Key Trends Influencing the Growth of the Machine Learning Chip Market in 2025: Innovation In Advanced System-On-Chips (SoCs) To Gain Competitive Advantage

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What Is the Expected CAGR for the Machine Learning Chip Market Through 2025?
The market for machine learning chips has seen a significant surge in size over recent years. It's projected to rise from $21.12 billion in 2024 to $28.97 billion in 2025, with a compound annual growth rate (CAGR) of 37.2%. The historical growth can be credited to an uptick in big data analytics, the growing adoption of cloud services, the advent of edge computing, an increase in AI applications throughout multiple industries, and the expansion of IoT devices.

What's the Projected Size of the Global Machine Learning Chip Market by 2029?
In the coming years, the machine learning chip market size is projected to undergo astronomic expansion, reaching a value of $103.35 billion by 2029. This growth, calculated at a compound annual growth rate (CAGR) of 37.4%, is anticipated due to factors such as the incorporation of artificial intelligence in edge devices, the ongoing complexity of AI algorithms, greater emphasis on energy efficiency, the broadening range of AI applications, and a worldwide drive towards autonomous systems. The forecast period also anticipates certain trends, such as collaborations and partnerships of tech-based advancement, AI research and developmental investments, advances in AI technologies, initiatives for open-source hardware, along with customization and specialization.

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Top Growth Drivers in the Machine Learning Chip Industry: What's Accelerating the Market?
The upward trend in cyberattacks is anticipated to accelerate the expansion of the machine learning chip market. Cyberattacks constitute any aggressive strategy aimed at computer systems, networks, infrastructure, or personal devices with the goal of collecting, causing dysfunction, denying access, degrading, or annihilating system resources or data. Machine learning chips aid in enhancing cybersecurity by utilizing machine learning algorithms to continuously inspect data, detect patterns, and make precise forecast to diminish potential cyber-attacks. For instance, in February 2023, the Australian Cyber Security Centre, an Australian cybersecurity agency, reported that cybercrime reports in 2022 amounted to 76,000, marking an increase of 13% from the preceding year. Additionally, in June 2022, the Anti-Phishing Working Group, based in the United States, noted that the APWG documented a total of 1,025,968 phishing assaults in the first quarter of 2022, marking a 15% increase from the final quarter of 2021, with 888,585 attacks accounted for previously. Accordingly, the escalation in cyberattacks is contributing to the growth of the machine learning chip market.

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What Trends Will Shape the Machine Learning Chip Market Through 2029 and Beyond?
Major corporations in the machine learning chip sector are strategically focusing on creating innovative offerings like sophisticated system-on-chips (SoCs) to secure a competitive foothold in the industry. A system-on-chip is, in essence, an integrated circuit (IC) that pulls together all elements of a full electronic system within the confines of a single chip. Evidence of this came in January 2022, when Silicon Labs, a semiconductor manufacturer based in the UK, introduced new AI/ML chips along with a toolkit for the edge with the aim of facilitating the application of artificial intelligence (AI) and machine learning (ML) at the IoT edge. This SoC incorporates a machine learning and AI accelerator, wireless radio, even lower-power abilities, as well as support for IP-centric connectivity protocols like the Matter and Zigbee.

What Are the Main Segments in the Machine Learning Chip Market?
The machine learning chip market covered in this report is segmented -

1) By Chip Type: Graphics Processing Unit (GPU), Application-Specific Processor (ASIC), Field Programmable Gate Array (FPGA), Central Processing Unit (CPU), Other Chips
2) By Technology: System-On-Chip (SoC), System-In-Package, Multi-Chip Module, Other Technologies
3) By Industry Vertical: Banking, Financial Services, And Insurance (BFSI), IT And Telecom, Media And Advertising, Retail, Healthcare, Automotive, Other Industry Verticals

Subsegments:
1) By Graphics Processing Unit (GPU): Dedicated GPUs, Integrated GPUs
2) By Application-Specific Integrated Circuit (ASIC): Custom ASICs For AI, General-Purpose ASICs
3) By Field Programmable Gate Array (FPGA): Configurable FPGAs, Embedded FPGAs
4) By Central Processing Unit (CPU): Multi-Core CPUs, High-Performance CPUs
5) By Other Chips: Neuromorphic Chips, Digital Signal Processors (DSP), Tensor Processing Units (TPU)

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Which Top Companies are Driving Growth in the Machine Learning Chip Market?
Major companies operating in the machine learning chip market report are Google LLC, Samsung Electronics Co. Ltd., Tencent Holdings Limited, Amazon Web Services Inc., Taiwan Semiconductor Manufacturing Company Limited (TSMC), Intel Corporation, International Business Machines Corporation (IBM), SoftBank Group Corp, Qualcomm Incorporated, Micron Technology, Inc. (US), NVIDIA Corporation, Toshiba Corporation, Advanced Micro Devices Inc., Texas Instruments Incorporated, Baidu Inc., NXP Semiconductors, Synopsys Inc., Lattice Semiconductor Corporation, Horizon Robotics, Hailo, Cerebras Inc., BitMain Technologies Holding Company, Graphcore, Mythic, Gyrfalcon Technology, Flex Logix Technologies, Wave Computing, Inc., Esperanto Technologies, BrainChip Holdings

Which Regions Will Dominate the Machine Learning Chip Market Through 2029?
North America was the largest region in the machine learning chip market in 2024. The regions covered in the machine learning chip market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

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