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AI In Media & Entertainment Market Trends That Will Shape the Next Decade: Insights from Transforming Media and Entertainment: The Role of AI-Powered Cloud Solutions
AI In Media & Entertainment Market
How Large Will the AI In Media & Entertainment Market Size By 2025?
The size of the AI in media & entertainment market has seen tremendous growth lately. Its expansion from a value of $22.46 billion in 2024 to an estimated $28.32 billion in 2025 represents a compound annual growth rate (CAGR) of 26.1%. Factors contributing to this historic growth include the inception of AI-informed copyright protection, development of content moderation tools, increased focus on content personalization, regional market expansion, and a surge in streaming activities and game development demand.
How Big Is the AI In Media & Entertainment Market Size Expected to Grow by 2029?
The market for ai in the media and entertainment sector is projected to experience tremendous growth in the coming years, escalating to a value of $70.66 billion by 2029, with a CAGR of 25.7%. This predicted rise for the forecasted period is credited to several factors including the sophistication of personalized content, creation of content by ai, widespread applications of AR and VR, enhanced user engagement through ai, and predictive analytics powered by data. The forecast period also foresees key trends such as protection of content copyright, introduction of chatbots and interactive systems, improved editing through ai, recognition of voice and language, and advanced predictive analytics.
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Which Key Market Drivers Powering AI In Media & Entertainment Market Expansion and Growth?
The surge in preference for over-the-top (OTT) platforms combined with the expansion of online game streaming is set to propel the application of artificial intelligence in the media and entertainment sector. The number of OTT platform subscribers is on the rise, thanks to enhanced networks, stronger internet connections, and mobile devices with multimedia service capabilities. Lately, the online gaming sector of the market has seen growth propelled by several elements, including affordable internet access, availability of online games, and significant progress in the gaming industry. This growing demand for OTT platforms and online gaming has heightened the usage of AI in gaming and OTT, developing a more lifelike gaming and virtual experience for players and viewers. For example, a media entertainment report from the US stated that in 2023, over 350,000 jobs were sustained by the U.S. video game industry, contributing about $66 billion to GDP, with 78% of households possessing gaming devices. On a global scale, the industry hit $184 billion, accommodating 3.2 billion gamers. Digital purchases dominated with 95%, and mobile games generated the highest revenues at 49%. Moreover, in February 2022, the Department of Foreign Affairs and Trade, an Australian government department, projected that by 2024, the worldwide digital games industry would be valued at around $294 billion. Therefore, the rising popularity of OTT platforms and the growth of online game streaming will potentially drive the implementation of AI in the media and entertainment sector.
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Which Fast-Growing Trends Are Poised to Disrupt the AI In Media & Entertainment Market?
Leading companies in the AI Media and Entertainment market are prioritizing the development of high-tech solutions, including AI-fueled cloud solutions, to refine content creation, simplify production methods, and customize viewer engagement. These AI-enabled cloud solutions merge cloud technology and AI to augment performance and streamline data processing. By leveraging machine learning and automation, these solutions enable business to improve decision-making and encourage innovation in various sectors. In an example, Huawei Technologies Co., Ltd., a manufacturing firm from China, introduced Huawei Cloud E3 Media Services in September 2024. This service aims to boost both content production and distribution in the media and entertainment sector by improving production efficiency and redefining content distribution. This sophisticated infrastructure offers low-latency streaming and expandable resources, allowing businesses to adapt swiftly to traffic needs, whilst providing high security and dependability for sensitive data handling.
What Are the Emerging Segments in the AI In Media & Entertainment Market?
The ai in media & entertainmentmarket 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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Who Are the Global Leaders 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 are the Top Profitable Regional Markets for the AI In Media & Entertainment Industry?
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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