Defense Semiconductor Market Size Projected to Reach USD 38.05 Billion by 2035 – SNS Insider - GlobeNewswire

The global defense semiconductor market was valued at USD 13.44 billion in 2025 and is projected to reach USD 38.05 billion by 2035, growing at a CAGR of 11.05% from 2026 to 2035. This growth is drive... Read original →

The defense semiconductor market’s 11% CAGR stems less from budget hikes and more from the convergence of technological gap anxiety and supply chain sovereignty. GaN/SiC adoption in naval all-electric propulsion is reviving vertically integrated manufacturing models: despite TSMC Nanjing’s advanced nodes, U.S. DoD prioritizes Trusted Foundry partnerships that bind Xilinx FPGAs and TI analog chips to domestic back-end processes—effectively sidelining foundries in Taiwan, China. This 'trusted loop' raises entry barriers for non-U.S. suppliers. Over the next 18 months, Japan and South Korea will fast-track military-grade SiC fabs, while Europe may coalesce around ST and Infineon to form a Euro-Foundry alliance. The true long-tail impact? Civilian automotive and defense power systems are converging on a shared wide-bandgap semiconductor ecosystem—reshaping global pricing power in power electronics.