation, Silicon Laboratories, Cypress Semiconductor Corporation.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

Tariffs have impacted the microchip market by increasing costs for imported semiconductor components and specialized manufacturing equipment, particularly affecting CPU, GPU, and memory chip segments. Regions like Asia-Pacific, especially China, Taiwan, and South Korea, which are major manufacturing hubs, are most affected. The tariffs have caused supply chain disruptions and production delays, pushing manufacturers to explore local sourcing and diversify suppliers. Positively, these tariffs are encouraging domestic production investments and innovation in efficient, cost-optimized microchip designs for global markets.

The computer microchip market research report is one of a series of new reports that provides computer microchip market statistics, including computer microchip industry global market size, regional shares, competitors with a computer microchip market share, detailed computer microchip market segments, market trends, and opportunities, and any further data you may need to thrive in the computer microchip industry. This computer microchip market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

A computer microchip is a small, flat semiconductor that contains a complex network of electronic circuits. These circuits include transistors, resistors, capacitors, and other components that perform specific functions, such as processing data, storing information, or controlling devices.

The primary types of computer microchips include the central processing unit (CPU), graphics processing unit (GPU), memory chips, application-specific integrated circuits (ASICs), field-programmable gate arrays (FPGAs), and others. The CPU is the core component that executes instructions and manages other parts of the system, handling tasks ranging from basic operations to complex calculations. It is utilized in various applications such as data processing, graphics rendering, artificial intelligence and machine learning, networking and connectivity, sensor integration, and encryption and security. CPUs are employed across multiple industries, including consumer electronics, automotive, industrial, healthcare, aerospace and defense, telecommunications, and more.Asia-Pacific was the largest region in the computer microchip market in 2025. North America is expected to be the fastest-growing region in the forecast period. The regions covered in the computer microchip market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the computer microchip market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The computer microchip market consists of sales of network interface cards, solid-state drive (SSD) controllers, microcontrollers, and embedded systems chips. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

This product will be delivered within 1-3 business days.