ASML (NASDAQ:ASML) said artificial intelligence is now expected to be the primary engine of future sales growth, highlighting the technology’s rapidly expanding role in shaping demand for advanced semiconductor manufacturing equipment.
The Dutch company, the world’s leading supplier of lithography systems used to produce cutting-edge chips, previously believed AI would represent only a “limited portion” of demand among its customers, according to Chief Executive Officer Christophe Fouquet in the company’s annual report.
However, by the end of last year, ASML observed that “new and significant demand for AI” had begun accelerating capacity expansion plans across its customer base. Fouquet described this shift as a “powerful trend” that the company expects to persist throughout this year and beyond.
“We anticipate continued growth in the semiconductor market driven by strong demand for AI logic and memory products, along with high pricing resulting from supply-demand imbalances. This is expected to drive demand for growth in the equipment market,” ASML said.
For 2025, full-year sales increased 15.6% year over year to €32.7 billion, while gross margin improved slightly to 52.8%. Fouquet added that ASML’s order backlog remains at a “healthy level” of €38.8 billion.
The company also noted that 2025 was marked by a “high degree of geopolitical and market uncertainty,” including shifting tariff negotiations and an uneven global economic outlook.
Referencing International Monetary Fund data, ASML said global economic growth slowed to 3.2% last year, compared with revised estimates of 3.3% previously.
“A slowdown in GDP growth is typically not a tailwind for a strong semiconductor cycle,” the company said. Nonetheless, it added that “very high growth” in AI chip demand helped drive double-digit expansion across the semiconductor industry during the year.
ASML also emphasized that access to advanced semiconductors is becoming increasingly important for countries seeking technological leadership and national security advantages, meaning the strategic relevance of the chip industry is “only likely to grow.” The company plans to continue collaborating with governments as new semiconductor fabrication facilities are developed across the United States, Europe and Asia.