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Machine Learning Market to Cross $245.78 billion Revenue by 2030

Machine Learning Market Research Report Analysis Report by Component (Hardware, Software, Services), By Enterprise Size, By End-use (Advertising & Media, Healthcare, Retail), and Region (North America, Europe, Asia-Pacific, Latin America and Middle East & Africa) - Forecast till 2030

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Format : Machine Learning Market to Cross $245.78 billion Revenue by 2030

Machine Learning Market Overview

“The Machine Learning Market Predictable at $18.45 billion in 2022, is estimated to increase at a CAGR of 31.45% from $24.45 billion in 2023 to $245.78 billion by 2030.”

A branch of artificial intelligence and computer science known as machine learning syndicates data and algorithms to pretend human learning and improve its accuracy over time.

A key component of data science is machine learning, which trains algorithms to make predictions and categorize data using statistical techniques. These insights drive decision-making in applications and businesses, impacting growth metrics. As big data expands, the demand for data scientists will increase, as they help identify relevant business questions and data. To create machine learning algorithms more quickly, frameworks like TensorFlow and PyTorch are frequently used.

Here are a few everyday instances of machine learning that you might run into:

Speech recognition, commonly referred to as automatic speech recognition (ASR), is an NLP feature that transforms spoken language into written language. It is often integrated into mobile devices like Siri for voice search and improved texting accessibility.

Online chatbots are replacing human agents in customer service, enhancing engagement across websites and social media platforms. These chatbots answer frequently asked questions, provide personalized advice, cross-sell products, and suggest sizes. Examples include virtual agents on e-commerce sites, messaging bots on Slack and Facebook Messenger, and tasks typically performed by virtual assistants and voice assistants.

Computer vision, an AI technology powered by convolutional neural networks, uses digital images and videos to derive meaningful information, with applications in photo tagging on social media, healthcare radiology imaging, and self-driving cars in the automotive industry.

Machine Learning Market | Market Report Service

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Machine Learning Market Segment Analysis

Segment by Component type

In 2022, the service segment dominated the market with a 49.45% revenue share. The market is divided into hardware, software, and service components. Hardware is expected to grow at the highest CAGR due to the increasing use of machine learning-optimized hardware and specialized silicon processors. Firms like SambaNova Systems are developing processing devices with greater power. The software segment is expected to account for a modest market share due to improved cloud infrastructure and hosting characteristics. Cloud-based software accelerates adoption by enabling users to switch from machine learning to deep learning. The demand for machine learning services has increased, allowing customers to manage their tools and manage dependency stacks.

Segment by Enterprise Size

Large businesses accounted for 60.7% of the revenue in the machine learning market in 2022, dominating it. Large businesses and Small and Medium-Sized Enterprises (SMEs) make up the market. Large businesses are using cloud-based machine learning platforms and services more and more because they provide a scalable and affordable infrastructure for model training and deployment. Services like Amazon Web Services, Google Cloud AI Platform, and Microsoft Azure Machine Learning provide pre-built models, distributed training capabilities, and infrastructure management. Small and medium-sized businesses are also using machine learning more frequently, albeit their resources may make it necessary for them to have additional expertise in order to evaluate large amounts of data. SMEs may better understand consumer behavior, manage inventories more effectively, maximize marketing initiatives, and make data-driven decisions with the aid of automated data analysis.

The market is divided into small and mid-sized enterprises and large enterprises, with large enterprises accounting for the largest share in 2022. Data science and AI technology are being implemented to provide quantitative insights, while deep learning and artificial learning are being used to optimize decisions. The small and mid-sized enterprises segment is expected to experience significant growth, with ML and AI becoming key technologies for SMEs to access digital resources and reduce ICT investments.

Segment by End Use Industry

In 2022, the advertising & media segment dominated the market with a 19.2% revenue share. Key trends include hyper-personalization, cross-channel optimization, and ad fraud detection. Machine learning algorithms analyze large amounts of user data to produce personalized ads, boost engagement and conversion rates. Cross-channel optimization involves planning budgets and modifying bidding schemes to optimize advertising campaigns across multiple channels. Ad fraud detection is also gaining prominence, ensuring effective campaigns and budget protection. The law segment is expected to register the highest CAGR due to the transformation of legal professionals. Predictive analytics is gaining prominence, allowing lawyers to make data-driven decisions and improve efficiency in case management. This trend is driving the growth of the segment.

Machine learning (ML) technology is being utilized in industries dealing with vast amounts of data to provide real-time insights, enabling end users to perform tasks more effectively. The use of wearable technology and sensors in healthcare has increased demand for ML applications, aiding medical professionals in identifying trends and analyzing data, thus increasing the market share of machine learning.

Market Dynamics

Drivers

The rise in IoT and automation is driving the market, ensuring safe and accurate operations for hundreds of devices connected to a business network. Complex back-end analytics engines process data, while outdated methods are routinely used to check data integrity. Some IoT platform providers are enhancing operations management expertise with machine learning technologies to control large IoT systems.

The machine learning market is experiencing growth due to significant investments in artificial intelligence and the introduction of self-driving cars. Machine learning algorithms automate tasks, processing and evaluating data that standard systems cannot. The market is driven by the increasing need for advanced robotic systems in various industries, including automotive, electronics, food and beverage, and healthcare. Advancements in network connectivity technologies are also driving the growth of electronic sensors, linked machines, and equipment in the sector. The market is expected to continue expanding due to the increasing importance of data in machine learning models.

Competitive Landscape of the Machine Learning Market

  • Amazon Web Services, Inc.
  • Baidu Inc.
  • Google Inc.
  • AI
  • Hewlett Packard Enterprise Development LP
  • Intel Corporation
  • International Business Machines Corporation
  • Microsoft Corporation
  • SAS Institute Inc.
  • SAP SE

Recent Developments in Machine Learning Market

April 13, 2023 AWS announces Amazon Bedrock and multiple generative AI services and capabilities

Services from AWS combine decades of machine learning experience across Amazon with breakthrough technologies poised to transform just about everything.

January 30, 2023 Chinese search giant Baidu to launch ChatGPT-style bot in March

Baidu Inc. is planning to roll out an artificial intelligence chatbot service similar to OpenAI’s ChatGPT, according to a person familiar with the matter, potentially China’s most prominent entry in a race touched off by the tech phenomenon.

China’s largest search engine company plans to debut a ChatGPT-style application in March, initially embedding it into its main search services, said the person, asking to remain unidentified discussing private information. The tool, whose name hasn’t been decided, will allow users to get conversation-style search results much like OpenAI’s popular platform.

January 2022– Acquia introduced advanced retail ML models for its customer data platform to increase customer lifetime value. With this launch, the company aimed to help retailers gain a holistic view of their business. Acquia assists retailers in understanding levers within their marketing and sales efforts.

Market Share, By Region

Regions

Revenue Share in 2022 (%)

North America

38.70%

Asia Pacific

21.80%

Europe

26.40%

Latin America

9%

MEA

3.10%

Why is North America the market leader for machine learning?

In 2022, the North America market dominated with 38.70% of revenue. The focus on moral AI and responsible practices is increasing due to machine learning's growing social influence. Organizations prioritize fairness, accountability, and openness in developing AI models and algorithms. They aim to reduce biases, protect privacy, and address ethical issues. Legislative frameworks, rules, and standards are being created to oversee responsible AI application.

Why is the machine learning market developing more quickly in the Asia-Pacific region?

Asia Pacific is expected to experience robust growth in the coming years due to the thriving startup environment in emerging economies like China, India, and the Philippines. The Japanese government is also promoting machine learning services and artificial intelligence usage, which will improve market forecasts in Japan. These factors are driving the expansion of the APAC industry.

Gulf states in the Middle East and Africa are leveraging artificial intelligence to diversify their economies. UAE leads the Arab world in technology innovation, with smart city initiatives and autonomous transport boosting demand for AI in the region. Advanced technology is a significant focus for these countries.

Segments Covered in the Machine Learning Market Report

Component Outlook (Revenue, USD Billion)

  • Hardware
  • Software
  • Services

Enterprise Size Outlook (Revenue, USD Billion)

  • SMEs
  • Large Enterprises

End-use Outlook (Revenue, USD Billion)

  • Healthcare
  • BFSI
  • Law
  • Retail
  • Advertising & Media
  • Automotive & Transportation
  • Agriculture
  • Manufacturing
  • Others

Frequently Asked Questions

What is the expected growth rate of the Machine Learning market over the next 7 years?

The Machine Learning Market, predictable at $18.45 billion in 2022, is estimated to increase at a CAGR of 31.45% from $24.45 billion in 2023 to $245.78 billion by 2030.

Who are the major players in the Machine Learning market and what is their market share?

Amazon Web Services, Inc.; Baidu Inc.; Google Inc.; H2o.AI; Hewlett Packard Enterprise Development LP; Intel Corporation; International Business Machines Corporation; Microsoft Corporation; SAS Institute Inc.; SAP SE

Which segment accounted for the largest machine learning market share?

Large businesses accounted for 60.7% of the revenue in the machine learning market in 2022, dominating it.

What are the end-user industries driving Toluene market demand and what is their outlook?

In 2022, the advertising & media segment dominated the market with a 19.2% revenue share. Key trends include hyper-personalization, cross-channel optimization, and ad fraud detection. Machine learning algorithms analyze large amounts of user data to produce personalized ads, boost engagement and conversion rates. Cross-channel optimization involves planning budgets and modifying bidding schemes to optimize advertising campaigns across multiple channels. Ad fraud detection is also gaining prominence, ensuring effective campaigns and budget protection. The law segment is expected to register the highest CAGR due to the transformation of legal professionals. Predictive analytics is gaining prominence, allowing lawyers to make data-driven decisions and improve efficiency in case management. This trend is driving the growth of the segment.

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