Intelligent Document Processing Market Size - By Component (Solution, Services), Enterprise Size (SME, Large Enterprises), Technology (Machine Learning, Natural Language Processing (NLP), Computer Vision, Others), Deployment, End User & Forecast, 2023 - 2032

Intelligent Document Processing Market Size

The intelligent document processing market was valued at USD 1.4 billion in 2022 and is anticipated to register a CAGR of over 24.7% between 2023 and 2032. The digitalization of business operations and the exponential growth of data meant that organizations were dealing with vast amounts of unstructured data in various formats, such as invoices, contracts, emails, and forms. According to ITU's estimates for 2022, around 5.3 billion individuals, equivalent to 66 percent of the global populace, were utilizing the Internet. This marks a notable surge of 24 percent compared to 2019, signifying that approximately 1.1 billion individuals joined the online community during this three-year span. IDP technology helps organizations manage and extract valuable insights from this data, making it a crucial tool in handling information overload, thus contributing to market growth.
 

Implementing an IDP system can be a complex and resource-intensive process. Organizations often require integrating IDP solutions with their existing IT infrastructure and document management systems. This integration process can be challenging, time-consuming, and costly, which can act as a barrier for some organizations, especially smaller ones with limited IT resources, limiting the growth of the IDP industry.
 

Regulatory compliance requirements were becoming increasingly stringent, especially in industries like finance, healthcare, and legal. For instance, the HIPAA Privacy Rule, a federal regulation in the United States, is designed to safeguard the personal data of Americans, specifically focusing on medical records and personal health information. Its primary role is to define the obligations related to the protection of patient information, applicable to both healthcare providers and organizations responsible for managing health plans. IDP systems can help organizations ensure compliance by automating the extraction and management of sensitive data from documents while also improving data security and reducing the risk of human error, strengthening the IDP market outlook.
 

COVID-19 Impact

The COVID-19 pandemic significantly impacted the Intelligent Document Processing (IDP) industry. As remote work became the norm, organizations accelerated their digital transformation efforts, intensifying the demand for IDP solutions. Instances included a surge in remote document collaboration, necessitating robust IDP tools for efficient data extraction and document management. Additionally, industries like healthcare urgently adopted IDP to streamline patient records, while financial institutions relied on it for processing loan applications and relief fund distribution. COVID-19 underscored the importance of IDP in enabling businesses to maintain operations in challenging circumstances, fueling its growth.
 

Intelligent Document Processing Market Trends

As AI and machine learning technologies continue to advance, IDP solutions are expected to become more intelligent and capable. This includes improved natural language processing (NLP) capabilities for better understanding and processing of unstructured data, enhanced pattern recognition, and the ability to handle more complex document types. In May 2023, China's leading cognitive artificial intelligence (AI) firm, Xiao-I Corporation, unveiled its cutting-edge product in the realm of Intelligent Document Processing (IDP). This pioneering solution is presented through a highly intelligent and effective platform designed to simplify and automate document management processes, enabling businesses to transition into an era characterized by intelligent operations. These advancements would lead to higher accuracy rates and increased automation in document processing tasks, propelling the demand for IDP solutions and services.
 

Intelligent Document Processing Market Analysis

Based on component, the market is divided into solution and services. The solution segment held around USD 33.5 billion in market revenue in 2022. The IDP industry size from the solutions segment will expand at a decent growth rate from 2023 to 2032. The demand for Intelligent Document Processing (IDP) solutions is gaining momentum due to several factors. Businesses across industries are increasingly seeking ways to automate manual and document-intensive tasks, boosting efficiency, and reducing operational costs. For instance, financial institutions are using IDP to expedite loan processing, while healthcare organizations utilize it for handling patient records more efficiently. In addition, the growth in unstructured data and the need to extract valuable insights from documents are driving adoption. Furthermore, regulatory compliance requirements are pushing organizations to implement IDP to ensure accuracy and security in handling sensitive data, further fueling the demand for these solutions.
 

Based on end user, the market is categorized into BFSI, Government, IT & Telecom, Healthcare, Manufacturing, Transportation & Logistics, and others. The BFSI segment held a market share 25% in 2022 and is projected to grow by 2032. Intelligent Document Processing (IDP) solutions and services are experiencing high demand in the Banking, Financial Services, and Insurance (BFSI) sector due to their ability to streamline operations, enhance customer experiences, and improve compliance. For instance, in the banking sector, IDP is utilized to automate the processing of mortgage applications, reducing turnaround times and enhancing customer satisfaction. In insurance, IDP solutions assist in claims processing, accelerating payouts to policyholders. Moreover, stringent regulatory requirements in the BFSI sector, such as Know Your Customer (KYC) and Anti-Money Laundering (AML) regulations, drive the adoption of IDP for accurate and efficient document verification, ensuring compliance and mitigating risks. This growing demand underscores the industry's recognition of IDP's transformative potential.
 

North America dominated the global intelligent document processing market with a major share of over 33.5% in 2022. The US Intelligent Document Processing (IDP) industry is witnessing significant growth due to the ability of IDP solutions to boost efficiency and competitiveness across various sectors. For example, the healthcare industry in the US has embraced IDP to manage the vast volumes of patient records, billing documents, and insurance claims, streamlining processes and reducing administrative burdens. Additionally, the financial sector has adopted IDP to automate mortgage applications and streamline Know Your Customer (KYC) procedures, improving customer experiences and compliance. Furthermore, the pandemic accelerated the shift towards remote work, increasing the demand for IDP solutions to digitize and automate document-centric tasks, making the US a ripe market for IDP innovation and growth.
 

Intelligent Document Processing Market Share

Major companies operating in the intelligent document processing market are:

• Kofax
• Opentext
• Hyperscience
• ABBYY
• UiPath
• Infrrd
• AntWorks
• JUFFY.ai
• EdgeVerve Systems
• Ephosoft
• Parascript
• IBM
• Datamatics
• Automation Anywhere
• Workfusion.
   

Intelligent Document Processing Industry News

• In June 2023, Datamatics, a prominent global company specializing in Digital Technologies, Operations, and Experiences, has proudly disclosed the seamless fusion of Generative AI into Datamatics TruCap+. TruCap+ is an AI-driven Intelligent Document Processing (IDP) solution that operates without templates. This groundbreaking achievement represents a substantial advancement in the domain of document processing.
   

The intelligent document processing market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD Billion) from 2018 to 2032, for the following segments:

Click here to Buy Section of this Report

Intelligent Document Processing Market, By Component, 2018 – 2032

• Solution
• Services

Intelligent Document Processing Market, By Deployment, 2018 – 2032

• Cloud
• On-premises

Intelligent Document Processing Market, By Enterprise Size, 2018 – 2032

• SME
• Large Enterprises

Intelligent Document Processing Market, By Technology, 2018 – 2032

• Machine Learning
• Natural Language Processing (NLP)
• Computer Vision
• Others

Intelligent Document Processing Market, By End User, 2018 – 2032

• IT & telecom
• Media & Entrainment
• Retail & Consumer Goods
• Government & Public Sector
• Healthcare
• Others

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Russia
  • Nordics
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • ANZ
  • Southeast Asia 
• Latin America
  • Brazil
  • Mexico
  • Argentina
• MEA
  • UAE
  • Saudi Arabia
  • South Africa