PUBLISHER: The Business Research Company | PRODUCT CODE: 1729111
PUBLISHER: The Business Research Company | PRODUCT CODE: 1729111
Large Language Model (LLM) refers to advanced artificial intelligence (AI) systems designed to understand, generate and process human language. LLMs are built using deep learning techniques, particularly transformer architectures, which enable them to handle vast amounts of text data and perform a variety of natural language processing (NLP) tasks. LLMs must meet specific performance and ethical standards to ensure accuracy, reliability and responsible usage in different applications without causing harm or bias in the output.
The LLM market consists of sales, by entities (organizations, sole traders, or partnerships), of LLM-based solutions that encompass the development, deployment and distribution of models tailored to meet the specific requirements of industries such as technology, finance, healthcare, education and entertainment. LLMs are vital tools for various sectors due to their versatility, scalability and efficiency in automating tasks like content generation, customer support, data analysis and language translation. Users of LLMs range across industries and include tech companies, research institutions, government bodies and businesses looking to enhance productivity through AI-driven insights.
The global large language model (LLM) market was valued at $1,716.64 million in 2019 which grew till 2024 at a compound annual growth rate (CAGR) of more than 29.00%.
Rise In Adoption Of AI In Healthcare and Life Sciences
The rise in the adoption of artificial intelligence (AI) in healthcare and life sciences fueled the growth of the LLM market during the historic period. AI adoption in healthcare and life sciences has advanced diagnostics, accelerated drug discovery and improved patient care. AI-driven solutions optimize medical imaging, personalized treatments and streamline administrative tasks, enhancing efficiency and reducing costs. Pharmaceutical firms use AI for faster clinical trials, while hospitals integrate AI tools to improve workflows, driving widespread adoption and market growth. For instance, in August 2024, according to a study conducted by 451 Research and commissioned by Vultr, a US-based cloud computing company offering high-performance infrastructure-as-a-service (IaaS) solutions, 48% of healthcare and life sciences respondents saw AI as the most impactful technological advancement in industrial networking over the next five years, with 49% expecting improvements in network management. These organizations have deployed an average of 170 AI models, surpassing other sectors. AI adoption is driving business growth, with 81% of AI-mature enterprises outperforming in 2023, 80% reporting higher customer satisfaction, and 82% experiencing improved revenue growth. Additionally, in September 2023, according to Bain & Company, Inc., a US-based management consulting company, US healthcare providers accelerated IT and software spending, with nearly 80% of executives increasing budgets due to emerging technologies, labor shortages, and cost pressures. Nearly two-thirds prioritized existing vendors, particularly electronic health record providers, for new functionality. Around 6% of health systems had a generative AI strategy, while about 50% actively developed or planned one, underscoring AI's transformative potential. Therefore, the rise in adoption of AI in healthcare drove the growth of the LLM market.
Strategic Partnerships And Collaborations Among Major Players In The Market
Major large language model (LLM) companies are forging strategic partnerships and collaborations to accelerate innovation and market expansion. These alliances focus on data access, joint artificial intelligence (AI) research and tailored enterprise solutions. By combining expertise and resources, firms enhance model accuracy, improve scalability and drive broader adoption across industries, strengthening their competitive edge in the evolving AI landscape. For instance, in December 2024, Apple, a US-based technology company and Nvidia Corporation, a US-based technology company offering full-stack computing infrastructure, partnered to enhance the performance of large language models (LLMs) through an advanced text generation technique. This innovation accelerates AI applications, improving efficiency across industries that depend on powerful language models. The collaboration leverages NVIDIA's high-performance computing expertise and Apple's AI-driven ecosystem to deliver faster, more scalable solutions. Businesses in finance, healthcare and customer service stand to benefit from improved processing speeds and responsiveness, driving greater adoption of AI-powered technologies.
The global large language model (LLM) markets are fragmented, with a large number of players operating in the market. The top 3 competitors in the market made up 8.92% of the total market in 2023.
Large Language Model (LLM) Global Market Opportunities And Strategies To 2034 from The Business Research Company provides the strategists; marketers and senior management with the critical information they need to assess the global large language model (LLM) market as it emerges from the COVID-19 shut down.
Where is the largest and fastest-growing market for large language model (LLM)? How does the market relate to the overall economy; demography and other similar markets? What forces will shape the market going forward? The large language model (LLM) market global report from The Business Research Company answers all these questions and many more.
The report covers market characteristics; size and growth; segmentation; regional and country breakdowns; competitive landscape; market shares; trends and strategies for this market. It traces the market's history and forecasts market growth by geography. It places the market within the context of the wider large language model (LLM) market; and compares it with other markets.