Speech-to-text API Market Forecasts to 2028 – Global Analysis By Component (Software and Service), By Deployment (On-Premises and Cloud), By Organization Size (Large Enterprises and Small & Medium-sized Enterprises (SMEs)), By Industry (Banking Finance Se

Speech-to-text API Market Forecasts to 2028 – Global Analysis By Component (Software and Service), By Deployment (On-Premises and Cloud), By Organization Size (Large Enterprises and Small & Medium-sized Enterprises (SMEs)), By Industry (Banking Finance Services and Insurances (BFSI), IT & Telecom and Other Industries), By Application (Contact Center and Customer Management, Content Transcription and Other Applications) and Geography

According to Stratistics MRC, the Global Speech-to-text API Market is accounted for $2.71 billion in 2022 and is expected to reach $7.04 billion by 2028 growing at a CAGR of 17.2% during the forecast period. Speech synthesis and recognition can be used in a variety of gadgets and applications thanks to the speech-to-text application programming interface (API). Computational linguistics' multidisciplinary field of speech-to-text API researches techniques that let computers convert spoken language into text and recognise it. The use of voice assistants and smart speakers like Alexa, Sid, Cortana, and Google Assistant has increased recently. The voice assistant recordings give companies new evidence of information that could theoretically be used to profile customers in other areas, like mood analysis or mental health-related matters. This speech-to-text market is anticipated to grow as intelligent voice assistants are becoming more popular.

According to Statista, by 2024, the number of voice assistants could double to 8.4 billion from 4.2 billion in 2020. Each individual will use multiple voice assistants.

Market Dynamics:

Driver:

Smart speakers and intelligent voice assistants to drive market

Smart speakers and voice assistants like Alexa, Siri, Cortana, and Google Assistant have become more popular over the past few years. Voice-enabled apps are likely to fundamentally alter how users interact with technology as more homes adopt these devices. The popularity of smart speakers has increased, and experts anticipate that in the upcoming year, a significant increase in the number of households using them. The development of voice-activated smart speakers offers fascinating possibilities, making it simple for users to use particular tools or navigate the internet. However, voice assistant recordings give businesses new evidence of data that could theoretically be used to profile customers in other areas like emotion analysis or aspects of mental wellbeing. The popularity of such sophisticated voice assistants is likely to fuel the market's expansion.

Restraint:

Transcribing audio from many channels

The difficulty of defining many terms leads to inaccurate transcriptions or captions, which is a significant barrier for this technology when transcribing audio from numerous channels. The accuracy of transcription can also be affected by background noise, poor microphones, reverb and echo, and accent changes. Voice-to-text APIs should be properly trained for multi-channel speech recognition using a variety of data sets; however, for businesses, collecting a variety of data sets can be challenging in order to establish an approach and solution that accurately converts speech to text for a variety of channels.

Opportunity:

Massive penetration of smartphones

The demand for smart devices, such as smart speakers and mobile phones, has grown over the past ten years as a result of the widespread adoption of technology and the vast development of internet-based content, which has increased the need to make online video content widely accessible. The introduction of a number of new cutting-edge devices with voice-controlled features, including content transcription and conference call analysis, enables users to access educational, entertaining, and other information on their smart devices. Speech-to-text apps have become more common due to the increasing need to understand customer preferences

Threat:

Privacy issues to impede adoption of voice-enabled applications

Concerns over voice-enabled devices' privacy are increasingly acting as a major barrier to the market's expansion. The adoption of voice-enabled devices is constrained by a number of subsequent cases involving privacy concerns from voice-controlled virtual assistants. In August 2019, for example, the data protection commissioner of Germany forbade Google LLC from listening to voice recordings made in Europe due to a privacy concern with Google's AI-based speech recognition technology. Such elements hamper the market growth.

Covid-19 Impact

As a result of COVID-19 universities and schools that work online have quickly adopted speech-to-text technologies. Speech-to-text technology has been getting more and more attention in online learning and classes, and academic institutions all over the world are adopting it more and more. The use of speech-to-text technology makes it possible to communicate with users even when the text on the screen is difficult to read or uncomfortable. The development of improved features in speech-to-text technologies is a result of technological advancements. However, because of social withdrawal and global initiatives to stay at home, it is anticipated that demand for such solutions will significantly rise. In order to optimise the overall execution of operations, these solutions are anticipated to be adopted widely in sectors like healthcare, e-learning, and media & entertainment.

The Cloud segment is expected to be the largest during the forecast period

During the forecast period, the cloud segment is anticipated to hold the largest market share in the global speech-to-text API market. Leading businesses are embracing the cloud because it is a flexible and reliable option. Servers, storage, databases, and analytics can all be done using cloud computing. Due to its speed, innovation happens more quickly. The market is driven during the forecast period by speech-to-text software's increased productivity.

The Banking Finance Services and Insurances (BFSI) segment is expected to have the highest CAGR during the forecast period

The Banking Finance Services and Insurances (BFSI) segment is expected to witness highest CAGR during the projection period. The use of speech-to-text converters to analyse customer feedback is the main driver of segment growth. Every day, banks and other financial institutions receive customer feedback, respond to inquiries, and file complaints. The majority of customers would rather speak with an operator than type their inquiries or sift through numerous menus and screens. The speech-to-text converter technology is crucial in addressing customer feedback and facilitating the smooth operation of BFSI. Such aspects are propelling the market growth.

Region with largest share:

Due to significant technology spending and widespread accessibility of solutions with a strong supplier presence, North America held the largest share during the forecast period. The area would continue to grow as more pertinent insights from voice data are needed. Intelligent virtual assistants have been widely adopted in developed nations like the United States and Canada. Furthermore, the rising demand for horticulture farming, the speech-to-text API market in the United States has been relatively robust for a few years and is anticipated to expand even more over the course of the forecast period.

Region with highest CAGR:

The Asia Pacific region is anticipated to witness the highest CAGR during the forecast period owing to region’s building up sizable manufacturing, healthcare, and educational infrastructure. Voice-based applications are being adopted by these industries for trading, diagnostics, and instruction. The markets in India, China, and South Korea are expanding their businesses and creating new technologies, which increases their capacity for production. Voice technologies are necessary in these sectors for efficient logistics and a positive customer experience. Because of these benefits, the global speech-to-text API market is anticipated to expand in the Asia Pacific region.

Key players in the market

Some of the key players profiled in the Speech-to-text API Market include Amazon Web Service, Inc., Deepgram, Google Inc., Vocapia Research SAS, VoiceBase, Inc., Amberscript Global B.V., AssemblyAI, Inc., IBM Corporation, Voxsciences, Microsoft Corporation, Nuance Communication, Inc., Rev.com, Inc., GL Communications, Contus, Twilio, Speechmatics Ltd., Verint System, Inc., Voci Technologies, Inc and Vonage API.

Key Developments:

In September 2021, Microsoft joined hands with CallMiner, a leading provider of conversation analytics. Following the collaboration, the world-class conversation analytics platform of CallMiner would be integrated with the speech recognition solution of Microsoft. Through this integration, companies would achieve higher value in their present tools and get a thorough understanding of customer conversations. By getting valuable insights, companies can help contact centers to enhance customer experiences and agent performance, and make informed business decisions across each department.

In January 2021, Microsoft formed a collaboration with Yellow Messenger, the world’s leading conversational AI platform. Following the collaboration, Yellow Messenger would transform its voice automation solution with the help of Azure AI Speech Services and Natural Language Processing (NLP) tools. Through this collaboration, Microsoft would help Yellow Messenger to develop customized voice models that enable superior accuracy and higher intent understanding.

In January 2021, Amazon Web Services teamed up with Talkdesk, the cloud contact center for innovative enterprises. Under this collaboration, Talkdesk Agent Assist and Talkdesk Speech Analytics would harness the potential of Amazon Transcribe to increase the number of languages and accents in the products being available.

Components Covered:
• Software
• Service

Deployments Covered:
• On-Premises
• Cloud

Organization Sizes Covered:
• Large Enterprises
• Small & Medium-sized Enterprises (SMEs)

Industries Covered:
• Banking Finance Services and Insurances (BFSI)
• IT & Telecom
• Healthcare
• Retail & e-Commerce
• Government & Defense
• Media & Entertainment
• Travel & Hospitality
• Other Industries

Applications Covered:
• Contact Center and Customer Management
• Content Transcription
• Fraud Detection and Prevention
• Risk and Compliance Management
• Subtitle Generation
• Other Applications

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2020, 2021, 2022, 2025, and 2028
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements