Data Annotation Tools Market is expected to reach US$ 6,450.0 Million in 2027

The global data annotation tools market was valued US$ 897.5 Mn in 2020 and is expected to reach US$ 6,450.0 Mn by 2027 with a CAGR growth rate of 32.54% in the forecast period from 2019 to 2027. The process of data annotation includes labeling of data which makes it usable for machine learning. Data annotation tools are an important tool for data scientists as they make use of the labelled data with machine learning algorithms. Data can be in any form such as images (from cars, phones, or medical instruments), text (in English, Spanish, Chinese, or any other language), audio and video. There are different types of annotation techniques like polygon annotation, semantic segmentation, bounding box annotation, landmark annotation, polylines annotation and 3D point cloud annotation. In house teams can label the data if it is a small set, but this can be time consuming. When data is huge outsourcing it to companies like Precise BPO Solution who can handle millions of annotations in a week could save time. Further, investments by various market players in data annotation techniques in order to offer high quality labelled data are predictable to play a significant role in the near future.

The data annotation tools market operates in a highly fragmented and competitive marketplace. As leading companies in this market continue to broaden its addressable market, by expanding its current offerings, diversifying its client base, all the prominent players face an increasing level of competition, both from start-ups as well as the leading established companies in the globe. Several companies in the value chain are acquiring other players in the market to maintain their position in the market and provide efficient services to its customers. Major companies of data annotation tools providers are based in North America and mainly the US. However, the market is penetrating at a high growth rate in the APAC region.

Data Annotation Tools Market - Geographic Breakdown, 2018

The report segments the global data annotation tools market as follows:

Global Data Annotation Tools Market – By Type

• Text
• Image
• Others

Global Data Annotation Tools Market – By Annotation Type

• Manual
• Semi-Supervised
• Automatic

Global Data Annotation Tools Market – By End User  

• Automotive
• Government
• Healthcare
• Financial Services
• Retail
• IT and Telecom
• Others

Global Data Annotation Tools Market – By Geography

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • France
  • Germany
  • UK
  • Italy
  • Russia
  • Rest of Europe
• Asia Pacific
  • China
  • India
  • Japan
  • Australia
  • South Korea
  • Rest of Asia-Pacific
• Middle East & Africa
  • South Africa
  • Saudi Arabia
  • UAE
  • Rest of Middle East & Africa
• South America
  • Brazil
  • Argentina
  • Rest of South America