Market Overview

The global hardware acceleration market is anticipated to expand from USD 3.12 Billion to 50 USD 50 billion by the ending of 2025. The growth will expand at a CAGR of 49%. As the world moves fast, development companies are coming up with advanced programs. But these advanced programs are sometimes not compatible with the existing hardware. It diminishes the actual speed and offers a poor user experience. However, progression in technology has brought several possibilities. Hardware acceleration is one such possibility that has empowered users to offset tasks. Hardware acceleration is a technology that comes specially built to optimize CPU speed and accelerate its performance by eliminating its burden. Hardware acceleration adoption is more in the tech-trend industries and by end-users. 

Without the deployment of hardware acceleration technology, the CPUs usually find increased tasks and actions; this generates more heat and diminishes the device's battery performance. Thus, many CPU manufacturing companies emphasize delivering hardware acceleration along with CPU and GPU. This will stand to be a major market driver during the anticipated period. Apart from that development of high-end programs, smart devices, and rapid data processing have also imperatively increased the demand for the hardware acceleration market. The innovation in AI robots and AI-powered vehicles has also increased the need for hardware acceleration in the market. 

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Market Segments

The global hardware acceleration market divides into four classifications. These four classifications include type, application, end-user, and region. In type, you can find hardware acceleration that includes GPU, Video processing unit, AI accelerator, regular expression accelerator, and cryptographic accelerator. Amongst all these types, GPU and VPU hold the largest market share. Increasing demand in games and application have made GPU boost the global hardware acceleration market. In application, you can find four segments of the global hardware acceleration market. It gets employed in deep learning approaches, public cloud inference, enterprise inference, and others. Lastly, based on end-users, you can find the division of a global market into IT, telecom, BFSI, retail, hospitality, Logistics, automobile, healthcare, and energy. The IT sector holds the largest market share in the global market. 

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Regional Analysis

The global hardware acceleration in the region has four segments. North America, Europe, Asia-Pacific, and the rest of the globe are the four segments to expect. North America amongst all retains the largest global market share. The invention of advanced technologies is the primary reason for North America as the leading market; Nations like the USA, Canada, and Mexico hold the largest market share with increasing usage of GPU, VPU, and other tech trends. Europe is the subsequent region in terms of market share. It holds the second largest market with the increasing use of AI and ML in technology. Asia pacific is also an emerging region that is contributing to the global market growth.

Industry news

NVIDIA is the leading contributor to the worldwide hardware acceleration market. In recent times, it has developed NVENC, which is an encoder chip to record and stream live games. This is significantly improving the gaming performance of several processing units as well. 

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