PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1927731
PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1927731
The Logic IC Market size was valued at US$133,456.43 Million in 2024, expanding at a CAGR of 6.5% from 2025 to 2032.
Logic Integrated Circuits (Logic ICs) are semiconductor devices which execute basic digital functions through their ability to perform AND OR NOT NAND NOR XOR XNOR operations that create the foundation for all digital electronic systems. The integrated circuits (ICs) operate by processing binary signals which consist of 0s and 1s to support electronic systems in their decision-making processes and control functions and data processing tasks and signal routing operations. Logic ICs encompass both basic logic components and advanced elements which include programmable logic devices application-specific integrated circuits and system-on-chip design. The technology is extensively implemented in numerous fields which include consumer electronics automotive systems industrial automation telecommunications and computing devices because it provides dependable high-speed energy-efficient digital operations needed by contemporary electronic devices.
Logic IC Market- Market Dynamics
Automotive Electronics Growth
The growth of automotive electronics drives the logic integrated circuit market because modern cars depend on electronic systems to operate their control functions and safety features and connectivity systems and operational efficiency. The rising adoption of electric vehicles (EVs), advanced driver-assistance systems (ADAS), infotainment systems, digital instrument clusters, and body electronics creates a significant requirement for logic ICs which handle real-time data processing and control tasks. The automotive industry needs dependable and powerful and energy-efficient logic ICs which can support their systems that use sensors and cameras and radar technology and vehicle-to-everything (V2X) communication systems to create connected and semi-autonomous vehicles. The Logic IC market experiences continuous growth because automakers increase the logical components present in their vehicles through advanced intelligent systems and software-based functionalities.
By Type
In 2024, the application-specific logic ICs dominates the market. The increasing complexity of contemporary electronic systems throughout different sectors creates a need for application-specific logic integrated circuits. The custom-designed chips provide optimized performance for specific tasks which include image processing and wireless communication and machine learning inference. The components enable efficient operation in smartphone and automotive system and industrial controller applications which require rapid performance and compact design and low power consumption.
Logic IC Market- Geographical Insights
North America leads the industry. The region experiences economic expansion because multiple industries including consumer electronics and data centers and automotive companies demonstrate strong demand. The region hosts major design and intellectual property firms which include Intel and AMD and Broadcom and Qualcomm to create a dynamic innovation environment. Additionally, the rising strategic alliance florish the industry expansion. For instance, in August 2025, Cirrus Logic, a top provider of advanced audio and mixed-signal semiconductor products, declared its decision to extend its cooperative relationship with GlobalFoundries (GF), which stands as one of the world's major semiconductor manufacturers. The two organizations will work together to develop new chip technologies that will provide superior efficiency and performance and enhanced reliability for upcoming consumer products, which will include smartphones and automobiles.
The Logic IC market exhibits strong competition between global integrated device manufacturers IDMs and fabless semiconductor companies and programmable logic specialists who use technology and operational scale and application expertise to create product differentiation. The major companies in the market which include Texas Instruments and STMicroelectronics and NXP Semiconductors and Infineon Technologies and onsemi face competition from FPGA and programmable logic manufacturers which include AMD Xilinx and Intel Altera. The industry experiences competition because companies develop superior process technologies and create products with better power efficiency and higher performance and improved reliability and longer product lifetimes which cater to automotive and industrial markets. Companies develop supply chain control systems through strategic partnerships with foundries and R&D investments and expansion of automotive-grade and application-specific logic portfolios and geographic manufacturing expansion. The global Logic IC market faces two opposing forces: standard logic ICs experience pricing pressure and commoditization while AI-enabled logic and automotive electronics and IoT and high-performance computing create new business opportunities for organizations.
In April 2025, TSMC unveiled its next cutting-edge logic process technology, A14, at the Company's North America Technology Symposium. Representing a significant advancement from TSMC's industry-leading N2 process, A14 is designed to drive AI transformation forward by delivering faster computing and greater power efficiency. It is also expected to enhance smartphones by improving their on-board AI capabilities, making them even smarter. Planned to enter production in 2028, the current A14 development is progressing smoothly with yield performance ahead of schedule.
In October 2025, Applied Materials, Inc. introduced new semiconductor manufacturing systems that boost the performance of advanced logic and memory chips foundational to AI computing. The new products target three critical areas in the race to deliver ever more powerful AI chips: leading-edge logic including Gate-All-Around (GAA) transistors, high-performance DRAM including high-bandwidth memory (HBM), and advanced packaging to create highly integrated systems-in-a-package that optimize chip performance, power consumption and cost.