Latest News- AI In Cloud Computing Market: Solutions is expected to lead the Component segment during 2025-2029

The AI In Cloud Computing Market is being driven by Proliferation of generative AI and large language models

The AI In Cloud Computing Market is expected to grow at a CAGR of 36.3% during 2024 and 2029. During this period, the market is also expected to show a growth of USD 27429 million. The AI in cloud computing market is witnessing a significant trend with the emergence of sovereign AI clouds and national AI factories. This development is driven by a convergence of data privacy regulations, national security concerns, and the pursuit of digital and economic autonomy. Nations are recognizing artificial intelligence as a critical strategic asset and are taking proactive steps to establish domestic infrastructure, ensuring the secure processing of sensitive government, industry, and citizen data within their jurisdictions. This approach reduces reliance on foreign hyperscale cloud providers, mitigating potential geopolitical and data access risks associated with their home countries' laws. 

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Which Factors Are Causing a Surge in Market Growth?

The market is segmented based on

• Component
  • Solutions
  • Services
• Technology
  • Machine learning (ML)
  • Deep learning
  • Natural language processing (NLP)
  • Others
• End-user
  • BFSI
  • IT and telecommunications
  • Healthcare
  • Retail and consumer goods
  • Others
• Geography
  • North America
    • Canada
    • US
  • APAC
    • China
    • India
    • Japan
    • South Korea
  • Europe
    • Germany
    • UK
    • France
  • Middle East and Africa
  • South America

According to Technavio, There are several factors that are causing the market to flourish during the forecast period, which are as follows: 

• Proliferation of generative AI and large language models
• Democratization of AI technology
• Escalating enterprise demand for scalable data processing and advanced analytics

However, the market also witnesses some limitations, which are as follows:

• Data security, privacy, and governance complexities
• High operational costs and compute resource scarcity
• Talent shortage and skills gap in specialized AI and cloud roles

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Market Scope in AI In Cloud Computing Market Research Report

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Research Analysis Overview

In the rapidly expanding AI in Cloud Computing Market, key trends include TensorFlow and PyTorch deployment for machine learning models, Kubernetes clusters and Docker containers for containerization, serverless functions for scalable computing, and cloud-based databases such as NoSQL for data storage. Data analytics pipelines facilitate real-time data processing and streaming data analytics, while data visualization dashboards offer insights. Model versioning systems, MLOps principles, CI/CD integration, and automated testing ensure efficient development and deployment. Model training optimization, hyperparameter tuning, model explainability techniques, bias detection algorithms, data governance frameworks, compliance standards, security auditing, disaster recovery planning, and business continuity strategies ensure model reliability and security.

Market Research Overview

The AI in Cloud Computing market is a significant segment of the global Technology Hardware, Storage, and Peripherals market, encompassing cloud computing infrastructure, AI model deployment, and machine learning algorithms. According to Technavio, this market is driven by the increasing volume, velocity, veracity, and variety (4Vs) of data, which necessitates advanced data center optimization solutions. The global Technology Hardware, Storage, and Peripherals market, which includes manufacturers of cellular phones, personal computers, servers, and peripherals, is projected to grow due to the escalating demand for data storage solutions in response to the expanding number of data centers. This market's size is determined by the revenue generated from the sales of hardware devices, equipment, and components.. Industries are leveraging the products belonging to the market for customer engagement, transactional notifications, and promotional offers.

Technavio Research
Jesse Maida
Media & Marketing Executive
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UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/