Allied Market Research (AMR) has released a new report that predicts that the market for emotion detection and recognition technology will climb from $5.8 billion in 2016 to $33.9 billion by 2023. Those numbers represent a CAGR of 28.9 percent between 2017 and 2023.
AMR credited much of that growth to the rising ubiquity of IoT devices, including wearables and smartphones. Improvements in cloud technology will also make it easier to deploy emotion recognition in a wider range of devices and applications.
The report goes on to state that facial recognition software accounts for the lion’s share of the revenue (66 percent) in the emotion recognition market, though the appetite for voice-based natural language solutions is expected to grow significantly in the next few years. Marketing and advertising applications are major drivers of global revenue, while the retail sector is expected to display the highest CAGR (31.3 percent) leading up to 2023.
North America is currently the largest market for emotion recognition tech, and will remain so throughout the forecast period. Europe will come in second (the United Kingdom is the most notable country in the area), while the Asia-Pacific region will exhibit the most growth with a CAGR of 30.6 percent. China will be the biggest player in that region.
Though robust, AMR’s $33.9 billion figure is slightly smaller than the $56 billion forecast in a recent report from MarketsandMarkets. However, it is worth noting that the latter’s forecast window extends until 2024. AMR, meanwhile, argued that the high cost of integration will have a damping effect on the market as a whole. Many companies will also misinterpret the data gathered using emotion recognition tech, which will lead them to undervalue that information.
AMR named SkyBiometry, Affectiva, Sentiance, and Kairos as some of the leading developers of emotion detection and recognition technology.
February 18, 2020 – by Eric Weiss