Latin America Artificial Intelligence Market Forecast by 2033

Market Size in 2024: USD 4.71 Billion
Market Forecast in 2033: USD 30.20 Billion
Market Growth Rate 2025-2033: 22.9%

The Latin America artificial intelligence market was valued at USD 4.71 Billion in 2024 and is projected to reach USD 30.20 Billion by 2033, growing at a CAGR of 22.9% during 2025-2033. This growth is driven by rapid digital transformation across industries, government support for AI adoption, and increasing investments in cloud infrastructure, research, and AI talent development.

Growth Drivers of the Latin America Artificial Intelligence Market

Government Support and Policy Initiatives

Governments throughout Latin America are supporting AI through policies and funding programs, including Brazil's national AI policy within Mexico's national strategy for innovation. These aim for developing and using AI. Between 2018 and 2024, about USD 640 million went into AI in the region as public-private partnerships developed the local AI ecosystem and talent and also established AI startups. Such initiatives are creating a positive ecosystem around AI growth in sectors ranging from healthcare to manufacturing.

Expansion of AI in Healthcare and Fintech

AI grows fastest within healthcare and finance industries of Latin America. Hospitals and clinics use AI systems more and more in diagnosis, predictive analytics, and telemedicine to improve the quality of care. The United Nations reported an increase of eighty percent in AI-related publications from Latin America. Clinical medicine is the most common area. Fintechs used AI to screen for fraud, assess credit scores, and create customer interactions that are automated. The survey showed that 56% of regional respondents use AI chatbots now, and customer service automates for a reach of 60% by 2029.

Smart Cities and Infrastructure Development

Artificial intelligence focuses more as Latin American smart city projects address traffic congestion, save energy, and plan urban areas. In October 2024 the AI company Gorilla Technology Group, with NC Digy Smart Cities, implemented AI smart solutions and created smarter, resilient, and future-proof urban areas. In Chile, in Uruguay, and in Colombia, governments are investing into AI for monitoring, waste collection, and water distribution. AI systems can cut waste, pollution, and aid more efficient resource use, improving life quality amid increased urbanization. These projects show AI technology's possible effect on the region's future urban environments.

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Latin America Artificial Intelligence Market Segmentation

Analysis by Type

• Narrow/Weak Artificial Intelligence
• General/Strong Artificial Intelligence

Analysis by Offering

• Hardware
• Software
• Services

Analysis by Technology

• Machine Learning
• Natural Language Processing
• Context-Aware Computing
• Computer Vision
• Others

Analysis by System

• Intelligence Systems
• Decision Support Processing
• Hybrid Systems
• Fuzzy Systems

Analysis by End-Use Industry

• Healthcare
• Manufacturing
• Automotive
• Agriculture
• Retail
• Security
• Human Resources
• Marketing
• Financial Services
• Transportation and Logistics
• Others

Analysis by Country

• Brazil
• Mexico
• Argentina
• Colombia
• Chile
• Peru
• Others

Competitive Landscape

The competitive landscape of the industry has also been examined along with the profiles of the key players.

Latin America Artificial Intelligence Market News

• January 2025: Argentina-based Roni Bandini launched an AI-powered device, Reggaeton Be Gone, designed to mute reggaeton music on nearby Bluetooth speakers.
• January 2025: Glartek partnered with Factor CX to expand AI workplace solutions across Latin America, integrating AI, AR, and ML tools.
• August 2024: Kapsch TrafficCom expanded its AI annotation operations to Chile, supporting traffic management and tolling solutions.
• July 2024: Meta AI introduced new AI tools in Latin America for Messenger, WhatsApp, Facebook, and Instagram, expanding language support.
• July 2024: Blend acquired nuvu to strengthen its AI services portfolio and expand its presence in the Latin American market.

Key highlights of the Report:

• Market Performance (2019-2024)
• Market Outlook (2025-2033)
• COVID-19 Impact on the Market
• Porter’s Five Forces Analysis
• Strategic Recommendations
• Historical, Current and Future Market Trends
• Market Drivers and Success Factors
• SWOT Analysis
• Structure of the Market
• Value Chain Analysis
• Comprehensive Mapping of the Competitive Landscape

Note: If you need specific information that is not currently within the scope of the report, we can provide it to you as part of the customization.

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