The global AI infrastructure landscape is experiencing robust but slightly tempered growth in 2025, as geopolitical pressures reshape deployment strategies across regions.
TrendForce reports that major North American cloud service providers (CSPs) remain the primary drivers of AI server market growth. Steady demand is also being bolstered by tier-2 data centers and sovereign cloud projects in the Middle East and Europe. With sustained demand from North American CSPs and OEM customers, global AI server shipments are projected to maintain double-digit growth in 2025. However, geopolitical tensions and US export restrictions impacting the Chinese market have led TrendForce to slightly revise its forecast, projecting a 24.3% YoY increase in global AI server shipments for the year.
Google has seen a notable increase in server demand, driven by sovereign cloud initiatives and the completion of new data centers in Southeast Asia. "Google has begun mass deployment of its AI inference-focused TPU v6e chips, which have become mainstream in the first half of 2025," according to the report.
Amazon Web Services (AWS) is focused on scaling its in-house Trainium v2 platform while developing several variants of Trainium v3, scheduled for mass production in 2026. AWS is expected to lead all U.S. CSPs in in-house AI chip shipments this year, doubling its 2024 volumes.
"Oracle, compared to the other four CSPs, is more focused on purchasing AI servers and in-memory database (IMDB) servers. In 2025, Oracle plans to step up AI server infrastructure deployment and integrate its core cloud database services with AI applications. In response to sovereign cloud projects in the US, the company has also seen increased demand for NVIDIA's GB Rack NVL72 solutions," noted TrendForce.
The Middle East is rapidly emerging as a new sovereign cloud hub, thanks in large part to the region's commitment to building itself into an AI hub. In February, Google Cloud inked a deal with Accenture to speed the adoption of sovereign cloud and generative AI solutions in Saudi Arabia. The same month, stc Group teamed with SambaNova to build a sovereign cloud specifically for AI in the country. And in March, Microsoft partnered with Core42 to build a sovereign cloud for the government of Abu Dhabi in the United Arab Emirates.
"Additionally, many server enterprise OEMs are reassessing their market strategies for the second half of 2025 due to recent changes in international tariff policies. Currently, TrendForce estimates that total server shipments—including both general-purpose and AI servers—will see a year-on-year growth of approximately 5%, in line with previous projections," the report concluded.