Neuromorphic chips are designed to emulate the neuro-biological structures and functions of the human brain and nervous system. They mimic biological brains by processing and transferring information in a similar manner to neurons in the brain. Neuromorphic chips are capable of high speed and energy efficient computing, making them ideal for applications involving edge and embedded computing, machine learning and artificial intelligence. These chips find applications in fields such as image recognition, data mining, predictive analysis and cognitive computing.
The global Neuromorphic Chip Market is estimated to be valued at US$ 44.8 billion in 2023 and is expected to exhibit a CAGR of 67.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends in the neuromorphic chip market is the increasing adoption of AI and machine learning across various industries. The capabilities of neuromorphic chips to perform complex cognitive tasks such as pattern recognition, prediction and abstraction make them suitable for a wide range of AI applications. Sectors like automotive, defense, healthcare, manufacturing are increasingly implementing AI and machine learning solutions. For instance, self-driving cars utilize AI algorithms for object recognition and navigation which requires high performance computing capabilities. Neuromorphic chips fulfill this need with their energy efficiency and brain-inspired computing architecture. The widespread integration of AI technologies across verticals is expected to drive the demand for neuromorphic chips during the forecast period.
Threat of new entrants: The threat of new entrants is moderate due to the high capital investment required for R&D in this emerging technology. However, newer startups can collaborate with establishments for funding and resources.
Bargaining power of buyers: The bargaining power of buyers is moderate as neuromorphic chips cater to diverse industries; buyers have options to choose suppliers. However, patents and proprietary technology provide established players an edge.
Bargaining power of suppliers: The bargaining power of suppliers is low due to the availability of raw materials from multiple sources and suppliers having less control over pricing. Suppliers mainly include semiconductor fabricators.
Threat of new substitutes: The threat of substitutes is low as neuromorphic chips provide an unique value proposition compared to existing technologies through low-power parallel information processing.
Competitive rivalry: The competitive rivalry is high among key players due to increasing private funding and focus on first-mover advantage through continuous technological innovations.
The Global Neuromorphic Chip Market Size is expected to witness high growth. North America captured over 45% revenue share in 2023 owing to presence of major players and higher research funding in the US. Europe and Asia Pacific are also seeing increasing adoption with growing R&D investments.
Regional analysis: North America led by US will continue dominating the market through the forecast period driven by rollout of AI initiatives and presence of established market leaders. Asia Pacific is emerging as a high growth region led by countries like China and Japan investing heavily in developing indigenous AI capabilities.
Key players: Key players operating in the neuromorphic chip market are IBM Research, Inc., Knowm Inc., Intel Corp., BrainChip Holdings Ltd., General Vision Inc., HRL Laboratories, LLC, Qualcomm Technologies Inc., and Hewlett Packard Labs. These players are focusing on developing more efficient and affordable neuromorphic computing solutions to strengthen their market position.
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it