STMicroelectronics shares jumped 8.2% in European trading after the European chip maker raised its data-center revenue targets to $1 billion for 2024, more than doubling its previous forecast above $500 million. The company cited booming demand for artificial-intelligence infrastructure as the primary driver behind the increased outlook, highlighting the rapid growth in this critical segment for semiconductor companies.

Paris-listed STMicro shares have nearly tripled in value since the start of the year, now trading at levels not seen in over two decades according to FactSet data. The company counts major tech players like Apple and SpaceX among its customers, positioning it to capitalize on the growing AI infrastructure market where it competes with larger semiconductor firms.

Data-center revenue could double again by 2027 to well above $1 billion, according to STMicro's projections. The revised targets signal the company's aggressive strategy in the expanding AI chip market, where demand continues to outpace supply despite broader economic uncertainties in the tech sector. The company's strong performance reflects its strategic positioning in high-growth segments.