Artificial Intelligence - Southern Asia

The Artificial Intelligence market in Southern Asia is witnessing rapid growth, fueled by factors such as increasing adoption of digital technologies, growing health consciousness among consumers, and the convenience of online health services. This is further boosted by the elevated growth rate of the market, driven by advancements in AI sub-markets like Robotics, Autonomous & Sensor Technology, Computer Vision, Machine Learning, Natural Language Processing, and Generative AI.

Customer preferences: With the rise of digitalization and technological advancements in Southern Asia, there is a growing demand for AI-powered solutions in various industries. This trend is driven by the region's large and diverse population, which is increasingly embracing technology in their daily lives. Additionally, there is a shift towards personalized and efficient services, resulting in the adoption of AI-based systems for tasks such as customer service and data analysis. This is also accompanied by a rise in investments and initiatives aimed at developing AI-based products and services in the region.

Trends in the market: In Southern Asia, the Artificial Intelligence market is experiencing a surge in demand for AI-powered solutions in various industries, such as healthcare, finance, and manufacturing. With the rapid digitization of the region, there is a growing trend of companies investing in AI technologies to improve efficiency and drive innovation. This trend is expected to continue, with a projected growth of the AI market in Southern Asia to reach $4.3 billion by 2025. This presents a significant opportunity for industry stakeholders to capitalize on the potential of AI in this region. However, it also raises concerns about job displacement and the need for upskilling the workforce to adapt to the changing technological landscape. As Southern Asia continues to embrace AI, it is crucial for companies and governments to address these implications and ensure a smooth transition towards a more AI-driven future.

Local special circumstances: In Southern Asia, the Artificial Intelligence market is rapidly growing due to the region's increasing focus on digital transformation and technological advancements. In countries like India and China, the market is driven by the government's support for AI development and the growing demand for automation and efficiency in various industries. Additionally, the cultural and regulatory landscape in these countries, such as a large tech-savvy population and government investments in AI research, further contribute to the growth of the market.

Underlying macroeconomic factors: The growth of the Artificial Intelligence market in Southern Asia is heavily influenced by macroeconomic factors such as advancements in technology, government support, and investment in research and development. Countries with strong government support and significant investment in AI infrastructure are experiencing rapid market growth, while those with limited resources and regulatory challenges are struggling to keep up. Additionally, the region's rapidly growing population and increasing demand for efficient and cost-effective solutions are driving the adoption of AI technologies in various industries, such as healthcare, finance, and manufacturing.

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.