Dublin, Feb. 08, 2024 (GLOBE NEWSWIRE) -- The "AI in Fintech Market Size & Share Analysis - Growth Trends & Forecasts (2023-2028)" report has been added to ResearchAndMarkets.com's offering.
The financial industry's dynamic landscape continues to undergo significant transformations, thanks to the integration of Artificial Intelligence (AI). This report sheds light on the burgeoning AI in Fintech market, ushering in a new era of finance and technology. By 2023, the market value is estimated at USD 42.83 billion and is projected to grow impressively to USD 49.43 billion by 2028, propelled by a steady CAGR of 2.91% during the forecast period.
One of the potent drivers contributing to this exponential growth is the impact of the COVID-19 pandemic, which radically changed the interaction between financial services and customers. Payment and wealth management sectors, in particular, have fortified their infrastructures amidst rising transaction volumes, spotting the pivotal necessity for AI inherent in revenue generation tied to these transactions. This trend is anticipated to spearhead the escalating demand for AI solutions within the Fintech market.
Market Highlights Spearheaded by Novel Tech
AI's Role in Financial Growth
Financial institutions, having historically embraced computational technologies, are on the frontline of harnessing AI's capabilities. From jaw-dropping computations to sophisticated data analytics, AI has fortified fintech companies' arsenal. This revolution in computational power is undeniably a catalyst for the market's growth.
Enhanced Customer Relations through AI
AI and machine learning are game-changers for the banking sector, enabling profound processing of customer data. This techno-savviness has proven instrumental in delivering timely services and products, thereby cementing customer relations.
AI-enabled Fraud Detection on the Rise
Fraud detection technologies have gained momentum, given their propensity for real-time anomaly detection. The uptick in bank fraud incidents, as reported by authorities worldwide, underscores the urgent need for robust AI solutions in fraud prevention and risk management.
North America Dominates the Market
North America claims the lion's share of the AI in Fintech market, thanks to a thriving ecosystem of AI suppliers and a surge in AI project investments. The presence of a strong business hub for AI Fintech firms further consolidates the region's dominance.
Adoption and Initiatives
In North America, government investments and initiatives in AI are noteworthy. For instance, U.S. government spending on AI contracts in fiscal year 2022 soared to an impressive USD 3.3 billion. Strategic partnerships and acquisitions among leading market players are set to redefine the competitive landscape, aiming to fuel innovation and strengthen market presence.
Landmark Developments and Collaborations
Recent strategic alliances signify the industry's trajectory towards leveraging AI for enhanced customer service. Mastercard's partnership with Network International and Zest AI's collaboration with Equifax exemplify the market's commitment to spearheading transformation in the Fintech sector.
Emergent trends in the AI in Fintech market depict an industry ripe for disruption and growth, driven by technological advancements and strategic market positioning. This analysis serves as an invaluable resource for industry stakeholders aiming to navigate the complexities of the AI in Fintech landscape.
The findings encapsulated in this analysis are indicative of a vibrant market, poised on the cusp of transformative growth, with AI's proliferating applications in fraud detection and customer experience enhancement setting the stage for the future of financial services.
Key Insights for Market Stakeholders
- AI's deepening integration in financial operations presents lucrative growth prospects.
- Emergent AI applications in fraud detection exhibit robust potential for market expansion.
- North America's pioneering role is pivotal, setting benchmarks for global AI Fintech endeavors.
The market's trajectory is further shaped by industries' increased awareness and adoption of AI, signaling an era of intelligent fintech solutions that are reshaping financial landscapes globally.
A selection of companies mentioned in this report includes:
- IBM Corporation
- Intel Corporation
- ComplyAdvantage.com
- Narrative Science
- Amazon Web Services Inc.
- IPsoft Inc.
- Next IT Corporation
- Microsoft Corporation
- Onfido
- Ripple Labs Inc.
- Active.AI
- TIBCO Software (Alpine Data Labs)
- Trifacta Software Inc.
- Data Minr Inc.
- Zeitgold
- Sift Science Inc.
- Pefin Holdings LLC
- Betterment Holdings
- WealthFront Inc.
For more information about this report visit https://www.researchandmarkets.com/r/8f60f2
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