An object is to reduce the number of manufacturing steps of a semiconductor device, to improve yield of a semiconductor device, or to reduce manufacturing cost of a semiconductor device. One embodiment of the present invention relates to a semiconductor device and a method for manufacturing the semiconductor device. The semiconductor device includes, over a substrate, a first transistor having a single crystal semiconductor layer in a channel formation region, a second transistor that is isolated from the first transistor with an insulating layer positioned therebetween and has an oxide semiconductor layer in a channel formation region, and a diode having a single crystal semiconductor layer and a oxide semiconductor layer.