The global deep learning market was worth around USD 11542.9 million by 2021 and is estimated to grow to about USD 80769.6 million by 2028, with a compound annual growth rate (CAGR) of approximately 38.3% over the forecast period.
Deep Learning Market
The global deep learning market was worth around USD 11542.9 million by 2021 and is estimated to grow to about USD 80769.6 million by 2028, with a compound annual growth rate (CAGR) of approximately 38.3% over the forecast period. The report analyses the drivers of the deep learning market, the limitations/challenges, and the impact they have on demand during the forecast period. In addition, the report examines emerging market opportunities in the deep learning market.
Deep learning is a subset of machine learning that combines a series of computer commands or algorithms that stimulate activity and brain structure. Deep learning is more commonly known as active neural networks or deep neural networks. It is of great benefit to data scientists tasked with collecting, analyzing, and interpreting enormous amounts of data; deep learning makes this process faster and easier.
The deep learning is used across domains and has shown high demand in the recent past. The key drivers that has led to the growth of this market are improving computational power, decreasing hardware cost, and increasing adoption of cloud-based technology. These drivers add to the growth for speech recognition software, automotive vehicles and language translation services and receive comprehensive applications across the retail, healthcare, automotive, agricultural, security and manufacturing industries.
The challenges faced by the market are increasing complexity in hardware due to complex algorithm used in technology, lack of flexibility and multitasking as well as lack of technical expertise and absence of standards and protocols.
The COVID-19 pandemic is anticipated to notably widen the increase in the global deep learning market revenue, owing to rise in demand for anti-money laundering (AML), fraud detection solutions and various technological solutions during the pandemic situation.
In addition, the COVID-19 pandemic situation has brought the machine learning and technological aspects in the picture. This has led to the development and adverse use of deep learning models and tools. Furthermore, the application of artificial intelligence technology is likely to help combating the COVID-19 pandemic situation. Most countries are using the surveillance methos to track and trace the COVID cases.
During the pandemic many the industries have drifted towards online learning and working mode, thus the use for updated software and modern technologies have come forward. Using the deep learning tools and models have made the work efficient and effective.
Improving Computing Power and Declining Hardware Cost
The increasing demand for computing power among businesses and the growing adoption of IoT devices across various industries are encouraging market growth. Regularly, more than quintillion bytes of data are being created each day, and that number is increasing rapidly. The sheer volume of data generated by various business verticals provides highly beneficial opportunities for deep learning solutions to provide companies with efficient, flexible, and scalable data.
In addition, the banking, financial services, and insurance (BFSI) sector holds the share of the deepest learning market in 2020, as the sector produces prominent levels of confidential data, increase in cyber-attacks, and focuses on customer data protection, as well as compliance control, which drives market growth. Moreover, it has become cheaper and easier to use everything and send that data in real time through a messaging system that allows organizations to make informed decisions about faster prices that have a positive impact on market growth.
Lack of Technical Expertise and Absence of Standards and Protocols
The lack of technical expertise and limitation of standard protocols could lead to heighten security risks with availability of multiple touchpoints for hacking. Implementing information technology projects in the public sector is challenging. Although, new and advanced technological tools and models are needed and are implemented every day, but the technical expertise to run and utilize these models have also become a challenge to the industry.
Cumulative Spending in Healthcare, Travel, Tourism, and Hospitality Industries
The global deep learning market would benefit from more medical tourism and shorter treatment wait times. The cumulative costing in the fields of healthcare, travel, tourism, and hospitality industries have given adverse opportunities for the growth of deep learning market. In the recent past, we can see the development for healthcare and IT sector where the world amenities have been shifting towards the online learning and accessing mode. In year 2020-21 the budget for healthcare services is seen to be the most prior for many countries and the use of artificial intelligence technologies has uplifted.
|Historic Years||2016 - 2020|
|Forecast Years||2021 - 2028|
|Segments Covered||By Product Type, By Application, and By End Use|
|Forecast Units||Value (USD Billion), and Volume (Units)|
|Quantitative Units||Revenue in USD million/billion and CAGR from 2021 to 2028|
|Regions Covered||North America, Europe, Asia Pacific, Latin America, and Middle East & Africa, and Rest of World|
|Countries Covered||U.S., Canada, Mexico, U.K., Germany, France, Italy, Spain, China, India, Japan, South Korea, Brazil, Argentina, GCC Countries, and South Africa, among others|
|Number of Companies Covered||10 companies with scope for including additional 15 companies upon request|
|Report Coverage||Market growth drivers, restraints, opportunities, Porter’s five forces analysis, PEST analysis, value chain analysis, regulatory landscape, market attractiveness analysis by segments and region, company market share analysis, and COVID-19 impact analysis.|
|Customization Scope||Avail customized purchase options to meet your exact research needs.|
The global deep learning market is segregated based on product type, application, and end-use industry.
Based on the type of product, the global market is divided into software, services, and hardware. In this case, the software component dominates the market which marks consistent growth due to the high adoption of smartphone assistants. In deep learning, software for flexible factory operations allows companies to build state-of-the-art testing systems with industrial automation. These programs provide effective visual testing of the reliability, duplication, and power of computer programs. The growing demand for software that displays ads on websites is another promising factor that encourages the growth of the industry.
Depending on the type of application, the market segmentation is based on image recognition, signal recognition, data mining, and more. In this case, the image recognition component is expected to show the best results for revenue in the coming years. The image recognition component is expected to be a major source of revenue for the deep learning industry driven by increasing penetration into the gaming industry and the growing influx of self-driving cars. High demand for face recognition and pattern as well as digital image processing will enhance the growth of the category.
As per the developments, in 2019 Skymind recently profited USD 11.5 million in a project with an objective to bring deep learning to multiple businesses, where it could help automate business processes in the North American team and accelerate the customer acquisition in the region.
Moreover, Baidu Inc. in 2021 have unveiled many new features in the Baidu Brain AI technology platform, updated in the latest version. The base layer of the platform is based on the deep learning platform PaddlePaddle, providing an improved foundation for a new generation of AI applications.
North America leads the global deep learning market because of its vast technological advancement and use of AI in industries across all domains. During the forecast period, the global deep learning market is predicted to rise at a rapid pace, with Asia-Pacific (APAC) region.
India and China are predicted to be the Asia Pacific region's fastest-expanding deep learning markets. Advanced technologies, more use of artificial intelligence, higher growth of industries and fast paced working model mention the need of deep learning tools as the large amount of data generated and required for the development needs to be easily accessed and curated at any required moment.
Listing some of the main competitors dominating the global deep learning market include - Amazon Web Services (AWS), Google Inc., IBM, Intel, Micron Technology, Microsoft Corporation, Nvidia, Qualcomm, Samsung Electronics, Sensory Inc., Pathmind, Inc. and Xilinx
By Product Type:
By End-Use Industry:
Deep Learning is a part of a machine learning method and is a subset of Artificial Intelligence (AI) technology. Deep learning uses a set of algorithms for decision-making while performing certain tasks. The technology is based on the design and operation of the brain and it matches the approach used by humans to gain knowledge of certain types. This form of technology is called the artificial neural networks.
Technological advancement in the automotive sector is preliminarily driving the market. Deep learning is used in various applications such as driver assistance systems, identifying signboards, and tracking pedestrians systems that are deployed in autonomous vehicles. Further, major automotive equipment manufacturers had spent around USD 46 billion in 2015 to develop products that support driverless vehicles. The investments are expected to increase as automotive manufacturers such as BMW, Mercedes, and Volkswagen are planning to introduce autonomous vehicles over the next five years. These developments are expected to fuel the growth of the deep learning market during the forecast period.
Deep learning helps financial institutes and online retailers to detect and prevent frauds. Over the past decade, online transactions have increased owing to online shopping and introduction of mobile payment option. In 2017, nearly 40 billion global e-commerce transactions were carried out as compared to 21 billion in 2011. This generated the need for technology to protect data and prevent online fraud. Financial institutions such as Citi Bank, PayPal, J.P. Morgan, and HSBC along with others have opted for deep learning for secured transactions. Thus, global deep learning market is expected to propel due to increasing digitalization in various developing countries. On a contrary, high initial investment is expected to have an adverse effect on deep learning market growth. Nonetheless, advancements in technology along with developments in the transportation sector may open new avenues for the market in the near future.
Based on application, the global deep learning market is segmented into speech recognition, image recognition, data mining, drug discovery, driver assistance, and others. The image recognition segment is expected to hold a significant market share during the timeframe. Automotive, healthcare, media & entertainment, BFSI, and others are prominent end-user industries for deep learning market. BFSI segment is projected to grow at a substantial rate during the forecast period.
North America holds the majority of the shares in the global deep learning market and will maintain its dominance in the coming future. Increasing usage of artificial intelligence for military and defense applications along with the rapid advancements in technology are the major drivers for the market in this region. Further, the presence of significant market players in the region is predicted to propel the global deep learning market massively. Growing research & development activities is the major driving factor for the growth of deep learning markets in Asia Pacific region. The Asia Pacific is expected to grow at a significant rate during the analysis period.
Some of the key players in the deep learning market are IBM Corporation, Intel Corporation, NVIDIA Corporation, Alphabet Inc., Advanced Micro Devices Inc., Microsoft Corporation, Arm Holdings, Qualcomm Technologies Inc., Micron Technology Inc., and Amazon Web Services, among others.
Improving computational power, decreasing hardware cost, and increasing adoption of cloud-based technology leads to the growth of the global deep learning market. On the other side, total spending in healthcare, travel, tourism, and hospitality industries is expected to offer further expansion of the market during the forecast period.
According to the Market Research report, the global deep learning market was worth around USD 11542.9 million by 2021 and is estimated to grow to about USD 80769.6 million with a compound annual growth rate (CAGR) of approximately 38.3% over the forecast period.
North America’s Deep-Learning Market held the largest market share in revenue, but in the past, we have seen a shift to other regions due to increased demand for deep learning as it is now being used across the sector for conveniences. Further, the APAC market is expected to show the highest growth.
These are some of the main competitors dominating the global deep learning market - Amazon Web Services (AWS), Google Inc., IBM, Intel, Micron Technology, Microsoft Corporation, Nvidia, Qualcomm, Samsung Electronics, Sensory Inc., Pathmind, Inc. and Xilinx.