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IDC: China's conversational AI market expected to reach $1.86 billion by 2023

By Phate Zhang
Mar 17, 2020 at 6:36 AM UTC
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The conversational artificial intelligence market is one of the important segments of the Chinese artificial intelligence market. IDC has observed that as business needs are driven, more and more industry users are embedding conversational AI capabilities into business processes.

Vendors providing conversational artificial intelligence capabilities have also expanded to more Internet companies and AI startups, and the conversational artificial intelligence market will be reshuffled in 2020.

Multi-round dialogue, dialect and foreign language recognition, emotion recognition, knowledge base construction and other capabilities have become the focus of competition among technology vendors. In the future, dialogue artificial intelligence will gradually upgrade from a single point of application to a comprehensive intelligent dialogue system with multi-modal interaction.

Market drivers

Conversational artificial intelligence platforms use speech recognition, speech synthesis, and deep natural language processing and understanding technologies to communicate with humans.

Thanks to the large-scale landing of chatbots and intelligent dialog terminal applications, the dialog artificial intelligence market is driving the development of the entire artificial intelligence software market.

The semi-annual research report on China's artificial intelligence software and application market (2019H1) released by IDC (International Data Corporation) shows that by 2023, the size of China's dialog artificial intelligence market will reach 1.86 billion US dollars, compounding 2018-2023. The growth rate was 41.3%.

IDC: China's conversational AI market expected to reach $1.86 billion by 2023-CnTechPost

Against the background of increasing demand for enterprise service resources, enterprises are introducing a large number of conversational AI capabilities for multi-channel product service sales and customer management.

For example, intelligent customer service can automatically respond to simple and repeated information consultation, which improves the efficiency and customer experience of manual customer service, reduces the operating costs of merchants, and has been widely used in finance, government, telecommunications and traditional industries, which has promoted multiple channels. Automation and intelligence of enterprise customer service.

In addition, conversational AI capabilities have also been widely promoted in the consumer market represented by smart speakers, smart cars, smart homes, and smart wearable devices.

In this new epidemic of COVID-19, many technology vendors have also introduced conversational AI capabilities to communities and epidemic prevention and control institutions to support epidemic notifications, community resident information review visits, specific population notifications, epidemic knowledge quiz, experts A variety of scenarios such as consultations have helped communities and epidemic prevention and control agencies to quickly find the source of infection, improve investigation efficiency, and strengthen the popularization and promotion of epidemic prevention and control knowledge.

Market shuffle

The conversational artificial intelligence market has expanded rapidly in the past two years. Manufacturers providing conversational AI capabilities have expanded from the original Baidu, HKUST Xunfei, etc. to more Internet companies and emerging artificial intelligence companies.

In 2020, the conversational artificial intelligence market will be reshuffled and penetrated deeply in application fields and landing scenarios. Technology providers need to pinpoint breakthroughs in conversational artificial intelligence technology, explore new application models, and improve ecosystem construction.

IDC: China's conversational AI market expected to reach $1.86 billion by 2023-CnTechPost

Conversational AI vendor evaluation

Research Scope: Conversational artificial intelligence platform open to customers, including Internet companies and AI startups.

Evaluation method: From the two dimensions of existing capabilities and future strategies, analyze and analyze the capabilities and future development potential of the manufacturer's existing products.

Evaluation results: presented in the form of a report. The report includes a quadrant diagram of the final evaluation results (as shown in the figure below). The qualitative analysis of the report includes the evaluation criteria for this study, recommendations for technology users, and introductions of the evaluated vendors. The report will also explore how conversational artificial intelligence applications can reach the market and future opportunities.

IDC: China's conversational AI market expected to reach $1.86 billion by 2023-CnTechPost

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