PUBLISHER: Acute Market Reports | PRODUCT CODE: 1594784
PUBLISHER: Acute Market Reports | PRODUCT CODE: 1594784
Mobile artificial intelligence (AI) refers to the incorporation and operation of AI algorithms on mobile devices. These algorithms allow mobiles to perform tasks that typically need human intelligence, such as visual perception, speech recognition, and decision-making, in an automated manner. With the evolution of technology, AI, which once demanded huge data centers, is now being executed on personal mobile devices. The mobile artificial intelligence market is estimated to grow at a CAGR of 27.1% from 2024 to 2032.
Driver: Surge in Consumer Demand for Enhanced Mobile Experience
One primary driver that has boosted the adoption of mobile AI is the increasing consumer demand for an enhanced mobile experience. As mobile devices have become an integral part of daily life, users anticipate their devices to be smarter, faster, and more intuitive. They expect their smartphones to understand their habits, predict their needs, and offer suggestions accordingly. For instance, features like smart replies in messaging apps, intuitive photo sorting, and personalized content recommendations on streaming platforms exemplify the integration of AI in mobile devices. Moreover, smartphone manufacturers are promoting AI as a selling point, emphasizing improved battery life, enhanced performance, and better user experience. A testament to this is the launch of AI-powered processors by leading smartphone manufacturers, which not only promise to boost the device's performance but also enhance photography, gaming, and overall usability.
Opportunity: Proliferation of Edge Computing
An emerging opportunity that stands out in the Mobile AI landscape is the proliferation of edge computing. Edge computing pushes computation tasks and certain data processes away from centralized data centers to the edge of the network, closer to the source of the data, i.e., the mobile device itself. This results in real-time data processing without latency. It enables mobile AI applications to operate faster and more efficiently, even in locations with limited connectivity. This technology is particularly beneficial for applications like autonomous driving, where milliseconds matter. The presence of AI at the edge also ensures user data privacy, as raw data can be processed on-device without needing to be sent to a central server. As 5G technology rolls out, the combination of high-speed connectivity and edge AI capabilities can revolutionize industries, especially healthcare with remote surgeries and real-time patient monitoring becoming feasible.
Restraint: Concerns Over Data Privacy and Security
However, the widespread adoption of mobile AI isn't without its challenges. A significant restraint is the concern over data privacy and security. Mobile AI applications continuously collect, analyze, and store vast amounts of personal data, from location information to personal preferences. While this data helps AI systems improve their recommendations and predictions, it also makes them a prime target for cyberattacks. Major breaches in prominent organizations have only intensified these concerns. Users are now more skeptical about sharing personal data, and regulatory bodies worldwide are stepping in. The European Union's General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA) in the U.S. are prime examples of regulations ensuring data protection, mandating companies to maintain transparency about data usage.
Challenge: Limited Processing Capabilities and Battery Constraints
A prominent challenge facing the mobile AI industry is the device's limited processing capabilities and battery constraints. While there is a demand for real-time AI processing on mobile devices, the existing hardware, in many cases, isn't equipped to handle the computational demands of complex AI algorithms. This often leads to increased device heating, faster battery drainage, and reduced overall device lifespan. Although semiconductor companies are developing AI-specific chips to combat this issue, it's a fine balance to strike between increasing processing power and maintaining device efficiency and battery life.
Market Segmentation by Technology Node
Market Segmentation by Application
Mobile AI finds its application across a broad spectrum of devices such as smartphones, cameras, drones, automobiles, robotics, AR/VR, and others like smart boards, laptops, PCs. In the past year, smartphones retained their dominant position in revenue contribution. The ubiquitous nature of smartphones and the continuous push for enhanced user experiences, from seamless multitasking to high-definition gaming, drove this segment. However, the AR/VR segment is anticipated to register the highest CAGR from 2024 to 2032. As businesses, entertainment sectors, and education systems increasingly embrace augmented and virtual reality, the demand for powerful AI capabilities in these devices is expected to surge.
Market Segmentation by Region
Geographic Trends: Geographically, the Asia-Pacific region emerged as the highest revenue generator in 2023. Countries like China, South Korea, and Taiwan, with their strong manufacturing bases and domestic demand, significantly contributed to this revenue. Additionally, the presence of leading semiconductor manufacturers in this region added to its dominant position. However, looking forward to the forecast period of 2024 to 2032, North America is expected to exhibit the highest CAGR. With the rapid adoption of advanced technologies, increased R&D investments, and the presence of tech giants pushing AI boundaries, the region's market will likely observe accelerated growth.
Competitive Landscape
On the competitive front, 2023 saw fierce competition among top players such as Qualcomm Inc, Nvidia, Intel Corporation, IBM Corporation, Microsoft Corporation, Apple Inc, Huawei (Hisilicon), GoogleLLC, Mediatek, Samsung, Cerebras Systems, Graphcore, Cambricon Technology, Shanghai Thinkforce Electronic Technology Co., Ltd (Thinkforce), Deephi Tech, Sambanova Systems, Rockchip (Fuzhou Rockchip Electronics Co., Ltd.), Thinci, and Kneron. NVIDIA, with its cutting-edge GPU architectures, remained at the forefront, heavily investing in R&D and continuous innovation. Qualcomm, with its Snapdragon series, fortified its position in the mobile AI chipset domain, primarily focusing on enhancing user experiences in smartphones. Apple's in-house Bionic chips, characterized by their seamless integration with the iOS ecosystem, also secured significant market share. These companies, along with others in the domain, are expected to engage in strategic collaborations, mergers, and acquisitions from 2024 to 2032, aiming to expand their market footprints and cater to the burgeoning demand.
Historical & Forecast Period
This study report represents an analysis of each segment from 2022 to 2032 considering 2023 as the base year. Compounded Annual Growth Rate (CAGR) for each of the respective segments estimated for the forecast period of 2024 to 2032.
The current report comprises quantitative market estimations for each micro market for every geographical region and qualitative market analysis such as micro and macro environment analysis, market trends, competitive intelligence, segment analysis, porters five force model, top winning strategies, top investment markets, emerging trends & technological analysis, case studies, strategic conclusions and recommendations and other key market insights.
Research Methodology
The complete research study was conducted in three phases, namely: secondary research, primary research, and expert panel review. The key data points that enable the estimation of Mobile Artificial Intelligence market are as follows:
Research and development budgets of manufacturers and government spending
Revenues of key companies in the market segment
Number of end users & consumption volume, price, and value.
Geographical revenues generated by countries considered in the report
Micro and macro environment factors that are currently influencing the Mobile Artificial Intelligence market and their expected impact during the forecast period.
Market forecast was performed through proprietary software that analyzes various qualitative and quantitative factors. Growth rate and CAGR were estimated through intensive secondary and primary research. Data triangulation across various data points provides accuracy across various analyzed market segments in the report. Application of both top-down and bottom-up approach for validation of market estimation assures logical, methodical, and mathematical consistency of the quantitative data.
Market Segmentation
Technology Node
7 nm
10 nm
20-28 nm
Application
cameras
Region Segment (2022-2032; US$ Million)
North America
U.S.
Canada
Rest of North America
UK and European Union
UK
Germany
Spain
Italy
France
Rest of Europe
Asia Pacific
China
Japan
India
Australia
South Korea
Rest of Asia Pacific
Latin America
Brazil
Mexico
Rest of Latin America
Middle East and Africa
GCC
Africa
Rest of Middle East and Africa
Key questions answered in this report
What are the key micro and macro environmental factors that are impacting the growth of Mobile Artificial Intelligence market?
What are the key investment pockets concerning product segments and geographies currently and during the forecast period?
Estimated forecast and market projections up to 2032.
Which segment accounts for the fastest CAGR during the forecast period?
Which market segment holds a larger market share and why?
Are low and middle-income economies investing in the Mobile Artificial Intelligence market?
Which is the largest regional market for Mobile Artificial Intelligence market?
What are the market trends and dynamics in emerging markets such as Asia Pacific, Latin America, and Middle East & Africa?
Which are the key trends driving Mobile Artificial Intelligence market growth?
Who are the key competitors and what are their key strategies to enhance their market presence in the Mobile Artificial Intelligence market worldwide?
FIG. 9Market Positioning of Key Mobile Artificial Intelligence Market Players, 2023
FIG. 10Global Mobile Artificial Intelligence Market - Tier Analysis - Percentage of Revenues by Tier Level, 2023 Versus 2032