Quantum AI Market, Till 2035: Distribution by Type of Component, Type of Deployment, Type of Application, End-User, Type of Enterprise and Geographical Regions: Industry Trends and Global Forecasts

The global quantum AI market size is estimated to grow from USD 280 million in the current year to USD 7.79 billion by 2035, at a CAGR of 35.29% during the forecast period, till 2035.

Quantum AI Market: Growth and Trends

As of now, the number of AI users has more than doubled since 2020, reaching approximately 300 million worldwide. This marks a revolutionary combination of quantum computing and artificial intelligence. It is important to note that quantum AI has the potential to transform numerous sectors by tackling complex issues that conventional computing struggles to resolve efficiently. Some significant benefits of quantum AI include the capability to optimize intricate systems, enhance decision-making processes, and speed up drug discovery in the healthcare sector.

In addition, quantum AI has changed operational workflows by delivering deeper insights and more effective solutions to urgent challenges in various fields such as finance, healthcare, energy, and climate science. The increasing use of AI across key industries is noteworthy due to the rapid increase of internet access and growing public awareness.

The quantum AI sector is emerging as a vital element in the global transition towards innovation and digital transformation aimed at achieving greater work efficiency. Natural language processing and machine learning have been instrumental in realizing the full potential of the quantum AI market by enhancing power efficiency and enabling faster responses.

Moreover, advanced algorithms like the Quantum Approximate Optimization Algorithm (QAOA) have demonstrated potential in addressing complicated optimization issues more effectively than traditional approaches, leading to improved decision-making across various sectors as a significant contemporary development. As a result, with ongoing technological innovations and increasing investments, the quantum AI market is expected to experience significant growth during the forecast period.

Quantum AI Market: Key Segments

Market Share by Type of Component

Based on type of component, the global quantum AI market is segmented into hardware, services and software. According to our estimates, currently, the hardware segment, captures the majority share of the market. The key factors contributing to this dominance include the essential role that quantum hardware development, such as processors and qubits, plays in performing quantum computations. Major tech firms like IBM and Google are making significant investments to enhance the capabilities of quantum processors.

Market Share by Type of Deployment

Based on type of deployment, the quantum AI market is segmented into cloud and on-premise. According to our estimates, currently, the on-premise segment captures the majority of the market. This is largely due to its advantages in control, security, and customization, which are vital for sectors dealing with sensitive information, such as finance, healthcare, and government.

However, the cloud computing segment is expected to grow at a higher CAGR during the forecast period. Key factors contributing to this growth include its scalability, cost-effectiveness, and ease of access. Additionally, by utilizing cloud infrastructure, organizations can tap into advanced quantum computing capabilities without needing to make substantial initial investments in specialized hardware.

Market Share by Type of Application

Based on type of application, the quantum AI market is segmented into quantum cryptography, security, machine learning and optimization and simulation and modeling. According to our estimates, currently, machine learning segment captures the majority share of the market. This growth can be attributed to its essential role in driving progress across numerous industries, such as finance, healthcare, and logistics. In addition, the incorporation of quantum computing significantly improves quantum machine learning algorithms, allowing them to analyze large datasets more effectively and identify complex patterns that traditional computers find challenging to process.

Market Share by End User

Based on end user, the quantum AI market is segmented into finance, healthcare, logistics and supply chain and others. According to our estimates, currently, the finance segment captures the majority share of the market. This can be attributed to its data-heavy nature and the essential requirement for real-time decision-making. Financial institutions produce vast quantities of intricate data that necessitate advanced analytical abilities for activities such as risk management, fraud detection, and portfolio optimization.

However, the healthcare segment is expected to grow at a higher CAGR during the forecast period. This growth can be attributed to the transformative potential of its applications, which improve patient care and streamline medical processes. When combined with AI, quantum computing technology can significantly expedite drug discovery, leading to quicker development of life-saving medications and treatments.

Market Share by Type of Enterprise

Based on type of enterprise, the quantum AI market is segmented into large and small and medium enterprise. According to our estimates, currently, the large-scale firms captures the majority share of the market. This growth can be linked to their ability to invest in cutting-edge quantum AI technologies, leverage significant resources, achieve economies of scale, and foster business expansion.

Market Share by Geographical Regions

Based on geographical regions, the quantum AI market is segmented into North America, Europe, Asia, Latin America, Middle East and North Africa, and the rest of the world. According to our estimates, currently, North America captures the majority share of the market. However, the market in Asia is expected to grow at a higher CAGR during the forecast period, driven by significant investments, government initiatives, and increasing demand for quantum AI in nations like China and India.

Quantum AI Market: Research Coverage

The report on the quantum AI market features insights on various sections, including:

• Market Sizing and Opportunity Analysis: An in-depth analysis of the quantum AI market, focusing on key market segments, including [A] type of component, [B] type of deployment, [C] type of application, [D] end-user, [E] type of enterprise and [F] geographical regions.
• Competitive Landscape: A comprehensive analysis of the companies engaged in the quantum AI market, based on several relevant parameters, such as [A] year of establishment, [B] company size, [C] location of headquarters and [D] ownership structure.
• Company Profiles: Elaborate profiles of prominent players engaged in the quantum AI market, providing details on [A] location of headquarters, [B] company size, [C] company mission, [D] company footprint, [E] management team, [F] contact details, [G] financial information, [H] operating business segments, [I] quantum AI portfolio, [J] moat analysis, [K] recent developments, and an informed future outlook.
• Megatrends: An evaluation of ongoing megatrends in quantum AI industry.
• Patent Analysis: An insightful analysis of patents filed / granted in the quantum AI domain, based on relevant parameters, including [A] type of patent, [B] patent publication year, [C] patent age and [D] leading players.
• Recent Developments: An overview of the recent developments made in the quantum AI market, along with analysis based on relevant parameters, including [A] year of initiative, [B] type of initiative, [C] geographical distribution and [D] most active players.
• Porter’s Five Forces Analysis: An analysis of five competitive forces prevailing in the quantum AI market, including threats of new entrants, bargaining power of buyers, bargaining power of suppliers, threats of substitute products and rivalry among existing competitors.
• SWOT Analysis: An insightful SWOT framework, highlighting the strengths, weaknesses, opportunities and threats in the domain. Additionally, it provides Harvey ball analysis, highlighting the relative impact of each SWOT parameter.
• Value Chain Analysis: A comprehensive analysis of the value chain, providing information on the different phases and stakeholders involved in the quantum AI market.

Key Questions Answered in this Report

• How many companies are currently engaged in quantum AI market?
• Which are the leading companies in this market?
• What factors are likely to influence the evolution of this market?
• What is the current and future market size?
• What is the CAGR of this market?
• How is the current and future market opportunity likely to be distributed across key market segments?

Reasons to Buy this Report

• The report provides a comprehensive market analysis, offering detailed revenue projections of the overall market and its specific sub-segments. This information is valuable to both established market leaders and emerging entrants.
• Stakeholders can leverage the report to gain a deeper understanding of the competitive dynamics within the market. By analyzing the competitive landscape, businesses can make informed decisions to optimize their market positioning and develop effective go-to-market strategies.
• The report offers stakeholders a comprehensive overview of the market, including key drivers, barriers, opportunities, and challenges. This information empowers stakeholders to stay abreast of market trends and make data-driven decisions to capitalize on growth prospects.

Additional Benefits

• Complimentary Excel data packs for all analytical modules in the report
• 15% free content customization
• Detailed report walkthrough session with the research team
• Free update if the report is 6 months or older