Edge AI Software Market 2030: The Role of Video and Image...

Edge AI Software Market 2030: The Role of Video and Image Recognition

Posted 2025-09-05 05:43:12

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Edge AI Software Market Growth & Trends

The global edge AI software market size is anticipated to reach USD 8,907.1 million by 2030 and is expected to expand at a CAGR of 29.2% during the forecast period, according to a new report by Grand View Research, Inc. The growing demand for real-time data processing and intelligent decision-making at the edge of networks is driving the market growth.

As industries increasingly rely on connected devices and sensors, analyzing data locally—without sending it to centralized cloud servers—has become critical. Edge AI software enables machine learning models to run directly on edge devices, reducing latency, conserving bandwidth, and enhancing privacy. This capability is especially vital in sectors like autonomous vehicles, industrial automation, and smart surveillance, where split-second decisions are essential.

The proliferation of Internet of Things (IoT) devices is another major driver. With billions of sensors and smart gadgets generating massive volumes of data, traditional cloud-based AI systems struggle to keep up with the demand for low-latency responses. Edge AI software addresses this challenge by enabling decentralized intelligence, allowing devices to instantly process and act on data. This improves operational efficiency and supports scalability across diverse applications—from predictive maintenance in manufacturing to real-time health monitoring in wearable tech.

Advancements in 5G connectivity are further accelerating market growth. The high-speed, low-latency nature of 5G networks complements edge AI by facilitating seamless communication between devices and servers, even in bandwidth-constrained environments. This synergy unlocks new possibilities for immersive technologies such as augmented reality, smart cities, and connected retail experiences.

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

Moreover, the evolution of AI algorithms and hardware optimization makes deploying sophisticated models on compact, energy-efficient edge devices easier. Companies invest heavily in edge AI solutions to gain competitive advantages through faster insights, enhanced automation, and improved customer experiences. Strategic collaborations between AI software developers and hardware manufacturers foster innovation, enabling more robust and versatile edge AI ecosystems.

Further key findings from the report suggest:

In terms of offering, the solutions segment led the market in 2024, accounting for over 75.92% share of the global revenue.
By data type, the video and image recognition segment accounted for the largest market revenue share in 2024.
By vertical, the IT & telecommunications segment accounted for the largest market revenue share in 2024
In terms of region, North America was the largest revenue generating market in 2024.
Country-wise, India is expected to register the highest CAGR from 2025 to 2030.

Edge AI Software Market Segmentation

Grand View Research has segmented the global edge AI software market based on offering, data type, vertical, and region: