An intrinsic or substantially intrinsic semiconductor, which has been subjected to a step of dehydration or dehydrogenation and a step of adding oxygen so that the carrier concentration is less than 1×1012/cm3 is used for an oxide semiconductor layer of an insulated gate transistor, in which a channel region is formed. The length of the channel formed in the oxide semiconductor layer is set to 0.2 μm to 3.0 μm an inclusive and the thicknesses of the oxide semiconductor layer and the gate insulating layer are set to 15 nm to 30 nm inclusive and 20 nm to 50 nm inclusive, respectively, or 15 nm to 100 nm inclusive and 10 nm to 20 nm inclusive, respectively. Consequently, a short-channel effect can be suppressed, and the amount of change in threshold voltage can be less than 0.5 V in the range of the above channel lengths.