Artificial Intelligence-as-a-Service Market Technology (Machine Learning & Deep Learning and Natural Language Processing), Service Type (Software Tools and Services), Organization Size (Small & Medium-sized Enterprises and Large Enterprises), End-user Industry (Banking, Financial Services, & Insurance (BFSI), IT & Telecommunication, Healthcare, Aerospace & Defense, and Automotive) - Global Analysis & Forecast 2019-2030
Report ID : 140 | Published Date : May 2020 | Pages : 220 | Region : Global | Report Code : ICT-8
Artificial Intelligence-as-a-Service Market Overview and Introduction
The Artificial Intelligence-as-a-Service (AIaaS) Market is estimated to hold a share of US$ 2.36 billion in 2019. The market is anticipated to further grow at a CAGR of 46% from 2019 to 2030.
Artificial Intelligence-as-a-Service is offered by the third-party providers through the cloud. AIaaS helps individuals and companies to experiment with AI for various purposes such as incorporating automatic vision, speech, and natural language understanding capabilities. Many big players such as Google, IBM, Amazon Web Services, Microsoft, and SAP, etc. along with other emerging players have started offering AIaaS from the past few years owing to reduced entry costs for client companies using artificial intelligence. AIaaS includes machine learning framework, third-party API, AI-powered bots and other services. Machine learning is one of the fastest emergent technologies. With the help of machine learning frameworks, developers can build their own models and learn from existing data sets.
The growing demand for cloud-based solutions and the requirement for artificial intelligence and cognitive computing are the major factors propelling the AIaaS market. With the help of cognitive computing, the computer can mimic the way human brains work and simulate human thought processes in a computerized model. Personal digital assistants such as Siri by Apple and Alexa by Amazon, among others, are true examples of cognitive computing. Moreover, several vendors entering into partnerships and an increasing number of innovative startups are among the major factors fueling the demand for AIaaS in the market. For instance, in March 2019, Microsoft entered into a strategic partnership with CarveNiche Technologies, an education technology company based in Bangalore, to provide AI-based Math classes to school students.
The global artificial intelligence-as-a-service market has primarily been segmented into the following categories - By Technology, By Service Type, By Organization Size, and By End-user Industry
Artificial Intelligence-as-a-Service Market By Technology
The technology segment can be classified into machine learning & deep learning and natural language processing. The machine learning and deep learning technology market accounted for the highest market share due to the increasing adoption of various artificial intelligence industry solutions. Machine learning can analyze large quantities of data and deliver fast & accurate results.
Artificial Intelligence-as-a-Service Market By Service Type
The service segment can be classified into software tools and services. The software tools segment is anticipated to account for the largest market share owing to their increasing applications in various industry verticals including healthcare, Banking, Financial Services, & Insurance (BFSI), retail, and others.
Artificial Intelligence-as-a-Service Market By Organization Size
The organization size segment can be classified into small & medium-sized enterprises and large enterprises. The large enterprises segment is projected to be the fastest-growing segment in the artificial intelligence-as-a-service market owing to the presence of many big players including Google, Apple, Amazon, IBM, and Microsoft, among others.
Artificial Intelligence-as-a-Service Market By End-user Industry
The end-user industry segment can be classified into Banking, Financial Services, & Insurance (BFSI), IT & telecommunication, healthcare, aerospace & defense, automotive, and others. The BFSI segment is projected to grow at the fastest rate during the forecast period. The growth of this segment can be attributed to robust and rapid processing needs coupled with the advent of mobile technology and faster accessibility.
Artificial Intelligence-as-a-Service Market By Regions
The global artificial intelligence-as-a-service market can be segmented into North America, Europe, Asia Pacific, and the Rest of the World (ROW). Asia Pacific is expected to be the fastest-growing regional market. The Artificial Intelligence-as-a-Service market is gaining steady traction and expanding to various regions due to the cost-saving benefits that it offers. North America accounted for the largest market share in the region due to technological advancements, rising adoption of digital technology solutions, and the local presence of many big players in the region.
Artificial Intelligence-as-a-Service Market Prominent Players
Some of the key players operating in the global artificial intelligence-as-a-service market include Google, Microsoft, IBM, Amazon Web Services, Inc., Fair Isaac Corporation, SAP, SAS Institute Inc., Intel Corporation, and CognitiveScale, among others.