The global voice recognition market was valued at USD 62.2 billion in 2017 and is anticipated to grow at a CAGR of 10.7% during the forecast period.
Voice recognition is the ability of a program to receive, interpret, and perform spoken commands. Voice recognition solutions provide interaction between consumers and technology through voice commands for reminders and simple tasks. Voice recognition is used for operation of devices, performance of commands, and writing without keyboard among others. A few applications of voice recognition include automobiles, smart phones, and intelligent virtual assistants such as Amazon's Alexa, Apple's Siri and Microsoft's Cortana. The different types of voice recognition solutions include speaker dependent solution, speaker independent solution, discrete speech recognition, continuous speech recognition, and natural language recognition.
The increasing demand for voice recognition solutions from automobiles, and increasing modernization of vehicles drive the voice recognition market growth during the forecast period. The use of voice recognition solutions decreases human errors while improving production efficiency is supplementing the growth of the market. Voice recognition solutions are increasingly being used in biometric systems for user authentication, thereby boosting the market growth. There has also been a rising demand for voice recognition solutions in mobile banking applications, and electronic health record applications, which support the growth of the voice recognition market.
The increasing adoption of voice assistive systems at homes and commercial enterprises has further influenced the demand for voice recognition solutions. Additionally, factors such as greater accuracy and precision, time efficiency, and reduced human errors would boost the voice recognition market growth during the forecast period. Growing demand from emerging economies, application of voice recognition in service robots, and technological advancements are factors expected to provide numerous growth opportunities in the coming years.
The global voice recognition market is segmented on the basis of component, interface, end-user, and region. Based on component, the market is segmented into hardware, software, and services. The hardware segment accounted for the highest share in the global market.
The interface segment is divided into AI-Based, and Non-AI Based voice recognition systems. Non-AI based segment is expected to dominate the global market throughout the forecast period. The AI-based segment is expected to grow at the fastest rate owing to technological advancements, and use in wider applications.
On the of basis of end-user segment, the voice recognition market is categorized into automotive, healthcare, BFSI, consumer, retail, commercial, and others. The healthcare segment dominated the global voice recognition market in 2017 owing to greater need to enhance productivity, and offer improved services to patients.
Geographically the voice recognition market is segmented across North America, Europe, APAC and South America, and MEA. North America is further segmented into U.S., Canada, and Mexico. Europe is divided into Germany, UK, Italy, France, and Rest of Europe. Asia-Pacific is bifurcated into China, India, Japan, and Rest of Asia-Pacific. North America accounted for the largest share in the global market in 2017. The growing need for automation in customer service, and integration of virtual assistants with smart home appliances drive the growth of the voice recognition market in North America.
Additionally, the increasing need to streamline enterprise communication to improve productivity further supports market growth. The growing high penetration of mobile devices, and growing demand for voice recognition from BFSI, and healthcare sectors is expected to support market growth during the forecast period. Other factors driving the market include technological advancements, increasing need for effective customer management, growing demand for mobility, adoption of smart homes, and increasing requirement to improve workforce productivity.
The leading players in the voice recognition market include Google, Inc., Baidu, Inc., Facebook, Inc., Amazon.com, Inc., Advanced Voice Recognition Systems, Inc., Apple, Inc., CastleOS Software, LLC, International Business Machines Corporation, Microsoft Corporation, and Nuance Communications, Inc among others. The leading players in the market are introducing new innovative products in the market to cater to the growing consumer demands. Global players are entering new markets in developing regions to expand their customer base and strengthen market presence.