The Impact Of Rising Food Delivery Demand On AI in Foodtech Market Growth: Strategic Insights Driving Artificial Intelligence (AI) In Foodtech Market Momentum in 2025

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How Large Will the Artificial Intelligence (AI) In Foodtech Market Size By 2025?
The market size of artificial intelligence (AI) in the foodtech industry has witnessed a significant increase in recent years. The market, which is projected to reach $6.38 billion in 2024, is expected to swell to $8.58 billion in 2025, registering a compound annual growth rate (CAGR) of 34.5%. The notable growth in the past is a consequence of several factors, including the burgeoning demand for automation, advancements in supply chain optimization, enhanced food safety and compliance practices, increasing consumer demand, and improved operational efficiency resulting in cost reduction.

How Big Is the Artificial Intelligence (AI) In Foodtech Market Size Expected to Grow by 2029?
Anticipations are high for substantial expansion in the artificial intelligence (AI) in foodtech market size in the upcoming years, with projections setting it to increase to $27.73 billion in 2029, at a compound annual growth rate (CAGR) of 34.1%. The factors contributing to this surge during the predicted period include an uptick in customer demand for customized nutrition, high requirements for food safety and quality control, an increase in supply chain optimization, emphasis on sustainability and minimizing waste, as well as the expansion of food safety surveillance. Emerging trends anticipated within this period encompass technology-based innovations, personalized dietary and meal preparation, intelligent agriculture practices and precision farming, predictive data analysis for demand prediction, along with the incorporation of robotics and automation in food manufacturing.

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Which Key Market Drivers Powering Artificial Intelligence (AI) In Foodtech Market Expansion and Growth?
The artificial intelligence (AI) sector of the foodtech market is expected to surge alongside the growing food delivery industry. This sector pertains to direct transportation of ready-to-eat meals from restaurants or other food establishments to customers at different locations like their homes or workplaces. The demand is fueled by consumers' preference for convenience, a surge in online ordering platforms, and increased accessibility to delivery services from a myriad of food outlets. AI steers the food delivery sector by improving the route planning for delivery drivers, using customer data to personalize menu suggestions, and automating the order management to streamline the process and therefore reduce delivery time. An illustration of this was given by the Economic Times, an Indian news outlet, in May 2024, reporting that Swiggy, an Indian online food ordering and delivery service, saw a 17% year on year growth in gross merchandise value (GMV), hitting $1.43 billion in the first half of 2023. Thus, the advancing food delivery industry is contributing to the growth of AI in the foodtech market.

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Which Fast-Growing Trends Are Poised to Disrupt the Artificial Intelligence (AI) In Foodtech Market?
Leading businesses in the AI-foodtech sector are concentrated on creating sophisticated solutions like AI-enabled kitchen helpers to optimize kitchen procedures, decrease labor expenses, and improve uniformity in food quality. An AI-enabled kitchen helper is a smart tool that aids in various kitchen activities, using AI to boost cooking and meal preparations. These helpers can take a range of forms, from apps and intelligent devices to full-system integrations. For example, Miso Robotics, a U.S. firm that manufactures automation machinery, launched Flippy 2 in November 2022. This AI-driven kitchen helper is specifically built to automate frying jobs. Flippy 2 provides real-time data analysis for operational understanding and effortlessly integrates into existing kitchen systems, resulting in increased food quality and quicker service. It's essentially a robotic solution for handling an entire frying station at quick-service restaurants (QSRs). By reducing the time from order to delivery and bolstering food consistency, it generates a better working atmosphere for human staff. By taking care of the frying tasks, Flippy 2 enables human staff to concentrate on more interactive tasks, such as customer interaction at the drive-thru or register.

What Are the Emerging Segments in the Artificial Intelligence (AI) In Foodtech Market?
The artificial intelligence (AI) in foodtech market covered in this report is segmented -

1) By Component: Solution, Services
2) By Application: Food Production And Processing, Product Development And Innovation, Supply Chain Management, Food Safety And Compliance, Other Applications
3) By End-User: Food And Beverage Manufacturers, Restaurants And Food Service Providers, Other End-Users

Subsegments:
1) By Solution: AI-Based Food Quality Monitoring Systems, AI-Powered Predictive Analytics For Demand Forecasting, AI in Supply Chain Optimization, Smart Kitchen Solutions, AI For Personalization In Food Recommendations, Automated Food Processing And Packaging Systems, AI-Driven Food Safety Systems, AI-Powered Robotics For Food Preparation
2) By Services: AI Consulting Services, AI Integration and Implementation Services, AI Training and Support Services, Managed Services For AI Systems, AI Data Analytics Services, AI Algorithm Customization Services, AI Testing And Quality Assurance Services

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Who Are the Global Leaders in the Artificial Intelligence (AI) In Foodtech Market?
Major companies operating in the artificial intelligence (AI) in foodtech market are Microsoft Corporation, Cargill Incorporated, International Business Machines Corporation, Oracle Corporation, SAP SE, NVIDIA Corporation, Agilent Technologies Inc., Zebra Technologies Corporation, InstaCart, TOMRA Systems ASA, Blue Yonder Group Inc., Grubhub Inc., Google DeepMind Technologies Limited, Rebel Foods, Tovala, Saffron Tech, Blue River Technology, Brightseed, Clear Labs Inc., Nutrino Health Ltd., FoodLogiQ, NotCo Ltd., AgShift, Zest Labs, ImpactVision

Which are the Top Profitable Regional Markets for the Artificial Intelligence (AI) In Foodtech Industry?
North America was the largest region in the artificial intelligence (AI) in foodtech market in 2024. The regions covered in the artificial intelligence (AI) in foodtech market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

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