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Artificial Intelligence Market to Reach $407 Billion by 2027

Strategic Insights

— 2 min read

The artificial intelligence market is anticipated to expand significantly during the forecast period of 2022 to 2027, driven by the growth of data-based AI, advancements in deep learning, and the need for businesses to remain competitive by achieving robotic autonomy. Despite concerns over data security and privacy, the market is expected to grow at a Compound Annual Growth Rate (CAGR) of 36.2%, from $86.9 billion in 2022 to $407.0 billion by 2027. The healthcare and life sciences vertical is expected to grow at the highest CAGR during the forecast period, with applications in patient data and risk analysis, medical imaging and diagnostics, precision medicine, and drug discovery.

Key Takeaways:

  • The artificial intelligence market is expected to grow from $86.9 billion in 2022 to $407.0 billion by 2027, at a CAGR of 36.2%.
  • The growth of data-based AI and advancements in deep learning are major drivers for the market.
  • Concerns over data security and privacy are major restraints for the market.
  • The healthcare and life sciences vertical is expected to grow at the highest CAGR during the forecast period.
  • Artificial intelligence has various applications in healthcare, including patient data and risk analysis, medical imaging and diagnostics, precision medicine, and drug discovery.
  • Cloud segment is expected to grow at the highest CAGR during the forecast period.
  • Google, Microsoft, NVIDIA, Intel, and IBM are some of the major players in the artificial intelligence market.
  • Google has a robust artificial intelligence portfolio, including machine learning and natural language processing technologies, and is expanding its reach across several industry sectors.
  • Microsoft has developed new Azure Machine Learning, new Visual Studio tools for AI, Cognitive services, and enterprise AI solutions.
  • IBM offers products such as analytics cloud platform, a blockchain platform, a Watson IoT platform, and a Watson customer engagement solution.
  • International financing, system services, IT infrastructure, and resilience services are some of the solutions offered by IBM.

Statistics:

  • The artificial intelligence market is expected to grow from $86.9 billion in 2022 to $407.0 billion by 2027, at a CAGR of 36.2%.
  • The healthcare and life sciences vertical is expected to grow at the highest CAGR during the forecast period.
  • Cloud segment is expected to grow at the highest CAGR during the forecast period.
  • Google, Microsoft, NVIDIA, Intel, and IBM are some of the major players in the artificial intelligence market.
  • Google operates in over 70 offices across more than 50 nations.
  • Microsoft has bolstered its position in the global artificial intelligence industry with the development of new Azure Machine Learning, new Visual Studio tools for AI, Cognitive services, and enterprise AI solutions.

Sources:

  • MarketsandMarkets Research Private Ltd.
  • "Google Inc. (US), Microsoft Corporation (US), NVIDIA Corporation (US), Intel Corporation (US), Samsung Electronics Co., Ltd. (South Korea), IBM Corporation (US), Amazon Web Services, Inc. (US), Oracle (US), Meta (US), Salesforce (US), Cisco (US), Siemens (US), Huawei (China), SAP SE (Germany), SAS Institute (US), Baidu, Inc. (China), Alibaba Cloud (China)"
  • "The artificial intelligence market is segmented on verticals into BFSI, IT/ITES, Telecommunication, Healthcare and Life Sciences, Manufacturing, Retail and eCommerce, Government and Defense, Automotive Transportation and Logistics, Energy and Utilities, and other verticals, such as travel and hospitality, and education."
  • "The artificial intelligence market is segmented on deployment mode, cloud and on-premises."

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