What are the recent trends in market size and growth for the artificial intelligence (ai) in digital transformation market?
The artificial intelligence (AI) in digital transformation market size has grown exponentially in recent years. It will grow from $321.89 $ billion in 2024 to $424.75 $ billion in 2025 at a compound annual growth rate (CAGR) of 32.0%. The growth in the historic period can be attributed to enhancing risk management, exponential growth of data, proliferation of IoT devices, fraud detection, and improving customer insights and engagement.
The artificial intelligence (AI) in digital transformation market size is expected to see exponential growth in the next few years. It will grow to $1275.99 $ billion in 2029 at a compound annual growth rate (CAGR) of 31.7%. The growth in the forecast period can be attributed to cybersecurity enhancement, need to reduce operational costs, healthcare improvements, development of smart cities, and shortage of skilled professionals. Major trends in the forecast period include advances in natural language processing, adoption of AI-as-a-service, deployment of AI-powered autonomous vehicles, AI chatbots, and integrated with blockchain technology.
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How have varous drivers impacted the growth of the artificial intelligence (ai) in digital transformation market?
The growing adoption of cloud services is expected to propel the growth of the AI in digital transformation market going forward. Cloud services deliver computing resources such as servers, storage, databases, networking, software, and analytics over the Internet, allowing users to access. Cloud services are attributed to offering scalable and flexible computing resources, storage, and applications over the Internet, enabling businesses and individuals to access and manage these resources on demand without needing physical infrastructure. AI in digital transformation drives cloud service adoption by highlighting the benefits of cloud-based AI tools, which enhance operational efficiency, data analysis, and overall digital transformation efforts. For instance, in December 2023, according to the European Commission, a Belgium-based government administration, in 2023, 42.5% of European Union (EU) enterprises acquired cloud computing services, marking a 4.2% rise compared to 2021. Therefore, the growing adoption of cloud services is driving the growth of AI in the digital transformation market.
What are the primary segments of the artificial intelligence (ai) in digital transformation market?
The artificial intelligence (AI) in digital transformation market covered in this report is segmented –
1) By Component: Solution, Services
2) By Technology: Machine Learning (ML), Natural Language Processing (NLP), Computer Vision, Other Technologies
3) By Deployment Mode: Cloud-Based, On-Premise
4) By Industry Vertical: Banking Financial Services And Insurance (BFSI), Information Technology (IT) And Telecommunications, Government And Public Sector, Healthcare, Manufacturing, Retail, Other End-Use Industries
Subsegments:
1) By Solution: AI-Powered Cloud Computing Solutions, AI-Based Automation Tools, AI-Driven Data Analytics Platforms, Predictive Analytics And Forecasting Tools, AI-Based Business Intelligence Solutions, Natural Language Processing (NLP) Solutions, AI For Cybersecurity Solutions, AI-Enabled Customer Relationship Management (CRM) Systems, AI-Powered Enterprise Resource Planning (ERP) Solutions
2) By Services: AI Integration And Implementation Services, Consulting Services For Digital Transformation Strategy, AI And Data Analytics Training Services, Cloud Migration And Integration Services, AI-Powered Process Automation Services, AI-Driven IT Infrastructure Management, Managed AI Services, Post-Implementation Support And Maintenance Services
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Which firms are leading the artificial intelligence (ai) in digital transformation market?
Major companies operating in the artificial intelligence (AI) in digital transformation market are Amazon.com Inc., Google LLC, Microsoft Corporation, Dell Technologies Inc., Huawei Technologies Co. Ltd., Siemens AG, General Electric Company, Accenture plc, Intel Corporation, International Business Machines Corporation, Cisco Systems Inc., Qualcomm Incorporated, Oracle Corporation, Fujitsu Limited, SAP SE, Salesforce Inc., ABB Ltd., Tata Consultancy Services Limited, Hewlett Packard Enterprise Company, Nvidia Corporation, Capgemini SE, Cognizant Technology Solutions Corporation, Infosys Limited, Adobe Inc., VMware LLC, Wipro Limited, Hitachi Vantara Corporation
How will industry trends affect the trajectory of the artificial intelligence (ai) in digital transformation market?
Major companies operating in the AI in digital transformation market are developing AI-powered DevSecOps platforms to enhance security, streamline development processes, and ensure compliance. AI-powered DevSecOps platforms leverage AI to automate security testing, identify vulnerabilities, and provide real-time threat detection throughout the development lifecycle. For instance, in October 2023, Digital.ai, a US-based technology company, launched Denali, an open, AI-powered DevSecOps platform designed to accelerate enterprise software delivery. This platform enhances security for web applications and automates software delivery processes, improving developer efficiency and aligning outcomes with business strategies. The advanced features include ARM protection for iOS applications and expanded test coverage, enabling teams to deliver high-quality, secure applications at scale.
Which geographic trends are shaping the artificial intelligence (ai) in digital transformation market, and which region has the highest market share?
North America was the largest region in the AI in digital transformation market in 2024. The regions covered in the artificial intelligence (AI) in digital transformation market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
What Does The Artificial Intelligence (AI) In Digital Transformation Market Report 2025 Offer?
The artificial intelligence (ai) in digital transformation market research report from The Business Research Company offers global market size, growth rate, regional shares, competitor analysis, detailed segments, trends, and opportunities.
Artificial intelligence (AI) in digital transformation refers to the integration of AI technologies into business processes to enhance efficiency, innovation, and customer experience. AI enables automation of repetitive tasks, data-driven decision-making, and personalized customer interactions. It also optimizes operations, improves cybersecurity, and accelerates product development, driving overall business growth and competitiveness.
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