Global Artificial Intelligence (AI) In Fintech Market Size By Offering (Services, Solutions), By Application (Credit Scoring, Fraud Detection), By Deployment (Cloud, On-Premise), By Geographic Scope And Forecast

Artificial Intelligence (AI) In Fintech Market Size And Forecast

Artificial Intelligence (AI) In Fintech Market size was valued at USD 7.98 Billion in 2024 and is projected to reach USD 32.76 Billion by 2032, growing at a CAGR of 21.37% from 2026-2032.

The growing number of strategic market collaborations has resulted in an increase in funds to be allocated for the development and growth of automated and advanced technology/ machinery against fraudulent activities. Moreover, a rise in the level of investment for research and development activities would carve the way for advances in information technology. The Global Artificial Intelligence (AI) In Fintech Market report provides a holistic evaluation of the market. The report offers a comprehensive analysis of key segments, trends, drivers, restraints, competitive landscape, and factors that are playing a substantial role in the market.

Global Artificial Intelligence (AI) In Fintech Market Definition

Financial Technology, or Fintech, employs modern technology in financial services to automate or improve investing and banking activities. Artificial intelligence (AI) is broadly used in financial organizations to detect and avoid fraud through digital banking channels. Digital loans, mobile banking, credit scores, insurance, selling and purchasing operations, and asset management are all included. AI technology can decide a customer's typical behavior by monitoring how they communicate and considering their transactions.

The growing demand for process automation in financial businesses contributes to the development of the market. Likewise, cognitive process automation aids AI in performing even more complex automation processes. Owing to the broad usage of AI and MI (machine learning) in fintech, it has become a vital part of financial services within a short time. Additionally, the growing integration of machine learning and artificial intelligence technologies will further prove to be a benefit for the market.

Global Artificial Intelligence (AI) In Fintech Market Overview

The requirement for fraud detection in financial institutions or fintech is adding to the growth of Artificial Intelligence (AI) In Fintech Market. Machine learning, or artificial intelligence algorithms, can learn new data from the information collected, the more data which AI manipulates, the more AI can be learned, and the banks can obtain deeper insights with AI technology. The main advantage of AI is that over time the algorithm builds on gathering more data and learning more regarding how to use it. The benefit is that it starts the moment the AI is installed and continues to develop without interruption of contribution.

As per PricewaterhouseCoopers's survey in 2022, a UK-based financial service supplier, in the previous 24 months, corruption, fraud, or other economic crimes were stated by 46% of the organizations polled. The requirement for fraud detection in fintech boosts the market for AI in fintech. However, the growing number of multiple regulatory compliances together with limited technical expertise will create limitations for the growth of the market. Similarly, the lack of skilled workers to develop artificial intelligence in fintech is expected to narrow down the scope of market growth.

Growing urbanization, globalization, and modernization boost market value growth. In other words, rising awareness regarding the benefits of cloud-based firewalls amongst small and medium size enterprises particularly in emerging economies to develop the infrastructure will offer many opportunities for the development of the market. Additionally, rising industrial infrastructure and the prevalence of a low number of vendors providing services, the growing adoption of simplified installation and centralized policy management, and the larger volume of the organizational data set are other market growth drivers.

Global Artificial Intelligence (AI) In Fintech Market Segmentation Analysis

The Global Artificial Intelligence (AI) In Fintech Market is segmented on the basis of Offering, Application, Deployment, And Geography.

Artificial Intelligence (AI) In Fintech Market, By Offering

• Services
• Solutions

Based on Offering, The market is bifurcated into Services and Solutions. The Solutions segment dominated the market for Artificial Intelligence in Fintech in 2021. The high share can be owing to software tools, as they help in deploying AI-enabled solutions in the banking sector to extract complete and correct data with a considerable amount of data and on time. Some companies' solutions help businesses in doing things, such as increasing the retail banking industry with next-best-action software, enhancing client connections with multichannel consumer experience solutions, and detecting & combating financial fraud.

Artificial Intelligence (AI) In Fintech Market, By Application

• Virtual Assistant (Chatbots)
• Business Analytics and Reporting
• Customer Behavioural Analytics
• Fraud Detection
• Quantitative and Asset Management
• Others

Based on Application, The market is segmented into Virtual Assistant (Chatbots), Business Analytics and Reporting, Customer Behavioural Analytics, Fraud Detection, Quantitative and Asset Management, and Others. The On-premise segment dominated the market for Artificial Intelligence in Fintech in 2021. Business analytics and reporting help in compliance and regulatory management and consumer behavior analysis. The segment's rise can be owing to various factors, including more informed decision-making, increased operational efficiency, and increased revenue. Various companies use big data, AI, and business analytics to make better business decisions.

Artificial Intelligence (AI) In Fintech Market, By Deployment

• Cloud
• On-Premise

Based on Deployment, The market is bifurcated into Cloud and On-Premise. The On-premise segment dominated the market for Artificial Intelligence in Fintech in 2021. On-premise deployment helps enterprises in installing services or software on a financial institution's systems or premises. Artificial intelligence is still in its developing stage and its impact may be more important in the near future. With the adoption of AI in the finance industry, several startups are giving tough competition to big players. Remarkable growth is projected in the fintech sector with the development of other technologies, such as cybersecurity and blockchain along with AI.

Artificial Intelligence (AI) In Fintech Market, By Geography

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa

Based on Regional Analysis, the Global Artificial Intelligence (AI) In Fintech Market is classified into North America, Europe, Asia Pacific, Latin America, the Middle East, and Africa. The North American region has the greatest market share and is expected to grow at the highest CAGR over the forecast period. 2021. This high share can be owing to a strong focus on R&D-derived inventions in the developed nations of the U.S. and Canada. Moreover, as market conditions become growingly challenging, AI has the potential to help to sustain FinTech and drive new growth by generating operating efficiencies and transforming the consumer experience through more hyper-personalized products and insights.

Key Players

The "Global Artificial Intelligence (AI) In Fintech Market" study report will provide valuable insight with an emphasis on the global market. The major players in the market are Microsoft Corporation, Google, Salesforce Inc., IBM Corporation, Intel Corporation, Airtrends, Amazon Web Services, EdgeVerve Systems Limited, Inbenta Technologies, IPsoft, Nuance Communication, Samsung, Next IT Corporation, and Comply Advantages.

Our market analysis also entails a section solely dedicated to such major players wherein our analysts provide an insight into the financial statements of all the major players, along with product benchmarking and SWOT analysis. The competitive landscape section also includes key development strategies, market share, and market ranking analysis of the above-mentioned players globally.

Key Developments

• In March 2024, InsurTech startup i3systems collaborated with Microsoft Azure for AI programme and deliver industry-leading accuracy in document and data intelligence for crucial BFSI processes.
• In June 2022, Virgin Money and SurePay partnered to protect consumers against fraud and misdirected online payments. SurePay's Confirmation of Payee (CoP) service is a real-time name-checking solution that gives UK payers greater assurance that their payments are going to the intended recipient.
• In February 2021, Microsoft has launched a cloud for the finance industry housed on an integrated platform that includes Microsoft 365, Azure, Dynamics 365, and Microsoft Power Platform. The public preview of the new service will be available on 31 March 2021, featuring specific capabilities for retail banking and broader industry services.
• Ace Matrix Analysis
• The Ace Matrix provided in the report would help to understand how the major key players involved in this industry are performing as we provide a ranking for these companies based on various factors such as service features & innovations, scalability, innovation of services, industry coverage, industry reach, and growth roadmap. Based on these factors, we rank the companies into four categories as Active, Cutting Edge, Emerging, and Innovators.
• Market Attractiveness
• The image of market attractiveness provided would further help to get information about the region that is majorly leading in the Global Artificial Intelligence (AI) In Fintech Market. We cover the major impacting factors that are responsible for driving the industry growth in the given region.
• Porter's Five Forces
• The image provided would further help to get information about Porter's five forces framework providing a blueprint for understanding the behavior of competitors and a player's strategic positioning in the respective industry. The porter's five forces model can be used to assess the competitive landscape in Global Artificial Intelligence (AI) In Fintech Market gauge the attractiveness of a certain sector, and assess investment possibilities.