Have you ever heard phrases like “Hey Alexa, switch on the fan”, “Hello Siri, turn off the lights”, and more? This is all because of artificial intelligence! Thus, determining the cost to develop an AI app is vital. These commands allow users to indulge in other complex tasks, whereas AI-powered tools handle these functions easily, making life more accessible than ever! When you think about developing an AI application, the cost of developing an AI app is a prime factor that affects the overall decision.
In today’s advanced world, every industry is highly influenced by AI; as a result, they are integrating the capabilities of AI into their business. Some major industries where healthcare apps are used include travel, tourism, education, banking and finance, manufacturing, banking real estate, and more. Recently, Statista released a report according to which, in 2022, the global AI market size was calculated to be $136.5 billion. The same report states that this number is expected to increase by $1,811.8 billion by the end of 2030.
If you want to develop an AI application for your business and want to know the cost to develop an AI app, we have you covered. This article is a complete guide about how much it costs to develop an AI application. So, without any further ado, let’s dive in!
What Is AI Technology?
Artificial intelligence, also known as AI, is a popular technology wherein computers and robots perform complicated tasks from various industries the same way humans do. This technological concept focuses on improving outcomes and streamlining operations with simpler commands.
Since AI technology automates several tasks and gives round-the-clock services, it improves the overall user experience. These AI development Services are integrated with different healthcare, manufacturing, educational, mechanical, and retail devices. AI technology may contribute nearly $15.7 trillion to the global economy by the end of 2023. In today’s time, AI has changed the way we work, play, and live. As a result, it is used widely in almost all industries.
Its major functions are automating all repetitive tasks, reading and understanding vast chunks of data, making decisions using intellectual thinking, brewing coffee for customers in the food tech industry, processing loans, managing accounts in the banking sector, and more. Since AI Healthcare technology completes and manages all tasks properly, it is replacing humans!
Factors Affecting the Cost of Artificial Intelligence Application
Here are the top factors affecting the overall cost of developing an AI app:
1. Functionalities and Features of the Application
Each AI-powered application is known for its wide range of features and functionalities so that it can deliver different purposes to the potential audience. Some significant features in AI applications are Learning and adaptation, problem-solving, natural language processing, perception, automation, data handling, human-machine interaction, applications across industries, chatbots, and more. Based on these features and functionalities, the cost of AI tools increases or decreases.
2. Complexity of the AI Application
Another major factor that affects the overall cost of AI applications is the complexity of these applications. In most cases, AI applications ask for third-party integrations with advanced or several complicated features. The cost to develop an AI app automatically increases in such a condition.
3. Designing and Developing an AI Application
An excellent, highly compelling, intuitive AI application design is the most critical factor, as it grabs customers’ attention and persuades them to navigate different functionalities. Integrating graphics, animations, and a compelling user interface into your AI application results in increased cost. However, you must never compromise with your application’s design as it helps retain users.
4. Platform Choice
Making the right platform choice is also very important as it allows your potential audience to reach you timely; thus, it affects the overall cost. Sometimes, business owners love applications that are responsive to both. As a result, this decision to choose a platform affects the software development cost.
5. Location of the Development Team
Another popular factor that can determine the cost to develop an AI app is the location of your development team. For example, if your developer’s team is present in the United States of America, Europe, the United Kingdom, and others, they may charge a comparatively higher rate than someone working from India. Thus, you must choose the location of the development team wisely.
6. Technology Stack
AI applications are developed using a variety of technologies such as libraries, frameworks, programming languages, and others. Adding these technologies into your application requires investment in technology as well as human resources. For example, incorporating open-source tools such as TensorFlow, Python, and Dialog Flow are popular options for developing artificial intelligence apps.
7. Reputation and Experience of the Development Team
The reputation and overall understanding of the application development team determine the cost to develop an AI app. If you hire professionals from highly reputed and experienced development teams, they may charge a little extra for all the advanced services that they offer.
8. Overall App Maintenance
Another factor that affects the overall budget or cost to develop an AI app is the app maintenance or afterward services. Once the application is designed properly, regular updates are essential to keep up with all the latest changes. Application maintenance is also vital to keep your application bug-free and updated as per market requirements.
Industries Based Cost To Develop An AI Application
Every industry deals with different functions and complexities on an everyday basis. As a result, the features of artificial intelligence applications also change. Based on the growing needs of different industries around the world, we have jotted down an estimated industry-wise AI application cost breakdown:
| Industry | Estimated Cost |
| Banking and Finance | $80,000+ |
| Healthcare | $45,000+ |
| Real Estate | $18,000+ |
| Manufacturing | $45,000+ |
| Supply Chain | $25,000+ |
| Insurance | $35,000+ |
There are several faces of artificial intelligence applications based on different purposes. Thus, the application development cost is highly determined by the functionalities and overall application category. Below, we have listed the average cost to develop an AI app for different kinds of applications:
| Application Type | Estimated Software Development Cost |
| Machine learning AI software | $40,000-$55,000 |
| AI chatbot | $20,000-$35,000 |
| Speech recognition AI software | $25,000-$40,000 |
| RPA AI software | $15,000-$30,000 |
| Money management app | $30,000-$40,000 |
| Telemedicine AI software | $40,000-$60,000 |
During the development of an artificial intelligence application, the cross-platform app development team goes through several phases. Thus, the overall project cost is classified into these different phases. Here is a quick breakdown of different development phases, along with their brief description and estimated cost:
| Development stage | Description | Estimated app development cost |
| Planning and Ideation | Project idea refinement and initial project scoping | $1,000-$5000 |
| UI/UX Designing | Designing and developing user interface and experience | $4,000-$15,000 |
| Front-end Development | Layouts, user interface and interactions | $10,000-$30,000 |
| Back-end development | Database, app logic, server and APIs | $15,000-$35,000 |
| AI model development | Imparting artificial intelligence and machine learning capabilities | $20,000-$50,000 |
| Integration and testing | Combining the capabilities of artificial intelligence into an application and conducting thorough tests | $10,000-$25,000 |
| Deployment and launch | Preparations for the launch for application deployment | $5,000-$20,000 |
| Post-launch support | Updates, bug fixes and user feedback | $5,000-$20,000 |
Complete The App Development Process
Developing an artificial intelligence or AI application is a complete procedure. Here is a step-by-step process of AI app development. Let’s dive in:
- Determining an issue or need
- Choose an artificial intelligence development company
- Application designing and features
- Building artificial intelligence algorithm
- Real-time testing and user feedback
- Data integration and privacy
- Launch in the market and maintenance
Tech-Stack To Build An AI Application
| Stage | Tech-Stack |
| Planning and Design | Data Cleaning and Preprocessing Software, Web Scraping Tools, and Natural Language Processing (NLP) Libraries |
| Model Development | Deep Learning Libraries (Keras, PyTorch ), Machine Learning Frameworks (scikit-learn, TensorFlow) and Statistical Analysis Tools |
| Data Collection and Processing | API Management Platforms, Unit Testing Frameworks, and Virtualization Software |
| Integration and Testing | Mobile Development Frameworks like React Native and Flutter, Programming Languages including Python, Java, and Swift |
| App Development | Mobile Development Frameworks like React Native and Flutter, Programming Languages including Python, Java and Swift |
| Launch and Maintenance | Analytics Tools, Marketing Automation Software, Cloud Services for Deployment and Hosting. |
Frequently Asked Questions
1. What are some of the most popular artificial intelligence applications?
Some of the most famous AI applications are:
- Siri: AI-based virtual assistant for Apple device
- Google Assistant: AI-based virtual assistant for iOS and Android devices
- Cortana: Cortana is a personal digital assistant for Android, iOS devices, and Windows
- Netflix: uses artificial intelligence technology to recommend the most favorite content
- Spotify: Uses AI to recommend music
2. Give an introduction to telemedicine
Telemedicine is an online platform where people from the medical industry and patients can communicate easily. They can share problems and formulate a personalized treatment plan for betterment. Because this app uses electronic technology, you can exchange information. Using this, you can book an appointment online by checking your doctor’s schedule.
You can chat virtually and get solutions using a desktop or phone. AI remotely monitors a patient’s health condition using sensors and wearable devices. As per a report, AI in the healthcare sector is dominantly used in North America followed by Europe. the United Kingdom, Germany, France, Switzerland, Spain, Ireland and Belgium.
3. List some advantages of building an artificial intelligence app
Some significant advantages of building an artificial intelligence app include:
- Enhanced user experience
- Increased productivity and efficiency
- Access to all advanced technology
- Potential for monetization
- Competitive advantages
4. What is the average cost of developing artificial intelligence applications?
On average, the cost to develop an AI app ranges between $40,000-$100,000. This cost is determined by several factors, including the developer’s location, types and the number of features, third-party integrations, and much more.
5. Why does business rely on AI app development?
Today, businesses across various industries rely on AI app development as it offers a wide range of benefits. Some potential benefits include:
- Increased business efficiency as tasks are done fast and without any errors
- Personalized experience as AI tools recommend products and services based on your searches.
- Promotes user engagement
- Automate all services and providers ‘ clock services
- AI process vast amount of data and turn them into useful insights
Let the Expert’s Build Your Customized Healthcare App
Connect For a Free Consultation
Why Choose DreamSoft4u?
Dreamsoft4u is one of the world’s most renowned companies offering software and app development solutions for various injuries, including healthcare, travel, tourism, and more. At Dreamsoft4u, you can avail services offered by world-class experts who have experience for several years and offer the best services possible. Some popular services offered are software development services, custom healthcare software development, telemedicine custom mHealth App Development, healthcare IT consulting, and more. Avail of these services today!
Wrapping up
Artificial intelligence can be regarded as the future of all industries as sectors worldwide are incorporating AI into their business. The AI app development cost is highly determined by several factors like the developer’s location, types and the number of features, third-party integrations, and others. While developing an AI application, conduct thorough market research before making any decision so that you make the right choice.
Today, in this article, we discussed the overall cost of developing an AI application. If you’re planning to build an AI application and looking for experts who can provide services and build an application, DreamSoft4u is a popular company offering end-to-end solutions.
