Artificial Intelligence (AI) Chips Market to Grow at a CAGR of Over 42% by 2024

Strategic Insights -

The artificial intelligence (AI) chips market is poised to experience significant growth, driven by the increasing adoption of AI chips in data centers and the convergence of IoT and AI. Market research firm Technavio has analyzed the market and predicts that it will grow by USD 54.03 billion during the 2020-2024 period, with a compound annual growth rate (CAGR) of over 42 percent. The market is fragmented, with key players such as Advanced Micro Devices Inc., Alphabet Inc., Apple Inc., Huawei Technologies Co. Ltd, International Business Machines Corp., Intel Corp., Microsoft Corp., Nvidia Corp., Qualcomm Inc., and Samsung Electronics Co. Ltd. competing for market share.

Key Takeaways:

  • The artificial intelligence (AI) chips market is expected to grow at a CAGR of over 42 percent during the forecast period.
  • The market is fragmented, with a degree of fragmentation that will accelerate during the forecast period.
  • Key players such as Advanced Micro Devices Inc., Alphabet Inc., Apple Inc., Huawei Technologies Co. Ltd, International Business Machines Corp., Intel Corp., Microsoft Corp., Nvidia Corp., Qualcomm Inc., and Samsung Electronics Co. Ltd. are competing for market share.
  • The increasing adoption of AI chips in data centers is a key driver of market growth.
  • The convergence of IoT and AI is expected to be a major factor driving the growth of the market.
  • The market is expected to grow by USD 54.03 billion during the 2020-2024 period.
  • The market is segmented by product (GPUs, ASICs, CPUs, FPGAs) and geography (North America, Europe, APAC, South America, MEA).
  • To make the most of the opportunities, market vendors should focus on the growth prospects in the fast-growing segments, such as AI chips in data centers, while maintaining their positions in the slow-growing segments.

Statistics:

  • The artificial intelligence (AI) chips market is expected to grow by USD 54.03 billion during the 2020-2024 period (Technavio).
  • The market is expected to grow at a CAGR of over 42 percent during the forecast period (Technavio).
  • The market is fragmented, with a degree of fragmentation that will accelerate during the forecast period (Technavio).

Sources:

  • Technavio report: Artificial Intelligence (AI) Chips Market 2020-2024.