Morgan Stanley: Semiconductor Boom Cycle Far From Over, 2027 Cloud Capex Could Surge to $1.3 Trillion

BlockBeats News, August 1st - In the latest Greater China Semiconductor Report released by Morgan Stanley on July 31st, the firm believes that the AI semiconductor industry is still in a high boom cycle. This wave of growth is transitioning from a simple GPU demand to further encompass advanced processes, advanced packaging, memory, testing equipment, ASICs, and the Chinese AI chip supply chain.

Morgan Stanley made a very bold prediction: by 2026, the cloud AI semiconductor market could reach $485 billion, expanding further to around $753 billion by 2030. At the same time, the global semiconductor market is expected to reach $1.5 trillion by 2030, indicating that AI semiconductors will contribute to nearly half of the market size.

Using its own Cloud Capex Tracking model, Morgan Stanley forecasts that by 2027, the cloud capital spending of the world's top 14 listed cloud service providers could reach nearly $1.3 trillion, and this figure does not yet include sovereign AI projects.