Artificial Intelligence Market by Component, Technology, Deployment Mode, Organization Size, Business Function, Industry

Description

List of Tables

The Artificial Intelligence Market was valued at USD 323.06 billion in 2023, expected to reach USD 426.37 billion in 2024, and is projected to grow at a CAGR of 33.42%, to USD 2,431.63 billion by 2030.

Artificial Intelligence (AI) is defined as the simulation of human intelligence through machines, particularly computer systems, involving processes such as learning, reasoning, and self-correction. Its scope extends to various subfields such as machine learning, neural networks, natural language processing, and robotics. The necessity of AI arises due to its potential to enhance efficiency, foster innovation, and streamline operations across multiple domains. Application-wise, AI is penetrating sectors like healthcare, where it's used for predictive analytics and personalized medicine, finance for risk assessment and fraud detection, and retail for customer service and inventory management. The end-use scope is broad, impacting industries such as automotive, education, entertainment, and agriculture. Market insights reveal that AI growth is propelled by technological advancements, an increase in big data analytics, and the rising adoption of cloud-based applications. Potential opportunities lie in the integration of AI into small and medium businesses and developing AI-driven IoT solutions. Recommendations to seize these opportunities include investing in multidisciplinary research teams, adopting robust data handling practices, and fostering collaboration between tech companies and industry-specific organizations. However, limitations such as data privacy concerns, ethical considerations, and the high cost of initial AI adoption pose significant challenges. Furthermore, the shortage of skilled professionals and regulatory hurdles can stifle market expansion. Innovation areas ripe for exploration include edge computing, autonomous systems, and AI-driven predictive maintenance. The nature of the AI market is dynamic, characterized by rapid technological shifts and evolving consumer demands. Businesses are encouraged to maintain an agile approach to R&D to stay ahead. The evolving landscape of AI demands continuous learning and adaptation, positioning it as a vital area for strategic investment and growth.

KEY MARKET STATISTICS
Base Year [2023]	USD 323.06 billion
Estimated Year [2024]	USD 426.37 billion
Forecast Year [2030]	USD 2,431.63 billion
CAGR (%)	33.42%

Market Dynamics: Unveiling Key Market Insights in the Rapidly Evolving Artificial Intelligence Market

The Artificial Intelligence Market is undergoing transformative changes driven by a dynamic interplay of supply and demand factors. Understanding these evolving market dynamics prepares business organizations to make informed investment decisions, refine strategic decisions, and seize new opportunities. By gaining a comprehensive view of these trends, business organizations can mitigate various risks across political, geographic, technical, social, and economic domains while also gaining a clearer understanding of consumer behavior and its impact on manufacturing costs and purchasing trends.

Market Drivers
- Growing demand for automation across industries and the growth of cloud-based services
- Rising implementation of government policies and incentives for digitization
- Growing favorable ecosystem for the start-ups for the development of AI
Market Restraints
- High upfront cost of investments for R&D and regular maintenance of 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

Porter's Five Forces: A Strategic Tool for Navigating the Artificial Intelligence Market

Porter's five forces framework is a critical tool for understanding the competitive landscape of the Artificial Intelligence Market. It offers business organizations with a clear methodology for evaluating their competitive positioning and exploring strategic opportunities. This framework helps businesses assess the power dynamics within the market and determine the profitability of new ventures. With these insights, business organizations can leverage their strengths, address weaknesses, and avoid potential challenges, ensuring a more resilient market positioning.

PESTLE Analysis: Navigating External Influences in the Artificial Intelligence Market

External macro-environmental factors play a pivotal role in shaping the performance dynamics of the Artificial Intelligence Market. Political, Economic, Social, Technological, Legal, and Environmental factors analysis provides the necessary information to navigate these influences. By examining PESTLE factors, businesses can better understand potential risks and opportunities. This analysis enables business organizations to anticipate changes in regulations, consumer preferences, and economic trends, ensuring they are prepared to make proactive, forward-thinking decisions.

Market Share Analysis: Understanding the Competitive Landscape in the Artificial Intelligence Market

A detailed market share analysis in the Artificial Intelligence Market provides a comprehensive assessment of vendors' performance. Companies can identify their competitive positioning by comparing key metrics, including revenue, customer base, and growth rates. This analysis highlights market concentration, fragmentation, and trends in consolidation, offering vendors the insights required to make strategic decisions that enhance their position in an increasingly competitive landscape.

FPNV Positioning Matrix: Evaluating Vendors' Performance in the Artificial Intelligence Market

The Forefront, Pathfinder, Niche, Vital (FPNV) Positioning Matrix is a critical tool for evaluating vendors within the Artificial Intelligence Market. This matrix enables business organizations to make well-informed decisions that align with their goals by assessing vendors based on their business strategy and product satisfaction. The four quadrants provide a clear and precise segmentation of vendors, helping users identify the right partners and solutions that best fit their strategic objectives.

Strategy Analysis & Recommendation: Charting a Path to Success in the Artificial Intelligence Market

A strategic analysis of the Artificial Intelligence Market is essential for businesses looking to strengthen their global market presence. By reviewing key resources, capabilities, and performance indicators, business organizations can identify growth opportunities and work toward improvement. This approach helps businesses navigate challenges in the competitive landscape and ensures they are well-positioned to capitalize on newer opportunities and drive long-term success.

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, General Electric Company, Google LLC by Alphabet Inc., H2O.ai, Inc., iiDENTIFii (PTY) Ltd., Infosys Limited, Intel Corporation, International Business Machines Corporation, 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, Inc..

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:

Based on Component, market is studied across Hardware, Services, and Software. The Hardware is further studied across Memory, Network, Processors, and Sensors. The Services is further studied across Deployment & Integration and Support & Maintenance. The Software is further studied across Application Program Interface and Machine Learning Framework.
Based on Technology, market is studied across Computer Vision, Context-Aware Computing, Handwriting Recognition, Machine Learning, Natural Language Processing, and Speech Recognition. The Machine Learning is further studied across Deep Learning, Reinforcement Learning, Supervised Learning, and Unsupervised Learning.
Based on Deployment Mode, market is studied across Cloud and On-Premise.
Based on Organization Size, market is studied across Large Enterprises and Small & Medium Enterprises.
Based on Business Function, market is studied across Cybersecurity, Finance & Accounting, Human Resource Management, Legal & Compliance, Operations, Sales & Marketing, and Supply Chain Management.
Based on Industry, market is studied across 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, and Travel & Hospitality.
Based on Region, market is studied across Americas, Asia-Pacific, and Europe, Middle East & Africa. The Americas is further studied across Argentina, Brazil, Canada, Mexico, and United States. The United States is further studied across California, Florida, Illinois, New York, Ohio, Pennsylvania, and Texas. The Asia-Pacific is further studied across Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Singapore, South Korea, Taiwan, Thailand, and Vietnam. The Europe, Middle East & Africa is further studied across Denmark, Egypt, Finland, France, Germany, Israel, Italy, Netherlands, Nigeria, Norway, Poland, Qatar, Russia, Saudi Arabia, South Africa, Spain, Sweden, Switzerland, Turkey, United Arab Emirates, and United Kingdom.

The report offers a comprehensive analysis of the market, covering key focus areas:

1. Market Penetration: A detailed review of the current market environment, including extensive data from top industry players, evaluating their market reach and overall influence.

2. Market Development: Identifies growth opportunities in emerging markets and assesses expansion potential in established sectors, providing a strategic roadmap for future growth.

3. Market Diversification: Analyzes recent product launches, untapped geographic regions, major industry advancements, and strategic investments reshaping the market.

4. Competitive Assessment & Intelligence: Provides a thorough analysis of the competitive landscape, examining market share, business strategies, product portfolios, certifications, regulatory approvals, patent trends, and technological advancements of key players.

5. Product Development & Innovation: Highlights cutting-edge technologies, R&D activities, and product innovations expected to drive future market growth.

The report also answers critical questions to aid stakeholders in making informed decisions:

1. What is the current market size, and what is the forecasted growth?

2. Which products, segments, and regions offer the best investment opportunities?

3. What are the key technology trends and regulatory influences shaping the market?

4. How do leading vendors rank in terms of market share and competitive positioning?

5. What revenue sources and strategic opportunities drive vendors' market entry or exit strategies?

Product Code: MRR-4358917D637C

1. Preface

1.1. Objectives of the Study
1.2. Market Segmentation & Coverage
1.3. Years Considered for the Study
1.4. Currency & Pricing
1.5. Language
1.6. Stakeholders

2. Research Methodology

2.1. Define: Research Objective
2.2. Determine: Research Design
2.3. Prepare: Research Instrument
2.4. Collect: Data Source
2.5. Analyze: Data Interpretation
2.6. Formulate: Data Verification
2.7. Publish: Research Report
2.8. Repeat: Report Update

3. Executive Summary

4. Market Overview

5. Market Insights

5.1. Market Dynamics
- 5.1.1. Drivers
  - 5.1.1.1. Growing demand for automation across industries and the growth of cloud-based services
  - 5.1.1.2. Rising implementation of government policies and incentives for digitization
  - 5.1.1.3. Growing favorable ecosystem for the start-ups for the development of AI
- 5.1.2. Restraints
  - 5.1.2.1. High upfront cost of investments for R&D and regular maintenance of solutions
- 5.1.3. Opportunities
  - 5.1.3.1. Growing advancements in machine learning and deep learning frameworks improving AI capabilities
  - 5.1.3.2. High potential for AI image recognition technology across drones and self-driving cars
- 5.1.4. Challenges
  - 5.1.4.1. Concerns regarding data privacy and intellectual property issues of AI
5.2. Market Segmentation Analysis
- 5.2.1. Component: Growing usage of AI software for creating, training, and deploying AI models
- 5.2.2. Industry: High potential of AI solutions in the information technology industry to ensure higher network reliability and better customer experiences
5.3. Porter's Five Forces Analysis
- 5.3.1. Threat of New Entrants
- 5.3.2. Threat of Substitutes
- 5.3.3. Bargaining Power of Customers
- 5.3.4. Bargaining Power of Suppliers
- 5.3.5. Industry Rivalry
5.4. PESTLE Analysis
- 5.4.1. Political
- 5.4.2. Economic
- 5.4.3. Social
- 5.4.4. Technological
- 5.4.5. Legal
- 5.4.6. Environmental

6. Artificial Intelligence Market, by Component

6.1. Introduction
6.2. Hardware
- 6.2.1. Memory
- 6.2.2. Network
- 6.2.3. Processors
- 6.2.4. Sensors
6.3. Services
- 6.3.1. Deployment & Integration
- 6.3.2. Support & Maintenance
6.4. Software
- 6.4.1. Application Program Interface
- 6.4.2. Machine Learning Framework

7. Artificial Intelligence Market, by Technology

7.1. Introduction
7.2. Computer Vision
7.3. Context-Aware Computing
7.4. Handwriting Recognition
7.5. Machine Learning
- 7.5.1. Deep Learning
- 7.5.2. Reinforcement Learning
- 7.5.3. Supervised Learning
- 7.5.4. Unsupervised Learning
7.6. Natural Language Processing
7.7. Speech Recognition

8. Artificial Intelligence Market, by Deployment Mode

8.1. Introduction
8.2. Cloud
8.3. On-Premise

9. Artificial Intelligence Market, by Organization Size

9.1. Introduction
9.2. Large Enterprises
9.3. Small & Medium Enterprises

10. Artificial Intelligence Market, by Business Function

10.1. Introduction
10.2. Cybersecurity
10.3. Finance & Accounting
10.4. Human Resource Management
10.5. Legal & Compliance
10.6. Operations
10.7. Sales & Marketing
10.8. Supply Chain Management

11. Artificial Intelligence Market, by Industry

11.1. Introduction
11.2. Aerospace & Defense
11.3. Automotive & Transportation
11.4. Banking, Financial Services & Insurance
11.5. Building, Construction & Real Estate
11.6. Consumer Goods & Retail
11.7. Education
11.8. Energy & Utilities
11.9. Government & Public Sector
11.10. Healthcare & Life Sciences
11.11. Information Technology
11.12. Manufacturing
11.13. Media & Entertainment
11.14. Telecommunication
11.15. Travel & Hospitality

12. Americas Artificial Intelligence Market

12.1. Introduction
12.2. Argentina
12.3. Brazil
12.4. Canada
12.5. Mexico
12.6. United States

13. Asia-Pacific Artificial Intelligence Market

13.1. Introduction
13.2. Australia
13.3. China
13.4. India
13.5. Indonesia
13.6. Japan
13.7. Malaysia
13.8. Philippines
13.9. Singapore
13.10. South Korea
13.11. Taiwan
13.12. Thailand
13.13. Vietnam

14. Europe, Middle East & Africa Artificial Intelligence Market

14.1. Introduction
14.2. Denmark
14.3. Egypt
14.4. Finland
14.5. France
14.6. Germany
14.7. Israel
14.8. Italy
14.9. Netherlands
14.10. Nigeria
14.11. Norway
14.12. Poland
14.13. Qatar
14.14. Russia
14.15. Saudi Arabia
14.16. South Africa
14.17. Spain
14.18. Sweden
14.19. Switzerland
14.20. Turkey
14.21. United Arab Emirates
14.22. United Kingdom

15. Competitive Landscape

15.1. Market Share Analysis, 2023
15.2. FPNV Positioning Matrix, 2023
15.3. Competitive Scenario Analysis
- 15.3.1. OpenAI unveils strawberry series AI models to tackle complex scientific challenges
- 15.3.2. Cisco Systems, Inc. launched an AI investment fund to develop AI-based solutions
- 15.3.3. Cognizant and Google Cloud partnership to enhance software development efficiency and innovation based on AI
15.4. Strategy Analysis & Recommendation
- 15.4.1. SAP SE

Companies Mentioned

1. Accenture PLC
2. Adobe Inc.
3. Aerobotics, (Pty) Ltd.
4. Alibaba Group Holding Limited
5. Altron Limited
6. Amazon Web Services, Inc.
7. Autodesk, Inc.
8. Baidu, Inc.
9. Business Connexion (Pty) Ltd. by Telkom Group
10. C3.ai, Inc.
11. CLEVVA Pty. Ltd.
12. Cortex Logic
13. Databricks, Inc.
14. DataProphet Proprietary Limited
15. Dimension Data Holdings PLC by NTT DATA Corporation
16. General Electric Company
17. Google LLC by Alphabet Inc.
18. H2O.ai, Inc.
19. iiDENTIFii (PTY) Ltd.
20. Infosys Limited
21. Intel Corporation
22. International Business Machines Corporation
23. Microsoft Corporation
24. NVIDIA Corporation
25. OpenAI OpCo, LLC
26. Oracle Corporation
27. Palantir Technologies Inc.
28. Qualcomm Inc.
29. Robert Bosch GmbH
30. Salesforce Inc.
31. SAP SE
32. SAS Institute Inc.
33. ServiceNow, Inc.
34. Splunk Inc. by Cisco Systems Inc.
35. Tencent Holdings Ltd.
36. UiPath, Inc.
37. Zindi, Inc.