The automotive AI chipset market is projected to be worth US$ 3.5 billion in 2024. The market is anticipated to reach US$ 25.9 billion by 2034. The market is further expected to surge at a CAGR of 22.1% during the forecast period 2024 to 2034.
Key Market Trends and Highlights
| Attributes | Key Insights |
|---|---|
| Automotive AI Chipset Market Estimated Size in 2024 | US$ 3.5 billion |
| Projected Market Value in 2034 | US$ 25.9 billion |
| Value-based CAGR from 2024 to 2034 | 22.1% |
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The scope for automotive AI chipset rose at a 18.4% CAGR between 2019 and 2023. The global market for automotive AI chipset is anticipated to grow at a moderate CAGR of 22.1% over the forecast period 2024 to 2034.
| Report Attributes | Details |
|---|---|
| Market Value in 2019 | US$ 1.5 billion |
| Market Value in 2023 | US$ 2.9 billion |
| CAGR from 2019 to 2023 | 18.4% |
The automotive AI chipset market experienced a significant increase in the adoption of automotive AI chipsets during the historical period from 2019 to 2023. There was a significant focus on the development and testing of autonomous vehicles, driving the demand for advanced AI chipsets to enable functions such as perception, decision making, and control.
The automotive industry also witnessed a notable shift towards electric vehicles during this period. AI chipsets became crucial in managing energy efficiency, battery optimization, and enhancing the overall performance of electric vehicles.
Vehicles became more connected during this period, leading to a surge in data generation. AI chipsets played a role in processing and analyzing this data, supporting applications such as telematics, predictive maintenance, and in car infotainment.
The market is expected to witness the growth of urban air mobility during the forecast period, where AI chipsets will play a pivotal role in developing AI driven systems. The systems will focus on navigation, traffic management, and safety for autonomous flying vehicles.
The widespread deployment of 5G technology in the forecast period is poised to enhance vehicle connectivity. The improvement will facilitate more advanced AI applications in vehicles, supporting real time data processing and communication.
AI chipsets are expected to play a crucial role in advancing predictive maintenance systems. The advancement aims to reduce downtime, extend vehicle lifespan, and enhance overall maintenance efficiency.
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The below table showcases revenues in terms of the top 5 leading countries, spearheaded by Australia and Japan. The countries are expected to lead the market through 2034.
Forecast CAGRs from 2024 to 2034
| The United States | 19.9% |
|---|---|
| Germany | 21.6% |
| Japan | 23.3% |
| China | 22.6% |
| Australia | 26.6% |
The automotive AI chipset market in the United States expected to expand at a CAGR of 19.9% through 2034. The United States has been a significant hub for the development and testing of autonomous vehicles. The growth of AI chipsets is closely tied to the advancements in autonomous driving technologies, with various companies investing in self driving vehicle projects.
The presence of major technology companies, such as Google, Tesla, Apple, and traditional automakers like General Motors, Ford, and others, fosters a competitive environment for AI driven technologies, which contributes to the development and adoption of AI chipsets.
The automotive AI chipset market in Japan is anticipated to expand at a CAGR of 23.3% through 2034. The automakers in Japan have a strong tradition of innovation and technological advancements. The continuous pursuit of innovation in vehicle design, performance, and features contributes to the adoption of AI chipsets for various applications.
Japan has been promoting the adoption of electric vehicles to address environmental concerns. AI chipsets play a crucial role in optimizing electric powertrains, battery management, and enhancing the intelligence of electric vehicles.
The automotive AI chipset market in Germany is poised to expand at a CAGR of 21.6% through 2034. Germany is home to several major automotive manufacturers, including Volkswagen, BMW, Daimler, and Audi. The strong automotive manufacturing base in the country drives demand for advanced technologies, including AI chipsets, to enhance vehicle capabilities.
Government initiatives and policies in Germany support innovation in the automotive sector. Funding, incentives, and regulatory support encourage the development and adoption of AI driven technologies, including AI chipsets.
Automotive AI chipset trends in China are taking a turn for the better. A 22.6% CAGR is forecast for the country from 2024 to 2034. The cities in China are actively exploring smart city initiatives, and intelligent transportation systems are key components. AI chipsets contribute to the development of smart traffic management, vehicle to everything communication, and other smart city solutions.
The concept of Mobility as a Service is gaining traction in China. AI chipsets play a role in the development of intelligent and connected mobility solutions, including ride sharing, autonomous taxis, and other innovative transportation services.
The automotive AI chipset market in Australia is anticipated to expand at a CAGR of 26.6% through 2034. The growth of connected car technologies, which rely on AI for communication and data processing, is expected to contribute to the automotive AI chipset Market in Australia. Features such as in car connectivity, navigation, and real time information are becoming more prevalent.
Innovations in HMI, including AI driven interfaces, gesture controls, and augmented reality displays, may contribute to the growth of AI chipsets in the country. Improving the user experience is a key aspect of technological advancements in vehicles.
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The below table highlights how passenger vehicle segment is projected to lead the market in terms of vehicle type, and is expected to account for a share of 72.0% in 2024.
Based on application, the advanced driver assistance systems segment is expected to account for a share of 35.0% in 2024.
| Category | Shares in 2024 |
|---|---|
| Passenger Vehicle | 72.0% |
| Advanced Driver Assistance Systems | 35.0% |
Based on vehicle type, the passenger vehicle segment is expected to continue dominating the automotive AI chipset market. The segment is expected to account for a share of 72.0% in 2024.
The development and integration of autonomous driving technologies in passenger vehicles rely heavily on AI chipsets. The chipsets process data from various sensors, cameras, and radars to enable features such as lane keeping, adaptive cruise control, and fully autonomous driving.
Passenger vehicles are incorporating AI driven applications within the cabin to enhance the in car experience, which includes AI powered infotainment systems, voice recognition, personalized settings, and features like natural language processing for human machine interaction.
AI chipsets support real time data processing for effective traffic management and navigation in passenger vehicles, which includes dynamic route planning, traffic prediction, and intelligent navigation systems, contributing to a smoother driving experience.
In terms of application, the ADAS segment is expected to continue dominating the automotive AI chipset market. The segment is expected to account for a share of 35.0% in 2024.
Many regions have implemented or are considering regulations mandating the inclusion of certain ADAS features in vehicles. For instance, requirements for autonomous emergency braking systems. Compliance with these regulations drives the integration of AI chipsets in vehicles.
Ongoing technological advancements in ADAS, enabled by AI chipsets, contribute to the development of more sophisticated and effective safety features, which includes improved object recognition, adaptive cruise control, and advanced sensor fusion techniques.
AI chipsets play a crucial role in the development of collision avoidance systems. The systems use sensors and AI algorithms to detect potential collisions and take preventive actions, such as alerting the driver or applying brakes autonomously.
The key strategies chosen by large companies include several growth strategies such as technology development, expansion as well and mergers and acquisitions to surge market share, reach and revenue.
| Attribute | Details |
|---|---|
| Estimated Market Size in 2024 | US$ 3.5 billion |
| Projected Market Valuation in 2034 | US$ 25.9 billion |
| Value-based CAGR 2024 to 2034 | 22.1% |
| Forecast Period | 2024 to 2034 |
| Historical Data Available for | 2019 to 2023 |
| Market Analysis | Value in US$ billion |
| Key Regions Covered |
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| Key Market Segments Covered |
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| Key Countries Profiled |
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| Key Companies Profiled |
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The automotive AI chipset market is expected to reach US$ 3.5 billion in 2024.
The automotive AI chipset industry is set to expand by a CAGR of 22.1% through 2034.
The automotive AI chipset market is forecast to reach US$ 25.9 billion by 2034.
Australia is to be the top performing market, with a CAGR of 26.6% through 2034.
Passenger vehicle segment is preferred, and is expected to account for a share of 72.0% in 2024.
1. Executive Summary 1.1. Global Market Outlook 1.2. Demand-side Trends 1.3. Supply-side Trends 1.4. Technology Roadmap Analysis 1.5. Analysis and Recommendations 2. Market Overview 2.1. Market Coverage / Taxonomy 2.2. Market Definition / Scope / Limitations 3. Market Background 3.1. Market Dynamics 3.1.1. Drivers 3.1.2. Restraints 3.1.3. Opportunity 3.1.4. Trends 3.2. Scenario Forecast 3.2.1. Demand in Optimistic Scenario 3.2.2. Demand in Likely Scenario 3.2.3. Demand in Conservative Scenario 3.3. Opportunity Map Analysis 3.4. Investment Feasibility Matrix 3.5. PESTLE and Porter’s Analysis 3.6. Regulatory Landscape 3.6.1. By Key Regions 3.6.2. By Key Countries 3.7. Regional Parent Market Outlook 4. Global Market Analysis 2019 to 2023 and Forecast, 2024 to 2034 4.1. Historical Market Size Value (US$ Million) Analysis, 2019 to 2023 4.2. Current and Future Market Size Value (US$ Million) Projections, 2024 to 2034 4.2.1. Y-o-Y Growth Trend Analysis 4.2.2. Absolute $ Opportunity Analysis 5. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Product 5.1. Introduction / Key Findings 5.2. Historical Market Size Value (US$ Million) Analysis By Product, 2019 to 2023 5.3. Current and Future Market Size Value (US$ Million) Analysis and Forecast By Product, 2024 to 2034 5.3.1. GPU 5.3.2. ASIC 5.3.3. FGPA 5.3.4. CPU 5.4. Y-o-Y Growth Trend Analysis By Product, 2019 to 2023 5.5. Absolute $ Opportunity Analysis By Product, 2024 to 2034 6. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Application 6.1. Introduction / Key Findings 6.2. Historical Market Size Value (US$ Million) Analysis By Application, 2019 to 2023 6.3. Current and Future Market Size Value (US$ Million) Analysis and Forecast By Application, 2024 to 2034 6.3.1. Advanced Driver Assistance Systems (ADAS) 6.3.2. Voice & Gesture Recognition 6.3.3. Infotainment System 6.3.4. Predictive Maintenance 6.3.5. Autonomous Driving 6.3.6. Others 6.4. Y-o-Y Growth Trend Analysis By Application, 2019 to 2023 6.5. Absolute $ Opportunity Analysis By Application, 2024 to 2034 7. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Processing Type 7.1. Introduction / Key Findings 7.2. Historical Market Size Value (US$ Million) Analysis By Processing Type, 2019 to 2023 7.3. Current and Future Market Size Value (US$ Million) Analysis and Forecast By Processing Type, 2024 to 2034 7.3.1. Computer Vision 7.3.2. Machine Learning 7.3.3. Natural Language Processing 7.4. Y-o-Y Growth Trend Analysis By Processing Type, 2019 to 2023 7.5. Absolute $ Opportunity Analysis By Processing Type, 2024 to 2034 8. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Region 8.1. Introduction 8.2. Historical Market Size Value (US$ Million) Analysis By Region, 2019 to 2023 8.3. Current Market Size Value (US$ Million) Analysis and Forecast By Region, 2024 to 2034 8.3.1. North America 8.3.2. Latin America 8.3.3. Western Europe 8.3.4. Eastern Europe 8.3.5. South Asia and Pacific 8.3.6. East Asia 8.3.7. Middle East and Africa 8.4. Market Attractiveness Analysis By Region 9. North America Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country 9.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2019 to 2023 9.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2024 to 2034 9.2.1. By Country 9.2.1.1. USA 9.2.1.2. Canada 9.2.2. By Product 9.2.3. By Application 9.2.4. By Processing Type 9.3. Market Attractiveness Analysis 9.3.1. By Country 9.3.2. By Product 9.3.3. By Application 9.3.4. By Processing Type 9.4. Key Takeaways 10. Latin America Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country 10.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2019 to 2023 10.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2024 to 2034 10.2.1. By Country 10.2.1.1. Brazil 10.2.1.2. Mexico 10.2.1.3. Rest of Latin America 10.2.2. By Product 10.2.3. By Application 10.2.4. By Processing Type 10.3. Market Attractiveness Analysis 10.3.1. By Country 10.3.2. By Product 10.3.3. By Application 10.3.4. By Processing Type 10.4. Key Takeaways 11. Western Europe Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country 11.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2019 to 2023 11.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2024 to 2034 11.2.1. By Country 11.2.1.1. Germany 11.2.1.2. UK 11.2.1.3. France 11.2.1.4. Spain 11.2.1.5. Italy 11.2.1.6. Rest of Western Europe 11.2.2. By Product 11.2.3. By Application 11.2.4. By Processing Type 11.3. Market Attractiveness Analysis 11.3.1. By Country 11.3.2. By Product 11.3.3. By Application 11.3.4. By Processing Type 11.4. Key Takeaways 12. Eastern Europe Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country 12.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2019 to 2023 12.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2024 to 2034 12.2.1. By Country 12.2.1.1. Poland 12.2.1.2. Russia 12.2.1.3. Czech Republic 12.2.1.4. Romania 12.2.1.5. Rest of Eastern Europe 12.2.2. By Product 12.2.3. By Application 12.2.4. By Processing Type 12.3. Market Attractiveness Analysis 12.3.1. By Country 12.3.2. By Product 12.3.3. By Application 12.3.4. By Processing Type 12.4. Key Takeaways 13. South Asia and Pacific Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country 13.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2019 to 2023 13.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2024 to 2034 13.2.1. By Country 13.2.1.1. India 13.2.1.2. Bangladesh 13.2.1.3. Australia 13.2.1.4. New Zealand 13.2.1.5. Rest of South Asia and Pacific 13.2.2. By Product 13.2.3. By Application 13.2.4. By Processing Type 13.3. Market Attractiveness Analysis 13.3.1. By Country 13.3.2. By Product 13.3.3. By Application 13.3.4. By Processing Type 13.4. Key Takeaways 14. East Asia Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country 14.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2019 to 2023 14.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2024 to 2034 14.2.1. By Country 14.2.1.1. China 14.2.1.2. Japan 14.2.1.3. South Korea 14.2.2. By Product 14.2.3. By Application 14.2.4. By Processing Type 14.3. Market Attractiveness Analysis 14.3.1. By Country 14.3.2. By Product 14.3.3. By Application 14.3.4. By Processing Type 14.4. Key Takeaways 15. Middle East and Africa Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country 15.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2019 to 2023 15.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2024 to 2034 15.2.1. By Country 15.2.1.1. GCC Countries 15.2.1.2. South Africa 15.2.1.3. Israel 15.2.1.4. Rest of MEA 15.2.2. By Product 15.2.3. By Application 15.2.4. By Processing Type 15.3. Market Attractiveness Analysis 15.3.1. By Country 15.3.2. By Product 15.3.3. By Application 15.3.4. By Processing Type 15.4. Key Takeaways 16. Key Countries Market Analysis 16.1. USA 16.1.1. Pricing Analysis 16.1.2. Market Share Analysis, 2023 16.1.2.1. By Product 16.1.2.2. By Application 16.1.2.3. By Processing Type 16.2. Canada 16.2.1. Pricing Analysis 16.2.2. Market Share Analysis, 2023 16.2.2.1. By Product 16.2.2.2. By Application 16.2.2.3. By Processing Type 16.3. Brazil 16.3.1. Pricing Analysis 16.3.2. Market Share Analysis, 2023 16.3.2.1. By Product 16.3.2.2. By Application 16.3.2.3. By Processing Type 16.4. Mexico 16.4.1. Pricing Analysis 16.4.2. Market Share Analysis, 2023 16.4.2.1. By Product 16.4.2.2. By Application 16.4.2.3. By Processing Type 16.5. Germany 16.5.1. Pricing Analysis 16.5.2. Market Share Analysis, 2023 16.5.2.1. By Product 16.5.2.2. By Application 16.5.2.3. By Processing Type 16.6. UK 16.6.1. Pricing Analysis 16.6.2. Market Share Analysis, 2023 16.6.2.1. By Product 16.6.2.2. By Application 16.6.2.3. By Processing Type 16.7. France 16.7.1. Pricing Analysis 16.7.2. Market Share Analysis, 2023 16.7.2.1. By Product 16.7.2.2. By Application 16.7.2.3. By Processing Type 16.8. Spain 16.8.1. Pricing Analysis 16.8.2. Market Share Analysis, 2023 16.8.2.1. By Product 16.8.2.2. By Application 16.8.2.3. By Processing Type 16.9. Italy 16.9.1. Pricing Analysis 16.9.2. Market Share Analysis, 2023 16.9.2.1. By Product 16.9.2.2. By Application 16.9.2.3. By Processing Type 16.10. Poland 16.10.1. Pricing Analysis 16.10.2. Market Share Analysis, 2023 16.10.2.1. By Product 16.10.2.2. By Application 16.10.2.3. By Processing Type 16.11. Russia 16.11.1. Pricing Analysis 16.11.2. Market Share Analysis, 2023 16.11.2.1. By Product 16.11.2.2. By Application 16.11.2.3. By Processing Type 16.12. Czech Republic 16.12.1. Pricing Analysis 16.12.2. Market Share Analysis, 2023 16.12.2.1. By Product 16.12.2.2. By Application 16.12.2.3. By Processing Type 16.13. Romania 16.13.1. Pricing Analysis 16.13.2. Market Share Analysis, 2023 16.13.2.1. By Product 16.13.2.2. By Application 16.13.2.3. By Processing Type 16.14. India 16.14.1. Pricing Analysis 16.14.2. Market Share Analysis, 2023 16.14.2.1. By Product 16.14.2.2. By Application 16.14.2.3. By Processing Type 16.15. Bangladesh 16.15.1. Pricing Analysis 16.15.2. Market Share Analysis, 2023 16.15.2.1. By Product 16.15.2.2. By Application 16.15.2.3. By Processing Type 16.16. Australia 16.16.1. Pricing Analysis 16.16.2. Market Share Analysis, 2023 16.16.2.1. By Product 16.16.2.2. By Application 16.16.2.3. By Processing Type 16.17. New Zealand 16.17.1. Pricing Analysis 16.17.2. Market Share Analysis, 2023 16.17.2.1. By Product 16.17.2.2. By Application 16.17.2.3. By Processing Type 16.18. China 16.18.1. Pricing Analysis 16.18.2. Market Share Analysis, 2023 16.18.2.1. By Product 16.18.2.2. By Application 16.18.2.3. By Processing Type 16.19. Japan 16.19.1. Pricing Analysis 16.19.2. Market Share Analysis, 2023 16.19.2.1. By Product 16.19.2.2. By Application 16.19.2.3. By Processing Type 16.20. South Korea 16.20.1. Pricing Analysis 16.20.2. Market Share Analysis, 2023 16.20.2.1. By Product 16.20.2.2. By Application 16.20.2.3. By Processing Type 16.21. GCC Countries 16.21.1. Pricing Analysis 16.21.2. Market Share Analysis, 2023 16.21.2.1. By Product 16.21.2.2. By Application 16.21.2.3. By Processing Type 16.22. South Africa 16.22.1. Pricing Analysis 16.22.2. Market Share Analysis, 2023 16.22.2.1. By Product 16.22.2.2. By Application 16.22.2.3. By Processing Type 16.23. Israel 16.23.1. Pricing Analysis 16.23.2. Market Share Analysis, 2023 16.23.2.1. By Product 16.23.2.2. By Application 16.23.2.3. By Processing Type 17. Market Structure Analysis 17.1. Competition Dashboard 17.2. Competition Benchmarking 17.3. Market Share Analysis of Top Players 17.3.1. By Regional 17.3.2. By Product 17.3.3. By Application 17.3.4. By Processing Type 18. Competition Analysis 18.1. Competition Deep Dive 18.1.1. Advanced Micro Devices Inc. (AMD) 18.1.1.1. Overview 18.1.1.2. Product Portfolio 18.1.1.3. Profitability by Market Segments 18.1.1.4. Sales Footprint 18.1.1.5. Strategy Overview 18.1.1.5.1. Marketing Strategy 18.1.2. Xilinx Inc. 18.1.2.1. Overview 18.1.2.2. Product Portfolio 18.1.2.3. Profitability by Market Segments 18.1.2.4. Sales Footprint 18.1.2.5. Strategy Overview 18.1.2.5.1. Marketing Strategy 18.1.3. Graphcore Ltd 18.1.3.1. Overview 18.1.3.2. Product Portfolio 18.1.3.3. Profitability by Market Segments 18.1.3.4. Sales Footprint 18.1.3.5. Strategy Overview 18.1.3.5.1. Marketing Strategy 18.1.4. Huawei Technologies Co. Ltd 18.1.4.1. Overview 18.1.4.2. Product Portfolio 18.1.4.3. Profitability by Market Segments 18.1.4.4. Sales Footprint 18.1.4.5. Strategy Overview 18.1.4.5.1. Marketing Strategy 18.1.5. IBM Corporation 18.1.5.1. Overview 18.1.5.2. Product Portfolio 18.1.5.3. Profitability by Market Segments 18.1.5.4. Sales Footprint 18.1.5.5. Strategy Overview 18.1.5.5.1. Marketing Strategy 18.1.6. Intel Corporation 18.1.6.1. Overview 18.1.6.2. Product Portfolio 18.1.6.3. Profitability by Market Segments 18.1.6.4. Sales Footprint 18.1.6.5. Strategy Overview 18.1.6.5.1. Marketing Strategy 18.1.7. NVIDIA Corporation 18.1.7.1. Overview 18.1.7.2. Product Portfolio 18.1.7.3. Profitability by Market Segments 18.1.7.4. Sales Footprint 18.1.7.5. Strategy Overview 18.1.7.5.1. Marketing Strategy 18.1.8. Micron Technology Inc. 18.1.8.1. Overview 18.1.8.2. Product Portfolio 18.1.8.3. Profitability by Market Segments 18.1.8.4. Sales Footprint 18.1.8.5. Strategy Overview 18.1.8.5.1. Marketing Strategy 18.1.9. Samsung Semiconductor (Samsung Electronics Co. Ltd) 18.1.9.1. Overview 18.1.9.2. Product Portfolio 18.1.9.3. Profitability by Market Segments 18.1.9.4. Sales Footprint 18.1.9.5. Strategy Overview 18.1.9.5.1. Marketing Strategy 19. Assumptions & Acronyms Used 20. Research Methodology
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Automotive AI Chipset Market
