Product Code: 70705
The voice assistant application market is projected to grow at 17.3% CAGR during the forecast period of 2020-2025. A voice assistant is primarily a digital assistant built upon using AI, machine learning, and voice recognition technologies. Voice assistant applications are capable of following voice commands and assisting in doing routine works like placing an online order, scheduling an appointment, switching on connected lights, and acting as a hassle-free facilitator for texting or calling.
- According to the "Cisco Annual Internet Report," the number of devices connected to internet networks will be more than three times the worldwide population by 2023. As per the report, there will be approximately 3.6 networked devices per capita by 2023, up from 2.4 devices per capita in 2018. Also, it further projects that there will be 29.3 billion networked devices by 2023, up from 18.4 billion in 2018. Various new devices in different form factors with improved capabilities and intelligence are developed and adopted in the market every year. As the connected devices count is increasing, this will drive the adoption of voice assistant application solutions.
- Some voice assistant applications, which have gained recognition across all sectors are Apple's Siri, Microsoft's Cortana, and Google's Assistant. Moreover, small and medium enterprises are also involved in driving intelligent voice assistant technology, thereby emerging as crucial participants in the voice assistant application market.
- Voice-based systems, which allow users to speak a query, have become increasingly common among businesses. However, voice-based technologies are known as bandwidth hogs, and they can easily overburden network performance, specifically if they use a cloud-based infrastructure. This is expected to harm voice-based technologies adoption for businesses struggling with such issues. Edge computing is one of the promising technologies that can support voice-assisted devices. Edge computing technology places high-performance storage and network resources as close as possible to the end-users and devices.
- Players are continuously working on edge computing-enabled voice assistant application development. For instance, in December 2019, Sensory, a developer of AI for edge computing, announced the launch of a specialized version of the TrulyNatural speech recognition platform for home appliances. Electronic appliance manufacturers will use the newly developed technology to add voice control features to their devices.
- Similarly, other companies, such as Microsoft, in 2019, are expanding the role of Cortana to gain a competitive edge. The company wants Cortana to be an authentic voice assistant, a feature that is always working in the background to help the consumer to be productive. The company is planning to introduce Cortana to Outlook and gain new capabilities to help people stay in their flow while at work.
- At the time of the COVID-19 pandemic, popular voice assistant applications offered fairly straightforward insights on rising case trends, safety instructions of the World Health Organization (WHO), Centers for Disease Control and Prevention (CDC), and National Institutes of Health (NIH).
- In April 2020, the University of Paris, French railway company SNCF and French research institute INRIA launched a voice assistant, which can help callers suffering from potential COVID-19 symptoms. The solution also instructs them towards emergency services or their doctors using AI and other cutting-edge technologies.
Key Market Trends
Healthcare Vertical is Expected to Grow Significantly Over the Forecast Period
- Healthcare providers are analyzing the benefits of voice assistant applications for increasing efficiency and improving patient experience. For this reason, several healthcare brands are smartly utilizing voice-assisted technology, giving some concrete reasons to believe in its competency.
- Voice assistant applications in healthcare can help in chronic disease management of patients. For example, Sugarpod, a type 2 diabetes management solution that has custom tasks for diabetes patients, is based on their preferences. Sugarpod, when integrated with voice assistants, it allows patients to manage their treatment procedures and monitor progress effectively.
- Technology providers are also focusing on the development of voice assistant applications for the healthcare industry. For example, Nuance Communications, which is a software company, developed a voice assistant specifically for the healthcare space called the Dragon Medical Virtual Assistant. The solution delivers sophisticated conversational dialogues and healthcare skills that automate high-value clinical tasks from chart search to CPOE.
- In June 2019, Saykara announced the release of Kara 2.0, an artificial intelligence-powered healthcare assistant that simplifies the documentation process for physicians. Kara 2.0 is an innovative AI-powered voice application for healthcare, allowing patients and physicians to interact as they usually do. At the time of patient & physician's conversation, the voice assistant application listens, transcribes text, processes text into structured data, and completes each form in a patient's EHR. These emerging technology developments are driving the growth of this segment in the market.
North America is Expected to Hold Largest Share over the Forecast Period
- The significant presence of technology providers and increasing usage of voice assistant applications by end-use industries like healthcare and retail drive the growth of the North American geographic segment. The vendors in this region are focusing on entering into partnerships, merger-acquisitions, and providing innovative solutions to stay in the regional and globally competitive landscape.
- According to HP Development Company, one in three United States homes has a smart speaker, and 81% of them have voice assistants like the Google voice assistant in their smartphones. The rising adoption of connected devices in the United States further drives the growth of the North American region segment of the market.
- In September 2019, Oracle had announced the availability of its AI-trained voice with Oracle Digital Assistant. With this solution's help, business customers can use voice commands to communicate with their enterprise applications to have desired actions and outcomes.
- In March 2020, Apple Inc. updated its voice assistant application Siri to provide users with a step-by-step questionnaire on COVID-19. Voice assistant Siri will ask users if they're showing symptoms of the disease, like fever, dry cough, or shortness of breath.
The voice assistant application market is moderately competitive and comprises a significant number of global and regional players. These players account for a considerable share in the market and focusing on expanding their customer base across the globe. These players are also focusing on the research and development activities to introduce innovative solutions, strategic alliances, and other organic & inorganic growth strategies to earn a competitive edge throughout the forecast period.
- In May 2020, Cerence Inc. introduced "Cerence ARK Assistant," which is a new turnkey automotive voice assistant in U.S. English. This newly launched solution is built on Cerence voice and AI-based innovations and backed by the company's initial assistant for the Chinese market that launched last year.
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TABLE OF CONTENTS
- 1.1 Study Assumptions and Market Definition
- 1.2 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET INSIGHTS
- 4.1 Market Overview
- 4.2 Industry Attractiveness - Porter's Five Forces Analysis
- 4.2.1 Threat of New Entrants
- 4.2.2 Bargaining Power of Buyers/Consumers
- 4.2.3 Bargaining Power of Suppliers
- 4.2.4 Threat of Substitute Products
- 4.2.5 Intensity of Competitive Rivalry
5 MARKET DYNAMICS
- 5.1 Market Drivers
- 5.1.1 Rising Usage of Cutting-edge Technology-based Connected Devices
- 5.2 Market Challenges
- 5.2.1 Accuracy Problems Related to Voice Assistants
6 MARKET SEGMENTATION
- 6.1 Component Type
- 6.1.1 Solutions
- 6.1.2 Services
- 6.2 Type of Technology
- 6.2.1 Natural Language Processing
- 6.2.2 Speech Recognition
- 6.2.3 Other Technologies (Text to Speech Conversion, Edge Computing)
- 6.3 Deployment
- 6.3.1 On-Premise
- 6.3.2 Cloud
- 6.4 Enterprise Size
- 6.4.1 Small & Medium Enterprises
- 6.4.2 Large Enterprises
- 6.5 End-user Verticals
- 6.5.1 IT & Telecommunication
- 6.5.2 BFSI
- 6.5.3 Healthcare
- 6.5.4 Retail
- 6.5.5 Automotive
- 6.5.6 Other End-use Verticals (Media and Entertainment, Educational Institutions)
- 6.6 Geography
- 6.6.1 North America
- 6.6.2 Europe
- 6.6.3 Asia Pacific
- 6.6.4 Latin America
- 6.6.5 Middle East & Africa
7 COMPETITIVE LANDSCAPE
- 7.1 Key Vendor Profiles
- 7.1.1 Google LLC (Alphabet Inc.)
- 7.1.2 IBM Corporation
- 7.1.3 Nuance Communications Inc.
- 7.1.4 Microsoft Corporation
- 7.1.5 Amazon Web Services, Inc.
- 7.1.6 Apple Inc.
- 7.1.7 Salesforce.com, inc.
- 7.1.8 Samsung Group
- 7.1.9 Oracle Corporation
- 7.1.10 Let's Nurture Infotech Pvt Ltd.
8 INVESTMENT ANALYSIS
9 FUTURE OF THE MARKET