Speech Analytics Market - By Component (Solution, Service), By Deployment Model (On-premises, Cloud), By Organization Size (SMEs, Large Enterprises), By End Use, Forecast 2024 – 2032

Speech Analytics Market Size

Speech Analytics Market was valued at USD 2.5 billion in 2023 and is estimated to register a CAGR of over 17% between 2024 and 2032. The market growth is growing due to increasing collaborations among industry leaders, fostering innovation. As prominent companies join forces, they bring together diverse expertise and resources, driving the development of cutting-edge solutions.
 

In February 2023, Bharti Airtel, a telecommunications company, introduced an artificial intelligence-based solution in collaboration with Nvidia to enhance the customer experience in its contact center for inbound calls. This speech analytics solution aimed to efficiently support both call center agents and customers while reducing computing costs. Airtel manages 100 million calls annually, catering to over 360 million customers. Currently utilizing an automated speech recognition algorithm in 84% of calls, the company seeks to identify areas for improved customer service. This collaborative approach not only enhances the quality of speech analytics products but also accelerates their market adoption. The rising trend of partnerships reflects a shared commitment to advancing technology, ultimately meeting the evolving needs of businesses and consumers in an ever-changing landscape.
 

The speech analytics market is experiencing heightened demand, propelled by increasing approvals and sanctions from government regulatory bodies. As these organizations recognize the value of speech analytics in enhancing communication monitoring and compliance, the market witnesses a surge in adoption. With regulatory approval serving as a testament to the efficacy and reliability of these solutions, businesses are more inclined to integrate speech analytics to ensure adherence to industry standards. In March 2023, Aural Analytics, Inc., a prominent player in clinical-grade speech analytics, officially received Breakthrough Device designation from the US Food and Drug Administration (FDA) for its Speech Vitals - ALS technology. Designed as a software application, Speech Vitals - ALS aids neurologists in monitoring Amyotrophic Lateral Sclerosis (ALS) in adults, both within clinical settings and homes, by collecting and analyzing speech recordings. Jeremy Moore, the Director of Quality Assurance & Regulatory Affairs at Aural Analytics, emphasizes the FDA's recognition as explicit validation of Speech Vitals' potential for more effective management of this debilitating disease.
 

Continuous advancements in AI and machine learning technologies have significantly enhanced the capabilities of speech analytics solutions. These technologies enable more accurate language understanding, sentiment analysis, and context comprehension. Improved AI and machine learning algorithms empower speech analytics tools to recognize nuances in language, understand complex contexts, and accurately interpret customer sentiments. This results in more precise and actionable insights, driving the adoption of speech analytics in various industries.
 

The speech analytics market faces constraints that impact its growth trajectory. Concerns over data privacy and security pose significant challenges, as the analysis involves sensitive customer information. Implementation costs and the need for sophisticated technology can be barriers for smaller businesses. Additionally, the complexity of accurately interpreting diverse languages and accents hinders widespread adoption. As organizations navigate these restraints, addressing privacy issues, cost considerations, and language complexities becomes crucial for realizing the full potential of speech analytics in the market.
 

Speech Analytics Market Trends

The speech analytics industry is witnessing a notable trend with increased utilization in the healthcare sector. As healthcare providers recognize the potential of speech analytics in improving patient care and operational efficiency, adoption has surged. Speech analytics tools aid in transcribing medical notes, analyzing patient interactions, and monitoring clinical outcomes. This trend reflects a growing emphasis on leveraging technology to enhance healthcare delivery. The integration of speech analytics in the healthcare domain is poised to continue, driven by the pursuit of enhanced patient experiences and streamlined healthcare processes.
 

Concerning this, in June 2023, Hackensack Meridian Health joined forces with an AI-driven speech analysis startup. The nonprofit healthcare network, along with its Bear’s Den innovation accelerator program, made investments in vocal biomarker technology development. This innovative approach aimed to screen for anxiety and cognitive diseases. Partnering with Canary Health, which employs proprietary machine learning modeling to analyze digital biomarkers in human voices, Hackensack Meridian Health wanted to enhance its artificial intelligence technology for wellness. This collaboration underscored the commitment to leveraging advanced technology in healthcare for predictive and explanatory purposes.
 

Speech Analytics Market Analysis

Based on component, the market is divided into solution and service. In 2023, the solution segment generated a market revenue of around USD 1.5 billion. The growing adoption of a speech analytics is propelled by software components. As businesses increasingly recognize the value of comprehensive analytics, there is a surge in demand for advanced speech analytics solutions. These encompass various components, including automated speech recognition, natural language processing, and sentiment analysis. Organizations seek holistic tools that provide nuanced insights into customer interactions. This demand reflects a growing emphasis on leveraging diverse solution components to enhance communication monitoring, customer satisfaction, and operational efficiency, ultimately driving the growth of the market.
 

Based on deployment model, the market is categorized into on-premises and cloud. The on-premises segment is expected to hold market share of 57.9% in 2023. The demand for on premise deployment in the speech analytics industry is driven by its preference among deployment modes. Businesses are increasingly opting for on-premises solutions to ensure greater control over data security and compliance. This deployment model offers organizations the flexibility to customize and manage speech analytics tools within their infrastructure. As data privacy concerns intensify, on-premises deployment becomes a strategic choice for many enterprises, driving the market's demand. The need for tailored secure, and scalable solutions positions on-premises deployment as a key driver in shaping the speech analytics industry landscape.
 

North America speech analytics market held a share of around 35% in 2023. North America industry is flourishing due to several key factors. The region's businesses are increasingly recognizing the strategic importance of speech analytics in enhancing customer interactions and operational efficiency. With a growing emphasis on data-driven decision-making, companies in North America are investing in advanced analytics tools. The heightened focus on improving customer experiences, coupled with the region's technological infrastructure, positions North America as a key driver for the escalating demand in the market.
 

Speech Analytics Market Share

Major players operating in the speech analytics industry are

• Avaya
• Calabrio
• CallMiner
• Genesys
• HP Autonomy
• Mattersight
• Nexidia
• Nice
• Uptivity
• Verint
   

Nice and Verint are the dominant players, holding over 25% of revenue share in the global market. These major companies in the speech analytics industry are actively pursuing strategies to capitalize on the growing demand for advanced communication intelligence solutions. One prevalent trend is the integration of Artificial Intelligence (AI) and Machine Learning (ML) into speech analytics platforms. These technologies enhance the accuracy and depth of insights derived from spoken interactions, enabling more nuanced sentiment analysis, context understanding, and predictive analytics.
 

Cloud-based solutions are gaining prominence, providing scalability, accessibility, and ease of integration. Companies are investing in developing or transitioning their speech analytics offerings to cloud environments, catering to the increasing preference for flexible and cost-effective subscription models.
 

Speech Analytics Industry News

• In December 2023, Volaris Group Inc. announced the acquisition of Delacon, a prominent provider of solutions in Call Tracking, Call Management, and Speech Analytics. Delacon collaborates with global businesses, enterprises, agencies, and government organizations, offering tools to assess advertising campaign effectiveness and assist in the informed optimization of campaigns.
   
• In February 2023, Bharti Airtel announced a collaboration with Nvidia to develop and implement an Artificial Intelligence (AI) solution focused on enhancing the overall customer experience for incoming calls to its contact center. Airtel utilized Nvidia's NeMo conversational AI toolkit and the Nvidia Triton Inference Server, a software for inference serving across multiple frameworks, both supported within the Nvidia AI Enterprise software suite, to create the technology enabling automated speech recognition.
   

The speech analytics market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD Billion) from 2018 to 2032, for the following segments:

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Market, By Component

• Solution
• Service

Market, By Deployment Model

• On premises
• Cloud

Market, By Organization Size

• SMEs
• Large enterprises

Market, By End Use

• Retail & e-commerce
• Healthcare
• BFSI
• Telecommunication
• IT
• Automotive & transportation
• Hospitality
• Others

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Spain
  • Italy
  • Russia
  • Nordics
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • Australia
  • Southeast Asia 
• Latin America
  • Brazil
  • Mexico 
• MEA
  • UAE
  • Saudi Arabia
  • South Africa