Tractica: Asia Pacific AI market to reach $136 billion by 2025

The artificial intelligence (AI) market is beginning to solidify its place in the real world at a faster pace than it did just a few years ago, especially as startups and technology vendors rush to create niche solutions and platforms.

According to new data from Tractica, the industry is rapidly evolving and focusing on key areas as mergers and acquisitions (M&A) activity intensifies. According to the survey, key segments of the AI ​​market include:

• Hyperscalers
• Professional Service Provider
• Solution providers, including application-oriented solution providers
• Platforms, including virtual digital assistant (VDA) platforms and AI development platforms
• Technologies, including computer vision (CV), natural language processing (NLP), deep learning (DL), machine reasoning (MR), and strong AI
• Hardware, including computing/networking/storage hardware and chipsets

The Asia Pacific (APAC) region has traditionally been thought to lag behind North America and Europe in terms of technology adoption. However, according to Tractica, the Asia Pacific region could lead the rest of the world in AI technology over the next decade. The Asia Pacific region accounts for 60% of the world's population, so any major technological shift, such as artificial intelligence, could impact the region's future.

Tractica's analysis shows that the AI ​​market in the Asia-Pacific region, including software, hardware and services, will grow from $6 billion in 2017 to $136 billion in 2025. By then, China is expected to account for 70% of the market share, followed by Japan, South Korea, India and other countries in the Asia-Pacific region.

Aditya Kaul, research director, said: "Much of the growth in AI in Asia Pacific will come from China, as its accelerators are nurturing tech giants and China has recognized the significance of AI for economic and social development. In addition, countries such as Japan, South Korea, India, Taiwan and Singapore have also turned their attention to AI and have announced national AI strategies."

In the Asia-Pacific region, AI plays an important role in transforming healthcare, agriculture, and education. AI will help find better treatments for diseases, democratize healthcare, improve crop yields, and provide personalized education for all. AI may also drive the development of traditional industries such as telecommunications, retail, advertising, automotive, business services, and consumer markets. The public sector is also expected to be one of the biggest beneficiaries of AI in the Asia-Pacific region, helping cities surpass Western countries in smart services and improved living standards.