Sopra Steria Next predicts AI market will double to $1,270 billion by 2028

The study reveals that the global AI market, estimated at $540 billion in 2023 (or 6% of the global IT market), may reach $1,270 billion by 2028, representing 10% of the global IT market. This spectacular growth of 19% year-on-year over the next five years, three times that of the IT market as a whole. Today’s study has identified that this growth will be driven by major technological advances in four Artificial Intelligence (AI) archetypes; AI for machines, AI for processes, AI for humans and AI for softwares. These archetypes will provide a new approach for the development of AI in business, providing decision-makers with a clear strategic reading of this fast growing sector.

The report found that industrial AI is expected to grow by 13% a year to reach $330 billion in 2028, or 26% of the global AI market. With the flagship industrial AI technology set to be found in digital twins, entire factories and supply chains to enable more intelligent operations.

Boosted by the growing maturity of generative AI and the complementary nature of predictive and generative AI, the AI for humans archetype – boasting support tools and virtual assistants – should see the biggest growth in terms of volume, rising from $130 billion to $380 billion over five years and representing 30% of the total AI market.

When it comes to AI for processes, this archetype could peak at $390 billion in 2028, or 31% of the AI market, thanks to growth of 18% per year over the period. This AI archetype applied to IT development is expected to more than triple in size to reach $170 billion by 2028, representing 25% annual growth.

Becky Davis, AI Director at Sopra Steria Next UK, comments: "As AI continues to revolutionise industries worldwide, the UK stands at the forefront of harnessing its transformative power. Over the next five years, AI will drive unprecedented innovation and growth across sectors such as healthcare, manufacturing, and financial services, boosting productivity and creating high-quality jobs.

“Our in-depth AI market study is equipping UK business leaders to confidently navigate the continually evolving IT landscape and provides them with a strategic framework for leveraging AI to unlock new business value, drive innovation, enhance productivity, and foster sustainable growth.

"By adopting a robust ecosystem for AI development and adoption, we are ensuring the UK remains a global leader in the digital economy, giving UK-based businesses a competitive edge while still delivering benefits for employees and communities alike."

Fabrice Asvazadourian, CEO of Sopra Steria Next, emphasises the importance of this approach: "Our four categories provide managers with a strategic compass in the complex and multifaceted world of AI. This structuring of the market enables our customers to optimise their investments and ensures they fully explore AI’s potential without overlooking any areas. In this way, we are transforming AI from a technological concern into a genuine lever of business performance.”