Mumbai, Jan 23 (IANS): Worldwide semiconductor revenue is set to hit $364.1 billion in 2017, an increase of 7.2 per cent from 2016, representing a turnaround for the industry as it experienced 1.5 per cent growth in 2016, market research firm Gartner said on Monday.

Gartner has increased the outlook for 2017 by $14.1 billion in its most current forecast, of which the memory market accounts for nearly $10 billion.

"The turnaround that started at the end of the second quarter of 2016 will continue to gain momentum and we expect the improved conditions to carry through 2017," said Ganesh Ramamoorthy, Research Vice President at Gartner. 

Areas to watch for in 2017 are the industrial, automotive and storage markets, which are growing quickly but represent a smaller portion of the overall market. 

Additionally, the slow-growth outlook for traditional applications such as smartphones and PCs, highlights the importance of semiconductor markets outside of these categories, notably the Internet of Things, Gartner said.