Global AI Model Risk Management Market Size Study & Forecast, by Offering, Risk Type, Application, Vertical and Regional Forecasts 2025-2035

June 2025 | 285 pages | ID: G9B787E4B082EN
Bizwit Research & Consulting LLP

Abstracts

The Global AI Model Risk Management Market is valued at approximately USD 5.7 billion in 2024 and is expected to exhibit a compelling CAGR of 12.80% during the forecast period from 2025 to 2035. As enterprises rapidly integrate artificial intelligence into mission-critical workflows, the demand for structured, reliable, and accountable risk governance frameworks has risen sharply. AI Model Risk Management (MRM) has emerged as an indispensable discipline that not only identifies and mitigates model inaccuracies and biases but also helps institutions comply with evolving regulatory mandates and maintain public trust. With machine learning models now influencing key decisions in credit scoring, fraud detection, trading algorithms, and customer analytics, even a minor model failure can cascade into costly reputational and financial damages—making robust risk oversight non-negotiable.

The proliferation of AI models, particularly within banking, insurance, and fintech verticals, has catalyzed the market’s momentum. Institutions are increasingly deploying MRM platforms that provide end-to-end lifecycle oversight—covering model validation, version control, bias detection, interpretability, and audit trails. Vendors are offering sophisticated software solutions with embedded explainable AI (XAI), sandbox testing environments, and real-time anomaly detection to facilitate regulatory alignment with frameworks such as SR 11-7, GDPR, and Basel guidelines. Additionally, growing awareness among C-suite leaders about AI ethics and algorithmic accountability is unlocking budgetary allocation for risk governance initiatives. However, interoperability challenges with legacy systems and a global shortage of skilled AI risk professionals are tempering short-term scalability in certain regions.

Regionally, North America dominates the market due to its technologically advanced financial ecosystem and stringent regulatory culture, spearheaded by agencies like the Federal Reserve and OCC that emphasize model governance. The U.S., in particular, has witnessed a surge in demand for centralized model risk platforms across Tier 1 banks and fintech giants. Meanwhile, Europe is gaining traction, driven by its proactive data protection laws and initiatives such as the EU AI Act which impose transparency and explainability standards for AI systems. Asia Pacific is forecasted to be the fastest-growing market, led by digital banking adoption in countries like India, Singapore, China, and South Korea. Government-backed AI innovation strategies, along with a growing presence of global consultancies offering MRM services, are expected to accelerate adoption across the region.

Major market player included in this report are:

• IBM Corporation
• SAS Institute Inc.
• FICO
• Moody’s Analytics
• Google LLC
• Microsoft Corporation
• Oracle Corporation
• Amazon Web Services, Inc.
• DataRobot
• Altair Engineering Inc.
• H2O.ai
• Zest AI
• KPMG
• Accenture PLC
• Infosys Limited

Global AI Model Risk Management Market Report Scope:

• Historical Data – 2023, 2024
• Base Year for Estimation – 2024
• Forecast period – 2025–2035
• Report Coverage – Revenue forecast, Company Ranking, Competitive Landscape, Growth factors, and Trends
• Regional Scope – North America; Europe; Asia Pacific; Latin America; Middle East & Africa
• Customization Scope – Free report customization (equivalent up to 8 analysts’ working hours) with purchase. Addition or alteration to country, regional & segment scope*

The objective of the study is to define market sizes of different segments & countries in recent years and to forecast the values for the coming years. The report is designed to incorporate both qualitative and quantitative aspects of the industry within the countries involved in the study. The report also provides detailed information about crucial aspects, such as driving factors and challenges, which will define the future growth of the market. Additionally, it incorporates potential opportunities in micro-markets for stakeholders to invest, along with a detailed analysis of the competitive landscape and product offerings of key players. The detailed segments and sub-segments of the market are explained below:

By Offering:

• Software
• By Type
• By Deployment Mode
• Services

By Risk Type:

• Model Risk
• Compliance Risk
• Operational Risk
• Cyber Risk
• Others

By Application:

• Risk Management
• Fraud Detection
• Credit Assessment
• Regulatory Compliance
• Others

By Vertical:

• Banking
• Financial Services
• Insurance
• Healthcare
• Retail
• Government
• Others

By Region:

North America

• U.S.
• Canada

Europe

• UK
• Germany
• France
• Spain
• Italy
• Rest of Europe

Asia Pacific

• China
• India
• Japan
• Australia
• South Korea
• Rest of Asia Pacific

Latin America

• Brazil
• Mexico

Middle East & Africa

• UAE
• Saudi Arabia
• South Africa
• Rest of Middle East & Africa

Key Takeaways:

• Market Estimates & Forecast for 10 years from 2025 to 2035.
• Annualized revenues and regional level analysis for each market segment.
• Detailed analysis of geographical landscape with Country level analysis of major regions.
• Competitive landscape with information on major players in the market.
• Analysis of key business strategies and recommendations on future market approach.
• Analysis of competitive structure of the market.
• Demand side and supply side analysis of the market.

Contents

CHAPTER 1. GLOBAL AI MODEL RISK MANAGEMENT MARKET REPORT SCOPE & METHODOLOGY

1.1. Research Objective
1.2. Research Methodology
  1.2.1. Forecast Model
  1.2.2. Desk Research
  1.2.3. Top-Down and Bottom-Up Approach
1.3. Research Attributes
1.4. Scope of the Study
  1.4.1. Market Definition
  1.4.2. Market Segmentation
1.5. Research Assumption
  1.5.1. Inclusion & Exclusion
  1.5.2. Limitations
  1.5.3. Years Considered for the Study

CHAPTER 2. EXECUTIVE SUMMARY

2.1. CEO/CXO Standpoint
2.2. Strategic Insights
2.3. ESG Analysis
2.4. Key Findings

CHAPTER 3. GLOBAL AI MODEL RISK MANAGEMENT MARKET FORCES ANALYSIS

3.1. Market Forces Shaping the Global AI Model Risk Management Market (2024–2035)
3.2. Drivers
  3.2.1. Rapid Integration of AI into Mission-Critical Workflows (Key Driver)
  3.2.2. Evolving Regulatory Mandates (GDPR, SR 11-7, Basel) (Key Driver)
  3.2.3. Rising C-Suite Awareness of AI Ethics and Accountability (Key Driver)
3.3. Restraints
  3.3.1. Interoperability Challenges with Legacy Systems (Key Restraint)
  3.3.2. Global Shortage of Skilled AI Risk Professionals (Key Restraint)
3.4. Opportunities
  3.4.1. Rapid Digital Banking Adoption in Asia Pacific (Key Opportunity)
  3.4.2. Government-Backed AI Innovation Strategies (Key Opportunity)

CHAPTER 4. GLOBAL AI MODEL RISK MANAGEMENT INDUSTRY ANALYSIS

4.1. Porter’s Five Forces Model
  4.1.1. Bargaining Power of Buyers
  4.1.2. Bargaining Power of Suppliers
  4.1.3. Threat of New Entrants
  4.1.4. Threat of Substitutes
  4.1.5. Competitive Rivalry
4.2. Porter’s Five Forces Forecast Model (2024–2035)
4.3. PESTEL Analysis
  4.3.1. Political
  4.3.2. Economic
  4.3.3. Social
  4.3.4. Technological
  4.3.5. Environmental
  4.3.6. Legal
4.4. Top Investment Opportunities
4.5. Top Winning Strategies (2025)
4.6. Market Share Analysis (2024–2025)
4.7. Global Pricing Analysis and Trends 2025
4.8. Analyst Recommendation & Conclusion

CHAPTER 5. GLOBAL AI MODEL RISK MANAGEMENT MARKET SIZE & FORECASTS BY OFFERING 2025–2035

5.1. Market Overview
5.2. Software
  5.2.1. By Type
  5.2.2. By Deployment Mode
5.3. Services

CHAPTER 6. GLOBAL AI MODEL RISK MANAGEMENT MARKET SIZE & FORECASTS BY RISK TYPE 2025–2035

6.1. Market Overview
6.2. Model Risk
6.3. Compliance Risk
6.4. Operational Risk
6.5. Cyber Risk
6.6. Others

CHAPTER 7. GLOBAL AI MODEL RISK MANAGEMENT MARKET SIZE & FORECASTS BY APPLICATION 2025–2035

7.1. Market Overview
7.2. Risk Management
7.3. Fraud Detection
7.4. Credit Assessment
7.5. Regulatory Compliance
7.6. Others

CHAPTER 8. GLOBAL AI MODEL RISK MANAGEMENT MARKET SIZE & FORECASTS BY VERTICAL 2025–2035

8.1. Market Overview
8.2. Banking
8.3. Financial Services
8.4. Insurance
8.5. Healthcare
8.6. Retail
8.7. Government
8.8. Others

CHAPTER 9. GLOBAL AI MODEL RISK MANAGEMENT MARKET SIZE & FORECASTS BY REGION 2025–2035

9.1. Regional Market Snapshot
9.2. Top Leading & Emerging Countries
9.3. North America
  9.3.1. U.S.
    9.3.1.1. Offering breakdown size & forecasts, 2025–2035
    9.3.1.2. Application breakdown size & forecasts, 2025–2035
  9.3.2. Canada
    9.3.2.1. Offering breakdown size & forecasts, 2025–2035
    9.3.2.2. Application breakdown size & forecasts, 2025–2035
9.4. Europe
  9.4.1. UK
    9.4.1.1. Offering breakdown size & forecasts, 2025–2035
    9.4.1.2. Application breakdown size & forecasts, 2025–2035
  9.4.2. Germany
  9.4.3. France
  9.4.4. Spain
  9.4.5. Italy
  9.4.6. Rest of Europe
9.5. Asia Pacific
  9.5.1. China
  9.5.2. India
  9.5.3. Japan
  9.5.4. Australia
  9.5.5. South Korea
  9.5.6. Rest of Asia Pacific
9.6. Latin America
  9.6.1. Brazil
  9.6.2. Mexico
9.7. Middle East & Africa
  9.7.1. UAE
  9.7.2. Saudi Arabia
  9.7.3. South Africa
  9.7.4. Rest of Middle East & Africa

CHAPTER 10. COMPETITIVE INTELLIGENCE

10.1. Top Market Strategies
10.2. IBM Corporation
  10.2.1. Company Overview
  10.2.2. Key Executives
  10.2.3. Company Snapshot
  10.2.4. Financial Performance (Subject to Data Availability)
  10.2.5. Product/Services Portfolio
  10.2.6. Recent Developments
  10.2.7. Market Strategies
  10.2.8. SWOT Analysis
10.3. SAS Institute Inc.
10.4. FICO
10.5. Moody’s Analytics
10.6. Google LLC
10.7. Microsoft Corporation
10.8. Oracle Corporation
10.9. Amazon Web Services, Inc.
10.10. DataRobot
10.11. Altair Engineering Inc.
10.12. H2O.ai
10.13. Zest AI
10.14. KPMG
10.15. Accenture PLC
10.16. Infosys Limited

List Of Tables

LIST OF TABLES

Table 1. Global AI Model Risk Management Market, Report Scope
Table 2. Global AI Model Risk Management Market Estimates & Forecasts By Offering 2024–2035
Table 3. Global AI Model Risk Management Market Estimates & Forecasts By Risk Type 2024–2035
Table 4. Global AI Model Risk Management Market Estimates & Forecasts By Application 2024–2035
Table 5. Global AI Model Risk Management Market Estimates & Forecasts By Vertical 2024–2035
Table 6. Global AI Model Risk Management Market Estimates & Forecasts By Region 2024–2035
Table 7. U.S. AI Model Risk Management Market Estimates & Forecasts, 2024–2035
Table 8. Canada AI Model Risk Management Market Estimates & Forecasts, 2024–2035
Table 9. UK AI Model Risk Management Market Estimates & Forecasts, 2024–2035
Table 10. Germany AI Model Risk Management Market Estimates & Forecasts, 2024–2035
Table 11. France AI Model Risk Management Market Estimates & Forecasts, 2024–2035
Table 12. Spain AI Model Risk Management Market Estimates & Forecasts, 2024–2035
Table 13. Italy AI Model Risk Management Market Estimates & Forecasts, 2024–2035
Table 14. Rest of Europe AI Model Risk Management Market Estimates & Forecasts, 2024–2035
Table 15. China AI Model Risk Management Market Estimates & Forecasts, 2024–2035
Table 16. India AI Model Risk Management Market Estimates & Forecasts, 2024–2035
Table 17. Japan AI Model Risk Management Market Estimates & Forecasts, 2024–2035
Table 18. Australia AI Model Risk Management Market Estimates & Forecasts, 2024–2035
Table 19. South Korea AI Model Risk Management Market Estimates & Forecasts, 2024–2035
Table 20. Rest of Asia Pacific AI Model Risk Management Market Estimates & Forecasts, 2024–2035
Table 21. Brazil AI Model Risk Management Market Estimates & Forecasts, 2024–2035
Table 22. Mexico AI Model Risk Management Market Estimates & Forecasts, 2024–2035
Table 23. UAE AI Model Risk Management Market Estimates & Forecasts, 2024–2035
Table 24. Saudi Arabia AI Model Risk Management Market Estimates & Forecasts, 2024–2035
Table 25. South Africa AI Model Risk Management Market Estimates & Forecasts, 2024–2035
Table 26. Rest of Middle East & Africa AI Model Risk Management Market Estimates & Forecasts, 2024–2035

List Of Figures

LIST OF FIGURES

Fig 1. Global AI Model Risk Management Market, Research Methodology
Fig 2. Global AI Model Risk Management Market, Market Estimation Techniques
Fig 3. Global Market Size Estimates & Forecast Methods
Fig 4. Global AI Model Risk Management Market, Key Trends 2025
Fig 5. Global AI Model Risk Management Market, Growth Prospects 2024–2035
Fig 6. Global AI Model Risk Management Market, Porter’s Five Forces Model
Fig 7. Global AI Model Risk Management Market, PESTEL Analysis
Fig 8. Global AI Model Risk Management Market, Value Chain Analysis
Fig 9. AI Model Risk Management Market By Offering, 2025 & 2035
Fig 10. AI Model Risk Management Market By Risk Type, 2025 & 2035
Fig 11. AI Model Risk Management Market By Application, 2025 & 2035
Fig 12. AI Model Risk Management Market By Vertical, 2025 & 2035
Fig 13. AI Model Risk Management Market By Region, 2025 & 2035
Fig 14. North America AI Model Risk Management Market, 2025 & 2035
Fig 15. Europe AI Model Risk Management Market, 2025 & 2035
Fig 16. Asia Pacific AI Model Risk Management Market, 2025 & 2035
Fig 17. Latin America AI Model Risk Management Market, 2025 & 2035
Fig 18. Middle East & Africa AI Model Risk Management Market, 2025 & 2035
Fig 19. Global AI Model Risk Management Market, Company Market Share Analysis (2025)