Research firm MarketsandMarkets has valued the current worldwide conversational artificial intelligence market at $10.7 billion and expects it to reach $29.8 billion by 2028, growing at a compound annual rate of 22.6 percent.
The firm previously valued the worldwide market for conversational AI at $6.8 billion in 2021 and expected it to reach $18.4 billion by 2026, growing at a compounded annual rate of 21.8 percent.
Among the technologies involved, MarketsandMarkets expects chatbots to account for highest CAGR during the forecast period, due largely to the rising need to reduce human error, deliver more accurate information to customers, and speed up time to resolution. The rising popularity of ChatGPT, it said, will drastically spur conversational AI's growth across key industry verticals.
Among industry verticals, MarketsandMarkets expects the financial services and insurance segment to hold the largest market share during the forecast period. Across verticals, though, conversational AI technology vendors will need to understand end-user requirements within each specific industry and customize their solution offerings and services to make their virtual assistance flexible, scalable, and manageable.
The firm identified IBM, Microsoft, Google, Amazon Web Services, Artificial Solutions, Baidu, SAP, Oracle, OpenAI, Kore.ai, LivePerson, Avaamo, SoundHound, Kasisto, MindMeld, Solvvy, Creative Virtual, Pypestream, Saarthi.ai, Inbenta , Conversica, Haptik, Gupshup, Cognigy, Yellow.ai, AssemblyAI, Senseforth.ai, Rasa, Rulai, Exceed.ai, Clinc, and Laiye as the leading vendors of conversational AI technologies.