The global data annotation tool market is expected to grow at a CAGR of around 34.5% from 2021 to 2028 and is expected to reach the market value of around US$ 8.0 Bn by 2028.
Report coverage
| Market |
Data Annotation Tool Market |
| Analysis Period |
2017 - 2028 |
| Base Year |
2020 |
| Forecast Data |
2021 - 2028 |
| Segments Covered |
By Type, By Annotation Type, By Vertical and By Geography |
| Regional Scope |
North America, Europe, Asia Pacific, Latin America, and Middle East & Africa |
| Key Companies Profiled |
Annotate.com, CloudApp, Appen Limited, Deep Systems, Cogito Tech LLC, Labelbox, Inc., Playment and among others |
Report Coverage
|
Market Trends, Drivers, Restraints, Competitive Analysis, Player Profiling, Regulation Analysis |
| Customization Scope |
10 hrs of free customization and expert consultation |
A data annotation tool is a software solution that is cloud-based, on-premises, or containerized that is used to annotate production-grade training data for machine learning. A data annotation tool is typically intended for use with a specific type of data, such as text, audio, audio, sensor data, or spreadsheet. Furthermore, data annotation tools offer a variety of deployment models, including on-premise, container, and SaaS (cloud).
Market Dynamics
Big calls for Data Annotation Tools for identification of images in "Healthcare"
Over the years utility of medical images has become common due to release of inexpensive, mega-pixel quality digital cameras and the transition to digital radiology operations by hospitals. One of the difficulties that clinicians face is when dealing with images. Annotating digital images with symbols and text is a basic task that any clinical, educator, or scientist should perform when preparing material for academic use. Furthermore, major software applications include a feature that allows users to manage annotations (visible/invisible) within the application. Each flattened image serves a specific purpose, necessitating multiple copies of the same annotated image.
Rising utility of data annotation for handling big data on cloud and Hadoop platform creates new opportunities for the market to grow
When considering the current rate of data creation, data annotation is both critical and impressive. It is predicted that by 2025, approximately 463 Exabytes of data will be created every day around the world. With the impact of COVID-19, the role of data in daily interactions has accelerated. Apart from that, for the foreseeable future, algorithms will continue to shape the consumer experience. Data annotation tools powered by AI ensure that data base solutions are as accurate and representative as possible. Data annotation tools help to enrich data for training and deploying machine learning models, which determines whether an AI project succeeds or fails. These tools play an important role in developing a result oriented model to source a troublesome solution for various problems rather than investing in failed experiment.
Data annotation tools for document classification has gained high attention in the worldwide market
According to a report published by Aclanthology.Org, data annotation tools are in high demand because many tasks in industry and research require manual annotation of a potentially large number of documents. "ACTIVEANNO," for example, is a novel annotation tool designed for document level annotation tasks in both research and industrial settings. Data annotation software helps in quality control and verification management. Infact the tool includes quality control as a part of annotation process.
Market Segmentation
The global data annotation tool market is segmented as type, annotation type, and vertical. Based on type, the market is segmented as text, image/video, and audio. By annotation type, the market is segregated as manual, semi-supervised, and automatic. Based on vertical, the market is segmented as IT, automotive, government, healthcare, financial services, retail, and others
The text segment will dominate the global data annotation tool market in terms of type. During processing, AI interactions will improve text, sentiment, voice, and interaction. Text categorization is the process of assigning categories to sentences or paragraphs within a given document based on their topic. The development of new text mining applications is heavily reliant on pre-annotated text, which is critical for evaluating tool performance. The final annotations are selected from a new context-based strategy considering the co-occurrence and semantic connection of annotated concepts.
According to annotation type, the manual segment dominates the global data annotation tool market. Manual annotation is the process of reading a specific pre-selected document and providing additional information in the form of annotations. Furthermore, manual annotations are regarded as a bottleneck in many experiments, such as NLP. Such factors have a positive impact on segmental growth, resulting in the expansion of the global data annotation tool market.
According to vertical, the IT segment dominates the global data annotation tool market with a sizable revenue share. As new technology is developed in the IT industry, the data annotation tool is enhanced for training and deploying machine learning models that determine project success or failure. As technology advances, the data annotation tool ecosystem diversifies, providing more options for increasingly diverse cases. Tooling advancements occur every month, sometimes every few weeks. These changes result in improvements to existing tools as well as new tools for emerging use cases. Such factors are to blame for segmental growth, which in turn contributes to the overall data annotation tool market.
Regional Landscape
North America dominates the data annotation tool market; Asia Pacific register fastest growing CAGR
North America dominates the data annotation tool market and is expected to maintain this dominance throughout the forecast period. The growing use of data annotation tools in the AI industry drives demand for data annotation tools in the North America regional market. Additionally, the presence of key market players such as Apple, Microsoft, and Google involved in the development of AI and ML technologies further stimulates the adoption of data annotation tools, ultimately contributing to the growth of the global data annotation tool market.
On the other hand, Asia Pacific is expected to have the fastest growing CAGR in the data annotation tool market. Rising demand for advanced technologies creates lucrative opportunities for major players to enter and expand in the APAC region. Furthermore, prominent players in this region use data annotation tools to label their datasets for better use and to provide more insightful data to consumers. Such factors contribute to the expansion of the APAC data annotation tool market.
Competitive Landscape
The prominent players of the global data annotation tool market involve Annotate.com, CloudApp, Appen Limited, Deep Systems, Cogito Tech LLC, Labelbox, Inc., Playment and among others
Market Segmentation
Market By Type
Text
Image/Video
Audio
Market By Annotation Type
Manual
Semi-supervised
Automatic
Market By Vertical
IT
Automotive
Government
Healthcare
Financial Services
Retail
Others
Market By Geography
North America
• U.S.
• Canada
Europe
• U.K.
• Germany
• France
• Spain
• Rest of Europe
Asia-Pacific
• China
• Japan
• India
• Australia
• South Korea
• Rest of Asia-Pacific
Latin America
• Brazil
• Mexico
• Rest of Latin America
Middle East & Africa
• GCC
• South Africa
• Rest of Middle East & Africa
CHAPTER 1. Industry Overview of Data Annotation Tool
1.1. Definition and Scope
1.1.1. Definition of Data Annotation Tool
1.1.2. Market Segmentation
1.1.3. Years Considered for the Study
1.1.4. Assumptions and Acronyms Used
1.1.4.1. Market Assumptions and Market Forecast
1.1.4.2. Acronyms Used in Global Data Annotation Tool Market
1.2. Summary
1.2.1. Executive Summary
1.2.2. Data Annotation Tool Market By Type
1.2.3. Data Annotation Tool Market By Annotation Type
1.2.4. Data Annotation Tool Market By Vertical
1.2.5. Data Annotation Tool Market by Regions
CHAPTER 2. Research Approach
2.1. Methodology
2.1.1. Research Programs
2.1.2. Market Size Estimation
2.1.3. Market Breakdown and Data Triangulation
2.2. Data Source
2.2.1. Secondary Sources
2.2.2. Primary Sources
CHAPTER 3. Market Dynamics And Competition Analysis
3.1. Market Drivers
3.1.1. Driver 1
3.1.2. Driver 2
3.2. Restraints and Challenges
3.2.1. Restrain 1
3.2.2. Restrain 2
3.3. Growth Opportunities
3.3.1. Opportunity 1
3.3.2. Opportunity 2
3.4. Porter’s Five Forces Analysis
3.4.1. Bargaining Power of Suppliers
3.4.2. Bargaining Power of Buyers
3.4.3. Threat of Substitute
3.4.4. Threat of New Entrants
3.4.5. Degree of Competition
3.5. Market Concentration Ratio and Market Maturity Analysis of Data Annotation Tool Market
3.5.1. Go To Market Strategy
3.5.1.1. Introduction
3.5.1.2. Growth
3.5.1.3. Maturity
3.5.1.4. Saturation
3.5.1.5. Possible Development
3.6. Technological Roadmap for Data Annotation Tool Market
3.7. Value Chain Analysis
3.7.1. List of Key Manufacturers
3.7.2. List of Customers
3.7.3. Level of Integration
3.8. Cost Structure Analysis
3.8.1. Price Trend of Key Raw Materials
3.8.2. Raw Material Suppliers
3.8.3. Proportion of Manufacturing Cost Structure
3.8.3.1. Raw Material
3.8.3.2. Labor Cost
3.8.3.3. Manufacturing Expense
3.9. Regulatory Compliance
3.10. Competitive Landscape, 2019
3.10.1. Player Positioning Analysis
3.10.2. Key Strategies Adopted By Leading Players
CHAPTER 4. Manufacturing Plant Analysis
4.1. Manufacturing Plant Location and Establish Date of Major Manufacturers in 2019
4.2. R&D Status and Application Source of Data Annotation Tool Major Manufacturers in 2019
CHAPTER 5. Data Annotation Tool Market By Type
5.1. Introduction
5.2. Data Annotation Tool Revenue By Type
5.2.1. Data Annotation Tool Revenue (US$ Mn) and Forecast, By Type, 2017-2028
5.2.2. Text
5.2.2.1. Text Market Revenue (US$ Mn) and Growth Rate (%), 2017-2028
5.2.3. Image/Video
5.2.3.1. Image/Video Market Revenue (US$ Mn) and Growth Rate (%), 2017-2028
5.2.4. Audio
5.2.4.1. Audio Market Revenue (US$ Mn) and Growth Rate (%), 2017-2028
CHAPTER 6. Data Annotation Tool Market Revenue By Annotation Type
6.1. Introduction
6.2. Data Annotation Tool Revenue (US$ Mn) By Annotation Type
6.2.1. Data Annotation Tool Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
6.2.2. Manual
6.2.2.1. Manual Market Revenue (US$ Mn) and Growth Rate (%), 2017-2028
6.2.3. Semi-supervised
6.2.3.1. Semi-supervised Market Revenue (US$ Mn) and Growth Rate (%), 2017-2028
6.2.4. Automatic
6.2.4.1. Automatic Market Revenue (US$ Mn) and Growth Rate (%), 2017-2028
CHAPTER 7. Data Annotation Tool Market By Vertical
7.1. Introduction
7.2. Data Annotation Tool Revenue (US$ Mn) By Vertical
7.2.1. Data Annotation Tool Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
7.2.2. IT
7.2.2.1. IT Market Revenue (US$ Mn) and Growth Rate (%), 2017-2028
7.2.3. Automotive
7.2.3.1. Automotive Market Revenue (US$ Mn) and Growth Rate (%), 2017-2028
7.2.4. Government
7.2.4.1. Government Market Revenue (US$ Mn) and Growth Rate (%), 2017-2028
7.2.5. Healthcare
7.2.5.1. Healthcare Market Revenue (US$ Mn) and Growth Rate (%), 2017-2028
7.2.6. Financial Services
7.2.6.1. Financial Services Market Revenue (US$ Mn) and Growth Rate (%), 2017-2028
7.2.7. Retail
7.2.7.1. Retail Market Revenue (US$ Mn) and Growth Rate (%), 2017-2028
7.2.8. Others
7.2.8.1. Others Market Revenue (US$ Mn) and Growth Rate (%), 2017-2028
CHAPTER 8. North America Data Annotation Tool Market By Country
8.1. North America Data Annotation Tool Overview
8.2. U.S.
8.2.1. U.S. Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Type, 2017-2028
8.2.2. U.S. Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
8.2.3. U.S. Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
8.3. Canada
8.3.1. Canada Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Type, 2017-2028
8.3.2. Canada Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
8.3.3. Canada Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
8.4. North America PEST Analysis
CHAPTER 9. Europe Data Annotation Tool Market By Country
9.1. Europe Data Annotation Tool Market Overview
9.2. U.K.
9.2.1. U.K. Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Type, 2017-2028
9.2.2. U.K. Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
9.2.3. U.K. Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
9.3. Germany
9.3.1. Germany Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Type, 2017-2028
9.3.2. Germany Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
9.3.3. Germany Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
9.4. France
9.4.1. France Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Type, 2017-2028
9.4.2. France Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
9.4.3. France Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
9.5. Spain
9.5.1. Spain Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Type, 2017-2028
9.5.2. Spain Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
9.5.3. Spain Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
9.6. Rest of Europe
9.6.1. Rest of Europe Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Type, 2017-2028
9.6.2. Rest of Europe Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
9.6.3. Rest of Europe Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
9.7. Europe PEST Analysis
CHAPTER 10. Asia Pacific Data Annotation Tool Market By Country
10.1. Asia Pacific Data Annotation Tool Market Overview
10.2. China
10.2.1. China Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Type, 2017-2028
10.2.2. China Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
10.2.3. China Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
10.3. Japan
10.3.1. Japan Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Type, 2017-2028
10.3.2. Japan Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
10.3.3. Japan Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
10.4. India
10.4.1. India Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Type, 2017-2028
10.4.2. India Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
10.4.3. India Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
10.5. Australia
10.5.1. Australia Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Type, 2017-2028
10.5.2. Australia Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
10.5.3. Australia Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
10.6. South Korea
10.6.1. South Korea Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Type, 2017-2028
10.6.2. South Korea Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
10.6.3. South Korea Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
10.7. Rest of Asia-Pacific
10.7.1. Rest of Asia-Pacific Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Type, 2017-2028
10.7.2. Rest of Asia-Pacific Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
10.7.3. Rest of Asia-Pacific Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
10.8. Asia Pacific PEST Analysis
CHAPTER 11. Latin America Data Annotation Tool Market By Country
11.1. Latin America Data Annotation Tool Market Overview
11.2. Brazil
11.2.1. Brazil Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Type, 2017-2028
11.2.2. Brazil Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
11.2.3. Brazil Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
11.3. Mexico
11.3.1. Mexico Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Type, 2017-2028
11.3.2. Mexico Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
11.3.3. Mexico Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
11.4. Rest of Latin America
11.4.1. Rest of Latin America Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Type, 2017-2028
11.4.2. Rest of Latin America Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
11.4.3. Rest of Latin America Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
11.5. Latin America PEST Analysis
CHAPTER 12. Middle East & Africa Data Annotation Tool Market By Country
12.1. Middle East & Africa Data Annotation Tool Market Overview
12.2. Saudi Arabia
12.2.1. Saudi Arabia Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Type, 2017-2028
12.2.2. Saudi Arabia Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
12.2.3. Saudi Arabia Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
12.3. UAE
12.3.1. UAE Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Type, 2017-2028
12.3.2. UAE Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
12.3.3. UAE Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
12.4. Rest of Middle East & Africa
12.4.1. Rest of Middle East & Africa Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Type, 2017-2028
12.4.2. Rest of Middle East & Africa Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Annotation Type, 2017-2028
12.4.3. Rest of Middle East & Africa Data Annotation Tool Market Revenue (US$ Mn) and Forecast By Vertical, 2017-2028
12.5. Middle East & Africa PEST Analysis
CHAPTER 13. Player Analysis Of Data Annotation Tool
13.1. Data Annotation Tool Market Company Share Analysis
13.2. Competition Matrix
13.2.1. Competitive Benchmarking of key players by price, presence, market share, and R&D investment
13.2.2. New Product Launches and Product Enhancements
13.2.3. Mergers And Acquisition In Global Data Annotation Tool Market
13.2.4. Partnership, Joint Ventures and Strategic Alliances/ Sales Agreements
CHAPTER 14. COMPANY PROFILE
14.1. Annotate.com
14.1.1. Company Snapshot
14.1.2. Business Overview
14.1.3. Financial Overview
14.1.3.1. Revenue (US$ Mn), 2019
14.1.3.2. Annotate.com 2019 Data Annotation Tool Business Regional Distribution
14.1.4. Product/ Service and Specification
14.1.5. Recent Developments & Business Strategy
14.1.6. Manufacturing Plant Footprint Analysis
14.2. Appen Limited
14.3. CloudApp
14.4. Cogito Tech LLC
14.5. Deep Systems
14.6. Labelbox, Inc.
14.7. Playment
14.8. Others
