Artificial Intelligence in Oil and Gas Market - Introduction
Artificial Intelligence is an advanced technology that helps to achieve enhanced production and business efficiencies in the oil and gas industry. The integration of artificial intelligence technology creates new ways and approaches in exploration, development, production, refining, sales, and transformation systems.
Oil and gas companies are investing in AI technology services and solutions to reduce human errors in the process and to avoid critical business process challenges with the help of advanced technology in automation.
Companies are using AI-based solutions in upstream, midstream, and downstream operations. Solution providers offer a wide range of solutions that are applicable in quality control, production planning, predictive maintenance, and fleet management with more efficiently.
Oil and gas companies are using AI in data science to use more complex data in the production and exploration process and help identify more exploration options from the existing resources and offshore infrastructure.
The oil and gas industry is one of the most valued industry in the energy sector and increasing adoption of advanced technologies drives the demand for AI-based solutions in the industry for different business operations.
Key Drivers of the Artificial Intelligence in Oil and Gas Market
Increasing demand for advanced solutions in boiler diagnostics, drilling, quality control, predictive maintenance, and planning in upstream and downstream operations is expected to drive the artificial intelligence in oil and gas market.
Increasing investment in advanced technologies and automation processes in oil and gas field operations is expected to offer significant revenue opportunities to solution providers of artificial intelligence in the oil and gas industry.
Lack of Skilled Professionals for AI based Operations Expected to Hinder the Artificial Intelligence in Oil and Gas market
The lack of skilled professionals in oil and gas companies to manage AI-based operations and deliver better results with advanced technologies is restraining the growth of the artificial intelligence in oil and gas market
High capital investment for integrating AI technologies in existing infrastructure is expected to hamper the growth of the artificial intelligence in oil and gas market.
Impact of COVID-19 on the Global Artificial Intelligence in Oil and Gas Market
In the global oil and gas market, demand for crude oil is decreasing during the COVID-19 situation. Most companies are shut down and have temporarily stopped production processes which affects the demand for petrol, diesel, and natural gas. Oil and gas companies reduce the budgets for new technology adoption due to the low return on investment. The ever-increasing threat of COVID-19 is projected to decrease the investment of companies on artificial intelligence in oil and gas solutions and services during the pandemic period.