AI Video Market Size, Share & Trends Analysis Report By Device (Desktop Computers, Mobile Devices), By Users (B2B, B2C), By Offering Type (Creative AI Video Generators, Video Enhancement AI), By Region, And Segment Forecasts, 2024 - 2030

AI Video Market Size & Trends

The global AI video market size was estimated at USD 5.53 billion in 2023 and is projected to grow at a CAGR of 35.3% from 2024 to 2030. The market is experiencing rapid expansion, driven by advancements in machine learning and computer vision technologies. As businesses increasingly seek innovative ways to engage audiences, AI-powered video tools are becoming indispensable. This growth is evident in various sectors, including marketing, entertainment, and education, where personalized and automated video content is enhancing user experiences.

The rise of AI-driven video editing platforms allows for simplified content creation, reducing the need for extensive manual input and accelerating production timelines. Moreover, AI's capabilities in video analytics are providing deeper insights into viewer behavior and content effectiveness. Companies are utilizing these insights to refine their strategies and improve ROI. The overall market is projected to continue its upward trajectory as AI technologies evolve and new applications emerge.

Consumer demand for high-quality, engaging video content is a major factor propelling the growth of the market. With the proliferation of digital platforms and social media, users expect increasingly polished and personalized video experiences. AI technologies are meeting these expectations by providing tools that automate video production, enhance content relevance, and improve viewer engagement. The ability to generate and manipulate video content with AI saves time and allows for more creative and targeted approaches. As content creators and marketers strive to stand out in a crowded digital space, Artificial Intelligence (AI) solutions offer significant competitive advantages. This demand is also being fueled by the growing use of video in e-commerce, remote work, and virtual events. The increasing reliance on video across various domains shows the importance of artificial intelligence in shaping the future of digital content.

AI’s role in video security and content moderation is becoming increasingly crucial as the volume of video content continues to grow. With the rise of user-generated content and live streaming, ensuring the safety and appropriateness of videos is a significant challenge. AI-powered systems are being employed to detect and filter out harmful content, including hate speech, misinformation, and explicit material. These systems use advanced algorithms to analyze video footage and flag inappropriate content with high accuracy. By improving the effectiveness of content moderation, AI is helping platforms maintain a safe environment for users. Moreover, AI-driven security measures protect against unauthorized access and piracy. The enhancement of video security through AI is essential for maintaining trust and compliance in the digital video ecosystem, ensuring that platforms can scale their operations while upholding community standards.

Market Concentration & Characteristics

The AI video market is experiencing significant innovation, with advancements in content creation, such as automated editing and special effects. Deepfake technology and synthetic media are pushing the boundaries of realism in video production. AI-driven personalization enhances user experience by customizing recommendations and content to individual preferences. Real-time video processing enables features like virtual backgrounds and live enhancements, revolutionizing streaming and virtual interactions. Moreover, AI's capabilities in automated video analysis improve tasks like security monitoring and content moderation, driving efficiency and new applications.

The level of merger and acquisition (M&A) activities in the market is high and increasingly dynamic. Companies are actively acquiring startups and established firms to integrate advanced AI technologies, enhance their product offerings, and gain competitive advantages. These transactions often involve companies specializing in AI-driven video analytics, deepfake technology, and real-time video processing. The rapid evolution of technology and the quest for innovation drive companies to consolidate resources and capabilities through strategic acquisitions. As the market grows and evolves, M&A activity is expected to continue as firms seek to stay ahead in the competitive landscape.

Regulation in the market is increasingly shaping industry practices by addressing ethical, privacy, and security concerns. Stricter regulations on deepfakes and synthetic media aim to prevent misuse and misinformation, while privacy laws mandate how data collected from video interactions must be handled. Compliance with these regulations can drive up costs for companies, influencing their operational strategies and technological development. However, clear regulatory frameworks can also foster trust and create a more stable market environment, potentially encouraging responsible innovation and investment in AI video technologies.

Substitutes in the market, such as traditional video editing tools and manual content creation methods, can influence market dynamics by providing alternatives that may be less reliant on AI. While AI tools offer enhanced automation and advanced features, substitutes might appeal to users seeking cost-effective or simpler solutions. The presence of these alternatives can drive AI video companies to innovate continuously and differentiate their offerings to maintain a competitive edge. Ultimately, the impact of substitutes highlights the need for AI video solutions to demonstrate clear advantages in efficiency, quality, and functionality to capture and retain market share.

End-user concentration in the market varies across different segments but generally shows a trend toward significant concentration among a few key industries. Major end-users include media and entertainment companies, streaming platforms, and large enterprises that leverage AI video technologies for content creation, personalization, and real-time processing. Additionally, sectors such as advertising and marketing are increasingly adopting AI video tools to enhance their campaigns. This concentration among high-demand, tech-savvy industries drives substantial investment and innovation but also means that shifts in these sectors can have a notable impact on the market. As these key players evolve their needs and technologies, they shape the market's direction and growth opportunities.

Device Insights

The Cloud-based platforms segment led the market and accounted for 51.5% of the global revenue in 2023. Cloud-based platforms are rapidly growing in the market due to their scalability, cost efficiency, and advanced AI services. These platforms enable businesses to handle large volumes of video data and processing tasks without heavy upfront investments, utilizing pay-as-you-go models to manage costs. They offer integrated AI tools for tasks like automated editing and content analysis, simplify collaboration across distributed teams, and continuously update with the latest innovations. This growth shows the cloud's ability to provide flexible, advanced solutions that meet the dynamic needs of video content creators and enterprises.

The Mobile devices segment is projected to grow significantly over the forecast period. Mobile devices are significantly expanding their role in the market due to advancements in processing power and camera technology. AI-driven applications on these devices enable real-time video editing, enhanced image recognition, and sophisticated augmented reality experiences. The proliferation of high-resolution displays and powerful GPUs in mobile devices supports more immersive and interactive video content. Moreover, the accessibility and portability of these devices make advanced AI video tools more available to a broader audience. As AI technology continues to evolve, mobile devices are expected to drive further innovation and growth in the market.

Users Insights

The B2B (enterprise) segment accounted for the largest market revenue share in 2023. The B2B (enterprise) sector dominates the market due to its substantial need for advanced video analytics and automation solutions to enhance operational efficiency. Enterprises utilize AI video technologies for tasks such as surveillance, quality control, and customer engagement, where high accuracy and scalability are crucial. The integration of artificial intelligence (AI) into enterprise video solutions facilitates advanced data insights, real-time decision-making, and improved security protocols. B2B clients often have larger budgets and more complex requirements, driving demand for sophisticated, customizable AI video solutions. Moreover, enterprise adoption of AI video technology can lead to significant competitive advantages, further accelerating its dominance in the market.

The B2C (individual) segment is predicted to foresee significant growth in the forecast period. The B2C (individual) sector is growing in the market due to the increasing availability and affordability of AI-powered video apps and tools for personal use. Individuals are increasingly using AI-driven video applications for activities like enhanced photo and video editing, personalized content creation, and real-time video filters. The rise of social media platforms and content-sharing apps has driven demand for intuitive and advanced AI video features that can enhance user-generated content. As mobile devices become more powerful and accessible, they enable individuals to leverage sophisticated AI video technology directly from their smartphones and tablets. This democratization of AI tools is expanding their reach and popularity among everyday users.

Offering Type Insights

The Video Analysis AI segment accounted for the largest market revenue share in 2023. Video analysis AI dominates the market due to its ability to deliver highly accurate and actionable insights from video data. By utilizing machine learning algorithms and computer vision, it can automatically identify and track objects, detect anomalies, and extract meaningful patterns from vast amounts of footage. This technology is crucial for applications such as surveillance, security, and customer behavior analysis, where real-time processing and analysis are essential. The growing demand for data-driven decision-making and enhanced operational efficiency across various industries has further propelled its adoption. Moreover, advancements in AI technology and decreasing costs are making video analysis solutions more accessible and appealing to a broader range of businesses and organizations.

The Creative AI video generators segment is projected to grow significantly over the forecast period. Creative AI video generators are experiencing rapid growth in the market due to their ability to streamline content creation and inspire innovation. These tools use advanced algorithms to automate video production tasks, such as scriptwriting, scene generation, and visual effects, making high-quality video creation more accessible. They cater to a broad audience, including marketers, content creators, and individuals, by providing easy-to-use platforms for generating engaging and personalized content. The increasing demand for visually appealing and diverse media content across digital channels is driving further adoption of these technologies. Moreover, as AI algorithms continue to improve, creative AI video generators are offering increasingly sophisticated and customized results, fueling their market expansion.

Regional Insights

North America dominated the market and accounted for 34.5% share in 2023. North America's technological infrastructure is characterized by high-speed internet, extensive data centers, and cutting-edge computing resources, all of which are crucial for developing and deploying AI video solutions. The region's well-established network of technology hubs and innovation centers fosters collaboration and rapid advancements in AI technology. Moreover, North America benefits from a strong ecosystem of cloud computing services and hardware providers that enhance the capabilities of AI video applications. This advanced infrastructure enables seamless integration, scalability, and performance of sophisticated AI video solutions.

U.S. AI Video Market Trends

The market in the U.S. is expected to grow significantly over the forecast period.AI technologies are transforming the U.S. media and entertainment industry by automating tasks such as video editing and content creation. This integration speeds up production and reduces costs, while AI-driven recommendations enhance audience engagement. Overall, AI tools streamline workflows and improve content quality efficiently.

Europe AI Video Market Trends

In Europe, AI-powered video analytics are gaining traction in smart surveillance, significantly enhancing public safety and security. Advanced features such as real-time threat detection and facial recognition are being widely adopted to improve monitoring and response capabilities. The growing use of these technologies is driven by the need for more effective and proactive security measures. As AI continues to advance, its role in surveillance is expected to expand, providing increasingly sophisticated solutions.

The AI video market in the U.K. is experiencing notable growth, fueled by the country's vibrant animation industry and its strong tradition of creative excellence. With a rich history of innovation, the U.K. provides an ideal environment for integrating advanced technologies such as generative AI. This integration is enhancing animation techniques, optimizing production workflows, and unlocking new creative possibilities.

Germany AI Video marketheld the significant share of the Europe market. Germany's robust infrastructure and commitment to advancing AI research contribute to its leadership in AI video applications, including smart surveillance and video analytics. The presence of numerous tech companies and research institutions further bolsters Germany's position in the market. As the country continues to invest in AI technology, its share in the European market is expected to grow even further.

Asia Pacific AI Video Market Trends

Asia Pacific is anticipated to register the fastest CAGR over the forecast period, driven by rapid technological advancements and increasing adoption of AI video solutions across various industries. The region’s burgeoning digital economy and significant investments in infrastructure and innovation support this growth. Expanding consumer markets and rising demand for advanced video analytics and content creation tools also contribute to the acceleration. As businesses and governments in Asia Pacific embrace AI technologies, the market is poised for substantial expansion.

China AI Video market is expected to grow significantly over the forecast period.The growing consumer market in China is significantly driving the expansion of AI-powered video applications. The increasing use of these technologies in entertainment, social media, and smart home devices is enhancing user experiences and creating new opportunities. As consumers adopt AI-driven features like personalized content and intelligent video management, the demand for innovative solutions continues to rise. This surge in consumer interest is fueling the rapid growth of the market in the region.

The AI Video market in India is expected to grow substantially over the forecast period. The proliferation of smartphones and high-speed internet across India is facilitating the adoption of AI video technologies, leading to more widespread use of advanced applications. With increasing access to mobile devices and faster connectivity, more users are able to utilize AI-driven features for video editing, streaming, and personalized content. This technological infrastructure is accelerating the integration of AI into various sectors, from entertainment to security, enhancing the overall market growth.

Middle East & Africa AI Video Market Trends

The expansion of smart city initiatives in countries like the UAE and Saudi Arabia is driving the adoption of AI video solutions for traffic management, public safety, and urban planning. These AI technologies enable real-time monitoring and analysis, improving traffic flow, enhancing security, and optimizing city infrastructure. The focus on creating more efficient and responsive urban environments is fueling investment in AI video solutions, making smart cities a key area of growth in the MEA region.

Key AI Video Company Insights

Prominent firms have used product launches and developments, followed by expansions, mergers and acquisitions, contracts, agreements, partnerships, and collaborations as their primary business strategy to increase their market share. The companies have used various techniques to enhance market penetration and boost their position in the competitive industry. For instance, In May 2024, Google LLC introduced its AI tools, Veo and Imagen 3. Veo generates high-quality 1080p videos from text prompts, and Imagen 3 produces highly detailed, photorealistic images from text. Both tools mark significant advancements in generative AI, with Veo designed to enhance video creation and Imagen 3 improving text-to-image capabilities.

Recent Developments

• In June 2024, NVIDIA Corporation and Hewlett Packard Enterprise launched NVIDIA AI Computing by HPE, a portfolio of AI solutions to accelerate generative AI adoption, featuring the HPE Private Cloud AI. This collaboration offers enterprises a flexible and efficient path for AI development, supported by global integrators like Deloitte and Infosys.

• In May 2024, Google LLC introduced Project Astra, an AI agent, during its annual developer conference. It showcased its real-time capabilities across video, audio, and text. This initiative aims to solidify the company's position at the forefront of AI by introducing AI-driven features across its products.

• In   April 2024, Bakstage.AI, a U.S.-based company specializing in AI-enhanced video customer communications, has partnered with IBM to integrate Watsonx.AI into its platform. This collaboration aims to enhance digital customer experiences through personalized insights and AI-driven interactions.

• In September 2023, Adobe launched new Firefly generative AI models and a web app, integrating them into Creative Cloud and Adobe Express for creating AI-powered content, including video. Firefly for Enterprise offers brand-specific models and APIs, with brands like Mattel and NASCAR exploring its capabilities to enhance efficiency.

AI Video Market Report Scope

Global AI Video Market Report Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global AI video market report based on device, users, offering type, and region. 

• Device Outlook (Revenue, USD Million, 2017 - 2030)

  • Desktop Computers

  • Mobile Devices

  • Cloud-Based Platforms

• Users Outlook (Revenue, USD Million, 2017 - 2030)

  • B2B (Enterprise)

  • B2C (Individuals)

• Offering Type Outlook (Revenue, USD Million, 2017 - 2030)

  • Creative AI Video Generators

  • Video Enhancement AI

  • Video Editing AI

  • Video Analysis AI

• Regional Outlook (Revenue, USD Million, 2017 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • UK

    • Germany

    • France

  • Asia Pacific

    • China

    • Japan

    • India

    • South Korea

    • Australia

  • Latin America

    • Brazil

  • Middle East and Africa (MEA)

    • KSA

    • UAE

    • South Africa