PUBLISHER: KBV Research | PRODUCT CODE: 1642300
PUBLISHER: KBV Research | PRODUCT CODE: 1642300
The Global Mobile Artificial Intelligence Market size is expected to reach $102.37 billion by 2031, rising at a market growth of 26.2% CAGR during the forecast period.
Incorporating AI in AR/VR applications enhances immersive experiences by improving spatial awareness, motion tracking, and virtual object interaction. AI-powered AR/VR is increasingly deployed in sectors like real estate for virtual property tours, healthcare for surgical simulations, and retail for personalized shopping experiences. As consumer and enterprise adoption of AR/VR solutions expands, the demand for AI-enabled devices in this segment is anticipated to grow rapidly. Thus, in 2023, the AR/VR segment procured 13% revenue share in the market.
The major strategies followed by the market participants are product launches as the key developmental strategy to keep pace with the changing demands of end users. For instance, In December, 2024, NVIDIA Corporation partnered with Verizon to combine AI with private 5G networks and mobile edge computing (MEC) to deliver real-time AI services. The collaboration aims to enhance industries through ultra-low latency, dedicated bandwidth, improved security, and scalable solutions for enterprise AI workloads. Additionally, In February, 2024, Nokia Corporation partnered with NVIDIA to revolutionize AI-ready radio access networks (RAN), combining Nokia's anyRAN approach with NVIDIA's Grace CPU and GPUs for Cloud RAN and AI-RAN solutions. This enhances energy-efficient, high-performance networks, driving innovation, flexibility, and operational efficiency in telecommunications through advanced AI-enabled telco services and infrastructure.
Based on the Analysis presented in the KBV Cardinal matrix; Apple Inc., Google LLC, and Microsoft Corporation are the forerunners in the Mobile Artificial Intelligence Market. Companies such as Amazon Web Services, Inc., NVIDIA Corporation, and Huawei Technologies Co., Ltd. are some of the key innovators in Mobile Artificial Intelligence Market. In December, 2024, Google LLC unveiled Gemini 2.0, an advanced AI model that enhances multimodality, long context, and tool use. It allows AI agents to act on your behalf. Gemini 2.0 will power advanced features in Search, Deep Research, and more, transforming user experiences.
Market Growth Factors
The increasing demand for AI-powered applications drives significant growth in the market. Across multiple industries, including healthcare, finance, retail, and entertainment, mobile applications enhanced with artificial intelligence are essential for delivering better user experiences, improving operational efficiencies, and unlocking new business opportunities. In conclusion, rising demand for advanced AI-powered mobile applications across industries propels the market's growth.
Additionally, the digital transformation of businesses across industries is another critical driver for the market. As companies digitize their operations, they increasingly invest in AI-driven technologies to improve productivity, enhance customer experience, and gain a competitive edge. AI is seen as a crucial enabler in the digital transformation journey, and its application in mobile devices is a natural extension of this broader trend. Thus, growing investments in digital transformation worldwide are driving the growth of the market.
Market Restraining Factors
One key restraint in the market is the high cost associated with developing and integrating AI technologies into mobile devices. AI requires significant computational power, specialized hardware, and advanced software algorithms, all contributing to the cost of developing AI-powered mobile applications and devices. In conclusion, the high costs of developing and integrating AI technologies into mobile devices are impeding the market's growth.
Technology Node Outlook
On the basis of technology node, the is segmented into 7 nm, 10 nm, 20-28 nm, and other technology node (12 nm and 14 nm). The 10 nm segment recorded 43% revenue share in the market in 2023. This dominance is attributed to its balance between power efficiency and performance, making it an ideal choice for mid-to-high-range mobile devices.
Application Outlook
Based on application, the market is categorized into smartphones, cameras, drones, automobile, robotics, AR/VR, and others. The robotics segment witnessed 16% revenue share in the market in 2023. AI-powered robotics solutions are increasingly used in industrial automation, healthcare, and home applications, driving the segment's growth.
Regional Outlook
Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The Asia Pacific region generated 28% revenue share in the market in 2023. Factors such as increasing smartphone penetration, rising adoption of AI in consumer electronics, and government initiatives supporting AI development contribute significantly to the region's growth.
Recent Strategies Deployed in the Market
List of Key Companies Profiled
Global Mobile Artificial Intelligence Market Report Segmentation
By Application
By Technology Node
By Geography