The server industry is undergoing a rapid transformation as artificial intelligence (AI) becomes a central pillar of computing infrastructure. In 2024, the global server market reached $306 billion, with AI servers contributing $205 billion. By 2025, AI servers are projected to dominate over 70% of the market value, totaling $298 billion, according to TrendForce. A key driver of this shift is NVIDIA’s new Grace Blackwell superchip, which brings AI supercomputing capabilities to the desktop.
AI Servers Driving Market Growth
AI servers have seen explosive growth, with shipments increasing by 46% YoY in 2024. TrendForce forecasts a 28% YoY growth for AI server shipments in 2025, representing over 15% of total server units. Advanced AI systems, powered by NVIDIA’s Hopper and Blackwell GPUs, are at the heart of this demand. Blackwell GPUs are expected to be NVIDIA’s flagship offering for high-end AI tasks, tailored for workloads like natural language processing and deep learning.
Major cloud service providers (CSPs) like Google and AWS are also driving the shift to AI. Google led in in-house AI chip shipments in 2024, while AWS is expected to see over 70% growth in its Trainium chip shipments in 2025, focusing on AI cloud infrastructure and e-commerce applications.
Grace Blackwell Superchip: Desktop AI Revolution
At CES 2025, NVIDIA unveiled the Grace Blackwell superchip (GB10) as part of Project Digits. Designed to democratize AI development, it brings supercomputer-level AI performance to the desktop, enabling data scientists and researchers to develop and run advanced AI models locally.
The GB10 delivers up to 1 petaflop of performance at FP4 precision, capable of running models with up to 200 billion parameters on a single system. When connected via NVIDIA’s ConnectX networking, this capacity doubles to 405 billion parameters. With 128GB of memory, 4TB of NVMe storage, and support for DGX Cloud, it bridges desktop AI development with scalable cloud deployment.
Jensen Huang, CEO of NVIDIA, described Project Digits as a transformative step: “Placing an AI supercomputer on the desks of every data scientist and researcher empowers them to engage and shape the age of AI.”
Future of AI Servers
The rise of AI servers is reshaping the server market, driven by the growing demand for AI-enabled applications across industries like healthcare, finance, and autonomous vehicles. By 2025, AI servers will dominate the market, with platforms like NVIDIA’s Project Digits enabling broader access to AI tools and infrastructure.
With scalable solutions that connect personal supercomputers to cloud infrastructure, NVIDIA is leading the charge in making AI development accessible and efficient, paving the way for the next wave of AI-driven innovation.
