Global Artificial Intelligence of Things (AIoT) Market Size (2023-2030)

The Global Artificial Intelligence of Things (AIoT) Market is estimated to be worth USD 8.98 Billion in 2022 and is projected to reach a value of USD 52.17 Billion by 2030, growing at a fast CAGR of 24.6 % during the outlook period 2023-2030.

The key role of IoT in this sturdy conjunction is to collect both structured and unstructured data and to facilitate communication between interconnected things and the user. When enhanced with AI, algorithms that can uncover intricate interdependencies in massive volumes of data and explain, project, and recommend particular actions based on that, an IoT system gets human-like intelligence and can be utilized for an extensive range of tasks. These might include "understanding" natural language, detecting users' wants and altering a connected device's behavior appropriately, and more.

IoT devices with AI integration can analyze data to uncover patterns and insights, resulting in amplified operational efficiency. By gathering and analyzing data, failure points can be identified, permitting the system to adjust as necessary. Organizations employing this cutting-edge technology save money since they don't have to spend as much time monitoring IoT devices. AIoT also assists in scalability by augmenting the number of IoT system-connected devices to fine-tune current processes or introduce new features.

Global Artificial Intelligence of Things (AIoT) Market Drivers:

The rising demand for AIoT for enhanced decision-making processes is fueling the growth of the Global Artificial Intelligence of Things (AIoT) Market.

The growing need for IoT combined with AI technologies to amplify a company's decision-making process, along with the widespread adoption of edge analytics solutions, is projected to bolster market expansion. The integration of IoT and AI empowers the diverse range of devices within the IoT network to make decisions. These decisions are made at the edge of the network through the utilization of edge computing. In edge computing, microcontrollers are fused with an extensive array of sensors, allowing cutting-edge processing and decision-making to take place locally. Therefore, this factor propels the demand for AIoT.

The increasing utilization of AIoT in smart cities, smart retail, and smart homes is another factor contributing to the growth of the Global Artificial Intelligence of Things (AIoT) Market.

In smart cities, a diverse array of technologies like sensors, lights, and meters are employed to amass data, fine-tune operational efficiency, propel economic expansion, and aggrandize the holistic standard of living for residents. In the relevance of smart retail, vendors utilize smart cameras to identify shoppers' faces and discern whether they have completed their self-checkout process before exiting the store. Similarly, in smart homes, AIoT-enabled appliances learn and adapt through human interaction and response. They can also store and analyze user data to comprehend individual habits, delivering individualized service and support. Therefore, this factor also propels the demand for AIoT.

Global Artificial Intelligence of Things (AIoT) Market Challenges:

The Global Artificial Intelligence of Things (AIoT) Market is encountering challenges, primarily in terms of security and privacy concerns. As business firms progressively count on digital technology, they amass and store immense volumes of sensitive data, leaving them vulnerable to cyberattacks and data breaches. Moreover, as the number of connected devices augments, the potential targets for hackers multiply, posing a greater challenge in safeguarding these devices and the data they handle. Thus, these challenges inhibit the growth of the market.

Global Artificial Intelligence of Things (AIoT) Market Opportunities:

The Global Artificial Intelligence of Things (AIoT) Market is projected to offer profitable prospects for businesses operating in the AIoT sector, fostering partnerships, mergers, collaborations, and agreements during the forecasted period. Furthermore, there is a potential to make technological advancements and upgrades with novel business ideas for a competitive edge in the market by tapping into a profitable outcome. 

COVID-19 Impact on the Global Artificial Intelligence of Things (AIoT) Market:

The COVID-19 pandemic positively impacted the growth of the Global Artificial Intelligence of Things (AIoT) Market. AIoT uncovered extensive applications in combating the pandemic. It bolstered public health initiatives, reinforced clinical decision-making, and facilitated social control measures in addition to assisting in the diagnosis of the SARS-CoV-2 virus. Furthermore, the ultra-modern technology contributed to therapeutics and vaccine development, empowered surveillance, integrated with big data analytics, and maintained the operation of vital clinical services. Therefore, AIoT played a prominent role in eradicating the global pandemic.

Global Artificial Intelligence of Things (AIoT) Market Recent Developments:

• In June 2023, Borqs Technologies, Inc. unveiled its intentions to branch out further into artificial intelligence (AI), leveraging its strong IoT prowess across sectors. Borqs intends to expedite the development of consumer-oriented devices and solutions with AI capabilities, in addition to its present product line for water and energy reservation for smart city applications. 
• In June 2023, CMS Info Systems Ltd., one of India's leading cash management firms, revealed its plans to invest around INR 500 million in AIoT technology, facilitating intelligent decision-making and automation. This boosts efficiency and allows for proactive steps to improve operational effectiveness.
• In November 2022, Guardforce AI Co., Ltd., unveiled the official launch of its AIoT Robot Advertising (RA) model and its mobile application, GFAI AD, on the App Store in the continent of Asia. Advertisers can employ the AIoT RA model to run adverts on Guardforce AI's robots and make more educated marketing decisions using data from the Guardforce AI Intelligent Cloud Platform (GFAI ICP). 

ARTIFICIAL INTELLIGENCE OF THINGS (AIoT) MARKET REPORT COVERAGE:

Global Artificial Intelligence of Things (AIoT) Market Segmentation:

Global Artificial Intelligence of Things (AIoT) Market Segmentation: By Component 

• Software
• Services

In 2022, the software segment held the highest market share. The growth can be ascribed to the necessity for amplified risk management, fine-tuned operations, minimized downtime, intelligent real-time process monitoring, and enhanced data management and analysis. Platform leaders such as IBM Corporation, Google LLC, Microsoft Corporation, and General Electric Company offer IoT platforms with cutting-edge AI capabilities, including analytics powered by machine learning. Businesses are increasingly adopting AIoT platform software to efficiently extract valuable insights from the massive data generated by IoT devices.

Global Artificial Intelligence of Things (AIoT) Market Segmentation: By Deployment Mode

• Cloud-Based
• On-Premises

In 2022, the cloud-based segment accounted for the highest market share. The growth can be ascribed to the advantages that the cloud-based deployment mode offers in contrast to the on-premises deployment mode, including easy and quick data accessibility, large storage availability, data-sharing capabilities, scalability, and the utmost data security. They firmly store data on remote servers instead of maintaining it on physical data storage devices like hard disks and USB flash drives. They proffer cost savings in contrast to on-site data centers and provide enhanced security compared to storing data on personal computers.

Global Artificial Intelligence of Things (AIoT) Market Segmentation: By Industry Vertical

• Banking, Financial Services, and Insurance (BFSI)
• Automotive
• IT & Telecommunications
• Energy & Utilities
• Transportation & Logistics
• Healthcare
• Manufacturing
• Others

In 2022, the healthcare segment held the highest market share. The growth can be ascribed to the growing popularity of AIoT in the healthcare sector. When it comes to monitoring and tracking a patient's health daily, wearable gadgets like smartwatches and fitness trackers are increasingly favored. These devices are capable of gathering comprehensive data ranging from heart rate and blood pressure to sleep patterns and physical activity. This data can be utilized by healthcare professionals to diagnose and address various health issues.

Global Artificial Intelligence of Things (AIoT) Market Segmentation: By Region

• North America
• Europe
• Asia-Pacific
• South America
• Middle East & Africa

The region of North America dominated the Global Artificial Intelligence of Things (AIoT) Market in the year 2022. Early and extensive adoption of avant-garde technologies, including Artificial Intelligence of Things (AIoT), and the rising investments by governments in research and development activities are some of the pivotal factors propelling the region's growth. The IT and Telecommunications industry in nations including the United States and Canada is highly civilized and well-established. Furthermore, North America is home to several prominent market players.

The region of Asia-Pacific is anticipated to expand at the quickest rate over the forecast period owing to the rising adoption of AIoT technology in nations, such as China, Japan, and India, the region's vast population, extensive utilization of mobile and internet technologies, and thriving manufacturing sector.

Global Artificial Intelligence of Things (AIoT) Market Key Players:

1. Google LLC (United States)
2. Amazon Web Services, Inc. (United States)
3. IBM Corporation (United States)
4. Microsoft Corporation (United States)
5. Oracle Corporation (United States)
6. Intel Corporation (United States)
7. SAP SE (Germany)
8. Cisco Systems Inc. (United States)
9. Alibaba Cloud (China)
10. Nvidia Corporation (United States)