Global Data Center GPU Market to Reach $228.04 Billion by 2030

Surge in Data Center GPU Market

The global data center GPU market is set to experience explosive growth, with projections indicating it will soar to USD 228.04 billion by 2030, from an estimated USD 119.97 billion in 2025. This translates to a Compound Annual Growth Rate (CAGR) of 13.7% during the projected period, as reported by MarketsandMarkets™.

Market Drivers

The rise in market value is being driven mainly by the rapid integration of artificial intelligence (AI) and machine learning (ML) technologies across various sectors. Enterprises are increasingly leveraging GPUs for deep learning applications, training of large language models, and carrying out advanced data analytics, all of which demand powerful parallel processing capabilities. This increasing dependency on AI has stoked the flames of demand for robust GPU infrastructures crucial for tasks such as generative AI, real-time inference, and recommendation systems.

Another catalyst for growth is the ongoing investment in hyperscale data centers, as well as government initiatives aimed at enhancing AI capabilities across industries. Major cloud service providers like Amazon Web Services, Google Cloud, and Microsoft Azure are continually evolving their GPU offerings to meet escalating demand.

Applications Across Industries

The data center GPU market is poised to flourish particularly within the Banking, Financial Services, and Insurance (BFSI), retail and e-commerce, healthcare, automotive, and media and entertainment sectors. These industries are dramatically increasing their investment in GPU-driven data centers to handle the substantial influx of structured and unstructured data. For instance, GPUs play a pivotal role in detecting fraud and modeling risks in the BFSI domain, while in retail, they facilitate customer behavior analysis and personalized recommendations.

Inference vs. Training

It’s notable that the inference segment is anticipated to capture the largest share of the market by 2030. The transition from experimentation to the full deployment of AI models is fostering a surge in demand for GPU-accelerated inference workloads. This segment, characterized by the need for real-time prediction and processing following model training, is critical for sectors such as e-commerce and healthcare. Utilization of AI technologies like chatbots and predictive analytics presents a high demand for GPUs, which excel in providing low-latency and high-throughput solutions.

Cloud Computing Influence

In terms of deployment models, the cloud segment is projected to dominate the market by 2030. The shift of organizations from on-premises infrastructure to cloud platforms is gaining momentum, primarily due to the need for cost-effective, flexible solutions that also provide immediate access to state-of-the-art GPU technology. Cloud providers are expanding their GPU capabilities to support business demands across various sectors including BFSI, healthcare, and automotive.

Regional Insights

Geographically, Europe is expected to emerge as the largest regional market for data center GPUs. Government initiatives, such as the EU’s Digital Strategy and Horizon Europe, are driving investments in advanced cloud infrastructure and high-performance computing across the region. Countries including Germany, France, and the Netherlands are at the forefront of AI integration, necessitating GPU-accelerated data center capabilities.

Key Players

Leading companies within this thriving market include NVIDIA, AMD, Intel, Google Cloud, Microsoft, and Amazon Web Services. These enterprises are actively developing next-generation GPUs tailored for both training and inference tasks, further solidifying their competitive edge in the rapidly evolving landscape.

Conclusion

In summary, the global data center GPU market is on the brink of a substantial expansion, fueled by the surge in AI and machine learning adoption, the ongoing migration to cloud technologies, and the critical role played by GPUs across multiple industries. As digital transformation continues to take precedence, the demand for high-performance computing resources is set to soar, solidifying GPUs as a cornerstone of future technological advancements.