Edge AI Hardware Market Size & Share Analysis - Emerging Trends, Growth Opportunities, Competitive Landscape, and Forecasts (2025

Description

The global edge AI hardware market was valued at USD 23.8 billion in 2024 and is expected to grow to USD 87.9 billion by 2032, advancing at a compound annual growth rate (CAGR) of 17.9% during 2025-2032. This rapid growth is driven by the increasing adoption of edge computing devices, coupled with advancements in artificial intelligence (AI), real-time low-latency processing, and enhanced data functionality. The integration of AI into edge computing is enabling faster, more accurate data processing, enhancing the functionality of devices used across various industries. Moreover, the surging demand for AI-powered devices in sectors such as government, BFSI, retail, consumer electronics, automotive, and healthcare is fueling market growth.

The rising concern over privacy and security, along with ongoing research and development (R&D) investments, is further bolstering the adoption of edge AI hardware. As the world moves towards Industry 4.0, edge AI devices are becoming integral to business models that require real-time decision-making without data transfer delays, particularly in autonomous systems like self-driving cars, medical devices, and robotics.

Key Insights

Shift to on-device AI processing is a major trend in the market. The traditional cloud-based AI systems are limited by latency issues, especially in time-sensitive applications like autonomous vehicles and industrial IoT. The shift toward on-device AI processing, where data is analyzed locally, reduces transmission delays and enhances real-time decision-making, improving operational efficiency. This trend is contributing to the growth of edge AI hardware, with companies like MediaTek and Qualcomm leading the way in developing on-device AI chips.

Development of smart cities is a key market driver. With cities increasingly adopting advanced technologies, edge AI hardware plays a crucial role in smart homes, surveillance, traffic management, and healthcare. Edge devices are integral to enabling real-time responses, such as in automated services, intelligent manufacturing, and safety solutions in smart cities. The demand for smart devices in residential areas and urban environments is driving the need for more efficient, localized AI processing solutions.

Data security and privacy concerns are significant challenges. While edge AI devices are advantageous for reducing latency, they are also deployed in remote or public spaces, which increases the risk of unauthorized access or tampering. Unlike centralized cloud systems with established security protocols, edge devices face difficulties in maintaining standard security measures, hindering their adoption in certain applications. Cyberattacks on edge devices are a growing concern, requiring more robust security measures.

Smartphones continue to dominate the edge AI hardware market, accounting for the largest share in 2024. With the widespread integration of AI technologies like neural processing units (NPUs) and graphic processing units (GPUs), smartphones are increasingly capable of performing real-time data processing, such as advanced photography, translation, and personalized location services. Major companies, including Apple, Qualcomm, and Samsung, are heavily investing in AI-enhanced smartphones, driving this category's growth.

Robots are expected to grow at the highest CAGR of 18.2% during the forecast period. Robotics adoption is rapidly increasing across industries such as manufacturing, logistics, healthcare, and consumer services. With the increasing use of AI in robots for tasks such as industrial automation and healthcare assistance, the demand for edge AI hardware solutions that enable real-time data processing is on the rise.

Inference-based edge AI devices hold the largest market share (70%) due to their use in real-time applications, such as automotive systems, smart cameras, and wearables. These devices rely on AI algorithms to make rapid decisions, process data locally, and reduce reliance on cloud infrastructure. The increasing use of edge AI devices for quicker decision-making is driving their adoption across various sectors.

Automotive and transportation is the fastest-growing vertical, with a CAGR of 18.5%. The growing demand for autonomous vehicles, electric vehicles, and advanced transportation management systems is contributing to this growth. Edge AI plays a critical role in autonomous vehicles by enabling real-time processing of sensor data, including radar and LiDAR, for navigation and safety features.

The Asia-Pacific (APAC) region is the largest market and is expected to maintain the highest growth rate (18.1%) during the forecast period. The rapid expansion of 5G networks, increasing adoption of IoT, and the growing smartphone penetration in countries like China, India, Japan, and South Korea are driving the demand for edge AI hardware. Additionally, the region's focus on enhancing its automotive, electronics, and semiconductor industries, particularly in China and South Korea, further boosts the market.

Product Code: 12538

Chapter 1. Research Scope

1.1. Research Objectives
1.2. Market Definition
1.3. Analysis Period
1.4. Market Size Breakdown by Segments
- 1.4.1. Market Size Breakdown, by Device
- 1.4.2. Market Size Breakdown, by Power Consumption
- 1.4.3. Market Size Breakdown, by Function
- 1.4.4. Market Size Breakdown, by Processor
- 1.4.5. Market Size Breakdown, by Vertical
- 1.4.6. Market Size Breakdown, by Region
- 1.4.7. Market Size Breakdown, by Country
1.5. Market Data Reporting Unit
- 1.5.1. Revenue
1.6. Key Stakeholders

Chapter 2. Research Methodology

2.1. Secondary Research
- 2.1.1. Paid
- 2.1.2. Unpaid
- 2.1.3. P&S Intelligence Database
2.2. Primary Research
2.3. Market Size Estimation
2.4. Data Triangulation
2.5. Currency Conversion Rates
2.6. Assumptions for the Study
2.7. Notes and Caveats

Chapter 3. Executive Summary

Chapter 4. Market Indicators

Chapter 5. Industry Outlook

5.1. Industry Background
5.2. Market Dynamics
- 5.2.1. Trends
- 5.2.2. Drivers
- 5.2.3. Restraints/Challenges
- 5.2.4. Emerging Economies and Key Opportunities
- 5.2.5. Impact Analysis of Drivers/Restraints
5.3. Impact of COVID-19
5.4. Sociopolitical Impact
5.5. Porter's Five Forces Analysis
- 5.5.1. Bargaining Power of Buyers
- 5.5.2. Bargaining Power of Suppliers
- 5.5.3. Threat of New Entrants
- 5.5.4. Intensity of Rivalry
- 5.5.5. Threat of Substitutes
5.6. Innovation and Technology Trends
5.7. Supply Chain and Value Chain Insights
5.8. Economic and Regulatory Impact
5.9. Market Entry Strategies

Chapter 6. Competitive Landscape

6.1. List of Market Players and their Offerings
6.2. Market Share of Key Players (2024)
- 6.2.1. Global
- 6.2.2. North America
- 6.2.3. Europe
- 6.2.4. Asia-Pacific
- 6.2.5. Latin America
- 6.2.6. Middle East and Africa
6.3. Competitive Benchmarking of Key Players
6.4. Product Benchmarking of Key Players
6.5. Recent Strategic Developments by Key Players
6.6. Company Leadership Matrix

Chapter 7. Global Market

7.1. Overview
7.2. Market Revenue, by Device (2019-2032)
7.3. Market Revenue, by Power Consumption (2019-2032)
7.4. Market Revenue, by Function (2019-2032)
7.5. Market Revenue, by Processor (2019-2032)
7.6. Market Revenue, by Vertical (2019-2032)
7.7. Market Revenue, by Region (2019-2032)

Chapter 8. North America Market

8.1. Overview
8.2. Market Revenue, by Device (2019-2032)
8.3. Market Revenue, by Power Consumption (2019-2032)
8.4. Market Revenue, by Function (2019-2032)
8.5. Market Revenue, by Processor (2019-2032)
8.6. Market Revenue, by Vertical (2019-2032)
8.7. Market Revenue, by Country (2019-2032)

Chapter 9. Europe Market

9.1. Overview
9.2. Market Revenue, by Device (2019-2032)
9.3. Market Revenue, by Power Consumption (2019-2032)
9.4. Market Revenue, by Function (2019-2032)
9.5. Market Revenue, by Processor (2019-2032)
9.6. Market Revenue, by Vertical (2019-2032)
9.7. Market Revenue, by Country (2019-2032)

Chapter 10. Asia-Pacific Market

10.1. Overview
10.2. Market Revenue, by Device (2019-2032)
10.3. Market Revenue, by Power Consumption (2019-2032)
10.4. Market Revenue, by Function (2019-2032)
10.5. Market Revenue, by Processor (2019-2032)
10.6. Market Revenue, by Vertical (2019-2032)
10.7. Market Revenue, by Country (2019-2032)

Chapter 11. Latin America Market

11.1. Overview
11.2. Market Revenue, by Device (2019-2032)
11.3. Market Revenue, by Power Consumption (2019-2032)
11.4. Market Revenue, by Function (2019-2032)
11.5. Market Revenue, by Processor (2019-2032)
11.6. Market Revenue, by Vertical (2019-2032)
11.7. Market Revenue, by Country (2019-2032)

Chapter 12. Middle East and Africa Market

12.1. Overview
12.2. Market Revenue, by Device (2019-2032)
12.3. Market Revenue, by Power Consumption (2019-2032)
12.4. Market Revenue, by Function (2019-2032)
12.5. Market Revenue, by Processor (2019-2032)
12.6. Market Revenue, by Vertical (2019-2032)
12.7. Market Revenue, by Country (2019-2032)

Chapter 13. U.S. Market

13.1. Overview
13.2. Economic Indicators
13.3. Demographics and Population Insights
13.4. Regional Hotspots
13.5. Growth Drivers
13.6. Challenges and Barriers
13.7. Competitive Strategies
13.8. Emerging Players
13.9. Import/Export Policies
13.10. Compliance Requirements
13.11. Emerging Investment Areas
13.12. Major Ongoing Projects
13.13. Market Size and Forecast
- 13.13.1. Market Revenue, by Device (2019-2032)
- 13.13.2. Market Revenue, by Power Consumption (2019-2032)
- 13.13.3. Market Revenue, by Function (2019-2032)
- 13.13.4. Market Revenue, by Processor (2019-2032)
- 13.13.5. Market Revenue, by Vertical (2019-2032)

Chapter 14. Canada Market

14.1. Overview
14.2. Economic Indicators
14.3. Demographics and Population Insights
14.4. Regional Hotspots
14.5. Growth Drivers
14.6. Challenges and Barriers
14.7. Competitive Strategies
14.8. Emerging Players
14.9. Import/Export Policies
14.10. Compliance Requirements
14.11. Emerging Investment Areas
14.12. Major Ongoing Projects
14.13. Market Size and Forecast
- 14.13.1. Market Revenue, by Device (2019-2032)
- 14.13.2. Market Revenue, by Power Consumption (2019-2032)
- 14.13.3. Market Revenue, by Function (2019-2032)
- 14.13.4. Market Revenue, by Processor (2019-2032)
- 14.13.5. Market Revenue, by Vertical (2019-2032)

Chapter 15. Germany Market

15.1. Overview
15.2. Economic Indicators
15.3. Demographics and Population Insights
15.4. Regional Hotspots
15.5. Growth Drivers
15.6. Challenges and Barriers
15.7. Competitive Strategies
15.8. Emerging Players
15.9. Import/Export Policies
15.10. Compliance Requirements
15.11. Emerging Investment Areas
15.12. Major Ongoing Projects
15.13. Market Size and Forecast
- 15.13.1. Market Revenue, by Device (2019-2032)
- 15.13.2. Market Revenue, by Power Consumption (2019-2032)
- 15.13.3. Market Revenue, by Function (2019-2032)
- 15.13.4. Market Revenue, by Processor (2019-2032)
- 15.13.5. Market Revenue, by Vertical (2019-2032)

Chapter 16. U.K. Market

16.1. Overview
16.2. Economic Indicators
16.3. Demographics and Population Insights
16.4. Regional Hotspots
16.5. Growth Drivers
16.6. Challenges and Barriers
16.7. Competitive Strategies
16.8. Emerging Players
16.9. Import/Export Policies
16.10. Compliance Requirements
16.11. Emerging Investment Areas
16.12. Major Ongoing Projects
16.13. Market Size and Forecast
- 16.13.1. Market Revenue, by Device (2019-2032)
- 16.13.2. Market Revenue, by Power Consumption (2019-2032)
- 16.13.3. Market Revenue, by Function (2019-2032)
- 16.13.4. Market Revenue, by Processor (2019-2032)
- 16.13.5. Market Revenue, by Vertical (2019-2032)

Chapter 17. France Market

17.1. Overview
17.2. Economic Indicators
17.3. Demographics and Population Insights
17.4. Regional Hotspots
17.5. Growth Drivers
17.6. Challenges and Barriers
17.7. Competitive Strategies
17.8. Emerging Players
17.9. Import/Export Policies
17.10. Compliance Requirements
17.11. Emerging Investment Areas
17.12. Major Ongoing Projects
17.13. Market Size and Forecast
- 17.13.1. Market Revenue, by Device (2019-2032)
- 17.13.2. Market Revenue, by Power Consumption (2019-2032)
- 17.13.3. Market Revenue, by Function (2019-2032)
- 17.13.4. Market Revenue, by Processor (2019-2032)
- 17.13.5. Market Revenue, by Vertical (2019-2032)

Chapter 18. Italy Market

18.1. Overview
18.2. Economic Indicators
18.3. Demographics and Population Insights
18.4. Regional Hotspots
18.5. Growth Drivers
18.6. Challenges and Barriers
18.7. Competitive Strategies
18.8. Emerging Players
18.9. Import/Export Policies
18.10. Compliance Requirements
18.11. Emerging Investment Areas
18.12. Major Ongoing Projects
18.13. Market Size and Forecast
- 18.13.1. Market Revenue, by Device (2019-2032)
- 18.13.2. Market Revenue, by Power Consumption (2019-2032)
- 18.13.3. Market Revenue, by Function (2019-2032)
- 18.13.4. Market Revenue, by Processor (2019-2032)
- 18.13.5. Market Revenue, by Vertical (2019-2032)

Chapter 19. Spain Market

19.1. Overview
19.2. Economic Indicators
19.3. Demographics and Population Insights
19.4. Regional Hotspots
19.5. Growth Drivers
19.6. Challenges and Barriers
19.7. Competitive Strategies
19.8. Emerging Players
19.9. Import/Export Policies
19.10. Compliance Requirements
19.11. Emerging Investment Areas
19.12. Major Ongoing Projects
19.13. Market Size and Forecast
- 19.13.1. Market Revenue, by Device (2019-2032)
- 19.13.2. Market Revenue, by Power Consumption (2019-2032)
- 19.13.3. Market Revenue, by Function (2019-2032)
- 19.13.4. Market Revenue, by Processor (2019-2032)
- 19.13.5. Market Revenue, by Vertical (2019-2032)

Chapter 20. Japan Market

20.1. Overview
20.2. Economic Indicators
20.3. Demographics and Population Insights
20.4. Regional Hotspots
20.5. Growth Drivers
20.6. Challenges and Barriers
20.7. Competitive Strategies
20.8. Emerging Players
20.9. Import/Export Policies
20.10. Compliance Requirements
20.11. Emerging Investment Areas
20.12. Major Ongoing Projects
20.13. Market Size and Forecast
- 20.13.1. Market Revenue, by Device (2019-2032)
- 20.13.2. Market Revenue, by Power Consumption (2019-2032)
- 20.13.3. Market Revenue, by Function (2019-2032)
- 20.13.4. Market Revenue, by Processor (2019-2032)
- 20.13.5. Market Revenue, by Vertical (2019-2032)

Chapter 21. China Market

21.1. Overview
21.2. Economic Indicators
21.3. Demographics and Population Insights
21.4. Regional Hotspots
21.5. Growth Drivers
21.6. Challenges and Barriers
21.7. Competitive Strategies
21.8. Emerging Players
21.9. Import/Export Policies
21.10. Compliance Requirements
21.11. Emerging Investment Areas
21.12. Major Ongoing Projects
21.13. Market Size and Forecast
- 21.13.1. Market Revenue, by Device (2019-2032)
- 21.13.2. Market Revenue, by Power Consumption (2019-2032)
- 21.13.3. Market Revenue, by Function (2019-2032)
- 21.13.4. Market Revenue, by Processor (2019-2032)
- 21.13.5. Market Revenue, by Vertical (2019-2032)

Chapter 22. India Market

22.1. Overview
22.2. Economic Indicators
22.3. Demographics and Population Insights
22.4. Regional Hotspots
22.5. Growth Drivers
22.6. Challenges and Barriers
22.7. Competitive Strategies
22.8. Emerging Players
22.9. Import/Export Policies
22.10. Compliance Requirements
22.11. Emerging Investment Areas
22.12. Major Ongoing Projects
22.13. Market Size and Forecast
- 22.13.1. Market Revenue, by Device (2019-2032)
- 22.13.2. Market Revenue, by Power Consumption (2019-2032)
- 22.13.3. Market Revenue, by Function (2019-2032)
- 22.13.4. Market Revenue, by Processor (2019-2032)
- 22.13.5. Market Revenue, by Vertical (2019-2032)

Chapter 23. South Korea Market

23.1. Overview
23.2. Economic Indicators
23.3. Demographics and Population Insights
23.4. Regional Hotspots
23.5. Growth Drivers
23.6. Challenges and Barriers
23.7. Competitive Strategies
23.8. Emerging Players
23.9. Import/Export Policies
23.10. Compliance Requirements
23.11. Emerging Investment Areas
23.12. Major Ongoing Projects
23.13. Market Size and Forecast
- 23.13.1. Market Revenue, by Device (2019-2032)
- 23.13.2. Market Revenue, by Power Consumption (2019-2032)
- 23.13.3. Market Revenue, by Function (2019-2032)
- 23.13.4. Market Revenue, by Processor (2019-2032)
- 23.13.5. Market Revenue, by Vertical (2019-2032)

Chapter 24. Australia Market

24.1. Overview
24.2. Economic Indicators
24.3. Demographics and Population Insights
24.4. Regional Hotspots
24.5. Growth Drivers
24.6. Challenges and Barriers
24.7. Competitive Strategies
24.8. Emerging Players
24.9. Import/Export Policies
24.10. Compliance Requirements
24.11. Emerging Investment Areas
24.12. Major Ongoing Projects
24.13. Market Size and Forecast
- 24.13.1. Market Revenue, by Device (2019-2032)
- 24.13.2. Market Revenue, by Power Consumption (2019-2032)
- 24.13.3. Market Revenue, by Function (2019-2032)
- 24.13.4. Market Revenue, by Processor (2019-2032)
- 24.13.5. Market Revenue, by Vertical (2019-2032)

Chapter 25. Brazil Market

25.1. Overview
25.2. Economic Indicators
25.3. Demographics and Population Insights
25.4. Regional Hotspots
25.5. Growth Drivers
25.6. Challenges and Barriers
25.7. Competitive Strategies
25.8. Emerging Players
25.9. Import/Export Policies
25.10. Compliance Requirements
25.11. Emerging Investment Areas
25.12. Major Ongoing Projects
25.13. Market Size and Forecast
- 25.13.1. Market Revenue, by Device (2019-2032)
- 25.13.2. Market Revenue, by Power Consumption (2019-2032)
- 25.13.3. Market Revenue, by Function (2019-2032)
- 25.13.4. Market Revenue, by Processor (2019-2032)
- 25.13.5. Market Revenue, by Vertical (2019-2032)

Chapter 26. Mexico Market

26.1. Overview
26.2. Economic Indicators
26.3. Demographics and Population Insights
26.4. Regional Hotspots
26.5. Growth Drivers
26.6. Challenges and Barriers
26.7. Competitive Strategies
26.8. Emerging Players
26.9. Import/Export Policies
26.10. Compliance Requirements
26.11. Emerging Investment Areas
26.12. Major Ongoing Projects
26.13. Market Size and Forecast
- 26.13.1. Market Revenue, by Device (2019-2032)
- 26.13.2. Market Revenue, by Power Consumption (2019-2032)
- 26.13.3. Market Revenue, by Function (2019-2032)
- 26.13.4. Market Revenue, by Processor (2019-2032)
- 26.13.5. Market Revenue, by Vertical (2019-2032)

Chapter 27. Saudi Arabia Market

27.1. Overview
27.2. Economic Indicators
27.3. Demographics and Population Insights
27.4. Regional Hotspots
27.5. Growth Drivers
27.6. Challenges and Barriers
27.7. Competitive Strategies
27.8. Emerging Players
27.9. Import/Export Policies
27.10. Compliance Requirements
27.11. Emerging Investment Areas
27.12. Major Ongoing Projects
27.13. Market Size and Forecast
- 27.13.1. Market Revenue, by Device (2019-2032)
- 27.13.2. Market Revenue, by Power Consumption (2019-2032)
- 27.13.3. Market Revenue, by Function (2019-2032)
- 27.13.4. Market Revenue, by Processor (2019-2032)
- 27.13.5. Market Revenue, by Vertical (2019-2032)

Chapter 28. South Africa Market

28.1. Overview
28.2. Economic Indicators
28.3. Demographics and Population Insights
28.4. Regional Hotspots
28.5. Growth Drivers
28.6. Challenges and Barriers
28.7. Competitive Strategies
28.8. Emerging Players
28.9. Import/Export Policies
28.10. Compliance Requirements
28.11. Emerging Investment Areas
28.12. Major Ongoing Projects
28.13. Market Size and Forecast
- 28.13.1. Market Revenue, by Device (2019-2032)
- 28.13.2. Market Revenue, by Power Consumption (2019-2032)
- 28.13.3. Market Revenue, by Function (2019-2032)
- 28.13.4. Market Revenue, by Processor (2019-2032)
- 28.13.5. Market Revenue, by Vertical (2019-2032)

Chapter 29. U.A.E. Market

29.1. Overview
29.2. Economic Indicators
29.3. Demographics and Population Insights
29.4. Regional Hotspots
29.5. Growth Drivers
29.6. Challenges and Barriers
29.7. Competitive Strategies
29.8. Emerging Players
29.9. Import/Export Policies
29.10. Compliance Requirements
29.11. Emerging Investment Areas
29.12. Major Ongoing Projects
29.13. Market Size and Forecast
- 29.13.1. Market Revenue, by Device (2019-2032)
- 29.13.2. Market Revenue, by Power Consumption (2019-2032)
- 29.13.3. Market Revenue, by Function (2019-2032)
- 29.13.4. Market Revenue, by Processor (2019-2032)
- 29.13.5. Market Revenue, by Vertical (2019-2032)

Chapter 30. Company Profiles

Chapter 31. Appendix

31.1. Sources and References
31.2. Related Reports

Edge AI Hardware Market Size & Share Analysis - Emerging Trends, Growth Opportunities, Competitive Landscape, and Forecasts (2025 - 2032)