The surging number of applications being deployed on the cloud in several industries, rapid improvements being made in the internet of things (IoT) domain, advancements in numerous smart applications, and growing popularity of AI software are the major factors driving the expansion of the global edge AI software market.
Due to these factors, the market generated $600 million revenue in 2020, and it is expected to exhibit huge expansion during 2021–2030, according to P&S Intelligence.
Edge AI software market fueled by the pandemic
The imposition of lockdowns in several countries to mitigate the spread of the COVID-19 infection negatively impacted the operations of many businesses, but positively impacted the growth of the edge AI software market.
The COVID-19 pandemic has facilitated the progress of the medical services sector, with many organizations making huge investments in edge AI software to increase its applications in this sector. Moreover, with the increasing digitalization rate in the medical care and training sectors, the demand for edge AI software is rising sharply.
However, the increasing security and piracy concerns being raised are hampering the progress of the market, as data is stored in various microdata centers at edge nodes, that share real-time data with each other, which is highly vulnerable to cyberattacks.
The global edge AI software market is divided into speech recognition, sensor data, mobile data, biometric data, and video & image recognition categories, based on data source. Out of these, the video & image recognition category will dominate the market till 2030.
This is credited to the increasing number of picture acknowledgement and AI-controlled video applications such as face location for security reasons and movement discovery cameras and the mushrooming utilization of edge AI for video surveillance in order to prevent the occurrence of data theft.
Video surveillance category led the market in 2020
Furthermore, the global edge AI software market is classified into access management, autonomous vehicles, remote monitoring and predictive maintenance, video surveillance, energy management, and telemetry, depending on application. Amongst these, the video surveillance category led the market in 2020.
The increasing requirement for greater security and system detection is fueling the demand for edge AI for video surveillance. The autonomous vehicles category will exhibit rapid expansion in the coming years, due to the soaring investments being made in the self-driving technology.
North America held the largest share in the market for edge AI software in 2020, and this trend will continue during the forecast period as well. This is ascribed to the surging investments being made in AI applications, increasing adoption of advanced technologies such as AI and IoT, and the existence of several leading industry players such as Intel Corporation and Microsoft Corporation in the region.