Generative AI Market Poised for Explosive Growth
The generative AI market is predicted to experience significant expansion, increasing from $71.4 billion in 2025 to $890.6 billion by 2032, reflecting a compound annual growth rate of 43.4%. This surge follows the rapid adoption of generative AI applications, notably ChatGPT, which gained over 30 million users within two months of its November 2022 release.
As companies explore generative AI opportunities, investment options include notable exchange-traded funds (ETFs) such as the VanEck Semiconductor ETF (NASDAQ: SMH), which has risen 59% over the past year and focuses on key semiconductor manufacturers like Nvidia and Broadcom. The State Street SPDR S&P Semiconductor ETF (NYSEMKT: XSD) and iShares Semiconductor ETF (NASDAQ: SOXX) are also strong contenders, with returns of 41% and 56%, respectively, in the last twelve months.
