Data Labeling Solution And Services Market 2022 Industry Outlook, Investment Analysis And Revenue 2030

Data Labeling Solution And Services Industry Overview

The global data labeling solution and services market size was valued at USD 6.65 billion in 2020 and is expected to expand at a compound annual growth rate (CAGR) of 23.5% from 2021 to 2028.

Data labeling tools enable users to enhance data value by adding attribute tags. Data labeling is a practice of recognizing raw data (images, text, videos, etc.) and adding one or more relevant and informative labels to offer context. Machine learning is incorporated in various industries, including robots and drones, automated picture organization of visual websites, and facial recognition on social networking websites powered by data collection. Data labeling solutions and services are gaining traction in the automotive business, particularly for self-driving vehicles. A self-driving vehicle has a variety of sensors and networking devices that let the computer drive the vehicle.

Gather more insights about the market drivers, restrains and growth of the Global Data Labeling Solution And Services Market

The global data labeling market is expected to witness a surge in the adoption of the technology owing to benefits such as deriving business insights from socially shared photographs and auto-organizing untagged photo collections. Furthermore, data labeling technology is increasingly being used in autonomous vehicles, which is expected to contribute to the significant growth in the automobile industry. With the help of this technology, self-driving cars can detect obstacles and notify the driver about the vicinity of walkways and guardrails. The technology is also capable of reading stoplights and road signs.

Data efficiency is becoming increasingly important as technology evolves, allowing for new business innovations, infrastructure, and economics. These factors have contributed to the expansion of the market. In various data-driven applications, rising demand for machine learning in automated data analytics is predicted to boost demand for autonomous data labeling solutions and services tools. A growing emphasis on picture annotation is likely to improve the operations of the automotive, retail, and healthcare sectors, driving demand for data labeling technologies. The high expenses involved with the manual annotation of complicated photos may limit the market’s growth. 

The Asia Pacific region is expected to witness the fastest growth during the forecast period. E-commerce and online shopping and a significant reliance on digital platforms for healthcare, retail, and large businesses in developing nations are factors contributing to the growth of the market. China is expected to drive the expansion in the Asia Pacific data labeling market. The government of China has initiated the implementation of real-name registration laws that require residents to link their online accounts to their official government IDs. These policies have increased the usage of data collecting and labeling across the country. 

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Data Labeling Solution And Services Market Segmentation 

Grand View Research has segmented the global data labeling solution and services market based on sourcing type, type, labeling type, vertical, and region:

Data Labeling Solution And Services Sourcing Type Outlook (Revenue, USD Million, 2018 – 2028)

  • In-house
  • Outsourced

Data Labeling Solution And Services Type Outlook (Revenue, USD Million, 2018 – 2028)

  • Text
  • Image/Video
  • Audio

Data Labeling Solution And Services Labeling Type Outlook (Revenue, USD Million, 2018 – 2028)

  • Manual
  • Semi-supervised
  • Automatic

Data Labeling Solution And Services Vertical Outlook (Revenue, USD Million, 2018 – 2028)

  • IT
  • Automotive
  • Government
  • Healthcare
  • Financial Services
  • Retails
  • Others

Data Labeling Solution And Services Regional Outlook (Revenue, USD Million, 2018 – 2028)

  • North America
  • Europe
  • Asia Pacific
  • South America
  • Middle East and Africa (MEA) 

Market Share Insights

  • May 2020: Labelbox, Inc. partnered with Carahsoft Technology Corp., a U.S.-based company providing IT solutions to the government. The partnership speeds up the AI training data platform development for the intelligence community and federal agencies.
  • December 2019: Enlitic, Inc. announced a partnership with MLPCare, a Turkey-based private healthcare provider, to integrate clinical artificial intelligence into the healthcare systems of Turkey and adjacent countries in Central Asia and Eastern Europe. 
  • March 2019: Appen Limited acquired Figure Eight Inc., a U.S.-based AI-focused company. This acquisition was anticipated to bring data annotation expertise to the company. 

Key Companies profiled:

Some of the prominent players operating in the global data labeling solution and services market are:

  • Alegion
  • Amazon Mechanical Turk, Inc.
  • Appen Limited
  • Clickworker GmbH
  • CloudApp
  • CloudFactory Limited
  • Cogito Tech LLC
  • Crowdworks, Inc.
  • Deep Systems, LLC
  • Explosion AI GmbH
  • Heex Technologies 

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About Grand View Research

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