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Research: A/NZ AI market to grow nearly 30% by 2024

15 Apr 2020

Supportive government policies across APAC (Asia Pacific) are expected to drive the AI platform revenues in APAC to US$29.3 billion in 2024, says GlobalData.

An analysis of GlobalData's Market Opportunity Forecasts Model for AI reveals that the revenue of AI platforms will grow at a compound annual growth rate (CAGR) of 26.8% between 2019 and 2024. 

Aotearoa New Zealand will see a CAGR of 28.4% while Australia will reach 29.3%. 

China, Japan and India will account for two-thirds of the overall revenue by 2024, with China alone accounting for approximately 37%. 

“Governments continue to embrace AI, with a view to empower themselves and their citizens by creating intelligent processes. Some of the potential usage areas where implementation or increased use of AI will have a significant impact include healthcare, education and law enforcement,” says GlobalData senior technology analyst Rohit Sharma.

AI has seen multiple instances of government-led initiatives and policies in recent years. 

Australia set aside AU$29.9 million in 2019 to improve and develop the country's AI sector and other emerging technologies.

China has created several AI research centres and is investing in improving the quality of AI research through various initiatives such as China's New Generation AI Development Plan. 

In addition, the Chinese Ministry of Industry and Information Technology plans to allocate US$950m annually to fund strategic AI projects.

The Singapore Government has also been one of the early adopters of AI, which has been a key factor in driving AI development in the country. 

For instance, Singapore has joined hands with Microsoft to develop intelligent chatbots that can deliver a set of tech-based human-like customer services. 

In addition to this, Singapore's Ministry for Communications and Information has also collaborated with Microsoft and Intel to launch AI4E, a workshop to make participants aware of AI.

In India, Intel signed a memorandum of understanding (MoU) with the Central Board of Secondary Education (CBSE) to empower nearly one lakh (100,000) students with AI integration in the country's education system. 

Earlier in 2018, India announced the National Institution for Transforming India (NITI) Aayog to spearhead a national program on AI with a particular focus on research.

Similarly, in July 2019, the Malaysia Digital Economy Corp (MDEC) announced the establishment of an AI unit to support the setting up of the National AI Framework. 

In May 2019, all the students enrolled in universities and technical schools were mandated to take a beginner-level AI course. 

“The development of AI and its application areas continue to evolve, providing significant benefits to the society,” Rohit adds.

“Government support in terms of favourable policy frameworks and increased adoption of AI will not only enhance the service delivery and governance capabilities for citizens but also help drive the adoption of AI across other sectors in APAC.”