AI Sina Tide Brings New Business Opportunities through Technology

        After OpenAI (Open Artificial Intelligence Research Center) launched the chatbot ChatGPT in 2022, a new wave of AI Generated Content (AIGC) swept the world, setting a record of reaching 1 million users within 2 weeks and accumulating over 100 million active users in 2 months, making it the fastest-growing consumer application service in history. How can the highly anticipated AIGC be applied to commercial activities? How much economic benefits can it generate? This issue of "Finance Column" takes you on a closer look.

        AIGC: Disrupting Your Imagined AI New Business Model

        AIGC is one of the application areas of AI, where users use AI technology to create new original content in various forms such as text, images, music, and videos.

                AIGC has just started?

        According to data from research and development institutions, the global market size of generative AI was USD 10.1 billion in 2022, and it is estimated that it will grow to USD 109 billion by 2030, with a compound annual growth rate (CAGR) of up to 35%, driving an increase in demand for AI servers. According to statistics from research and development institution Digitimes Research, the shipment volume of "advanced AI servers" in 2022 was 23800 units (YoY 19.2%), and it is estimated that the shipment volume in 2023 and 2024 will reach 167200 units (YoY 602.5%), respectively 337200 units (YoY 101.7%), showing a rapid upward trend.

                TrendForce also estimates that the shipment volume of "AI servers" will be nearly 1.2 million units (YoY 38.4%) in 2023, accounting for nearly 9% of the overall server shipment volume. It will increase to 15% by 2026, and the compound growth rate of AI server shipments from 2022 to 2026 will be 22%. Based on comprehensive analysis, it is expected that the AI server market will continue to grow rapidly, with a global market size expected to reach USD 34.66 billion in 2026, with a five-year compound growth rate of 17.3%.

        Technology giants continue to expand and new AI innovations emerge one after another

        US tech giants are targeting the AI market, and their financial reports not only show strong demand for AI, but also better than expected profits and prospects. According to IDC data, the total investment in AI is estimated to exceed USD 300 billion in 2026. Currently, companies such as OpenAI, Google, Facebook in the United States, Preferred Networks in Japan, and Alibaba and Baidu in China are all researching generative AI and its applications.

                AI New World Taiwan plays a crucial role

        The upstream core chips such as CPUs and GPUs are mainly controlled by American companies such as AMD, Pfizer, and Intel, while Taiwanese companies are relatively competitive in semiconductors, electronic components, heat dissipation, casings, power supplies, PCBs, and server OEM, serving as the main supply chain for their products.

                The next wave of industrial revolution: AI ubiquitous in the next 10 years

        Taiwan has a complete AI industry supply chain, playing a key role from upstream semiconductors to downstream assembly plants, and is expected to greatly benefit from the booming AI industry in the future. Microsoft CEO Satya Nadella said that artificial intelligence seems to have brought computers from bicycles to the steam engine era, and the emergence of a new era often brings huge investment opportunities. 2024 will not only become the first year of AI applications, but also foresee a surge in investment from all parties.

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