AI In Accounting Market Size (2024 - 2029)

AI in Accounting Market Analysis

The AI In Accounting Market size is estimated at USD 1.56 billion in 2024, and is expected to reach USD 6.62 billion by 2029, growing at a CAGR of 33.5% during the forecast period (2024-2029).

To increase precision, effectiveness, and decision-making in accounting, artificial intelligence (AI) is increasingly being employed. Accounting professionals may now concentrate on more strategic responsibilities by automating repetitive processes like data input, bookkeeping, and financial statement preparation using AI algorithms.

• The accounting industry has shifted its emphasis from manual entry with paper and pencil to automated entry with software due to substantial advancements in AI over the years. AI covers all essential facets of accounting procedures. Financial institutions' operations are evolving while becoming more efficient due to their capacity to lessen the laborious, demanding character of the accounting profession.
• Financial professionals are adopting AI to assist in business decision-making based on accounting data insights, such as transactional data and client demographics, in real time. Financial professionals employ AI because of its capacity to assess massive amounts of data, find abnormalities in the system, and streamline operations while ensuring speed and scalability.
• By incorporating AI, businesses can forecast cash flows, identify fraud, and foresee bankruptcies, which enables accountants to assist customers before problems become serious and change spending accordingly. Additionally, it will likely allow accountants to expand beyond conventional financial planning and increasingly incorporate other crucial business areas into their predictive consulting.
• AI can also help with regulatory compliance, risk management, and auditing by offering real-time monitoring and financial data analysis. Accounting is changing due to AI since it is becoming more strategic, precise, and efficient. Future developments in artificial intelligence (AI) in accounting are anticipated to be much more creative.
• The demand for specialized knowledge and abilities is one of the main obstacles. Accountants must develop their data analytics and machine learning skills to profit from AI. The possibility of job displacement is another issue.
• The entire fintech industry experienced favorable market growth as a result of COVID-19. The need for AI-based accounting software surged as governments and authorities encouraged using digital payments in response to the pandemic. Digital payments became more widespread due to the work-from-home trend, telemedicine, teleconferencing, online food delivery, and telebanking.

AI in Accounting Industry Segmentation

Leveraging AI technology is proving not just worthwhile but also transformative for enterprises in the accounting industry. Disruptive technology applications, like machine learning (ML) and predictive analytics, are aiding industry insiders to enhance their operational efficiency and cut costs in accounting activities. However, AI's impact on the industry extends beyond cost savings, offering several potential benefits. The study includes various trends that are driving the inclusion of AI in the processes of accounting. Companies incorporating AI in their accounting software and AI-enabling companies are included in the study.

The artificial intelligence in the accounting market is segmented by Component (Software, Service), Deployment (On-Premise, Cloud), Organization Size (SMEs, Large Enterprises), and Geography (North America, Europe, Asia-Pacific, and the rest of the world). The market sizes and forecasts are provided in terms of value (USD billion) for all the above segments.