Market Overview
The
Global Composite AI Market is expected to reach a value of
USD 904.5 million in 2023, and it is further anticipated to reach a market value of
USD 16,174.1 million by 2032 at a
CAGR of 37.8%. The market has seen a significant increase in the recent past and is predicted to grow significantly during the forecasted period as well.
Composite AI involves integrating diverse AI technologies. Traditional AI includes a broad path of machine intelligence, finding applications in machine learning, automation, predictive analytics,
natural language processing (NLP), &more. Mostly, businesses face the challenge of selecting the most suitable AI applications for their specific needs & determining how to combine various AI types for optimal results, in such cases composite AI becomes essential while providing clarity to the businesses.
Composite AI is reshaping the technological landscape, creating opportunities for innovation across industries. Mergers and acquisitions in this domain are accelerating as companies aim to integrate advanced capabilities like multi-modal learning and hybrid AI approaches to enhance competitiveness. Conferences dedicated to Composite AI serve as platforms to discuss its potential, showcase breakthroughs, and foster partnerships.
These events attract diverse stakeholders, from startups to tech giants, unlocking collaboration opportunities. The growing demand for AI-powered solutions presents fertile ground for investments and strategic expansion, making Composite AI a cornerstone for future growth in artificial intelligence and its transformative impact on global industries.
Market Dynamic
The growth in the composite AI market is driven by the growing adoption of edge computing across Internet of Things (IoT) devices & the increase in demand for real-time decision-making. When composite AI systems are linked with edge devices, they can process & analyze data locally, lowering latency & allowing quick insights & responses, which creates the way for the installation of composite AI solutions in edge computing environments, which are essential for smart applications & the upcoming 5G/6G Internet of Things (IoT) networks. These networks deal with big & diverse real-time data streams from devices like mobiles, sensors, & memory units, making smart learning essential for effective data analysis and insights.
However, there are challenges, like a few businesses may be hesitant to adopt composite AI solutions due to a lack of confidence in AI technology or limited awareness of its potential & limitations. Concerns about privacy, data security, & potential biases in AI algorithms can also provide implementation challenges, mainly regarding data leaks & unauthorized access to private information. Therefore, concerns about data security & privacy could potentially restrain the market's growth in the coming future.
Research Scope and Analysis
By Offering
As per offerings by the composite AI, the market is segmented into hardware, software, & services, with the software segment taking the lead in revenue share in 2023. Composite AI software mainly provides a platform or framework that helps in the seamless integration & coordination of multiple AI models or algorithms, which empowers users to make more informed decisions by using the diverse capabilities of these AI components to address complex challenges.
Organizations can use composite AI software to build advanced AI applications capable of processing & analyzing different data types, comprising complex patterns, offering insights, predicting outcomes, & accomplishing tasks that demand a combination of AI approaches. The prominence of the software segment shows the major role played by software solutions in harnessing the potential of Composite AI for different applications.
By Technique
The market classifies its techniques into data processing, conditioned monitoring, pattern recognition, data mining & machine learning, proactive mechanisms, and others. In 2023, the data mining & machine learning segment commands the highest share of revenue in the market. Data mining &
machine learning techniques play an important role in the commercialization of Composite AI solutions.
These methods allow Composite AI systems to look into large datasets, identify patterns, predict future trends, & improve decision-making processes. Utilizing the power of data empowers Composite AI systems to give intelligent, adaptable, & context-aware capabilities across a range of domains & applications., which shows the significance of data-driven approaches in the Composite AI landscape.
By Application
The terms of applications the market is segmented into predictive maintenance, quality control, security & surveillance, product design & development, customer service, and others. The predictive maintenance segment secures a major portion of market revenue in 2023. Predictive maintenance, which focuses on foreseeing equipment breakdowns & maintenance needs, can highly benefit from Composite AI, which offers improved asset management approaches, data-informed decision-making, & accurate predictions, contributing to more efficient & cost-effective maintenance practices.
The predictive maintenance segment's prominence shows the significant role Composite AI plays in optimizing industrial operations by ensuring equipment reliability & reducing unplanned downtime, ultimately improving productivity & cost savings in various sectors.
By End User
The global composite AI market is divided into different sectors, like retail, manufacturing, BFSI, energy, healthcare, media, transportation, government, telecom, & others, where the BFSI sector takes the lead in terms of revenue in 2023. Within the BFSI industry, Composite AI solutions serve different functions, such as ensuring compliance & adhering to regulatory reporting requirements, managing & reducing risks, improving customer service quality, evaluating creditworthiness, and detecting & preventing fraudulent activities.
This segment's prominence reflects the adaptability & varied applications of Composite AI in addressing critical challenges within the financial services, banking, & insurance industry, positioning it as a major contributor to the market's overall success.
The Composite AI Market Report is segmented on the basis of the following
By Offering
- Hardware
- Software
- Services
By Technique
- Data Mining & Machine Learning
- Data Processing
- Pattern Recognition
- Conditioned Monitoring
- Proactive Mechanism
- Others
By Application
- Predictive Maintenance
- Quality Control
- Product Design & Development
- Security & Surveillance
- Customer Service
By End User
- BFSI
- Telecom
- Healthcare & Lifesciences
- Retail & E-Commerce
- Energy & Power
- Media & Entertainment
- Government & Defense
- Transportation & Logistics
- Manufacturing
- Others
Regional Analysis
North America takes the lead in the global composite AI market, securing the largest revenue
share at 39.8% in 2023, which makes it stand out as a global pioneer in adopting & advancing Composite AI solutions. Its success can be said owing to a strong presence of cutting-edge AI technology companies, strong research & development capabilities, and a developed market ecosystem that collectively fuels the growth of Composite AI solutions. In addition, industries like BFSI, healthcare, retail, & manufacturing are supporting Composite AI to drive innovation, enhance customer experiences, & increase operational efficiency.
Moreover, the Asia Pacific region is anticipated to have rapid growth during the forecast period, mainly fueled by the ongoing advancements in AI technologies, growth in available data resources, & the increase in digital transformation efforts across several industries. With the continuous evolution of AI technologies & businesses highly embracing digital transformation, the adoption of Composite AI solutions is anticipated to witness significant expansion in this region.
By Region
North America
Europe
- Germany
- The U.K.
- France
- Italy
- Russia
- Spain
- Benelux
- Nordic
- Rest of Europe
Asia-Pacific
- China
- Japan
- South Korea
- India
- ANZ
- ASEAN
- Rest of Asia-Pacific
Latin America
- Brazil
- Mexico
- Argentina
- Colombia
- Rest of Latin America
Middle East & Africa
- • Saudi Arabia
- • UAE
- • South Africa
- • Israel
- • Egypt
- • Rest of MEA
Competitive Landscape
The global Composite AI market is highly competitive, consisting of established tech giants, innovative startups, & cloud service providers. These companies compete for market dominance by introducing AI solutions across different industries, driven by the growth in demand for AI-powered applications. The landscape emphasizes a broad range of players catering to a variety of customer needs, intensifying competition & encouraging innovation.
In June 2023, Salesforce & Google Cloud announced their collaboration to develop AI-driven customer experience solutions, supporting Google's cloud services. This partnership further aims to provide customized customer experiences to their clients.
Some of the prominent players in the global Composite AI Market are:
- IBM Corp
- SAS
- Microsoft Corp
- Google LLC
- Salesforce Inc
- NVIDIA Corp
- SAP SE
- Intel Corp
- Amazon Web Services (AWS)
- Squirro AG
- Other Key Players
COVID-19 Pandemic & Recession: Impact on the Global Composite AI Market
The COVID-19 pandemic at the start slowed down the global composite AI market as businesses experienced uncertainty & budget limitations. However, as the pandemic grew digital transformation, the market saw a boost, with the demand for AI solutions to adapt to the new normal, like remote work & contactless services. This fluctuation reflected the broader economic recession's impact on technology sectors, with a period of contraction followed by recovery as AI technologies played a major role in assisting businesses navigate the challenges posed by the pandemic & recession.
| Report Characteristics |
| Market Size (2023) |
USD 904.5 Mn |
| Forecast Value (2032) |
USD 16,174.1 Mn |
| CAGR (2023-2032) |
37.8% |
| Historical Data |
2017 - 2022 |
| Forecast Data |
2023 - 2032 |
| Base Year |
2022 |
| Estimate Year |
2023 |
| Report Coverage |
Market Revenue Estimation, Market Dynamics, Competitive Landscape, Growth Factors and etc. |
| Segments Covered |
By Offering (Hardware, Software, and Software), By
Technique (Data Mining & Machine Learning, Data
Processing, Pattern Recognition, Conditioned
Monitoring, Proactive Mechanism, and Others), By
Application (Predictive Maintenance, Quality Control,
Product Design & Development, Security &
Surveillance, and Customer Service), By End User
(BFSI, Telcom, Healthcare & Lifesciences, Retail & E-
Commerce, Energy & Power, Media & Entertainment,
Government & Defense, Transportation & Logistics,
Manufacturing, and Others) |
| Regional Coverage |
North America – The US and Canada; Europe – Germany, The UK, France, Russia, Spain, Italy, Benelux, Nordic, & Rest of Europe; Asia- Pacific– China, Japan, South Korea, India, ANZ, ASEAN, Rest of APAC; Latin America – Brazil, Mexico, Argentina, Colombia, Rest of Latin America; Middle East & Africa – Saudi Arabia, UAE, South Africa, Turkey, Egypt, Israel, & Rest of MEA
|
| Prominent Players |
IBM Corp, SAS, Microsoft Corp, Google LLC,
Salesforce Inc, NVIDIA Corp, SAP SE, Intel Corp, AWS,
Squirro AG, and Other Key Players |
| Purchase Options |
We have three licenses to opt for: Single User License (Limited to 1 user), Multi-User License (Up to 5 Users), and Corporate Use License (Unlimited User) along with free report customization equivalent to 0 analyst working days, 3 analysts working days and 5 analysts working days respectively. |
Frequently Asked Questions
The Global Composite AI Market is estimated to reach USD 904.5 million in 2023, which is further
expected to reach USD 16,174.1 million by 2032.
North America dominates the Global Composite AI Market with a share of 39.8% in 2023.
Some of the major key players in the Global Composite AI Market are IBM Corp, SAS, Microsoft Corp,
and many others.
The market is growing at a CAGR of 37.8 percent over the forecasted period.