According to a new report, published by KBV research, The Global Large Language Model Powered Tools Market size is expected to reach $24.4 billion by 2031, rising at a market growth of 45.5% CAGR during the forecast period.
The On-Premises segment is anticipating a CAGR of 46.5% during (2024 - 2031). On-premises deployment remains an attractive option for organizations prioritizing control over their data and systems, particularly in finance, healthcare, and government industries where data security and regulatory compliance are critical concerns. These organizations often prefer on-premises solutions to maintain strict control over sensitive data and to ensure compliance with internal and external security regulations. As a result, the demand for on-premises LLM-powered tools continues to grow in sectors with stringent privacy requirements.
The General-Purpose Tools segment is leading the Global Large Language Model Powered Tools Market by Type in 2023; thereby, achieving a market value of $9.9 Billion by 2031. These tools are intended to manage a wide range of duties across a variety of industries and use cases. Their versatility allows businesses from diverse sectors to adopt them for numerous applications, such as content generation, customer support, language translation, and more. Due to their flexibility and broad applicability, general-purpose tools have gained significant traction, contributing to their dominant position in the market. Tools like OpenAI's GPT-3 and GPT-4, adaptable to different contexts and tasks, are prime examples of general-purpose LLM-powered tools driving revenue growth.
The Customer Support segment is registering a CAGR of 44.9% during (2024 - 2031). The way businesses interact with consumers has been revolutionized by AI-driven customer support systems, including chatbots and virtual assistants. LLMs can provide real-time responses to customer queries, handle large volumes of interactions, and improve customer satisfaction by delivering personalized and accurate assistance. Retail, finance, telecommunications, and travel industries have increasingly adopted LLM-powered customer support solutions to reduce costs and enhance operational efficiency. As more companies recognize the value of automating their customer service with AI-powered tools, this segment continues to expand rapidly.
Full Report: https://www.kbvresearch.com/large-language-model-powered-tools-market/
The North America region dominated the Global Large Language Model Powered Tools Market by Region in 2023 and would continue to be a dominant market till 2031; thereby, achieving a market value of $8,405 million by 2031. The Europe region is experiencing CAGR of 45% during (2024 - 2031). Additionally, The Asia Pacific region would exhibit a CAGR of 46.2% during (2024 - 2031).
By Deployment
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