Morgan Stanley sees agentic AI widening chip spending beyond graphics processors to CPUs

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Morgan Stanley predicts that the rise of agentic AI will expand chip spending beyond traditional graphics processing units (GPUs) to include central processing units (CPUs) and memory. This shift is expected to reshape data center infrastructure, with agentic AI systems—which can plan and execute tasks autonomously—driving a significant increase in demand for general-purpose compute intensity. The firm estimates that agentic AI could add $32.5–60 billion to the data-center CPU market by 2030, benefiting companies like Nvidia, AMD, Intel, Arm, Micron, Samsung, SK hynix, TSMC, and ASML.

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