The market is expected to expand at an average annual rate of 38 percent over the period as investment in AI infrastructure continues to increase.
The outlook was included in an Aug. 31 report by the Overseas Economic Research Institute at the Export-Import Bank of Korea on the data-center AI semiconductor market.
Nvidia held a 78.2 percent share of the market in 2025, followed by Google at 4.7 percent and Advanced Micro Devices at 4.1 percent, according to the report.
Intel accounted for 3.7 percent and Huawei for 2.6 percent.
The market remains concentrated among a small number of U.S. and Chinese companies, but the institute said changes in AI workloads could create openings for other chipmakers.
Demand is expected to shift increasingly from training large AI models toward inference as AI services become more widely deployed.
Graphics processing units, or GPUs, remain the dominant technology in AI data centers but are relatively expensive and consume large amounts of power.
Neural processing units, or NPUs, designed specifically for AI workloads can offer lower costs and power consumption for inference, an area where Korean chip designers are seeking to expand.
South Korean AI chipmakers FuriosaAI and Rebellions are developing second-generation NPUs for data-center applications.
FuriosaAI began mass production of its second-generation RNGD chip earlier this year, while Rebellions plans to launch its REBEL 100 chip in the second half.
The institute said Korean companies have developed competitive chip-design capabilities but still face gaps of more than three years against leading global companies in areas including capital, commercialization experience and industry ecosystems.
Early deployment and customer references will be important as the AI chip market develops over the next three to five years, the report said.
The institute called for measures to reduce the risks faced by companies adopting domestic AI chips, including tax incentives and subsidies.
It also recommended government support for Korean companies seeking overseas customers and supply-chain opportunities.
The Middle East could offer one such market as countries in the region expand AI infrastructure while facing high GPU costs, power and land constraints and uncertainty over access to advanced chips, the report said.
AJP Takeaways
- The global data-center AI chip market is projected to grow from $124 billion in 2024 to $860 billion by 2030, an average annual increase of 38 percent.
- Nvidia held 78.2 percent of the data-center AI semiconductor market in 2025, far ahead of Google at 4.7 percent and AMD at 4.1 percent.
- South Korean AI chipmakers FuriosaAI and Rebellions are targeting growing inference demand with second-generation NPUs, while a state-run bank research institute said Korean firms still face gaps in capital, commercialization and industry ecosystems.
Copyright ⓒ Aju Press All rights reserved.
