Generative Artificial Intelligence (AI) Chipset Market Report 2026

The generative artificial intelligence (ai) chipset market size has grown exponentially in recent years. It will grow from $40.97 billion in 2025 to $52.21 billion in 2026 at a compound annual growth rate (CAGR) of 27.4%. The growth in the historic period can be attributed to growth of machine learning applications, early adoption of gpu computing, expansion of cloud data centers, rising demand for high performance computing, initial ai research investments.

The generative artificial intelligence (ai) chipset market size is expected to see exponential growth in the next few years. It will grow to $136.98 billion in 2030 at a compound annual growth rate (CAGR) of 27.3%. The growth in the forecast period can be attributed to rapid adoption of generative ai applications, demand for faster model training, edge ai deployment growth, investment in custom ai hardware, expansion of ai driven industries. Major trends in the forecast period include rising demand for high performance ai accelerators, increasing adoption of asic based ai chipsets, growing use of gpus for generative ai workloads, expansion of ai chipsets in data centers, increasing focus on energy efficient ai hardware.

The increasing adoption of cloud-based solutions is projected to drive the growth of the generative artificial intelligence (AI) chipset market in the future. Cloud-based solutions refer to services and resources that are provided over the internet, rather than being hosted on local servers or physical hardware. This rising adoption is largely due to the scalability, cost efficiency, and flexible access to data and applications from any location, which enhances operational agility and reduces infrastructure costs for businesses. Generative AI chipsets improve cloud-based solutions by accelerating the processing of complex AI models, optimizing data handling, and enabling real-time, high-performance computations. This advancement supports more sophisticated and responsive cloud services and applications. For example, in April 2025, according to the American Bar Association, a U.S.-based professional organization, approximately 75% of attorneys reported using cloud computing for work-related tasks, up from 69% in 2023 and about 70% in 2022. Therefore, the growing adoption of cloud-based solutions is fueling the growth of the generative artificial intelligence (AI) chipset market.

Key players in the generative artificial intelligence (AI) chipset market are concentrating on developing advanced solutions, such as premium mobile platforms, to enhance on-device generative AI capabilities. A premium mobile platform featuring a generative AI chipset refers to a high-end mobile device equipped with advanced artificial intelligence hardware that can create and optimize content while improving user experiences. For example, in October 2023, Qualcomm Technologies Inc., a US-based semiconductor company, launched its latest premium chipset, the Snapdragon 8 Gen 3, aimed at enhancing generative AI capabilities in high-end smartphones. The Snapdragon 8 Gen 3 is designed to support sophisticated generative AI applications, enabling smartphones to perform tasks such as real-time voice translation, automatic content creation, and enhanced photo editing directly on the device. This shift towards on-device processing reduces reliance on cloud services, resulting in faster performance and improved user privacy.

In May 2024, HCL Technologies Limited, an India-based information technology company, announced a partnership with Arm Holdings plc to develop custom silicon chips that support AI-driven business operations. This collaboration aims to deliver solutions that empower semiconductor manufacturers, system original equipment manufacturers (OEMs), and cloud service providers to enhance the computing efficiency of their data center environments and address evolving customer demands. Arm Holdings plc is a UK-based semiconductor company engaged in generative AI chipsets.

Major companies operating in the generative artificial intelligence (ai) chipset market are NVIDIA Corporation, Advanced Micro Devices Inc., Intel Corporation, Qualcomm Technologies Inc., Samsung Electronics Co Ltd, Broadcom Inc., MediaTek Inc., Micron Technology Inc., Arm Holdings plc, Lattice Semiconductor Corporation, Rambus Inc., Cerebras Systems Inc., Hailo Technologies Ltd., SiMa.ai Inc., Graphcore Ltd., Tenstorrent Inc., Groq Inc., SambaNova Systems Inc., Esperanto Technologies Inc., Mythic Inc., Blaize Inc., EdgeQ Inc., Lightmatter Inc., d-Matrix Inc.

North America was the largest region in the generative artificial intelligence (AI) chipset market in 2025. The regions covered in the generative artificial intelligence (ai) chipset market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the generative artificial intelligence (ai) chipset market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The generative artificial intelligence (AI) chipset market consists of sales of tensor processing units (TPUs), neural processing units (NPUs), system-on-chip (SoC), memory modules, and networking hardware. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

This product will be delivered within 1-3 business days.