The global embedded AI market size is anticipated to reach USD 21,930.4 million by 2030 and is expected to expand at a CAGR of 14.1% during the forecast period, according to a new report by Grand View Research, Inc. The acceleration of digital transformation, which continues to redefine business models, consumer engagement, and operational efficiency drives market growth.

Technologies such as artificial intelligence, cloud computing, and data analytics are enabling organizations to innovate rapidly, optimize resource allocation, and deliver personalized experiences at scale. This digital momentum is particularly strong in sectors like healthcare, finance, manufacturing, and retail, where automation and connectivity are driving measurable gains in productivity and customer satisfaction.

Globalization and the expansion of cross-border trade are also critical drivers of market growth. As supply chains become more integrated and distribution networks more sophisticated, companies are able to reach new consumer bases and diversify their revenue streams. The rise of e-commerce platforms and digital marketplaces has further democratized access to goods and services, allowing even small enterprises to compete on a global stage. This interconnectedness is fostering a more competitive and dynamic market environment, where innovation and agility are essential for sustained success.

Demographic shifts and evolving consumer behavior are shaping demand patterns across regions. A growing middle class in emerging economies, coupled with increased urbanization and rising disposable incomes, is fueling consumption and investment in a wide array of products and services. Consumers are also becoming more conscious of sustainability, quality, and ethical sourcing, prompting businesses to adapt their offerings and practices accordingly. These trends are encouraging the development of eco-friendly products, circular economy models, and transparent supply chains, all of which contribute to long-term market resilience.

The supportive government policies and strategic investments in infrastructure, education, and innovation are laying the groundwork for sustained economic expansion. Public-private partnerships, regulatory reforms, and targeted funding initiatives are helping to unlock new opportunities in sectors such as renewable energy, biotechnology, and advanced manufacturing. As nations prioritize digital inclusion and sustainable development, the global market is poised to benefit from a more inclusive and forward-looking growth trajectory.

Further key findings from the report suggest:

• By offerings, software segment led the market and held the largest revenue share of 41.9% in 2024.
• By vertical, the automotive segment held the dominant position in the market and accounted for the leading revenue share of 18.3% in 2024.
• By vertical, the healthcare segment is expected to grow at the fastest CAGR of 18.1% from 2025 to 2030.
• North America dominated the global embedded AI market with the largest revenue share of 32.0% in 2024.
• The embedded AI market in the U.S. led the North America market and held the largest revenue share in 2024.

List of Key Players in the Embedded AI Market:

• HPE
• Google (Alphabet Inc.)
• IBM
• Intel
• LUIS Technology
• Microsoft
• NVIDIA Corporation
• Oracle
• Qualcomm
• Salesforce
• Siemens

Order a free sample PDF of the Embedded AI Market Intelligence Study, published by Grand View Research.