PUBLISHER: MarketsandMarkets | PRODUCT CODE: 1931748
PUBLISHER: MarketsandMarkets | PRODUCT CODE: 1931748
The global AI in supply chain market is projected to reach USD 50.41 billion by 2032 from USD 13.93 billion in 2025 at a CAGR of 20.2%. The market is growing rapidly as organizations respond to greater supply chain complexity, demand changes, and regular operational disruptions.
| Scope of the Report | |
|---|---|
| Years Considered for the Study | 2021-2032 |
| Base Year | 2024 |
| Forecast Period | 2025-2032 |
| Units Considered | Value (USD Billion) |
| Segments | By Offering, Deployment, Application and Region |
| Regions covered | North America, Europe, APAC, RoW |
Businesses are using AI to improve demand forecasting, manage inventory, and plan logistics. This enables quicker and more accurate decisions. Growth is further boosted by cloud-based systems, real-time data use, and a rise in digital supply chain platforms. The focus on resilience, cost savings, and overall visibility in global supply networks is making AI essential for modern, data-driven supply chain changes across industries.

"Services segment to record highest CAGR during forecast period"
The services segment is expected to grow rapidly in the AI in supply chain market. This growth is driven by the increasing complexity of AI projects and the need for custom solutions. Organizations want specialized services for data preparation, customizing models, integrating systems, and making AI work with their existing ERP, warehouse, and transportation systems. Services are also crucial for managing change, training users, and ongoing optimization to keep AI models accurate as demand patterns and supply conditions shift. As businesses adopt AI across different functions and regions, the demand for consulting, managed services, and performance monitoring is increasing. The move toward cloud-based and subscription-based AI systems also supports long-term service contracts, making services a major growth factor in the AI in supply chain market.
"Large organizations captured largest market share in 2024"
Large organizations held the biggest market share in the AI in supply chain market, thanks to their complicated operations, global supplier networks, and higher budgets for technology. These businesses deal with more challenges around demand changes, balancing inventory, and coordinating logistics across many regions, making AI planning and optimization essential. Large organizations are often early adopters of advanced tools like demand sensing, scenario planning, predictive risk analytics, and real-time supply chain visibility. Their ability to invest in strong data systems, cloud services, and integration across the organization allows for faster and wider AI use. Furthermore, large businesses typically follow long-term digital transformation plans, embedding AI in procurement, manufacturing, and distribution, which reinforces their leading market position.
"Europe to account for a significant share of the AI in supply chain market in 2025"
Europe is expected to hold significant share in the AI in supply chain market due to its well-connected trade networks, strong export-focused industries, and commitment to supply chain resilience. Companies throughout Europe are increasingly turning to AI to manage supplier risks, enhance production planning, and improve coordination across operations in multiple countries. Rising labor costs and workforce shortages are also driving the adoption of AI automation in warehousing, transportation, and demand planning. Additionally, European regulations on traceability, sustainability, and reporting are prompting companies to use AI analytics for compliance and transparency. The growing use of cloud platforms, digital twins, and data-sharing initiatives in the region is further boosting AI adoption on a larger scale. Together, these factors are promoting ongoing use of AI in supply chain operations across Europe, maintaining its strong market presence.
Extensive primary interviews were conducted with key industry experts in the AI in supply chain market to determine and verify the market size for various segments and subsegments gathered through secondary research. The breakdown of primary participants for the report is shown below.
The AI in supply chain market is dominated by a few globally established players, such as SAP SE (Germany), Oracle (US), Blue Yonder Group, Inc. (US), Kinaxis Inc. (Canada), Manhattan Associates (US), IBM (US), Microsoft (US), Amazon Web Services, Inc. (US), Anaplan, Inc. (US), and Logility Supply Chain Solutions, Inc. (US).
The study includes an in-depth competitive analysis of these key players in the AI in supply chain market, with their company profiles, recent developments, and key market strategies.
Research Coverage
The report segments the AI in supply chain market based on offering (software, services), deployment (cloud, on-premises, hybrid), organization size (large organizations, small & medium organizations), application (demand planning & forecasting, procurement & sourcing, inventory management, production planning & scheduling, warehouse & transportation management, supply chain risk management, other applications), and end-use industry (retail, healthcare & pharmaceuticals, food & beverages, automotive, logistics & transportation, aerospace & defense, chemicals, electronics & semiconductor, energy & utilities, manufacturing, other end-use industries). It also discusses the market's drivers, restraints, opportunities, and challenges. It gives a detailed view of the market across four main regions (North America, Europe, Asia Pacific, and Rest of the World [RoW]). The report includes an ecosystem analysis of key players.
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