IDC: AI Infrastructure Spending to Surpass $100 Billion by 2028

According to the latest findings from the International Data Corporation (IDC) Worldwide Semiannual Artificial Intelligence Infrastructure Tracker, the global Artificial Intelligence (AI) infrastructure market is on an unprecedented growth path and is set to exceed $100 billion in spending by 2028. Organizations increased their spending on computing and storage hardware infrastructure for AI deployments to $31.8 billion in the first half of 2024, marking a 37% increase from the previous year.

The AI infrastructure market has maintained double-digit growth for nine consecutive halves, driven particularly by investments in servers for AI deployments. In the first half of the year, servers accounted for 89% of total spending, growing 37% compared to the same period last year. As hyperscalers, cloud service providers, and digital service providers expand their infrastructure capabilities, the AI Infrastructure deployed in cloud and shared environments will represent 65% of total server spending in AI by the first year of 2024. In contrast, traditional enterprises have largely lagged in adopting on-premises AI infrastructure.

Established accelerated servers, which accounted for 58% of total server AI infrastructure spending that grew 63% in the first half of 2024, are the preferred infrastructure for AI platforms. IDC predicts that accelerated servers will account for over 60% of server AI infrastructure spending by 2028 and will grow at a 19% compound annual growth rate. The United States leads the global AI infrastructure market, accounting for nearly half of total spending in the first year of 2024, followed by China (23%), Asia Pacific-Japan (16%), and EMEA (10%).