The semiconductor industry has formally entered the Foundry 2.0 era, a phase defined by the deep integration of manufacturing, assembly, and testing, profitably driven by the global AI boom. According to Counterpoint Research’s latest Foundry Market Supply Tracker, the global Foundry 2.0 market’s revenue grew to US$320 billion at 16% year-over-year.

AI and edge computing demand is accelerating, prompting industrial memory module maker Innodisk to project strong growth through 2026. Chairman and president Randy Chien said NAND Flash prices remain on an upward trajectory, while Google TurboQuant is not a new compression technology. Similar to the DeepSeek effect in 2025, optimization is expected to broaden applications and lift demand. Innodisk expects its edge AI business to grow multiple-fold in 2026.

After several years of decline, the machine tool industry is turning cautiously optimistic for 2026. However, geopolitical risks—particularly the US-Iran conflict—have replaced tariffs as the primary uncertainty, driving energy and material costs higher and prompting potential price increases across the sector.