Spending on AI systems expected to reach $12.5 billion in 2017
Posted: 4 April 2017 | By Darcie Thompson-Fields
Revenue for artificial intelligence systems is expected hit $12.5 billion in 2017 alone.
This figure is up 59.3 per cent from a year ago, according to research firm IDC. Through 2020, these AI and cognitive systems will top $46 billion, up 54.4 per cent on a compound annual growth rate.
Cognitive applications are expected to win the biggest portion of spending this year. IDC predicts a 2017 spending of $4.5 billion for the year. Cognitive and AI software platforms with tools to organise, access and analyse data will see spending of $2.5 billion.
Services attached to rolling out cognitive and AI services will top $3.5 billion in 2017. With $1.9 billion being invested in the hardware that powers these systems.
The applications most likely to lead the demand are quality management and recommendations, diagnosis and treatment, customer service, security and fraud investigations. These use cases will total half of all AI system spending in 2017.
Between 2015 and 2020, public safety and emergency response and pharmaceutical research and discovery will grow at the fastest rate.
The U.S. will spend the most, at nearly $9.7 billion, on AI in 2017 followed by EMEA. But by 2020, Asia/Pacific is expected to become number two.