A semiconductor device with a novel structure in which stored data can be retained even when power is not supplied, and does not have a limitation on the number of write cycles. The semiconductor device includes a memory cell including a first transistor, a second transistor, and an insulating layer placed between a source region or a drain region of the first transistor and a channel formation region of the second transistor. The first transistor and the second transistor are provided to at least partly overlap with each other. The insulating layer and a gate insulating layer of the second transistor satisfy the following formula: (ta / tb)×(∈ra / ∈rb)<0.1, where ta represents the thickness of the gate insulating layer, tb represents the thickness of the insulating layer, ∈ra represents the dielectric constant of the gate insulating layer, and ∈rb represents the dielectric constant of the insulating layer.