Generative AI in Media and Entertainment Market Report 2025

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 generative AI in media and entertainment market size has grown exponentially in recent years. It will grow from $1.97 billion in 2024 to $2.53 billion in 2025 at a compound annual growth rate (CAGR) of 28.1%. The growth in the historic period can be attributed to increased computing power, creative experimentation, data availability and quality, content personalization, big data.

The generative AI in media and entertainment market size is expected to see exponential growth in the next few years. It will grow to $6.73 billion in 2029 at a compound annual growth rate (CAGR) of 27.8%. The growth in the forecast period can be attributed to integration with creative tools, integration of AI into creative workflows, ethical and regulatory considerations, cost efficiency and scalability, emergence of AI-driven content discovery. Major trends in the forecast period include advancements in deep learning algorithms, monetization opportunities, real-time content generation, hyper-realistic content generation.

The growing popularity of video games is expected to drive the expansion of the generative AI market in the media and entertainment sector. Video games are interactive computer games where players use an input device or user interface to generate visual feedback on a display. The appeal of video games stems from their accessibility, diverse content, social connectivity, cultural impact, and the continuous innovation within the industry. Generative AI is increasingly being utilized in video game development to boost creativity, efficiency, player engagement, and to deliver more immersive and personalized gaming experiences. For example, in August 2024, GamesIndustry.biz, a leading UK-based publication covering global video game industry news, reported that about 75% of European gamers are adults, with an average age of 31.4 years. In 2022, the European video game workforce grew by 6.7%, totaling nearly 115,000 employees, and industry revenue increased by 5%, reaching €25.7 billion (USD 28.7 billion). Therefore, the rising use of video games is fueling the growth of the generative AI market in the media and entertainment industry.

Key players in the generative AI media and entertainment market are directing their efforts toward developing innovative AI technologies like Media Copilot to remain competitive and address the evolving industry demands. Media Copilot is an advanced AI tool designed to aid users in analyzing content performance across distribution platforms and revenue models in the media and entertainment sectors. For instance, in April 2024, Symphony Innovation LLC introduced AI-driven Media Copilot, leveraging generative and predictive AI to analyze content performance across various distribution platforms and revenue models. Additionally, SymphonyAI Media Copilot integrates revenue model optimization features, catering to the dynamic needs of media and entertainment businesses.

In April 2024, Altair Engineering, a US-based IT company, made an undisclosed acquisition of Cambridge Semantics. This strategic move aims to integrate Cambridge Semantics' technologies, particularly its knowledge graph platform, into the Altair RapidMiner platform. By combining knowledge graph, data governance, data virtualization, and data discovery technologies with existing data preparation capabilities, Altair Engineering enhances its offerings in generative AI for media and entertainment. This integration signifies the industry's focus on leveraging generative AI technologies to drive innovation and improve data-driven decision-making processes in the media and entertainment sector.

Major companies operating in the generative AI in media and entertainment market report are Amazon Inc.; Alphabet Inc.; Samsung Electronics Co. Ltd.; Microsoft Corporation; Meta Platforms Inc.; Tencent Holdings Ltd.; Tesla Inc.; Intel Corporation; International Business Machines Corporation; Oracle Corporation; Uber Technologies Inc.; Netflix Inc.; PayPal Holdings Inc.; NVIDIA Corporation; Salesforce Inc.; Baidu Inc.; Adobe Inc.; Snap Inc.; X Corp; Zoom Video Communications Inc; Sentient Technologies LLC; Gong Inc.; DeepMind Technologies Limited; Cohere Inc.; OpenAI Inc.

North America was the largest region in the generative AI in media and entertainment market in 2024. The regions covered in the generative AI in media and entertainment market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the generative AI in media and entertainment market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The generative AI in the media and entertainment market includes revenues earned by entities providing services such as image generation, video synthesis, music composition, text generation, and scene creation. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

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).

Generative AI in media and entertainment involves leveraging AI techniques, particularly generative models, to either create or enhance a variety of media content forms, spanning images, videos, music, text, and complete narratives. This technology aims to streamline content creation processes, enhance user experiences, and enable innovative storytelling methods.

Key types of generative AI in media and entertainment include text-to-image generation, image-to-image generation, music generation, video generation, 3D modeling, and animation. Text-to-image generation, for example, utilizes AI to translate textual descriptions into visual representations, such as images or illustrations. Solutions and services are offered, deployable both in the cloud and on-premises, catering to diverse applications including gaming, film and television, advertising and marketing, music and sound production, virtual reality (VR), augmented reality (AR), and beyond.

The generative AI in media and entertainment market research report is one of a series of new reports that provides generative AI in media and entertainment market statistics, including generative AI in media and entertainment industry global market size, regional shares, competitors with a generative AI in media and entertainment market share, detailed generative AI in media and entertainment market segments, market trends and opportunities, and any further data you may need to thrive in the generative AI in media and entertainment industry. This generative AI in media and entertainment market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario 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.