South Korea Edge-AI Hardware Market Research Report By Component (CPU, GPU, ASIC, FPGA), By Device (Smartphone, Camera, Robot, Automobile, Smart Speaker, Wearables, Smart Mirror, Others), By Power Consumption (0-5 W, 6-10 W, More Than 10 W), By Process (Training, Inference) and By Vertical (Consumer Electronics, Smart Home, Automotive Transportation, Healthcare, Aerospace Defense, Government, Construction, Others) - Forecast to 2035

South Korea Edge-AI Hardware Market Overview

As per MRFR analysis, the South Korea Edge-AI Hardware Market Size was estimated at 60.26 (USD Million) in 2023. The South Korea Edge-AI Hardware Market Industry is expected to grow from 73.47(USD Million) in 2024 to 665 (USD Million) by 2035. The South Korea Edge-AI Hardware Market CAGR (growth rate) is expected to be around 22.172% during the forecast period (2025 - 2035)

Key South Korea Edge-AI Hardware Market Trends Highlighted

The South Korea Edge-AI Hardware Market is experiencing substantial growth, which is primarily due to the growing demand for real-time data processing and analytics. The adoption of edge computing technologies is increasing as businesses and industries strive for efficiency and speed in data management. This trend is further exacerbated by the South Korean government's efforts to improve its digital infrastructure and promote the development of smart factories, particularly in the manufacturing sector. These initiatives are consistent with the nation's investment in 5G technology and artificial intelligence, thereby fostering an environment that is favorable for Edge-AI hardware solutions.

The advancement of AI-integrated devices for sectors such as healthcare, automotive, and telecommunications can exploit opportunities in this market. The robust semiconductor industry and South Korea's strong emphasis on innovation create a favorable environment for the development of edge computing applications. Government policies that encourage industrial transformation and technological advancement may prove advantageous to organizations that are developing energy-efficient and high-performance Edge-AI hardware that is customized to meet local requirements. A growing emphasis has accompanied the deployment of Edge-AI systems on the enhancement of cybersecurity measures in recent years.

Organizations are prioritizing data security as they implement peripheral technologies in response to the increasing prevalence of cyber threats. Additionally, there is a rising interest in collaborative ecosystems, which involve the collaboration of established firms and technology ventures to create innovative solutions.This collaborative trend provides South Korean companies with a competitive advantage in the global market. In general, the demand for real-time, efficient data processing and innovation is driving the integration of Edge-AI hardware into South Korea's technological landscape.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

South Korea Edge-AI Hardware Market Drivers

Rapid Adoption of Artificial Intelligence Technologies

The growing integration of Artificial Intelligence (AI) across various sectors in South Korea is significantly driving the South Korea Edge-AI Hardware Market Industry. According to the Ministry of Science and ICT, investments in AI-related technologies have surged, with a reported 153 billion South Korean Won allocated for AI research and development in the fiscal year 2022 alone. Furthermore, in 2021, South Korea's government launched its 'Digital New Deal' initiative, aimed at promoting AI technologies and enhancing digital infrastructure, which is expected to create a more conducive environment for Edge-AI hardware development.With major players such as Samsung Electronics leading the charge in developing AI chips and hardware, the increasing demand for AI-driven solutions in sectors like healthcare, automotive, and smart cities is projected to fuel substantial growth in this market. The synergy between governmental support and private sector initiatives is poised to expand the market further, supported by an expected compound annual growth rate of approximately 22.172% from 2025 to 2035.

Surge in the Internet of Things (IoT) Deployments

The growing deployment of Internet of Things (IoT) devices across South Korea is a key driver for the South Korea Edge-AI Hardware Market Industry. The South Korean government aims to increase the number of IoT devices connected nationwide to 50 million by 2025, as stated in the 2020 National IoT Strategy Plan. This increase is expected to catalyze the demand for Edge-AI Hardware, as these devices often require rapid processing capabilities at the edge to enable real-time analysis and decision-making.Companies like LG Electronics and SK Telecom have been at the forefront of implementing IoT solutions, further bolstering the demand for advanced Edge-AI hardware that supports such expansive networks.

Increased Focus on Data Privacy and Security

With the rising concern over data privacy and security, the demand for Edge-AI Hardware is expected to grow as organizations in South Korea look for solutions that ensure data protection while processing information locally. The Personal Information Protection Act (PIPA) in South Korea, which mandates strict guidelines for data handling and processing, encourages companies to utilize Edge-AI solutions that allow data processing closer to the source.Prominent companies like Naver and Kakao are investing in Edge computing technologies to align with these regulations and enhance their data security protocols. By localizing data processing, these organizations can mitigate risks associated with data breaches, thereby creating a robust market for Edge-AI hardware.

South Korea Edge-AI Hardware Market Segment Insights

Edge-AI Hardware Market Component Insights

The Component segment of the South Korea Edge-AI Hardware Market is a critical area that significantly influences the performance and capabilities of Edge-AI technologies. The market encompasses several vital components, each contributing uniquely to the overall effectiveness of Edge-AI systems. Central Processing Units (CPUs) are pivotal as they handle the primary processing tasks and control functions, ensuring efficient data processing and system management. Meanwhile, Graphics Processing Units (GPUs) are essential for their parallel processing capabilities, making them suitable for handling complex computations often required in AI applications. As AI workloads continue to rise, the demand for powerful GPUs is substantial, driving innovation and investment within this component area.

Application Specific Integrated Circuits (ASICs) play a crucial role in optimizing power consumption and performance for specific applications, making them desirable for Edge-AI devices that require efficiency and speed. Their capability to perform tasks with lower energy requirements positions them prominently in the market, especially amidst growing concerns around power consumption in computing systems. Lastly, Field Programmable Gate Arrays (FPGAs) offer flexibility and adaptability, enabling businesses to customize hardware functionality post-manufacture, thereby supporting a range of applications in real time.In South Korea, the emergence of government initiatives supporting AI research and infrastructure development is poised to drive the demand for these components further.

The rapid advancement in Internet of Things (IoT) devices and an increasing focus on smart city developments present additional opportunities for the expansion of the Component segment within the Edge-AI Hardware Market. These factors indicate a robust trajectory for growth, highlighting the importance of understanding the dynamics of each component's contribution to the market. With technological advancements and strategic investments, particularly in the chipset development ecosystem, the potential for the South Korea Edge-AI Hardware Market remains significant.

The confluence of these elements positions South Korea as a key player in the global Edge-AI Hardware landscape, facilitating innovations that will encompass emerging trends such as autonomous vehicles, smart manufacturing, and intelligent customer experiences across business sectors. The emphasis on enhancing AI capabilities through improved hardware components reflects the region's commitment to leading the charge in technological advancements, bolstering its economic growth, and fostering a highly competitive industry.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Edge-AI Hardware Market Device Insights

The Device segment within the South Korea Edge-AI Hardware Market is a vital component reflecting emerging technological trends and consumer demands. As the nation is at the forefront of innovation, the integration of Edge-AI capabilities in devices like Smartphones and Cameras enhances functionalities, paving the way for smarter applications in everyday life. The Robot segment shows a growing trend, especially in the manufacturing and service sectors, addressing labor shortages and increasing automation.

The Automobile sector is experiencing a shift with self-driving technologies, as Edge-AI devices contribute to improving safety and efficiency features.Smart Speakers and Wearables are gaining traction among consumers as they leverage AI for personalized experiences in homes and fitness. Smart Mirrors represent a unique integration of technology into daily routines, driving convenience and engagement. Other devices within the market further illustrate diversity, with applications across various industries. Collectively, these segments highlight the South Korea Edge-AI Hardware Market's potential for growth and innovation, fueled by increasing investment in technology and strong consumer interest.

Edge-AI Hardware Market Power Consumption Insights

The Power Consumption segment within the South Korea Edge-AI Hardware Market is a vital area of focus, reflecting the growing need for energy-efficient solutions in various applications, particularly in the context of artificial intelligence. As companies increasingly seek to optimize performance while minimizing energy usage, the categorization of power consumption into tiers such as 0-5 W, 6-10 W, and More Than 10 W illustrates a diverse range of hardware capabilities.

The 0-5 W range typically includes edge devices aimed at low-power applications, making them suitable for extensive deployments in areas like smart homes and IoT systems, where efficiency is key.The 6-10 W segment caters to moderate energy demands, often represented by advanced processing units that balance performance and power consumption, providing reliable functionality for various industrial applications. Meanwhile, devices requiring more than 10 W dominate highly intensive processing tasks, such as those found in data centers and autonomous systems, reflecting the demand for powerful computational capabilities.

This segmentation is paramount as it allows various sectors in South Korea, particularly technology-intensive industries, to identify and implement hardware solutions that not only meet their operational needs but also align with sustainability goals, ultimately supporting the South Korean government’s initiatives for energy efficiency and reduction of carbon footprints in technology.

Edge-AI Hardware Market Process Insights

The South Korea Edge-AI Hardware Market is witnessing substantial growth within the Process segment, primarily focused on the areas of Training and Inference. The Training process is crucial as it allows machine learning models to improve their accuracy through data processing at the edge, which decreases latency and enhances real-time decision-making capabilities. This aspect is particularly significant in applications like autonomous vehicles and smart manufacturing, where precise and prompt responses are vital for operational efficiency. On the other hand, Inference plays a dominant role by enabling the execution of trained models on edge devices, which facilitates rapid and localized data processing, minimizing the need for continuous cloud connectivity.

This is especially important in sectors such as health care, where immediate data analysis can lead to timely interventions. The South Korean government's initiatives to bolster AI readiness further support advancements in these processes, providing opportunities for innovation and investment. Overall, the insights into the Process segment reflect a robust drive toward enhancing Edge-AI capabilities, catering to the growing demands for efficiency, speed, and reliability in numerous applications across various industries.

Edge-AI Hardware Market Vertical Insights

The South Korea Edge-AI Hardware Market showcases a diverse vertical segmentation that plays a critical role in driving technological advancements across various industries. The Consumer Electronics and Smart Home sectors are pivotal, reflecting increasing consumer demand for connected devices that enhance convenience and efficiency. Automotive and Transportation are experiencing a significant shift, propelled by innovations in autonomous vehicles and smart traffic management systems, which necessitate robust Edge-AI solutions. In Healthcare, the integration of Edge-AI Hardware is revolutionizing patient care and diagnostics, providing real-time data processing for better decision-making.

The Aerospace and Defense sectors require high-reliability technologies that facilitate enhanced operational efficiency and security. Government applications are also leveraging Edge-AI solutions for smarter city frameworks and public safety enhancements. The Construction industry is adopting these technologies to optimize project management, resource allocation, and safety monitoring. As these segments evolve, they present substantial opportunities for growth in the South Korea Edge-AI Hardware Market, fueled by ongoing technological innovations and a focus on enhancing operational effectiveness while addressing specific sector challenges.The market growth in these varied verticals highlights the significance of tailored Edge-AI solutions that drive efficiency and improve outcomes across the board.

South Korea Edge-AI Hardware Market Key Players and Competitive Insights

The South Korea Edge-AI Hardware Market has been experiencing significant growth in recent years, driven by advancements in artificial intelligence technology and the increasing demand for real-time data processing. As industries across various sectors adopt edge computing to enhance efficiency and response times, competition among key players in this space has intensified. Companies are striving to differentiate themselves by innovating their product offerings, improving performance, and enhancing energy efficiency. The dynamic landscape of the Edge-AI hardware market in South Korea is characterized by a mix of large multinational corporations and agile startups, all vying for market share. As technology continues to evolve, so will the strategies employed by these organizations to maintain a competitive edge in this rapidly changing environment.

In the context of the South Korea Edge-AI Hardware Market, Google has established a formidable presence, leveraging its extensive experience in cloud computing and AI technologies. The company has built strong partnerships with local enterprises and research institutions, enabling it to tailor its offerings to meet the specific demands of the South Korean market. Google’s edge solutions are characterized by their high performance and ability to integrate seamlessly with its cloud services, creating a robust ecosystem that enhances its attractiveness to businesses. Additionally, Google's commitment to innovation allows it to consistently strengthen its product lineup, giving it a critical edge over competitors. Furthermore, Google's reputation for reliability and security bolsters its position as a trusted provider in the South Korean market.NVIDIA, renowned for its powerful graphics processing units, has also carved a significant niche in the South Korea Edge-AI Hardware Market.

The company specializes in high-performance computing solutions that cater to the needs of a diverse range of industries, including automotive, healthcare, and manufacturing. NVIDIA’s key products, such as the Jetson series, are designed specifically for edge AI applications, facilitating real-time analytics and decision-making capabilities at the edge. With a robust market presence, NVIDIA continues to lead the charge in innovation, reflecting its commitment to providing cutting-edge technology that meets the demands of local enterprises. The company has engaged in strategic mergers and acquisitions to expand its capabilities and enhance its product offerings within the region. This strategic focus, combined with NVIDIA’s reputation for high performance and reliability, positions it favorably among competitors in the South Korean Edge-AI hardware market.

Key Companies in the South Korea Edge-AI Hardware Market Include

• Google


• NVIDIA


• Intel


• SK Hynix


• Arm


• Analog Devices


• Texas Instruments


• Microsoft


• LG Electronics


• Xilinx


• Qualcomm


• Cypress Semiconductor


• MediaTek


• Samsung Electronics


• IBM

South Korea Edge-AI Hardware Market Industry Developments

The South Korea Edge-AI Hardware Market has seen significant developments recently, particularly among major players such as Google, NVIDIA, Intel, SK Hynix, and Samsung Electronics. In June 2023, NVIDIA announced its expansion plans in South Korea to bolster its Edge computing capabilities amid rising demand. Google revealed upgrades to its AI-related services in the region. SK Hynix and LG Electronics have also reportedly increased their investments in Edge-AI hardware and semiconductor technology, capitalizing on the growing market for intelligent devices.

Additionally, in July 2023, Samsung Electronics launched a new line of Edge-AI hardware targeted at industrial applications, showcasing advancements in machine learning and real-time data processing. The market valuation for these companies has been on the rise due to enhanced adoption of AI-enabled systems across various sectors. Notably, there have been no major mergers or acquisitions involving the listed companies within the past few months, reflecting a focus on organic growth and market expansion strategies. Overall, the South Korea Edge-AI Hardware Market continues to evolve rapidly, driven by strategic investments and technological innovation.

South Korea Edge-AI Hardware Market Segmentation Insights

• Edge-AI Hardware Market Component Outlook
  
  
  
  • CPU
  
  
  • GPU
  
  
  • ASIC
  
  
  • FPGA
  
  
  
  


• Edge-AI Hardware Market Device Outlook
  
  
  
  • Smartphone
  
  
  • Camera
  
  
  • Robot
  
  
  • Automobile
  
  
  • Smart Speaker
  
  
  • Wearables
  
  
  • Smart Mirror
  
  
  • Others
  
  
  
  


• Edge-AI Hardware Market Power Consumption Outlook
  
  
  
  • 0-5 W
  
  
  • 6-10 W
  
  
  • More Than 10 W
  
  
  
  


• Edge-AI Hardware Market Process Outlook
  
  
  
  • Training
  
  
  • Inference
  
  
  
  


• Edge-AI Hardware Market Vertical Outlook
  
  
  
  • Consumer Electronics
  
  
  • Smart Home
  
  
  • AutomotiveTransportation
  
  
  • Healthcare
  
  
  • AerospaceDefense
  
  
  • Government
  
  
  • Construction
  
  
  • Others
  
  
  
  

Report Attribute/Metric Source:	Details
MARKET SIZE 2023	60.26 (USD Million)
MARKET SIZE 2024	73.47 (USD Million)
MARKET SIZE 2035	665.0 (USD Million)
COMPOUND ANNUAL GROWTH RATE (CAGR)	22.172% (2025 - 2035)
REPORT COVERAGE	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR	2024
MARKET FORECAST PERIOD	2025 - 2035
HISTORICAL DATA	2019 - 2024
MARKET FORECAST UNITS	USD Million
KEY COMPANIES PROFILED	Google, NVIDIA, Intel, SK Hynix, Arm, Analog Devices, Texas Instruments, Microsoft, LG Electronics, Xilinx, Qualcomm, Cypress Semiconductor, MediaTek, Samsung Electronics, IBM
SEGMENTS COVERED	Component, Device, Power Consumption, Process, Vertical
KEY MARKET OPPORTUNITIES	5G infrastructure expansion, Smart manufacturing solutions, Autonomous vehicle integration, Healthcare device innovation, IoT integration in smart cities
KEY MARKET DYNAMICS	rapid technological advancements, increasing data processing needs, rising demand for IoT applications, strong government support initiatives, competitive landscape orchestration
COUNTRIES COVERED	South Korea