Global Generative AI Market 2025-2035

Description

List of Tables

Global Generative AI Market Size, Share & Trends Analysis By Component (Software and Services), By Modality (Text, Image, Video, and Others), By Business Function (IT, Marketing and Sales, Finance, Human Resource, Customer service, Research and Development, and Others), By Application (Computer Vision, NLP, Robotics & Automation, Content Generation, Chatbots & Intelligent Virtual Assistants, Predictive Analytics, and Others), and By End-Users (BFSI, IT and Telecommunication, Healthcare, Media and Entertainment, Retail and E-Commerce, Manufacturing, Construction and Real Estate, and Others), Forecast Period (2026-2035)

Industry Overview

Generative AI market was valued at $91.8 billion in 2025 and is projected to reach $2,382.5 billion by 2035, growing at a CAGR of 38.7% from 2026 to 2035. The advancements in deep learning and neural networks globally will directly support the growth of the generative AI market during the forecast period. The integration of modern deep learning architectures will enable AI systems to create highly realistic and complex content across text, images, audio, and video. These advancements will push and allow generative AI to generate outputs with higher accuracy and sophistication. For instance,

In June 2025, the US Food and Drug Administration (FDA) launched Elsa. Elsa is a generative AI tool designed to assist employees from scientific reviewers to investigators. The launch of the AI tool was aimed at making employees work more efficiently. This innovative tool modernizes agency functions and leverages AI capabilities to better serve the American people.
In August 2025, the Indian Institute of Information Technology (IIT) Allahabad developed an innovative technology for Indian agriculture researchers. An innovative technology allows farmers to detect crop diseases directly in their fields without needing to consult agricultural experts. The solution uses a combination of AI, IoT, Deep Learning, and Federated Learning to analyze plant health based on leaf images and environmental conditions.
In April 2025, Warner Bros. Discovery collaborated with AWS to Cycling Central Intelligence platform powered by Generative AI. As part of this initiative, AWS becomes the Official Cloud Infrastructure, Artificial Intelligence, Machine Learning, and Deep Learning Provider for the WHOOP UCI Mountain Bike World Series.
In January 2024, Microsoft launched Copilot Pro, which offers priority access to advanced models, including GPT-4 Turbo. Microsoft, in October, further introduced the 'Copilot Voice.' The Copilot Voice allows users to engage in real-time voice conversations. It also uses OpenAI's GPT-4o model for audio understanding and generation.

Market Dynamics

Expanding Use of AI in Consumer Engagement

The growing integration of advanced generative AI, particularly in areas such as personalized content creation and product recommendations, is expected to propel the growth of the market during the forecast period. The organizations are deploying generative AI to personalize content and recommendations for faster, more accurate, and secure services. For instance, in June 2025, L'Oreal announced that the company is tapping Nvidia tech. The company decided to collaborate in two areas: L'Oreal's AI-spun ads and product recommendations. Nvidia will put its AI efforts in areas such as AI-generated ads and product recommendations. The company is using Nvidia for AI applications to make their services faster, more accurate, and more secure.

Virtual Avatars as 24/7 Brand Ambassadors

The organizations across the globe are implementing virtual avatars to deliver consistent services and engagement on their digital & online platforms. These AI-based virtual avatars operate 24/7 while interacting with thousands of customers simultaneously. The integration of Generative AI along with deep learning is enabling organizations to create highly realistic virtual avatars. These virtual avatars act as tireless brand ambassadors to deliver consistent engagement on their online platforms. The growing adoption of virtual avatars on digital platforms by organizations will drive the growth of the global generative AI market during the forecast period. For instance,

In August 2025, PLTFRM, a Shanghai-based marketing company, deployed "Virtual Human" AI livestream salespeople for Chinese e-commerce platforms. The company created these avatars by leveraging AI video models in partnership with Baidu and DeepSeek.
At the World Artificial Intelligence Conference 2024, Soul App announced three noteworthy AI-integrated features - "Digital Twin", "EchoVerse", and "Werewolf Awakening". EchoVerse can customize the AI characters for its users. Conversations can be text chat-based or voice-based, and users also get the option to choose from several basic timbres. The chosen voice is then fused with the AI character, who will then continue to interact using the chosen voice, communication style, and role.

Market Segmentation

Based on the component, the market is segmented into software and services.
Based on the modality, the market is segmented into text, image, video, and others.
Based on the business function, the market is segmented into IT, marketing and sales, finance, human resources, customer service, research and development, and others.
Based on the application, the market is segmented into computer vision, NLP, robotics & automation, content generation, chatbots & intelligent virtual assistants, predictive analytics, and others.
Based on the end-users, the market is segmented into the BFSI, IT and Telecommunication, Healthcare, Media and Entertainment, Retail and E-Commerce, Manufacturing, Construction and Real Estate, and Others.

Natural Language Processing Segment to Lead the Market with the Largest Share

Among the applications, the natural language processing segment is expected to hold the largest market share in the global generative AI market during the forecast period. Natural language processing is gaining traction as it is used in customer support, content creation, knowledge management, translation, and enterprise automation. The rising integration of NLP, owing to high adoption across business functions, enhancing productivity, Multilingual Expansion, and more, is expected to propel the growth of the segment. For instance, in August 2025, Bank of America's CTO revealed the bank will push a steady stream of AI-focused products. The CTO of the bank revealed that the company has planned $13 billion technology budget for 2025. Among $13 billion, $4 billion will be used for developing new technologies such as artificial intelligence. Additionally, the company stated that the company is building more job-specific AI features for employees and serving more personalized financial information to customers.

Software: A Key Segment in Market Growth

The software segment is expected to be a key segment as it provides the core engines, models, and applications that enhance AI-driven capabilities across all sectors. The benefits associated with the software, such as its scalability through licensing, subscription, and SaaS models, make it a recurring revenue driver is further contributing to the growth of the market during the forecast period. For instance, Microsoft revealed that the company has integrated Copilot software across Microsoft 365, GitHub, and Dynamics 365. Copilot reached more than 1.3 billion users globally by 2024 and became one of the fastest adopted AI software products.

Regional Outlook

The global generative AI market is further divided by geography, including North America (the US and Canada), Asia-Pacific (India, China, Japan, South Korea, Australia and New Zealand, ASEAN Countries, and the Rest of Asia-Pacific), Europe (the UK, Germany, France, Italy, Spain, Russia, and the Rest of Europe), and the Rest of the World (the Middle East & Africa, and Latin America).

North America is driving the Market Growth

Among all regions, North America is expected to lead the generative AI market. The growth of the region is associated with features such as the presence of strong technology infrastructure, high R&D investments along with presence of key AI companies, and rapid enterprise adoption across industries. For instance, in July 2025,

Cognition AI acquired Windsurf, which provides the most advanced AI coding assistant for developers and enterprises.
Amazon acquired Bee, an AI wearables startup. Bee records everything a user says, for an undisclosed amount.
Meta acquired PlayAI. Play AI is an AI voice cloning startup.
CoreWeave acquired Core Scientific, a company that operates as a data center infrastructure provider.
Moonshine AI secured $9 million in funding to Advance On-Device Voice AI.
OpenAI raised $8.3 billion as paid ChatGPT business users reached 5 million.
Startup Perplexity AI hits $18 billion valuation after $100 million funding round.
SpaceX to Invest $2B in Musk's XAI Startup.

Asia-Pacific Region Shares Significant Market Share

The Asia-Pacific region is expected to hold a significant share of the generative AI market. The region is emerging as a key hub due to rapid digital transformation, strong government support for AI initiatives, and large-scale investments from both public and private sectors. For instance, in May 2025, Appy Pie announced the introduction of PixelYatra, a generative AI model trained in Hindi to create visual content such as cards and banners, benefiting especially Tier 2 and Tier 3 cities. Additionally,

In June 2025, India launched Sarvam Samvaad, a powerful enterprise-grade conversational AI platform by ?? Sarvam AI. This platform is built to serve India's linguistically diverse population. It is available in 11 Indian languages. Samvaad empowers businesses to deploy AI agents across voice calls, WhatsApp, websites, and apps to make customer engagement seamless.
In March 2023, Baidu introduced ERNIE Bot, its generative AI product and knowledge-enhanced large language model (LLM). Further, in August 2023, ERNIE Bot was released to the public in China.

Market Players Outlook

Global GenAI market is driven by leading companies such as Microsoft, OpenAI, NVIDIA, Amazon Web Services, Anthropic, Adobe, Cohere, Meta, Google, IBM, Stability AI, Jasper, Tata Consultancy Services, among others, with players strengthening their presence through strategic partnerships, mergers and acquisitions, innovative product launches, advanced technology integration, and expansion across emerging markets.

Recent Development

In May 2025, Google launched a New AI Filmmaking Tool, "Flow." Flow is the only AI filmmaking tool custom-designed for Google DeepMind's most advanced models - Veo, Imagen, and Gemini. With the company's AI tool Flow, the storytellers can seamlessly create cinematic clips, scenes, and stories with character and object consistency.
In March 2025, Elsevier launched ScienceDirect AI, a generative AI tool for researchers. The tool is designed to transform the way researchers work by enabling them to instantly extract, summarize, and compare trusted insights from millions of full-text articles and book chapters. The researchers on ScienceDirect, a platform for peer-reviewed research.

The Report Covers:

Market value data analysis for 2025 and forecast to 2035.
Annualized market revenues ($ million) for each market segment.
Country-wise analysis of major geographical regions.
Key companies operating in the global generative AI market. Based on the availability of data, information related to new products and relevant news is also available in the report.
Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.
Analysis of market-entry and market expansion strategies.
Competitive strategies by identifying 'who-stands-where' in the market.

Product Code: OMR2027728

1. Report Summary

Current Industry Analysis and Growth Potential Outlook
Global Generative AI Market Sales Analysis - Component | Modality | Business Function | Application | End-Users ($ Million)
Generative AI Market Sales Performance of Top Countries
1.1. Research Methodology
Primary Research Approach
Secondary Research Approach
1.2. Market Snapshot

2. Market Overview and Insights

2.1. Scope of the Study
2.2. Analyst Insight & Current Market Trends
- 2.2.1. Key Generative AI Industry Trends
- 2.2.2. Market Recommendations
2.3. Porter's Five Forces Analysis for the Generative AI Market
- 2.3.1. Competitive Rivalry
- 2.3.2. Threat of New Entrants
- 2.3.3. Bargaining Power of Suppliers
- 2.3.4. Bargaining Power of Buyers
- 2.3.5. Threat of Substitutes

3. Market Determinants

3.1. Market Drivers
- 3.1.1. Drivers For Global Generative AI Market: Impact Analysis
3.2. Market Pain Points and Challenges
- 3.2.1. Restraints For Global Generative AI Market: Impact Analysis
3.3. Market Opportunities
- 3.3.1. Opportunities For Global Generative AI Market: Impact Analysis

4. Competitive Landscape

4.1. Competitive Dashboard - Generative AI Market Revenue and Share by Manufacturers
Generative AI Product Comparison Analysis
Top Market Player Ranking Matrix
4.2. Key Company Analysis
- 4.2.1. Alphabet, Inc.
  - 4.2.1.1. Overview
  - 4.2.1.2. Product Portfolio
  - 4.2.1.3. Financial Analysis
  - 4.2.1.4. SWOT Analysis
  - 4.2.1.5. Business Strategy
- 4.2.2. Amazon Web Services, Inc.
  - 4.2.2.1. Overview
  - 4.2.2.2. Product Portfolio
  - 4.2.2.3. Financial Analysis
  - 4.2.2.4. SWOT Analysis
  - 4.2.2.5. Business Strategy
- 4.2.3. Microsoft Corp.
  - 4.2.3.1. Overview
  - 4.2.3.2. Product Portfolio
  - 4.2.3.3. Financial Analysis
  - 4.2.3.4. SWOT Analysis
  - 4.2.3.5. Business Strategy
- 4.2.4. NVIDIA Corp.
  - 4.2.4.1. Overview
  - 4.2.4.2. Product Portfolio
  - 4.2.4.3. Financial Analysis
  - 4.2.4.4. SWOT Analysis
  - 4.2.4.5. Business Strategy
- 4.2.5. OpenAI OpCo, LLC
  - 4.2.5.1. Overview
  - 4.2.5.2. Product Portfolio
  - 4.2.5.3. Financial Analysis
  - 4.2.5.4. SWOT Analysis
  - 4.2.5.5. Business Strategy
4.3. Top Winning Strategies by Market Players
- 4.3.1. Merger and Acquisition
- 4.3.2. Product Launch
- 4.3.3. Partnership And Collaboration

5. Global Generative AI Market Sales Analysis By Component ($ Million)

5.1. Software
5.2. Services

6. Global Generative AI Market Sales Analysis By Modality ($ Million)

6.1. Text
6.2. Image
6.3. Video
6.4. Others

7. Global Generative AI Market Sales Analysis By Business Function ($ Million)

7.1. IT
7.2. Marketing and Sales
7.3. Finance
7.4. Human Resource
7.5. Customer service
7.6. Research and Development
7.7. Others

8. Global Generative AI Market Sales Analysis By Application ($ Million)

8.1. Computer Vision
8.2. NLP
8.3. Robotics & Automation
8.4. Content Generation
8.5. Chatbots & Intelligent Virtual Assistants
8.6. Predictive Analytics
8.7. Others
9. Global Generative AI Market Sales Analysis By End-Users ($ Million)
9.1. BFSI
9.2. IT and Telecommunication
9.3. Healthcare
9.4. Media and Entertainment
9.5. Retail and E-Commerce
9.6. Manufacturing
9.7. Construction and Real Estate
9.8. Others

10. Regional Analysis

10.1. North American Generative AI Market Sales Analysis - Component | Modality | Business Function | Application | End-Users |Country ($ Million)
Macroeconomic Factors for North America
- 10.1.1. United States
- 10.1.2. Canada
10.2. European Generative AI Market Sales Analysis - Component | Modality | Business Function | Application | End-Users | Country ($ Million)
Macroeconomic Factors for Europe
- 10.2.1. UK
- 10.2.2. Germany
- 10.2.3. Italy
- 10.2.4. Spain
- 10.2.5. France
- 10.2.6. Russia
- 10.2.7. Rest of Europe
10.3. Asia-Pacific Generative AI Market Sales Analysis - Component | Modality | Business Function | Application | End-Users | Country ($ Million)
Macroeconomic Factors for Asia-Pacific
- 10.3.1. China
- 10.3.2. Japan
- 10.3.3. South Korea
- 10.3.4. India
- 10.3.5. Australia & New Zealand
- 10.3.6. ASEAN Countries (Thailand, Indonesia, Vietnam, Singapore, And Others)
- 10.3.7. Rest of Asia-Pacific
10.4. Rest of the World Generative AI Market Sales Analysis - Component | Modality | Business Function | Application | End-Users | Country ($ Million)
Macroeconomic Factors for the Rest of the World
- 10.4.1. Latin America
- 10.4.2. Middle East and Africa

11. Company Profiles

11.1. Accenture PLC
- 11.1.1. Quick Facts
- 11.1.2. Company Overview
- 11.1.3. Product Portfolio
- 11.1.4. Business Strategies
11.2. Adobe Inc.
- 11.2.1. Quick Facts
- 11.2.2. Company Overview
- 11.2.3. Product Portfolio
- 11.2.4. Business Strategies
11.3. Aleph Alpha GmBH
- 11.3.1. Quick Facts
- 11.3.2. Company Overview
- 11.3.3. Product Portfolio
- 11.3.4. Business Strategies
11.4. Alphabet, Inc.
- 11.4.1. Quick Facts
- 11.4.2. Company Overview
- 11.4.3. Product Portfolio
- 11.4.4. Business Strategies
11.5. Amazon Web Services, Inc.
- 11.5.1. Quick Facts
- 11.5.2. Company Overview
- 11.5.3. Product Portfolio
- 11.5.4. Business Strategies
11.6. Anthropic PBC
- 11.6.1. Quick Facts
- 11.6.2. Company Overview
- 11.6.3. Product Portfolio
- 11.6.4. Business Strategies
11.7. Autodesk, Inc.
- 11.7.1. Quick Facts
- 11.7.2. Company Overview
- 11.7.3. Product Portfolio
- 11.7.4. Business Strategies
11.8. Baidu, Inc.
- 11.8.1. Quick Facts
- 11.8.2. Company Overview
- 11.8.3. Product Portfolio
- 11.8.4. Business Strategies
11.9. Capgemini SE
- 11.9.1. Quick Facts
- 11.9.2. Company Overview
- 11.9.3. Product Portfolio
- 11.9.4. Business Strategies
11.10. Cohere, Inc.
- 11.10.1. Quick Facts
- 11.10.2. Company Overview
- 11.10.3. Product Portfolio
- 11.10.4. Business Strategies
11.11. Colossyan, Inc.
- 11.11.1. Quick Facts
- 11.11.2. Company Overview
- 11.11.3. Product Portfolio
- 11.11.4. Business Strategies
11.12. EdgeVerve Systems Ltd.
- 11.12.1. Quick Facts
- 11.12.2. Company Overview
- 11.12.3. Product Portfolio
- 11.12.4. Business Strategies
11.13. Hugging Face, Inc.
- 11.13.1. Quick Facts
- 11.13.2. Company Overview
- 11.13.3. Product Portfolio
- 11.13.4. Business Strategies
11.14. IBM Corp.
- 11.14.1. Quick Facts
- 11.14.2. Company Overview
- 11.14.3. Product Portfolio
- 11.14.4. Business Strategies
11.15. Jasper AI, Inc.
- 11.15.1. Quick Facts
- 11.15.2. Company Overview
- 11.15.3. Product Portfolio
- 11.15.4. Business Strategies
11.16. Meta
- 11.16.1. Quick Facts
- 11.16.2. Company Overview
- 11.16.3. Product Portfolio
- 11.16.4. Business Strategies
11.17. Microsoft Corp.
- 11.17.1. Quick Facts
- 11.17.2. Company Overview
- 11.17.3. Product Portfolio
- 11.17.4. Business Strategies
11.18. Mistral AI
- 11.18.1. Quick Facts
- 11.18.2. Company Overview
- 11.18.3. Product Portfolio
- 11.18.4. Business Strategies
11.19. NVIDIA Corp.
- 11.19.1. Quick Facts
- 11.19.2. Company Overview
- 11.19.3. Product Portfolio
- 11.19.4. Business Strategies
11.20. OpenAI OpCo, LLC
- 11.20.1. Quick Facts
- 11.20.2. Company Overview
- 11.20.3. Product Portfolio
- 11.20.4. Business Strategies
11.21. Poolside AI
- 11.21.1. Quick Facts
- 11.21.2. Company Overview
- 11.21.3. Product Portfolio
- 11.21.4. Business Strategies
11.22. PwC
- 11.22.1. Quick Facts
- 11.22.2. Company Overview
- 11.22.3. Product Portfolio
- 11.22.4. Business Strategies
11.23. Qualcomm Technologies, Inc.
- 11.23.1. Quick Facts
- 11.23.2. Company Overview
- 11.23.3. Product Portfolio
- 11.23.4. Business Strategies
11.24. Runway AI, Inc.
- 11.24.1. Quick Facts
- 11.24.2. Company Overview
- 11.24.3. Product Portfolio
- 11.24.4. Business Strategies
11.25. Salesforce, Inc.
- 11.25.1. Quick Facts
- 11.25.2. Company Overview
- 11.25.3. Product Portfolio
- 11.25.4. Business Strategies
11.26. Scale AI, Inc.
- 11.26.1. Quick Facts
- 11.26.2. Company Overview
- 11.26.3. Product Portfolio
- 11.26.4. Business Strategies
11.27. Siemens Aktiengesellschaft
- 11.27.1. Quick Facts
- 11.27.2. Company Overview
- 11.27.3. Product Portfolio
- 11.27.4. Business Strategies
11.28. SoundHound AI, Inc.
- 11.28.1. Quick Facts
- 11.28.2. Company Overview
- 11.28.3. Product Portfolio
- 11.28.4. Business Strategies
11.29. Stability AI Ltd.
- 11.29.1. Quick Facts
- 11.29.2. Company Overview
- 11.29.3. Product Portfolio
- 11.29.4. Business Strategies
11.30. Tata Consultancy Services, Inc.
- 11.30.1. Quick Facts
- 11.30.2. Company Overview
- 11.30.3. Product Portfolio
- 11.30.4. Business Strategies
11.31. World Labs Technologies
- 11.31.1. Quick Facts
- 11.31.2. Company Overview
- 11.31.3. Product Portfolio
- 11.31.4. Business Strategies