Conversational Computing Platform Market to Grow by $35.64 Billion Through 2028

Market research firm Technavio has projected the global conversational computing platform market to grow by $35.64 billion through 2028 at a compound annual growth rate of 55.15 percent.

The firm found that the conversational computing platform market, which includes chatbots and virtual digital assistants, is witnessing significant growth due to the increasing demand for artificial intelligence-driven solutions that enhance customer engagement and automate business processes.

These platforms offer valuable insights for businesses by identifying search and buying patterns, consumer behavior, and more, it said.

Industry growth is also accelerating as businesses adopt chatbots, text assistants, and voice assistants for advertising, customer service, and internal enterprise systems. Natural language processing, machine learning, and deep learning are key technologies driving this trend, as are cloud-based deployment models; while big data, the Internet of Things, blockchain, and data analytics are also integrating with conversational computing platforms for enhanced capabilities, according to Technavio.

Conversational computing platforms have evolved from handling basic customer queries to executing complex tasks, thanks to advancements in AI, it said further, noting that AI algorithms analyze customer conversations to determine their needs and take appropriate actions; sentiment analysis helps understand customer moods; real-time analytics enables quick human intervention when necessary; and chatbots use natural language processing to summarize key information, assisting with product queries and technical support.

However, challenges persist. One of them is integrating conversational computing with internal enterprise systems and remote work environments, which requires IT departments to adapt. Another is data privacy, which Technavio said is a significant concern for users. These platforms learn and improve through feedback and behavioral data, but the collection and use of personal information raises privacy and security concerns, it said.

Key market players identified in Technavio's report include Alphabet, Amazon, Amelia, Artificial Solutions International, Creative Virtual, Eudata, Inbenta Holdings, IBM, Jio Haptik Technologies, Kore.ai, LivePerson, Meta Platforms, Microsoft, onereach.ai, Oracle, Pypestream, Rasa Technologies, Rulai, Salesforce, and SmarTek21.