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The Rising Adoption Of Visual Effects Technology Fuels Growth In The 3D Animation Market Driving Market Acceleration in the 3D Animation Industry, 2025
3D Animation
What Will the 3D Animation Industry Market Size Be by 2025?
In recent times, the 3D animation market has experienced robust growth. The market size is projected to increase from $24.33 billion in 2024 to $26.63 billion in 2025, maintaining a compound annual growth rate (CAGR) of 9.4%. The growth seen in the past period can be associated with rising demand from the entertainment industry, broader applications in healthcare and education, the global expansion of animation studios, cost-effective production, and greater diversity in application areas.
What's the Long-Term Growth Forecast for the 3D Animation Market Size Through 2029?
In the coming years, the 3D animation market size is anticipated to experience a swift expansion, reaching a valuation of $44.44 billion in 2029 with a compound annual growth rate (CAGR) of 13.7%. The upward trend during the forecast period is likely due to the rise of real-time 3D animation, increased application in simulations and training, as well as growing usage in e-learning and virtual events. The forecast period is set to witness key trends such as the integration of immersive technologies, advancements in real-time rendering, cloud-based animation services, and the incorporation of AI and machine learning.
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What Are the Key Growth Drivers Fueling the 3D Animation Market Expansion?
The market is expanding due to the increasing utilization of visual effects technology in films and the media and entertainment industry worldwide. Manipulation or creation of on-screen imagery that doesn't have a physical existence in reality is referred to as visual effects (VFX) and 3D animation in filmmaking. This technology can be used to create locations, objects, creatures, and even humans that would be difficult or impossible to capture in a live-action environment. For example, YouTube's revenue increased to $29.24 billion in 2022, a rise from $28.84 billion in 2021, as reported by the US-based healthcare digital marketing agency, Omnicore Agency, in January 2024. As such, the upswing in the use of visual effects technology in films is anticipated to drive the growth of the 3D animation market in the forthcoming time.
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What Are the Key Trends Driving 3D Animation Market Growth?
The escalating market trends can be attributed to the animation content creators' growing adoption of cloud technology. The animation industry reaps the benefits of the cloud services that offer flexible and efficiently scalable computing resources. The application of cloud-based animation services is straightforward, unambiguous, and provides considerable computational strength. As an illustration, ESDIP Animation Studio has opted for SimpleCloud for its virtual desktop solution. This solution facilitates remote teamwork on projects that require strong parallel processing and congregates artists from across the globe to execute its animation short film, Blue & Malone Impossible Cases.
How Is the 3D Animation Market Segmented?
The 3D animation market covered in this report is segmented -
1) By Deployment Mode: On-Premise, Cloud
2) By Technique Type: 3D Modeling, Motion Graphics, 3D Rendering, Visual Effects
3) By Service: Consulting, Support And Maintenance, Integration And Deployment, Education And Training
4) By End Use: Media And Entertainment, Architecture And Construction, Education And Academics, Manufacturing, Healthcare And Life Sciences, Government And Defense, Others End-Uses
Subsegments:
1) By On-Premise: Software Installations On Local Servers Or Computers, Customization And Integration With Existing Systems
2) By Cloud: Software As A Service (SaaS) Solutions, Subscription-Based Access To 3D Animation Tools And Platforms, Scalability And Remote Access Features
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Which Companies Are Leading the Charge in 3D Animation Market Innovation?
Major companies operating in the 3D animation market include NVIDIA Corporation, Adobe Inc., Autodesk Inc., Trimble Inc., Unity Technologies SF, Lucasfilm Ltd. LLC, DNEG Ltd., Animal Logic Pty Ltd., Method Studios LLC, Weta Digital Limited, Laika LLC, Sony Corporation, Chaos Group, Smith Micro Software Inc., NewTek Inc. SideFX Software Inc., Reallusion Inc., Toon Boom Animation Inc., Maxon Computer Inc., Pixologic Inc., The Foundry Visionmongers Limited, Foundry Nuke Limited, Moving Picture Company Limited, Framestore Limited, Epic Games Inc., Crystal CG International Limited
Which Regions Are Leading the Global 3D Animation Market in Revenue?
North America was the largest region by market share in the 3D animation market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the 3D animation market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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