Neuromorphic Chip Market By End user: Global Opportunity Analysis and Industry Forecast, 2023-2032

Executive Summary

According to the report, the neuromorphic chip market was valued at $87.89 million in 2022, and is estimated to reach $7.1 billion by 2032, growing at a CAGR of 55.8% from 2023 to 2032.

Neuromorphic chips are specialized microprocessors that imitate the architecture and functioning of the human brain. These chips process information efficiently and in parallel by employing artificial neurons and synapses in a network. They find applications in machine learning, robotics, and cognitive computing, particularly for tasks like recognizing patterns, perceiving sensory input, and making decisions. Neuromorphic chips replicate the neural structure of the brain, offering potential benefits in terms of efficiency and computational power for tasks demanding complex, real-time processing, and adaptability. They are notably energy-efficient, making them suitable for devices powered by batteries and for edge computing. The primary objective of a neuromorphic chip is to replicate the architecture and functioning of the human brain in a highly efficient and parallel manner. These specialized microprocessors are designed to process information by simulating artificial neurons and synapses, allowing for tasks such as pattern recognition, sensory perception, and decision-making. By emulating the neural structure of the brain, neuromorphic chips aim to achieve remarkable efficiency and computational power, particularly in real-time, adaptive processing. Their energy-efficient design makes them well-suited for applications in machine learning, robotics, and cognitive computing, while also enabling usage in battery-powered devices and edge computing scenarios.

Key factors driving the growth of the neuromorphic chip market include growing demand in IoT, increase in energy savings, and others. The Internet of Things (IoT) is undergoing rapid expansion, and neuromorphic chips are in sync with its demands. IoT devices are frequently deployed in locations with limited power sources, emphasizing the need for energy efficiency and local data processing. Neuromorphic chips, characterized by their low energy consumption and capacity to handle data at the device's edge, present an ideal solution. They empower IoT devices to process data on-site, diminishing the necessity for constant data transmission to the cloud and reducing delays. With IoT applications proliferating across diverse sectors, the demand for neuromorphic chips is on the rise, playing a pivotal role in the growth of the IoT ecosystem. Moreover, the increase in energy efficiency of neuromorphic chips is a significant factor propelling their expanding adoption in the market owing to their human brain-inspired design, neuromorphic chips efficiently handle data while consuming very little power, rendering them particularly attractive for battery-dependent devices, IoT implementations, and situations where conserving energy is of utmost importance. This not only trims down operational expenses but also prolongs the lifespan of device batteries, contributing to improved sustainability and cost-efficiency. As global emphasis on energy preservation and eco-friendly technologies continues to rise, the energy-efficient attributes of neuromorphic chips establish them as a pivotal facilitator across various applications, amplifying their market demand and expansion.

The market also offers growth opportunities to the key players in the market. Increase in demand of consumer electronics, and others The integration of neuromorphic chips into consumer electronics, including smartphones, wearables, and gaming consoles, represents a significant growth opportunity for the market. These gadgets frequently require fast and efficient processing for tasks such as recognizing images and speech, as well as delivering immersive gaming encounters. By integrating neuromorphic technology, consumer electronics can elevate their functionalities, leading to enhanced performance and responsiveness for users. This expansion into the consumer market not only broadens the chip's user base but also elevates their visibility and acceptance, potentially driving mass adoption and contributing substantially to the growth of the neuromorphic chip market.

The neuromorphic chip market is segmented on the basis of end user and region. By end user, the market is divided into consumer electronics, automotive, IT and telecom, aerospace and defense, industrial, healthcare and others. By region, it is analyzed across North America (the U.S., Canada, and Mexico), Europe (UK, Germany, France, Italy, and the rest of Europe), Asia-Pacific (China, Japan, India, South Korea, Taiwan, and the rest of Asia-Pacific), and LAMEA (Latin America, the Middle East, and Africa).

Competitive analysis and profiles of the major neuromorphic chip market players, such as IBM Corporation, HRL Laboratories, LLC, SynSense, General Vision Inc., GrAI Matter Labs, SK HYNIX INC., QUALCOMM Incorporated, BrainChip, Inc, Samsung Electronics Co. Ltd and Intel Corporation is provided in this report. Product launch, agreement, partnership, and acquisition business strategies were adopted by the major market players in 2022. Product launch, product development, and collaboration business strategies were adopted by the major market players in 2022. For instance, in September 2023, SynSense, launched its Xylo IMU neuromorphic development kit. This HDK enables users to develop IMU-based motion processing applications such as human movement analysis, human-computer interaction, and industrial monitoring.

Key Market Insights

By End-user, the Aerospace and Defense segment dominates the market in terms of revenue and is estimated to reach $2.00 billion by 2032, with a CAGR of 55.22 % during the forecast period. However, the Consumer electronics segment has the faster CAGR of 59.06%.

Based on region, North America was the highest revenue contributor, accounting for $2.37 billion in 2022. However, Asia-Pacific was the fastest growing region with a CAGR of 57.04%.

Companies Mentioned

• IBM Corporation
• GrAI Matter Labs
• SynSense
• HRL Laboratories, LLC
• BrainChip, Inc
• Samsung Electronics Co. Ltd
• Intel Corporation
• General Vision Inc.
• SK HYNIX INC.
• QUALCOMM Incorporated

Methodology

The analyst offers exhaustive research and analysis based on a wide variety of factual inputs, which largely include interviews with industry participants, reliable statistics, and regional intelligence. The in-house industry experts play an instrumental role in designing analytic tools and models, tailored to the requirements of a particular industry segment. The primary research efforts include reaching out participants through mail, tele-conversations, referrals, professional networks, and face-to-face interactions.

They are also in professional corporate relations with various companies that allow them greater flexibility for reaching out to industry participants and commentators for interviews and discussions.

They also refer to a broad array of industry sources for their secondary research, which typically include; however, not limited to:

• Company SEC filings, annual reports, company websites, broker & financial reports, and investor presentations for competitive scenario and shape of the industry
• Scientific and technical writings for product information and related preemptions
• Regional government and statistical databases for macro analysis
• Authentic news articles and other related releases for market evaluation
• Internal and external proprietary databases, key market indicators, and relevant press releases for market estimates and forecast

Furthermore, the accuracy of the data will be analyzed and validated by conducting additional primaries with various industry experts and KOLs. They also provide robust post-sales support to clients.