According to Technavio, the global artificial intelligence (AI) chips market will record 39% growth between 2019 and 2023.
Key market findings include:
- Revenue generation is expected to reach $36.6 billion during the forecast period
- Increasing adoption of AI chips in data centres will be a key market driver.
This is owing to the ability of data centres to process a large amount of data, hence the need to enhance operational efficiency and to reduce their power consumption and operational costs.
Data centres are using AI technology for energy efficiency, infrastructure management, server optimisation, security, and others.
3. The convergence of AI and IoT is one of the key market trends. This is because of an increase in the deployment of AI chips and HMI technologies in IoT devices to enable power-efficient data processing and machine learning computation.
“The demand for IoT devices has been increasing due to the growing focus on smart city projects and the rising implementation of automation in homes and enterprises. Consequently, the market participants have been working in collaboration to develop software and hardware to integrate AI technology in IoT devices,” says a senior research analyst at Technavio.
The Americas region led the market in 2018 with more than 43% of the market share, followed by EMEA and APAC respectively.