AIOps Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 27.24 Billion |
| Market Size (2029) | USD 79.91 Billion |
| CAGR (2024 - 2029) | 24.01 % |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | Europe |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
AIOps Market Analysis
The AIOps Market size is estimated at USD 27.24 billion in 2024, and is expected to reach USD 79.91 billion by 2029, growing at a CAGR of 24.01% during the forecast period (2024-2029).
With the increase in the number of people working from home, enterprise-instituted work-from-home (WFH) policies shifted information security focus from enterprise infrastructure to cloud and virtualized infrastructure.
- DevOps professionals are hampered by large amounts of warnings, substantial IT noise, and signals spread across diverse technologies. Meanwhile, companies need to increase IT infrastructure performance and manage events more precisely and quickly is expanding.
- Enterprises are moving toward AI-based solutions as they become more aware of how AI can handle difficulties and assist operating IT operations. Furthermore, the growing number of individuals working from home will likely increase the AIOps industry. According to the World Economic Forum, the number of days US employees work from home climbed from 1.58 per week in January 2021 to 2.37 in June last year.
- Furthermore, as devices gain intelligence, networks have become more complex, and data volumes have increased, boosting AIOps usage. The growing global use of cloud computing is also pushing the automation of many operations. As more businesses transition to the cloud, the need for AIOps platforms is projected to surge.
- The IT Operations Management (ITOM) industry is already reacting to the emergence of SaaS ITOM. SaaS as a delivery model for IT helpdesks and infrastructure monitoring is proven beneficial. These solutions typically incorporate log management, website monitoring, server monitoring, and cloud management from acquired SaaS vendors. However, lack of awareness is one of the significant concerns restraining market growth during the forecast period.
- Due to the increasing work-from-home policy across companies, the COVID-19 outbreak stimulated market growth in next-generation tech sectors, including artificial intelligence. For example, during the outbreak, LogMeIn, Inc. (US), a provider of cloud and SaaS-based remote connection and customer interaction services, substantially increased the number of new sign-ups across all its service portfolios.
- The rising number of cybercrimes, such as hacking, phishing, online identity theft, and ransomware assaults, which cause business disruptions and financial losses worldwide, generated concerns for many companies about their data security. According to a last year's gov.uk poll, 39% of UK firms recognized a cyber assault in the preceding 12 months, consistent with prior years of the study. Furthermore, the increased acceptance of automation technologies in enterprises, even on a small scale, is driving the deployment of AI-based platforms, which is expected to boost AIOps market growth.
AIOps Market Trends
This section covers the major market trends shaping the AIOps Market according to our research experts:
BFSI is Expected to Hold Significant Share
- Banking operations include many periodic and aperiodic activities and transactions performed by employees, customers, and external agencies. These activities are complex, which makes monitoring essential. AIOps delivering real-time information and automated problem-solving are expected to boost market growth over the forecast period. The AIOps platform from C.A. technologies, i.e., C.A. Digital Experience Insights, enables financial firms to solve complex I.T. problems, including performance, capacity, and configuration issues.
- Banks and other financial institutions focus on ensuring the security of the data they generate, primarily due to the numerous high-profile data breaches over the past few years.
- Many banks and other financial institutions are using AIOps to increase their efficiency. For instance, a central Indian bank intended to increase the success rate of its digital merchants' onboarding process and streamline and simplify transactions for its new clients. By better servicing ON-US & OFF-US transactions, QualityKiosk's AIOps-based analytics solution AnaBot boosted revenue by 7% and enhanced the success percentage of merchant onboarding.
- According to BAE Systems Applied Intelligence, cybercrime increased at about three-fourths (74%) of financial institutions in the U.S. and the United Kingdom. In addition to the recognized financial losses, cybercrime can have severe financial implications for enterprises, including collapsing stock prices, reputational damage, and legal action. AIOps can help in the defense against this crime. AIOps solutions offer round-the-clock monitoring, suspicious activity detection, and defense operation initiation to safeguard susceptible systems.
- Furthermore, the integration of A.I. in operation services across financial institutions enhanced the capabilities built into the service desk systems. It thus provides the oversight and critical performance indicators necessary for the higher management to identify operational trends before adversely impacting the existing products and processes.
Europe to Witness Significant Growth
- One of the primary reasons for the European AIOps market growth is the region's MSPs seeking to offer comprehensive services to enterprises undergoing large-scale digital transformation and requiring modern operations solutions.
- Companies in the region employ various strategies to achieve a competitive edge. For instance, in October last year, Micro Focus, a business with headquarters in the UK, declared that Operations Bridge had been recognized as a Leader in the Research in Action (RIA) Vendor Evaluation MatrixTM study for AIOps Platforms. In addition to receiving this honor, Micro Focus also unveiled Operations Bridge Reports and Cloud Observability, two new SaaS solutions.
- Moreover, the most widely reported adoption of AI (47%) was in the IT/technology function, followed by R&D with 36% and customer service with 24%. It signifies the growing importance given to AI in the IT operations field.
- The government plays a significant role in increasing awareness about artificial intelligence in daily operations. By declaring AI as a major strategic priority, several member states and EU institutions are taking steps to advance the region's ambitions for AI leadership. It includes rolling out devoted national and EU-level AI strategy documents, boosting research and innovation, and exploring new regulatory approaches for managing the development and use of AI.
- Additionally, the European Commission intends to invest EUR 1 billion (USD 1.07 billion) annually in AI through Horizon Europe and Digital Europe programs. Over the digital decade, it will mobilize further investment from the private industry and the Member States to reach an annual capital volume of Euro 20 billion (USD 21.39 billion), predicted to propel the AIOps industry in the region.
- Europe recently released a set of strict rules and safeguards for the development and artificial intelligence use as it tries to make an ethical approach to the new technology to gain a competitive advantage over China and the United States. Before entering the market, all 'high-risk' AI applications will be subject to a compulsory assessment. It will be especially beneficial for the healthcare and BFSI sectors which handle sensitive data using AIOps.
AIOps Industry Overview
The competitive rivalry amongst the players in the market is high owing to the presence of some key players such as Moogsoft Inc., IBM Corporation, Splunk Inc., BMC Software Inc., and Sumo Logic Inc., amongst others. The ability to continually innovate its products and services allowed them to gain a competitive advantage over other players in the market. These players can attain a more significant market footprint through strategic partnerships, mergers & acquisitions, and research and development activities.
- November 2022- Aprecomm, a provider of network intelligence, unveiled their AIOps solution for Edgecore ecCloud controllers, the Aprecomm Virtual Wireless Expert. According to a release, all users of Edgecore Wi-Fi 6 access points can increase network performance due to the Edgecore Wi-Fi AIOps solution that the two firms jointly introduced.
- June 2022- The HCL Technologies DRYiCE introduced DRYiCE IntelliOps (IntelliOps), a solution that addresses an enterprise's full-stack AIOps and workflow observability demands. Businesses have made significant investments in sophisticated digital efforts to modernize their IT environment and strive to meet consumer expectations for constantly available digital services. However, a few obstacles still need to be overcome.
AIOps Market Leaders
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Moogsoft Inc.
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IBM Corporation
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Splunk Inc.
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BMC Software Inc.
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Sumo Logic Inc.
*Disclaimer: Major Players sorted in no particular order
AIOps Market News
- October 2022- IBM announced version 3.5 availability of the IBM Cloud Pak for Watson AIOps. With an emphasis on the capability to assist the users in understanding priorities among all IT stories in the context of a business line or service, IBM Cloud Pak for Watson AIOps v3.5 seeks to close this gap. Business context data is made available on an AIOps Insights Dashboard by Cloud Pak for Watson AIOps v3.5, a new offering feature in this release. It provides an illustration of the buyer context for the stakeholders to link business key performance indicators (KPIs) to application problems and rank repair options according to their potential effect.
- September 2022- Fortinet, a worldwide leader in integrated, comprehensive, and automated cybersecurity solutions, announced the improved AIOps capabilities across its complete networking portfolio, such as the industry's first AI-based network services management for 5G/LTE gateways.
- March 2022- Deloitte Launched AIOPS.D, a plug-and-play modular services platform powered by AI to assist customers in autonomously running essential business processes across various areas, such as finance, supply chain, and procurement. With this new service, customers may concentrate on high-value tasks while Deloitte manages critical company operations and creates the "future of work" using autonomous processes.
AIOps Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Attractiveness - Porter's Five Forces Analysis
4.2.1 Bargaining Power of Suppliers
4.2.2 Bargaining Power of Consumers
4.2.3 Threat of New Entrants
4.2.4 Threat of Substitute
4.2.5 Intensity of Competitive Rivalry
4.3 Assessment of the Impact of COVID-19 on the Market
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Growing demand for AI-based services in IT operations
5.1.2 Increasing end-to-end business application assurance and uptime
5.2 Market Restraints
5.2.1 Increasing number of changes in IT operations
5.3 Market Opportunities and Key Developments
5.3.1 SMEs Moving Towards Cloud Infrastructure
5.3.2 Government Initiatives For AI Adoption in Various Countries
5.4 AIOps Tools Released in Past Two Years and Key AIOps Platform Capabilities To be Considered
5.5 Application of AIOps across various Use Cases Over the Life Cycle of an Application
5.6 Evolution of AIOps Stages and Use Cases
6. KEY APPLICATION LANDSCAPE
6.1 Root Cause Analysis
6.2 Network Availability and Optimization
6.3 Problem Assignment
6.4 Anomaly Detection and Cybersecurity
6.5 Improved Storage Management
7. MARKET SEGMENTATION
7.1 Organization Type
7.1.1 Small and Medium Enterprises
7.1.2 Large Enterprise
7.2 Deployment
7.2.1 On-Premise
7.2.2 Cloud/SaaS
7.3 End-User Industry
7.3.1 Media and Entertainment
7.3.2 IT and Telecom
7.3.3 Retail
7.3.4 Healthcare
7.3.5 BFSI
7.3.6 Other End-User Industries
7.4 Geography
7.4.1 North America
7.4.2 Europe
7.4.3 Asia Pacific
7.4.4 Latin America
7.4.5 Middle East and Africa
8. KEY VENDOR PROFILES
8.1 Bigpanda Inc.
8.2 BMC Software Inc.
8.3 Broadcom Inc
8.4 Elasticsearch B.V
8.5 IBM Corporation
8.6 Logz.Io (Logshero Ltd.)
8.7 Loom Systems Ltd. (Service Now Inc)
8.8 Moogsoft Inc.
8.9 Splunk Inc
8.10 Appdynamics LLC (Cisco Systems Inc)
8.11 Dynatrace LLC
8.12 Extrahop Networks Inc.
8.13 New Relic Inc.
8.14 Resolve Systems LLC
8.15 Stackstate BV
9. INVESTMENT ANALYSIS
10. FUTURE OF THE MARKET
AIOps Industry Segmentation
AIOps combines machine learning and extensive data functionality to analyze the increasing variety, volume, and velocity of data generated due to digital transformation to support operations. The essential functions/capabilities of AIOps platforms include storing & providing access to data, suggesting prescriptive responses to analysis, enabling data analytics using ML, ingesting data from multiple sources, and initiating action. The AIOps market is segmented by organization type (small and medium enterprises, large enterprises), deployment (on-Premises, Cloud/SaaS), end-user industry (media and entertainment, IT and Telecom, retail, healthcare, BFSI, and other end-user industries), and geography (North America, Europe, Asia Pacific, Latin America, and Middle East and Africa).
The market sizes and forecasts are in terms of value (USD million) for all the above segments.
AIOps Market Research FAQs
How big is the AIOps Market?
The AIOps Market size is expected to reach USD 27.24 billion in 2024 and grow at a CAGR of 24.01% to reach USD 79.91 billion by 2029.
What is the current AIOps Market size?
In 2024, the AIOps Market size is expected to reach USD 27.24 billion.
Who are the key players in AIOps Market?
Moogsoft Inc., IBM Corporation, Splunk Inc., BMC Software Inc. and Sumo Logic Inc. are the major companies operating in the AIOps Market.
Which is the fastest growing region in AIOps Market?
Asia-Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in AIOps Market?
In 2024, the Europe accounts for the largest market share in AIOps Market.
What years does this AIOps Market cover, and what was the market size in 2023?
In 2023, the AIOps Market size was estimated at USD 21.97 billion. The report covers the AIOps Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the AIOps Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
AIOps Industry Report
Statistics for the 2024 AIOps market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. AIOps analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
