AI Governance Market

Global AI Governance Market Size (2024 to 2029)

The global AI governance market is expected to reach USD 100 million in 2024 and USD 630 million by 2029, growing at a CAGR of 44.30% during the forecast period.

Artificial intelligence, or AI, is the buzzword of the present day. Increase government initiatives and measures for the optimal use of AI technology and to make AI systems more reliable. Additionally, there has been a growing demand for more transparency in decisions related to AI technology. These factors are likely to drive the growth of the global AI governance market. However, a better understanding of AI skills and data is needed to reap the benefits for years to come.

The AI governance process includes a framework and policies that aim to continuously develop, design, and monitor machine learning (ML) algorithms and models. This ensures that the results remain free from bias. The government should emphasize and focus on the responsible, transparent, and ethical use of AI systems.

As industries face the potential for breaking laws while working with the environment, adopting an AI governance solution minimizes the gap between responsibility and ethics in advanced technologies. The increasing adoption of AI across all industry verticals makes the adoption of AI governance necessary.

Market Growth and Trends:

The services segment will grow at a higher CAGR during the forecast period

The services segment plays a vital role in the software lifecycle by implementing platforms and performing related activities. These services include consulting, integration, support, and maintenance, which are necessary to implement, run, and maintain AI governance solutions. They help build a strategic and operational plan to identify the most effective way to achieve business goals.

The automotive segment will grow at the highest rate during the forecast period.

Autonomous transportation is one of the areas of the automotive industry where AI governance solutions should play an important role because if an autonomous vehicle makes a mistake in decision making, it can directly lead to loss of life. Therefore, given that self-driving cars can play an important role in decision-making related to life or death, they are expected to become the primary adopters of the AI governance solution.

Global AI Governance Market Drivers:

Intensifying government efforts to harness the benefits of artificial intelligence technology is driving growth in this market. The growing need to build trust in artificial intelligence systems and the growing demand for transparency in artificial intelligence decisions also act as market drivers. Increasing compliance with technological regulations is driving the growth of this market. Reducing gender bias and discrimination through the use of artificial intelligence accelerates the growth of this market.

Global AI Governance Market Restraints:

Establishing comprehensive ethical principles for artificial intelligence limits the growth of this market. The high investment cost is holding back the growth of this market. Insufficient experience and skills in artificial intelligence are also a market limitation.

GLOBAL AI GOVERNANCE MARKET REPORT COVERAGE:

This research report on the global AI governance market has been segmented and sub-segmented based on the component, deployment, vertical, and region.

Global AI Governance Market - By Components:

• Solutions  

• Services    

 The AI governance market is fragmented into solutions and services. The solutions segment is expected to see further growth in the future due to its critical role during the implementation of the software lifecycle. These services include advice, integration, maintenance, and support. They help build an operational and strategic plan to identify essential methods to achieve business objectives.

Global AI Governance Market - By Deployment:

• On-Premises          

• Cloud         

 the global market is mainly bifurcated into cloud and on-premises.

Global AI Governance Market - By Vertical:

• BFSI            

• Government and Defense               

• Media and Entertainment

• Healthcare and Life Sciences           

• Automotive            

• Telecommunication            

• Retail         

The vertically divided AI governance market is divided into BFSI, Media and Entertainment, Government and Defense, Health and Life Sciences, Telecommunications, Retail, Automotive, and Others. Since autonomous cars will play an important role in decisions related to life or death, they are anticipated to become a major adopter of AI governance.

Global AI Governance Market - By Region:

• North America

  • The United States

  • Canada

  • Rest of North America

• Europe

  • The United Kingdom

  • Spain

  • Germany

  • Italy

  • France

  • Rest of Europe

• The Asia Pacific

  • India

  • Japan

  • China

  • Australia

  • Singapore

  • Malaysia

  • South Korea

  • New Zealand

  • Southeast Asia

• Latin America

  • Brazil

  • Argentina

  • Mexico

  • Rest of LATAM

• The Middle East and Africa

  • Saudi Arabia

  • UAE

  • Lebanon

  • Jordan

  • Cyprus

In the global AI governance market, North America is expected to have the largest volume, while Europe is expected to experience the fastest growth during the forecast period. In terms of implementing and improving AI governance strategies, North America should be the number one sector. Due to AI regulation, various innovations are taking place in the European region, so Europe is expected to grow faster in the coming years. The adoption of AI-based services will grow in the region due to the growing ethical issues in AI technologies and the growing need for a legal framework to ensure the development of the machine learning algorithm, thus stimulating the growth of the AI governance industry.

Key market players:

A few of the top competitors currently working in the global AI governance market are IBM Corporation, Google, Microsoft, Facebook, SAP SE, Salesforce.com, Inc., Fair Isaac Corporation, BoardBookit, Inc., Intel Corporation, NVIDIA Corporation, Anki, AIBrain Inc., Banjo, Apple Inc., Amazon.com, Inc., Appier Inc., SenseTime, Kindred, Inc., OrCam, among others.

Recent Developments:

• In January 2019, Facebook published its deal with the Technical University of Munich and its internal project, Fairness Flow, which comes with various tools that can produce metrics to determine whether or not there are unwanted metrics on specific models.

• In August 2019, Microsoft announced the Digital Governance Tech Tour, which will help accelerate the digital initiative in India. The project includes a series of physical and virtual sessions and aims to train 5,000 employees over a 12-month period. This program includes the provision of artificial intelligence and intelligent cloud computing skills to government officials across the country.

• In September 2018, IBM Corporation released AI Fairness 360 (AIF360), a comprehensive set of open-source tools for unwanted biases in data sets and cutting-edge algorithms and machine learning designs to mitigate these biases. This version of the AIF360 Python suite includes nine different algorithms created by the broader equity research community to mitigate this unwanted bias. The launch of this product helps the company attract researchers from around the world to use this set of tools.