The global machine learning market was valued at USD 1.7 billion in 2018 and is expected to reach USD 33.4 billion in 2026, growing at a CAGR of 44.3% during the forecast period.

Machine learning is a branch of artificial intelligence that can allow computers to learn without being programmed in detail. It is working on the advancement of computer programs that can be switched when exposed to new data.

The growth of the machine learning market is primarily driven by growing demand for cloud-based services, growing concerns in safety and security, and growing advancements in technologies. Moreover, rising demand from growing end-use industries, such as Banking, Financial Services, and Insurance (BFSI), manufacturing, telecommunication, energy and utilities, and retail for developing complex business processes with improved efficiency and lowering the overall costs in emerging countries also drives the growth of the global machine learning market. On the other hand, lack of technical expertise and government and compliance issues is creating a major hindrance to its market growth. However, continuous development in IoT platforms and growing connectivity and communication technologies is expected to create major growth opportunities during the forecast period.

By Service Professional Services Managed Services By Deployment Mode Cloud On-Premise By Organization Size Large Enterprises SMEs By Industry Vertical Healthcare and Life Sciences Banking, Financial Services, And Insurance (BFSI) Retail Telecommunication Government and Defense Manufacturing Energy Utilities By Region North America (US and Canada) Europe (UK, Germany, France and Rest of Europe) Asia Pacific (China, Japan, India and Rest of Asia Pacific) Latin America (Brazil, Mexico and Rest of Latin America) Middle East & Africa (GCC and Rest of Middle East & Africa)

The managed service segment expected to grow at the fastest rate of 51% CAGR during the forecast period

Based on service, the global machine learning market has been segmented into professional services and managed services. The managed services segment is expected to grow at the highest CAGR of around 51% during the forecast period. Due to it helps the various offices and organizations to increase efficiency and save costs for managing on-demand machine learning services. The increase in deployment of machine learning solutions and the complexity of operations further expected to grow the demand for managed services.

Based on deployment mode, the cloud deployment mode segment is expected to lead during the forecast period

Based on deployment mode, the market has been segmented into cloud and on-premises. The cloud deployment mode segment accounted for the largest share of around 64% in the market in 2018. The cloud-based services offer various benefits which include automated software updates, increased collaboration, data loss prevention, automated software updates, and cloud storage facilities for machine learning software solutions and services. Moreover, the manufacturing process of machine learning paints & coatings requires a lower carbon footprint as they consume less energy.

Based on organization size, the large enterprises segment is expected to lead during the forecast period

Based on organization size, the market has been segmented into large enterprises and SMEs. The large enterprise's segment accounted for the largest share of 55% in terms of value in the market in 2018. The large organization uses machine learning to extract the required information from a large amount of data and forecast the outcome of various problems. Moreover, growing digitization and increased cyber risks to critical business information and data further grows the demand for machine learning in large enterprises during the forecast period.

Based on vertical, the banking, financial services, and insurance (BFSI) segment is expected to lead during the forecast period

Based on vertical, the market has been segmented into healthcare and life sciences, banking, financial services, and insurance (BFSI), retail, telecommunication, government and defense, manufacturing, energy, and utilities. The banking, financial services, and insurance (BFSI) segment accounted for the largest share of 28% in the market in 2018. The Banking, Financial Services, and Insurance (BFSI) generate an ample amount of data every second and it requires appropriate data management with enhanced accuracy and extract business-critical insights from this ever-increasing data. Moreover, growing demand for managing the complex business processes with improved efficiency and lowering the overall costs further grows the demand for machine learning in Banking, Financial Services, and Insurance (BFSI) segment during the forecast period.

Global Machine Learning Market, 2016-2026, (US$ Bn)

North America to dominate the machine learning market throughout the forecast period

North America accounted for nearly 32% share of the global machine learning market in 2018 and is expected to dominate the market throughout the forecast period followed by Europe and Asia-Pacific. The most competitive and rapidly changing market along with strong economic growth in the North America region is one of the key factors driving the growth of machine learning in this region. Moreover, a high focus on innovations obtained from R&D and awareness for business productivity in key countries such as the US and Canada are also propelling the growth of machine learning in the North America region. Asia-Pacific accounted for the highest CAGR in the global machine learning market during the forecast period.

Company Profiles and Competitive Intelligence:

The major players operating in the global machine learning market are Amazon Web Services (US), Google, Inc. (US), Microsoft (US), Hewlett Packard Enterprises (US), IBM Corporation (US), Intel Corporation (US), AT&T (US), Yottamine Analytics (US), BigML Inc. (US), and Ersatz Labs (US) are among others.