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US Advanced Analytics Market

ID: MRFR/ICT/13994-HCR
100 Pages
Garvit Vyas
October 2025

US Advanced Analytics Market Research Report: By Solution Type (Predictive Analytics, Descriptive Analytics, Prescriptive Analytics, Diagnostic Analytics), By Deployment Model (On-premises, Cloud-based, Hybrid), By End User Industry (BFSI, Retail, Healthcare, Manufacturing, Telecommunications) and By Technology (Machine Learning, Artificial Intelligence, Big Data, Data Mining) - Forecast to 2035

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US Advanced Analytics Market Infographic
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US Advanced Analytics Market Summary

As per MRFR analysis, the US advanced analytics market Size was estimated at 9.74 USD Billion in 2024. The US advanced analytics market is projected to grow from 10.29 USD Billion in 2025 to 17.84 USD Billion by 2035, exhibiting a compound annual growth rate (CAGR) of 5.66% during the forecast period 2025 - 2035.

Key Market Trends & Highlights

The US advanced analytics market is experiencing robust growth driven by technological advancements and increasing demand for data insights.

  • The rise of predictive analytics is reshaping decision-making processes across various industries.
  • Integration of AI and machine learning technologies is enhancing the capabilities of analytics solutions.
  • Cloud-based analytics solutions are becoming increasingly popular, facilitating easier access to data insights.
  • The growing demand for data-driven decision making and increased investment in technology infrastructure are key drivers of market expansion.

Market Size & Forecast

2024 Market Size 9.74 (USD Billion)
2035 Market Size 17.84 (USD Billion)

Major Players

IBM (US), SAS Institute (US), Microsoft (US), Oracle (US), SAP (DE), Tableau (US), Qlik (US), Alteryx (US), TIBCO Software (US)

US Advanced Analytics Market Trends

The advanced analytics market is currently experiencing a transformative phase, driven by the increasing demand for data-driven decision-making across various sectors. Organizations are recognizing the value of leveraging advanced analytical techniques to gain insights from vast amounts of data. This trend is particularly evident in industries such as finance, healthcare, and retail, where the ability to analyze complex datasets can lead to improved operational efficiency and enhanced customer experiences. As technology continues to evolve, the integration of artificial intelligence and machine learning into analytical processes is becoming more prevalent, further propelling the market forward. Moreover, the growing emphasis on predictive analytics is reshaping how businesses strategize and plan for the future. Companies are investing in advanced analytics tools to forecast trends, optimize resources, and mitigate risks. This shift towards proactive decision-making is likely to enhance competitiveness and drive innovation. Additionally, the increasing availability of cloud-based analytics solutions is making advanced analytics more accessible to organizations of all sizes, democratizing data insights and fostering a culture of analytics-driven growth. As the landscape evolves, the advanced analytics market is poised for continued expansion, with new opportunities emerging as businesses seek to harness the power of data.

Rise of Predictive Analytics

The advanced analytics market is witnessing a notable shift towards predictive analytics, where organizations utilize historical data to forecast future outcomes. This trend enables businesses to make informed decisions, optimize operations, and enhance customer engagement. By leveraging advanced algorithms and machine learning techniques, companies can identify patterns and trends, allowing for proactive strategies that align with market demands.

Integration of AI and Machine Learning

The incorporation of artificial intelligence and machine learning technologies into the advanced analytics market is becoming increasingly prevalent. These technologies enhance the ability to process and analyze large datasets, providing deeper insights and more accurate predictions. As organizations seek to improve efficiency and drive innovation, the synergy between advanced analytics and AI is likely to create new avenues for growth.

Cloud-Based Analytics Solutions

The adoption of cloud-based analytics solutions is transforming the advanced analytics market by providing scalable and flexible options for data analysis. Organizations are increasingly turning to cloud platforms to access advanced tools without the need for extensive infrastructure investments. This trend not only reduces costs but also enables real-time data processing, fostering a more agile approach to decision-making.

US Advanced Analytics Market Drivers

Emergence of Real-Time Analytics

The emergence of real-time analytics is reshaping the landscape of the advanced analytics market. Organizations are increasingly seeking solutions that provide immediate insights from data, enabling them to respond swiftly to changing market conditions. This demand for real-time capabilities is particularly evident in sectors such as retail and e-commerce, where customer preferences can shift rapidly. By 2025, it is expected that the market for real-time analytics will grow by over 25%, driven by the need for timely decision-making. As businesses adopt these advanced analytics solutions, they are likely to enhance customer experiences and optimize operational processes, further propelling the growth of the advanced analytics market.

Regulatory Compliance and Risk Management

The advanced analytics market is significantly influenced by the need for regulatory compliance and effective risk management. Organizations are increasingly utilizing advanced analytics to ensure compliance with industry regulations and to mitigate risks associated with data management. In sectors such as finance and healthcare, where regulatory scrutiny is high, advanced analytics tools are essential for monitoring compliance and identifying potential risks. By 2025, it is anticipated that over 30% of organizations will implement advanced analytics solutions specifically for compliance purposes. This trend not only drives demand for advanced analytics but also enhances the overall integrity and security of data management practices within organizations.

Growing Demand for Data-Driven Decision Making

The advanced analytics market is experiencing a surge in demand as organizations increasingly recognize the value of data-driven decision making. Companies across various sectors are leveraging advanced analytics to gain insights from vast amounts of data, which enhances operational efficiency and drives strategic initiatives. In 2025, it is estimated that organizations utilizing advanced analytics will see a 20% improvement in decision-making speed. This trend is particularly pronounced in industries such as finance and healthcare, where timely insights can lead to significant competitive advantages. As businesses strive to remain agile and responsive to market changes, the advanced analytics market is poised for substantial growth, with projections indicating a market size exceeding $30 billion by 2026.

Rising Adoption of Self-Service Analytics Tools

The rising adoption of self-service analytics tools is a notable driver of the advanced analytics market. Organizations are increasingly empowering non-technical users to access and analyze data independently, which fosters a data-driven culture. By 2025, it is projected that self-service analytics will account for nearly 40% of all analytics usage within organizations. This shift not only democratizes data access but also accelerates the decision-making process, as users can generate insights without relying on IT departments. As more organizations recognize the benefits of self-service capabilities, the advanced analytics market is likely to expand, with a growing emphasis on user-friendly tools that facilitate data exploration and analysis.

Increased Investment in Technology Infrastructure

Investment in technology infrastructure is a critical driver of the advanced analytics market. Organizations are allocating substantial budgets to upgrade their IT systems, ensuring they can support advanced analytics tools and platforms. In 2025, it is projected that spending on analytics infrastructure will account for approximately 15% of total IT budgets. This investment is essential for enabling real-time data processing and analytics capabilities, which are vital for organizations aiming to harness the full potential of their data. As companies continue to prioritize digital transformation, the advanced analytics market is likely to benefit from this trend, with enhanced capabilities leading to improved business outcomes and increased market competitiveness.

Market Segment Insights

By Solution Type: Predictive Analytics (Largest) vs. Prescriptive Analytics (Fastest-Growing)

In the US advanced analytics market, Predictive Analytics holds a significant share, reflecting its established presence and widespread adoption among enterprises seeking to enhance decision-making processes. Descriptive and Diagnostic Analytics follow, demonstrating relevance in understanding historical trends and conditions, while Prescriptive Analytics is rapidly gaining traction as organizations look to optimize operations and strategies based on predictive insights. The growth trends in this segment indicate a robust demand for advanced analytical capabilities, driven by an increasing emphasis on data-driven decision-making. Factors such as the ubiquity of big data, improvements in data collection technologies, and a shift towards automated decision support systems are propelling the transition towards Prescriptive Analytics. This evolution highlights a broader trend favoring proactive and actionable insights over retrospective analyses.

Predictive Analytics (Dominant) vs. Prescriptive Analytics (Emerging)

Predictive Analytics stands as the dominant force in the US advanced analytics market, characterized by its ability to forecast future events based on historical data and trends. It provides organizations with insights that enhance risk management, marketing strategies, and overall operational efficiency. In contrast, Prescriptive Analytics is an emerging segment that aims to recommend actions based on predictive insights. Its growing importance is fueled by the increasing need for organizations to not only understand what might happen but also how best to respond. As technology matures, more businesses are likely to integrate Prescriptive Analytics with Predictive models, thus progressively shaping their strategic frameworks and driving significant operational change.

By Deployment Model: Cloud-based (Largest) vs. On-premises (Fastest-Growing)

In the advanced analytics market, Cloud-based deployment models hold the largest share, driven by their scalability and cost-effectiveness. On-premises solutions, while less prevalent, are witnessing a resurgence among organizations requiring stringent data control and compliance. Hybrid models are also gaining traction as businesses seek flexibility and a blend of both worlds. The growth trends indicate a significant shift toward On-premises solutions as companies prioritize data security amid increasing cyber threats. Additionally, the rise of remote work and demand for real-time analytics is accelerating Cloud-based adoption. Hybrid models are emerging as a vital strategy for organizations aiming to optimize performance while ensuring regulatory flexibility, showcasing the evolving landscape of the market.

Cloud-based (Dominant) vs. On-premises (Emerging)

Cloud-based analytics solutions are characterized by their flexibility, scalability, and lower upfront costs, making them the dominant choice among enterprises. Businesses favor these solutions for their ability to quickly adapt to changing demands and integrate with advanced technologies such as AI and machine learning. In contrast, On-premises solutions, while emerging, are becoming increasingly attractive for organizations focused on heightened data privacy and compliance. They allow for more control over sensitive information but require substantial investment in infrastructure and maintenance. This positioning reflects a growing awareness among organizations that, while Cloud-based models offer broad capabilities, On-premises solutions fulfill specific regulatory and security needs.

By End User Industry: Healthcare (Largest) vs. Retail (Fastest-Growing)

The market share distribution among the various end user industries reveals that the Healthcare sector holds the largest share within the US advanced analytics market, driven by its ongoing demand for patient data management and operational efficiencies. Following closely, the BFSI sector also maintains a significant position, leveraging analytics for risk management and customer insights. Meanwhile, Retail, Telecommunications, and Manufacturing are experiencing notable growth as businesses seek advanced solutions to enhance customer experiences and optimize operations. Growth trends within the end user industries indicate that Healthcare is poised to see continued investment in advanced analytics due to the evolving regulatory landscape and the need for data-driven decision-making in patient care. Retail, on the other hand, is emerging rapidly as the fastest-growing segment. The rise in e-commerce and personalized shopping experiences drives this trend, with retailers increasingly focusing on analytics to better understand consumer behavior and improve inventory management.

Healthcare: BFSI (Dominant) vs. Retail (Emerging)

In the US advanced analytics market, the Healthcare sector stands out as the dominant force due to its critical need for data-driven insights in clinical decision-making, operational efficiency, and regulatory compliance. This segment excels in harnessing large volumes of patient data to enhance treatment outcomes. Conversely, the Retail sector is deemed emerging, rapidly gaining traction through the adoption of analytics for understanding customer journeys, sales forecasting, and enhancing supply chain efficiency. Retailers are increasingly turning to analytics to leverage big data, thereby creating personalized shopping experiences that drive customer loyalty and revenue growth. Together, these segments illustrate the diverse application and significance of advanced analytics across different industries.

By Technology: Machine Learning (Largest) vs. Artificial Intelligence (Fastest-Growing)

In the US advanced analytics market, the distribution of market share among key technology segments reveals that Machine Learning holds a significant position, commanding the largest share compared to its counterparts. Artificial Intelligence, while currently a smaller segment, has rapidly gained traction and represents the fastest-growing area within this market. Big Data and Data Mining follow, contributing to the overall technological landscape with their unique strengths and applications. Growth trends in this sector are being driven primarily by increased data generation and the demand for more sophisticated analytics solutions. The surge in artificial intelligence applications is creating a transformative effect, prompting businesses to invest more in Machine Learning to enhance decision-making processes. Big Data continues to be a crucial enabler, consolidating and processing vast amounts of information, while Data Mining techniques are evolving, adapting to the changing landscape of data analytics.

Technology: Machine Learning (Dominant) vs. Artificial Intelligence (Emerging)

Machine Learning stands out as the dominant force in the technology segment, characterized by its expansive application across numerous industries, providing organizations with predictive analytics and automation capabilities. Its robust algorithms and frameworks enable businesses to innovate and optimize operations effectively. In contrast, Artificial Intelligence, labeled as emerging, is rapidly evolving, with advancements in natural language processing and computer vision expanding its use cases. As AI technologies become more accessible, many companies are exploring their integration into existing systems, facilitating transformation in areas such as customer service and operational efficiency. Together, these segments illustrate the dynamic evolution of the technological landscape within the US advanced analytics market.

Get more detailed insights about US Advanced Analytics Market

Key Players and Competitive Insights

The advanced analytics market in the US is characterized by a dynamic competitive landscape, driven by rapid technological advancements and an increasing demand for data-driven decision-making. Key players such as IBM (US), Microsoft (US), and SAS Institute (US) are at the forefront, leveraging their extensive portfolios to enhance operational efficiencies and customer insights. IBM (US) focuses on integrating AI capabilities into its analytics solutions, while Microsoft (US) emphasizes cloud-based analytics to facilitate scalability and accessibility. SAS Institute (US) continues to innovate with its advanced statistical analytics, positioning itself as a leader in predictive analytics. Collectively, these strategies foster a competitive environment that prioritizes innovation and customer-centric solutions.

In terms of business tactics, companies are increasingly localizing their operations and optimizing supply chains to enhance responsiveness to market demands. The competitive structure of the advanced analytics market appears moderately fragmented, with several players vying for market share. However, the influence of major companies is substantial, as they set industry standards and drive technological advancements that smaller firms often follow.

In October 2025, Microsoft (US) announced a strategic partnership with a leading cloud service provider to enhance its analytics capabilities. This collaboration aims to integrate advanced machine learning tools into its existing platforms, thereby improving data processing speeds and analytical accuracy. Such a move is likely to solidify Microsoft’s position in the market, as it aligns with the growing trend of cloud-based analytics solutions.

In September 2025, IBM (US) unveiled a new suite of AI-driven analytics tools designed to cater to the healthcare sector. This initiative not only reflects IBM's commitment to industry-specific solutions but also highlights the increasing importance of data analytics in improving patient outcomes. By targeting this niche market, IBM (US) may enhance its competitive edge and attract new clients seeking specialized analytics solutions.

In August 2025, SAS Institute (US) launched a comprehensive training program aimed at upskilling professionals in advanced analytics. This initiative underscores the company's recognition of the skills gap in the analytics workforce and its commitment to fostering talent in the industry. By investing in education, SAS Institute (US) positions itself as a thought leader, potentially influencing the future direction of analytics practices.

As of November 2025, the advanced analytics market is witnessing trends such as increased digitalization, a focus on sustainability, and the integration of AI technologies. Strategic alliances are becoming increasingly pivotal, as companies collaborate to enhance their technological capabilities and market reach. Looking ahead, competitive differentiation is likely to evolve, with a shift from price-based competition to a focus on innovation, technological advancements, and supply chain reliability. This transition may redefine how companies position themselves in the market, emphasizing the need for agility and responsiveness to changing consumer demands.

Key Companies in the US Advanced Analytics Market market include

Industry Developments

The US Advanced Analytics Market is experiencing significant developments, with companies like SAP, Oracle, and IBM significantly increasing their market valuations amid growing demand for data-driven decision-making. As of September 2023, Palantir Technologies entered into a partnership with a major US government agency, enhancing its portfolio in public sector analytics. TIBCO Software, in August 2023, launched an upgraded version of its analytics platform, aiming to provide deeper insights and better machine learning capabilities.

A noteworthy merger in the Advanced Analytics sector took place in July 2023, when Verizon acquired a data analytics firm that specializes in AI-driven insights, strengthening its analytics capabilities. Meanwhile, MicroStrategy is reportedly innovating its Business Intelligence tools to cater to evolving market needs as of October 2023. Overall, the Advanced Analytics sector in the US has seen substantial growth and innovation over the last two to three years, with revenues soaring as organizations increasingly seek to leverage data insights to enhance operational efficiency and strategic planning.

Future Outlook

US Advanced Analytics Market Future Outlook

The advanced analytics market is projected to grow at a 5.66% CAGR from 2024 to 2035, driven by increased data utilization, technological advancements, and demand for predictive insights.

New opportunities lie in:

  • Development of AI-driven predictive maintenance solutions for manufacturing sectors.
  • Implementation of advanced analytics in personalized marketing strategies for retail.
  • Creation of real-time analytics platforms for financial risk management.

By 2035, the advanced analytics market is expected to achieve substantial growth, driven by innovation and strategic applications.

Market Segmentation

US Advanced Analytics Market Technology Outlook

  • Machine Learning
  • Artificial Intelligence
  • Big Data
  • Data Mining

US Advanced Analytics Market Solution Type Outlook

  • Predictive Analytics
  • Descriptive Analytics
  • Prescriptive Analytics
  • Diagnostic Analytics

US Advanced Analytics Market Deployment Model Outlook

  • On-premises
  • Cloud-based
  • Hybrid

US Advanced Analytics Market End User Industry Outlook

  • BFSI
  • Retail
  • Healthcare
  • Manufacturing
  • Telecommunications

Report Scope

MARKET SIZE 2024 9.74(USD Billion)
MARKET SIZE 2025 10.29(USD Billion)
MARKET SIZE 2035 17.84(USD Billion)
COMPOUND ANNUAL GROWTH RATE (CAGR) 5.66% (2024 - 2035)
REPORT COVERAGE Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR 2024
Market Forecast Period 2025 - 2035
Historical Data 2019 - 2024
Market Forecast Units USD Billion
Key Companies Profiled IBM (US), SAS Institute (US), Microsoft (US), Oracle (US), SAP (DE), Tableau (US), Qlik (US), Alteryx (US), TIBCO Software (US)
Segments Covered Solution Type, Deployment Model, End User Industry, Technology
Key Market Opportunities Integration of artificial intelligence and machine learning enhances predictive capabilities in the advanced analytics market.
Key Market Dynamics Growing demand for predictive analytics drives innovation and competition among advanced analytics providers.
Countries Covered US

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FAQs

What is the expected market size of the US Advanced Analytics Market by 2024?

The US Advanced Analytics Market is expected to be valued at 10.69 billion USD in 2024.

What is the projected market size of the US Advanced Analytics Market by 2035?

By 2035, the US Advanced Analytics Market is projected to reach a value of 18.3 billion USD.

What is the expected compound annual growth rate (CAGR) for the US Advanced Analytics Market from 2025 to 2035?

The expected CAGR for the US Advanced Analytics Market from 2025 to 2035 is 5.009 percent.

Which segment of the US Advanced Analytics Market is valued the highest in 2024?

In 2024, Predictive Analytics is valued the highest at 4.25 billion USD within the US Advanced Analytics Market.

What will the market size for Prescriptive Analytics reach by 2035?

By 2035, the market size for Prescriptive Analytics within the US Advanced Analytics Market is projected to be 3.6 billion USD.

Who are the major players in the US Advanced Analytics Market?

Major players in the US Advanced Analytics Market include SAP, Oracle, SAS Institute, IBM, and Microsoft among others.

How much will the US Advanced Analytics Market for Descriptive Analytics be valued by 2035?

The US Advanced Analytics Market for Descriptive Analytics is expected to be valued at 4.7 billion USD by 2035.

What is the market size for Diagnostic Analytics in 2024?

In 2024, the market size for Diagnostic Analytics is valued at 1.49 billion USD.

What are the growth opportunities driving the US Advanced Analytics Market?

Growth opportunities in the US Advanced Analytics Market are driven by increasing data volumes and demand for data-driven decision-making.

What challenges does the US Advanced Analytics Market currently face?

The US Advanced Analytics Market faces challenges such as data privacy regulations and the need for skilled workforce.

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