Australia AI market Report and Forecast 2024-2032

Australia AI market Outlook

The Australia AI market size was valued at USD 5.36 million in 2023. The market is further projected to grow at a CAGR of 16.60% between 2024 and 2032, reaching a value of USD 21.11 million by 2032.

Key Takeaways

• By 2030, integrating automation technologies could contribute an additional USD 170 to USD 600 billion annually to Australia’s Gross Domestic Product, as estimated by management consultancy firm McKinsey.

• The number of businesses in the Australian AI market has been growing at an average rate of 9.4% annually between 2018 and 2023.

• Approximately 9.5% of large Australian enterprises (those with more than 200 staff members) officially use AI.

The rise of emerging technologies like AI provides operational benefits to businesses by boosting revenue, improving cyber safety and security, enhancing customer experiences through automation, and optimising supply chain management. Additionally, AI adoption can lead to increased productivity improved GDP, and Australia AI market growth.

Moreover, the integration of robotics and automation with AI technologies presents opportunities for streamlining processes, improving decision-making, and driving digital transformation across industries. For example, the integration of AI in the hiring process transforms how companies screen resumes, assess candidate fit, and conduct interviews, which enhances efficiency in candidate screening, reduces bias, and offers insights for better decision-making in recruitment.

The Australia AI market share is forecasted to grow significantly due to increasing adoption of AI solutions across various sector, which can drive economic growth, job creation, and innovation within the AI ecosystem. For example, the IT and telecommunication sector leverages AI technologies for data analysis, network optimisation, customer service automation, and cybersecurity applications. In BFSI, AI is utilised for fraud detection, risk assessment, banking services, algorithmic trading, and customer relationship management. The automotive industry integrates AI for autonomous driving systems, predictive maintenance, vehicle diagnostics, smart manufacturing processes, and enhanced driver assistance features.

In agriculture, AI applications include precision farming techniques like crop monitoring systems, yield prediction models, soil analysis tools, livestock monitoring solutions, and autonomous farming equipment. For example, Agbot II, a robot developed by the Queensland University of Technology, helps save the agricultural sector USD 1.3 billion annually by boosting agricultural productivity, including automating weed removal.

Additionally, in healthcare, AI is used for medical imaging analysis, patient diagnosis support systems, drug discovery research, treatment plans, and improving healthcare management. The education sector adopts AI for personalised learning experiences, student performance analytics, virtual tutoring systems, administrative tasks automation, and curriculum development.

Market Segmentation  

Australia AI Market Report and Forecast 2024-2032 offers a detailed analysis of the market based on the following segments:

Market Breakup by Type

• Customisable AI

• AI Marketplaces

• Pretrained Models

• Edge AI

Market Breakup by Component

• Software

• Service

• Hardware

Market Breakup by Deployment Mode

• Cloud

• On-premises

Market Breakup by Business Function

• Supply Chain Management

• Finance and Accounting

• Sales and Marketing

• Cybersecurity

• Operations

• Human Resource Management

• Legal and Compliance

Market Breakup by Technology

• Generative AI

• Natural Language Processing

• Deep Learning

• Machine Learning

• Computer Vision

• Others

Market Breakup by Enterprise Size

• Small and Medium-sized Enterprise

• Large Enterprise

Market Breakup by End Use

• Manufacturing

• IT and Telecommunication

• BFSI

• Automotive

• Healthcare

• Education

• Media and Entertainment

• Agriculture

• Retail and E-commerce

Market Breakup by Region

• South Wales

• Victoria

• Queensland

• Western Australia

• Australian Capital Territory

• Others

Competitive Landscape

Market players are focused on providing advanced AI solutions across industries to stay ahead in the competition.

• Accenture PLC

• Solentive Systems Pty Ltd.

• Telexar Technologies Pty Ltd.

• Atlasopen

• Daisee Pty Ltd.

• Remi Investing Pty Ltd

• LexX Technologies Pty Ltd.

• Red Marble AI Pty Ltd.

• CANOPY CREATIVE CORP PTY LTD

• Kyndryl Australia Pty Ltd.

• Others

Key Highlights of the Report