“Global Deep Learning Market to reach a market value of USD 715.2 Billion by 2031 growing at a CAGR of 34.3%”
The Global Deep Learning Market size is expected to reach $715.2 billion by 2031, rising at a market growth of 34.3% CAGR during the forecast period.
A skilled workforce and favourable government initiatives supporting AI and machine learning advancements have also contributed to North America’s dominance in the deep learning market. the Mexican retail sector expands, the demand for innovative solutions powered by deep learning will likely increase, fostering a symbiotic relationship between the two industries. Overall, the strength of the Mexican retail sector is a significant catalyst for developing and adopting deep learning technologies, positioning the country as a burgeoning hub for advanced analytics in the retail space. In conclusion, the Canadian government’s significant investment in the aerospace sector and Mexico’s strong retail industry are poised to drive growth in the deep learning market. Thus, the North America region witnessed 36% revenue share in the deep learning market in 2023.
The major strategies followed by the market participants are Partnership as the key developmental strategy to keep pace with the changing demands of end users. For instance, In September, 2024, Arm Limited came into partnership with PyTorch and ExecuTorch with the aim of enhancing AI performance on Arm-based hardware, enabling efficient deep learning workloads from edge to cloud. The integration of Kleidi technology supports developers with resources and optimizations, driving advancements in the deep learning market. Additionally, In September, 2024, NVIDIA Corporation has partnered with the U.S. government to launch the Partnership for Global Inclusivity on AI, offering Deep Learning Institute training, GPU credits, and grants to support AI development in emerging economies, promoting sustainable development and equitable access to AI tools.
Based on the Analysis presented in the KBV Cardinal matrix; Microsoft Corporation and Google LLC. are the forerunners in the Deep Learning Market. In June, 2023, Microsoft Corporation is collaborating with Moody's to enhance risk, data, and analytics solutions through generative AI and Microsoft Azure OpenAI Service. This partnership aims to improve financial services and risk assessment by leveraging advanced data analytics and large language models. Companies such as NVIDIA Corporation, Amazon Web Services, Inc. and Advanced Micro Devices, Inc. are some of the key innovators in Deep Learning Market.
Organizations seeking to optimize their operations may invest in deep learning technologies to develop and enhance these assistants. Intelligent virtual assistants can streamline various business processes, such as appointment scheduling, order processing, and customer inquiries. The efficiency gained from automation drives demand for deep learning solutions that can support these functionalities.
Additionally, Deep learning can be utilized to develop advanced security solutions for IoT devices. For instance, anomaly detection algorithms can identify unusual patterns of behaviour in device usage, helping to prevent cyberattacks or unauthorized access. Therefore, expansion of smart devices and IoT is driving the growth of the market.
Limited interpretability makes it difficult to identify errors or biases within models. Organizations may struggle to improve model performance or correct issues without understanding how a model reaches its conclusions. The inability to interpret model behaviour can hinder iterative development processes, where insights from previous model runs are crucial for refining and optimizing algorithms. Therefore, the limited interpretability and transparency of deep learning models impede the market's growth.
The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The above illustration shows the percentage of revenue shared by some of the leading companies in the market. The leading players of the market are adopting various strategies to cater to demand coming from the different industries. The key developmental strategies in the market are Partnerships, Collaborations & Agreements.
Based on solution, the market is divided into hardware, software, and services. In 2023, the hardware segment garnered 28% revenue share in the market. The demand for specialized hardware like TPUs (Tensor Processing Units) surged as healthcare, automotive, and finance industries adopted deep learning applications, necessitating efficient processing for complex neural networks.
The hardware segment is further subdivided into central processing unit (CPU), graphics processing unit (GPU), field programmable gate array (FPGA), and application-specific integration circuit (ASIC). In 2023, the graphics processing unit (GPU) segment procured 44% revenue share in the learning market. The effectiveness of GPUs in deep learning is primarily due to their ability to perform parallel processing, which enables them to handle multiple computations simultaneously.
The services segment is further subdivided into installation services, integration services, and maintenance & support services. In 2023, the integration services segment attained 38% revenue share in the market. The increasing complexity of deep learning applications necessitates specialized integration services to ensure that these technologies function seamlessly within existing IT infrastructures.
On the basis of application, the market is segmented into voice recognition, image recognition, video surveillance & diagnostics, and data mining. In 2023, the video surveillance & diagnostics segment attained 20% revenue share in the market. The increasing emphasis on security and safety has led to the integration of deep learning technologies in video surveillance systems, enabling advanced capabilities such as real-time threat detection and behavioural analysis.
By end-use, the market is divided into automotive, aerospace & defense, healthcare, retail, and others. In 2023, the aerospace & defense witnessed 25% revenue share in the market. This expansion is due to the growing dependence on AI-driven applications for predictive maintenance, threat detection, and data analysis to support decision-making.
Free Valuable Insights: Global Deep Learning Market size to reach USD 715.2 Billion by 2031
The market is fiercely competitive, characterized by rapid technological advancements and heavy investment in research and development. Key attributes include sophisticated algorithms for pattern recognition, neural network architectures, and applications across various sectors like healthcare, automotive, and finance. Companies vie for dominance through innovations in computational power, data efficiency, and algorithm complexity. Market leaders focus on scalability, interpretability, and integration capabilities to meet diverse industry demands and drive market expansion.
Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. In 2023, the Asia Pacific region generated 28% revenue share in the market. The region increasingly focuses on AI initiatives, with countries like China, Japan, and India investing heavily in deep learning research and applications.
| Report Attribute | Details |
|---|---|
| Market size value in 2023 | USD 70.2 Billion |
| Market size forecast in 2031 | USD 715.2 Billion |
| Base Year | 2023 |
| Historical Period | 2020 to 2022 |
| Forecast Period | 2024 to 2031 |
| Revenue Growth Rate | CAGR of 34.3% from 2024 to 2031 |
| Number of Pages | 377 |
| Number of Tables | 573 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Competitive Landscape, Market Share Analysis, Porter’s 5 Forces Analysis, Company Profiling, Companies Strategic Developments, SWOT Analysis, Winning Imperatives |
| Segments covered | Solution, Application, End-use, Region |
| Country scope |
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| Companies Included | Advanced Micro Devices, Inc., Arm Limited (SoftBank Group Corp.), NVIDIA Corporation, Clarifai, Inc., Google LLC, IBM Corporation, Intel Corporation, Microsoft Corporation, Amazon Web Services, Inc. (Amazon.com, Inc.), Samsung Electronics Co., Ltd. (Samsung Group) |
By Solution
By Application
By End-use
By Geography
The Market size is projected to reach USD 715.2 billion by 2031.
Increasing demand for intelligent virtual assistants across industries are driving the Market in coming years, however, High computational costs and resource requirements restraints the growth of the Market.
Advanced Micro Devices, Inc., Arm Limited (SoftBank Group Corp.), NVIDIA Corporation, Clarifai, Inc., Google LLC, IBM Corporation, Intel Corporation, Microsoft Corporation, Amazon Web Services, Inc. (Amazon.com, Inc.), Samsung Electronics Co., Ltd. (Samsung Group)
The expected CAGR of this Market is 34.3% from 2024 to 2031.
The Software segment is leading the Market by Solution in 2023; thereby, achieving a market value of $312.4 billion by 2031.
The North America region dominated the Market by Region in 2023, and would continue to be a dominant market till 2031; thereby, achieving a market value of $248.3 billion by 2031.
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