The world is on the brink of an Artificial Intelligence (AI) revolution. According to recent market forecasts, the AI market is projected to reach a staggering $826 billion by 2030, growing at an impressive compound annual growth rate (CAGR) of 28.46% from 2024 to 2030.
The AI market, valued at USD 196.63 billion in 2023, has been driven by continuous research and innovation by tech giants, leading to the adoption of advanced technologies across various industry verticals such as automotive, healthcare, retail, finance, and manufacturing.
In December 2023, Google LLC launched ‘Gemini’, a large language AI model, available in three sizes: Gemini Nano, Gemini Pro, and Gemini Ultra. Gemini’s native multimodal characteristic sets it apart from its competitors, marking a significant milestone in the AI industry.
Tech giants like Amazon.com, Inc.; Google LLC; Apple Inc.; Facebook; International Business Machines Corporation; and Microsoft are investing significantly in AI research and development (R&D), thus increasing the artificial intelligence market cap. These companies are striving to make AI more accessible for enterprise use cases, enhancing customer experience and improving their presence in the artificial intelligence industry 4.0.
The accessibility to historical datasets is accelerating the rate of innovation in AI. As data storage and recovery have become more economical, healthcare institutions and government agencies are making unstructured data accessible to the research domain. This access to rich datasets, coupled with advancements in next-generation computing architectures, is encouraging information scientists and researchers to innovate faster.
Furthermore, progress in deep learning and Artificial Neural Networks (ANN) has fueled the adoption of AI in several industries, such as aerospace, healthcare, manufacturing, and automotive. ANN works in recognizing similar patterns and helps in providing modified solutions. For instance, Google Maps has been adopting ANN to improve their route and work on feedback received using ANN.
Recent advancements in computer vision technology, such as Generative Adversarial Networks (GAN) and Single Shot MultiBox Detector (SSD), have led to digital image processing techniques. These advancements are substituting conventional machine learning systems to evolve precise and accurate versions.
The AI market is set to grow drastically with the surge in artificial intelligence applications, increased number of relevant partnerships and collaborations, rise in small-scale AI providers, changing complexities of business structure, and hyper-personalized service demands. Additionally, government initiatives and investments in AI technologies for enterprises and end users create benefits.
The pandemic crisis changed the way businesses operated and increased business complexities. In order to adopt these changes, companies shifted their work processes on cloud. This surged the adoption of advanced technologies such as AI, machine learning, and others.
The healthcare sector was among the early adopters of this technology which improved the accuracy and efficiency of diagnosis, treatments, and forecasting. For instance, researchers at the Regenstrief Institute and Indiana University found that machine learning (ML) models could support public health decision-making during the pandemic.
In conclusion, the AI market is on an upward trajectory, with a projected market volume of $826.70 billion by 2030. The continuous research and innovation in AI, coupled with the increasing adoption of AI across various industry verticals, are driving this growth. As we move forward, AI will continue to revolutionize our world, creating new opportunities and challenges along the way.
