Speech-to-Text API Market Statistics: 2031
The global speech-to-text API market was valued at $2.4 billion in 2021, and is projected to reach $12.1 billion by 2031, growing at a CAGR of 17.8% from 2022 to 2031.
Rise in need for voice-based devices drives the speech-to-text API market growth. Several new advanced devices are being introduced with voice-controlled features, which include voice processing features, such as content transcription, conference call analysis, enabling users to access educational, entertainment and other content through their smart devices. In addition, rise in need for voice-based devices for better and faster experience is also boosting market growth. Thus, these factors drive the growth of the speech-to-text API market size.
However, transcribing audio from multichannel may hinder the adoption and multilingual support for captioning and subtitling hampering the growth of the speech-to-text API market size. On the contrary, innovation in speech-to-text solutions for disabled students will provide major lucrative opportunities for growth of the market.
The speech-to-text application programming interface (API) is a programming interface that enables the utilization of speech synthesis and recognition in a variety of devices and applications. Speech-to-text API is a multidisciplinary subject of computational linguistics that explores methods that allow computers to translate and recognize audible language into text. This is also called as Automatic Speech Recognition (ASR) or Speech-to-Text. It encompasses electrical engineering, computer science, and linguistics research and knowledge. Moreover, it provides hints to boost the transcription accuracy of rare and domain-specific words or phrases. Use classes to automatically convert spoken numbers into addresses, years and currencies.
Top Impacting Factors
Rising Need for Voice-based Devices
With the growing technological adoption and massive proliferation of internet-based content, the need for smart devices, such as smart speakers and mobile phones, has been increasing from the last decade, which resulted in the increased need for making online video content accessible for every individual. Several new advanced devices are being introduced with voice-controlled features, which include voice processing features, such as content transcription, conference call analysis, enabling users to access educational, entertainment and other content through their smart devices. Hence, speech-to-text applications have increased due to the increased need for understanding customer preferences.
Moreover, the demand for smart homes and smart appliances is increasing owing to various factors, including growing internet penetration, advancements in technology, and increasing awareness about automation. The COVID-19 pandemic has also resulted in the increasing use of smart devices and appliances in almost every aspect of daily life people have been forced to work from home, which is increasing demand for speech-to-text API in the market.
Rise in Demand of AI in Speech-to-text Technology
Advances in speech recognition technology have enabled businesses to develop voice-enabled interfaces that match consumer expectations thanks to significant advancements in natural language processing (NLP) and speech quality. Moreover, continuous enhancements in Al, cloud computing, and information technology have empowered innovations such as voice-to-text progress at a remarkable pace, which contribute to augment the speech-to-text API market growth.
In addition, advanced technologies such artificial intelligence and machine learning enable conversational devices to accurately perceive speech, which improves the system's capacity for self-learning. Furthermore, Al-based speech and voice recognition systems will automatically capture the complete agent-customer interaction to provide hidden feedback and opportunities. Therefore, this is a major propelling factor for the speech-to-text API market.
Transcribing Audio from Multichannel
Transcribing audio from multiple channels is a major restraining factor for this technology because defining multiple entities becomes difficult and can cause inaccurate transcriptions or captioning Moreover, background noise low-quality microphones, reverb and echo, and accent variations may hamper the transcription accuracy Speech-to-text APIs should be trained properly for multi-channel speech recognition through numerous types of data sets; however, it becomes difficult for enterprises to gather a variety of data sets for building their approach and solution that accurately converts speech-to-text for multiple channels. Therefore, this is a major factor hampering the growth of speech-to-text API industry.
Multilingual Support for Captioning and Subtitling
The language differentiation across the globe is the major concern for content creators to create transcripts and subtitles accurately for every language speech-to-text API solutions have been difficult to implement in countries that have several regional and local languages. As consumers and enterprises located across different parts of a country speak a variety of local languages, approaching them with a generic solution will not add any value to their business and would not lead to the successful penetration of speech-to-text API solutions. Moreover, solutions must be different in terms of functionality and platform from mainstream mobility solutions.
In addition, several speech-to-text API solution providers are making efforts to ensure users who speaks a single language and cannot speak other languages apart from their local dialect would get an opportunity to access speech-to-text features on their smartphones as well huge benefits can be achieved by designing speech-to-text API solutions for micro-linguistics and local languages.
Innovation in Speech-to-text Solutions for Disabled Students
With the help of the speech-to-text API technology, any video or audio-based content can be converted by a computer into text, which helps struggling listeners or hard of hearing students read correctly and do their work without taking help from others. For instance, speech-to-text software can enable a deaf- mute student to communicate with his/her teachers and classmates. Hence, this system works as assistive technology, helping disabled people benefit from the ICT.
Moreover, the individuals with Disabilities Education Act (IDEA) provides interactive software for disabled students. These students are unable to hear properly in the classroom. To overcome this, Gaylen Kapperman and Jodi Sticken of Northern Illinois University developed an interactive software tutorial that helps these students study the Nemeth code (a Braille code for mathematics) with the help of speech-to-text technology. The software is installed in Braille Lite-a small, portable Braille Notemaker that is equipped with synthetic speech software and a refreshable Braille display.
Segment Review
The speech-to-text API market is segmented on the basis of component, deployment mode, application and industry vertical. By component, it is segmented into software and services. By deployment mode, it is segmented into on-premise and cloud. By application, it is bifurcated into contact center and customer management, content transcription, fraud detection and prevention, risk and compliance management, subtitle generation and others. By industry vertical, it is segmented into BFSI, IT and telecom, healthcare, retail and e-commerce, media and entertainment, education, government and defense, and others. By region, it is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
On the basis of component, the software segment holds the largest speech-to-text API market share in 2021 as many enterprises are adopting speech-to-text API to improve customer experience. However, the services segment is expected to grow at the highest rate during the forecast period, owing to the increase adoption of managed and professional services for speech-to-text API during the forecast period.
Based on region, North America attained the highest growth in 2021, due to the increase in disposable income of consumers and the high demand for smartphones. Moreover, the increase in the standard of living, voice-based assistance, and businesses working remotely are a few reasons which drive the speech-to-text API market in North America.
Market Landscape and Trends
The speech-to-text API market is anticipated to expand as a result of a rise in the number of digital or virtual conferences and events hosted by industry titans. Many businesses use speech-to-text systems to speed up transcribing since they are low cost, highly accurate, and quick. Moreover, one of the main driving forces behind the expansion of the global speech-to-text API industry is the demand for smart devices such as smart speakers and mobile phones has increased over the last decade, resulting in a greater need to make online video content available to everyone. Such services streamline the purchasing process, improve client satisfaction, and make it simple for the operator to comprehend and monitor the data.
In addition, companies are continuously attempting to reduce their capital expenditures and operational costs. Because of the current competitive environment and global economic crisis, the adoption of cost-effective strategies for restructuring existing business models has increased. Therefore, these are the major market trends for speech-to-text API market forecast.
Key Benefits for Stakeholders
- This report provides a quantitative analysis of the market segments, current trends, estimations, and dynamics of the speech-to-text API market analysis from 2021 to 2031 to identify the prevailing speech-to-text API market opportunities.
- The speech-to-text API market research is offered along with information related to key drivers, restraints, and opportunities.
- Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
- In-depth analysis of the speech-to-text API market segmentation assists to determine the prevailing market opportunities.
- Major countries in each region are mapped according to their revenue contribution to the global market.
- Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players.
- The report includes the analysis of the regional as well as global speech-to-text API market trends, key players, market segments, application areas, and market growth strategies.
Speech-to-Text API Market Report Highlights
| Aspects | Details |
 Market Size By 2031 | USD 12.1 billion |
 Growth Rate | CAGR of 17.8% |
 Forecast period | 2021 - 2031 |
 Report Pages | 255 |
 By Component |
|
 By Deployment Mode |
|
 By Application |
|
 By Industry Vertical |
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 By Region |
|
 Key Market Players | Microsoft, Google LLC, Amazon Web Services, Inc., Voicebase, Inc., Speechmatics, Amberscript Global B.V., VoiceCloud, rev.com, Nuance Communications, Inc. , IBM Corporation |
Analyst Review
Speech-to-text APIs enable users to convert speech or audio content into textual formats. Such solutions are helpful in transcribing audio or video content into searchable formats, which help in marketing, customer care, and fraud detection and prevention applications.
Furthermore, market players are adopting collaboration strategies for enhancing their services in the market and improving customer satisfaction. For instance, on 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.
Some of the key players profiled in the report include Amazon Web Services, Inc., Amberscript Global B.V., Google LLC, IBM Corporation, Microsoft, Nuance Communications, Inc., rev.com, Speechmatics, Voicecloud and VoiceBase, Inc. These players have adopted various strategies to increase their market penetration and strengthen their position in the speech-to-text API market.
The global speech-to-text API market was valued at $2.4 billion in 2021, and is projected to reach $12.1 billion by 2031, registering a CAGR of 17.8% from 2022 to 2031.
Rise in need for voice-based devices and rise in need for voice-based devices for better and faster experience are the major factors driving the market growth.
North America is the largest regional market for Speech-to-Text API market.
Amazon Web Services, Inc., Amberscript Global B.V., Google LLC, IBM Corporation, Microsoft, Nuance Communications, Inc., rev.com, Speechmatics, Voicecloud and VoiceBase, Inc.
The key growth strategies include product portfolio expansion, acquisition, partnership, merger, and collaboration.
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