Advanced Analytics Market - Global Industry Size, Share, Trends, Opportunity, and Forecast Segmented By Type (Big Data Analytics, Business Analytics, Customer Analytics and Others), By Deployment (On-premise and Cloud), By End-User (BFSI, Government, IT & Telecom, Healthcare and Others), By Region, and By Competition, 2020-2030F

Market Overview

The Global Advanced Analytics Market, valued at USD 41.10 Billion in 2024, is projected to experience a CAGR of 18.67% to reach USD 114.79 Billion by 2030. Advanced analytics refers to the application of sophisticated techniques and tools, often leveraging artificial intelligence and machine learning, to examine data beyond traditional business intelligence, thereby enabling predictive modeling, prescriptive insights, and automated decision-making. Key drivers supporting market expansion include the escalating volume and complexity of enterprise data, the imperative for organizations to derive actionable insights for strategic advantage, and the ongoing pursuit of enhanced operational efficiencies across diverse industry sectors.

Despite these growth factors, a significant challenge impeding market expansion is the persistent concern surrounding data governance, privacy, and security, which necessitates robust regulatory compliance and ethical frameworks. According to the Insights Association, in 2023, the U. S. Insights & Analytics market experienced a growth of 7.6%.

Key Market Drivers

The proliferation of big data represents a foundational driver for the global advanced analytics market. Organizations are facing an escalating volume, velocity, and variety of data originating from numerous sources, including transactional systems, IoT devices, and digital platforms. This immense data inflow overwhelms traditional analytical methods, creating a clear imperative for more capable processing and insight extraction. According to Rivery, in May 2025, "Big data statistics: How much data is there in the world? ", the global volume of data created, captured, copied, and consumed reached 149 zettabytes in 2024, highlighting the vastness of data available for sophisticated analysis. This continuous expansion directly underpins the increasing demand for advanced analytics solutions that can transform raw data into strategic assets.

Concurrently, advancements in artificial intelligence and machine learning serve as a critical enabler, providing the sophisticated capabilities necessary to process big data and generate actionable insights. These technologies extend beyond descriptive reporting, facilitating predictive modeling, prescriptive guidance, and automated decision-making across various functions. The rapid development and accessibility of AI and ML algorithms, often via cloud-based platforms, allow businesses to deploy more accurate and powerful analytical models. According to G2 Learning Hub, in May 2025, "Global AI Adoption Statistics: A Review from 2017 to 2025", the industry built almost 90% of the top AI models in 2024, a significant rise from 60% in 2023, illustrating rapid innovation. This technological progress enhances advanced analytics applications for risk management, fraud detection, and customer experience optimization. Broadly reflecting this market expansion, according to the U. S. Bureau of Labor Statistics, the employment of data scientists is projected to increase by 36% from 2021 to 2031, demonstrating sustained demand for analytics expertise.

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Key Market Challenges

The persistent concern surrounding data governance, privacy, and security represents a significant challenge to the growth of the Global Advanced Analytics Market. Organizations must meticulously manage expansive and intricate datasets, while simultaneously navigating strict regulatory mandates and upholding ethical data practices. This necessity for robust compliance frameworks often introduces considerable operational complexities and demands substantial resource allocation, thereby reallocating investments that could otherwise propel innovation and expansion within advanced analytics.

The rigorous requirements for data protection directly restrain the full capabilities of advanced analytics by limiting the availability and utility of data. Establishing and sustaining the necessary controls to guarantee privacy and security, alongside managing varied global regulations, requires considerable organizational effort. According to the IAPP's Privacy Governance Report 2024, 99% of surveyed professionals reported encountering difficulties in achieving privacy compliance. This widespread struggle in meeting regulatory obligations frequently leads companies to narrow the scope of their data analysis, delay the implementation of new analytics projects, or defer the adoption of innovative techniques, consequently hindering overall market development.

Key Market Trends

The increased adoption of Explainable AI (XAI) is a pivotal trend in the global advanced analytics market, underscoring transparency and trustworthiness in AI-driven decisions. As AI models grow complex, understanding their conclusions is crucial for compliance, risk mitigation, and user acceptance. This enables organizations to debug systems and build stakeholder confidence. According to Mastercard's 2025 Consumer Cybersecurity Survey, 64% of respondents stated that explainable AI features increase trust. Microsoft's Responsible AI Transparency Report outlined how automated dashboards monitoring AI model lifecycles contributed to a 40% reduction in incident detection and investigation time, facilitating greater adoption of AI-powered analytics by addressing algorithmic opacity.

The expansion of Edge Analytics deployments represents a key trend propelling the global advanced analytics market, shifting capabilities closer to data sources. This is driven by demand for low-latency processing, reduced bandwidth, and improved data security, especially for Internet of Things devices and industrial automation. Edge analysis enables immediate insights and swift responses. The Eclipse Foundation's 2023 IoT and Edge Commercial Adoption Survey Report indicated edge computing solution adoption remained at 33% in 2023, with an additional 30% planning deployment within 24 months. In a July 2025 announcement, Cisco partnered with SiMa. ai to integrate their AI platform with industrial Ethernet switches, accelerating low-latency, production-grade AI at the edge across manufacturing, logistics, and automation sectors.

Segmental Insights

The Banking, Financial Services, and Insurance (BFSI) segment is experiencing rapid growth in the Global Advanced Analytics Market due to several critical factors. Financial institutions manage vast quantities of transactional and customer data daily, requiring sophisticated tools to derive actionable insights. Advanced analytics plays a pivotal role in strengthening risk management and detecting fraudulent activities in real time, essential for safeguarding assets and maintaining trust. Furthermore, adherence to increasingly complex global regulatory frameworks, such as the Basel Accords, necessitates robust data analysis for compliance and reporting, thereby driving the adoption of advanced analytics. Additionally, the demand for personalized customer experiences and tailored financial products compels BFSI firms to leverage advanced analytics for deeper customer understanding and engagement.

Regional Insights

North America continues to lead the global advanced analytics market due to several distinct factors. The region benefits from a highly developed IT infrastructure and a significant rate of technological adoption across diverse industries. This robust environment, coupled with substantial investments in research and development, fosters the presence of numerous major technology providers and a strong ecosystem of innovative startups. Furthermore, North America exhibits a high prevalence of digitally mature businesses and supportive regulatory frameworks that encourage data utilization and innovation, particularly in sectors such as financial services and healthcare. This combination drives the demand for advanced analytics solutions, enabling data-driven decision-making and enhancing operational efficiency across the region.

Recent Developments

• In June 2025, Wamid, the technology and innovation arm of Saudi Tadawul Group, announced a multi-year strategic partnership with BMLL Technologies. This collaboration aimed to launch a suite of white-labelled, cloud-based analytics tools tailored for the Saudi capital market. The new platform provided quant teams, analysts, and institutional investors with direct access to extensive historical order book data, enabling them to execute advanced models within a Python-native environment. This initiative was specifically designed to enhance market transparency and facilitate insight-led decision-making for financial institutions, significantly impacting the global advanced analytics market through specialized financial applications.

• In March 2025, IBM unveiled its Granite 4.0 hybrid AI models, representing a significant advancement in computational efficiency. These models were engineered to operate with substantially lower memory and hardware requirements, demonstrating a reduction in RAM usage exceeding 70% compared to conventional transformer-based models, particularly for tasks involving large inputs and numerous concurrent sessions. This breakthrough research enhanced the accessibility and cost-effectiveness of deploying powerful AI-driven analytical capabilities. Such innovations directly contributed to the global advanced analytics market by enabling more efficient and widespread adoption of sophisticated analytical tools across various enterprise applications.

• In December 2024, Amazon Web Services (AWS) introduced the next generation of Amazon SageMaker at its re:Invent conference. This launch presented a unified platform integrating data, analytics, and AI capabilities, offering a cohesive experience with streamlined data access and robust governance. Key additions included Amazon SageMaker Unified Studio (preview), Amazon SageMaker Lakehouse, and Amazon SageMaker Data and AI Governance. These enhancements were designed to help organizations more effectively leverage their data, accelerating the generation of actionable insights and reinforcing AWS's position in the global advanced analytics market by simplifying complex data science workflows.

• In March 2024, Microsoft expanded its strategic collaboration with NVIDIA, focusing on integrating generative AI, cloud computing, and accelerated computing within the healthcare and life sciences sectors. This partnership leveraged the global scale and advanced computing power of Microsoft Azure, combined with NVIDIA DGX Cloud and the NVIDIA Clara suite. The objective was to accelerate innovation in clinical research, drug discovery, and patient care by making specialized AI microservices available on Azure AI. This enabled optimized inference and fine-tuning of models using extensive medical data, directly enhancing advanced analytics capabilities in a critical industry.

Key Market Players

• Altair Engineering, Inc.
• Fair Isaac Corporation (FICO)
• IBM Corporation
• Microsoft Corporation
• Oracle Corporation
• SAP SE
• SAS Institute Inc.
• Knime AG
• Trianz Group

Report Scope:

In this report, the Global Advanced Analytics Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Advanced Analytics Market, By Type:

o   Big Data Analytics

o   Business Analytics

o   Customer Analytics

o   Others

• Advanced Analytics Market, By Deployment:

o   On-premise

o   Cloud

• Advanced Analytics Market, By End-User:

o   BFSI

o   Government

o   IT & Telecom

o   Healthcare

o   Others

• Advanced Analytics Market, By Region:

o   North America

§  United States

§  Canada

§  Mexico

o   Europe

§  France

§  United Kingdom

§  Italy

§  Germany

§  Spain

o   Asia Pacific

§  China

§  India

§  Japan

§  Australia

§  South Korea

o   South America

§  Brazil

§  Argentina

§  Colombia

o   Middle East & Africa

§  South Africa

§  Saudi Arabia

§  UAE

Competitive Landscape

Company Profiles: Detailed analysis of the major companies presents in the Global Advanced Analytics Market.

Available Customizations:

Global Advanced Analytics Market report with the given market data, TechSci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional market players (up to five).

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