Global Artificial Intelligence Chip Market Size By End-User (Healthcare, Manufacturing, Automotive, Retail), By Technology (Machine Learning, Predictive Analysis), By Geographic Scope And Forecast

Artificial Intelligence Chip Market Size And Forecast

Artificial Intelligence Chip Market size was valued at USD 10.25 Billion in 2021 and is projected to reach USD 309.53 Billion by 2030, growing at a CAGR of 46.03% from 2023 to 2030.

The demand for more effective systems to tackle mathematical and computational issues, the advent of , and the expanding use of in robotics are anticipated to propel the development of the global artificial intelligence (AI) chip market.The Global Artificial Intelligence Chip Market report provides a holistic evaluation of the market. The report offers a comprehensive analysis of key segments, trends, drivers, restraints, competitive landscape, and factors that are playing a substantial role in the market.

Global Artificial Intelligence Chip Market Definition

Artificial Intelligence (AI) Chips are silicon chips that combine AI technology to handle computational and mathematical issues while minimizing human mistakes. These AI processors can successfully manage massive and parallel systems. The increased use of social media and platforms has resulted in a tremendous increase in data volume, necessitating more efficient processors for the faster completion of machine learning tasks. Because of enabling , AI-based processors solve the need for quicker processing.

AI chips are constructed from 16 NVIDIA V100 Tensor Core GPUs. The NVIDIA DGX A100 is New Zealand’s first computer and the world’s most sophisticated machine for supporting general AI tasks. People’s daily interactions with programs that require training include Facebook photographs and Google translate. Artificial intelligence is classified into four typesself-awareness, limited memory, reactive machines, and theory of mind. AI chips are tens or even thousands of times quicker and more efficient than CPUs for training and inference of AI algorithms due to their unique properties.

Customer preference for Internet of Things devices is one of the primary causes driving tech firms to build high-speed CPUs. AI chips may potentially be embedded into mobile devices like smartphones. These processors have several advantages, including increased speed, usability, and data privacy and security. Intelligent robotics, speech recognition, , and smart hardware are some of the uses of AI chips.

Global Artificial Intelligence Chip Market Overview

In 2019, the world continued to pour more money into artificial intelligence (AI) than ever before. The United States was once again the biggest spender, investing a whopping $22.70 billion in AI companies. Even though the world economy was facing some challenges and many other industries were struggling, the AI market kept growing. Businesses are realizing that AI can make them more efficient, productive, and profitable. Companies are using AI to automate boring and repetitive tasks, make sure they're following the rules, and give their customers better experiences. They're also teaming up with AI companies and buying AI startups and experts to build AI systems that are tailored to their specific needs.

Different key players have been innovating to develop a dedicated platform, for instance, Mythic’s platform has the advantage of processing digital/analog calculations in memory, resulting in enhanced performance, accuracy, and power life. Furthermore, the surge in the need to integrate & AI and the rise in government spending for solutions integrated with real-time analytics & AI are anticipated to boost the growth of the artificial intelligence chip. Hence, the increase in investments in AI startups drives the global Artificial Intelligence Chip Market growth.

Imagine if computers could think like humans, able to be in two states at once, like being both "yes" and "no" simultaneously. That's the power of quantum computing. These quantum computers use these special units called "qubits," which are like the building blocks of a normal computer's "bits." But unlike bits, which can only be either 0 or 1, qubits can dance between both states. Thanks to this magical quantum trick, quantum computers can solve massive problems in mere seconds that would take regular computers thousands of years. For instance, they can accelerate drug discovery or improve financial predictions. Over the past few years, tech giants like IBM, Intel, and Google have made huge leaps in quantum computing. They've unveiled chips with dozens of qubits, paving the way for even more powerful machines. Quantum computing is revolutionizing fields like artificial intelligence and machine learning. It's poised to change our world, enabling lightning-fast searches through vast databases and simulations that can unlock hidden patterns and insights. As we navigate an increasingly complex and data-driven world, quantum computing promises to be a game-changer.

Quantum computing will make a lot of impossible things possible in the future. Therefore, the emergence of quantum computing fuels the Artificial Intelligence Chip Market growth. However, there are relatively higher prices of AI chips and a scarcity of skilled workforce with knowledge of AI-based systems, especially in developing economies. These may adversely impact the global Artificial Intelligence Chip Market growth. The upsurge in research and development investments, increased use of autonomous robotics at industry verticals, and high-tech product launches shall create new global Artificial Intelligence Chip Market growth opportunities.

Global Artificial Intelligence Chip Market Segmentation Analysis

The Global Artificial Intelligence Chip Market is segmented based on End-User, Technology, And Geography.

Artificial Intelligence Chip Market, By End-User

• Healthcare
• Manufacturing
• Automotive
• Retail
• Cybersecurity
• Others

Based on End-User, the market is segmented into Healthcare, Manufacturing, Automotive, Retail, Cybersecurity, and Others. The cybersecurity industry holds the largest size of the global Artificial Intelligence Chip Market due to the growing implementation of antivirus and antimalware solutions as cybersecurity attacks worldwide continue to rise. Increasing the use of mobile devices for a wide range of applications, like e-mails, , remote monitoring, , and storage, increases hacking risks, thereby making networks more vulnerable to threats. The rapid adoption of cloud-based services and user-friendly antivirus and antimalware solutions drives the Artificial Intelligence Chip Market.

Artificial Intelligence Chip Market, By Technology

• Machine Learning
• Predictive Analysis
• Natural Language Processing
• Others

The AI Chip Market is divided into different types of technology, includingMachine LearningComputers learning to recognize patterns and make predictions. Predictive Analytics Computers using data to predict future events. Deep Learning A type of machine learning that uses layers of algorithms to find connections in data. Deep learning is becoming more and more popular. It's used to understand different types of data, like text, pictures, and sounds. It can also find patterns in data that's not organized, like security footage or voice commands. One reason why the market is getting bigger is because of the growing use of deep learning algorithms. These algorithms are being used in important applications likeSelf-driving cars Predicting fraud Voice commands in smart speakers Diagnosing diseases in medical imaging Detecting motion in security cameras

Artificial Intelligence Chip Market, By Geography

• North America
• Europe
• Asia Pacific
• Rest of the world

Imagine a map with the world divided into four areasNorth America, Europe, Asia Pacific, and the rest of the world. Now, let's talk about a market where people buy special chips that make computers really smart, like those used in self-driving cars. North America is like the boss in this market, having the biggest slice of the pie. That's because of all the big tech companies in places like the US. They're pouring money into AI stuff and using these chips to keep their stuff safe. Over in Asia Pacific, it's like a race to the finish line. Countries like China and India are stepping up their tech game and using AI chips in all sorts of cool ways. They're seeing major growth in this market.

Key Players

The “Global Artificial Intelligence Chip Market” study report will provide valuable insight with an emphasis on the global market including some of the major players such as NVIDIA Corporation, Qualcomm Technologies Inc, Advanced Micro Devices Inc, Alphabet Inc., Intel Corporation, Apple Inc., Mythic Ltd., Baidu, Samsung Electronics Co. Ltd., and MediaTek Inc.

Our market analysis also entails a section solely dedicated to such major players wherein our analysts provide an insight into the financial statements of all the major players, along with product benchmarking and SWOT analysis. The competitive landscape section also includes key development strategies, market share, and market ranking analysis of the above-mentioned players globally.

Key Developments

• In December 2022, Samsung Electronics announced a partnership with internet portal giant Naver Corporation to create next-generation artificial intelligence (AI) chips as part of efforts to increase the efficiency of processing huge AI data sets.
• In October 2022, IBM announced system-on-chip AI hardware. The AIU is a full system-on-chip board that connects to servers using an industry-standard PCIe interface. The IBM Tellum microprocessor, which drives the IBM z16 series mainframes, including the LinuxOne Emperor 4, contains an AI core that serves as the AIU’s basis. The Tellum processor’s AI cores are 7nm, whereas the AIUs have 32 cores apiece and were designed using a 5nm (nanometer) technology.
• In may 2022, Intel Corp. launched a new chip termed Gaudi2 aimed at artificial intelligence computing, as the chipmaker expands its presence in the AI chip industry. Gaudi2 is the second generation processor by Habana Labs, an Israeli AI chip business acquired by Intel in late 2019 for around $2 billion. AI chip firms have received significant funding in recent years, as AI computing is one of the fastest-growing sectors of data centre activity.
• In August 2020, Kneron, a leading full-stack edge AI solutions provider, launched its advanced AI chipset – “Kneron KL 720 SoC”. The goal is to offer a complete and cost-effective AI chipsets suite for devices all around the world.
• In May 2020, Nvidia Corporation, a global corporation that manufactures graphics processors, mobile technologies, and desktop computers, expanded its EGX Edge AI platform by launching the new EGX Jetson Xavier NX and EGX A100. The aim is to offer secured AI processing and high-performance at the edge.
• In September 2019, Alibaba Group Holding Limited launched an AI-based chipset – “Hanguang 800” that offers advanced computing capability on the cloud. This chip can accelerate machine learning tasks and improves the customer experience.
• In September 2019, Apple Inc. built its A11, A12, and A13 Bionic Chips for the high-performance processors that consist of core CPUs integrated with GPUs as accelerators.
• In December 2019, Intel Corporation acquired Habana labs for $2 billion. Intel Corporation advanced its AI strategy with this acquisition by providing customers with solutions that fit their needs.
• In August 2019, NVIDIA Corporation partnered with VMware and Amazon to accelerate AI tasks. With this partnership, NVIDIA Corporation released GPU technology for the VMware Cloud on AWS. This also helped joint customers of NVIDIA Corporation and VMware to streamline their workflow.
• In March 2019, AMD partnered with ScaleMP to enable AMD server OEMs to create systems with 4, 8, and up to 128 processor sockets, 8,192 CPUs, and 256 terabytes of shared memory.

Ace Matrix Analysis

The Ace Matrix provided in the report would help to understand how the major key players involved in this industry are performing as we provide a ranking for these companies based on various factors such as service features & innovations, scalability, innovation of services, industry coverage, industry reach, and growth roadmap. Based on these factors, we rank the companies into four categories as Active, Cutting Edge, Emerging, and Innovators.

Market Attractiveness

The image of market attractiveness provided would further help to get information about the region that is majorly leading in the global Artificial Intelligence Chip market. We cover the major impacting factors that are responsible for driving the industry growth in the given region.