Computer Vision Market

Market Overview

The global computer vision market size was valued at USD 14.10 billion in 2022. It is estimated to reach USD 70.59 billion by 2031, growing at a CAGR of 19.6% during the forecast period (2023–2031). The rapid adoption of process automation in the manufacturing industry and increasing favorable government initiatives stimulate computer vision market growth.

Computer Vision is a subfield of artificial intelligence (AI) that enables computers to interpret and comprehend visual information from digital images and videos. It seeks to imitate the human visual system by deriving meaningful insights and knowledge from visual data. Algorithms and techniques for computer vision enable computers to perceive, analyze, and interpret visual content, allowing them to recognize objects, comprehend scenes, and make decisions based on visual input. At its core, computer Vision entails multiple duties, including image recognition, object detection, image segmentation, and image classification. These tasks use convolutional neural networks (CNNs) and other advanced machine learning and deep learning algorithms to extract features and patterns from visual data. By training models on large datasets, computers can learn to identify objects, recognize features, comprehend gestures, and even estimate depth and motion.

Computer Vision has numerous applications, including healthcare, autonomous vehicles, robotics, surveillance, augmented reality, and image retrieval. It assists with medical image analysis, disease diagnosis, and surgery assistance in the healthcare industry. Computer Vision aids autonomous vehicles to detect pedestrians, traffic signs, and obstacles. It enables robots to perceive and interact with their surroundings in robotics. Computer Vision has also revolutionized how we browse the internet for images and videos.

Market Dynamics

Global Computer Vision Market Drivers:

Rapid Adoption of Process Automation in the Manufacturing Industry

The manufacturing industry utilizes automation and robotics to the greatest extent. As manufacturing facilities transition to fully automated production, more intelligent systems are needed to monitor industrial processes and outcomes. While the Internet of Things (IoT) is transforming the manufacturing industry and making industrial operations more autonomous, computer vision is assisting in improving these operations through machine vision. For example, machine vision is used to inspect the quality of manufactured goods to detect nonconformities and defects. Computer vision software handles image classification, object detection, object monitoring, and content-based image retrieval.

However, many organizations lack the resources and computing capacity to process vast quantities of visual data, which could hinder the market for computer vision software applications. Several tech behemoths are striving to eliminate obstacles to developing computer vision software. IBM Corporation, for instance, assists businesses in developing computer vision applications by providing services for computer vision software development. These cloud-based services provide pre-built deep learning models for computing resource and development concerns.

Increasing Favourable Government Initiatives

Several market leaders have developed a variety of platforms that can be used for data storage and analysis by employing application software. For example, businesses like OMRON Corporation have developed software for various applications, including automation, integration, communication, and control. Over the forecast period, the demand for vision systems is anticipated to be driven by the rising adoption of diverse digital healthcare solutions to meet stringent regulatory requirements for patient safety.

In the Asia-Pacific region, less stringent government regulations and reduced manufacturing costs have prompted major technology companies to establish manufacturing bases, thereby driving the regional economy. Principal implementations of computer vision are quality control and inspection in the manufacturing sector. The expansion of the manufacturing sector is anticipated to increase the demand for computer vision in the Asia-Pacific market.

Global Computer Vision Market Restraint:

Variation in Application-Specific Requirements

Various applications now require task-specific adaptations due to technological developments. The vision systems are designed to be effective and trustworthy when handling repetitive activities. For instance, disputes between small and medium-sized businesses in the food and beverage sector may arise frequently due to poor profit margin operations and the rising need for quality and safety.

In addition, a technologically advanced system is expected to be accessible and deliver solutions of the highest caliber. These systems must be programmed and straightforward yet adaptable to allow for system control. Extremely hot and humid weather is typical in an industrial facility. The vision system must be highly robust to such situations if it is to be put next to production machinery.

Global Computer Vision Market Opportunities:

Government Programs That Increase Industrial Automation

The use of a variety of automation technologies is being actively promoted by governments worldwide to support the structural growth of the manufacturing sector. The manufacturing sectors are essential to this growth, so governments in every region focus on this sector. This is expected to increase the utilization of industrial robots and, consequently, robotic vision. Using robotic vision systems in industrial automation enables higher-quality mass production manufacturing with fewer errors, increasing output and productivity. Robotic vision is one of the essential components that must be present for industrial automation to be successful.

Regional Analysis

Based on region, the global computer vision market share is bifurcated into North America, Europe, Asia-Pacific, South America, and the Middle East and Africa.

Asia-Pacific is the most significant global computer vision market shareholder and is estimated to exhibit a CAGR of 8.3% over the forecast period. The market for computer vision is expanding at a staggeringly rapid rate across the entirety of Asia and the Pacific area. Countries such as China, Japan, and India are among those that are making significant financial investments in artificial intelligence (AI) and computer vision technology. The expansion of the market can be attributed to several different sources, some of which include the developing manufacturing sector in the region, the existence of significant technical businesses, and the growing number of applications in the healthcare industry, retail industry, and automotive industry, among other industries.

North America is anticipated to exhibit a CAGR of 8.0% over the forecast period. North America has cemented itself as the dominant driving force in the international market for computer vision throughout the past few years. Asia formerly held this position. The presence of key market participants, rapid advancements in technology, and extensive deployment of artificial intelligence (AI) and computer vision solutions across many industries, including healthcare, automotive, and retail, are all factors fueling the expansion of the market. In addition, the presence of these key market participants is fueling the expansion of the market. In particular, the United States of America contributes significantly to developing the sector in this part of the world.

Europe is also another important region in the computer vision market found all over the world. Countries such as Germany, the United Kingdom, and France are among the ones that have experienced a significant increase in the adoption of computer vision technology across a wide variety of industry sectors in recent years. The strong industrial foundation of the region, the many other research and development activities, and a growing emphasis on mechanization are the key forces behind the expansion of the market.

In South America, Countries such as Brazil and Argentina are currently at the forefront of the trend toward widespread usage of computer vision technologies across the region. The region's growing emphasis on industrial automation, agricultural technology, and surveillance systems drives demand for computer vision solutions. This demand is being driven by the region's rising emphasis on agricultural technology.

In the Middle East and Africa, the market for computer vision is displaying consistent signs of increase. The United Arab Emirates, Saudi Arabia, and South Africa are just some countries adopting computer vision technologies in various businesses, including the healthcare, transportation, and security industries. The region's financial commitment to developing "smart cities" and other digital transformation projects further expands the industry.

Segmental Analysis

The global computer vision market is bifurcated into components, products, applications, and verticals.

Based on components, the global computer vision market is segmented into hardware and software. 

The hardware segment dominates the global computer vision market and is predicted to exhibit a CAGR of 7.1% during the forecast period. The market for hardware components held the biggest share, which is anticipated to remain relatively stable during the projected period. Most of the expense of robotic vision systems is attributable to the hardware components, which play an essential part in the system. Most of these different hardware components are used for vision-guided robotics (VGR) in robotic vision systems.

Smart cameras are essential for robotic vision systems because they combine picture collection and image processing into a single system. These cameras are one of the system's hardware components. The camera is the piece of the vision system hardware that represents the greatest financial investment. Therefore, when the prices of all the hardware components are considered, this sector retains the largest market proportion.

Based on the product, the global computer vision market is bifurcated into smart camera-based and PC-based computer vision systems. 

The PC-based computer vision system segment dominates the global market and is projected to exhibit a CAGR of 2.1% over the forecast period. The personal computer (PC)-based computer vision systems segment was the leader in the market and accounted for more than 49% of the total revenue. Image processing is the primary function of a PC-based vision system, and this type of system requires several peripheral devices to perform various functions, including data transfer, frame grabbing, storage, and lighting, among others. The inexpensive cost of the product, the fact that it can be upgraded, and the fact that it can be swapped out to provide relative convenience are all to blame for its huge market share.

For instance, Omron Corporation, a developer of solutions for industrial automation, has introduced a new camera system based on a personal computer. The FJ2 PC-based camera system includes extensive features, including a resolution that ranges from 0.4 megapixels up to 5 megapixels, and it can capture images in color and black and white. The new FJ2 cameras make it simple for manufacturers to integrate computer vision into their already-established systems while maintaining their reliance on personal computers.

Based on application, the global computer vision market is bifurcated into quality assurance and inspection, positioning and guidance, measurement, identification, predictive maintenance, 3D visualization, and interactive and 3D modeling. 

The quality assurance and inspection segment owns the highest market share and is predicted to exhibit a CAGR of 5.2% over the forecast period. The fundamental objective of the quality assurance department, which is an integral aspect of the quality management division and whose role is to ensure that all quality criteria are satisfied, is to guarantee that all quality standards will be met. The assurance supplied by the quality management department comes in two forms: first, it is provided internally to management, and second, it is provided externally to consumers, regulators, government agencies, third parties, and certifiers. Both forms of assurance are equally important. The growing use of process automation in the manufacturing industry, which has helped to contribute to a rise in total productivity, can be attributed to this considerable part of the increase.

Based on vertical, the global computer vision market is divided into industrial and non-industrial. 

The industrial segment is the most significant contributor to the market and is estimated to exhibit a CAGR of 5.6% over the forecast period. The manufacturing industries of automobiles, pharmaceuticals, electronics and semiconductors, wood and paper, food and packaging, and equipment are all examples of vertical markets that use computer vision applications in their production processes. These markets make up the industrial category. This large percentage can be due to the rapidly increasing use of computer vision systems in the transportation and automotive industries.

Vision systems were among the first to be implemented in the automotive industry to automate car assembly. The introduction of automobile driver assistance systems and traffic management systems has, on the other hand, broadened the application of computer vision systems in this business sector.

Recent Developments

• October 2023- Amazon has been bolstering its digital capabilities for several years, tying its advancements into sustainability goals, supply chain optimization efforts, pharmacy growth, and more. The company uses computer vision for quality assurance to ensure the accuracy of pill packs and machine learning to estimate insurance copay prices before consumers place their orders on Amazon.com.
• August 2023- 7-Eleven Australia is deploying computer vision in some of its stores, removing the need for customers to scan purchases. The technology uses computer vision and machine learning similar to that of autonomous vehicles to track a product's location as it leaves the shelves, enters the basket, and leaves the store, and is tied to the customer app update called My 7-Eleven App Pay and Go 2.0 that will go live at the end of 2024.