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Surging Demand For Autonomous Vehicles To Drive Market Growth Emerges as a Core Driver of the Artificial Intelligence (AI) Chipsets Market in 2025
Use code ONLINE20 to get 20% off on global market reports and stay ahead of tariff changes, macro trends, and global economic shifts.What Is the Expected CAGR for the Artificial Intelligence (AI) Chipsets Market Through 2025?
The market size for artificial intelligence (ai) chipsets has seen significant expansion in the recent past. Predictions suggest an increase from $20.43 billion in 2024 to $28.08 billion in 2025, featuring a compound annual growth rate (CAGR) of 37.5%. This remarkable growth during the historic period has been driven by a surge in machine learning applications, advancements in deep learning technologies, the proliferation of data analytics, the integration of AI in consumer electronics, and the rising popularity of cloud computing.
What's the Projected Size of the Global Artificial Intelligence (AI) Chipsets Market by 2029?
The artificial intelligence (AI) chipsets market is projected to experience meteoric growth in the coming years, with its value expected to hit $96.49 billion in 2029, exhibiting an impressive compound annual growth rate (CAGR) of 36.2%. Factors contributing to this growth during the forecast period include heightened demand for AI in self-driving cars, increased usage of AI chipsets for natural language processing, the prevalence of AI in cybersecurity solutions, a surge in AI-integrated IoT devices, and personalized AI chipsets for specific industry applications. Key trends for the estimated period encompass the advent of new neuromorphic chipsets, progression in semiconductor manufacturing, advancements in quantum computing, teaming up with AI software developers, AI chipsets intended for real-time video analysis, and an emphasis on energy-efficient AI chip designs.
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Top Growth Drivers in the Artificial Intelligence (AI) Chipsets Industry: What's Accelerating the Market?
The anticipation of an increase in self-driving vehicles is predicted to accelerate the expansion of the artificial intelligence (AI) chipset market. Also referred to as a driverless car, an autonomous vehicle has the ability to navigate and perform vital tasks without human interaction, thanks to its capability to understand its surroundings. The functioning of autonomous vehicles heavily relies on AI chipsets as they provide the necessary computational power, machine learning prowess, and instantaneous decision-making for a secure and efficient self-driving experience. For example, projections from the National Association of Insurance Commissioners, a non-profit organization based in the US, indicate that by 2025, American roads will be host to 3.5 million autonomous vehicles, and by 2030, this number is estimated to reach 4.5 million. Thus, the advent of autonomous vehicles is poised to fuel the growth of the AI chipset market.
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What Trends Will Shape the Artificial Intelligence (AI) Chipsets Market Through 2029 and Beyond?
Prominent development in product designs is a crucial trend gaining traction in the AI chipsets market. Major firms operating in the AI chipsets market are concentrating on the creation of innovative solutions to solidify their market presence. For example, Nvidia Corporation, an American company that manufactures AI hardware and software, unveiled the GeForce RTX 40 Series of GPUs in September 2022. The RTX 40 series GPU boasts a range of novel features, such as streaming multiprocessors, third-gen RT cores, fourth-gen tensor cores, shader execution reordering, an Ada optical flow accelerator, and dual Nvidia encoders. The GPU series aims to bestow gamers and creators with unprecedented performance. This is powered by its latest headlining GPU, the RTX 4090, noted for its performance, up to four times that of the previous model.
What Are the Main Segments in the Artificial Intelligence (AI) Chipsets Market?
The artificial intelligence (ai) chipsetsmarket covered in this report is segmented -
1) By Hardware: Processor, Memory, Network
2) By Function: Training, Inference
3) By Technology: Machine Learning, Natural Language Processing, Context-Aware Computing, Computer Vision, Predictive Analysis
4) By End-User: Healthcare, Manufacturing, Automotive, Agriculture, Retail, Cybersecurity, Human Resources, Marketing, Law, Other End-Users
Subsegments:
1) By Processor: Central Processing Units (CPUs), Graphics Processing Units (GPUs), Tensor Processing Units (TPUs), Application-Specific Integrated Circuits (ASICs), Field-Programmable Gate Arrays (FPGAs)
2) By Memory: Dynamic Random-Access Memory (DRAM), Flash Memory, Storage Class Memory (SCM)
3) By Network: Network Interface Cards (NICs), Routers And Switches, Wireless Communication Devices, Network Processors
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Which Top Companies are Driving Growth in the Artificial Intelligence (AI) Chipsets Market?
Major companies operating in the artificial intelligence (AI) chipsets market include Apple Inc., Alphabet Inc., Samsung Electronics Co. Ltd., Microsoft Corporation, Huawei Technologies Corporate Limited, Intel Corp., International Business Machines Corporation (IBM), Qualcomm Technologies, Broadcom Limited, Micron Technology Inc., Toshiba Corporation, Nvidia Corporation, Advanced Micro Devices Inc., Texas Instruments, MediaTek Inc., Baidu Inc., STMicroelectronics, Infineon Technologies, Renesas Electronics Corporation, NXP Semiconductors NV, Synopsys Inc., Cadence Design Systems Inc., Xilinx Inc., Arm Holdings, Graphcore Limited, Mythic Ltd., SambaNova Systems
Which Regions Will Dominate the Artificial Intelligence (AI) Chipsets Market Through 2029?
North America was the largest region in the artificial intelligence (AI) chipsets market in 2024. The regions covered in the artificial intelligence (AI) chipsets market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
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