Original Source
Physical AI Emerges, Expanding into the Real World with Robotics and Sensors
Defining Physical AI and Its Rise
As discussed at the World Economic Forum, 'physical AI' refers to applications where artificial intelligence takes on a physical form, such as robotics or driverless cars. Arjun Kharpal, Senior Technology Correspondent at CNBC, highlighted this trend by noting a robot seated at a dinner table in Davos. This suggests that AI is evolving beyond mere software, interacting with the real world in tangible ways.
Market Outlook and Expert Opinions
EY's Sharma described physical AI as the 'next wave,' estimating its market size could be five to six times that of agentic AI within five to six years. Furthermore, Sassine Ghazi, CEO of semiconductor design tool company Synopsys, noted that the emergence of physical AI is happening much faster than initially anticipated. He had expected it to take 'five plus' years, but its pace has significantly accelerated. These expert opinions forecast explosive growth in the physical AI market.
*Source: GovTech (2026-03-22)*



