PCIe Interconnect Chip Market: Trends, Policies, and Future Outlook

PCIe Interconnect Chip Overview

PCIe (PCI Express) interconnect chips are integrated circuits that enable high‑speed data transfer between devices, boards, or systems based on the PCIe protocol, addressing signal integrity, distance limits, and multi‑device expansion.

Industry Classification

Industry Development History

The industry started with the emergence of the PCIe protocol and has grown alongside computing and data‑center development, evolving with protocol upgrades toward higher speed and lower latency, while domestic production accelerates.

Policy Support

Government tax incentives reduce corporate costs, encouraging R&D investment and production scaling, which boosts innovation and drives industry upgrading.

Industry Chain

The upstream supplies raw materials and chip fabrication, the mid‑stream handles design and production, and the downstream includes application scenarios such as AI servers, driving demand for higher performance and bandwidth.

Downstream Demand

China's server market reached ¥2,492.1 billion in 2024, a 41.3 % year‑over‑year increase, spurring demand for PCIe chips that improve internal component communication and meet rising AI compute needs.

Global Market

In 2024 the global PCIe interconnect chip market was $2.289 billion, projected to reach $7.761 billion by 2030 (CAGR 20.1 %).

Product Structure

PCIe Switches dominate with 82.7 % market share, while PCIe Retimers hold 17.2 %, essential for signal compensation and long‑distance links.

Segment Outlook

PCIe Switches, critical for CPU‑GPU interconnect, grew to $1.894 billion in 2024.

Competitive Landscape

The top five vendors control over 90 % of the market; Broadcom leads globally, followed by companies such as Microchip and China’s Lanqi in the Retimer segment.

Future Trends

PCIe standards evolve from 5.0 (32 GT/s) to 6.0 (64 GT/s) and 7.0 (128 GT/s), driving chip innovations toward higher speeds, lower latency, and reduced power consumption; Retimers expand applications, and Switches upgrade topologies for multi‑device bandwidth optimization.