There are some interesting angles to the gen AI chip boom that affect the chip industry as a whole. With sales predicted to reach more than US$50 billion in 2024, 10 this market is a tailwind for the sector and is expected to account for about 8.5% of sales. A portion of that will come from logic processors made on advanced nodes, some of it from advanced high bandwidth memory (HBM3), some from advanced 2.5D packaging, plus some from advanced connectivity chips. In each category, these gen AI-driven chips are among the priciest of their kind. In 2022, more than a trillion chips were sold at an average selling price of US$0.57 per chip. 11 Meanwhile, some gen AI chips were selling for US$40,000 each in 2023, or 70,000x higher, and therefore US$50 billion worth of chips might only be a volume of 1.25 million chips, or less than 0.1% of total chip volumes for the year. 12