In 2022, Japan accounted for over 30 percent of artificial intelligence solutions spending across the Asia-Pacific region. In contrast, India's AI solutions spending share in APAC's total spending stood at 9.6 percent.

Spending on artificial intelligence (AI) varied greatly across industries in 2023, with the banking and retail industries delivering the largest AI investments in 2023. Worldwide spending on AI-centric systems was estimated at 154 billion U.S. dollars in 2023 across all industries. The banking sector's investments amounted to 20.6 billion U.S. dollars, the highest across the observed industries. It was followed by retail, with an investment value of 19.7 billion U.S. dollars. The financial sector's investments into AI are forecast to grow significantly between 2024 and 2027.

Expenditure on artificial intelligence (AI) showed significant diversity among industries in 2023, with the banking and retail sectors leading in terms of the most substantial AI investments during that year. The banking sector's spending accounted for 13.4 percent of all investments, followed by the retail sector with 12.8 percent. Worldwide spending on AI was estimated at 154 billion U.S. dollars in 2023.

The Artificial Intelligence Systems Spending Market is projected to grow at 47.8% CAGR, reaching $1225.92 Billion by 2029. Where is the industry heading next? Get the sample report now!

The financial sector's spending on artificial intelligence (AI) is projected to experience substantial growth, with an estimated increase from 35 billion U.S. dollars in 2023 to 126.4 billion U.S. dollars in 2028. This represents a compound annual growth rate (CAGR) of 29 percent, indicating a significant upward trajectory in AI investment within the financial industry. AI investment across industries In 2023, the banking and retail sectors led in AI investments, with the banking sector accounting for 20.6 billion U.S. dollars and the retail sector investing 19.7 billion U.S. dollars. This demonstrates the varying degrees of AI adoption across different industries, with the financial sector poised for substantial growth over the coming years. These findings highlight the competitive landscape of AI investment and the potential for the financial sector to capitalize on AI technologies. Global corporate AI investment trends The global corporate investment in AI reached nearly 92 billion U.S. dollars in 2022, marking a significant increase from previous years. Private investments played a substantial role in driving this growth, underscoring the increasing importance of AI development worldwide. This trend signifies a strong foundation for the expansion of AI technologies, with implications for the financial sector's investment landscape as it navigates the evolving AI market.

The worldwide revenue for the artificial intelligence (AI) market, that includes software, hardware, and services segments, was around 281.4 billion U.S. dollars in 2020. It is estimated that in that same year, the AI software segment brought in 88 percent of the total AI market revenues with 247.7 billion U.S. dollars. In 2021, the global artificial intelligence market is anticipated to increase even more in terms of revenue, reaching 327.5 billion U.S. dollars.

The statistic shows the global forecast spending on artificial intelligence (AI) by industry group in 2020. Spending on artificial intelligence in the financials sector is forecast to reach 11 billion U.S. dollars.

In 2024, the total value of AI and gen AI spending in Europe was estimated at 46.13 billion U.S. dollars. The value of investments varied greatly across industries, with the banking sector accounting for the largest value of all investments. The banking sector's spending on AI and gen AI was approximately 7.24 billion U.S. dollars. It was followed by the retail sector, with a spending value of 4.83 billion U.S. dollars. Banking was also the leading industry in terms of spending on a global scale in 2023.

According to Cognitive Market Research, the global IT spending market size is USD 4251.2 million in 2024 and will expand at a compound annual growth rate (CAGR) of 4.20% from 2024 to 2031.

North America held the major market of more than 40% of the global revenue with a market size of USD 1700.48 million in 2024 and will grow at a compound annual growth rate (CAGR) of 2.4% from 2024 to 2031.
Europe accounted for a share of over 30% of the global market size of USD 1275.3 million.
Asia Pacific held the market of around 23% of the global revenue with a market size of USD 977.78 million in 2024 and will grow at a compound annual growth rate (CAGR) of 6.2% from 2024 to 2031.
Latin America market of more than 5% of the global revenue with a market size of USD 212.56 million in 2024 and will grow at a compound annual growth rate (CAGR) of 3.6% from 2024 to 2031.
Middle East and Africa held the major market of around 2% of the global revenue with a market size of USD 85.02 million in 2024 and will grow at a compound annual growth rate (CAGR) of 3.9% from 2024 to 2031.

Increasing AI Investments to Drive the Market Growth

Growth in overall IT spending is being supported by investments in AI more widely, which is projected to drive the market growth during the forecast period. Businesses' investments in projects aimed at optimising organisational efficiency are mostly to blame for this. Furthermore, AI may have an even more profound and quick economic impact on IT spending which is propelling the market growth. Businesses in both established and emerging industries stand to gain from the fusion of human and machine intelligence. AI productivity advances have the potential to increase business profits and wages. By taxing greater salaries of both employees and businesses, it might even strengthen government finances. The innovation of artificial intelligence (AI) may lead to shifts in market leadership, global economic growth, and investment opportunities as organisations throughout the world implement the technology.

Increasing Spending on the Cloud to Propel the Market Growth

Rising spending on cloud by market players anticipated driving the market growth during the forecast period. Growing performance and efficiency, greater flexibility and dependability, and a reduction in IT expenses are all provided by the cloud. Additionally, it enhances innovation, enabling businesses to launch more quickly and integrate AI and machine learning use cases into their plans. In addition, acquire more in-depth knowledge about expenditure and cloud utilisation in a multicloud setting. Market players able to spot chances for cost savings as well as underutilised and wasted resources which is one of the factor which is fuelling the market growth. Comprehensive understanding of how a company employs cloud resources for various business divisions. This makes it possible to centrally tag cloud resources across providers for improved resource management.

Market Restraints of the IT Spending Market

Insufficient Analytics Capabilities and Imprecise Data to Hinder the Market Growth Insufficient analytics capabilities and imprecise data is anticipated to restrict the growth of the market. The manual entry of spend data with errors, typos, and other anomalies are anticipated to hamper the market growth. In the end, complicated data sets containing varying currencies from various time periods with dynamic exchange rates result in irregular entries. Inaccurate data causes poor decision-making, which eventually raises expenses. Analytical skills are expensive and hard to come by and are necessary to recognise and extract the appropriate reports from expenditure data that has been gathered. Organisations incur significant expenditures when using any spend analysis technology, regardless of its features and capabilities. Organisations that work with smaller data quantities, however, have more limited access to talent pools of statisticians, mathematicians, and data analysts, and therefore must make larger financial commitments.

Impact of Covid-19 on the IT Spending Market

Some industries were affected by the COVID-19 pandemic because of supply chain difficulties, workforce shortages, and lockdowns. The COVID-19 epidemic has severely impacted the Indian economy, bringing with it a host of new challenges that point to a significant shift in the dynamics of the market. People's spending...

Worldwide spending on data center systems is projected to reach 260 billion U.S. dollars in 2024, marking a significant 10 percent increase from 2023. This growth reflects the ongoing digital transformation across industries and the increasing demand for advanced computing capabilities. The surge in data center investments is closely tied to the rapid expansion of artificial intelligence technologies, particularly with the wake of generative AI. AI chips fuel market growth The rise in data center spending aligns with the booming AI chip market, which is expected to reach 92 billion U.S. dollars by 2025. Nvidia has emerged as a leader in this space, with its data center revenue skyrocketing due to the crucial role its GPUs play in training and running large language models like ChatGPT. The global GPU market, valued at 65 billion U.S. dollars in 2024, is a key driver of this growth, powering advancements in machine learning and deep learning applications. Semiconductor industry adapts to AI demands The broader semiconductor industry is also evolving to meet the demands of AI technologies. With global semiconductor revenues surpassing 526 billion U.S. dollars in 2023, the market is expected to approach 611 billion U.S. dollars in 2024. AI chips are becoming increasingly prevalent in servers, data centers and storage infrastructures. This trend is reflected in the data centers and storage semiconductor market, which is projected to grow from 78 billion U.S. dollars in 2023 to 136 billion U.S. dollars by 2025, driven by the development of image sensors and edge AI processors.

According to Cognitive Market Research, the global Ai Training Data market size is USD 1865.2 million in 2023 and will expand at a compound annual growth rate (CAGR) of 23.50% from 2023 to 2030.

The demand for Ai Training Data is rising due to the rising demand for labelled data and diversification of AI applications.
Demand for Image/Video remains higher in the Ai Training Data market.
The Healthcare category held the highest Ai Training Data market revenue share in 2023.
North American Ai Training Data will continue to lead, whereas the Asia-Pacific Ai Training Data market will experience the most substantial growth until 2030.

Market Dynamics of AI Training Data Market

Key Drivers of AI Training Data Market

Rising Demand for Industry-Specific Datasets to Provide Viable Market Output

A key driver in the AI Training Data market is the escalating demand for industry-specific datasets. As businesses across sectors increasingly adopt AI applications, the need for highly specialized and domain-specific training data becomes critical. Industries such as healthcare, finance, and automotive require datasets that reflect the nuances and complexities unique to their domains. This demand fuels the growth of providers offering curated datasets tailored to specific industries, ensuring that AI models are trained with relevant and representative data, leading to enhanced performance and accuracy in diverse applications.

In July 2021, Amazon and Hugging Face, a provider of open-source natural language processing (NLP) technologies, have collaborated. The objective of this partnership was to accelerate the deployment of sophisticated NLP capabilities while making it easier for businesses to use cutting-edge machine-learning models. Following this partnership, Hugging Face will suggest Amazon Web Services as a cloud service provider for its clients.

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Advancements in Data Labelling Technologies to Propel Market Growth

The continuous advancements in data labelling technologies serve as another significant driver for the AI Training Data market. Efficient and accurate labelling is essential for training robust AI models. Innovations in automated and semi-automated labelling tools, leveraging techniques like computer vision and natural language processing, streamline the data annotation process. These technologies not only improve the speed and scalability of dataset preparation but also contribute to the overall quality and consistency of labelled data. The adoption of advanced labelling solutions addresses industry challenges related to data annotation, driving the market forward amidst the increasing demand for high-quality training data.

In June 2021, Scale AI and MIT Media Lab, a Massachusetts Institute of Technology research centre, began working together. To help doctors treat patients more effectively, this cooperation attempted to utilize ML in healthcare.

www.ncbi.nlm.nih.gov/pmc/articles/PMC7325854/

Restraint Factors Of AI Training Data Market

Data Privacy and Security Concerns to Restrict Market Growth

A significant restraint in the AI Training Data market is the growing concern over data privacy and security. As the demand for diverse and expansive datasets rises, so does the need for sensitive information. However, the collection and utilization of personal or proprietary data raise ethical and privacy issues. Companies and data providers face challenges in ensuring compliance with regulations and safeguarding against unauthorized access or misuse of sensitive information. Addressing these concerns becomes imperative to gain user trust and navigate the evolving landscape of data protection laws, which, in turn, poses a restraint on the smooth progression of the AI Training Data market.

How did COVID–19 impact the Ai Training Data market?

The COVID-19 pandemic has had a multifaceted impact on the AI Training Data market. While the demand for AI solutions has accelerated across industries, the availability and collection of training data faced challenges. The pandemic disrupted traditional data collection methods, leading to a slowdown in the generation of labeled datasets due to restrictions on physical operations. Simultaneously, the surge in remote work and the increased reliance on AI-driven technologies for various applications fueled the need for diverse and relevant training data. This duali...

TSMC's bullish sales and capital expenditure forecast for its March quarter exceeds expectations, spurring optimism for AI investment despite potential sector risks.

British advertising giant WPP expected to spend 318 million U.S. dollars in artificial intelligence (AI) in 2024, while its French competitor Publicis was forecast to dole out 108 million on AI. Interpublic Group was forecast to spend 80 million.

Total IT spending worldwide is expected to increase by 9.8 percent in 2025, with spending on data center systems forecast to increase by 23.2 percent. Demand for data center capacity has surged amid the adoption of data intensive technologies such as artificial intelligence (AI) and the cloud.

The global defense IT spending market, valued at $100.75 billion in 2025, is projected to experience robust growth, driven by escalating geopolitical tensions, the increasing adoption of advanced technologies like AI and cloud computing within defense operations, and a rising need for enhanced cybersecurity measures to protect sensitive military data and infrastructure. The market's Compound Annual Growth Rate (CAGR) of 4.7% from 2025 to 2033 indicates a steady expansion, with significant contributions anticipated from all segments. The software segment is expected to lead, driven by the increasing demand for sophisticated command, control, communication, computers, intelligence, surveillance, and reconnaissance (C4ISR) systems, and advanced analytics platforms for improved decision-making. Hardware spending will remain substantial, fueled by the continued modernization of military equipment and infrastructure, while the application segments, particularly cybersecurity and IT infrastructure, will witness heightened investment due to growing concerns about cyber threats and the need for resilient systems. Regional growth will vary, with North America maintaining a dominant market share due to substantial defense budgets and technological advancements, followed by APAC, spurred by modernization efforts in countries like China and India. Europe will also contribute significantly, driven by defense spending increases among key nations. The competitive landscape is characterized by a mix of large established technology players and specialized defense contractors. Companies like Accenture, Amazon, Microsoft, and IBM are leveraging their expertise in cloud computing, AI, and cybersecurity to cater to the evolving needs of defense organizations. Meanwhile, traditional defense contractors like BAE Systems, Lockheed Martin, and Northrop Grumman are integrating advanced technologies into their offerings. The market presents opportunities for companies offering innovative solutions that enhance operational efficiency, improve situational awareness, and strengthen cybersecurity postures. However, challenges exist, including the complexities of integrating legacy systems with new technologies, stringent regulatory requirements, and the need for robust cybersecurity measures to prevent data breaches and cyberattacks. The long-term outlook remains positive, with continued investment in defense IT likely to fuel the market's sustained expansion.

Artificial Intelligence (AI) In Customer Experience Market 2025: Projected to hit USD 46.9B by 2029 at 27.5% CAGR. Access in-depth analysis on trends, market dynamics, and competitive landscape for data-driven decisions.

As per Cognitive Market Research's latest published report, the Global Military Vetronics market size will be $3,930.54 Million by 2028.The Global Military Vetronics Market Industry's Compound Annual Growth Rate will 4.55%from 2023 to 2030. What are the factors impacting Military Vetronics Market?

Increasing adaption of technological advancement in defense sector

The defense industry relied on commercial technology innovation to adopt new advancements. Many developed and developing countries are ready to adapt the technology innovations for military purposes. In the defense industry, big data and Internet of Things (IoT) plays the important role for technology innovations.

Along with that, many countries are investing huge amount in smart systems and artificial intelligence (AI). In 2018, the U.S. Defense Advanced Research Projects Agency (DARPA) announced a $2 billion campaign to develop the AI technologies and create more trusting, collaborative partnerships between human and machines. In the defense industry, artificial intelligence helps to use data effectively. It is also the gateway towards autonomous systems like amphibious vehicles, unmanned ground vehicles, infantry fighting vehicles, and mine-resistant ambush protection vehicles.

Military vetronics include involvement of several electronic systems that is installed on a vehicle in order to control various functions, such as communication, navigation, and weapons. It consists of components from boards and chips to displays and power electronics. Real time data helps soldiers with situational awareness during battle. This advanced system strengthens the defense system.

Almost all countries are focusing and investing to make their defense sector strong enough. Following picturized statistic shows the list of 15 countries with the highest military spending in 2019. United States ranked first, with defense spending total of approx. 732 billion U.S. dollars. Increasing adaption of technological advancement in defense sector is one of the major driving factors for the growth of military vetronics market.

Restraints for Military Vetronics Market

Lack of skilled Labors. (Access Detailed Analysis in the Full Report Version)

Opportunities for Military Vetronics Market

Intensifying jaggedness of military vetronics. (Access Detailed Analysis in the Full Report Version)

What is Military Vetronics?

Military Vetronics are the electronic parts or systems installed on vehicles that the safeguard organization mainly work. Military vetronics control functions such as navigation, communication and weapons. It is a major element of military vehicles. Military uses vetronics as a necessary and efficient technology for far, national security and armoury objectives.

The system consists of several components including boards, chips, displays, power electronics and some others. Vetronics helps solders to provide situational awareness during battlefield settings, it collects real-time data and can be analyzed by wireless electronic system. It improves the battle capacity, performance, efficiency and situational attention to the tactical vehicles.

Communication and navigation system, weapon control system, power system, display, sensor and others are some of the types of vetronics systems which are installed on military vehicles. These systems are integrated in vehicles according to their objectives such as to have secure, seamless and integrated communication and to make quick decisions on battlefield.

Nowadays, modern militaries are focusing on adoption of new technologies to utilize information advantage. Militaries of different countries are engaged in improving their equipment to focus on improving situational awareness in battlefield management. These are some of the factors are creating the opportunity for military vetronics market during forecast period.

AI Ratio: Expressway Authority of Thailand data was reported at 20.000 % in May 2018. This records an increase from the previous number of 17.970 % for Apr 2018. AI Ratio: Expressway Authority of Thailand data is updated monthly, averaging 18.985 % from Oct 2017 (Median) to May 2018, with 8 observations. The data reached an all-time high of 38.020 % in Mar 2018 and a record low of 0.500 % in Oct 2017. AI Ratio: Expressway Authority of Thailand data remains active status in CEIC and is reported by State Enterprise Policy Office. The data is categorized under Global Database’s Thailand – Table TH.F031: Investment and Disbursement Budget Plan.

The banking sector's spending on generative artificial intelligence (AI) is projected to surge to 84.99 billion U.S. dollars by 2030, with a remarkable 55.55 percent compound annual growth rate. This astonishing growth reflects the increasing significance of AI in reshaping the banking industry's landscape, as it seeks to leverage AI-driven technologies to enhance customer experiences, optimize operations, and drive innovation. AI investment across industries The banking sector's substantial investment in AI is part of a broader trend of increasing AI adoption across industries. In 2023, the banking sector was one of the largest investors in AI, with 20.6 billion U.S. dollars, signaling its proactive approach in embracing AI technologies. Moreover, the financial sector is poised for remarkable growth, with an estimated increase from 35 billion U.S. dollars in 2023 to 97 billion U.S. dollars in 2027, representing a significant upward trajectory in AI investment within the industry. Global corporate AI investment trends The surge in AI investment aligns with global trends, as corporate investment in AI reached nearly 92 billion U.S. dollars in 2022. This substantial increase underscores the growing importance of AI development worldwide and sets a strong foundation for the expansion of AI technologies. As the banking sector continues to navigate the evolving AI market, these trends highlight the competitive landscape of AI investment and the potential for the sector to capitalize on AI technologies to drive future growth and innovation.

AI Ratio: Industrial Estate Authority of Thailand data was reported at 29.480 % in May 2018. This records an increase from the previous number of 20.250 % for Apr 2018. AI Ratio: Industrial Estate Authority of Thailand data is updated monthly, averaging 16.205 % from Oct 2017 (Median) to May 2018, with 8 observations. The data reached an all-time high of 36.560 % in Mar 2018 and a record low of 4.860 % in Oct 2017. AI Ratio: Industrial Estate Authority of Thailand data remains active status in CEIC and is reported by State Enterprise Policy Office. The data is categorized under Global Database’s Thailand – Table TH.F031: Investment and Disbursement Budget Plan.