Driven by the development of generative AI, AI chip revenue is expected to exceed US$53 billion this year

Revenue from chips used to run artificial intelligence (AI) workloads could reach $53.4 billion this year and is expected to continue growing to $119.4 billion in 2027, according to research firm Gartner.

The development of generative AI is driving chip production and deployment, said Alan Priestley, research vice president at Gartner

Priestley noted that as AI-based applications increase in data centers, edge infrastructure and endpoint devices, so does the need for high-performance GPUs and optimized semiconductors

In many organizations, he added, the deployment of custom chips will replace current discrete GPUs in workloads involving generative AI

According to Gartner's forecast, the value of artificial intelligence application processors used in consumer electronics will rise from US$558 million to US$1.2 billion in 2023

Mentions the high-performance computing systems required to develop and deploy generative AI services

According to Gartner, many vendors offering high-performance "GPU-based systems and networking equipment" are seeing clear short-term benefits, driven by companies seeking efficient and cost-effective ways to deploy these applications. Long term opportunity

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