Institution: AI drives global chip market growth of 18.8% in 2024, HBM surges by 284%
According to market research firm Gartner, driven by the demand for artificial intelligence (AI), the global chip market is expected to grow 18.8% to $629.8 billion by 2024.
This growth rate is higher than Gartner's forecast of 16.8% a year ago, which had previously predicted a growth rate of 18.5%. Gartner has lowered its latest growth rate forecast for 2025 from 15.5% to 13.8%, resulting in a market total of $716.7 billion next year.
Gartner Senior Chief Analyst Rajeev Rajput said in a statement, "The driving force for growth comes from the continued surge in demand for artificial intelligence related semiconductors and the recovery of electronics production, while demand in the automotive and industrial sectors remains weak
Recently, the storage market and graphics processing units (GPUs) will drive the growth of global semiconductor revenue.
It is expected that by 2025, the global storage market revenue will grow by 20.5%, reaching $196.3 billion. Continued supply shortage in 2024 will drive NAND prices up by 60%, but they will decrease by 3% in 2025. With reduced supply and weak prices in 2025, it is expected that the total revenue of NAND flash memory will reach 75.5 billion US dollars, an increase of 12% from 2024.
Due to the improvement of the supply shortage situation, unprecedented growth in high bandwidth memory (HBM) production and demand, and the rise in DDR5 DRAM prices, the supply and demand of DRAM will rebound. Overall, the total DRAM revenue is expected to increase from $90.1 billion in 2024 to $115.6 billion in 2025.
By 2025, the total GPU revenue is expected to reach $51 billion, an increase of 27%. Gartner analyst George Brocklehurst said, "However, the market is currently shifting towards the return on investment (ROI) stage, and inference revenue needs to grow several times higher than training investment.
However, the most popular product may be HBM DRAM, whose revenue is expected to grow by over 284% and 70% in 2024 and 2025, respectively, reaching $12.3 billion and $21 billion.
Gartner Senior Chief Analyst Rajeev Rajput said in a statement, "The driving force for growth comes from the continued surge in demand for artificial intelligence related semiconductors and the recovery of electronics production, while demand in the automotive and industrial sectors remains weak
Recently, the storage market and graphics processing units (GPUs) will drive the growth of global semiconductor revenue.
It is expected that by 2025, the global storage market revenue will grow by 20.5%, reaching $196.3 billion. Continued supply shortage in 2024 will drive NAND prices up by 60%, but they will decrease by 3% in 2025. With reduced supply and weak prices in 2025, it is expected that the total revenue of NAND flash memory will reach 75.5 billion US dollars, an increase of 12% from 2024.
Due to the improvement of the supply shortage situation, unprecedented growth in high bandwidth memory (HBM) production and demand, and the rise in DDR5 DRAM prices, the supply and demand of DRAM will rebound. Overall, the total DRAM revenue is expected to increase from $90.1 billion in 2024 to $115.6 billion in 2025.
By 2025, the total GPU revenue is expected to reach $51 billion, an increase of 27%. Gartner analyst George Brocklehurst said, "However, the market is currently shifting towards the return on investment (ROI) stage, and inference revenue needs to grow several times higher than training investment.
However, the most popular product may be HBM DRAM, whose revenue is expected to grow by over 284% and 70% in 2024 and 2025, respectively, reaching $12.3 billion and $21 billion.