ASIC Chip Market Research Report: By Application (Cryptocurrency Mining, Machine Learning, Networking and Telecommunications, Data Centers, Blockchain Technology, Artificial Intelligence), By Process Technology (5nm, 7nm, 10nm, 12nm, 14nm, 16nm), By End User (Cryptocurrency Miners, Data Center Operators, Cloud Service Providers, Artificial Intelligence Companies), By Chip Architecture (FPGA-based ASICs, GPU-based ASICs, Purpose-built ASICs) - Forecast to 2032.

ASIC Chip Market Overview

As per MRFR analysis, the ASIC Chip Market Size was estimated at 16.74 (USD Billion) in 2022. 

The ASIC Chip Market Industry is expected to grow from 18.49 (USD Billion) in 2023 to 32.84 (USD Billion) by 2032. The ASIC Chip Market CAGR (growth rate) is expected to be around 8.4% during the forecast period (2024 - 2032).

Key ASIC Chip Market Trends Highlighted

There will be a significant change in the ASIC Chip market shortly because AI and ML technologies are being adopted. The increased need for energy-efficient computing solutions, vast IoT devices, and cryptocurrency mining have been some of the major driving factors towards this growth. Some opportunities include developing specialized ASICs for fields like artificial intelligence accelerators or blockchain processing. Modern vendors are adopting advanced packaging technologies for better performance and efficiency, and there is also the advent of cloud-based ASIC design platforms.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

ASIC Chip Market Drivers

Rising Demand for Cryptocurrency Mining

The popularity of digital currencies such as Bitcoin and Ethereum has led to an increased demand for the circulatory system known as ASIC. As stated before, ASIC refers to a chip that performs a specific function in cryptocurrency mining or an application-specific integrated circuit in full.

Advancements in Artificial Intelligence (AI) and Machine Learning (ML)

The fast advancements of artificial intelligence and machine learning in recent times have constantly brought to the fore the critical need for hardware solutions since AI and ML algorithms are usually highly complicated and data extensive. For this purpose, these applications are best served by ASIC chips, which have a high computation intensity, low latency, and energy efficiency. Furthermore, the growing application of AI and ML in various sectors, including manufacturing, healthcare, finance, etc., is expected to drive the industry’s growth for the ASIC Chip Market.

Expansion of Cloud Computing and Data Center Infrastructure

High demand for cloud computing and data center services requires high-performance computing solutions. ASIC Chips used in this industry have the best indicators of performance, power consumption, and economy. An increase in demand for products and technological advancements in the production process are expected in the near future.

ASIC Chip Market Segment Insights

ASIC Chip Market Application Insights

At present, the application segment of the Asic Market is characterized as highly prospective for the years ahead. Thus, this segment’s application in cryptocurrency mining seems to be the market’s heavy driver. The relationship is explained by the growing popularity of cryptocurrencies, such as Bitcoin and Ethereum, on the one hand, and the rising demand for ASIC Chips on the other. Cryptocurrency Mining. The cryptocurrency mining ASIC Chip market accounted for $9.4 billion in 2023 and is expected to reach $25.8 billion by 2032 at a CAGR of 12.1%.

Machine Learning. ASIC Chips are highly demanded in machine learning applications, such as training and inference. As machine learning systems serve to be increasingly applied across various sectors, ranging from healthcare and finance to manufacturing, the demand for ASIC Chips is forecast to surge, thus driving this segment’s demand. The corresponding market projection is as follows: the machine learning ASIC Chip market is estimated to reach $20.5 billion in 2032 with a CAGR of 14.8%. Networking and Telecommunications. The network and telecommunications ASIC Chip market is one more highly prospective for the years ahead.

Asic remains key in providing high speed of data processing and connecting, with the internet being increasingly in demand. The corresponding market is forecast to reach up to $18.3 billion by 2032, with a CAGR of 10.2%. Data Centers. Another high prospect for the years ahead segment of the Asic Market application is data centers. The latter are increasingly using ASIC Chips to cope with the vast amount of data coming from such sources as cloud computing, big data analytics, and other AI applications. The data center ASIC Chip market is forecast to account for $33.4 billion in 2032 with a CAGR of 11.9%.

This technology is known for the increased demand for ASIC Chips for mining cryptocurrencies and blockchain-based applications. The relevant market will be $14.2 billion in 2032, with a CAGR of 15.3%. Artificial Intelligence. The latter sector is closely connected with the burgeoning demand for ASIC Chips. Thus, the AI ASIC Chip Market is projected to be $26.1 billion in 2032, with a CAGR of 14.6%. In such a way, the application segment of the ASIC market is projected to remain on the rising line for the forthcoming years.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

ASIC Chip Market Process Technology Insights

The ASIC Chip market based on Process Technology – Market size and forecast to 2023 process technology – 5nm, 7nm, 10nm, 12nm, 14nm, and 16nm. The highest growth is expected in the forecast period in the fifth year. The demand for high-performance computing and artificial intelligence applications is rising among a broad range of end users due to the popularity of a5 nm technology. The seventh shock is also projected to grow significantly over this projection time frame. So, it has become a favorite technology for smartphones and other mobile devices.

ASIC Chip Market End User Insights

The ASIC Chip Market Segmentation by End User includes Cryptocurrency Miners, Data Center Operators, Cloud Service Providers, and Artificial Intelligence Companies. Cryptocurrency Miners accounted for the largest revenue share of 40.0% in 2023 and are expected to maintain their dominance throughout the forecast period. The growing adoption of cryptocurrencies and the increasing popularity of blockchain technology are major factors driving the demand for ASIC Chips among cryptocurrency miners.

ASIC Chip Market Chip Architecture Insights

FPGA-based ASICs, GPU-based ASICs, and Purpose-built ASICs are the three main types of chip architectures used in the ASIC Chip Market. FPGA-based ASICs are reconfigurable and can be programmed to perform a variety of tasks, which makes them suitable for a wide range of applications. GPU-based ASICs are designed to accelerate graphics processing and are used in gaming, video editing, and other applications that require high-performance graphics capabilities.

ASIC Chip Market Regional Insights

The regional segmentation of the ASIC Chip Market showcases diverse growth trajectories across key geographic regions. In North America, the presence of the world’s leading technology companies and a strong chip manufacturing industry will enable it to maintain its lead and secure a sizable market share. Europe, with increasing demand for automotive, industrial, and healthcare applications, remains a close second. APAC region, on the other hand, is expected to grow significantly, driven by the growing usage of ASICs in consumer electronics and the expanding automobile sector.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

ASIC Chip Market Key Players and Competitive Insights

The ASIC Chip Market is fragmented, with the presence of many international and domestic players competing with each other. The key players are adopting merger and acquisition strategies to remain competitive in the market. Moreover, partnerships and product launches are some of the other strategies followed by the leading players in the ASIC Chip Market. Different factors drive the ASIC chip market, such as the increasing demand for artificial intelligence, machine learning, and cryptocurrency mining applications. Moreover, development in the ASIC Chips to get a higher hash rate, faster speed, and lower consumption of power drives market growth.

The competitive landscape is expected to remain fragmented by the presence of many major players in the market. ASIC Chip Market key players such as Canaan Creative, Bitmain, and MicroBT held a majority of the market share. However, many other mid-scale and emerging players, such as Ebang Communication, Innosilicon Technology, and AvalonMiner, among others, hold small shares in the ASIC Chip Market. The other emerging players also put efforts into partnerships and product launches to expand their geographic footprint and do tenders with other players in the mentioned market. The ASIC Chip Market experienced a significant CAGR growth during the forecast period. Major players in the market who are actively developing and constructing ASIC Chip Market solutions are Bitmain and Canaan Creative.

Bitmain is one of the key players in the ASIC Chip Market. The company offers chips with different hash rates and has introduced a line of high-performance chips specifically designed for cryptocurrency mining. The company operates in the Chinese market, and its presence is international. Additionally, the company has vastly spread across the world with the acquiring and partnerships made across all countries in the value chain.

The company is expanding its range of products to meet increasing end-user needs for chips in artificial intelligence, blockchain, receptors, and many more than the expected demand in the market. The company makes its products affordable and easily available, and it has enabled many consumers to access products in the market. This strategy makes the company a major player in the ASIC Chip Market. Canaan Creative is another major player in the ASIC Chip Market. The company offers a wide range of ASIC Chip Market solutions for AI, Blockchain, and other purposes. The company mainly focuses on R and has partnered with popular companies in the technology world.

Key Companies in the ASIC Chip Market Include:

• 
  

  Bitmain

  
  


• 
  

  StrongU

  
  


• 
  

  Yibang Communication

  
  


• 
  

  Gridseed

  
  


• 
  

  Canaan Creative

  
  


• 
  

  Ebang Communication

  
  


• 
  

  Butterfly Labs

  
  


• 
  

  MicroBT

  
  


• 
  

  Whatsminer

  
  


• 
  

  Innosilicon

  
  


• 
  

  Avalon

  
  


• 
  

  Goldshell

  
  


• 
  

  Baikal

  
  


• 
  

  Zeus Miner

  
  


• 
  

  GMO Network

  
  

ASIC Chip Market Industry Developments

The ASIC Chip market is projected to reach USD 135.46 billion by 2032, exhibiting a CAGR of 22.99% during the forecast period (2024-2032). The market growth is primarily driven by the increasing demand for ASICs in various applications, including data centers, automotive, consumer electronics, and industrial automation. The growing adoption of cloud computing, artificial intelligence (AI), and machine learning (ML) is also contributing to the market growth.

Recent developments in the market include:

- In 2023, Intel announced the launch of its latest ASIC Chip, the Habana Gaudi2, designed for AI training and inference.

- In 2024, TSMC announced plans to invest USD 12 billion in a new chip manufacturing facility in Arizona, which will produce ASICs for various applications.

- In 2025, Qualcomm announced a partnership with Google to develop ASICs for next-generation smartphones.

These developments indicate the growing importance of ASICs in various industries and the increasing investment in their development and production.

ASIC Chip Market Segmentation Insights

ASIC Chip Market Application Outlook

1. 
   
   
   
   1. 
      

      Cryptocurrency Mining

      
      
   
   
   2. 
      

      Machine Learning

      
      
   
   
   3. 
      

      Networking and Telecommunications

      
      
   
   
   4. 
      

      Data Centers

      
      
   
   
   5. 
      

      Blockchain Technology

      
      
   
   
   6. 
      

      Artificial Intelligence

      
      
   
   
   
   

ASIC Chip Market Process Technology Outlook

1. 
   
   
   
   1. 
      

      5nm

      
      
   
   
   2. 
      

      7nm

      
      
   
   
   3. 
      

      10nm

      
      
   
   
   4. 
      

      12nm

      
      
   
   
   5. 
      

      14nm

      
      
   
   
   6. 
      

      16nm

      
      
   
   
   
   

ASIC Chip Market End User Outlook

1. 
   
   
   
   1. 
      

      Cryptocurrency Miners

      
      
   
   
   2. 
      

      Data Center Operators

      
      
   
   
   3. 
      

      Cloud Service Providers

      
      
   
   
   4. 
      

      Artificial Intelligence Companies

      
      
   
   
   
   

ASIC Chip Market Chip Architecture Outlook

1. 
   
   
   
   1. 
      

      FPGA-based ASICs

      
      
   
   
   2. 
      

      GPU-based ASICs

      
      
   
   
   3. 
      

      Purpose-built ASICs

      
      
   
   
   
   

ASIC Chip Market Regional Outlook

1. 
   
   
   
   1. 
      

      North America

      
      
   
   
   2. 
      

      Europe

      
      
   
   
   3. 
      

      South America

      
      
   
   
   4. 
      

      Asia Pacific

      
      
   
   
   5. 
      

      Middle East and Africa