As per MRFR analysis, the Data Center GPU Market Size was estimated at 10.4 (USD Billion) in 2023. The Data Center GPU Market Industry is expected to grow from 13.6 (USD Billion) in 2024 to 65.2 (USD Billion) by 2032. The Data Center GPU Market CAGR (growth rate) is expected to be around 24% during the forecast period (2024 - 2032).
The global data center GPU market is anticipated to grow significantly in the years to come, driven by several key trends. Firstly, the increasing adoption of artificial intelligence (AI) and machine learning (ML) in various industries is fueling demand for high-performance computing capabilities, which can be efficiently addressed by data center GPUs. Secondly, the growing popularity of cloud computing and edge computing is also driving the need for powerful GPUs for data processing and storage applications.
Thirdly, the increasing use of virtual reality (VR) and augmented reality (AR) technologies is creating demand for GPUs with advanced graphics capabilities. Furthermore, the rise of blockchain technology and cryptocurrency mining is also expected to contribute to the market growth. These trends are expected to continue to drive the market expansion in the coming years, creating numerous opportunities for vendors in the data center GPU space.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
The proliferation of AI and ML applications across various industries, such as healthcare, finance, and manufacturing, has led to a surge in demand for powerful computing resources. Data center GPUs offer exceptional computational capabilities that are well-suited for handling complex AI and ML algorithms, enabling faster and more efficient processing of large datasets. This growing demand for AI and ML capabilities is a key driver for the growth of the Global Data Center GPU Market Industry.
The rapid adoption of cloud and edge computing services has created a need for high-performance computing infrastructure. Data center GPUs play a crucial role in cloud and edge computing environments, providing the necessary processing power to handle massive workloads, deliver real-time services, and support latency-sensitive applications. The growth of cloud and edge computing is expected to continue driving demand for data center GPUs in the coming years.
Ongoing advancements in GPU technology, such as the development of new architectures, improved memory bandwidth, and enhanced computational capabilities, are making data center GPUs even more powerful and efficient. These advancements enable data center GPUs to handle increasingly complex workloads and deliver higher performance, which is essential for supporting the growing demands of AI, ML, and other data-intensive applications.
The Global Data Center GPU Market is segmented by Form Factor into Single-Slot GPUs, Dual-Slot GPUs, and Multi-Slot GPUs. In 2023, the Single-Slot GPUs segment is expected to account for the largest revenue share, owing to its compact size and power efficiency. Dual-Slot GPUs are projected to witness the highest growth rate during the forecast period, driven by the increasing demand for high-performance computing in data centers. Multi-Slot GPUs are expected to hold a significant market share, as they offer the highest levels of performance and scalability for demanding workloads.
The Global Data Center GPU Market is expected to grow significantly in the coming years, driven by the increasing adoption of cloud computing, artificial intelligence, and machine learning. The rising demand for data center services is also fueling the growth of the market. These companies are investing heavily in research and development to introduce innovative products and technologies. Strategic partnerships and collaborations are also common in the industry to gain competitive advantages. The Asia-Pacific region is expected to be the largest market for Data Center GPUs, owing to the rapid growth of the IT and telecom sectors in the region.
North America and Europe are also significant markets for Data Center GPUs, with a high concentration of data centers and cloud service providers. Overall, the Global Data Center GPU Market is poised for robust growth in the coming years, driven by the increasing demand for data center services and the advancements in artificial intelligence and machine learning.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
The Global Data Center GPU Market is segmented based on GPU Architecture into Turing, Ampere, and Hopper. Among these, the Ampere segment held the largest market share in 2023 and is expected to continue to dominate the market throughout the forecast period. The Ampere architecture offers significant improvements in performance and power efficiency compared to previous generations, making it the preferred choice for data center applications. For instance, in 2023, Ampere-based GPUs accounted for over 60% of the Global Data Center GPU Market revenue. The Turing and Hopper segments are also expected to witness significant growth during the forecast period, driven by the increasing demand for high-performance computing and artificial intelligence applications.
The application segment of the Global Data Center GPU Market is categorized into Deep Learning Training, High-Performance Computing, and Data Analytics. Deep Learning Training is projected to hold the largest market share in 2023 due to the increasing adoption of artificial intelligence (AI) and machine learning (ML) technologies. High-Performance Computing (HPC) is anticipated to witness significant growth owing to its applications in scientific research, engineering simulations, and weather forecasting.
Data Analytics is expected to grow steadily as businesses leverage data-driven insights to optimize operations and make informed decisions. The Global Data Center GPU Market is driven by factors such as the rising demand for data processing, the proliferation of cloud computing, and the adoption of AI and ML technologies. The market is expected to witness substantial growth in the coming years, reaching USD 165.46 billion by 2032, exhibiting a CAGR of 20.7% from 2023 to 2032.
The Global Data Center GPU Market is segmented by Cooling Type into Air-Cooled and Liquid-Cooled. The Air-Cooled segment is expected to hold a larger market share in 2023, owing to its lower cost and ease of maintenance. However, the Liquid-Cooled segment is expected to witness a higher growth rate during the forecast period, due to its superior cooling performance and ability to handle higher power densities. The Global Data Center GPU Market revenue for Air-Cooled segment is projected to reach USD 12.3 billion by 2024, while the Liquid-Cooled segment is expected to reach USD 8.1 billion by the same year. The growth of the Liquid-Cooled segment is being driven by the increasing adoption of high-performance computing applications, which require more efficient cooling solutions.
The regional segmentation of the Global Data Center GPU Market reveals distinct growth patterns and market dynamics across different regions. North America holds a significant market share, driven by the presence of leading cloud service providers, hyperscale data centers, and a robust technology infrastructure. The region is expected to maintain its dominance in the coming years, with a market size of USD 10.23 billion in 2024, growing at a CAGR of 22.1% till 2032. Europe is another key region in the Data Center GPU market, with a market size of USD 6.34 billion in 2024.
The region has a strong demand for high-performance computing (HPC) and artificial intelligence (AI) applications, contributing to the growth of the market. APAC is projected to witness the fastest growth in the Data Center GPU market over the forecast period. The region's rapidly expanding data center industry and increasing adoption of cloud and AI technologies are driving the growth. In 2024, APAC's market size is estimated at USD 4.92 billion, with a CAGR of 24.5% until 2032. South America and MEA are expected to contribute a smaller share to the overall Global Data Center GPU Market, but they present growth opportunities due to increasing investments in data center infrastructure and a rising demand for advanced computing capabilities.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Major players in the Data Center GPU Market industry are constantly engaging in strategic partnerships, acquisitions, and product developments to strengthen their market position. Leading Data Center GPU Market players are focusing on expanding their global reach and product portfolios to cater to the growing demand for data center GPUs. The Data Center GPU Market industry is characterized by intense competition, with key players vying for market share through technological innovation and strategic partnerships. This competitive landscape is expected to continue, driving Data Center GPU Market development and innovation in the coming years.
Among the leading players in the Data Center GPU Market, NVIDIA holds a dominant position with a significant market share. The company offers a comprehensive portfolio of GPUs, including the Tesla series, which are specifically designed for data center applications. NVIDIA's GPUs are known for their high performance and energy efficiency, which makes them ideal for cloud computing, artificial intelligence, and other data-intensive workloads. The company has a strong presence in key markets and has established partnerships with leading cloud service providers, such as Amazon Web Services, Microsoft Azure, and Google Cloud.
A key competitor to NVIDIA in the Data Center GPU Market is AMD. The company offers a range of GPUs, including the Radeon Instinct series, which are designed for high-performance computing and artificial intelligence applications. AMD's GPUs are known for their competitive pricing and performance, making them a popular choice for value-conscious customers. The company has been expanding its market presence through strategic partnerships and acquisitions, such as the recent acquisition of Xilinx. AMD is expected to continue to be a strong competitor in the Data Center GPU Market, challenging NVIDIA's dominance.
Dell EMC
Mellanox
Marvell
Xilinx
Cavium
Qualcomm
Huawei
Cisco
Juniper Networks
Hewlett Packard Enterprise
Arista Networks
Broadcom
Intel
Nvidia
Recent developments in the global data center GPU market indicate continued growth driven by the increasing demand for high-performance computing (HPC) applications and the adoption of artificial intelligence (AI) and machine learning (ML) workloads. In 2023, the market is projected to be valued at approximately USD 30.44 billion, and it is expected to reach USD 165.46 billion by 2032, exhibiting a CAGR of 20.7%.
Key players in the market include NVIDIA, AMD, and Intel, who are investing heavily in research and development to enhance the capabilities and performance of their data center GPUs. Strategic partnerships and collaborations between market participants are also shaping the competitive landscape. For instance, in 2023, NVIDIA and Microsoft announced a partnership to develop and deploy AI supercomputing solutions for cloud and on-premises environments. These developments underscore the growing significance of data center GPUs in supporting the data-intensive applications that drive digital transformation and innovation across various industries.
| Report Attribute/Metric | Details |
| Market Size 2023 | 10.4 (USD Billion) |
| Market Size 2024 | 13.6 (USD Billion) |
| Market Size 2032 | 65.2 (USD Billion) |
| Compound Annual Growth Rate (CAGR) | 24% (2024 - 2032) |
| Report Coverage | Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year | 2023 |
| Market Forecast Period | 2024 - 2032 |
| Historical Data | 2019 - 2023 |
| Market Forecast Units | USD Billion |
| Key Companies Profiled | AMD, Dell EMC, Mellanox, Marvell, Xilinx, Cavium, Qualcomm, Huawei, Cisco, Juniper Networks, Hewlett Packard Enterprise, Arista Networks, Broadcom, Intel, Nvidia |
| Segments Covered | Form Factor, GPU Architecture, Application, Cooling Type, Regional |
| Key Market Opportunities | AIdriven data analytics Highperformance computing Virtual and augmented reality Cloud gaming Blockchain and cryptocurrency mining |
| Key Market Dynamics | Growing demand for AI and ML Cloud computing expansion Increasing adoption of virtual and augmented reality Proliferation of big data analytics Advancements in datacenter architecture |
| Countries Covered | North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The Global Data Center GPU Market size is valued at USD 10.4 Billion in 2023 and is projected to grow to USD 65.2 Billion by 2032, exhibiting a CAGR of 24%.
North America and Asia Pacific are the major regions driving the growth of the Data Center GPU Market.
Artificial Intelligence (AI), Machine Learning (ML), and High-Performance Computing (HPC) are the primary applications driving the demand for Data Center GPUs.
NVIDIA, AMD, and Intel are the leading competitors in the Data Center GPU Market.
The growing adoption of AI and ML, the increasing demand for cloud and edge computing, and the need for faster data processing are the key trends shaping the Data Center GPU Market.
The high cost of Data Center GPUs, the shortage of skilled professionals, and the rapidly changing technology landscape are the major challenges faced by the Data Center GPU Market.
The growing demand for AI and ML, the increasing adoption of cloud and edge computing, and the development of new applications are the key opportunities for growth in the Data Center GPU Market.
The increasing adoption of AI and ML, the growing demand for cloud and edge computing, and the need for faster data processing are the key factors driving the growth of the Data Center GPU Market.
AI, ML, and HPC are the key applications of Data Center GPUs.
The Data Center GPU Market is expected to grow at a CAGR of 24% from 2023 to 2032.
Team Lead - Research she holds an experience of about 6+ years in market research and business consulting, working under the spectrum of information communication technology, telecommunications and semiconductor domains. aarti conceptualizes and implements a scalable business strategy and provides strategic leadership to the clients. her expertise lies in market estimation, competitive intelligence, pipeline analysis, customer assessment, etc.
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