• About
  • Subscribe
  • Contact
Thursday, May 8, 2025
    Login
  • Management Leadership
    • Growth Strategies
    • Finance
    • Operations
    • Sales and Marketing
    • Careers
  • Technology
    • Infrastructure and Platforms
    • Business Applications and Databases
    • Big Data, Analytics and Intelligence
    • Security
  • Industry Verticals
    • Finance and Insurance
    • Manufacturing
    • Logistics and Transportation
    • Retail and Wholesale
    • Hospitality and Tourism
    • Government and Public Services
    • Utilities
    • Media and Telecommunications
  • Resources
    • Whitepapers
    • PodChats
    • Videos
  • Events
No Result
View All Result
  • Management Leadership
    • Growth Strategies
    • Finance
    • Operations
    • Sales and Marketing
    • Careers
  • Technology
    • Infrastructure and Platforms
    • Business Applications and Databases
    • Big Data, Analytics and Intelligence
    • Security
  • Industry Verticals
    • Finance and Insurance
    • Manufacturing
    • Logistics and Transportation
    • Retail and Wholesale
    • Hospitality and Tourism
    • Government and Public Services
    • Utilities
    • Media and Telecommunications
  • Resources
    • Whitepapers
    • PodChats
    • Videos
  • Events
No Result
View All Result
No Result
View All Result
Home Technology Big Data, Analytics & Intelligence

IDC says AI can be used to fast-track DX journey

FutureCIO Editors by FutureCIO Editors
September 26, 2022
Photo by Pixabay: https://www.pexels.com/photo/clear-light-bulb-355948/

Photo by Pixabay: https://www.pexels.com/photo/clear-light-bulb-355948/

Worldwide revenues for the artificial intelligence (AI) market, including software, hardware, and services for both AI-centric and AI non-centric applications, totalled $383.3 billion in 2021, an increase of 20.7% over the prior year.

Ritu Jyoti

"Despite all-time high inflation and looming recession fears, spending in AI and automation technologies and solutions proceed at full steam. Technology leaders emphasise that lessons learned from past downturns signal that technology is a critical business driver and will help them future-proof their business," says Ritu Jyoti, group vice president, Artificial Intelligence and Automation Research with IDC's software market research and advisory practice.

In its most recent Worldwide Semiannual Artificial Intelligence Tracker, IDC expects the AI market value to reach nearly $450 billion in 2022 and maintain a year-over-year growth rate in the high teens throughout the five-year forecast.

Rasmus Andsbjerg

"Across all industries and functions, end-user organisations are discovering the benefits of AI technologies, as increasingly powerful AI solutions are enabling better decision-making and higher productivity," said Rasmus Andsbjerg, associate vice president, Data & Analytics at IDC.

He acknowledges that AI offers solutions to everything we are facing now.

“AI can be a source for fast-tracking digital transformation journeys, enable cost savings in times of staggering inflation rates and support automation efforts in times of labour shortages."

AI Software again accounted for the largest share of the overall AI market in 2021. Combined, the four AI Software categories – AI Applications Delivery & Deployment, AI Applications, AI System Infrastructure Software, and Artificial Intelligence Platforms – delivered more than $340 billion in market value in 2021 with AI Applications representing nearly half the total.

AI platforms delivered the strongest year-over-year growth at 36.6%, albeit from a smaller baseline.

Within the AI Applications category, AI Customer Relationship Management (CRM) Applications and AI Enterprise Resource Management (ERM) applications each delivered about 16% of the category total. The remainder was delivered by the myriad of other AI Applications available in the market. With nearly 300 companies vying for opportunities to gain share, the AI Applications market remains highly competitive.

AI-centric applications

IDC's AI Tracker also shows that AI-centric applications, in which AI technologies are central and critical to the function of the application, continued to slowly grow their share of the AI Software market.

In 2021, AI-centric applications captured 12.9% of the market, up 29.3% year over year. The remainder of the market was held by AI non-centric applications, where AI technologies are integral to certain workflows of the application, but if those technologies were removed, the application would still be able to function.

Similarly, the deployment of AI Software to the cloud continues to show steady growth. In 2021, 47.3% of AI Software purchases were deployed to the public cloud, an increase of four percentage points over 2020 and 8.4 percentage points over 2019. IDC expects cloud deployment of newly purchased AI Software to surpass on-premises deployments in 2022.

The AI Services market saw its total value increase 22.4% year over year to $24 billion in 2021. Client demand for expertise in developing production-grade AI solutions helped the AI IT Services category grow 21.9% year over year to $18.8 billion.

The AI Business Services category grew 24.2% year over year as organisations sought assistance on AI governance, business process, and talent strategies.

AI hardware

AI Hardware was both the smallest ($18.8 billion) and fastest growing (38.9% year over year growth) segment of the AI market. The hardware growth was driven by efforts to build dedicated AI systems capable of meeting the increased compute and storage demands of AI models and data sets.

While both AI Servers and AI Storage delivered strong growth in 2021 – 39.1% and 32.9% respectively – server purchases were notably larger at $15.6 billion.

Related:  UnionPay International and Spring Airlines partner for a better payment experience 
Tags: Artificial IntelligenceCRMERMIDC
FutureCIO Editors

FutureCIO Editors

No Result
View All Result

Recent Posts

  • Agentic AI-powered AppSec platform launched for the AI era
  • IDC forecasts GenAI alone will grow at a 59.2% CAGR
  • Dataiku brings new AI capabilities to create and control AI agents
  • Microsoft reveals the rise of a new kind of organisation in the AI era
  • St Luke’s ElderCare enhances data security and user experience with Juniper

Live Poll

Categories

  • Big Data, Analytics & Intelligence
  • Business Applications & Databases
  • Business-IT Alignment
  • Careers
  • Case Studies
  • CISO
  • CISO strategies
  • Cloud, Virtualization, Operating Environments and Middleware
  • Computer, Storage, Networks, Connectivity
  • Corporate Social Responsibility
  • Customer Experience / Engagement
  • Cyber risk management
  • Cyberattacks and data breaches
  • Cybersecurity careers
  • Cybersecurity operations
  • Education
  • Education
  • Finance
  • Finance & Insurance
  • FutureCISO
  • General
  • Governance, Risk and Compliance
  • Government and Public Services
  • Growth Strategies
  • Hospitality & Tourism
  • HR, education and Training
  • Industry Verticals
  • Infrastructure & Platforms
  • Insider threats
  • Latest Stories
  • Logistics & Transportation
  • Management Leadership
  • Manufacturing
  • Media and Telecommunications
  • News Stories
  • Operations
  • Opinion
  • Opinions
  • People
  • Process
  • Remote work
  • Retail & Wholesale
  • Sales & Marketing
  • Security
  • Tactics and Strategies
  • Technology
  • Utilities
  • Videos
  • Vulnerabilities and threats
  • White Papers
Show More

Strategic Insights for Chief Information Officers

FutureCIO is about enabling the CIO, his team, the leadership and the enterprise through shared expertise, know-how and experience - through a community of shared interests and goals. It is also about discovering unknown best practices that will help realize new business models.

Quick Links

  • Videos
  • Resources
  • Subscribe
  • Contact

Cxociety Media Brands

  • FutureIoT
  • FutureCFO
  • FutureCIO

Categories

Select Category
    • Privacy Policy
    • Terms of Use
    • Cookie Policy

    Copyright © 2022 Cxociety Pte Ltd | Designed by Pixl

    Login to your account below

    or

    Not a member yet? Register here

    Forgotten Password?

    Fill the forms bellow to register

    All fields are required. Log In

    Retrieve your password

    Please enter your username or email address to reset your password.

    Log In
    No Result
    View All Result
    • Management Leadership
      • Growth Strategies
      • Finance
      • Operations
      • Sales and Marketing
      • Careers
    • Technology
      • Infrastructure and Platforms
      • Business Applications and Databases
      • Big Data, Analytics and Intelligence
      • Security
    • Industry Verticals
      • Finance and Insurance
      • Manufacturing
      • Logistics and Transportation
      • Retail and Wholesale
      • Hospitality and Tourism
      • Government and Public Services
      • Utilities
      • Media and Telecommunications
    • Resources
      • Whitepapers
      • PodChats
      • Videos
    • Events
    Login

    Copyright © 2022 Cxociety Pte Ltd | Designed by Pixl

    Subscribe