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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About Paul Bubny

Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 16-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 7-10 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces. Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications. Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).

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