February 23, 2024
Neuromorphic Chip Market

Neuromorphic Chips Are Revolutionizing AI With Spike-Based Computing

Neuromorphic chips aim to mimic biological neural networks through asynchronous event-driven computing methods. These chips have neurons and synapses that can process spiking input-output signals like the human brain in real-time. They offer advantages like low power consumption, high speed, and the ability to process complex sensory inputs from the real world. Neuromorphic chips find applications in recurrent neural networks, cognitive computing, deep neural networks, and artificial intelligence.

The global Neuromorphic Chip Market is estimated to be valued at US$ 51.61 billion in 2024 and is expected to exhibit a CAGR of 22.%  over the forecast period from 2024 to 2030.

Key Takeaways

Key players operating in the neuromorphic chip market are General Electric Company, Thermo Fisher Scientific Inc., Merck KGaA, AMS Biotechnology (Europe) Limited, Miltenyi Biotec GmbH, BioLife Solutions Inc., HiMedia Laboratories Pvt. Ltd., PromoCell GmbH, Corning Incorporated, Cooper Companies, Inc., Planer PLC, Bio-Rad Laboratories India Pvt. Ltd, Abcam plc., AMSBIO, Biogenuix, and Evia Bio. The companies are focused on expanding their neuromorphic chip offerings and capabilities through mergers and acquisitions.

The growing demand for artificial intelligence and edge computing applications is propelling the neuromorphic chip market. Neuromorphic chips are well-suited for applications like predictive maintenance, computer vision, voice recognition, and autonomous vehicles that require real-time processing of vast datasets.

Global expansion of the Neuromorphic Chip Market is expected as companies focus on developing customized solutions for different industry verticals and applications. Partnerships with OEMs and system integrators are helping expand the commercial availability of neuromorphic computing systems. Countries in Asia Pacific and Europe are expected to witness significant growth due to increasing research and adoption.

Market Key Trends

One of the key trends in the Neuromorphic Chip Market Demand is the development of brain-like computing systems. Researchers are creating neuromorphic chips that can mimic the hierarchical organization and spatio-temporal dynamics of the neocortex. Startups like BrainChip Holdings Ltd. are commercializing neural network processors and IP cores that function like the human brain for low-power edge AI applications. Such advanced neuromorphic systems can open up new application avenues in areas like smart cities, autonomous transport, and augmented reality.

Porter’s Analysis

Threat of new entrants: Low silicon fabrication costs make it relatively easy for new players to enter the market. However, developing neuromorphic hardware and software requires extensive research and expertise.
Bargaining power of buyers: Many existing applications for neuromorphic chips are still being explored. Buyers have limited bargaining power in the growing market.

Bargaining power of suppliers: A few large semiconductor companies dominate the market for traditional silicon chips. Their transition to neuromorphic designs gives some suppliers increased power.
Threat of new substitutes: Emerging technologies like quantum computing could potentially replace neuromorphic chips for some applications. However, neuromorphic chips are specifically aimed at mimicking the brain’s parallel processing abilities.
Competitive rivalry: Major chip manufacturers are vigorously working to commercialize neuromorphic hardware and differentiate their products.

Value concentration by geographical region

North America currently accounts for the largest share of the global neuromorphic chip market in terms of value, due to heavy investments in AI and neuromorphic computing research by governments and tech companies in the US and Canada. China, Japan, and countries in Western Europe also represent major markets.

Fastest growing region

The Asia Pacific region is expected to witness the highest CAGR during the forecast period. This can be attributed to rising government initiatives to develop indigenous neuromorphic technologies in countries like China, Japan, South Korea and India. Growing demand for AI capabilities in applications like smart cities and autonomous mobility is also fueling market growth across the Asia Pacific.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it