Generative AI - Western Asia

The Generative AI market in Western Asia is seeing intense growth, propelled by factors such as the widespread adoption of digital technologies, increasing health consciousness among consumers, and the convenience of online health services. This growth rate is being influenced by various technological advancements and a rising demand for personalized and efficient healthcare solutions.

Customer preferences: Consumers are increasingly turning to Generative AI technology for personalized and enhanced user experiences. This shift is driven by the growing demand for seamless and intuitive interactions with digital devices and services. Additionally, the rising adoption of smart homes and connected devices is fueling the need for intelligent and autonomous systems that can understand and respond to human behavior and preferences. This trend is also influenced by the growing use of virtual assistants and voice recognition technology in daily tasks, highlighting the importance of natural language processing capabilities in Generative AI.

Trends in the market: In Western Asia, there is a growing trend of incorporating Generative AI technology in various industries, such as finance, healthcare, and retail. This is driven by the increasing demand for personalized and efficient solutions, as well as advancements in computational power. Additionally, there is a shift towards utilizing Generative AI for predictive and prescriptive analytics, allowing businesses to make data-driven decisions. These trends have significant implications for industry stakeholders, as it enables them to enhance their operations and provide better services to customers. However, it also raises concerns about data privacy and regulation, which must be addressed for the sustainable growth of the Generative AI market.

Local special circumstances: In Western Asia, the Generative AI Market within the Artificial Intelligence Market is experiencing growth due to the region's focus on technological advancements and innovation. The strong presence of tech companies in countries like Israel and the United Arab Emirates has created a conducive environment for the development and adoption of Generative AI solutions. Additionally, the region's growing interest in smart city initiatives and digital transformation has also contributed to the demand for Generative AI applications in various industries such as healthcare, retail, and finance.

Underlying macroeconomic factors: The Generative AI Market within the Artificial Intelligence Market is heavily influenced by macroeconomic factors such as technological advancements, government policies, and investment in research and development. Countries with strong support for AI and a favorable regulatory environment are experiencing faster market growth compared to regions with regulatory challenges and limited funding for AI. Furthermore, the increasing demand for AI solutions across various industries, including healthcare, finance, and retail, is driving the growth of the Generative AI Market. This is fueled by the growing need for efficient and automated solutions to improve business processes and decision-making.

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.