Press release
Key Trend Reshaping the Artificial Intelligence (AI) In Higher Education Market in 2025: Innovative AI Technologies Transforming Higher Education
Artificial Intelligence AI In Higher Education Market Size
The surge in online education is anticipated to boost the expansion of AI in the higher education sector. Online education, which involves the distribution of instructional material and learning experiences via digital platforms, is growing as it allows students to receive education remotely through the internet. This trend is gaining traction due to its adaptability, convenience, and accessibility, accommodating various needs and schedules by permitting learning from any location, at any time. AI takes online education a notch higher by customizing learning experiences, automating administrative duties, and offering smart support systems, thereby enhancing student and teacher interaction and efficiency. For example, a report from the World Economic Forum, a non-governmental organization based in Switzerland, revealed in January 2022 that Coursera had a three-time rise in new registrations for online courses, scaling up to 71 million in 2020 and 92 million in 2021. This spike was a result of the shift to remote working during the pandemic. Thus, the growth in online education is a key driver for the expansion of AI in the higher education market.
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What is the projected compound annual growth rate (CAGR) of the artificial intelligence (ai) in higher education market from 2025 to 2034, and what factors influence it?
The market size for artificial intelligence (AI) in higher education has seen remarkable growth over the recent years. It is projected to witness an increase from $2.24 billion in 2024 to $3.03 billion in 2025, with a compound annual growth rate (CAGR) of 35.1%. The expansion during the historic period can be ascribed to the rising need for personalized education, the surge in enrollment rates requiring scalable solutions, the burgeoning growth of online education fueling AI integration, the growing focus on bespoke learning paths via AI, and increased demand for AI in higher education.
The market size of AI in higher education is anticipated to experience rapid expansion in the following years. It is projected to achieve a valuation of $10 billion by 2029, with a 34.8% CAGR. The growth during the forecast period can be credited to the surge in demand for blended learning models, the escalating requirement for AI incorporation, educational institutions increasingly seeking AI solutions to encourage student participation, the rising need for online learning, and an emphasis on continuing education as catalysts for AI adoption. Key trends for the forecast period are technological development, AI technology innovation, heightened investment in EdTech, the proliferation of AI-enabled research tools, and the evolution of intelligent content.
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How are the latest trends influencing the growth of the artificial intelligence (ai) in higher education market?
The primary players in the AI in higher education market are pioneering the creation of AI-enabled tools tailored for the educational landscape, with the goal of fostering personalized learning, increasing student engagement, streamlining administrative responsibilities, offering necessary services promptly, and augmenting the overall performance and competence of educational procedures. AI devices for education capitalize on smart learning experiences, customize teaching, streamline administrative jobs, and offer technology-based support systems for pupils and educators. As an example, Pearson Plc, a learning firm based in the UK, debuted a generative, AI-powered tool designed for instructors in July 2024. This AI tool, which is planned to include Pearson's MyLab and Mastering, teaching and learning platforms, is intended to amplify the teaching methods of faculty members. Pearson's AI tool's standout feature is its facility to simplify the process of assignment creation for educators.
What are the major segments of the artificial intelligence (ai) in higher education market and their role in driving growth?
The artificial intelligence (AI) in higher education market covered in this report is segmented -
1) By Component: Solution, Services
2) By Deployment Mode: Cloud-Based, On-Premise
3) By Technology: Machine Learning (ML), Natural Language Processing (NLP), Computer Vision, Other Technologies
4) By Application: Learning Platforms And Virtual Facilitators, Intelligent Tutoring System, Smart Content, Fraud And Risk Management, Other Applications
Subsegments:
1) By Solution: AI-Powered Learning Management Systems (LMS), Personalized Learning Platforms, Predictive Analytics Tools, Intelligent Tutoring Systems, AI-Driven Assessment Tools, Chatbots for Student Support, Curriculum Development Tools
2) By Services: Consulting Services, Implementation Services, Training and Support Services, Maintenance and Upgradation Services, Data Analytics and Reporting Services
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Which regions are key players in the growth of the artificial intelligence (ai) in higher education market?
North America was the largest region in the AI in higher education market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the artificial intelligence (AI) in higher education market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
Who are the key firms paving the way for growth in the artificial intelligence (ai) in higher education market?
Major companies operating in the artificial intelligence (AI) in higher education market are Amazon.com Inc., Google LLC, Microsoft Corporation, Intel Corporation, International Business Machines Corporation, Oracle Corporation, Cognizant Technology Solutions India Private Limited, Adobe Inc., Pearson Plc, Century Communities Tech Limited, John Wiley and Sons Inc., 2U Inc., Coursera Inc., Instructure Holdings Inc., D2L Inc., Kaltura Inc., Jenzabar Inc., Carnegie Learning Inc., Brainly Inc., Quantum Adaptive Learning LLC, Knewton Inc., BridgeU Ltd., Fishtree Inc., Querium Corporation, Cognii Inc
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What Is Covered In The Artificial Intelligence (AI) In Higher Education Global Market Report?
•Market Size Forecast: Examine the artificial intelligence (ai) in higher education market size across key regions, countries, product categories, and applications.
•Segmentation Insights: Identify and classify subsegments within the artificial intelligence (ai) in higher education market for a structured understanding.
•Key Players Overview: Analyze major players in the artificial intelligence (ai) in higher education market, including their market value, share, and competitive positioning.
•Growth Trends Exploration: Assess individual growth patterns and future opportunities in the artificial intelligence (ai) in higher education market.
•Segment Contributions: Evaluate how different segments drive overall growth in the artificial intelligence (ai) in higher education market.
•Growth Factors: Highlight key drivers and opportunities influencing the expansion of the artificial intelligence (ai) in higher education market.
•Industry Challenges: Identify potential risks and obstacles affecting the artificial intelligence (ai) in higher education market.
•Competitive Landscape: Review strategic developments in the artificial intelligence (ai) in higher education market, including expansions, agreements, and new product launches.
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