AI within ________

Part
01
of two
Part
01

Market Size - AI in Healthcare

In 2017, the global AI in healthcare market size was approximately $1,009,367,480 and the U.S. market size was approximately $438,750,000, which represents about 43% of the global market. The global market is expected to increase at a CAGR of 52.68% to reach $7.99 billion in 2022, while the U.S. market is expected to grow at a slower 35% CAGR to reach $1,967,369,670 in 2022.

Global Market size

While there are several market reports available that analyze the market for AI in healthcare, I have chosen to use the most recent one published that includes a global market size for 2016, an estimated CAGR, and a predicted global market size for 2022. This information allows us to calculate the estimated global market size for each year between 2016 and 2022. Research and Reports, "the world's largest market research store," indicated the global market size for AI in healthcare was $661.1 million in 2016. This report also indicates it is expected to grow at a 52.68% CAGR through 2022. Using this information, we can calculate the approximate market size for each year:

2016: $661,100,000
2017: $1,009,367,480 ($661,100,000 x 1.5268)
2018: $1,541,102,268 ($1,009,367,480 x 1.5268)

As such, we can say that the global AI healthcare market size in 2017 is $1,009,367,480 and will increase to $1,541,102,268 in 2018.

The Research and Reports data also estimates the healthcare AI market will grow to $7.99 billion by 2022. This growth is driven by the use of big data in healthcare, the ability of artificial intelligence to "improve patient outcomes," the "imbalance between health workforce and patients," the need to reduce healthcare costs, the increased importance of precision medicine, cross-industry partnerships, and the "significant increase in venture capital investments in AI in the healthcare domain."

U.S. market size

Several market research reports indicate that North America is "leading in AI in healthcare market," but I was able to find just one that provided hard data for the United States market without accessing a paywall. The Global Market Insights report put the U.S. healthcare artificial intelligence market size at $325 million in 2016. This report also indicated the U.S. market is expected to grow at a CAGR of 35% through 2024. With this information, we can calculate the approximate U.S. AI in healthcare market size for 2017 and 2018:

2016: $325,000,000
2017: $438,750,000 ($325,000,000 x 1.35)
2018: $592,312,500 ($438,750,000 x 1.35)

Therefore, we can say the U.S. AI in healthcare market size in the United States is approximately $438,750,000 in 2017 and is expected to grow to $592,312,500 in 2018.

We can also extrapolate the data to predict where the U.S. market will be in 2022 to match the global predictions since the Global Market Insights has given its projections through 2024:

2019: $799,621,875 ($592,312,500 x 1.35)
2020: $1,079,489,531 ($799,621,875 x 1.35)
2121: $1,457,310,867 ($1,079,489,531 x 1.35)
2022: $1,967,369,670 ($1,457,310,867 x 1.35)

These calculations show the U.S. AI healthcare market size will be nearly $2 billion in 2022.

Using this data, we can say that the U.S. AI healthcare market share in 2017 is 43% ($438,750,000 / $1,009,367,480). However, in 2022, the U.S. market share is expected to shrink to 25% ($1,967,369,670 / $7,990,000,000) as other regions grow at a faster pace. For example, the European market is expected to grow at a CAGR of 39%, Japan at a CAGR of 40%, Brazil at a CAGR of 40%, and China at a CAGR of 45%.

Conclusion

The United States currently holds a 43% market share of the $1 billion global AI in healthcare market, with a 2017 market size of $438,750,000. The global market is growing at a CAGR of $52.68%, while the U.S. market is expanding by only 35% per year.
Part
02
of two
Part
02

Market Size - AI in Music

The global market size of AI in music for the year 2017 has been estimated to have been $100 million and is predicted to reach $544 million in the year 2021. The United States market size of AI in music was estimated as $48.6 million in the year 2017 and is forecast to reach $269.7 million in the year 2021.
After an extensive search through industry reports, market studies, and other trusted media sites, market data on AI in the music industry was not readily available. Utilizing the information found on AI in the entertainment and media (E&M) industry, we were able to determine the global scope and the United States market size of AI in music, since the music industry is a part of the E&M industry. The triangulation was done based on the assumption that AI in music with respect to AI in the whole entertainment industry is proportional to the music industry with respect to the entire entertainment and media industry. We have also provided the forecast data for the period 2018-2021.

Global — AI in music Market Size

According to PwC’s 18th annual Global Entertainment and Media Outlook report, the global entertainment and media (E&M) market size for the year 2016 was recorded at $1.8 trillion with a CAGR of 4.2%. The report predicted the revenue of the E&M market to reach $2.2 trillion by the year 2021.
With the base value of $1.8 trillion (2016) and assuming the CAGR stays at 4.2% over the period 2017-2021, the global market size of the E&M industry can be calculated using a reverse CAGR calculator. Entering the initial value as $1.8 trillion, CAGR as 4.2%, and the number of periods as 1 (for each year), the final value is obtained for the year 2017 as $1.88 trillion. The following are the values for global E&M market size over the period 2016-2021.
Global E&M Market Size with CAGR 4.2%
2017 = $1.88 trillion
2018 = $1.95 trillion
2019 = $2.04 trillion
2020 = $2.12 trillion
2021 = $2.2 trillion
According to Statista, the global music market reached a value of $33.87 billion in the year 2015 and has been predicted to reach a value of $43.49 billion in the year 2020. Utilizing these figures, we can calculate the CAGR for the period 2015-2020 with the help of the CAGR calculator. Entering the initial value as $33.87 billion, ending value as $43.49 billion, and the number of periods as 5, we obtain the CAGR for the period 2015-2020 as 5.1%. The following are the triangulated figures for the global music market size over the period 2015-2021, assuming the CAGR remains at 5.1%.
Global Music Industry Market Size with CAGR of 5.1%
2015 = $33.87 billion — base value
2016 = $35.59 billion
2017 = $37.4 billion
2018 = $39.32 billion
2019 = $41.33 billion
2021 = $45.7 billion
Over the period 2017-2021, the CAGR of the global AI market is expected to be around 51%, as reported by the BusinessWire. With continuing advancements made in the AI industry and the spread of various applications of machine learning, the entertainment and media industry is making great strides with the help of AI. That being said, the CAGR of 51% for the period 2017-2021 can be safely assumed to be applied to the area of AI in the entertainment and media industry. According to a report published by Bank of America Merrill Lynch, the AI market in the entertainment and media industry is forecast to value at $7.6 billion during 2018.
The following are the triangulated figures for the global market size of AI in the E&M industry, assuming the CAGR remains at 51% over the period 2017-2021.
Global — AI on E&M Market with a CAGR of 51%
2017 = $5.03 billion
2018 = $7.6 billion — base year
2019 = $11.48 billion
2020 = $17.33 billion
2021 = $26.16 billion
The global music industry share can be calculated by using the following formula,
Global music industry share = (Global music market size / Global E&M market size) x 100
Global music industry share (2017) = ($37.4 billion / $1.88 trillion) x 100 = 1.99%
Global music industry share (2018) = ($39.32 billion / $1.95 trillion) x 100 = 2.02%
Global music industry share (2019) = ($41.33 billion / $2.04 trillion) x 100 = 2.03%
Global music industry share (2020) = ($43.49 billion / $2.12 trillion) x 100 = 2.05%
Global music industry share (2021) = ($45.7 billion / $2.2 trillion) x 100 = 2.08%
The global market size of AI in music is then calculated using the following formula,
Global market size of AI in music = Global music market share x Global market size of AI in E&M industry
Global — AI in music (2017) = 1.99% x $5.03 billion = $100 million
Global — AI in music (2018) = 2.02% x $7.6 billion = $153 million
Global — AI in music (2019) = 2.03% x $11.48 billion = $233 million
Global — AI in music (2020) = 2.05% x $17.33 billion = $355 million
Global — AI in music (2021) = 2.08% x $26.16 billion = $544 million

United States — AI in music Market Size

PwC’s 18th annual Global Entertainment and Media Outlook report recorded the entertainment and media (E&M) U. S market size for the year 2016 as $635 billion with a CAGR of 3.6%. The report also forecasts the revenue of the E&M market to reach $759 billion by the year 2021.
Assuming the CAGR to remain at 3.6% over the period 2017-2021, the U. S market size of the E&M industry can be calculated for each year in the period mentioned by using the reverse CAGR calculator. The following are the market size values of the E&M industry.
US E&M Market Size with a CAGR of 3.6%
2016 = $635 billion — base year
2017 = $657.86 billion
2018 = $681.5 billion
2019 = $706 billion
2020 = $731.5 billion
2021 = $759 billion
The PwC study also reported the market size of the U. S music industry for the year 2016 as $17.2 billion, which is expected to increase to a value of $22.6 billion in the year 2021, with a CAGR of 5.6%. The following are the triangulated figures of the United States market size of the music industry for the period 2017-2021, by using the reverse CAGR calculator.
US Music Industry Market Size with a CAGR of 5.6%
2016 = $17.2 billion — base year
2017 = $18.16 billion
2018 = $19.18 billion
2019 = $20.25 billion
2020 = $21.39 billion
The United States market size of AI in the entertainment and media industry can be calculated by using the following formula,
U. S Market size = Global market size of AI in E&M x (U. S E&M market size / Global E&M market size)
U. S Market size of AI in E&M (2017) = $5.03 billion x ($657.86 billion / $1.88 trillion) = $1.76 billion
U. S Market size of AI in E&M (2018) = $7.6 billion x ($681.5 billion / $1.95 trillion) = $2.66 billion
U. S market size of AI in E&M (2019) = $11.48 billion x ($706 billion / $2.04 trillion) = $3.97 billion
U. S market size of AI in E&M (2020) = $17.33 billion x ($731.5 billion / $2.12 trillion) = $5.98 billion
U. S Market size of AI in E&M (2021) = $26.16 billion x ($759 billion / $2.2 trillion) = $9.05 billion
The U. S music industry share of the total entertainment and media industry can be calculated for each year by the following formula,
U. S music industry share = (U. S music industry market size / U. S E&M market size) x 100
U. S music industry share (2017) = ($18.16 billion / $657.86 billion) x 100 = 2.76%
U. S music industry share (2018) = ($19.18 billion / $681.5 billion) x 100 = 2.81%
U. S music industry share (2019) = ($20.25 billion / $706 billion) x 100 = 2.87%
U. S music industry share (2020) = ($21.39 billion / $731.5 billion) x 100 = 2.92%
U. S music industry share (2021) = ($22.6 billion / $759 billion) x 100 = 2.98%
The U. S market size of AI in music is then calculated using the following formula,
U. S market size of AI in music = U. S music market share x U. S market size of AI in E&M industry
U. S — AI in music (2017) = 2.76% x $1.76 billion = $48.6 million
U. S — AI in music (2018) = 2.81% x $2.66 billion = $74.75 million
U. S — AI in music (2019) = 2.87% x $3.97 billion = $113.9 million
U. S — AI in music (2020) = 2.92% x $5.98 billion = $174.6 million
U. S — AI in music (2021) = 2.98% x $9.05 billion = $269.7 million

Conclusion

To wrap up, the global and United States market size of AI in music has been estimated to be $153 million and $74.75 million, respectively, for the current year (2018) and is expected to reach a value of $544 million and $269.7 million, respectively, by the year 2021.

Sources
Sources