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Rising Smart Home Demand Fuels Growth In Artificial Intelligence For Interior Design Driver: Leading Transformation in the Artificial Intelligence (AI) In Interior Design Market in 2025
Artificial Intelligence AI In Interior Design
The rising demand for smart homes is expected to drive the growth of AI in the interior design market. Smart homes are residences equipped with devices and systems that can be controlled remotely, offering improved convenience, energy efficiency, security, and overall living experience. The demand for smart homes is growing due to the affordability of smart devices and the increasing awareness of their benefits. AI in smart home technology helps enhance living environments by automating systems, improving energy efficiency, and ensuring comfort and security. For example, in November 2022, techUK reported that 77% of UK adults owned at least one connected home device in 2022, a 1% increase from the previous year. The demand for smart homes is, therefore, driving AI adoption in interior design.
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What Is the projected market size and growth rate for the artificial intelligence (ai) in interior design market?
The artificial intelligence (AI) in interior design market has grown exponentially in recent years. It is expected to expand from $1.09 billion in 2024 to $1.39 billion in 2025 at a CAGR of 27.3%. The historical growth resulted from a rising demand for personalized designs, advancements in AI technology, increased home renovations and remodeling, the expansion of e-commerce in home furnishings, cost reductions in AI implementation, improved user experiences through AI, and the integration of AR/VR technologies.
The artificial intelligence (AI) in interior design market is set to expand significantly in the upcoming years. It is projected to grow to $3.59 billion by 2029 at a CAGR of 26.9%. This growth is driven by the increasing adoption of smart home technologies, advancements in generative AI, the extension of AI into consumer applications, rising demand for sustainable design solutions, a heightened focus on data-driven design, the emergence of AI-powered design platforms, and growing consumer expectations for interactive design. Key trends in this period will include AI-IoT integration, the development of advanced generative design tools, real-time design feedback enhancements, personalized design experiences, AI-driven virtual and augmented reality, AI-enabled collaboration tools, and AI advancements for sustainable design solutions.
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What new trends are reshaping the artificial intelligence (ai) in interior design market and its opportunities?
The AI in interior design market is innovating with generative AI tools like Wayfair's Decorify, launched in July 2023. Decorify allows users to upload photos of their rooms and visualize them in different decor styles, such as bohemian or mid-century modern. The AI-generated, shoppable images make it easier for customers to explore design options and purchase products directly from Wayfair's catalog.
What major market segments define the scope and growth of the artificial intelligence (ai) in interior design market?
The artificial intelligence (AI) in interior design market covered in this report is segmented -
1) By Component: Solution, Services
2) By Application: Space Planning And Design, Furniture And Decor Selection, Virtual Reality And Augmented Reality (VR Or AR) Visualization, Material Selection And Optimization, Other Applications
3) By End User: Interior Design Firms, Architects And Real-Estate Developers, Furniture Manufacturers, Other End-Users
Subsegments:
1) By Solution: AI-Powered Design Tools, Virtual Reality (VR) And Augmented Reality (AR) Integration For Interior Design, 3D Modeling And Visualization Solutions, AI-Driven Furniture Layout And Arrangement Tools, Color And Lighting Recommendation Systems, Smart Home Integration Solutions For Interior Design
2) By Services: AI-Driven Interior Design Consultation Services, Customization And Personalization Services using AI, AI-Based Space Planning And Optimization Services, Virtual Interior Design Assistance Services, AI Integration And Implementation Services, Ongoing Maintenance And Updates For AI Design Solutions
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Which region dominates the artificial intelligence (ai) in interior design market?
North America was the largest region in the artificial intelligence (AI) in interior design market in 2024. The regions covered in the artificial intelligence (AI) in interior design market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
Which key market leaders are driving the artificial intelligence (ai) in interior design industry growth?
Major companies operating in the artificial intelligence (AI) in interior design market are Wayfair Inc., Autodesk Inc., Houzz Inc., Havenly Inc., Modsy Inc., Foyr Inc., Homestyler Inc., DesignFusion AI, Collov Inc., REImagine Home Inc., ZMO.ai Ltd., Coohom Inc., DecorMatters Inc., Floorplanner.com B.V., Morpholio LLC, Planner 5D Inc., RoomSketcher AS, Fotor Inc., Room AI inc., RoomGPT
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What Is Covered In The Artificial Intelligence (AI) In Interior Design Global Market Report?
•Market Size Forecast: Examine the artificial intelligence (ai) in interior design market size across key regions, countries, product categories, and applications.
•Segmentation Insights: Identify and classify subsegments within the artificial intelligence (ai) in interior design market for a structured understanding.
•Key Players Overview: Analyze major players in the artificial intelligence (ai) in interior design 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 interior design market.
•Segment Contributions: Evaluate how different segments drive overall growth in the artificial intelligence (ai) in interior design market.
•Growth Factors: Highlight key drivers and opportunities influencing the expansion of the artificial intelligence (ai) in interior design market.
•Industry Challenges: Identify potential risks and obstacles affecting the artificial intelligence (ai) in interior design market.
•Competitive Landscape: Review strategic developments in the artificial intelligence (ai) in interior design market, including expansions, agreements, and new product launches.
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