AI Inference Market 2030: The Role of GPUs in AI’s Future

AI Inference Market Overview

The global AI inference market was valued at USD 97.24 billion in 2024 and is projected to reach USD 253.75 billion by 2030, expanding at a CAGR of 17.5% from 2025 to 2030. This growth is driven by increasing demand for integrated AI infrastructure, as organizations seek faster and more efficient AI inference deployment.

To streamline AI workflows, enterprises are increasingly adopting platforms that integrate computing, storage, and software. This integration not only enhances scalability and inference speed but also simplifies infrastructure management. Reduced setup time and operational complexity are essential to supporting real-time AI workloads, especially in data-sensitive applications where privacy and security are major concerns. These dynamics are accelerating the adoption of comprehensive AI inference solutions.

A key trend shaping the market is the need to support a wide range of AI models tailored to specific business needs. For example, in March 2025, Oracle Corporation and NVIDIA Corporation announced a partnership to combine NVIDIA’s AI hardware and software with Oracle Cloud Infrastructure. This collaboration introduced more than 160 AI tools, NIM microservices, and no-code blueprints, enabling rapid and scalable deployment of agentic AI applications for enterprises.

Modern enterprises require flexibility in deploying inference models suited to their unique use cases. Supporting a broad set of AI accelerators allows organizations to optimize performance across different hardware environments. This strategy ensures compatibility with both current infrastructure and future technological advancements. In May 2024, Red Hat launched the AI Inference Server, an enterprise platform designed to run generative AI models across hybrid cloud environments using any accelerator. This solution focuses on delivering scalable, high-performance AI inference with broad hardware and cloud compatibility.

The market’s growth is further fueled by rising demand for real-time AI processing across industries such as autonomous vehicles, healthcare, retail, and manufacturing. AI is becoming essential for rapid data analysis and decision-making, driving efficiencies and improving customer experiences. Applications like object detection, diagnostics, automation, and personalized services all require fast and accurate inference capabilities.

Additionally, the proliferation of IoT and connected devices is increasing the need for edge-based AI insights, prompting greater investment in specialized AI chips and optimized software frameworks. As AI becomes central to digital transformation strategies, the AI inference market is expected to maintain its strong upward momentum.

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Market Size & Trends

• North America led the global AI inference market in 2024 with a 38.0% revenue share.
• The U.S. market is projected to post a significant CAGR during the forecast period.
• HBM (High Bandwidth Memory) accounted for the largest revenue share (65.3%) by memory in 2024.
• GPU-based compute solutions dominated with 52.1% market share in 2024.
• The machine learning models application segment held the largest share at 36.0%.

Key Market Statistics

• 2024 Market Size: USD 97.24 Billion
• 2030 Projected Market Size: USD 253.75 Billion
• CAGR (2025–2030): 17.5%
• Largest Region (2024): North America
• Fastest Growing Region: Asia Pacific

Leading Companies in the AI Inference Market

Several major companies are shaping the AI inference market through innovation and strategic partnerships:

• Amazon Web Services, Inc. developed the Inferentia2 chip, delivering up to 4x higher throughput and 10x lower latency compared to its predecessor. Integrated into EC2 Inf2 instances, the chip supports large models including LLMs and vision transformers.
• Google LLC launched Ironwood, its seventh-generation Tensor Processing Unit (TPU), offering 42.5 exaflops of compute power across up to 9,216 chips. It features enhanced SparseCore, expanded memory capacity, and improved inter-chip networking, ideal for demanding AI inference tasks.

Key Players Include:

• Amazon Web Services, Inc.
• Arm Limited
• Advanced Micro Devices, Inc.
• Google LLC
• Intel Corporation
• Microsoft
• Mythic
• NVIDIA Corporation
• Qualcomm Technologies, Inc.
• Sophos Ltd

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Conclusion

The global AI inference market is undergoing rapid transformation, driven by the increasing need for real-time, secure, and scalable AI capabilities across sectors. As enterprises seek to streamline AI workflows and harness edge intelligence, investment in advanced inference platforms, accelerators, and model-agnostic infrastructure is accelerating. With strong growth projected through 2030, the market will continue to be shaped by technological innovation, strategic partnerships, and a rising demand for intelligent, low-latency decision-making solutions.