Dublin, Aug. 28, 2023 (GLOBE NEWSWIRE) -- The "AI in Supply Chain Market by Offering (Hardware, Software, Services), Technology (ML, NLP, Others), Application (Demand Forecasting, Others) Deployment Mode, End-use Industry (Manufacturing, F&B, Retail, Others) & Geography - Global Forecast to 2030" report has been added to ResearchAndMarkets.com's offering.
The global AI in the supply chain market is projected to reach $41.23 billion by 2030, at a CAGR of 38.8% during the forecast period 2023-2030
The AI in supply chain market is experiencing rapid growth, fueled by the integration of artificial intelligence into supply chain operations and the increasing demand for enhanced visibility and transparency in supply chain processes. Despite these promising trends, challenges such as high procurement and operating costs, along with infrastructure limitations, pose constraints on the market's expansion.
Amidst these dynamics, the market is set to explore new horizons driven by the surging demand for AI-based business automation solutions. However, hurdles related to data integration from diverse sources and concerns regarding data privacy and security stand as significant obstacles for achieving robust market growth.
Notably, the market is also witnessing the ascent of cloud-based supply chain solutions as a dominant trend, further shaping the landscape of AI in the supply chain sector.
In 2023, the hardware is expected to account for the largest share of the global AI in supply chain market.
The large market share of this segment is attributed to the advancements in data center capabilities, increasing deployment of machine learning solutions and its ability to perform tasks without relying on human input, and the rapid adoption of cloud-based technology across several industries.
However, the software segment is expected to record the highest CAGR during the forecast period. The growth of this segment is driven by a strong focus on product developments and enhancement of supply chain software, the benefits of supply chain software to help in supply chain visibility, and the ability of supply chain software to centralize operations.
In 2023, the machine learning segment is expected to account for the largest share of the global AI in supply chain market.
The large market share of this segment is attributed to the advancements in data center capabilities, increasing deployment of machine learning solutions and its ability to perform tasks without relying on human input, and the rapid adoption of cloud-based technology across several industries.
However, the robotic process automation segment is expected to record the highest CAGR during the forecast period. Several players focus on product enhancement to automate repetitive business processes. For instance, in October 2021, Berkshire Grey Inc. (U.S.), the leader in AI-enabled robotic solutions that automate supply chain processes, partnered with Atos (France) to accelerate automation of supply chain operations.
This development aimed to bring Intelligent Enterprise Robotic solutions to retail, transportation, and logistics (RTL) customers, enabling them to overcome strained supply chains. The growth of this segment is driven by higher adoption of RPA across various industries, increasing demand for automation of business processes, and higher customer expectations.
In 2023, the cloud-based deployments segment is expected to account for the larger share of the global AI in supply chain market.
The large market share of this segment is attributed to the increasing avenues for cloud-based deployments, the superior flexibility and affordability offered by cloud-based deployments, and the increasing adoption of cloud-based solutions by small & medium-sized enterprises.
Moreover, the cloud-based deployments segment is expected to record the highest CAGR during the forecast period. The rapid evolution of new security avenues for cloud-based deployments is expected to drive the growth of the cloud-based deployments segment in the coming years.
In 2023, the demand forecasting segment is expected to account for the largest share of the global AI in supply chain market.
The large market share of this segment is attributed to the rising initiatives to integrate AI capabilities in supply chain solutions, dynamic changes in customer behaviors and expectations, and the rising need to achieve accuracy and resilience to supply chain.
However, the real-time supply chain visibility segment is expected to record the highest CAGR during the forecast period. Many businesses are integrating AI capabilities to get a real-time picture of supply chains. For instance, in May 2023, Osa Commerce (U.S.), an innovative supply chain technology provider for brands and retailers partnered with Windward Ltd (Israel), the leading Maritime AIT company.
In 2023, the manufacturing segment is expected to account for the largest share of the global AI in supply chain market.
The large market share of this segment is attributed to the increasing number of manufacturing companies, favorable initiatives to integrate artificial capabilities in the supply chain, and manufacturers' vision to achieve accuracy and resilience in the supply chain.
However, the retail segment is expected to record the highest CAGR during the forecast period. Artificial intelligence makes a huge difference in retail supply chain optimization, as there's a greater need for fast delivery to shops and consumers and an increasing focus on tight inventory control.
The growth of this segment is driven by the rising integration of AI capabilities in the retail supply chain for forecast inventory and demand and the growing focus of retailers to meet consumer expectations.
In 2023, Asia-Pacific is expected to account for the largest share of the global AI in supply chain market.
In Asia-Pacific, the level of awareness has increased as governments have come to understand the potential for the advancement of AI in the economy. Growing advancements in supply chain solutions are leading various businesses to deploy supply chain solutions to adopt advanced decision-making capabilities.
Rising supply chain solutions, countries increasing focus on artificial intelligence deployment, and increased collaborative efforts are the key growth drivers for the regional market.
Market Insights
Factors Affecting Market Growth
- Increasing Incorporation of AI in Supply Chain Operations to Enhance Customer Experience and Satisfaction
- Rising Need for Greater Visibility and Transparency Driving the Utilization of AI-based Supply Chain Solutions
- High Procurement and Operating Costs Limiting the Adoption of AI-based Supply Chain Solutions
- Lack of Supporting Infrastructure Restricting the Implementation of AI-based Supply Chain Solutions
- Growing Demand for AI-based Business Automation Solutions Generating Growth Opportunities for Market Players
- Data Privacy & Security Concerns Impacting the Acceptance of AI-based Supply Chain Solutions
- Performance Issues in Integrating Data from Multiple Sources Leading to Inaccurate Business Insights
Trends
- Rising Demand for Cloud-Based Supply Chain Solutions
Companies Mentioned
- Intel Corporation (U.S.)
- Microsoft Corporation (U.S.)
- Amazon Web Services Inc. (U.S.)
- Google LLC (U.S.)
- NVIDIA Corporation (U.S.)
- Oracle Corporation (U.S.)
- IBM Corporation (U.S.)
- C3.ai Inc. (U.S.)
- SAP SE (Germany)
- Samsung SDS CO. Ltd. (South Korea)
- Coupa Software Inc. (U.S.)
- Micron Technology Inc. (U.S.)
- Advanced Micro Devices Inc. (U.S.)
- General Electric Company (U.S.)
- FedEx Corporation (U.S.)
- Deutsche Post DHL Group (Germany)
Scope of the report:
AI in Supply Chain Market, by Offering
- Hardware
- Processors
- Storage
- Networking
- Software
Services
- Deployment & Integration Services
- Connectivity Services
- Support & Maintenance Services
- Consulting Services
AI in Supply Chain Market, by Technology
- Machine Learning
- Natural Language Processing
- Computer Vision
- Robotic Process Automation
- Context-aware Computing
AI in Supply Chain Market, by Deployment Mode
- Cloud-based Deployments
- On-premise Deployments
AI in Supply Chain Market, by Application
- Demand Forecasting
- Real-time Supply Chain Visibility
- Supply Chain Planning
- Inventory Management
- Fleet Management
- Warehouse Management
AI in Supply Chain Market, by End Use Industry
- Manufacturing
- Retail
- Food and Beverage
- Automotive
- Healthcare & Pharmaceuticals
- Medical Devices & Consumables
- Aerospace & Defense
- Building & Construction
For more information about this report visit https://www.researchandmarkets.com/r/c5hpp9
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