July 12, 2024
Enterprise Artificial Intelligence (AI) Market
Ict

Enterprise Artificial Intelligence (AI) market Owing To Growing Demand For AI Technologies In Various Industry Verticals

The Enterprise Artificial Intelligence (AI) market is estimated to be valued at US$ 21.48 Bn in 2023 and is expected to exhibit a CAGR of 34.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:

Enterprise artificial intelligence (AI) refers to the use of AI technologies by enterprises to automate business processes and improve decision making. It offers applications across various functions including customer support, human resources, marketing, finance and many more. By leveraging AI, enterprises are able to drive operational efficiency, enhance productivity, reduce costs and gain valuable insights from data.

Market Dynamics:

Growing demand for AI technologies in various industry verticals is a major driver for the enterprise AI market growth. Adoption of AI is growing across industries like healthcare, manufacturing, retail, banking, financial services and insurance (BFSI) and others to automate manual tasks, gain actionable insights from large volumes of data and offer personalized customer experiences. Additionally, increasing focus of enterprises on digital transformation of business processes is also contributing to the market growth. However, lack of skilled workforce and high costs associated with development of AI solutions are some of the factors expected to restrain the market growth.

SWOT Analysis

Strength: Enterprise artificial intelligence (AI) has the ability to automate repetitive tasks and streamline business processes, reducing costs and improving productivity. It can analyze large datasets and identify patterns to help companies make smarter decisions. AI technologies help boost operational efficiency by making data-driven predictions.

Weakness: Implementing an effective AI strategy requires expertise that many companies lack. Significant investment is needed to collect and organize large volumes of quality data required to train AI systems. AI algorithms may exhibit unpredictable behaviours and make mistakes, undermining confidence in the technology.

Opportunity: AI can help companies reduce costs and improve customer experiences. For example, predictive maintenance helped manufacturers reduce equipment downtimes. AI chatbots are enhancing customer support functions. As more companies adopt AI, job markets will evolve needing workers with new skills in AI, programming and data analysis.

Threats: High employee turnover among AI talent poses challenges to long term strategies. Data privacy and security threats from malicious actors exploiting AI systems also exist. Regulation around the ethical and responsible use of AI is still evolving. Over reliance on AI systems without human oversight may have undesirable outcomes.

Key Takeaways

The Global Enterprise Artificial Intelligence (AI) Market Demand is expected to witness high growth, exhibiting CAGR of 34% over the forecast period, due to increasing demand for automation and analytics solutions across industries.

The North America region currently dominates the market accounting for over 35% share owing to the presence of major tech companies and rising adoption of AI technologies among enterprises. The Asia Pacific region is projected to grow at the fastest pace during the forecast period, led by China, India and other developing countries emphasizing on emerging technologies.

Key players operating in the Enterprise artificial intelligence (AI) market are Alphabet Inc., Apple Inc., Amazon Web Services, Inc., International Business Machines Corporation, IPsoft Inc., MicroStrategy Incorporated, NVIDIA Corporation, SAP SE, Verint Systems Inc., Wipro Limited, and Others. Major players are focusing on partnerships, acquisitions and new product launches through investments in research and development to strengthen their market positions.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it