Artificial Intelligence (AI) is set to revolutionize the PC industry, with forecasts showing that AI PCs will account for nearly 60% of all PC shipments by 2027, according to a new report from International Data Corporation (IDC). The report predicts that shipments of AI PCs, which are personal computers with specific system-on-a-chip (SoC) capabilities designed to run generative AI tasks locally, will grow from almost 50 million units in 2024 to over 167 million units in 2027.
The growing hype around generative AI has fueled interest in AI PCs among IT decision-makers. These PCs offer enhanced user productivity through faster performance, lower inferencing costs, and on-device privacy and security. By 2024, IDC expects AI PC shipments to begin ramping up, eventually transitioning from a niche market to a majority in the PC industry.
Traditionally, AI tasks were run on the central processing unit (CPU) or the graphics processing unit (GPU), which could negatively impact the PC’s performance and battery life. However, PC silicon vendors have now introduced AI-specific silicon to their SoCs known as neural processing units (NPUs), which efficiently run AI tasks.
IDC has identified three types of NPU-enabled AI PCs:
1. Hardware-enabled AI PCs: These PCs, equipped with NPUs, will experience rapid growth in shipments over the next two years.
2. Next-generation AI PCs: Forecasted to dominate the market by the end of the projection period, these PCs will outnumber hardware-enabled AI PCs by 2027. Many of these PCs will be sold to commercial buyers, but consumers can also expect improvements in PC gaming and digital content creation.
There are three primary reasons for bringing AI workloads from the cloud to the client:
1. Performance enhancement: Running AI tasks locally on AI PCs eliminates the round trip to the cloud, allowing for faster processing.
2. Privacy and security: Keeping data on the device instead of transmitting it across networks enhances privacy and security.
3. Cost reduction: By minimizing the reliance on costly cloud resources, bringing AI workloads to AI PCs lowers expenses.
The report highlights that AI PCs present exciting opportunities for both commercial and consumer users. While commercial buyers will be a significant market for AI PCs, consumers can also expect advancements in PC gaming and digital content creation.
Overall, the IDC forecast predicts a significant shift towards AI PCs in the coming years, signifying the industry’s recognition of the benefits of localized AI capabilities. With improved performance, enhanced privacy and security, and lowered costs, AI PCs are poised to become the majority in PC shipments worldwide by 2027.
Please note: The referenced report, Worldwide Artificial Intelligence PC Forecast, 2023-2027, provides more detailed insights into the AI PC market, including product categories, processor architectures, and forecasts for commercial and consumer segments.
