Spending on AI systems – including hardware, software, and services – in Asia Pacific will rise from $20.6 billion in 2022 to around $46.6 billion in 2026, according to IDC.
IDC forecasts a compound annual growth rate (CAGR) of 23.7 percent for 2021-2026 in AI spending in Asia Pacific.
“Pre-trained natural language and computer vision models have contributed largely to the first wave of adoptions. It’s time for more organizations to tap into their own data asset and start managing the data to intelligence lifecycle,” says Jessie Danqing Cai, Associate Research Director, Artificial Intelligence, IDC Asia Pacific.
China is the leading country in AI spending in Asia Pacific, expected to reach nearly $26.6 billion by 2026. Enterprises’ demand for AI solutions has increased drastically. Digital transformation and Policies is one of the factors for the rise in the AI-enabled industries.
Australia is the second leading country in AI spending, with $5.7 billion expected by 2026. The use of AI solutions in enterprises is increasing as it is critical in business decision-making and data process improvement.
India is the next leading country, with an expected CAGR of 33.5 percent in AI spending of $3.4 billion. Digital transformation, government initiatives, customer experience, and cloud adoption are some of the factors that influence enterprise adoption of AI solutions.
South Korea will be the next spender on AI solutions, which is expected to reach $2.9 billion by 2026. The South Korean government is assisting businesses in adopting AI technologies by establishing AI Hubs and education and training programs for developing AI skills.