Bernstein: AI demand lifts semiconductor revenue 119% year over year
Bernstein estimates that global semiconductor industry revenue reached $1.043 trillion in the first eight months of 2026 through August, up roughly 119% from $477 billion in the same period of 2025. Memory was the biggest driver, adding about $443 billion of the increase, with price increases alone accounting for $379 billion and higher shipments contributing $64 billion, about 13% of the added revenue. The report says DRAM and NAND flash contract prices still rose nearly 20% quarter over quarter in Q3 2026, as strong AI application and infrastructure demand keeps supply tight; Bernstein expects the shortage to persist into 2027, though long-term supply agreement price caps and customer cost pressure may limit further gains.
Memory is a core cost input for AI infrastructure, so its pricing directly shapes the economics of data centers and model training.