Today, artificial intelligence (AI) is considered one of the most promising areas of development, not only for the IT industry, but also for many other areas of human activity. Decisions based on AI concepts will disrupt the “Digital Economy” concept as we know it.
Just as electricity brought an industrial revolution in the 19th century, artificial intelligence has epitomized one of the main drivers of society’s deep economic, cultural, and social transformations in the 21st century. However, unlike previous industrial revolutions, the main driver of these tectonic changes is not technology. The society itself, its structure, is undergoing a massive transformation. The Digital Age changes consumers’ behaviors.
According to IDC, the market volume of cognitive systems and AI technologies in 2016 in monetary terms amounted to approximately $ 7.9 billion. In 2017, it grew by 59.3% and reached $ 12.5 billion. Analysts believe that by the end of this decade, the average annual growth rate (CAGR) will be 54%. Additionally, in the industry, it will exceed $ 46 billion by 2020. The largest share of this market will be cognitive applications, designed to process data and make various estimates, recommendations, or forecasts. Investments in AI software platforms that provide tools, technologies and services based on structured and unstructured information will be measured at $ 2.5 billion per year. The market for artificial intelligence in the field of health and life sciences, according to Frost & Sullivan, will also grow by 40% per year, reaching a level of $ 6.6 billion in 2021. The market is expected to exceed more than US$ 191 Billion by 2024 at a CAGR of 37% in the given forecast period.
Similarly, the key AI market players are Google Inc., IBM Corp., Microsoft Corporation, IPsoft, Rocket Fuel Inc., Qlik Technologies Inc., MicroStrategy, Inc., Brighterion, Inc., 24/7 Customer, Inc., and Next IT Corp.
AI Global Trends
North America is currently holds the largest market share, followed by Asia Pacific. The reasons for the unprecedented growth reflect early adoption of the technology as well as awareness about the benefits of AI in the region. Moreover, the presence of prominent AI technology leaders like IBM (US), Google (US), Microsoft (US), NVIDIA (US), Intel (US), Facebook (US), MetaMind (US), Tute Genomics (US), and AWS (US) make it a global leader.
The artificial intelligence market in Asia Pacific region is also expected to have a substantial growth at the highest CAGR during the forecast period. The increasing adoption of machine learning and NLP technologies in fintech, agriculture, marketing, and legal applications is driving the market rapidly.
The global artificial intelligence-as-a-service (AIaaS) market will register a CAGR of over 47% by 2023. Manufacturers are increasingly using AIaaS with machines powered by natural language processing (NLP). This area is identified as one of the key trends that will gain traction in the market during the forecast period. NLP is used to interpret and analyze textual and visual information, measure sentiment, as well as for speech and face recognition tasks. AI-powered systems require deployment, integration,support and maintenance services, which will create a demand for skilled engineers and developers.
AI is predicted to create 2.3 million jobs to the market by 2020, according to Gartner. The average salary of a machine learning engineer is ranged from $125,000 to $175,000. Among the top 10 highest paying companies in Artificial Intelligence sector, the average salary is roughly $200,000.
Victoria Liset is strategic business & technology consultant to SMEs. She helps businesses improve their performance by using data more efficiently, and helping them to understand the implications of new technologies such as AI, Machine Learning, Big data, blockchain and IoT.