In the Asia-Pacific area, there's a notable rise in the adoption of Generative AI (GenAI), with India poised to become one of the fastest-growing markets in the coming years.
According to the International Data Corporation (IDC) report, GenAI adoption across software, hardware and AI-centric services has seen an unprecedented surge in this region.
Projections indicate that GenAI spending in the region could reach $26 billion by 2027, with a remarkable compound annual growth rate (CAGR) of 95.4 percent over the same period.
This growth underscores the region's significant role in propelling the next phase of AI innovation and technological progress.
Deepika Giri, head of research for Big Data and AI at IDC APJ predicts, said investments in GenAI will peak within the next two years before stabilizing.
“China is projected to maintain its position as the dominant market for GenAI, while India is set to become the most rapidly expanding market in the forthcoming years,” Giri noted.
GenAI is reshaping industries across software development to customer service, heralding a new age of innovation in the region.
The financial services sector in particular is witnessing swift uptake of GenAI in Asia, expected to surge to $4.3 billion by 2027 at a staggering CAGR of 96.7 percent, according to the report.