Data Annotation: An Overview & Importance

Data labeling or data annotation is the most fundamental process of the artificial intelligence (AI) and machine learning (ML) industry. With the expansion of the AI and ML industry, the size of the coding, labeling and structuring data industry is also swelling exponentially. According to Grand View Research forecast, the global revenue of data labeling AI industry will reach $3.4 billion in 2028 from just $629.5 million in 2021 with a whopping growth of 27.1% CAGR over the forecast period. The demand for a data rating and labeling contractor and an expert data manual labeling has also increased significantly across the globe, especially for building dedicated teams in remote IT outsourcing hubs.

Data annotation is a process of categorizing and labeling the attributes of data in the form of text, audio, video, images, and other forms of input used in the machine learning (ML) and computer-vision artificial intelligence (AI) application. The main purpose of data labeling and classification, commonly known referred to as data annotation, is to build data-sets for training the computer-vision and machine learning algorithms of software applications to clearly understand the input data so that a suitable automated action can be performed for generating the desirable and accurate outputs.

Different models of using different types of procedures to label data such as automated labeling, human-powered annotation, and others. The use of human-annotated data is more accurate and reliable as compared to automated annotation. Thus, a big data labeling company as well as other companies dealing in AI always prefer to use data entry services for human-annotation of the data.

The main reasons for a data labeling agency to hire a team of data annotators are listed below:

  • Higher level of accuracy in data labeling and categorization as compared to automated data annotation
  • Creation of better user experience by enhancing the emotions and other understanding of the machines
  • Adds more intelligence as compared to the automated software about the objects, environments and other forms of data-sets
  • Improved precision of supervised machine learning models and applications for understanding the input data sets more accurately
  • Adds the essence of natural thought processes in the computer models

We can help you professionally in a wide range of ways as mentioned below:

  • Find the best data annotation and labeling talent for accomplishing your project successfully
  • Build a dedicated remote team for data collection and labeling for your project
  • Faster scaling up and staff augmentation services for any increased workload
  • And many other customized HR solutions to fulfil your data rating & labeling needs

What Labeling and Data Annotation Services Do We Provide?

We are a specialized data annotation company with expertise in hiring a wide range of data annotators and data labelers for our clients. A few most important services offered by our professional-grade agency dealing in human resource hiring for data visualization labeling services are mentioned below:

Image Annotation/Processing

The expert data annotators that we hire for our clients specialize in building AI image recognition datasets for artificial intelligence and other machine learning applications. Our image labeling services improve the naturality, accuracy, and user experience of the output of computer-based applications.

Text Annotation

The text annotation plays a very critical role in natural language processing (NLP) applications to make them behave more human-like with natural language touch. The text annotation services by experts we hire for you help you realize this goal efficiently.

Video Annotation

Optical character recognition or OCR data collection and annotation in a video data input plays a very vital role for the accurate output of the application. The specialized services of professionals we hire for OCR validation and annotation helps you build high-quality computer-vision applications with a greater level of accuracy.

3D Point Cloud Annotation

The accuracy, efficiency, and reliability of remote sensing technology – Light Detection and Ranging (LiDAR) – used in modern artificial intelligence and robotic application depends on the 3D point cloud annotation of video and image data. Our technology-focused data annotators  help you improve deep learning of LiDAR applications significantly.

Speech Recognition

Audio annotation with accurate sentiments and other attributes is one of the most important services we offer to our clients. The specialized service of experts we hire for outsource audio transcription helps you make audio input of your applications more effective to produce accurate output.

Semantic Segmentation

Semantic segmentation is a type of segmentation for deep learning of an image for inferring the fine attributes of an image for more accurate results. We hire experts specialized in image categorization and annotation services who can help you achieve the professional-level precision and accuracy in the domain.

Polygon Annotation

Polygon annotation helps describe the images of the objects more accurately in terms of multiple angles so that the most accurate shape of the object can be achieved. We hire specific annotators that provide you with the most accurate polygon annotation to make your application work accurately. 

3D Cuboid Annotation

We hire the most focused and qualified data annotators and labelers who can provide highly professional-level 3D cuboid annotation to make your automated image processing more efficient and reliable.

AI and ML Data Labeling Services for Diverse Industries

We are one of the most professional ML data labeling service provider companies in the market with experience and expertise in a wide range of industries. The most common industries to whom we offer highly professional-grade data labeling AI services include the following:


Automotive industry is highly influenced by artificial intelligence AI applications such as autonomous vehicles (AV), driverless cars, automated metros, and other applications. Our specialized service is capable of providing best data annotators and data labelers for the automotive industry professionally. 


Robotics and automated processes in healthcare are used extensively in modern healthcare applications. We offer specialized services to find and hire skilled data taggers and data labelers for a wide range of AI-based applications used in the healthcare sector.

Robotics & Industrial Automation

Robotics & industrial automation is one of the cruising industries in the modern global market. Our hiring services specialize in hiring the professionals expert at image, video, and named entity recognition and labeling used in the robotics and industrial automation industry.

Information Technology

Our team mainly focuses on hiring skilled and qualified professionals for a wide range of AI and ML applications such as chatbots, voice and text converter and other apps used in the modern IT field. We provide highly accurate and reliable data annotation service for those types of applications.


Remote sensing and automated agriculture processes are growing at a very fast pace. Our specialized human resource hiring service for data annotation professionals can help companies build accurate, efficient, and reliable agriculture AI-based applications.

Retail and eCommerce

Computer-vision applications are taking the centerstage in the modern eCommerce applications. We offer highly specialized HR models for establishing data annotation teams remotely for building great eCommerce applications with a high level of reliability and accuracy.


The data annotation specialists we hire for you can help in building highly reliable and accurate data-sets for training the ML and AI-based automated processes used in the finance and banking industry. Our hiring services recruit reliable and detailed-oriented labeling professionals to build highly robust solutions in the finance sector. 


Like many other industries, the insurance industry has also transformed into a highly automated industry. Our focused HR hiring services of data collection and labeling projects can help improve the quality of automation in the insurance industry.

Professional Data Annotator/Data Labeler That We Can Find for You

We are a specialized data labeling agency, which helps you in hiring the most qualified, skilled, experienced data annotators for your artificial intelligence and machine learning projects. The main qualities of a data labeler we hire for you are mentioned below:

Technical skills:

  • Tagging and categorization of content
  • Localization, labeling, segmentation
  • Knowledge of numerous video format
  • Knowledge of image and audio formats
  • Audio, video, image, and text editors
  • Content patterns and typing speed
  • Attention to details and linguistic concepts
  • Web surfing, research skills, online research

Professional experience:

  • A few years of experience in annotation, classification, and segmentation
  • Experience in working with audio, video, photo tools
  • Using generic as well as custom tools of tagging and labeling
  • At least a couple of years of experience in data labeling as well as data anonymization in different industries
  • Expertise in data searching and collection through online research and categorization
  • Working knowledge of the most common tools used in data annotation and segmentation

Personal qualities:

  • Composed, committed and cool-minded
  • Able to face monotonousness and work pressure
  • Strong interpersonal communication skills
  • Proactive, reliable, detail-oriented
  • Multi-linguist and grammar skills

In-House vs Outsourcing Data Annotation: What Is the Best Way to Go?

Building an in-house or outsourced data annotation team has respective pros and cons. In certain cases, the in-house may be more desirable while in the most cases, building an outsourced team of data annotators is more suitable for companies.

Pros and cons of building an in-house team are listed on the right:

Pros of In-House Team

  • Greater control due to proximity
  • Better security of the data
  • Effective communication and coordination
  • Fully dedicated and reliable

Cons of In-House Team

  • Longer periods for hiring and training
  • Costlier than remote teams
  • Difficult to scale up the team
  • Additional charges of HR process management
  • Access to limited tech-talent pools
  • Large upfront cost for infrastructure

Pros of a Remote Team

  • Cost-efficient process
  • Faster team building and expansion
  • Flexible charges and team structure
  • No upfront cost for infrastructure
  • Option for non-disclosure agreement (NDA) for data security
  • Fully managed HR process
  • Faster work speed and efficiency

Cons of a Remote Team

  • Communication issues
  • Data security issues

Remote Data Annotation Team

The main benefits and downsides of outsourced data annotation team building are listed on the left:

Major Reasons to Build Data Labeling Specialist Team with Us

We offer numerous added advantages to our clients; a few of them are mentioned below:

Fully managed service: we provide you with a dedicated team of data annotators with a fully managed HR process without having you invest as upfront cost in infrastructure. We manage the entire process from requirement assessment to on-boarding the resources with speed and transparency.

Security: our services are designed in a way to offer highly secure services in which the data of the client remains 100% secure and uncompromised. We offer numerous additional options for security and integrity of data.

Speed: our hiring process is very fast so that our client gets the team ready in a few weeks or so. We can also help our customers scale up their teams very fast as the demands increase.

Cost saving: we offer highly competitive rates for highly professional-grade data annotation services. Our prices are fixed without any hidden charges with flexible payment options.

Constant communication: our managed service is powered by constant communication through multiple modern ways of communication, collaboration, and coordination tools. Our customer always feels connected like an in-house team.

Why Rely on Our Professional Data Labeling for Machine Learning Services?

The enterprises from across the globe can rely on our highly specialized and professional-grade data labeling for machine learning services because we offer numerous benefits as compared to many other competitors in the market. A few of them are mentioned below:

Faster time to market: the development of artificial intelligence (AI) and machine learning (ML) applications and continual updating of those applications become much faster to achieve the competitive-edge in the market.

Quality and customer satisfaction: our services are in line with European quality standards that offer full confidence and customer satisfaction without any doubts. We strongly focus on high quality of work.

Saving money & time: having a reliable outsourcing data annotation partner like us helps enterprises save substantial amounts of money and time in different types of processes managed by our professional-grade service.

Expanding resources: any company lacking in the top-class human resources due to certain business constraints can benefit from our highly customized service to expand their resources based on different modules of resource outsourcing.

Access to a larger HR market: we have access to a large HR market that can help our clients build a team with proper skills and qualifications in a shorter period of time. It can help bridge technology scarcity easily.

If you are looking for professional data annotator, get in touch with us to learn more about setting up dedicated teams of data labelers remotely now!

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