Global Artificial Intelligence Market, By Type (Object Storage, File Storage, Block Storage) Component Type (Solutions, Services), Deployment (Private Public, and Hybrid), Enterprise Services (SMEs, Large Enterprises), Application (Front End, Back End), End User (BFSI, Retail and Consumer Goods, Healthcare and life sciences, Media and Entertainment, IT and Telecommunication, Manufacturing, Government and public sector, Energy and Utilities, Others) – Industry Trends and Forecast to 2031.
Artificial Intelligence Market Analysis and Size
The global Artificial Intelligence market is experiencing rapid growth, driven by the increasing adoption of AI technologies across various industries. Factors such as the proliferation of big data, advancements in computing power, and the growing demand for automation and predictive analytics are fueling market expansion. AI is being increasingly integrated into business processes to improve efficiency, enhance decision-making, and drive innovation. The development of AI algorithms and the availability of AI platforms and tools have lowered the barrier to entry for businesses looking to leverage AI.
Global artificial intelligence market size was valued at USD 92.33 billion in 2023 and is projected to reach USD 590.29 billion by 2031, with a CAGR of 26.1% during the forecast period of 2024 to 2031. In addition to the market insights such as market value, growth rate, market segments, geographical coverage, market players, and market scenario, the market report curated by the Data Bridge Market Research team includes in-depth expert analysis, import/export analysis, pricing analysis, production consumption analysis, and pestle analysis.
Report Scope and Market Segmentation
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Report Metric
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Details
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Forecast Period
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2024 to 2031
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Base Year
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2023
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Historic Years
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2022 (Customizable to 2016-2021)
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Quantitative Units
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Revenue in USD Billion, Volumes in Units, Pricing in USD
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Segments Covered
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Offering (Hardware, Software, and Services), Technology (Machine Learning, Natural Language Processing, Context-Aware Computing, and Computer Vision), Type (Narrow / Weak AI and General / Strong AI), Function (Marketing and Sales, Security, Finance, Law, Human Resource, and Others), Deployment Mode (Cloud and On-premises), Organization Size (Large enterprises, and Small and medium-sized enterprises), End-User Industry (Healthcare, Manufacturing, Automotive, Agriculture, Retail, Security, Human Resources, Marketing, Law, Fintech, Construction, Defense, Aerospace, Supply Chain, Building Automation, Consumer, Food and Beverage, Gaming, Media and Entertainment, Telecommunication and Oil and Gas)
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Countries Covered
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U.S., Canada, Mexico, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific, Saudi Arabia, U.A.E., South Africa, Egypt, Israel, Rest of Middle East and Africa, Brazil, Argentina, Rest of South America
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Market Players Covered
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Advanced Micro Devices, Inc. (U.S.), Aicure, LLC (U.S.), Arm, Ltd. (U.K.), Atomwise, Inc. (U.S.), AYASDI AI LLC (U.S.), Baidu Inc. (China), ClariFI, Inc. (U.S.), Cyrcadia Health (U.S.), Enlitic, Inc. (U.S.), H2O (U.S.), Google LLC (U.S.), Hyperverge Inc. (India), IBM (U.S.), Intel Corporation (U.S.), IRIS AI AS (Norway), Lifegraph Ltd. (U.K.), Microsoft (U.S.), Nvidia Corporation (U.S.), Sensley Inc. (U.S.), Zebra Medical Vision, Inc. (Israel)
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Market Opportunities
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Market Definition
Artificial intelligence refers to the simulation of human intelligence processes by machines, particularly computer systems. These processes include learning (the acquisition of information and rules for using the information), reasoning (using rules to reach approximate or definite conclusions), and self-correction. AI encompasses various subfields, such as machine learning, natural language processing, computer vision, and robotics, among others. AI aims to create intelligent machines that can perceive their environment, learn from experiences, and make decisions or solve problems autonomously, similar to human intelligence.
Artificial Intelligence Market Dynamics
Drivers
- Big Data and IoT
The proliferation of big data and the Internet of Things (IoT) is generating vast amounts of data that can be leveraged by AI systems to drive insights and improve decision-making. The integration of AI with big data analytics enables organizations to extract valuable insights from large and complex datasets, leading to improved operational efficiency and informed decision-making. In industries such as healthcare, retail, and manufacturing, AI-powered analytics can help in predicting trends, optimizing supply chains, and enhancing customer experiences. The combination of big data and IoT with AI is revolutionizing various industries, driving the adoption of AI technologies to harness the power of data for strategic advantage.
- Rising Demand for Automation
The increasing demand for automation across industries is a key driver for the adoption of AI technologies. Businesses are increasingly looking to streamline processes, reduce costs, and improve productivity through automation. AI-powered automation technologies, such as robotic process automation (RPA) and intelligent process automation (IPA), are being deployed to automate repetitive tasks, improve operational efficiency, and enhance customer service. Industries such as manufacturing, finance, and healthcare are leveraging AI to automate complex processes, such as predictive maintenance, fraud detection, and patient diagnosis. As the demand for automation continues to rise, the adoption of AI technologies is expected to grow, driving market expansion.
Opportunities
- Industry-specific Solutions
The development of industry-specific AI solutions tailored to the unique requirements of sectors like healthcare, finance, and manufacturing can address specific challenges faced by each industry, offering more effective and efficient outcomes. AI algorithms in healthcare can help in early disease detection and personalized treatment planning, while in finance, they can enhance fraud detection and risk management. Similarly, in manufacturing, AI can optimize production processes and improve quality control, leading to increased productivity and cost savings. As industries continue to recognize the value of AI in addressing their specific needs, the demand for industry-specific solutions is expected to rise, and present a significant opportunity for market growth.
- AI-powered Healthcare
AI-powered solutions can analyze vast amounts of medical data, such as patient records, genetic information, and medical images, to assist healthcare providers in making more accurate diagnoses and treatment decisions. This can lead to improved healthcare outcomes, reduced costs, and enhanced patient experiences. Furthermore, AI can accelerate the drug discovery process by predicting the efficacy and potential side effects of new drugs, helping pharmaceutical companies bring new treatments to market faster. The use of AI technologies in healthcare, including disease diagnosis, personalized treatment planning, and drug discovery, presents a significant growth opportunity.
Restraints/Challenges
- Data Privacy and Security Concerns
AI technologies, especially in industries handling sensitive information such as healthcare and finance, must adhere to stringent regulations and standards to protect confidential data. AI systems often require access to vast amounts of data to function effectively, raising concerns about the security and privacy of this data. Unauthorized access, data breaches, and misuse of data are some of the risks associated with AI implementation. Concerns regarding data privacy and security pose a significant barrier to the widespread adoption of AI technologies.
- Lack of Skilled Professionals
The demand for AI talent far exceeds the available supply, leading to increased competition for qualified professionals and driving up costs for businesses. The complexity of AI technologies requires specialized skills in areas such as machine learning, data science, and programming. Additionally, the rapid pace of technological advancement necessitates continuous learning and upskilling, further exacerbating the skills gap. The shortage of skilled professionals in AI and related fields is a significant challenge hindering the widespread implementation of AI technologies.
This market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.
Recent Developments
- In March 2024, Microsoft and NVIDIA announced a collaboration aimed at advancing AI in the healthcare and life sciences industry. This partnership combines the strengths of both companies, with Microsoft Azure providing cloud infrastructure and advanced computing capabilities, and NVIDIA contributing its DGX Cloud and Clara suite. The objective is to accelerate innovation in areas such as clinical research and drug discovery, ultimately improving patient care
- In March 2024, NVIDIA introduced new Generative AI Microservices designed to drive advancements in medical technology (MedTech), drug discovery, and digital health. These microservices utilize artificial intelligence (AI) to potentially enhance healthcare technology and outcomes
- In January 2024, Google revealed its latest AI model, Lumiere. This text-to-video diffusion model is capable of generating short video clips based on text descriptions. It also can animate still images and apply specific styles to video generation
Artificial Intelligence Market Scope
The market is segmented on the basis of offering, type, technology, function, deployment mode, organization size, and end-user industry. The growth amongst these segments will help you analyze meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.
Offering
- Hardware
- Software
- Services
Technology
- Machine Learning
- Natural Language Processing
- Context-Aware Computing
- Computer Vision
Type
- Narrow / Weak AI
- General / Strong AI
Function
- Marketing and Sales
- Security
- Finance
- Law
- Human Resource
- Others
Deployment Mode
- Cloud
- On-premises
Organization Size
- Large enterprises
- Small and medium-sized enterprises
End-User Industry
- Healthcare
- Manufacturing
- Automotive
- Agriculture
- Retail
- Security
- Human Resources
- Marketing
- Law Fintech
- Construction
- Defense
- Aerospace
- Supply Chain
- Building Automation
- Consumer
- Food and Beverage
- Gaming
- Media and Entertainment
- Telecommunication
- Oil and Gas
Artificial Intelligence Market Regional Analysis/Insights
The market is analyzed and market size insights and trends are provided by country, offering, type, technology, function, deployment mode, organization size, and end-user industry as referenced above.
The countries covered in the market report are U.S., Canada, Mexico, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, rest of Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, rest of Asia-Pacific, Saudi Arabia, U.A.E., South Africa, Egypt, Israel, rest of Middle East and Africa, Brazil, Argentina, and rest of South America.
North America is expected to dominate the market due to favorable government initiatives aimed at promoting the widespread adoption of AI technologies across various industries. These initiatives include funding for AI research and development, regulatory frameworks that support AI innovation, and strategic partnerships between government agencies and private sector companies.
Asia-Pacific is expected to show significant growth due to increasing adoption of Natural Language Processing (NLP) technologies is revolutionizing industries such as customer service, healthcare, and finance in the region. Furthermore, the booming e-commerce sector is fueling the demand for AI-powered solutions to enhance customer experience, optimize logistics, and personalize marketing efforts.
The country section of the report also provides individual market impacting factors and changes in regulation in the market domestically that impacts the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.
Competitive Landscape and Artificial Intelligence Market Share Analysis
The market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to market.
Some of the major players operating in the market are:
- Advanced Micro Devices, Inc. (U.S.)
- Aicure, LLC (U.S.)
- Arm, Ltd. (U.K.)
- Atomwise, Inc. (U.S.)
- AYASDI AI LLC (U.S.)
- Baidu Inc. (China)
- ClariFI, Inc. (U.S.)
- Cyrcadia Health (U.S.)
- Enlitic, Inc. (U.S.)
- H2O (U.S.)
- Google LLC (U.S.)
- Hyperverge Inc. (India)
- IBM (U.S.)
- Intel Corporation (U.S.)
- IRIS AI AS (Norway)
- Lifegraph Ltd. (U.K.)
- Microsoft (U.S.)
- Nvidia Corporation (U.S.)
- Sensley Inc. (U.S.)
- Zebra Medical Vision, Inc. (Israel)
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