Generative AI - Africa | Statista Market Forecast

The market size in the Generative AI market is projected to reach US$886.00m in 2024.
The market size is expected to show an annual growth rate (CAGR 2024-2030) of 46.47%, resulting in a market volume of US$8.75bn by 2030.
In global comparison, the largest market size will be United States (US$11.66bn in 2024).

Definition:
Generative artificial intelligence (AI) is a field of artificial intelligence that focuses on creating models and systems capable of generating new content, such as images, videos, music, or text. By training on large datasets, generative AI models learn patterns and structures within the data to produce novel and realistic outputs that mimic the original data distribution. Using techniques like generative adversarial networks (GANs) or variational autoencoders (VAEs), generative AI has the potential to enhance creativity, enable data synthesis, and revolutionize various industries including art, entertainment, and content creation.

Additional Information:

The market comprises two key performance indicators: market sizes, and market sizes by industry. Market sizes are generated by the funding amount of Generative Artificial Intelligence companies. Key players of the market include companies such as Open AI, NVIDIA DeepL Learning and Google (Magenta, DeepDream).

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Applications of generative artificial intelligence to create new content, such as images, music, and text, which is indistinguishable from human-generated content.

Non-artificial intelligence applications of generative systems, such as procedural content generation in video games, which do not involve machine learning or creativity.

The Generative AI market in Africa is witnessing tremendous growth due to the rising adoption of AI technologies, growing health consciousness among consumers, and the ease of accessing online health services. This extraordinary growth is driven by various factors and is expected to continue in the coming years.

Customer preferences: With the rapid advancement of technology and increasing connectivity, consumers in Africa are increasingly looking for innovative and personalized solutions in the Generative AI Market within the Artificial Intelligence Market. This is driven by a growing awareness and demand for data-driven decision making, as well as the need for highly efficient and automated processes. Additionally, the rise of digital platforms and services is enabling easier access to cutting-edge AI tools, further fueling the market growth.

Trends in the market: In Africa, the Generative AI market is seeing a rise in demand for AI-powered chatbots in customer service and sales. This trend is driven by the increasing use of smartphones and internet penetration in the region. Additionally, there is a growing focus on using AI for predictive maintenance in industries such as agriculture and manufacturing. These trends are significant as they offer cost-effective and efficient solutions for businesses while also creating new job opportunities in the AI sector. However, there may be potential implications for industry stakeholders, as the adoption of AI in Africa is still in its early stages and may face challenges in terms of infrastructure and data privacy regulations.

Local special circumstances: In Africa, the Generative AI Market within the Artificial Intelligence Market is impacted by limited access to technology and infrastructure, as well as varying levels of digital literacy. This has led to a slower adoption of AI compared to other regions. Additionally, cultural differences and language barriers can also influence the use and development of Generative AI in Africa. However, with the rise of mobile technology and increasing investments in AI research and development, the market is expected to grow in the coming years.

Underlying macroeconomic factors: The growth of the Generative AI market within the Artificial Intelligence market in Africa is heavily influenced by macroeconomic factors such as technological advancements, government policies, and investment in infrastructure. Countries with supportive regulatory environments and strong investment in AI technologies are experiencing rapid market growth, while those with regulatory challenges and limited funding are facing slower growth. Furthermore, the increasing demand for advanced AI solutions to address various business challenges and improve productivity is also driving market growth in the region.

Data coverage: The data encompasses B2B, B2G, and B2C enterprises. Figures are based on the funding values from different industries for the market.

Modeling approach / Market size:Market sizes are determined through a top-down approach with a bottom-up validation, building on a specific rationale for each market. As a basis for evaluating markets, we use annual financial reports, funding data, and third-party data. In addition, we use relevant key market indicators and data from country-specific associations such as GDP, number of internet users, number of secure internet servers, and internet penetration. This data helps us estimate the market size for each country individually.

Forecasts:In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing are well suited to forecast digital products and services due to the non-linear growth of technology adoption. The main drivers are the level of digitalization, the number of secure internet servers, and the revenue of the Public Cloud market.

Additional Notes: The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russian-Ukraine war are considered at a country-specific level. The market is updated twice a year. In some cases, the market is updated on an ad-hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development). Data from the Statista Consumer Insights Global survey is weighted for representativeness.

This report presents a comprehensive analysis and additional information on the Technology market, in a PDF format.

Artificial intelligence evokes images of supercomputer assistants, machines that can think creatively, and, to some, scenes from their favorite sci-fi movie. The reality, despite not being as futuristic, is not far off from this. AI refers to the ability of a computer or machine to mimic the competencies of the human mind, which often learns from previous experiences to understand and respond to language, decisions, and problems. The market for AI technologies is vast, amounting to around 200 billion U.S. dollars in 2023 and is expected to grow well beyond that to over 1.8 trillion U.S. dollars by 2030.

Artificial intelligence (AI), the technology that allows digital computers or computer-controlled robots to perform tasks more commonly associated with intelligent beings, has been leaping into the limelight following the release of a wide variety of Generative AI models in 2023. The United States, being the largest economy in the world, has a natural advantage. Although human-like androids such as those portrayed in the science fiction movie Blade Runner are still far from reality, applications of AI such as smartphone virtual assistants and industrial robots are already widespread in U.S. society. The industry’s powerful ability to improve efficiency and increase productivity has made it of strategic importance to U.S. industries and government, both of which push the U.S. lead in the AI race.