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AI Chips and Accelerator Forecast
The data-center AI chips and accelerator market continues to dominate the worldwide semiconductor market. The market will grow at a CAGR of 37% to reach $355 billion by 2029. Generative AI use cases are the biggest driver for chips and will account for $250 billion by 2029. GPUs dominate the overall market segments with total of $37 billion in revenue in 2023 and we don't expect that to slow down. CPU usage is expected to decline over the time and grow at a CAGR or 10% to $9 billion. AI ASICs will continue to be primarily driven by the hyperscalers and CSPs, and merchant vendors will contribute a small percentage to the market. Overall, we expect the market to continue its healthy growth.
 

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