Artificial Intelligence Global Market Report 2024

The artificial intelligence market size has grown exponentially in recent years. It will grow from $73.38 billion in 2023 to $93.19 billion in 2024 at a compound annual growth rate (CAGR) of 27.0%. The growth observed in the historical period can be attributed to various factors, including the historical applications of AI, past market competition dynamics, ethical considerations in the historical context, the implementation of AI in specific sectors, trends in historical investments, and the historical adoption patterns within industries.

The artificial intelligence market size is expected to see exponential growth in the next few years. It will grow to $214.74 billion in 2028 at a compound annual growth rate (CAGR) of 23.2%. The anticipated growth in the forecast period can be attributed to factors such as the availability of AI talent and a skilled workforce, the development of industry-specific AI applications, regulatory changes and compliance requirements, an increase in AI-integrated products, and the global expansion of AI adoption. Major trends expected in the forecast period include advancements in machine learning, a heightened adoption of AI in healthcare, the expansion of AI in robotics, the prominence of natural language processing (NLP), and the use of AI for personalization in marketing.

The artificial intelligence market is set for significant growth, driven by the increasing demand from businesses and governments for AI solutions. AI, representing the intelligence exhibited by machines or software, is transforming various sectors, allowing governments to enhance efficiency and provide faster public services. The legislative records of 127 countries, as analyzed in the 2023 AI Index Report from Stanford University, reveal a substantial increase in bills containing artificial intelligence passed into law – growing from 1 in the past decade to 37 in 2022. This surge underscores the rising demand for AI solutions from both public and private entities.

The growth of the artificial intelligence market is further propelled by substantial investments in AI technologies. Companies are actively investing in AI technologies and startups to leverage the efficiency gains offered by AI software, enabling better decision-making and improved outcomes. Notably, Microsoft's $1 billion investment in San Francisco-based OpenAI is illustrative of such strategic collaborations to advance AI supercomputing technologies on Microsoft's Azure cloud. The versatility of AI applications across sectors, from healthcare R&D and diagnostics to finance forecasting and manufacturing efficiency, reinforces the momentum behind AI technology investments.

A significant challenge in the artificial intelligence market is the limited number of AI experts. Developing AI software requires expertise from AI practitioners, researchers, and experts. Tencent reports that while there are around 300,000 AI researchers and practitioners worldwide, the market demand extends to millions of roles. The shortage of AI experts poses a potential hindrance to the market's growth.

Leading companies in the artificial intelligence market are actively innovating to enhance customer satisfaction and loyalty. For instance, OpenAI's launch of ChatGPT Enterprise, an AI chatbot designed for business, utilizes natural language processing to create human-such as conversational dialogue. This innovation aims to improve communication and engagement in various business applications, demonstrating the ongoing efforts to bring cutting-edge AI solutions to market.

Automation is becoming increasingly prevalent in machine learning, addressing the complexities associated with applying traditional models to real-world business problems. Automated machine learning allows non-experts to leverage machine learning algorithms without in-depth ML expertise. Tools such as Google Cloud AutoML exemplify this trend, enabling users to train customized and high-quality ML models with minimal expertise.

In June 2022 Maropost, a Canada-based unified commerce platform, acquired Findify for $4.45 million. Findify, a Sweden-based intelligent on-site search solution company, leverages AI-powered solutions incorporating machine learning and big data to deliver advanced merchandising, search, and product recommendations. This acquisition positions Maropost to enhance its unified commerce platform, offering next-generation e-commerce shopping experiences to its clientele.

Major companies operating in the artificial intelligence market report are Amazon.com Inc., Apple Inc., Alphabet Inc., Samsung Electronics Co.Ltd., Microsoft Corporation, Huawei Technologies Co.Ltd., Intel corporation, International Business Machines Corporation, Qualcomm Technologies Inc., SAP SE, Micron Technology lnc., NVIDIA corporation, Salesforce.com Inc., Advanced Micro Devices Inc., Baidu Inc., Arista Networks Inc., iFlyTek Co. Ltd., ARM Holding PLC, Xilinx Inc., Verint Systems Inc., IPsoft Inc., Qlik Technologies Inc., MicroStrategy Inc., Megvii Technology Ltd., H2O.AI lnc., Brighterion lnc., KITT.AI Inc., Albert Technologies Ltd., People.AI lnc., Brainasoft Pvt. Ltd., AlphaSense lnc., OpenAI LP, Clarifai lnc., CrowdStrike lnc., Phrasee Ltd., Meta Platforms Inc., Taiwan Semiconductor Manufacturing Co. Ltd., ASML Holding NV, RELX plc. Asia-Pacific was the largest region in the artificial intelligence market in 2023. North America was the second largest region in the global artificial intelligence market share. The regions covered in the artificial intelligence market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The primary technology types within artificial intelligence include machine learning, natural language processing, context-aware computing, computer vision, and others. Machine learning, a subset of AI, enables systems to learn and improve from experience without explicit programming. AI technology is delivered through hardware, software, and services, catering to a diverse range of industries such as healthcare, automotive, agriculture, retail, marketing, telecommunications, defense, aerospace, media and entertainment, and other end-use sectors.

The artificial intelligence market research report is one of a series of new reports that provides artificial intelligence market statistics, including artificial intelligence industry global market size, regional shares, competitors with an artificial intelligence market share, detailed artificial intelligence market segments, market trends and opportunities, and any further data you may need to thrive in the artificial intelligence industry. This artificial intelligence market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The countries covered in the artificial intelligence market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The artificial intelligence market includes revenues earned by entities by offering artificial intelligence software. Artificial Intelligence (AI) is sometimes referred to as machine intelligence. Artificial intelligence is a wide-ranging branch of computer science-related to building smart machines that can perform tasks that require human intelligence. Values in this market are factory gate values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.