Vector Database Market Size

Vector Database Market Size

The global vector database market size was valued at USD 2.2 billion in 2024 and is projected to grow at a CAGR of 21.9% between 2025 and 2034. AI is propelling the market by leveraging machine learning and deep learning algorithms that rely on vector-based representations. Vector databases are crucial for AI applications due to their capability to efficiently process and manage high-dimensional data. AI's demand for quick, complex computations and its reliance on vector-based data representations have increased the need for scalable & efficient vector databases, consequently driving market expansion to meet these evolving AI requirements.

For instance, in September 2023, Oracle introduced an integrated vector database for generative AI. This database is designed specifically to optimize the performance and storage of vectors, supporting the intricate demands of generative AI algorithms.

Cloud platforms fuel the vector database market. They provide scalable, flexible, and cost-effective environments conducive to managing high-dimensional data. They also offer infrastructure for hosting and managing vector databases, enabling seamless storage, accessibility & processing of complex data. For instance, in September 2023, KX launched KDB.ai Cloud, offering a free, intelligent vector database designed for AI applications. This innovative solution provides a smarter approach to managing high-dimensional data, catering specifically to AI-driven operations and analytics.