After a challenging 2022, which brought a massive 46% drop, the machine learning market size skyrocketed by 120% and hit $158.8 billion last year.
However, the surging demand for AI-driven solutions across industries is expected to continue fueling market growth this year, with the machine learning industry reaching a new record valuation.
According to data from Stocklytics.com, the machine learning market is expected to grow by 28% annually and hit a $205 billion value in 2024, or four times its valuation just four years ago.
Machine Learning Market Size Skyrocketed by Almost 250% in Four Years
Over the past few years, machine learning has found its use across industries. As a method of data analysis that automates analytical model building, it reduces friction at every stage of a business, from decision-making and developing new product ideas to manufacturing, logistics, and delivering the goods to clients.
The surging need for this technology has helped the entire market grow tremendously and turned ML specialists into one of the fastest-growing jobs in the next four years.
According to a Statista survey, the global ML industry was valued at nearly $60 billion in 2020. A year later, this figure more than doubled and hit $134.5 billion. After a 46% drop in 2022, the market quickly bounced back, seeing 120% year-over-year growth and a valuation of $158.8 billion last year.
Although Statista expects 2024 to bring only one-quarter of the growth from last year, the market size of the machine learning industry will still increase by more than 28% year-over-year. With more businesses recognizing the potential of this technology and investing in its applications, the entire market is expected to hit a $205 billion value this year. By 2030, this figure will jump by $528 billion.
Although the US machine learning industry will make up one-third of the total market value in 2024, the Asian market will see the biggest growth, thanks to its large population, diverse sectors, and growing investment in technological infrastructure.
According to Statista, the US market will increase by 24% and hit a $70 billion value this year. Although still behind the United States, the Asian market will see an impressive 34% growth, resulting in a market size of $55.1 billion this year. Europe`s ML sector is expected to grow by 28% year-over-year and hit a $55.8 billion value.
Machine Learning to Make 67% of Total AI Industry Value in 2024
As the largest segment of the AI industry, machine learning also makes up the biggest part of the total AI market value. According to Statista, ML will make up 67% of the total AI industry`s value in 2024, up from 54% four years ago.
With companies and organizations worldwide embracing this technology, the market share of machine learning is expected to jump to 71% by 2030.
Expanding Nigeria’s Share
In the dynamic landscape of Nigeria’s technological evolution, the machine learning market is set to soar with a remarkable growth projection of 18.29% from 2024 to 2030. This anticipates a substantial market volume of US$2.11 billion by the dawn of the new decade.
With artificial intelligence (AI) empowering systems to learn from data and make decisions autonomously, devoid of explicit programming, proficiency in machine learning stands as a linchpin for fulfilling the escalating demand for skills in Nigeria’s burgeoning tech sector.
As Nigeria strides confidently into 2024, the integration of AI and machine learning emerges as a transformative force, propelling the nation into a future marked by innovation and technological prowess. The synergy of indigenous creativity and disruptive technologies not only revolutionizes industries but also lays the foundation for a more connected, efficient, and prosperous Nigeria.
This forward trajectory is laden with limitless possibilities, underscoring the nation’s unwavering commitment to explore and embrace the transformative power encapsulated in the realms of AI and ML.
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