Emerging Trends to Reshape the AI in Media & Entertainment Market: Transforming Media and Entertainment: The Role of AI-Powered Cloud Solutions as a Key Influencer

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What Is the Expected CAGR for the AI in Media & Entertainment Market Through 2025?
The market size of AI in the media & entertainment sector has seen a significant upsurge in the past few years. The market, which is expected to be valued at $17.3 billion in 2024, is projected to grow to $21.99 billion in 2025, with a compound annual growth rate (CAGR) of 27.1%. This substantial growth during the historic period can be traced back to the inception of AI-driven copyright protection, content moderation tools, an influx in personalized content, regional expansion, as well as increased demand in game development and streaming activities.

What's the Projected Size of the Global AI in Media & Entertainment Market by 2029?
The market size of AI in media and entertainment is projected to witness substantial expansion in the coming years, reaching $58.61 billion in 2029 with a compound annual growth rate (CAGR) of 27.8%. This anticipated growth during the forecast period can be credited to advancements in personalized content, AI-generated content production, wide-ranging AR and VR applications, AI-improved user engagement, and data-guided predictive analysis. The pivotal trends throughout the forecast period encompass protection of content copyright, the initiation of chatbot and interaction systems, AI-improved editing, as well as voice and language recognition, alongside predictive analytics.

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Top Growth Drivers in the AI in Media & Entertainment Industry: What's Accelerating the Market?
As the preferences for over-the-top (OTT) platforms and online game streaming multiply, so too is the predicted surge in the use of AI within the sphere of media and entertainment. The expanding number of OTT platform subscribers is a reflection of superior network capabilities, more reliable internet connections, and the ubiquity of mobile devices that support multimedia services. In addition, the emergence of growth in the online gaming sector can be credited to a variety of factors, including wider availability of affordable internet, easy access to online games, and significant advancements within the gaming industry itself. As a result, the application of AI in the realms of gaming and OTT has been enhanced, providing a realistic virtual experience for players and audiences alike. In accordance with a media and entertainment report from the US, by 2023, the U.S. gaming sector supported over 350,000 jobs, and made a contribution of roughly $66 billion to the GDP. Astonishingly, 78% of households engaged with gaming devices. On a global level, the industry's worth reached $184 billion, with an astounding number of 3.2 billion gamers. An outstanding 95% of this figure was dominated by digital purchases, and revenues of mobile games were at the forefront with 49%. Also, it was reported by the Department of Foreign Affairs and Trade, a government department based in Australia, that by 2024, the global digital games industry's value is estimated to be around the $294 billion mark. From this, it can be deduced that the rising popularity of OTT platforms and the ever-increasing demand for online gaming streaming will be a significant driving force for AI in the media and entertainment market.

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What Trends Will Shape the AI in Media & Entertainment Market Through 2029 and Beyond?
Prominent companies active in the AI media and entertainment market are concentrating on creating high-tech solutions, such as cloud solutions powered by artificial intelligence, to improve content generation, simplify production procedures, and tailor viewer experiences. These AI-driven cloud solutions unite cloud computing and AI to enhance functionality and streamline data handling. They employ machine learning and automation to assist firms in honing their decision-making skills and spurring innovation in various sectors. For example, Huawei Technologies Co., Ltd., a Chinese manufacturing firm, introduced Huawei Cloud E3 Media Services in September 2024 to increase the efficiency of content production and redefine distribution within the media and entertainment industry. Their state-of-the-art infrastructure is capable of low-delay streaming and scaling resources, allowing firms to promptly react to traffic needs while preserving high degrees of security and dependability in managing sensitive information.

What Are the Main Segments in the AI in Media & Entertainment Market?
The AI in media & entertainment market covered in this report is segmented -

1) By Solution: Hardware/Equipment, Services
2) By Product: Simulation FX, Animation, Modelling, Matte Painting, Compositing
3) By Application: Gaming, Fake Story Detection, Plagiarism Detection, Personalization, Production Planning & Management, Sales and marketing, Talent Identification, Content Capture, Sports Automatic Productions

Subsegments:
1) By Hardware/Equipment: AI-Enabled Cameras and Imaging Devices, Streaming Devices With AI Capabilities, Smart TVs With AI integration, Audio Equipment With AI Features
2) By Services: Content Creation And Editing Services, AI-Powered Recommendation Engines, Audience Analytics and Insights Services, Automated Moderation And Content Review Services, Virtual Reality And Augmented Reality Experiences

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Which Top Companies are Driving Growth in the AI in Media & Entertainment Market?
Major companies operating in the AI in media & entertainment market include Amazon.com Inc., Alphabet Inc., Microsoft Corporation, Intel Corporation, International Business Machines Corp., Oracle Corporation, NVIDIA Corporation, Ericsson AB, Dolby Laboratories Inc., Production Resource Group L.L.C., Avid Technology Inc., Blackmagic Design Pty. Ltd., Quantum Corporation, Imagine Communications Corp., Deluxe Entertainment Services Group Inc., Gravity Media Ltd., Matchroom Sport Ltd., Brightcove Inc., Veritone Inc., EVS Broadcast Equipment S.A., Gearhouse South Africa PTY. Limited, Pixellot Ltd., Synthesia Ltd., LMG LLC, Valossa Labs Ltd., Spiideo, PlaySight Interactive Ltd., Move AI, Sportway AB, GrayMeta Inc., AISportsWatch GmbH, AutomaticTV, Ross Video Ltd., Sony Corporation, Technicolor SA, Telestream LLC, Vizrt Group AS

Which Regions Will Dominate the AI in Media & Entertainment Market Through 2029?
North America was the largest region in the AI in media & entertainment market share in 2024. The regions covered in the AI in media & entertainment market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

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