Data Center Chip Market Set to Reach $1 Trillion by 2035
Led by North America, the global data center chip market was valued at US$314.87 billion in 2025 and is projected to surpass US$1 trillion by 2035, expanding at a CAGR of 12.49%, DC Market Insights says in a new report. AI accelerators now represent the largest chip value pool inside data centers, while custom silicon, high-bandwidth memory and AI networking are changing the mix of semiconductor content per server and per rack, according to DC Market Insights’ Data Center Chip Market: Size, Share & Forecast to 2035.
Accelerator spending reached approximately US$169.77 billion in 2025, equal to 53.9% of the total data center chip market. Custom in-house silicon is projected to rise from 16.6% of market value in 2025 to 29.7% by 2035 as hyperscalers design more workload-specific chips.
“The data center semiconductor market has crossed a structural threshold: accelerators now carry more value than CPUs, memory or networking alone,” said report author Amit Jain, senior consultant, ICT & emerging technologies, DC Market Insights. “Over the next decade, the biggest change will be the rise of custom silicon and system-level co-design, where compute, memory and network chips are selected together around the economics of the workload and the power available to the data center.”
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