AI in Supercomputer Market Share, Size, Trends, Industry Analysis Report, By Component (Processors/Computers, Storage, Memory, Interconnects); By Application; By Region; Segment Forecast, 2024 - 2032
- Published Date:Feb-2024
- Pages: 119
- Format: PDF
- Report ID: PM4355
- Base Year: 2023
- Historical Data: 2019-2022
Report Outlook
The global AI in supercomputer market was valued at USD 1,492.65 million in 2023 and is expected to grow at a CAGR of 21.4% during the forecast period.
Supercomputers are gaining popularity with their capacity to complete massive simulations within seconds. With technological advancements, artificial intelligence has also been used in the development process of supercomputers. The growing awareness about the utility of supercomputers in numerous applications is showing significant opportunities for AI in the supercomputer market.
- For instance, in April 2023, Oak Ridge National Laboratory, in partnership with the National Oceanic and Atmospheric Administration, announced their plan to introduce a new supercomputer devoted to climate science research.
The research report offers a quantitative and qualitative analysis of the AI in supercomputer market to enable effective decision-making. It covers the key trends and growth opportunities anticipated to have a favorable impact on the market. Besides, the study covers segment and regional revenue forecasts for market assessment.
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Moreover, the increased capacity and supercomputers made possible the evolution of new science branches in artificial intelligence, including machine learning and deep learning algorithms. The speed of supercomputers compared to normal computers is necessitating new development activities in this field for certain applications. For instance, the supercomputer Fugaku is known to be 20 million times more powerful than a smartphone.
However, the higher initial costs associated with AI-integrated supercomputers, along with the challenges of data storage as it is used to analyze large amounts of data to solve complex problems.
Growth Drivers
Rising emphasis on developing supercomputers for various applications.
AI supercomputers are computer systems specialized in handling the wider computational needs of artificial intelligence. Their capabilities to tackle the strengths of parallel processing and acceleration performance make them superior to traditional computers. Artificial intelligence has expanded various industries, including healthcare, education, finance, and entertainment. With the presence of larger data, machine learning, deep learning, and natural processing languages are driving the need for computer systems with higher speeds to do enormous simulations and analyze big data. This is driving the deployment of new AI supercomputers. In December 2023, China introduced its new home-grown supercomputer, Tianhe Xingyi.
In addition, countries are showing significant interest in developing supercomputers. The UK government has announced its plan to build the fastest AI supercomputers with an investment of $273 million. After a week of this news, at the AI safety summit, it was announced to invest $363.57 million in the “AI Research Resource” and enhance funding for two supercomputers to promote research on advanced AI models safely.
Japan is focusing on developing cutting-edge supercomputers with a 2.5 times higher computational capacity than its earlier machines to promote generative artificial intelligence (Gen AI) research activities in the country. The Ministry of Economy, Trade, and Industry announced $226 million for the development of a new center for supercomputers and quantum technologies. This trend is likely to stimulate research activities on AI supercomputers in Japan and also encourage other countries to promote studies in this field.
The applications of supercomputers are growing significantly. It is at an emerging stage in the automotive industry. The rising consumer interest in automotive vehicles is driving manufacturers to adopt the latest technologies for building efficient autonomous vehicles. For instance, in August 2023, Tesla announced its plan to invest $1 billion in its Dojo supercomputer by the end of 2024. It is designed to speed up the development of its autonomous driving software.
Report Segmentation
The market is primarily segmented based on component, application, and region.
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By Component |
By Application |
By Region |
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By Component Analysis
The processors/Computers segment is expected to witness the highest market growth during the forecast period.
The processors/computers segment witnessed rapid market growth, mainly driven by the impact of processing power and the efficiency of processors in improving the speed and performance of supercomputers. The higher processing power of a supercomputer ensures the supercomputer can deal with complex AI models and train and run AI models smoothly in less time.
The memory segment led the industry, largely attributable to its vital role in analyzing big data, driving the need for higher memory storage capacity. Furthermore, the higher memory needs in numerous applications, specifically predictive analysis and machine learning, signify the necessity to analyze intricate patterns in large datasets as a part of building AI models.
By Application Analysis
The government segment accounted for the largest market share in 2023
The government segment accounted for the largest market share. The growing government initiatives influence climate research, financial modeling, and more. The escalating financial scams are driving the need for the government to adopt advanced machine learning and artificial intelligence models. In 2022, the Centre for Development of Advanced Computing (C-DAC) and the Indian Institute of Technology unveiled their collaborative supercomputer, Param Ananta, as part of the second phase of the National Supercomputing Mission.
The commercial segment is expected to grow at the fastest rate on account of the rapid increase in demand for AI supercomputers in automobiles, healthcare, finance, and retail. Companies in these sectors are showing interest in adopting data-driven decision-making, contributing to the need to analyze big data and, in a way, driving the demand for AI in supercomputer market
Regional Insights
North America region registered the largest market share of the global market analysis in 2023
The North American region dominated the global market share. The market growth of the segment market can be largely attributed to the presence of major players in the region contributing to the overall market development of AI in supercomputers on a global scale. For instance, in November 2023, Nvidia, a United States tech giant, announced the start of initial operations to build hyper-scale Gen AI supercomputers in Israel.
The Asia Pacific region is expected to be the fastest-growing region with a healthy market CAGR during the projected period, owing to the increasing initiatives to support the deployment of advanced AI supercomputers. The ability of AI supercomputers to analyze larger amounts of data is driving countries in this region, specifically China and India, for government, commercial, academic, and research purposes.
As an example, in December 2023, Malaysian conglomerate YTL's utility unit is planning to enter a partnership with Nvidia to deploy artificial intelligence infrastructure in Southeast Asia with an investment of $4.3 billion. This includes the development of a supercomputer with a large language model using Nvidia's AI cloud computing platform and AI chips.
Key Market Players & Competitive Insights
The AI in the supercomputer market is anticipated to witness competition due to the existence of key market players with increased collaborative strategies to gain a competitive advantage and build efficient supercomputers with the utilization of artificial intelligence. For instance, in November 2023, AWS and Nvidia announced strategic collaborations with the aim of providing new supercomputing infrastructure software and services for Gen AI.
Some of the major players operating in the global market include:
- Advanced Micro Devices, Inc.
- Amazon Web Services, Inc.
- Arm Ltd.
- Atos SE
- Cerebras
- Dell Inc.
- Fujitsu
- Graphcore
- Groq, Inc.
- Hewlett Packard Enterprise Development LP
- Huawei Technologies Co., Ltd.
- IBM Corporation
- Intel Corporation
- Nvidia
Recent Developments
- In September 2023, Tata and Nvidia joined forces to develop India's first home-grown supercomputer powered by the GH200 Superchip.
- In September 2023, Reliance Industries and Nvidia announced a partnership to build AI supercomputers in India.
- In October 2023, researchers at the University of Albany are working with IBM’s new Center for Collaborative Artificial Intelligence research projects to study the next generation of AI and the influence of supercomputing in enhancing its performance.
AI in Supercomputer Market Report Scope
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Report Attributes |
Details |
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Market size value in 2024 |
USD 1,805.80 million |
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Revenue Forecast in 2032 |
USD 8,511.10 million |
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CAGR |
21.4% from 2024 – 2032 |
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Base year |
2023 |
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Historical data |
2019 – 2022 |
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Forecast period |
2024 – 2032 |
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Quantitative units |
Revenue in USD million and CAGR from 2024 to 2032 |
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Segments Covered |
By Component, By Application, By Region |
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Regional scope |
North America, Europe, Asia Pacific, Latin America, Middle East & Africa |
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Customization |
Report customization as per your requirements with respect to countries, regions, and segmentation. |
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FAQ's
Advanced Micro Devices, Inc., Amazon Web Services, Inc., Arm Ltd., Atos SE, Cerebras, Dell Inc., Fujitsu, Google, are the key companies in AI in Supercomputer Market.
The global AI in computer market is expected to grow at a CAGR of 21.4% during the forecast period.
The AI in Supercomputer Market report covering key segments are component, application, and region.
Rising emphasis on developing supercomputers for various applications are the key driving factors in AI in Supercomputer Market.
The global AI in supercomputer market size is expected to reach USD 8,511.10 million by 2032.
