Unveiling the Enigmatic AI PC: A Glimpse into the Future of Computing

The emerging market for AI PCs does not yet have a clear definition, according to TrendForce.

On the software side, Microsoft has introduced its AI assistant, Copilot, which is powered by the GPT LLM. Sales of this service will begin in November and it requires Windows 11. Users can access Copilot for a monthly fee of $30.

Meanwhile, CPU manufacturers are focusing on enhancing AI processing capabilities in end-user devices on the hardware side. The goal is to achieve faster performance, increased security, and cost reduction. This means providing instantaneous responses and low latency, local storage for improved security, and reducing reliance on servers to cut costs.

The integration of neural processing engines is crucial for client-side AI applications as it eliminates the need for cloud operation. This enables offline AI inference for production needs.

Although the launch of new processors in 2024 will lay the groundwork for AI PCs, TrendForce predicts that early development will primarily target high-end business users and content creators due to the high costs associated with upgrading both software and hardware for AI PCs. This group has a strong demand for leveraging AI processing capabilities to improve productivity efficiency and can benefit immediately from related applications, making them the primary users of the first generation.

However, without the emergence of a groundbreaking AI application that significantly enhances the AI experience, it will be challenging to boost adoption of consumer AI PCs.

TrendForce forecasts a decline of 10.2% in notebook shipments in 2023, totaling 167 million units. However, with inventory pressures easing, the market is expected to grow by 3.2% in 2024, reaching 172 million units. The principal growth drivers are anticipated to be the gradual release of pent-up demand for business sector upgrades and continuous expansion in segments such as Chromebooks and gaming notebooks.