Tractica: AI software global revenue will reach $126 billion in 2025

Artificial intelligence (AI) across consumer, enterprise, government and defense sectors is moving from a concept to an essential technology that drives improvements in quality, efficiency and speed. According to a new report from Tractica, the top industries where AI could bring significant transformation remain those with a clear business case, rather than those that may not generate a return on investment for many years.

Keith Kirkpatrick, principal analyst at Tractica, said: "In 2020, the global AI market is entering a new phase where people are moving from asking whether AI is possible to declaring that AI is now a must-have for most businesses trying to compete on a global level. AI is likely to flourish in the consumer (internet services), automotive, financial services, telecommunications and retail industries. Not surprisingly, the consumer sector has already demonstrated the capabilities of AI, thanks to a combination of three key factors: large data sets, high-performance hardware and state-of-the-art algorithms."

Tractica estimates that the top players in many vertical markets will follow suit and replicate strategies similar to those of consumer internet companies. Global AI software revenue is expected to grow from $10.1 billion in 2018 to $126 billion by 2025.

According to MarketSandMarkets, the artificial intelligence market was valued at $16.06 billion in 2017 and is expected to reach $190.61 billion by 2025, at a CAGR of 36.62% during the forecast period.

199IT.com Originally compiled from: Tractica. Please do not reprint without authorization