Voice and Speech Recognition Market Size, Share & Trends Analysis Report, By Function, By Technology (AI, Non-AI), By Vertical (Healthcare, BFSI, Automotive), And Segment Forecasts, 2018 - 2025

Industry Insights

The global voice and speech recognition market size was valued at USD 9.12 billion in 2017. It is poised to expand at a CAGR of 17.2% during the forecast period. Technological advancements along with rising adoption of advanced electronic devices are projected to stimulate the growth of the market during the forecast period. Voice-activated biometrics used for security purposes help in providing access to authenticated users for performing a transaction. Surging use of voice biometrics is of the key factors driving the market.

Increasing demand for voice-driven navigation systems and workstations is promoting growth in the hardware and software segments. Integration of voice-enabled in-car infotainment systems is gaining popularity across the globe as several countries initiate “hands-free” regulations that govern the use of mobile phones while driving.

Developers of speech and voice recognition market are focusing on innovations, which are estimated to accelerate market growth over the forecast period. Use of voice recognition technology in smartphones enable doctors and clinicians to translate their voice into rich, detailed clinical description, which is recorded in electronic health record (EHR) system.

Proliferation of voice-enabled IoT devices in smart home automation is expected to work in favor of the market in the near future. IoT-enabled devices would benefit a number of traditionally offline devices with innovative means of user interactions in addition to traditional means such as touch screens and buttons.

Functions Insights

On the basis of functions, the market has been bifurcated into voice recognition and speech recognition. The voice recognition segment has further been divided into speaker identification and speaker verification. Meanwhile, the speech recognition segment has been sub-segmented into automatic speech recognition and text to speech. Further this technology has been assisting doctors and radiologists in maintaining records of patients.

Integration of speech recognition with Virtual Reality (VR) is anticipated to trigger the growth of the overall market. In February 2017, Facebook enhanced its VR platform, Oculus rift, by adding speech recognition to the VR gear of the oculus rift.

Technology Insights

The AI-based technology segment is likely to register a higher CAGR during the forecast period, owing to their ability to recognize patterns of speech accurately. Artificial intelligence exceptionally converts speech into well-structured algorithms by undergoing certain stages, including representation of speech units, formulation, and development of recognition algorithms along with demonstration of correct inputs.

Rising development in machine learning and natural language processing is poised to supplement the growth of the AI-based technology segment. Rising number of AI-based digital assistants such as Alexa and Cortana are projected to stoke the growth of the voice and speech recognition market during the forecast period.

Vertical Insights

The automotive vertical commanded a sizeable share in the market in 2017 owing to increasing incorporation of voice-enabled technologies in car infotainment systems. Advanced automotive technologies such as connected devices update drivers about traffic conditions on the route and suggest alternative routes.

In 2017, the healthcare sector was at the forefront of the market in terms of revenue. Voice and speech recognition market offers benefits such as reduced report turnaround time and assist doctors in record keeping. As a result, its demand in the sector is anticipated to remain high throughout the forecast horizon.

The software is estimated to find increased application in the consumer and retail verticals over the same period owing to spiraling adoption of connected devices and growing penetration of personal assistants such as Google Home and Amazon Alexa in Europe and Asia Pacific.

Regional Insights

The market in North America is expected to be the leading revenue contributor in the global arena throughout the forecast horizon. Growing adoption of voice-enabled application in smartphones and increasing use of speech and voice recognition in mobile banking, consumer electronics, and IoT devices are likely to stimulate the growth of the regional market.

In Europe, voice and speech recognition technologies are poised to witness increased applications in the consumer electronics and retail sectors owing to rising trends of connected devices in automotive and home automation. Demand for speech and voice recognition market is growing in China, Japan, and Singapore, which is projected to spur the growth of the Asia Pacific market. Surging penetration of voice-enabled devices in the automobile and healthcare industries is also anticipated to boost market growth.

Voice and Speech Recognition Market Share

Some of the prominent companies operating in the market are Advanced Voice Recognition Systems, Inc.; Agnitio S.L.; Amazon, Inc.; Api.ai; Apple, Inc.; Anhui USTC iFlytek Co., Ltd.; Baidu, Inc.; BioTrust ID B.V.; CastleOS Software, LLC; Facebook, Inc.; Google, Inc.; International Business Machines Corporation; JStar; LumenVox LLC; M2SYSLLC; Microsoft Corporation; MModal, Inc.; Nortek Holdings, Inc.; Nuance Communications, Inc.; Raytheon Company; SemVox GmbH; Sensory, Inc.; ValidSoft U.K. Limited; VoiceBox Technologies Corporation; and VoiceVault, Inc.

Major industry participants are focusing on increasing recognition accuracy to gain a competitive edge in the market. Several companies are entering into strategic partnerships and mergers & acquisition to strengthen their geographic presence and product portfolio. For instance, in July 2017, Baidu Inc. collaborated with Conexant Systems, Inc. to launch voice recognition kits for consumers. The collaboration aims at assisting device makers and developers in integrating DeurOS into their products.

Report Scope

Segments Covered in the Report

This report provides forecasts of revenue growth at global, regional, and country levels and analysis of the latest trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the global voice and speech recognition software market report based on function, technology, vertical, and region:

• Function Outlook (Revenue, USD Million, 2014 - 2025)

  • Voice recognition

    • Speaker identification

    • Speaker verification

  • Speech recognition

    • Automatic speech recognition

    • Text to speech

• Technology Outlook (Revenue, USD Million, 2014 - 2025)

  • AI-based

  • Non-AI based

• Vertical Outlook (Revenue, USD Million, 2014 - 2025)

  • Automotive

  • BFSI

  • Consumer

  • Education

  • Enterprise

  • Government

  • Healthcare

  • Legal

  • Military

  • Retail

  • Others

• Regional Outlook (Revenue, USD Million, 2014 - 2025)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • U.K.

    • France

    • Italy

    • Spain

    • Netherlands

    • Switzerland

    • Poland

  • Asia Pacific

    • China

    • Japan

    • India

    • South Korea

    • Singapore

    • Pakistan

    • Malaysia

    • Australia

    • Hong Kong

    • Vietnam

  • South America

    • Brazil

    • Argentina

    • Chile

  • Middle East and Africa

    • U.A.E.

    • Saudi Arabia

    • Israel

    • South Africa

    • Nigeria