The global Data Labeling Solution and Services market size was valued at USD 6.7 billion in 2021, and is predicted to be worth around USD 40.11 billion by 2030, registering a CAGR of 23.2% during the forecast period 2022 to 2030.
The rising popularity of data labeling solutions and services in the automotive industry, combined with autonomous vehicles that contain numerous sensors and networking systems that assist the computer driving the car, is propelling the growth of the market.
The market is driven by increased public awareness about digitalization, healthcare treatments, and technological advancements. The demand for data labeling is growing due to technology improvements in large enterprises from the industries such as automotive and healthcare. For example, Waymo LLC, Lyft, Inc., Zoox, and Toyota Research Institute have all used data labeling services provided by Scale AI, Inc., a digital start-up based in the United States.
|Largest Market||North America|
|Sourcing Type, Type, Annotation Type,Vertical|
|Alegion; Amazon Mechanical Turk, Inc.; Appen Limited; Clickworker GmbH; CloudApp; CloudFactory Limited; Cogito Tech LLC; Crowdworks, Inc.; Deep Systems, LLC; edgecase.ai; Explosion AI GmbH; Heex Technologies; Labelbox, Inc; Lotus Quality Assurance; Mighty AI, Inc.; Playment Inc.; Scale AI; Shaip; Steldia Services Ltd.; Tagtog Sp. z o.o.; Trilldata Technologies Pvt Ltd;Yandez LLC|
By Sourcing type Analysis
The outsourced segment led the sourcing type segment of the data labeling solution and services market. In 2020, the segment held the largest revenue share of 83.7%. The outsourced segment is expected to account for the largest revenue share and provide solid growth opportunities.
The in-house segment is estimated to witness moderate growth throughout the forecast period. Implementation of in-house data labeling solutions empowers businesses to develop reliable labeling processes and replicable systems for managing data. The companies can also set up custom practices according to the desires and requirements of the company.
By Type Analysis
The text segment led the market and accounted for the largest revenue share of over 37.0% in 2020. However, the image/ video segment will dominate the market over the forecast period. The high revenue share of the segment can be ascribed to the growing use of computer vision in various industries, including healthcare, automotive, media, and entertainment.
Increased use of advanced technology is anticipated to further fuel the growth of the image/video segment. The growing use of computer applications in the healthcare industry for x-ray, CT scans, MRI, and patient treatments will also propel the growth.
By Annotation Type Analysis
The manual segment dominated the market, with over 82.0% revenue share. The market is divided into manual, semi-supervised, and automatic annotation types. The process of humans categorizing or annotating any data is known as manual data annotation. Compared to automatic annotation, the method is appealing because of benefits such as consistency, high integrity, and low data annotation efforts.
Over the projected period, the automatic annotation segment is expected to expand at a favorable CAGR. AI is becoming increasingly important in the data labeling sector as it enables the extraction of high-level and sophisticated abstractions from datasets through a hierarchical learning process.
By Vertical Analysis
The IT segment dominated the market with a 33.7 % revenue share, due to the widespread use of AI applications in the sector. The healthcare business is expected to increase significantly during the projection period.
Artificial intelligence is widely employed in the healthcare industry for various applications, including diagnostic automation, gene sequencing, treatment prediction, medication discovery, deep learning, and machine learning methods to train datasets. Since highly accurate data labeling is required for efficient AI-based applications, it directly impacts its growth.
Over the projected period, the automotive segment is expected to register the fastest CAGR of 25.2%. Data labeling technology is increasingly being used in autonomous vehicles, which is expected to contribute to the substantial growth in the automotive segment.
By Regional Analysis
North America led the market with a revenue share of over 35.0%. Increasing investments in North American companies for AI solutions and services have spurred the demand. Early adopters in the markets, such as the U.S. and Canada, are the frontiers of data labeling solutions and services.
Asia Pacific is anticipated to expand at a CAGR of 25.2% over the forecast period, attributable to the rapidly increasing consumption of mobiles and tablets, swift technological advancements, and the increasing prominence of social networking in developing economies, such as India and China.
The Data Labeling Solution And Services market research report covers definition, classification, product classification, product application, development trend, product technology, competitive landscape, industrial chain structure, industry overview, national policy and planning analysis of the industry, the latest dynamic analysis, etc., and also includes major. The study includes drivers and restraints of the global market. It covers the impact of these drivers and restraints on the demand during the forecast period. The report also highlights opportunities in the market at the global level.
The report provides size (in terms of volume and value) of Data Labeling Solution And Services market for the base year 2022 and the forecast between 2022 and 2030. Market numbers have been estimated based on form and application. Market size and forecast for each application segment have been provided for the global and regional market.
This report focuses on the global Data Labeling Solution And Services market status, future forecast, growth opportunity, key market and key players. The study objectives are to present the Data Labeling Solution And Services market development in United States, Europe and China.
It is pertinent to consider that in a volatile global economy, we haven’t just conducted Data Labeling Solution And Services market forecasts in terms of CAGR, but also studied the market based on key parameters, including Year-on-Year (Y-o-Y) growth, to comprehend the certainty of the market and to find and present the lucrative opportunities in market.
In terms of production side, this report researches the Data Labeling Solution And Services capacity, production, value, ex-factory price, growth rate, market share for major manufacturers, regions (or countries) and type.
In terms of consumption side, this report focuses on the consumption of Data Labeling Solution And Services by regions (countries) and application.
Buyers of the report will have access to verified market figures, including global market size in terms of revenue and volume. As part of production analysis, the authors of the report have provided reliable estimations and calculations for global revenue and volume by Type segment of the global Data Labeling Solution And Services market. These figures have been provided in terms of both revenue and volume for the period 2019 to 2030. Additionally, the report provides accurate figures for production by region in terms of revenue as well as volume for the same period. The report also includes production capacity statistics for the same period.
With regard to production bases and technologies, the research in this report covers the production time, base distribution, technical parameters, research and development trends, technology sources, and sources of raw materials of major Data Labeling Solution And Services market companies.
Regarding the analysis of the industry chain, the research of this report covers the raw materials and equipment of Data Labeling Solution And Services market upstream, downstream customers, marketing channels, industry development trends and investment strategy recommendations. The more specific analysis also includes the main application areas of market and consumption, major regions and Consumption, major Chinese producers, distributors, raw material suppliers, equipment providers and their contact information, industry chain relationship analysis.
The research in this report also includes product parameters, production process, cost structure, and data information classified by region, technology and application. Finally, the paper model new project SWOT analysis and investment feasibility study of the case model.
Overall, this is an in-depth research report specifically for the Data Labeling Solution And Services industry. The research center uses an objective and fair way to conduct an in-depth analysis of the development trend of the industry, providing support and evidence for customer competition analysis, development planning, and investment decision-making. In the course of operation, the project has received support and assistance from technicians and marketing personnel in various links of the industry chain.
Data Labeling Solution And Services market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies’ focus related to Data Labeling Solution And Services market.
Prominent players in the market are predicted to face tough competition from the new entrants. However, some of the key players are targeting to acquire the startup companies in order to maintain their dominance in the global market. For a detailed analysis of key companies, their strengths, weaknesses, threats, and opportunities are measured in the report by using industry-standard tools such as the SWOT analysis. Regional coverage of key companies is covered in the report to measure their dominance. Key manufacturers of Data Labeling Solution And Services market are focusing on introducing new products to meet the needs of the patrons. The feasibility of new products is also measured by using industry-standard tools.
Key companies are increasing their investments in research and development activities for the discovery of new products. There has also been a rise in the government funding for the introduction of new Data Labeling Solution And Services market. These factors have benefited the growth of the global market for Data Labeling Solution And Services. Going forward, key companies are predicted to benefit from the new product launches and the adoption of technological advancements. Technical advancements have benefited many industries and the global industry is not an exception.
New product launches and the expansion of already existing business are predicted to benefit the key players in maintaining their dominance in the global market for Data Labeling Solution And Services. The global market is segmented on the basis of region, application, end-users and product type. Based on region, the market is divided into North America, Europe, Asia-Pacific, Latin America and Middle East and Africa (MEA).
In this study, the years considered to estimate the market size of Data Labeling Solution And Services are as follows:
Reasons to Purchase this Report:
- Market segmentation analysis including qualitative and quantitative research incorporating the impact of economic and policy aspects
- Regional and country level analysis integrating the demand and supply forces that are influencing the growth of the market.
- Market value USD Million and volume Units Million data for each segment and sub-segment
- Competitive landscape involving the market share of major players, along with the new projects and strategies adopted by players in the past five years
- Comprehensive company profiles covering the product offerings, key financial information, recent developments, SWOT analysis, and strategies employed by the major market players
In-depth interviews and discussions were conducted with several key market participants and opinion leaders to compile the research report.
This research study involved the extensive usage of both primary and secondary data sources. The research process involved the study of various factors affecting the industry, including the government policy, market environment, competitive landscape, historical data, present trends in the market, technological innovation, upcoming technologies and the technical progress in related industry, and market risks, opportunities, market barriers and challenges. The following illustrative figure shows the market research methodology applied in this report.
The study objectives of this report are: