Press release
2025 Digital Human Market Outlook: Key Indicators Shaping Growth Through 2034
Digital Human
What Will the Digital Human Industry Market Size Be by 2025?
The exponential growth in the digital human market size has been noticeable over the past few years. It is projected to expand from a market valuation of $33.96 billion in 2024 to reach $50.56 billion in 2025, at a compound annual growth rate (CAGR) of 48.9%. Factors such as advancements in AI and machine learning, enhancements in graphics and animation, the proliferation of virtual reality (VR) and augmented reality (AR), the increasing demand for personalised user experiences, and reduction in costs and scalability have contributed to the growth during the historic period.
What's the Long-Term Growth Forecast for the Digital Human Market Size Through 2029?
Expectations are high for a substantial expansion of the digital human market in the upcoming years, as it's projected to reach a value of $247.43 billion by 2029, growing at a compounded annual rate (CAGR) of 48.7%. This impressive growth during the forecasted period can be mainly attributed to the proliferation of virtual commerce, the integration with Internet of Things (IoT) devices, necessary ethical and regulatory considerations, and the rise of metaverse platforms. The leading trends anticipated during the forecast period include hyper-personalization, the use of multi-modal interactions, collaborative and co-creative opportunities, a greater diversity in representation and inclusivity, along with constant learning and adaptation.
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What Are the Key Growth Drivers Fueling the Digital Human Market Expansion?
The surge in robot utilization in industrial operations is anticipated to bolster the expansion of the digital human market. Industrial application robots are automated devices engineered to undertake jobs typically performed by humans in manufacturing and similar industrial environments. There's a marked escalation in robotics deployment in industrial settings due to factors like Industry 4.0, automation trends, performance upgrades, safety improvement, reducing costs and widening applications. Digital humans boost the efficacy of robots in industrial tasks by enhancing communication, instruction, interface design, data representation and customer engagement. For example, in May 2023, data from the International Federation of Robotics, a non-profit organization based in Germany, indicates that installations of industrial robots in manufacturing increased by 12% in 2022 overall, totaling 41,624 units. The automotive industry, primarily encompassing US, Canadian, and Mexican entities, was the highest user with 20,391 installed units, showing a 30% increase from 2021. As a result, the escalating adoption of robots in industrial operations is fuelling the expansion of the digital human market.
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What Are the Key Trends Driving Digital Human Market Growth?
Leading businesses in the digital human market are introducing innovative solutions such as digital human SDK, which incorporates AI technology, in order to provide customers with more superior capabilities. The digital human SDK is a specially crafted kit for software development that aims to reduce the time to achieving value and eliminate obstacles for development teams. This tool enables brands to build stronger relationships with their clients, thus increasing web conversion rates, enhancing customer satisfaction, and promoting brand allegiance. For instance, in July 2023, UneeQ Digital Humans, a software corporation based in New Zealand, unveiled its inaugural digital human SDK. This freshly introduced SDK allows organizations to swiftly implement AI-powered digital human experiences into digital landscapes, including augmented and virtual reality applications like Apple's Vision Pro. This technology empowers brands to incorporate AI-based digital humans into their AR or VR apps, animating their virtual environments and providing a more engaging and interactive consumer experience.
How Is the Digital Human Market Segmented?
The digital human market covered in this report is segmented -
1) By Product Type: Interactive Digital Human Avatar, Non-Interactive Digital Human Avatar
2) By Technology: 3D Scanning, 3D Modelling, Natural Language Processing, Natural Language Generation, Artificial Intelligence (AI)
3) By Application: Virtual Agents, Virtual Assistants, Virtual Influencers, Virtual Companions, Virtual Characters
4) By Industry: Gaming, Entertainment, Banking, financial services and insurance (BFSI), Information Technology (IT) And Telecommunication, Education, Automotive, Advertisement, Health And Sports, Other Industries
Subsegments:
1) By Interactive Digital Human Avatar: AI-Powered Avatars, Virtual Assistants, Customer Service Avatars, Training And Simulation Avatars
2) By Non-Interactive Digital Human Avatar: Pre-Rendered Avatars, Animation-Only Avatars, Promotional And Advertising Avatars
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Which Companies Are Leading the Charge in Digital Human Market Innovation?
Major companies operating in the digital human market report are Samsung Electronics Co. Ltd.; Microsoft Corporation; Meta Platforms Inc.; Tencent Holdings Limited; Nvidia Corporation; Netease Inc.; iFLYTEK Corporation; Epic Games Inc.; Digital Domain; Inworld AI; Didimo Inc.; Genies; Xsens Technologies B.V.; Reallusion Inc.; HOUR ONE AI; Soul Machines; Synthesia Ltd.; DeepBrain AI; Daz Production Inc.; Wolf3D; Offbeat Media Group; UneeQ; DeepMotion; Ziva Dynamics; Virtually Human Studio
Which Regions Are Leading the Global Digital Human Market in Revenue?
North America was the largest region in the digital human market in 2024. Asia Pacificis expected to be the fastest-growing region in the forecast period. The regions covered in the digital human market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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