AI chip market seen topping $222 billion by 2030

By AI, Created 11:23 AM UTC, May 20, 2026, /AGP/ – The Business Research Company projects the artificial intelligence chip market will reach more than $222 billion by 2030, driven by demand for GPUs, edge AI and generative AI workloads. Asia Pacific is expected to be the largest region, while the U.S. is forecast to be the biggest country market.

Why it matters: - The artificial intelligence chip market is projected to become a major slice of the semiconductor industry by 2030, signaling sustained demand for AI hardware across data centers, devices and industrial systems. - The market’s growth points to rising spending on processors that can handle training, inference and low-latency AI applications. - The report forecasts the market will surpass $222 billion in 2030. - The market is expected to represent about 24% of the parent semiconductor and related devices market, which is projected at roughly $941 billion by 2030. - The market is estimated to account for nearly 4% of the broader electrical and electronics industry, projected at $5,611 billion by 2030.

What happened: - The Business Research Company published an updated forecast on the global artificial intelligence chip market on April 30, 2026. - The report projects a 41% CAGR for the market through 2030. - Asia Pacific is expected to be the largest region in 2030, with market value reaching $78 billion. - The U.S. is projected to be the largest country market in 2030, valued at $62 billion. - The GPU segment is expected to be the largest chip-type segment, accounting for 46% of the market, or $103 billion, in 2030. - The report includes market splits by chip type, processing type, technology, application and industry.

The details: - Asia Pacific is forecast to grow from $13 billion in 2025 to $78 billion in 2030 at a 42% CAGR. - Growth in Asia Pacific is tied to semiconductor manufacturing hubs in China, Taiwan, South Korea and Japan. - Additional growth drivers in Asia Pacific include AI infrastructure investment, data center buildouts, consumer electronics expansion, government support for domestic chip development and wider AI adoption in automotive, healthcare and manufacturing. - The U.S. market is projected to rise from $12 billion in 2025 to $62 billion in 2030 at a 39% CAGR. - U.S. growth is linked to leading AI chip designers and technology companies, cloud computing and generative AI adoption, hyperscale data center investment, AI research and development, and enterprise, defense and autonomous-system deployments. - The GPU segment is supported by demand for parallel processing in AI training and inference. - GPU adoption is also being driven by data center and cloud use, generative AI and large language models, and software ecosystem support. - The report identifies edge and cloud as processing-type segments. - The report lists system-on-chip, system-in-package, multi-chip module and other technologies as the technology segments. - The report lists natural language processing, robotics, computer vision, network security and other applications as key use cases. - The report lists media and advertising, BFSI, IT and telecom, retail, healthcare, automotive and transportation, and other industries as end markets. - The most significant growth opportunities are expected in GPU, ASIC, FPGA, CPU and other chip types. - Those segments are projected to add more than $182 billion in market value by 2030. - The GPU market is projected to grow by $85 billion from 2025 to 2030. - The ASIC market is projected to grow by $60 billion over the same period. - The FPGA market is projected to grow by $18 billion. - The CPU market is projected to grow by $14 billion. - Other chip types are projected to grow by $6 billion. - The report ties overall demand to generative AI, hyperscale data center workloads, edge AI deployment and advances in high-performance, energy-efficient chip architecture. - The report says smart homes and smart cities could contribute about 2.8% annual growth to the market. - The report says deep learning and neural networks could contribute about 2.5% annual growth to the market. - The report says increasing human interaction with AI systems could contribute about 2.3% annual growth to the market.

Between the lines: - The forecast suggests the market is shifting from a single-product story toward a broader infrastructure race across cloud, edge and embedded AI. - GPU dominance still stands out, but the size of the ASIC and FPGA opportunities shows buyers are also looking for more specialized and power-efficient silicon. - The regional outlook suggests Asia Pacific will remain central to manufacturing and demand, while the U.S. anchors the highest-value country market through design leadership and AI deployment. - The report’s emphasis on smart cities, IoT and human-in-the-loop systems suggests AI chips are moving deeper into everyday and industrial infrastructure, not just enterprise computing. - The Business Research Company also discloses that its report findings and recommendations are estimates and opinions, not statements of fact or investment guidance.

What’s next: - The report expects continued expansion through 2030 as AI workloads spread across industries and device categories. - Investors and chipmakers will likely keep focusing on GPUs for near-term scale, while also competing in ASIC, FPGA and CPU niches tied to energy efficiency and specialized workloads. - Further growth may depend on data center buildouts, edge deployments and the pace of AI adoption in automotive, healthcare, defense and industrial systems. - More information: the company’s announcement - The full report: the detailed market report

The bottom line: - AI chips are on track to become a roughly $222 billion market by 2030, with GPUs leading and Asia Pacific and the U.S. driving much of the growth.