Market Trends of NLP Industry
This section covers the major market trends shaping the Natural Language Processing Market according to our research experts:
Large Organizations Expected to Register Significant Growth
- Large organizations are one of the primary drivers and investors in the NLP market. As these organizations were increasingly adopting deep learning and supervised and unsupervised machine learning technologies for various applications, the adoption of NLP is likely to increase. Cost and risk are some of the major factors driving the adoption of these technologies among large organizations.
- Most large end-user organizations across various industries mainly utilize these technologies to enhance their internal and external operations. Moreover, the ROI of the technology is only sometimes in the monetary form; hence, most small organizations find it risky to invest.
- Moreover, large-scale social media platforms also utilize text analytics and NLP technologies to monitor and track social media activities, such as political reviews and hate speeches. Platforms like Facebook and Twitter are managing published content with the help of these tools. The demand for information extraction product applications is also anticipated to increase due to the growing importance of web data for effective marketing and decision-making. Within the next few years, mobile chatbots are anticipated to revolutionize the marketing and commerce sectors.
- In September 2022, Lexicala, a language content provider, introduced new multilingual lexical data solutions for the Language Technology sector and academic research. Domain categorization, text annotation, expert parallel corpora, morphology, and other premium cross-lingual resources are included in the solutions for natural language processing (NLP) applications.
North America to Witness the Highest Market Growth
- According to RichRelevance, online shoppers in the United States are more inclined to use Google Assistant than other platforms. Additionally, the utilization of smart speakers to obtain results on diverse topics is gaining increasing popularity, which, in turn, is expected to compel companies to invest in the technology. This creates an immense opportunity for other application developers to target potential customers.
- NLP may also enhance the customer experience programs with various added benefits, thereby attracting more consumers, which, in turn, is projected to have a positive impact on the market growth in the country. The growing innovations in the market studied by the global players based in the United States are bringing advancement into the NLP market and fueling the rate of product launches in the region.
- For instance, IBM Research AI is exploring various applications of NLP for enterprise domains. For this, the company developed three programs, the first being advanced AI, where systems can learn from fewer amounts of data, leverage external knowledge, and use techniques that include neuro-symbolic approaches to language, which combine neural and symbolic processing. The second program is an analyzing AI, which focuses on how a system reaches a decision. The third is scaling AI, which enables continuous adaptation, and better monitoring and testing of systems, in order to support the deployment of language systems under the rigorous expectations of enterprises.
- In October 2022, IBM announced a collaboration with the United States Patent and Trademark Office (USPTO) to test AI-driven intellectual property (IP) analysis tool, the IBM IP Advisor with Watson Demonstration System. The Demonstration System would assist customers in accessing useful information utilizing their own terminology by allowing natural language processing of queries with IBM Watson Discovery technology, eliminating the need for specific words and complex procedures.