The machine translation market size is expected to advance at a CAGR of 7.1% during 2021–2030, to reach $319.44 million by 2030.
North America accounted for the largest machine translation market revenue share, of more than 44%, in 2021. This is mainly attributed to the rising demand for these solutions in the IT sector of the U.S. All the prominent IT firms are using this technology to meet the demands of international consumers for their solutions.
The market in Asia-Pacific is expected to witness the fastest growth, attributed to the rapid expansion of overseas businesses, lucrativeness of the customer base, growing number of high-net-worth individuals (HNWIs), rising income levels, and presence of several languages in the region.
The NMT category is expected to witness the highest compound annual growth rate during the forecast period, with the rising pace of technological enhancement, data volumes, and demand from businesses.
For instance, in July 2022, Amazon.com Inc. unveiled Sockeye 3—the newest version of its Sockeye toolkit—to train faster and more-powerful NMT models. Moreover, in February 2022, Amazon.com Inc. had launched Amazon Translate, an NMT service that provides fast, high-quality, and cost-effective translation and formality customization for French, German, Hindi, Italian, Japanese, and Spanish.
Moreover, IT & telecom companies are expanding geographically, to have a global presence. The growing need to overcome the language barrier in the industry is resulting in the widespread adoption of machine translation services. IT companies are releasing their products and services in multiple languages, to enable customers to make informed decisions. Similarly, telecom companies are using these solutions to detail their offers in local tongues.
In an increasingly globalized world, which requires medical help, healthcare and life sciences companies are also adopting machine translation solutions to overcome the language barrier. The industry has now expanded beyond the mere personal care offered by doctors to digital health involving medical documents, insurance claims forms, patient records, and IVR scripts. This creates a massive requirement for translation services to enable health professionals to understand the case of individual patients. At times, doctors require content translation to bridge the communication gap between themselves and patients, to offer better healthcare.
Product launches have been a major strategic step taken by the key players to capture a large market share. Machine translation providers are entering into strategic alliances with technology vendors to combine their expertise and offer best-in-class solutions. For instance, in July 2022, Omniscien Technologies unveiled its Language Studio V6.0, which offers fast machine translations, optical character recognition (OCR), automated speech recognition (ASR), document format conversions, and many more functionalities.
Technological advancements have been improving the output of modern MT systems with grammatical consistency and fewer errors, which has significantly broadened the scope of machine translation over the last couple of years. Companies operating in this market are continuously incorporating the abilities of speaker identification, sentiment analysis of texts, speech recognition, grammatical breakdown, and language identification into MT, to provide instant translation of multilingual text.
Major players operating in the machine translation market are AppTek Partners LLC, Google LLC, Cloudwords Inc., Lionbridge Technologies Inc., Omniscien Technologies Inc., Lingotek Inc., RWS Holdings PLC, IBM Corporation, Microsoft Corporation, SDL PLC, and Smart Communications Inc.