According to a new report, published by KBV research, The Global AI Assistant Software Market size is expected to reach $27.78 billion by 2032, rising at a market growth of 17.1% CAGR during the forecast period.
The global AI assistant software sector has undergone rapid evolution over the past decade, tracing its roots from basic rule-based chatbots to today's advanced, generative AI platforms. Government agencies and large OEMs, such as Microsoft, Google, IBM, SAP and Oracle, have driven the transition by embedding natural language processing, reasoning, and task automation deeply into enterprise software. For example, IBM’s Watsonx Assistant forms part of its broader Watsonx data and AI ecosystem and supports voice and chat in enterprise environments.

The Software segment is experiencing a CAGR of 16.8 % during the forecast period. This includes applications for natural language understanding, voice and text-based interaction, contextual learning, and decision-making algorithms. Enterprises and developers rely heavily on these software solutions to build, deploy, and manage AI-powered assistants that enhance user engagement, automate routine tasks, and support intelligent workflows.
The Chatbots segment led the maximum revenue in the Global AI Assistant Software Market by Functionality in 2024, thereby, achieving a market value of $9.4 billion by 2032. These software agents are widely deployed in customer service, e-commerce, banking, telecommunications, and public sector interfaces to streamline user queries, reduce response time, and enhance service availability. Chatbots operate primarily through text-based interactions, often integrated within websites, messaging platforms, or mobile applications.
The Customer Service & Support segment is growing at a CAGR of 16.3 % during the forecast period. Enterprises across various industries have embraced AI-driven assistants to streamline customer interactions, handle repetitive inquiries, and ensure around-the-clock support. Virtual agents and chatbots are now being deployed across websites, mobile apps, messaging platforms, and voice channels to offer consistent, fast, and context-aware responses.
The North America region dominated the Global AI Assistant Software Market by Region in 2024, and would continue to be a dominant market till 2032; thereby, achieving a market value of $10.5 billion by 2032. The Asia Pacific region is anticipated to grow at a CAGR of 17.8% during (2025 - 2032). Additionally, The Europe region would witness a CAGR of 16.6% during (2025 - 2032).
By Component
By Functionality
By Application
By Geography