Press release
2025-2034 Digital Human Market Evolution: Disruptions, Innovations, and Untapped Opportunities
Digital Human Market
Digital Human Market Size Valuation Forecast: What Will the Market Be Worth by 2025?
The expansion of the digital human market has been rapid in the recent past, escalating from a valuation of $33.96 billion in 2024 to a projected $50.26 billion in 2025, representing a compound annual growth rate (CAGR) of 48.0%. This impressive growth rate in the historical period can be credited to numerous factors such as the progression in AI and machine learning technologies, enhancements in graphics and animation, the burgeoning sectors of virtual reality (VR) and augmented reality (AR), the rise in demand for customized user experiences, and the capability for cost reduction and scalability.
Digital Human Market Size Forecast: What's the Projected Valuation by 2029?
The venture into the digital human market is anticipated to rapidly expand in the upcoming years, with projections forecasting a valuation of $218.58 billion by 2029 and a 44.4% compound annual growth rate (CAGR). The predicted growth during this period is largely due to the booming virtual commerce industry, integration with Internet of Things (IoT) devices, ethical and regulatory discussions, along with the rise of metaverse platforms. The industry is set to evolve with key trends such as hyper-personalization, multi-modal interaction, the capability for collaboration and co-creation, diversity and inclusivity, and the ability to continuously learn and adapt.
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What Are the Drivers Transforming the Digital Human Market?
The digital human market's expansion is set to be driven by a surge in the use of robots for industrial applications. These applications involve the use of automated machines to carry out tasks traditionally handled by humans, specifically in manufacturing and related industrial environments. Encouraged by trends like Industry 4.0 and automation, the application of robotics in industrial scenarios is seeing significant growth. This is due to improved performance, enhanced security, cost-saving measures, and an expanded range of applications. Digital humans aid these robots in enhancing communication, training processes, interface design, data visualization, and customer service aspects. As per the International Federation of Robotics, a Germany-based non-profit organization, industrial robot installations within manufacturing witnessed a 12% overall increase in 2022, equating to 41,624 units. Industries primarily in the US, Canada, and Mexico, mainly associated with the automotive sector, topped the adoption charts with 20,391 installed units. This represents a 30% increase from 2021. Thus, the escalating use of robots in industrial settings acts as a catalyst for the digital human market's growth.
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What Long-Term Trends Will Define the Future of the Digital Human Market?
Top-tier companies in the digital human market are creating cutting-edge technologies including digital human SDK (software development kit) fused with AI-powered capabilities to offer consumers superior advanced features. The digital human SDK is specifically designed to expedite time-to-value and mitigate any potential obstacles for development teams. It provides a platform for brands to establish stronger connections with their consumers, boost web conversion rates, upgrade customer experience and foster brand loyalty. For instance, UneeQ Digital Humans, a software organization from New Zealand, introduced its premier digital human SDK in July 2023. This contemporary SDK enables corporations to promptly incorporate AI-driven digital human experiences into digital landscapes, comprising of augmented and virtual reality applications like Apple's Vision Pro. This novel technology allows brands to assimilate AI-infused digital humans into their AR or VR applications thereby introducing life into their virtual universes and offering a deeply engaging and interactive customer experience.
Which Segments in the Digital Human Market Offer the Most Profit Potential?
The digital humanmarket 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 Firms Dominate the Digital Human Market by Market Share and Revenue in 2025?
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 Offer the Highest Growth Potential in the Digital Human Market?
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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