February 21, 2024
AI Governance Market
Ict

Artificial Intelligence Governance is fastest growing segment fueling growth of AI Governance market

The global AI Governance Market is estimated to be valued at US$ 131.9 million in 2023 and is expected to exhibit a CAGR of 46.60% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:
AI governance refers to implementing management and oversight structures for developing and using artificial intelligence technologies. It helps ensure safe, fair and accountable AI systems through mechanisms like model risk management, technical audits and oversight boards.

Market key trends:
One of the key trends in the AI governance market is the rising focus on responsible AI. With increased reliance on AI across industries, companies and governments want to ensure AI systems are developed and used responsibly and avoid potential harms. For this, they are emphasizing transparency around model decisions, addressing unfair biases and enhancing oversight of high-risk applications. Another major trend is the growing need to manage model risks. As machine learning models get more complex, there is a need to systematically assess and mitigate potential risks from models post-development and during operation. This is driving demand for tools to monitor models, detect data or concept drifts and facilitate responsible evolution of AI systems.
Segment Analysis
The global AI Governance Market Size is segmented by component, deployment mode, organization size, technology, and vertical. Based on component, the solutions segment is expected to dominate the market owing to the increasing demand for AI governance tools and software to monitor AI systems and ensure accountability. Based on deployment mode, the cloud segment is expected to be the largest shareholder as cloud-based platforms offer scalability, flexibility and reduced costs of ownership.

Key Takeaways
The global AI Governance market is expected to witness high growth, exhibiting CAGR of 46.60% over the forecast period, due to increasing concerns around the responsible development and use of AI technologies.

Regional analysis:
North America is expected to dominate the AI governance market during the forecast period. This is due to stringent regulations for ethical and responsible use of AI and the presence of major players operating in the region. The market in Asia Pacific is expected to grow at the highest CAGR owing to increasing adoption of AI Governance solutions driven by growing AI startups in countries like China and India.

Key players:
Key players operating in the AI Governance market include Facebook, Inc. (Meta Platforms Inc), IBM Corporation, Integrate.ai Inc., Google LLC (Alphabet Inc.), H2O.ai, Inc., SAP SE, SAS Institute Inc., Microsoft Corporation, Pymetrics Inc., FICO Inc., and Salesforce.com, Inc. The development of human-centered, transparent and fair AI technologies are the focus areas of major AI players to gain customer trust and address regulatory challenges.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it