The global artificial intelligence (AI) chip sector is on track for explosive growth this decade, projected to nearly quadruple in size, reaching a US$330 billion industry by 2030, according to data revealed by mystery boxes website Jemlit.com. This monumental rise is being fuelled by an unprecedented boom in AI startups, machine learning advancements, and critical capital inflows.
Already outpacing the broader technology sector, the AI chip market has demonstrated remarkable velocity, surging over 400 per cent in value over the last five years alone to reach US$92 billion as of this year. This rate of growth is nearly three times higher than that observed in the global AI industry, which grew by 170 percent during the same five-year period, reaching a valuation of US$254 billion by 2025.
US$47B added annually: The scale of future growth
The remarkable trajectory of AI chips—essential components driving innovation across cloud computing and major tech advancements—is forecast to continue unabated.
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Data indicate that revenue in the AI chip market is expected to surge by 258 percent between 2025 and 2030. This future expansion translates to an average annual increase of roughly US$47 billion in revenue added to the market each year.
While the peak annual growth rate, recorded at 49 per cent in 2024, is anticipated to ease slightly, annual expansion is expected to remain firmly in the double digits, ranging between 35 per cent and 22 per cent through to the end of the decade.
Tech giants such as Nvidia, AMD, and Google are key players constantly improving chip performance, responding to immense global demand despite facing supply chain challenges, export restrictions, and the stockpiling of existing inventory—factors that have previously made these components more expensive and harder to source. The market’s strong resilience suggests highly optimistic future projections.
Volume explosion and China’s accelerating dominance
The physical volume of AI chips is set to skyrocket alongside the market’s financial valuation. Projections indicate a massive 283 per cent surge in unit volume, rising from 66.2 billion units in 2025 to a staggering 254 billion units by 2030.
A crucial geopolitical insight for the Southeast Asian tech ecosystem is the accelerating pace of growth in key regional player, China. Although just five markets—the US, China, France, Canada, and Germany—currently generate nearly a third of all AI chip sales globally, growth rates vary sharply.
China is leading the global expansion and is officially projected to be the fastest-growing major AI chip market.
Key growth differentials by 2030 include:
- China: Projected growth of 283 per cent, reaching US$31.1 billion in revenue.
- The US: Projected growth of 252 per cent, reaching a commanding US$48.6 billion in revenue, retaining its status as the world’s largest market.
Crucially, China’s projected growth rate (283 per cent) is roughly 30 per cent above that of the US(252 per cent) over the same period.
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Other major global markets, France, Canada, and Germany, are projected to experience equally impressive growth of 240 per cent each, reaching US$13 billion, US$10.9 billion, and US$10.8 billion in revenue, respectively, by 2030. This geographical comparison highlights the shift in momentum and the growing significance of the Chinese market as a key driver of AI chip demand and innovation in Asia.
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