Global AI Revenue to Increase to $550B by 2024

Global AI Revenue to Increase to $550B by 2024

Per market predictions, global AI revenue will grow up to 16.4 percent year over year in 2021, i.e., $327.5 billion. IDC Worldwide Semiannual Artificial Intelligence Tracker has made that claim in the latest release. Furthermore, by 2024, it will grow over $500 billion, an impressive 17.5-percent CAGR growth rate. Do you want to learn more about it? In this article at IT Brief, Catherine Knowles shares more global AI revenue updates.

Revving Global AI Revenue

Though software reigned by 88 percent in the total AI market revenue categories, it is also the slowest with a 17.3-percent 5-year CAGR. AI applications held the largest global AI revenue share in 2020—50 percent. AI ERM is going to fare better than AI CRM in the sector. AI software platforms (32.7 percent) and AI system infrastructure software (13.7 percent) follow the AI applications market lead. Though the AI services category is slower than usual, it will grow by 17.4 percent in 2021.

Breaking Down Segments

  • IT services and business services: 80 percent of AI services revenue comes from this segment. IT services will grow faster than business services until 2024. Business services will be up to speed by 2024.
  • IT services for AI and overall AI service market: Both the markets are highly competitive and continue to invest in tech assets, innovation resources, and skills.

The AI hardware market is by far the minutest category in the global AI revenue columns, holding at 5 percent. Despite the size, it is predicted to become a $30.5-billion market by 2024. AI storage would begin getting traction of up to 31.8 percent year over year in 2021.

Why the Spike?

Ritu Jyoti, IDC program VP for AI Research, explains, “The global pandemic has pushed AI to the top of the corporate agenda, empowering business resilience and relevance.” Furthermore, she adds that more companies are relying on AI across all functional areas. With progressive improvements in ML, conversational AI, computer vision AI, more business areas will merge with the IT process for “transformative customer and employee experiences.”

To view the original article in full, visit the following link: https://itbrief.com.au/story/worldwide-revenues-for-ai-skyrocket-set-to-reach-550b-by-2024

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