The global generative artificial intelligence in logistics market is expected to surge from US$816.15 million in 2023 to US$13.62 billion by 2032, growing at a compound annual growth rate of 36.93 per cent, according to a new report from SNS Insider.
The U.S. market, valued at US$349.23 million in 2024, is projected to reach US$4.27 billion by 2032, driven by “federal AI initiatives, advanced cloud ecosystems and rising demand for predictive logistics solutions.”
Variational Autoencoder models led the market in 2024 with a 30 per cent share, offering “accuracy and scalability” for large logistics firms through applications such as demand forecasting, route optimization and capacity planning. Generative Adversarial Networks are expected to see the fastest growth, with applications in simulating delivery routes, optimizing drone paths and training AI systems for edge-case logistics scenarios.
Cloud-based deployment accounted for 68 per cent of market revenue in 2024, as it provides scalable and cost-effective access to AI tools, while on-premise solutions are gaining traction among industries requiring “full control and data security.”
By sector, road transportation led with a 34 per cent share in 2024, while shipping and ports are forecast to grow fastest due to AI-driven digitization in maritime operations.
North America held 44 per cent of the market in 2024, but Asia-Pacific is expected to record the fastest growth, fueled by booming e-commerce, smart city investments and “a rising AI-skilled workforce.”
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