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“Artificial intelligence is growing up fast, as are robots whose facial expressions can elicit empathy and make your mirror neurons quiver.”

— Diane Ackerman

That’s what experts view on AI technology. Artificial and its related technology is a current buzz in the tech world.

Whether big tech firms or low-funded startups, all are now venturing into this domain. The reason for this sudden craze is that AI has the potential to change the way we live and work.

If we look at its market size, the artificial intelligence business hit $58.3 billion in 2021. And over the next five years, the value is expected to grow nearly tenfold, reaching $309,6 billion in 2026.

Moreover, AI-based mobile apps are still in their infancy, slowly gaining popularity. These apps use artificial intelligence to perform image recognition, voice recognition, and natural language processing tasks.

But wait, developing an AI-based mobile app is not a cheap affair!

Yes, you heard it right. You will need to invest in the right technology and hire skilled AI-based mobile app developers to get the job done.

So, let’s get back to the most compulsive question: how much will it cost to develop an AI-based application?

What Is The Cost Of Developing An App With AI Technology?

Well, the exact answer for this would be -“it depends.” The cost is dependent on several factors. Let’s take a quick glimpse of some of the factors that will affect the cost of developing an AI-based mobile app:

1. Features you want it to include in your app

The first thing you need to do is jot down the features you want to include in your app. Do you want your app to be able to recognize faces or respond to natural language? The more features you want to have, the more cost to develop your app.

Moreover, the AI type you choose will also affect the cost. For example:

1.1 Chatbot

If you want to include a chatbot in your app, you will need to decide on the type of chatbot you want. Further, there are two types of chatbots: rule-based and machine learning-based.

Rule-based chatbots follow a set of rules to respond to user queries. They are simple to develop, but they are not very effective. On the other hand, machine learning-based chatbots are more effective as they learn from user interactions and improve over time.

1.2 Image Recognition

If you want your app to recognize images quickly, you will need to choose between two types of image recognition: object detection and image classification.

Object detection is more complex and expensive than image classification. In object detection, the app must be sufficient to identify an object and be able to track it as it moves.

1.3. Virtual Assistant

A virtual assistant, also termed a digital assistant, is an application program that recognizes natural language voice commands and performs activities for the user. It uses advanced AI, robotic process automation (RPA), natural language processing, and machine learning.

The algorithms can develop data models that recognize behavioral patterns and adapt them based on new data by merging knowledge from the past. It integrates data about the user’s history, preferences, and other information to respond to complex questions, offer recommendations, and initiate a conversation.

According to statistics, the global intelligent virtual assistant industry was estimated to be worth USD 5.82 billion in 2020. From 2021 to 2028, it is predicted to increase at a compound annual growth rate (CAGR) of 28.5 percent.

2. Platform you choose-whether it’s iOS or Android

The next significant factor you need to consider is the platform you want to develop your app for. However, the most popular platforms for developing mobile apps are iOS app and Android app. However, because features, tech stacks, and other factors differ, each platform-based development has its own cost.

But, if you want to save money, cross-platform app development is a viable alternative. Such an app is usually less expensive than a single platform app.

3. Development team with their experience

The development team’s experience or an individual developer can affect the overall cost of an AI app. The more experienced the team is, the more expensive it will be to hire them. The remote developers are usually divided into three categories:

  • Junior developers: They have 1-2 years of experience and usually work on small projects. The hourly rate for junior developers is $30-$50.
  • Mid-level developers: They have 3-5 years of experience and usually work on mid to large projects. The hourly rate for mid-level developers is $50-$80.
  • Senior developers: They have more than five years of experience and usually work on large projects. The hourly rate for senior developers is $80 and above.

4. Application’s Complexity

The app’s functionality and features are the main things that make it complex. Other factors include the need for custom integrations, animations, etc. A simple AI-based app with only a few features will cost around $15,000 to develop. However, if you want a complex app with many features, the cost can go up to $50,000.

5. In-house developer vs outsourced developer

The developer’s location is one of the main things that will affect the cost of developing your AI app. If you hire in-house developers, they will be based in your country and charge you according to their hourly rates.

Alternatively, if you are outsourcing your AI development project, you can hire developers from countries with lower hourly rates, such as India or Ukraine. Besides, this will help you save a lot of money on the project’s overall cost.

The Bottom Line

To conclude, the cost of developing an AI-based mobile app depends on several factors, such as the features you want to include, the platform you want to develop for, and the development team’s experience. A simple AI-based app with only a few features will cost less, whereas a complex one will cost you more.

Furthermore, while AI may come at a hefty cost, it can provide significant benefits depending on your firm’s size, ambitions, and needs. You can hire a professional AI development company to help you better with the quotations and the development process.

By employing top-notch AI mobile app developers for your project, your company may jump ahead of competitors and capitalize on the benefits of AI as an early adopter rather than a late adopter.


Pavendra is a project manager with over seven years of experience in the tech field. He is into managing teams and creating compelling content that helps software developers get a deeper understanding of various technical concepts. Always passionate about leveraging technology that drives innovation, he is a tech geek by almost birth. Currently working with iWebServices, he is a go-to person for delivering on-time software projects and ensuring their success in the long run.


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