AI As a Service Market Overview
The artificial intelligence or AI as a service is a third party service that enables a large organization to deploy and machine learning platforms on cloud and test whether the solution fits their needs or not. By doing so the companies save a lot of operational costs and can increase their profit margin considerably as this process helps them to select the best possible artificial intelligence solution in the market.
For the purpose of this report confianza market research has segmented the global artificial intelligence as a service market into the following three types:
- By the deployment type: private, hybrid.
- By organizations size: small and medium enterprise, large enterprise
- By end-user industry: IT and telecom, BFSI, manufacturing, energy and other end-user industries
- By geographic: North America, Europe, Asia Pacific, and Middle Eastern Africa.
Following are the key market trends in artificial intelligence as a service market:
- The BFSI industry is actively adopting AI as a service in order to improve its customer experience and reduce operational costs.
- The artificial intelligence is used in the BFSI industry for applications such as algorithm trading, customer recommendation, chatbots and fraud detection. The service market is anticipated to gain high investment from the BFSI sector from 2019 to 2025.
- The artificial intelligence helps in accurate planning and forecasting for financial trade rates thus many companies are researching on developing a concrete AI solution for the finance sector.
- The artificial intelligence can accurately assess potential borrowers at much lower cost by verifying a number of factors that lead to better and support decision-making. For instance, many US-based automobile lending companies have benefited by using artificial intelligence for their lending activities. According to research by CYST finance, one of the top automobile lenders from the US has cut losses by greater than 23% using AI.
- Substantial growth in the healthcare industry in Asia-Pacific countries such as India and China has led to innovation in artificial and intelligence technology. The region is expected to generate tremendous investment opportunities in the artificial intelligence sector over the forecast period.
- The regional growth is also attributable to growing investment by tech companies around the Globe in the Asia-Pacific region. Many of the companies have opened their artificial intelligence research centers in the region. Recently in January 2019, Microsoft Corporation announced the opening of its largest AI and IoT lab in China. Similarly in December 2017, Google incorporation also an open artificial intelligence research Centre in China.