Edge AI chipset market to surpass cloud in revenue by 2025: Page 2 of 2

August 10, 2020 //By Jean-Pierre Joosting
Edge AI chipset market to surpass cloud in revenue by 2025
ABI Research predicts that the edge artificial intelligence (AI) chipset market will exceed the cloud AI chipset market for the first time in 2025, propelled by the increasing focus on low latency, data privacy, and the availability of low-cost and ultra-power-efficient AI chipsets.

This is a prime opportunity for chipset vendors with a diverse range of product offerings to capitalize on this disruption instead of a particular niche. Intel is a prime example. In 2019, the chipset conglomerate witnessed strong growth in Mobileye, its ADAS chipset subsidiary, and overtook NVIDIA as the leading-edge AI vendor.  Intel is expected to continue to see high demands for its cloud AI chipset and experience strong demand for its Mobileye, Movidius and FPGA products.

In the consumer market, COVID-19 has disrupted the demand for many smart devices, notably smartphones, smart home, and wearables, which has impacted the deployment of AI accelerators targeting these devices. At the same time, implementation in industrial manufacturing, retail, and other verticals have been postponed or put on hold.

"Nonetheless, ABI Research expects the market to rebound in 2022. It is important to note that the impact on the chipset supply chain has been relatively minimal since factories in Singapore and Taiwan remained operational during the outbreak," Su points out.

Vendors of key connectivity technologies such as 5G, Wi-Fi 6, and autonomous solutions such as autonomous vehicles see minimal impact to their product roadmaps. They are continuing with their trials and deployments, foretelling a quick rebound in demand for edge AI chipset beyond 2022.

"Catalyzing many other emerging technologies, edge AI will pave the way for a variety of new business opportunities in the consumer and enterprise segments," Su concludes.

www.abiresearch.com


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