You may not have heard of it, but "augmented analytics" is going to be one of the best sectors for investing in 2019 and beyond.
This is a revolutionary application of artificial intelligence (AI), and its market is expected to grow from its current $4.6 billion to $18.4 billion by 2023.
That's 300% growth, for an entire industry, in just four years. That's making AI stocks some of the hottest investments on the market right now.
This industry growth will come from both well-known, cash-rich firms, as well as smaller niche players.
To help you cash in on this explosive sector, we uncovered three companies poised to control the market. They've already invested heavily in making complex data useful to enterprises.
Before we get to the three best AI stocks to buy in 2019, here's why this technology is so revolutionary – and why you can't afford to stay away…
Why Augmented Analytics Is the Hottest Sector in Tech
Yearly revenue for business data and analytics worldwide has grown from $122 billion in 2015 to $186 billion this year. It's expected to grow to $260 billion in 2022, a 40% leap in less than three years.
This doesn't look to be slowing down, either.
In a 2014 study by Accenture, 79% of executives agreed that companies failing to harness Big Data will die out. Eighty-three percent of the same pool were reported to have invested in Big Data projects to stay competitive.
This is starting to ring true. Businesses currently have such an overwhelming amount of data on their customers and operations that they've struggled to make it useful. They are beginning to seek AI and machine learning (ML) solutions to help sort through their massive stockpiles of data.
Different AI and ML engines can automate the process of sifting through data and presenting it to users in an intuitive, actionable format. That means taking piles of raw data and converting it into easily digestible graphs, charts, or other visualizations.
This obviously makes an employee's life easier, which makes the business more lucrative. They have faster access to data that helps them make informed decisions. So when employees have the right level of access to the right data, it raises the company's overall productivity.
In this case, businesses want AI-driven analytics tools – or augmented analytics – made accessible to everyone. Some larger companies already got a head start on this trend, but businesses far and wide will be adopting it over the next few years.
Most organizations currently use combinations of open-source AI and ML technologies to support their needs. But Gartner, the leading global research and advisory firm, predicts 75% of AI- and ML-driven business solutions will be provided by commercial vendors by 2022.
That's where this is turning into an opportunity for investors like you.
Gartner predicts this growth in AI stocks (and the 673% earnings growth of one of our top AI stock picks) will be driven by new commercial demand for augmented analytics…
Why We're Calling This the Commercial AI Boom
About the Author
Mike Stenger, Associate Editor for Money Morning at Money Map Press, graduated from the Perdue School of Business at Salisbury University. He has combined his degree in Economics with an interest in emerging technologies by finding where tech and finance overlap. Today, he studies the cybersecurity sector, AI, streaming, and the Cloud.