This report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.
The artificial intelligence (AI) in games market size has grown rapidly in recent years. It will grow from $2.44 billion in 2024 to $2.89 billion in 2025 at a compound annual growth rate (CAGR) of 18.8%. The growth in the historic period can be attributed to increased evolution of game design, increased influence of AI research, rise of open-world games, increased demand for competitive gaming.
The artificial intelligence (AI) in games market size is expected to see rapid growth in the next few years. It will grow to $5.75 billion in 2029 at a compound annual growth rate (CAGR) of 18.7%. The growth in the forecast period can be attributed to increasing focus on inclusive and accessible gaming, expansion of indie game development, rapid growth of esports and competitive gaming, integration of AI in game design tools, increasing focus on personalization and player engagement. Major trends in the forecast period include AI-driven content moderation, AI-powered voice assistants, AI-generated content, enhanced multiplayer experiences, emotionally intelligent NPCs.
The increasing popularity of mobile and online gaming is anticipated to drive the growth of artificial intelligence (AI) in the gaming market in the coming years. Mobile and online gaming involves playing video games on mobile devices like smartphones and tablets, as well as through online platforms. Game developers are continuously pushing the envelope with innovative designs, storytelling, and immersive graphics, attracting players and making gaming more accessible to a wider audience. The advancement of AI in gaming allows for the analysis of vast datasets, which helps train algorithms to learn and adapt through interactions with varied player behaviors and preferences. For instance, in July 2023, the London Economic, a UK-based non-governmental organization, reported that the number of active online gamblers in the UK reached 24.7 million, marking a 6.2% increase from the previous year. Additionally, the online gambling sector generated record revenues of $6.75 billion (£5.4 billion) in 2023. Thus, the rising popularity of mobile and online gaming experiences is fueling the growth of artificial intelligence (AI) in the gaming market.
Key players in the artificial intelligence (AI) in the games market are actively developing advanced technologies such as AI-powered Non-Player Characters (NPCs) to enhance customer experiences with advanced features. NPCs are virtual entities in video games or simulations driven by artificial intelligence algorithms, enabling dynamic and responsive behavior. For instance, in May 2023, Replica Studios, an Australia-based AI software company, unveiled AI-driven intelligent NPCs for Unreal Engine, equipped with either OpenAI or users' custom AI language models. This technology harnesses Replica's extensive library of 120+ ethically licensed AI voices, empowering game developers to scale up game development and craft innovative, dynamic gaming interactions.
In October 2023, Microsoft Corporation, a leading US-based developer of computer software, operating systems, cloud computing, and artificial intelligence applications, completed the acquisition of Activision Blizzard, Inc., for a substantial $69 billion. This strategic move positions Microsoft as a major player in the gaming industry, as Activision Blizzard boasts ownership of renowned gaming franchises including Call of Duty, Warcraft, and Candy Crush. Activision Blizzard Inc., headquartered in the US, is a prominent developer and manufacturer of video games, incorporating AI-based technologies and features into its gaming portfolio.
Major companies operating in the artificial intelligence (AI) in games market are Google LLC, Microsoft Corp., Tencent Holdings Ltd., Sony Group Corp., NVIDIA Corp., Baidu Inc., Nintendo Co. Ltd., NetEase Inc., Vivendi, Activision Blizzard, Electronic Arts Inc., Take Two Interactive Software Inc., Playtika, Square Enix, Konami Group Corp., NCSoft, Unity Software Inc., Capcom Co. Ltd., Behaviour Interactive Inc., Side Effects Software Inc., Quantic Dream, Charisma Entertainment Ltd., Ubisoft Entertainment SA, AI21 Labs, Insomniac Games, Crytek GmbH, PrometheanAI Inc., COGNOSPHERE PTE. LTD., Theai Inc., kashbet.
North America was the largest region in the artificial intelligence (AI) in games market in 2024. Europe is expected to be the fastest-growing region in the forecast period. The regions covered in the artificial intelligence (ai) in games market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the artificial intelligence (ai) in games market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The artificial intelligence (AI) in games market consists of revenues earned by entities by providing services such as NPC behavior modeling, procedural content generation, player behavior analysis, and virtual assistants. The market value includes the value of related goods sold by the service provider or included within the service offering. The artificial intelligence (AI) in games market also includes sales of dynamic difficulty adjustment, AI-powered NPCs, anti-cheat systems, and emotion recognition. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
Artificial intelligence (AI) integration in gaming entails leveraging intelligent algorithms and computing systems to emulate human-like behaviors, decision-making processes, and learning mechanisms. This enhances the gaming experience, enables adaptation to player actions, and fosters the creation of dynamic and engaging gameplay scenarios.
The primary components of AI in gaming encompass both software and hardware elements. Software components serve as foundational tools that harness AI capabilities to enhance various aspects of video game development. These technologies encompass machine learning, natural language processing, computer vision, gesture control, and other innovations tailored to diverse gaming genres such as action, adventure, puzzles, simulation, and role-playing. Applications span across PC gaming, TV gaming, smartphone gaming, and tablet gaming platforms.
The artificial intelligence (AI) in games research report is one of a series of new reports that provides artificial intelligence (AI) in games market statistics, including the artificial intelligence (AI) in games industry's global market size, regional shares, competitors with an Artificial intelligence (AI) in games market share, detailed artificial intelligence (AI) in games market segments, market trends and opportunities, and any further data you may need to thrive in the artificial intelligence (AI) in games industry. This artificial intelligence (AI) in games market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
This product will be delivered within 3-5 business days.
The artificial intelligence (AI) in games market size has grown rapidly in recent years. It will grow from $2.44 billion in 2024 to $2.89 billion in 2025 at a compound annual growth rate (CAGR) of 18.8%. The growth in the historic period can be attributed to increased evolution of game design, increased influence of AI research, rise of open-world games, increased demand for competitive gaming.
The artificial intelligence (AI) in games market size is expected to see rapid growth in the next few years. It will grow to $5.75 billion in 2029 at a compound annual growth rate (CAGR) of 18.7%. The growth in the forecast period can be attributed to increasing focus on inclusive and accessible gaming, expansion of indie game development, rapid growth of esports and competitive gaming, integration of AI in game design tools, increasing focus on personalization and player engagement. Major trends in the forecast period include AI-driven content moderation, AI-powered voice assistants, AI-generated content, enhanced multiplayer experiences, emotionally intelligent NPCs.
The increasing popularity of mobile and online gaming is anticipated to drive the growth of artificial intelligence (AI) in the gaming market in the coming years. Mobile and online gaming involves playing video games on mobile devices like smartphones and tablets, as well as through online platforms. Game developers are continuously pushing the envelope with innovative designs, storytelling, and immersive graphics, attracting players and making gaming more accessible to a wider audience. The advancement of AI in gaming allows for the analysis of vast datasets, which helps train algorithms to learn and adapt through interactions with varied player behaviors and preferences. For instance, in July 2023, the London Economic, a UK-based non-governmental organization, reported that the number of active online gamblers in the UK reached 24.7 million, marking a 6.2% increase from the previous year. Additionally, the online gambling sector generated record revenues of $6.75 billion (£5.4 billion) in 2023. Thus, the rising popularity of mobile and online gaming experiences is fueling the growth of artificial intelligence (AI) in the gaming market.
Key players in the artificial intelligence (AI) in the games market are actively developing advanced technologies such as AI-powered Non-Player Characters (NPCs) to enhance customer experiences with advanced features. NPCs are virtual entities in video games or simulations driven by artificial intelligence algorithms, enabling dynamic and responsive behavior. For instance, in May 2023, Replica Studios, an Australia-based AI software company, unveiled AI-driven intelligent NPCs for Unreal Engine, equipped with either OpenAI or users' custom AI language models. This technology harnesses Replica's extensive library of 120+ ethically licensed AI voices, empowering game developers to scale up game development and craft innovative, dynamic gaming interactions.
In October 2023, Microsoft Corporation, a leading US-based developer of computer software, operating systems, cloud computing, and artificial intelligence applications, completed the acquisition of Activision Blizzard, Inc., for a substantial $69 billion. This strategic move positions Microsoft as a major player in the gaming industry, as Activision Blizzard boasts ownership of renowned gaming franchises including Call of Duty, Warcraft, and Candy Crush. Activision Blizzard Inc., headquartered in the US, is a prominent developer and manufacturer of video games, incorporating AI-based technologies and features into its gaming portfolio.
Major companies operating in the artificial intelligence (AI) in games market are Google LLC, Microsoft Corp., Tencent Holdings Ltd., Sony Group Corp., NVIDIA Corp., Baidu Inc., Nintendo Co. Ltd., NetEase Inc., Vivendi, Activision Blizzard, Electronic Arts Inc., Take Two Interactive Software Inc., Playtika, Square Enix, Konami Group Corp., NCSoft, Unity Software Inc., Capcom Co. Ltd., Behaviour Interactive Inc., Side Effects Software Inc., Quantic Dream, Charisma Entertainment Ltd., Ubisoft Entertainment SA, AI21 Labs, Insomniac Games, Crytek GmbH, PrometheanAI Inc., COGNOSPHERE PTE. LTD., Theai Inc., kashbet.
North America was the largest region in the artificial intelligence (AI) in games market in 2024. Europe is expected to be the fastest-growing region in the forecast period. The regions covered in the artificial intelligence (ai) in games market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the artificial intelligence (ai) in games market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The artificial intelligence (AI) in games market consists of revenues earned by entities by providing services such as NPC behavior modeling, procedural content generation, player behavior analysis, and virtual assistants. The market value includes the value of related goods sold by the service provider or included within the service offering. The artificial intelligence (AI) in games market also includes sales of dynamic difficulty adjustment, AI-powered NPCs, anti-cheat systems, and emotion recognition. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
Artificial intelligence (AI) integration in gaming entails leveraging intelligent algorithms and computing systems to emulate human-like behaviors, decision-making processes, and learning mechanisms. This enhances the gaming experience, enables adaptation to player actions, and fosters the creation of dynamic and engaging gameplay scenarios.
The primary components of AI in gaming encompass both software and hardware elements. Software components serve as foundational tools that harness AI capabilities to enhance various aspects of video game development. These technologies encompass machine learning, natural language processing, computer vision, gesture control, and other innovations tailored to diverse gaming genres such as action, adventure, puzzles, simulation, and role-playing. Applications span across PC gaming, TV gaming, smartphone gaming, and tablet gaming platforms.
The artificial intelligence (AI) in games research report is one of a series of new reports that provides artificial intelligence (AI) in games market statistics, including the artificial intelligence (AI) in games industry's global market size, regional shares, competitors with an Artificial intelligence (AI) in games market share, detailed artificial intelligence (AI) in games market segments, market trends and opportunities, and any further data you may need to thrive in the artificial intelligence (AI) in games industry. This artificial intelligence (AI) in games market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
This product will be delivered within 3-5 business days.
Table of Contents
1. Executive Summary2. Artificial Intelligence (AI) in Games Market Characteristics3. Artificial Intelligence (AI) in Games Market Trends and Strategies4. Artificial Intelligence (AI) in Games Market - Macro Economic Scenario Including the Impact of Interest Rates, Inflation, Geopolitics, and the Recovery from COVID-19 on the Market32. Global Artificial Intelligence (AI) in Games Market Competitive Benchmarking and Dashboard33. Key Mergers and Acquisitions in the Artificial Intelligence (AI) in Games Market34. Recent Developments in the Artificial Intelligence (AI) in Games Market
5. Global Artificial Intelligence (AI) in Games Growth Analysis and Strategic Analysis Framework
6. Artificial Intelligence (AI) in Games Market Segmentation
7. Artificial Intelligence (AI) in Games Market Regional and Country Analysis
8. Asia-Pacific Artificial Intelligence (AI) in Games Market
9. China Artificial Intelligence (AI) in Games Market
10. India Artificial Intelligence (AI) in Games Market
11. Japan Artificial Intelligence (AI) in Games Market
12. Australia Artificial Intelligence (AI) in Games Market
13. Indonesia Artificial Intelligence (AI) in Games Market
14. South Korea Artificial Intelligence (AI) in Games Market
15. Western Europe Artificial Intelligence (AI) in Games Market
16. UK Artificial Intelligence (AI) in Games Market
17. Germany Artificial Intelligence (AI) in Games Market
18. France Artificial Intelligence (AI) in Games Market
19. Italy Artificial Intelligence (AI) in Games Market
20. Spain Artificial Intelligence (AI) in Games Market
21. Eastern Europe Artificial Intelligence (AI) in Games Market
22. Russia Artificial Intelligence (AI) in Games Market
23. North America Artificial Intelligence (AI) in Games Market
24. USA Artificial Intelligence (AI) in Games Market
25. Canada Artificial Intelligence (AI) in Games Market
26. South America Artificial Intelligence (AI) in Games Market
27. Brazil Artificial Intelligence (AI) in Games Market
28. Middle East Artificial Intelligence (AI) in Games Market
29. Africa Artificial Intelligence (AI) in Games Market
30. Artificial Intelligence (AI) in Games Market Competitive Landscape and Company Profiles
31. Artificial Intelligence (AI) in Games Market Other Major and Innovative Companies
35. Artificial Intelligence (AI) in Games Market High Potential Countries, Segments and Strategies
36. Appendix
Executive Summary
Artificial Intelligence (AI) In Games Global Market Report 2025 provides strategists, marketers and senior management with the critical information they need to assess the market.This report focuses on artificial intelligence (ai) in games market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
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Description
Where is the largest and fastest growing market for artificial intelligence (ai) in games? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The artificial intelligence (ai) in games market global report answers all these questions and many more.The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.
- The market characteristics section of the report defines and explains the market.
- The market size section gives the market size ($b) covering both the historic growth of the market, and forecasting its development.
- The forecasts are made after considering the major factors currently impacting the market. These include:
- The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.
- Market segmentations break down the market into sub markets.
- The regional and country breakdowns section gives an analysis of the market in each geography and the size of the market by geography and compares their historic and forecast growth. It covers the growth trajectory of COVID-19 for all regions, key developed countries and major emerging markets.
- The competitive landscape chapter gives a description of the competitive nature of the market, market shares, and a description of the leading companies. Key financial deals which have shaped the market in recent years are identified.
- The trends and strategies section analyses the shape of the market as it emerges from the crisis and suggests how companies can grow as the market recovers.
Scope
Markets Covered:
1) By Component: Software; Hardware2) By Technology: Machine Learning; Natural Language Processing; Computer Vision; Gesture Control; Other Technologies
3) By Genre: Action; Adventure; Puzzle; Simulation; Role-Playing; Other Genres
4) By Application: PC Gaming; TV Gaming; Smartphone And Tablet Gaming
Subsegments:
1) By Software: Game AI Engines; Machine Learning Algorithms; Natural Language Processing (NLP) Tools; Physics Simulation Software2) By Hardware: Graphics Processing Units (GPUs); Central Processing Units (CPUs); Game Consoles; Cloud Computing Infrastructure
Key Companies Mentioned: Google LLC; Microsoft Corp.; Tencent Holdings Ltd.; Sony Group Corp.; NVIDIA Corp.
Countries: Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Russia; South Korea; UK; USA; Canada; Italy; Spain
Regions: Asia-Pacific; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
Time Series: Five years historic and ten years forecast.
Data: Ratios of market size and growth to related markets, GDP proportions, expenditure per capita.
Data Segmentation: Country and regional historic and forecast data, market share of competitors, market segments.
Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes.
Delivery Format: PDF, Word and Excel Data Dashboard.
Companies Mentioned
Some of the major companies featured in this Artificial Intelligence (AI) in Games market report include:- Google LLC
- Microsoft Corp.
- Tencent Holdings Ltd.
- Sony Group Corp.
- NVIDIA Corp.
- Baidu Inc.
- Nintendo Co. Ltd.
- NetEase Inc.
- Vivendi
- Activision Blizzard
- Electronic Arts Inc.
- Take Two Interactive Software Inc.
- Playtika
- Square Enix
- Konami Group Corp.
- NCSoft
- Unity Software Inc.
- Capcom Co. Ltd.
- Behaviour Interactive Inc.
- Side Effects Software Inc.
- Quantic Dream
- Charisma Entertainment Ltd.
- Ubisoft Entertainment SA
- AI21 Labs
- Insomniac Games
- Crytek GmbH
- PrometheanAI Inc.
- COGNOSPHERE PTE. LTD.
- Theai Inc.
- kashbet
Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 200 |
| Published | March 2025 |
| Forecast Period | 2025 - 2029 |
| Estimated Market Value ( USD | $ 2.89 Billion |
| Forecasted Market Value ( USD | $ 5.75 Billion |
| Compound Annual Growth Rate | 18.7% |
| Regions Covered | Global |
| No. of Companies Mentioned | 30 |
