The second quarter showed renewed momentum, but AltaScient’s risk assessments reveal a mixed outlook for the semiconductor sector. Shifting signals span product segments, application markets, and supply chains, shaped by tariffs, export controls, and evolving compliance requirements. Key risks include new semiconductor tariffs, export controls on critical minerals, AI chip supply pressures, and rising competition in areas like SiC chips. Flat market outlooks, cyclical demand, and hesitancy in capital investments further compound sector uncertainty.