Tractica: Expanding VDA use to drive software revenue to $8.9B in 2025

Wednesday November 27, 2019 0 comments Tags: Boulder, Tractica, Mark Beccue, VDAs

BOULDER -- Tractica forecasts strong growth in enterprise virtual digital assistant (VDA) software revenue, rising from $1.3 billion in 2018 to more than $8.9 billion in 2025.

Significant advances in combining natural language processing (NLP) with other forms of artificial intelligence (AI), primarily machine learning and deep learning, are making enterprise VDAs more intelligent and useful.Tractica_logoUSE 

Over the next 3 to 5 years, according to the Tractica report, natural language AI will continue to improve and sentiment and emotion recognition AI will evolve. These advancements and other market factors have expanded the use cases for enterprise AI-driven VDAs beyond customer service & marketing into other applications that will generate significant direct software revenue.

VDAs will become an increasingly significant interface that enterprises can use for both externally-facing and internally-facing purposes. Externally-facing use cases include handling customer service, marketing, and commerce transactions, while internally-facing use cases include running enterprise application software, productivity and collaboration applications, and administration functions.

“While the use of VDAs has not reached mass-market adoption at either the global or country level, the market for AI-driven enterprise VDAs is beginning to show signs of maturity, particularly for the customer service & marketing use case,” said Tractica principal analyst Mark Beccue.

“VDAs in these application areas are becoming more common and vendors are able to show real-life ROI.”

Tractica’s report, “Virtual Digital Assistants for Enterprise Applications,” examines the market and technology issues surrounding enterprise VDAs and presents profiles for key industry players throughout the ecosystem.

 It analyzes how enterprise VDAs will be used across multiple channels in four key use cases: customer service & marketing, e-commerce & sales, business applications, and healthcare VDAs.

Tractica also presents global market forecasts for enterprise VDA software, segmented by region, solution type, and use case, covering the period from 2018 through 2025.

An Executive Summary of the report is available for free download on Tractica’s website.