ID: MRFR/ICT/2935-CR | March 2018 | Region: Global | 100 pages
The Digital Assistant Market is likely to touch USD 8.9 Billion between 2017- 2023, reveals the latest Market Research Future (MRFR) report. The strong market growth can be attributed to the constant technological innovations and developments.
The COVID-19 pandemic has cast its spell on the majority of the industries but with the exception of a few, such as the digital assistant market. This crisis has put a lot of strain on the worldwide healthcare industry. In the absence of established treatment, surging rise in cases, the vulnerability of healthcare staff getting the virus, and limited resources, the healthcare sector is facing a tough time to handle the crisis. During this scenario, artificial intelligence is acting as a boon. This technology is helping a great deal to cope with this deadly virus effectively. Besides, the increased time spent at home due to social distancing and lockdowns and the trend of work from home has led to a boom in the at-home economy, which has ultimately popularized smart home speakers. Manufacturers in the digital assistant market are showing spiked interest in smart home devices. Voice-enabled devices as such are getting much-needed publicity to minimize the spread of the coronavirus pathogens. Thus manufacturers are increasing the availability of their products such as connected video doorbells and smart locks to reduce interactions face-to-face.
Rising Adoption of Consumer Electronic Products to Boost Market Growth
Increasing adoption of consumer electronic products such as smart speakers and smartphones is boosting the market growth over the forecast period. Consumers are becoming increasingly comfortable with smart devices, thus are depending on digital assistants largely to attain sports scores, order food, and others. Besides, there has been a noticeable surge in the use of IVAs due to the evolution of communication network technologies that offer fast internet speeds to consumers. Organizations and companies are making huge investments in IVAs to reduce the number of customer service agents and rather rely on agents that are automated and can resolve queries with ease. This can be exemplified by Nuance’s Nina, Domino’s Dom, and Jet Star Airlines’ Jess.
Other factors boosting global digital assistant market share include technological advancements, growing demand for outsourced assistance, need for a personal digital assistant and personal digital assistant computers, rising emphasis on improving customer satisfaction, increasing use of digital assistant software, growing customers demand for digital assistants for rapidity and flexibility, growing adoption of M2M technology and IoT, and increasing adoption in different industry verticals.
Advanced Features to Offer Robust Opportunities
Advanced features like the ability to recognize different languages, interacting in different languages, as well as responding through voice or text, may offer robust opportunities to the market in the near future.
Risk of Security Flaws to Restrain Market Growth
The increasing risk of security flaws coupled with the scarcity of skilled professionals are factors that may limit the global digital assistant market growth over the forecast period.
The fluctuating price of raw materials and high initial prices of products are the major challenges for the market players.
The global digital assistant market has been segmented based on deployment, product, and application.
Deployment-based On-cloud Segment to Have Largest Share in the Market
By deployment, the global digital assistant market is segmented into on-premise and on-cloud. Of these, the on-cloud segment will have the largest share in the market over the forecast period.
Product-based Amazon Alexa to Lead the Market
By product, the global digital assistant market is segmented into Samsung Bixby, Microsoft Crotona, Amazon Alexa, Google Assistant, and Apple’s SIRI. Of these, Amazon Alexa will lead the market over the forecast period for its easy use as well as the ability to handle various accents in different languages.
Application-based Wearable Devices to Dominate the Market
By application, the global digital assistant market is segmented into smart homes and TV devices, wearable devices, and smartphones. Of these, wearable devices will dominate the market over the forecast period for their increasing use in consumer interaction, healthcare, and enterprises. Wearables help to detect health problems and also suggest measures at preventive stages.
North America to Spearhead the Market
By region, the global digital assistant market covers the growth opportunity and recent trends across Europe, North America, the Asia Pacific (APAC), and the Rest of the World (RoW). Of these, North America will spearhead the market over the forecast period. It was valued USD 1 billion in 2016 and is predicted to grow at a 22% CAGR by 2023. High adoption of home speakers, developed network architecture, technical advances, changing BYOD trends, the trend of remote working, growing awareness about the benefits of intelligent virtual assistants, and improving efficiency of healthcare systems are adding to the global virtual assistant market share in the region.
APAC to Hold Second Largest Share in the Market
In the APAC region, the global digital assistant market will hold the second-largest share over the forecast period. China’s developing consumer electronics and retail sectors, the development of intelligent virtual assistants that are AI-powered for professional conversation for being highly effective in offering services and conducting business functions like consulting across different industries and appointment scheduling, and launch of products which enable a device or an app to serve as an AI agent are adding market growth. Besides, the growing adoption of cloud based services by industries and improvement in network infrastructure are also adding market growth.
The global digital assistant market is fragmented and highly consolidated due to the presence of established key players. In order to stay at the forefront and also cater to the consumer’s growing needs, industry players have incorporated several strategies such as investments in research and development, mergers and acquisitions, and expansion of production facilities.
Samsung is launching new updates for Bixby by making it highly efficient by offering features such as translating, capturing better photos, social media management, mastering your settings, talk to Bixby through text, and more.
Amazon.com has recently acquired Ring (US), a company that offers solutions associated with home security with various ranges of video doorbells and smart cameras. This acquisition will help Amazon.com in integrating voice-based technologies into home security products offered by Ring.
Again, Skoda has announced the intelligent virtual assistants’ integration in their cars that can be accessed with the help of vocal commands and presently supports six languages.
Artificial Solutions (Spain)
IBM Corporation (U.S.)
Cisco Systems Inc. (U.S.)
Nuance Communications (U.S.)
Baidu Inc. (China)
Facebook Inc. (U.S.)
Amazon Inc. (U.S.)
Google Inc. (U.S.)
Samsung Corporation (South Korea)
Microsoft Corporation (U.S.)
Apple Inc. (U.S.)
December 2020- Accenture, in collaboration with CereProc, will create Sam, the first comprehensive non-binary voice solution in the world for the quick-growing digital assistant market. This work will be an excellent example of how human creativity and technology can merge and spark and create a societal change that can benefit the majority.
ReadSpeaker has joined hands with SoundHound Inc to include the former’s text-to-speech technology with the Houndify Voice Artificial Intelligence platform. This offering will offer brands an overall technology stack to assist them in extending their brand with voice. Besides, this collaboration will help companies in retaining brand identity, valuable customer relationships, as well as data ownership. Houndify is currently powering voice assistants to top brands such as Hyundai, Mastercard, Snapchat, Pandora, and Mercedes-Benz.
Frequently Asked Questions (FAQ) :
Google Assistant, Apple’s SIRI, Microsoft Crotona, Samsung Bixby and Amazon Alexa, are the product-wise segments in the market.
Wearable devices, smartphones, TV devices and smart homes are the primary applications of digital assistant.
Alexa accounts for the biggest share in the market, given the rising popularity of its applications.
The growth rate of the market in the years ahead is 22%.
North America leads the digital assistant market, thanks to the technical advancements, well-developed network architecture along with the high adoption of home speakers among others.
The market value by 2023 is estimated to be USD 8.9 billion.
The top players listed in the report are IBM Corporation (U.S.), Facebook Inc. (U.S.), Artificial Solutions (Spain), Amazon Inc. (U.S.), Apple Inc. (U.S.), Baidu Inc. (China), Nuance Communications (U.S.), Samsung Corporation (South Korea), Google Inc. (U.S.), Microsoft Corporation (U.S.), Cisco Systems Inc. (U.S.), to name a few.