In-depth Research and Development Trends of China's AI Translation Industry Market in 2024
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Currently, China is at the forefront of the global AI translation industry, particularly in Chinese-foreign communication translation. However, it is undeniable that AI translation is a highly complex field. Simply from a translation perspective, current deep learning-based machine translation may perform well for trained text corpora or similar texts, but its capability significantly declines when dealing with texts that differ greatly from the training data. Machines lack the human ability to adapt to complex situations and correct errors through associative thinking.
The global market for AI translation is expected to expand rapidly in the future
At present, achieving better application of AI translation, whether technically or practically, still requires considerable time for development and refinement. With the advancement and application of artificial intelligence technology, the market size of AI translation in China is expected to grow further, projected to reach 5.8 billion yuan by 2026, with a compound annual growth rate of 16.3%.
The global market for AI translation is expected to expand rapidly in the future. According to predictions by the U.S. research firm Global Market Insights, the market size was $650 million in 2020 and is expected to reach $3 billion by 2027. Currently, to improve translation accuracy, most AI systems are trained on thousands of translation datasets. Many translation devices available on the market have limited screen sizes and are single-sided, requiring back-and-forth use between the parties involved in translation. On one hand, this limits translation efficiency and fails to provide the real-time communication experience, and on the other hand, it makes it difficult to maintain appropriate communication distances. In the current context of the ongoing global pandemic, this undoubtedly raises concerns. With the advancement of technology, artificial intelligence (AI) has made significant strides in the field of translation. AI-powered instant translation features are now being integrated into various devices. Many companies have developed different terminal products tailored to specific uses, communication partners, and scenarios. As the accuracy of AI translation reaches levels comparable to human translation, the development of these terminals has also improved usability, bringing the future of seamless language communication closer.
In China, the demand for language translation services remains high. However, there is a significant gap between the supply and demand for skilled translators, particularly those proficient in less common languages. In this context, machine translation serves as a valuable supplementary tool. With the assistance of machine translation, human translators can save substantial labor costs and enhance translation efficiency.
The consumer-grade translation device market in China includes tech giants like iFlytek, Baidu, NetEase, and Sogou, as well as startups such as Fenyinta Technology, Shuanghou Technology, and Banana Technology. Products targeting the high-end market are generally priced above 2,500 yuan, catering to business travelers and other premium customers, with major players like iFlytek and Shuanghou Technology leading the way. On the other hand, products aimed at long-tail customers are priced below 1,000 yuan, with Xiaomi being a notable example. Currently, thanks to its powerful features and superior user experience, iFlytek's translation devices hold a leading position in the consumer-grade translation market.
The AI translation industry not only addresses the bottleneck of expert translators by solving the scarcity of skilled professionals but also breaks down tasks into smaller segments, enabling large-scale coordination between human translators and machines. This approach significantly reduces delivery times and makes rapid, large-scale output possible. Companies like Transn have combined the strengths of machine and human translation to create a new paradigm in the translation industry. The focus is on restructuring the language service supply chain, using technology to reshape the entire translation process, enhancing the operational and service capabilities of language service providers, and achieving cost reduction and efficiency improvement across the industry. The future prospects of the <u>AI translation industry</u> are very optimistic.
The emergence of ChatGPT marks a shift where AI transitions from pure technology to delivering tangible value, presenting humanity with both challenges and opportunities. On one hand, the rapid development of AI technology raises concerns about job displacement and creativity, as people worry AI might replace human roles, limiting autonomy and growth potential. On the other hand, AI offers numerous opportunities, particularly in collaboration and innovation. AI can help humans process information more efficiently, facilitate cross-cultural communication, and even inspire entirely new ideas and solutions.
In the translation industry, AI technology is turning science fiction into reality. New-generation translation products, exemplified by translation earbuds, are delivering more natural and seamless cross-language communication experiences.
The translation industry boasts a massive market but remains highly fragmented, with no dominant player—even the largest companies hold less than 1% market share. Initially labor-intensive, the industry required extensive human translation efforts, resulting in high costs. However, with the rapid advancement of AI technology and evolving market demands, the industry is gradually transitioning toward AI-driven translation.
As globalization deepens and industries expand worldwide, the demand for cross-language information processing will continue to grow. Simultaneously, advancements in AI technology and the enrichment of language corpora will enhance translation accuracy and broaden application scenarios. Therefore, the future of the AI translation industry is exceptionally promising, with vast potential for growth.