Speech and Voice Recognition Market

Speech and Voice Recognition Market Size (2022 - 2027)

The global speech and voice recognition market is expected to reach $31.8 billion by 2026, compared to $12.7 billion in 2020, at a CAGR of above 18% over the forecast period 2022 - 2027.

Speech or voice recognition is the ability of a program to receive, interpret and execute voice commands. These solutions are the perfect complement that complies with voice commands between consumers and technology to obtain help with reminders and simple tasks. Voice recognition operates devices, executes commands at your fingertips without a keyboard company.

Speech and voice recognition is a smaller part of biometric systems. Speech recognition refers to the process of converting spoken words into a set of modified words stored digitally using phones and microphones. The speed that measures the adequacy of the software with a human speaker and the precision that it measures the number of errors committed during the conversion of spoken words into digitized data are the two parameters that evaluate the quality of a voice recognition system. The voice recognition system analyzes the identity of the speaker behind a particular voice. Examines the sound between different speakers by studying the behavior patterns of different people, such as the tone of the person's voice, speech style, accent and others, and also examines the shape and size from the mouth and throat of the person.

The growth of the global speech and voice recognition market can be attributed to the high growth potential of healthcare applications, the growing demand for voice authentication in mobile banking applications, the rapid proliferation of multifunctional devices or smart speakers and the increasing impact of AI on accuracy and speech recognition.

Some speech and voice recognition applications include cars, smartphones and smart virtual assistants like Amazon Alexa, Apple Siri and Microsoft Cortana. Different voice recognition software solutions include a speaker-dependent solution, a speaker-independent solution, discrete voice recognition, continuous voice recognition and natural language recognition.

Market Growth and Trends

Compared to speech recognition, the voice recognition market is expected to grow at a higher rate due to the increasing use of voice recognition in multi-factor authentication systems in BFSI, Government and defense. In North America and Western Europe, a large number of bank clients use telephone banking. Many of these financial institutions are adopting voice authentication solutions to accept or reject a user's mobile transactions. In addition, the voice recognition technology is supposed to experience a high level in the public, financial and corporate sectors in the next 2 to 3 years. Data security problems due to cyber-attacks, data breaches of hackers and issues related to illegal immigrants are some of the main factors that contribute to the steady growth of the voice recognition market.

Market Drivers and Restraints

The speech and voice recognition technique is finding maximum use in the consumer electronics industry due to the increasing number of voice and voice-activated applications on smartphones. However, the health sector is likely to be the fastest-growing segment of the end-use industry due to the widespread use of speech and voice recognition techniques for health checks and to connect a doctor and a patient in the absence of a physical presence of the two. Speech recognition has other supporting factors which include technological advancements, the need for customer management, and accelerated demand for mobility, conversion to smart homes and a mandatory requirement to improve the productivity of the workforce.

A growing career for solutions has also come from biometric systems for user authentication, which has spurred market growth. There is also demand for mobile banking applications and electronic health recording (EHR) applications that supports the growth of the global speech and voice recognition market. The adoption of voice assistance systems in homes and businesses has also contributed to the cause of these solutions. The factors that influenced demand were higher accuracy and precision, time management and the reduction of human error. Emerging economies had a driving market for applications in service robots and technological advances as factors which should provide many opportunities for growth in the years to come.

The concerns related to hacking and data breach are considerable obstacles to the expansion of this industry.

SPEECH AND VOICE RECOGNITION MARKET REPORT COVERAGE

Market Segmentation

Speech and Voice Recognition Market - By Component

• Hardware
• Software and Services

The hardware segment represents the largest share in the global speech and voice recognition business.

Speech and Voice Recognition Market - By Interface

• AI-Based
• Non-AI-Based Systems

Non-AI systems are expected to dominate the worldwide market throughout the forecast period. The AI-based segment is foreseen to grow at a very rapid rate due to technological improvements and its use in a broader range of applications.

Speech and Voice Recognition Market - By Deployment

• Cloud
• On-Premises

Based on the deployment, the cloud segment is predicted to expand with the highest growth rate with the increasing transition and benefits associated with this model.

Speech and Voice Recognition Market - By End-User

• BFSI
• Automotive
• Healthcare
• Consumer Electronics
• Enterprises
• Government and Defense

The BFSI segment accounts for the principal portion of the global speech and voice recognition systems, attributing to the increased online purchases and need for secured transactional gateways.

Regional Analysis

North America speech and voice recognition market represents the largest share due to the imperative need for customer service automation and the integration of virtual assistants with smart devices to drive market growth. The overwhelming need to streamline aspects of corporate communication that improves productivity contributes to market growth. The growing intense penetration of mobile devices and the increasing demand for voice recognition from BFSI and the healthcare sectors should support market growth over the forecast period.

Key Market Players

1. Nuance (United States)
2. Microsoft (United States)
3. Alphabet (United States)
4. IBM (United States)
5. Amazon (United States)
6. Sensory (United States)
7. Cantab Research (United Kingdom)
8. Iflytek (China)
9. Baidu (China)
10. Raytheon BBN Technologies (United States) are among the main players in the voice and voice recognition market.

Recent Developments

• Nuance Communications launched the universal cloud-based voice recognition platform, Dragon Medical One in May 2018. It brings the power of speech directly to electrical health records (EHR), which allows Doctors quickly and easily capture the complete history of a patient at the point of care.
• Microsoft has partnered with Toyota Motor Corporation (Japan) to activate voice recognition technology in passenger cars. The former will provide access to its superior properties, which includes operating systems, voice recognition technology, AI and gesture control.
• Nuance and IBM have signed a licensing agreement and technical services to improve and expand innovative voice solutions designed better to serve businesses, consumers, operators and partners. As part of this agreement, Nuance is integrating IBM technology into its voice solutions.