A global skills shortage, catalysed by falling birth rates and a lack of adequate STEM training, is set to delay AI chip development, according to research and analysis company GlobalData.
GlobalData’s executive briefing on AI notes that the AI chip market is set to be worth over $116bn by 2030.
Go deeper with GlobalData
AI chips are predicted to account for nearly 30% of the global chip market by 2030 according to research from GlobalData.
Despite this forecasted growth, a global shortage of skilled workers could greatly delay the development of advanced AI chips.
In its briefing, GlobalData cited a study conducted by industry group Semiconductor Industry Association (SIA) which suggested that around 67,000 jobs will go unfilled in the US’ chip market by 2030.
Technicians, engineers and computer scientists will be among the most affected job postings according to the SIA. Job postings for technicians are expected to grow by 36% between 2023 and 2030.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalData
GlobalData noted that the global chip market finally saw an end to its volatility in Q1 2024 following a tumultuous period following the COVID-19 Pandemic, which caused a huge rise in demand for consumer handheld electronics.
However, it reported that legacy chips continued to be a cornerstone of the industry’s manufacturing. Some 95% of chips used in vehicles were legacy technology.
Growing deployment of AI products and tools will require more advanced chip technology to support AI’s large compute needs.
A 2024 GlobalData survey found that around 27% of businesses already reported a high adoption rate of AI into their workflows. Looking ahead, GlobalData predicts that AI rollout will continue to gain momentum.
GlobalData noted that many chip manufacturers, such as Intel, Samsung Electronics and TSMC, had entered partnerships with higher education institutions to hire fresh graduate talent.
To overcome the skills shortage, GlobalData forecast that both the private and public sector will need to expand their collaboration efforts to create new training opportunities for the next generation of chip talent.
However, GlobalData advises companies to work on upskilling existing employees to fill their skills shortage in the interim.
