Neural Network Software Market Size - By Type (Data Mining and Archiving, Analytical Software, Optimization Software, Visualization Software), By Component (Artificial Neural Network, Deep Neural Network, Services, Platforms), By Industry & Forecast, 2024 – 2032

Neural Network Software Market Size

Neural Network Software Market was valued at USD 37.5 billion in 2023 and is anticipated to grow at a CAGR of over 32% between 2024 and 2032, due to the growing development of autonomous vehicles and Advanced Driver Assistance Systems (ADAS). With new technological advancements, the demand for neural network software solutions is continuously increasing, addressing the need for enhanced safety, efficiency, and user experience in modern vehicles. Neural network software is crucial in the development of perception systems for autonomous vehicles and ADAS. These systems rely on deep learning algorithms to process data from cameras, LiDAR, radars, and other sensors, enabling vehicles to detect and recognize objects, pedestrians, and road signs with high accuracy.
 

The preference for neural network software solutions is rapidly increasing among consumers, driven by the transformative potential of Artificial Intelligence (AI) and Machine Learning (ML) in enhancing various aspects of daily life and business operations. The ability of neural networks to process data in real-time is particularly valuable in dynamic environments. Real-time analytics and decision-making capabilities are essential in areas such as autonomous driving, financial trading, and smart home systems.
 

Modern neural networks have millions of parameters and complex architectures, making it difficult to trace how specific inputs influence the outputs. Understanding which features or patterns the model is relying on for its predictions can be challenging, especially in deep convolutional networks or recurrent neural networks. Lack of interpretability can exacerbate issues related to bias and fairness in AI systems. Biases learned from training data may not be readily apparent without interpretability tools, leading to discriminatory outcomes in sensitive applications.
 

Neural Network Software Market Trends

The neural network software industry is witnessing unprecedented growth, driven by the rapid adoption of AI and ML technologies. Organizations are setting up dedicated AI research labs and collaborating with academic institutions to develop cutting-edge neural network algorithms and applications. Companies across various industries are recognizing the transformative potential of neural network software and are actively expanding their portfolios to stay competitive and meet the growing demand for AI-driven solutions.
 

There is a growing interest in and research in graph neural networks, which are specialized for processing data represented as graphs. Applications range from social networks & recommendation systems to drug discovery & physical simulations. Systems that can learn continually from new data without forgetting previously learned information are gaining traction.
 

Neural Network Software Market Analysis

Based on type, the data mining & archiving segment is estimated to grow at a CAGR of over 30% between 2024 and 2032.
 

• With the rising growth in data generation across various sectors including BFSI, healthcare, and retail, there is a heightened need for advanced data mining and archiving capabilities. Neural network software enables organizations to configure vast amounts of structured and unstructured data efficiently. This trend is driven by the demand to extract actionable insights, improve decision-making processes, and enhance operational efficiencies through predictive analytics and pattern recognition.
   
• Organizations are leveraging these advancements to streamline data management, ensure regulatory compliance, and drive innovations in product development and customer service strategies. As AI continues to evolve, neural network software will play a pivotal role in empowering businesses to derive valuable insights from its data archives while maintaining scalability and reliability.
   

Based on industry, the BFSI segment dominated the market in 2023 and is expected to reach over USD 150 billion by 2032.
 

• Neural network software is increasingly being tailored for specific applications within BFSI such as fraud detection, risk assessment, customer sentiment analysis, and algorithmic trading. These applications benefit from the ability of neural networks to handle complex data patterns and make real-time decisions.
   
• BFSI firms benefit from neuromorphic computing ability to significantly reduce power consumption as compared to traditional deep learning models. This efficiency is crucial for applications such as real-time fraud detection, where continuous monitoring and quick decision-making are essential. By leveraging Spiking Neural Networks (SNNs), banks enhance operational efficiency and reduce infrastructure costs associated with AI and ML deployments.
   

Asia Pacific neural network software market is estimated to reach USD 95 billion by 2032. Countries such as China, Japan, South Korea, and India are significantly investing in AI infrastructure including neural network software development. Governments and private sectors are allocating resources to research institutions, startups, and established tech companies to foster innovations in AI technologies. This investment aims to leverage AI's potential across various sectors including healthcare, finance, manufacturing, and agriculture.
 

There is a growing trend toward the development of AI-powered services in South Korea, spanning sectors such as healthcare, finance, retail, and entertainment. Companies are leveraging neural network software to offer personalized recommendations, virtual assistants, healthcare diagnostics, and financial advisory services.
 

North America remains a hub for research and development in deep learning and Natural Language Processing (NLP). Neural network software is increasingly incorporating these advancements to enable more sophisticated applications such as voice recognition, sentiment analysis, language translation, and chatbots. Companies are also leveraging AI-powered tools for data analytics, customer relationship management, supply chain optimization, and cybersecurity. This integration is driven by the desire to improve operational efficiency, reduce costs, and enhance decision-making processes through advanced predictive and prescriptive analytics.
 

Neural Network Software Market Share

Google LLC & Microsoft together held over 15% share of the neural network software industry in 2023. Google LLC, a prominent player in the market, is renowned for its advancements in AI and ML technologies. Google LLC, often simply referred to as Google, is a multinational technology company specializing in internet-related services and products.
 

Microsoft is a prominent player in the neural network software market, leveraging its expertise in AI and ML to develop and deploy advanced solutions across various domains. Microsoft's AI initiatives are primarily driven by Azure AI, which offers a comprehensive suite of AI services and tools. These include Azure Machine Learning, a cloud-based platform for building, training, and deploying ML models using neural networks and other AI techniques.
 

Neural Network Software Market Companies

Major players operating in the neural network software industry are:

• Google LLC
• Microsoft
• IBM Corporation
• Intel Corporation
• NVIDIA Corporation
• Oracle
• Qualcomm Technologies, Inc.
   

Neural Network Software Industry News

• In April 2024, Intel unveiled the world's largest neuromorphic system, codenamed Hala Point. This expansive neuromorphic system, first deployed at Sandia National Laboratories, harnesses Intel’s Loihi 2 processor. It is designed to advance research into brain-inspired AI and address current AI challenges related to efficiency and sustainability.
   
• In January 2024, Tesla launched the Full Self-Driving (FSD) Beta v12 update. Autonomous driving technology aims to enable vehicles to operate and navigate without human intervention using advanced sensors, cameras, and artificial intelligence algorithms.
   

This neural network software market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD million) from 2024 to 2032, for the following segments:

Click here to Buy Section of this Report

Market, By Type

• Data mining and archiving
• Analytical software
• Optimization software
• Visualization software

Market, By Component

• Artificial neural network
• Deep neural network
• Services
• Platforms

Market, By Industry

• BFSI
• IT & telecom
• Healthcare
• Industrial manufacturing
• Media
• Others

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

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