by Machine learning as a service (MLaaS) provides machine learning models and related services through the cloud, eliminating the need to build and maintain specialized infrastructure. MLaaS platforms and services are commonly used to build predictive analytics models and perform predictive analysis on vast amounts of data. MLaaS is experiencing increased adoption across industries including healthcare, retail, agriculture, marketing, manufacturing, and banking for applications such as predictive maintenance, price optimization, fraud detection, churn prediction, and personalized recommendations.
The global Machine Learning As A Service (Mlaas) Market is estimated to be valued at Us$ 10072.55 Mn in 2023 and is expected to exhibit a CAGR Of 38.% over the forecast period 2023 To 2030, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics
Growth of Cloud Computing
The growing adoption of cloud computing across industries and geographical regions is driving the growth of MLaaS market. Cloud computing providesML models and algorithms to a wide range of industries through managed services. It eliminates the need for companies to invest large capital for development of expensive ML infrastructure, hardware procurement and maintenance. Through cloud MlaaS, organizations can scale ML capabilities with unprecedented flexibility and economies of scale. The cost advantages, scalability and accessibility of cloud-based ML services are propelling the adoption of machine learning as a service especially among small and medium scale enterprises.
Segment Analysis
The machine learning as a service (MLaaS) market is segmented by deployment into public cloud, private cloud, and hybrid cloud. The public cloud segment dominated the market in 2022 and is estimated to continue its dominance during the forecast period. Public cloud offers scalability and flexibility which makes it an attractive option for many organizations for their MLaaS needs.
PEST Analysis
Political: The governments across various countries are supporting the adoption of emerging technologies like AI and ML through initiatives and investments. For instance, the US government has launched National AI Initiative to drive research and development in the field.
Economic: The rising demand for advanced analytics capabilities to gain insights from data is driving organizations to adopt cloud-based ML solutions. This helps reduce upfront capital expenditure and provides access to powerful ML models.
Social: Increasing popularity of technologies like personalized recommendations and predictive analysis is fueling the adoption of ML solutions across industries. For example, ML is widely used in social media and e-commerce platforms.
Technological: Significant advancements in ML techniques like deep learning and natural language processing have made sophisticated AI more accessible. This is enabling the development of highly optimized ML models and algorithms as cloud services.
Key Takeaways
The Global Machine Learning As A Service (Mlaas) Market Size is expected to witness high growth over the forecast period, driven by the rising adoption of cloud-based AI and analytics solutions across industries. North America currently dominates the MLaaS market owing to strong technological adoption. However, Asia Pacific is expected to be the fastest growing regional market with countries like China and India emerging as lucrative markets.
Regional analysis:
North America holds the major share of the global MLaaS market currently due to the presence of prominent technology players and startups in countries like the US and Canada. However, the Asia Pacific region is expected to offer the highest growth opportunities during the forecast period. This can be attributed to the growing digitization initiatives by governments as well as companies across industries in countries such as China, India, Singapore, and Japan.
Key players:
Key players operating in the machine learning as a service (MLaaS) market are H2O.ai, Google Inc., Predictron Labs Ltd, IBM Corporation, Ersatz Labs Inc., Microsoft Corporation, Yottamine Analytics, Amazon Web Services Inc., FICO, and BigML Inc. Key players are focused on enhancing their ML capabilities and offering cloud-based powerful predictive models.
Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc.
