Artificial Intelligence Market Forecasts
Published in May 2017
Artificial intelligence (AI) technologies are being deployed for an increasing variety of use cases across consumer, enterprise, and government markets around the world. AI is an umbrella term that includes multiple technologies, such as machine learning, deep learning, computer vision, natural language processing (NLP), machine reasoning, and strong AI. Tractica defines AI as an information system that is inspired by a biological system designed to give computers the human-like abilities of hearing, seeing, reasoning, and learning. AI has applications and use cases in almost every industry vertical and is considered the next big technological shift, similar to past shifts like the industrial revolution, the computer age, and the smartphone revolution.
Tractica’s market forecast is focused on identifying the software, hardware, and services revenue opportunity for AI, building a bottom-up, use case-based model that classifies and estimates the revenue potential of each use case and rolls it up by industry, technology, and world region to estimate the overall market. Tractica forecasts that the revenue generated from the direct and indirect application of AI software will grow from $1.38 billion in 2016 to $59.75 billion by 2025. This represents a significant growth curve for the forecast period with a compound annual growth rate (CAGR) of 52%.
This Tractica report provides a quantitative assessment of the market opportunity for AI across the consumer, enterprise, and government sectors. The report includes market sizing, segmentation, and forecasts for 154 specific AI use cases and the 29 industries in which they will play a role. The market forecasts span the period from 2016 through 2025 and include segmentation by the six fundamental AI technologies: machine learning, deep learning, computer vision, NLP, machine reasoning, and strong AI. Revenue forecasts are further segmented by software, hardware, and services, in addition to segmentation by world region.