Artificial Intelligence Market by Component (Hardware, Services, Software), Technology (Computer Vision, Context-Aware Computing, Handwriting Recognition), Industry - Global Forecast 2024-2030

Artificial Intelligence Market by Component (Hardware, Services, Software), Technology (Computer Vision, Context-Aware Computing, Handwriting Recognition), Industry - Global Forecast 2024-2030

The Artificial Intelligence Market size was estimated at USD 447.77 billion in 2023 and expected to reach USD 599.88 billion in 2024, at a CAGR 35.41% to reach USD 3,738.34 billion by 2030.

Artificial intelligence (AI) refers to the simulation of human intelligence in machines programmed to learn and think as humans. Artificial intelligence is integrated with machines that exhibit similar traits associated with the human mind, such as learning and problem-solving. This technology aims to enable machines to perform tasks that require human intelligence, including reasoning, knowledge representation, planning, education, natural language processing (NLP), perception, and the ability to manipulate and move objects. The exponential growth in data generation and the availability of large datasets for training AI systems create a platform for the artificial intelligence market. Substantial investments from both public and private sectors in AI research and startups have propelled the technology forward, driving innovation and broadening its application spectrum. The convergence of AI with other fields of study, such as cognitive science and robotics, has expanded its capabilities and applications, fostering growth in the market. Certain technical limitations, data bias, and quality issues with the usage of artificial intelligence hampers the growth of the market. Rising advancements in artificial intelligence algorithms that improve the efficiency of AI solutions are expected to create opportunities for market growth.

Regional Insights

The Americas represents a significant region for the artificial market as it's a global hub for advanced technology companies and startups focusing on AI and machine learning (ML). The presence of major tech companies that lead in AI research and development pushes the boundaries of AI in healthcare, finance, and autonomous vehicles. With its distinguished AI research community, Canada has seen considerable growth in AI startups, largely concentrated in cities including Toronto, Montreal, and Vancouver. These hubs are supported by government initiatives and academic institutions internationally recognized for their contributions to AI and ML research. The Asia-Pacific region is characterized by rapid growth in AI, with countries including China, South Korea, and Australia's growing focus on digitalization. South Korea heavily invests in AI for manufacturing, smart cities, and robotics, while Australia's AI sector is burgeoning, driven by investments in health, education, and mining technologies. This region benefits from strong governmental support, high levels of investment, and a quickly growing tech-savvy population. The EMA region presents a diverse AI landscape, with each area focusing on different aspects of AI utilization and development. Europe is at the forefront, with countries including the UK, Germany, and France focusing on AI research and development. The European Union's investment in AI and its focus on AI ethics and regulation, notably the AI Act, showcases its dual approach of fostering innovation while protecting citizens' rights. The Middle East, particularly the UAE and Saudi Arabia, is channeling investments into AI to diversify from oil-dependent economies, focusing on health, education, and smart cities. Africa shows promise with its rapidly growing tech startup ecosystem, focusing on solving continent-specific health, agriculture, and finance challenges.

Market Insights

• Market Dynamics
  
  The market dynamics represent an ever-changing landscape of the Artificial Intelligence Market by providing actionable insights into factors, including supply and demand levels. Accounting for these factors helps design strategies, make investments, and formulate developments to capitalize on future opportunities. In addition, these factors assist in avoiding potential pitfalls related to political, geographical, technical, social, and economic conditions, highlighting consumer behaviors and influencing manufacturing costs and purchasing decisions.
  • Market Drivers
    • Surging digitalization across industries and the growth of cloud-based services
    • Increasing government support to adopt and develop AI solutions
    • Favorable ecosystem for the start-ups for the development of AI
    • Market Restraints
      • Data bias and quality issues with AI solutions
      • Market Opportunities
        • Growing advancements in machine learning and deep learning frameworks improving AI capabilities
        • High potential for AI image recognition technology across drones and self-driving cars
        • Market Challenges
          • Concerns regarding data privacy and intellectual property issues of AI
          • Market Segmentation Analysis
            • Component: Growing usage of AI software for creating, training, and deploying AI models
            • Industry: High potential of AI solutions in the information technology industry to ensure higher network reliability and better customer experiences
            • Market Disruption Analysis
            • Porter’s Five Forces Analysis
            • Value Chain & Critical Path Analysis
            • Pricing Analysis
            • Technology Analysis
            • Patent Analysis
            • Trade Analysis
            • Regulatory Framework Analysis
            FPNV Positioning Matrix
            
            The FPNV positioning matrix is essential in evaluating the market positioning of the vendors in the Artificial Intelligence Market. This matrix offers a comprehensive assessment of vendors, examining critical metrics related to business strategy and product satisfaction. This in-depth assessment empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success, namely Forefront (F), Pathfinder (P), Niche (N), or Vital (V).
            
            Market Share Analysis
            
            The market share analysis is a comprehensive tool that provides an insightful and in-depth assessment of the current state of vendors in the Artificial Intelligence Market. By meticulously comparing and analyzing vendor contributions, companies are offered a greater understanding of their performance and the challenges they face when competing for market share. These contributions include overall revenue, customer base, and other vital metrics. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With these illustrative details, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.
            
            Recent Developments
            • Microsoft Invests in Europe’s Mistral AI to Expand Beyond OpenAI
              
              Microsoft embarked on an innovative partnership with the French start-up Mistral AI, marking a strategic expansion into the artificial intelligence sector. By announcing a significant investment of EUR 15 million into Mistral AI, Microsoft aims to harness new commercial prospects and facilitate Mistral's growth on a global scale. Additionally, the partnership intends to enhance Mistral's customer reach by rolling out its ChatGPT-like multilingual assistant, Le Chat.
              
              HEALWELL AI to Acquire Intrahealth to Create Next Generation AI-powered EHR
              
              HEALWELL AI Inc. announced its acquisition of Intrahealth Systems Limited from WELL Health Technologies Corp. With Intrahealth's substantial professional network and its forecast to produce significant revenue and high gross margins in 2024, the acquisition promises to be a transformative combination for delivering advanced clinical decision support and shaping the trajectory of value-based care globally.
              
              Accenture to Invest USD 3 Billion in AI to Accelerate Clients’ Reinvention
              
              Accenture unveiled a strategic commitment, investing USD 3 billion over the next three years into enhancing its Data & AI practice to aid entities across various sectors in leveraging Artificial Intelligence (AI) for improved growth, operational efficiency, and resilience. Accenture aims to prepare its clients for future competitiveness and performance enhancements by prioritizing the adoption and scaling of AI technologies. This initiative underscores Accenture's commitment to driving responsible and transformative AI innovation, positioning its clients at the forefront of industry advancements.
            Strategy Analysis & Recommendation
            
            The strategic analysis is essential for organizations seeking a solid foothold in the global marketplace. Companies are better positioned to make informed decisions that align with their long-term aspirations by thoroughly evaluating their current standing in the Artificial Intelligence Market. This critical assessment involves a thorough analysis of the organization’s resources, capabilities, and overall performance to identify its core strengths and areas for improvement.
            
            Key Company Profiles
            
            The report delves into recent significant developments in the Artificial Intelligence Market, highlighting leading vendors and their innovative profiles. These include Accenture PLC, Adobe Inc., Aerobotics, (Pty) Ltd., Alibaba Group Holding Limited, Altron Limited, Amazon Web Services, Inc., Autodesk, Inc., Baidu, Inc., Business Connexion (Pty) Ltd. by Telkom Group, C3.ai, Inc., CLEVVA Pty. Ltd., Cortex Logic, Databricks, Inc., DataProphet Proprietary Limited, Dimension Data Holdings PLC by NTT DATA Corporation, EOH Holdings Limited, General Electric Company, Google LLC by Alphabet Inc., H2O.ai, Inc., iiDENTIFii (PTY) Ltd., Infosys Limited, Intel Corporation, International Business Machines Corporation, MED AI SOL (PTY) Ltd., Microsoft Corporation, NVIDIA Corporation, OpenAI OpCo, LLC, Oracle Corporation, Palantir Technologies Inc., Qualcomm Inc., Robert Bosch GmbH, Salesforce Inc., SAP SE, SAS Institute Inc., ServiceNow, Inc., Splunk Inc. by Cisco Systems Inc., Tencent Holdings Ltd., UiPath, Inc., and Zindi.
            
            Market Segmentation & Coverage
            
            This research report categorizes the Artificial Intelligence Market to forecast the revenues and analyze trends in each of the following sub-markets:
            • Component
              • Hardware
                • Memory
                • Network
                • Processors
                • Sensors
                • Services
                  • Deployment & Integration
                  • Support & Maintenance
                  • Software
                    • Application Program Interface
                    • Machine Learning Framework
                    • Technology
                      • Computer Vision
                      • Context-Aware Computing
                      • Handwriting Recognition
                      • Machine Learning
                        • Deep Learning
                        • Reinforcement Learning
                        • Supervised Learning
                        • Unsupervised Learning
                        • Natural Language Processing
                        • Speech Recognition
                        • Industry
                          • Aerospace & Defense
                          • Automotive & Transportation
                          • Banking, Financial Services & Insurance
                          • Building, Construction & Real Estate
                          • Consumer Goods & Retail
                          • Education
                          • Energy & Utilities
                          • Government & Public Sector
                          • Healthcare & Life Sciences
                          • Information Technology
                          • Manufacturing
                          • Media & Entertainment
                          • Telecommunication
                          • Travel & Hospitality
                          • Region
                            • Americas
                              • Argentina
                              • Brazil
                              • Canada
                              • Mexico
                              • United States
                                • California
                                • Florida
                                • Illinois
                                • New York
                                • Ohio
                                • Pennsylvania
                                • Texas
                                • Asia-Pacific
                                  • Australia
                                  • China
                                  • India
                                  • Indonesia
                                  • Japan
                                  • Malaysia
                                  • Philippines
                                  • Singapore
                                  • South Korea
                                  • Taiwan
                                  • Thailand
                                  • Vietnam
                                  • Europe, Middle East & Africa
                                    • Denmark
                                    • Egypt
                                    • Finland
                                    • France
                                    • Germany
                                    • Israel
                                    • Italy
                                    • Netherlands
                                    • Nigeria
                                    • Norway
                                    • Poland
                                    • Qatar
                                    • Russia
                                    • Saudi Arabia
                                    • South Africa
                                    • Spain
                                    • Sweden
                                    • Switzerland
                                    • Turkey
                                    • United Arab Emirates
                                    • United Kingdom
                                    
                                    
                                    Please Note: PDF & Excel + Online Access - 1 Year