Semiconductor spending driven by AI demand is projected to nearly double from $775 billion in 2024 to $1.6 trillion by 2030.
Global spending on AI chips is expected to surge to $1.6 trillion by 2030, up from $775 billion this year, reflecting a 13% compound annual growth rate. The increase is fueled by demand for leading-edge chips and high-bandwidth memory, critical for AI applications.
The projection highlights a rapid expansion from current levels, with AI adoption acting as the primary catalyst. The semiconductor industry’s growth trajectory suggests concentrated gains for a few dominant players in the AI accelerator market.
Nvidia remains a key beneficiary, with its GPUs powering much of the AI boom. Despite a $5 trillion market cap, the company’s stock has surged nearly 1,600% since late 2022, though competition has yet to displace its leadership.