AI Video Generator Market Size, Share & Industry Analysis, By Enterprise Type (Small & Medium Enterprises (SMEs) and Large Enterprises), By Source (Text to Video, PowerPoint to Video, and Documents to Video), By Application (Training & Education, Marketing & Advertising, Social Media, and Others), By Industry (IT & Telecom, Retail & E-commerce, Education, Healthcare, Real Estate, Media & Entertainment, and Others), and Regional Forecast, 2024-2032

The global AI video generator market size was valued at USD 534.4 million in 2023. The market is projected to grow from USD 614.8 million in 2024 to USD 2,562.9 million by 2032, exhibiting a CAGR of 19.5% during the forecast period.

AI video generator is a platform that integrates multiple AI technologies, such as computer vision and machine learning, to automate the video content generation process. The AI-based video content generator analyzes many videos, images, and text data to generate visually coherent videos with advanced features. The growing usage of AI-powered video generator tools will help enhance the video production workflow to deliver premium-quality videos and a better customer experience.

Artificial intelligence-based video generators aim to deliver customized and personalized video content to customers with increased scalability and user-friendly accessibility. The video-generating tools streamline the video generation process quickly by cost-effectively integrating user-friendly interfaces and multilingual support features. AI video generators have diverse applications across different industry verticals, including marketing, education, entertainment, healthcare, and many more. Integrating AI capabilities to create personalized and interactive video content will enhance engagement and effectiveness.

The COVID-19 pandemic positively affected the market due to a rise in the use of AI technology across different industries. The challenges posed by the pandemic taught business leaders the importance of embracing digital change. The application of artificial intelligence and data analysis can greatly benefit companies. Governments and organizations effectively used AI technology to fight the virus, including for public education, screening patients, tracing contacts, and creating online content with AI video creation tools. Consequently, the AI video creation tools market observed substantial expansion during the pandemic.

IMPACT OF GENERATIVE AI

Gen AI Integrated AI Video Generator Tools Enhance Social Media Engagement to Deliver High-Quality Video Content

Generative AI is gaining more importance in media and entertainment, with the introduction of virtual news anchors, AI-produced video content, real-time video analysis, summarization, and the automation of news article creation, summaries, and fact-checking. It is also playing a key role in improving engagement on social media and in marketing and advertising through AI-produced content, personalized suggestions, AI-targeted advertising, and the creation of dynamic ads.

Increasing usage of Gen AI models can produce a broad spectrum of content, including writing and summarizing news pieces and creating visuals for graphic design and illustrations. Significant improvements have been made in generating real-time content, analyzing emotions and sentiments, creating personalized and interactive content, and generating content across different sectors.

• For instance, in May 2023, Gan.ai, a personalized human video platform, raised USD 5.25 million in funding scale-up by Surge, Sequoia Capital India, and Southeast Asia's rapid scale-up program to improve operational performance and increase the efficiency of engineering and sales teams across the U.S. and India.

Hence, the rising integration of Gen AI with AI video generator tools is estimated to enhance social media engagement by offering high-quality video content to customers worldwide.

AI Video Generator Market Trends

Increasing Implementation of Generative Adversarial Networks (GAN) to Deliver Realistic Video Content

AI-based video generators utilize artificial intelligence algorithms to automatically generate and edit video content. These systems can create videos from scratch using input data such as text, images, or videos, along with different advanced features for editing, enhancing, and customizing to create a personalized output video. These AI algorithms are used across different industry verticals for various tasks, which significantly include content creation, marketing, and customizing the video per the user's needs.

Generative models, such as Variational Autoencoders (VAEs) and Generative Adversarial Networks (GAN) help speed up content creation, boosting productivity and reducing expenses by delivering improved and creative video content. This technology plays a crucial role in faster digital content consumption. Growing usage of Generative Adversarial Networks (GAN) revolutionized the video generation process by putting two comprehensive, neutral networks, such as a generator and discriminator, against each other, which significantly results in realistic and coherent video outputs.

Thus, the demand for AI video generators has risen over the forecast period due to the increasing implementation of GAN for delivering realistic video content.

Request a Free sample to learn more about this report.

AI Video Generator Market Growth Factors

Rising Adoption of AI Video Generator Tools in E-commerce Sector to Improve Customer Engagement

The growing demand for AI-powered video creation tools offers numerous advantages to various teams in different fields. For instance, these tools can help marketing and education teams create engaging video content easily, even if they have little-to-no experience in video production. AI video creation tools can also provide significant advantages to social media and e-commerce teams. They can increase user engagement and traffic to social media profiles. The use of AI video creation tools by social media and e-commerce platforms is expected to drive market growth.

• According to a research survey, 91% of people watched a demonstration video to understand more about a product, whereas 69% of consumers believe a product demo best assists them before purchase. These factors help customers to make purchase decisions before buying the product.

Increased usage of video-generating tools in the retail & e-commerce sector improves customer engagement by showcasing the products from different angles, providing answers to potential customer queries, delivering product demos, and significantly helping customers make the decision-making process faster. Thus, the growing adoption of AI video generator tools in the e-commerce sector helps enhance customer engagement, boosting the market's growth over the forecast period.

RESTRAINING FACTORS

High Cost of AI Generation Tools to Restrict Market Growth

The AI algorithms used in AI video generation tools utilize huge and diverse datasets for training and advertising. The advanced video creation AI services provide an advanced subscription option, accessible monthly or quarterly, to utilize all essential functionalities.

Additionally, the cost of adopting AI technologies poses a major barrier for smaller businesses aiming to enter the AI video creation industry. The absence of originality, ethical concerns, and expensive subscription fees are anticipated to impede the expansion of the market. Various content creators function independently, without the support of investors, to create their content.

AI Video Generator Market Segmentation Analysis

By Enterprise Type Analysis

Adoption of AI Video Generator Rises in SMEs to Enhance Customer Engagement via Marketing Campaigns

By enterprise type, the market is divided into small & medium enterprises (SMEs) and large enterprises.

The small & medium enterprises (SMEs) segment is estimated to record the highest CAGR during the forecast period. The adoption of AI video generation tools among SMEs is increasing rapidly due to the growing need for customized presentations to provide information for social media, training, education, and product explanation purposes. The increasing usage of AI-powered video tools helps to enhance customer engagement among small companies via personalized marketing campaigns to make data-driven decisions. Hence, SMEs' demand for AI-powered video-generating platforms is increasing to deliver better customer experience during the forecast period.

The large enterprises segment held the largest market share in 2023 due to the increased usage of AI-based tools to generate quality videos in minimum time. Similarly, the growing usage of AI-based video generation tools helps to automate the video generation process based on a large amount of user data. It also enables the creation of fast video content at a large scale to deliver a personalized user experience.

By Source Analysis

PowerPoint to Video Generator to Grow with Higher CAGR Due to Increasing Need of Training and Product Demo Presentation Across Multiple Industries

Based on source, the market is divided into text to video, PowerPoint to video, and documents to video, which mainly includes PDFs and spreadsheets.

The PowerPoint to video segment is estimated to record the largest CAGR over the forecast period. This is because various businesses in different industry verticals rely on PowerPoint for presentations, training, product demos, and advertising. The increased usage of PowerPoint to video conversion tools among various enterprises helps convert PowerPoint training resources into innovative and captivating videos with voiceover to improve customer engagement and deliver better user experience over the forecast period.

The text to video segment held the highest AI video generator market share in 2023 and is anticipated to grow steadily in the coming years. This is due to the growing adoption of text-to-image generation technology in marketing, advertising, healthcare, and many other industries to convert text content into videos for better customer involvement.

By Application Analysis

Integrating AI to Deliver Enhanced Content Strengthened Growth of Marketing & Advertising Platform

By application, the market is segregated into training & education, marketing & advertising, social media, and others.

The marketing & advertising segment accounted for the largest market share in 2023. This is due to the rising usage of AI video generators to optimize the quality of advertising and marketing content cost-efficiently. Adopting AI video content generation tools also helps deliver high-quality videos to fulfill the specific marketing needs of the target audiences and enhance brand visibility.

The social media segment will grow at the highest rate over the forecast period. This is due to the growing usage of multimedia technologies, such as deep fake image processing and natural language processing, to generate more comprehensive and engaging video content and improve user engagement.

By Industry Analysis

To know how our report can help streamline your business, Speak to Analyst

Delivery of High-Quality Presentation to Improve User Experience Fueled Product Demand in IT & Telecom Sector

The market is segregated by industry into IT & telecom, retail & e-commerce, education, healthcare, real estate, media & entertainment, and others.

The IT & telecom sector segment held the highest market share in 2023. This is due to the increasing usage of AI video-generating tools by IT professionals to deliver improved presentations, marketing, and advertising content to customers across the globe. This factor enhances motion between the customers and business heads, along with improved customer experiences. The growing usage of AI video generator tools in the IT sector will boost the performance of resources by delivering an enhanced learning experience while performing business operational tasks. These factors are expected to drive the market growth over the forecast period.

The education sector segment recorded the highest CAGR due to the rising penetration of advanced video-generating tools, which deliver seamless e-learning and teaching experiences via interactive visuals and engaging audio and videos. The usage of AI video generation platforms helps transform traditional learning methods and aims to deliver high-quality outputs to improve the users' experience.

Rising penetration of AI video-generating tools in the healthcare and real estate sectors aims to enhance diagnostic processes and help improve client engagement by delivering high-quality videos that offer the best value-added product to potential clients. These factors will boost the demand for AI generator tools in both industries over the forecast period.

REGIONAL INSIGHTS

The market is studied across North America, South America, Europe, the Middle East & Africa, and Asia Pacific, and each region is further studied across countries.

To get more information on the regional analysis of this market, Request a Free sample

North America has the highest market share and is expected to contribute to the AI video generator market growth during the forecast period. Rising demand for digital technology integration and increasing internet service penetration among the U.S., Canada, and Mexico increases the usage of social media applications. This factor plays an important role in driving the market's growth in the region over the forecast period. Similarly, growing investments by artificial intelligence-powered businesses across different industry verticals boost market growth. Furthermore, large AI video generator tool providers, such as DeepBrain AI Ltd., Moovl, HeyGen, Hour One., and Steve AI in various countries across the region, will propel the market growth in North America during the forecast period.

Asia Pacific is projected to record the highest CAGR over the forecast period due to increasing investment for advanced video generator companies in SMEs to bring development in the video generation industry. These factors will help drive the region’s market growth during the forecast period. The increasing integration of AI and ML technologies is driving digital transformation across various industry verticals, enhancing customer engagement and communication services. This trend is expected to boost demand for AI-integrated video solutions in India, China, Japan, and South Korea, as businesses seek to streamline their operations.

Europe is expected to grow at a moderate growth rate over the forecast period. The rising investments by technologically advanced companies among multiple startup video generation companies across various European countries will drive the adoption of AI-video generation tools. This will help deliver high-quality video content to improve the operational performance of businesses.

• For instance, in July 2023, Immersive Fox, a London-based AI video generation startup company that generates videos for streamlining the sales and corporate communication process, raised USD 3.6 million to help the AI-twin tech companies generate unlimited video content using their voice and face.

The Middle East & Africa are estimated to record the second-highest growth rate due to the increasing adoption of artificial intelligence and machine learning technologies in academic institutions and IT firms for marketing and learning purposes.

South America is in a deployment phase due to the increasing penetration of advanced digital technologies across the advanced IT infrastructure of different industry verticals. These technologies are being used to advance marketing and advertising processes in Brazil and Argentina, boosting the adoption of AI video generator platforms over the forecast period.

KEY INDUSTRY PLAYERS

Technological Developments by Leading Companies to Aid Market Proliferation

Companies operating in the market mainly include Veed Limited, Synthesia Limited., Colossyan Inc., Canva, Steve AI, DeepBrain AI Ltd., Moovly. These companies are focusing on bringing developments in enhancing the features of AI video generator software. To enhance their operations throughout the world, the market players are using various strategic methods, such as partnerships, collaborations, acquisitions, and mergers.

List of Top AI Video Generator Companies:

• Veed Limited (U.K.)


• Synthesia Limited. (U.K.)


• Colossyan Inc. (U.K.)


• Canva (Australia)


• Steve AI (U.S.)


• DeepBrain AI Ltd. (U.S.)


• Moovly (Canada)


• D-ID AI Video (De-Identification Ltd.) (Israel)


• GoAnimate, Inc. (VYOND) (U.S.)


• HeyGen (U.S.)


• Elai.io (U.S.)

KEY INDUSTRY DEVELOPMENTS:

• April 2024: Adobe Inc. partnered with OpenAI to develop AI video tools that significantly help remove distractions from a video, without any manual work via video editor.


• March 2024: Infibeam Avenues Ltd. announced the new AI video-generating tool, THEIA. It helps revolutionize the power of AI video analytics applications to improve business operations and enhance efficiency and productivity.


• February 2024: Open AI launched a text-to-video AI generator platform, "SORA," that generates eye-catching videos. Sora reduces moviemakers' work time by replacing less experienced digital artists.


• November 2023: Pika developed an AI video editing app and raised USD 55 million in funding led by Lightspeed Venture in partnership with Ben's Bites, Conviction Capital, Homebrew, SV Angel, and prominent angel investors for delivering premium quality videos.


• September 2023: IZEA Worldwide, Inc., a provider of influencer marketing technology, services, and data for leading agencies, launched an AI video generation tool in the FormAI module named "Talking Portraits." This tool helps develop new avatars for people with a personalized voice-driven digital presenter.

REPORT COVERAGE

The study on the market includes prominent areas globally to gain enhanced knowledge of the industry verticals. Moreover, the research offers insights into the most recent endeavors and industry developments and an analysis of high-tech solutions being adopted promptly worldwide. It also highlights some of the growth-stimulating limitations and elements, allowing the reader to obtain a comprehensive understanding of the market.

An Infographic Representation of AI Video Generator Market

View Full Infographic

To get information on various segments, share your queries with us

REPORT SCOPE & SEGMENTATION