AI video generator is a tool that enables users to develop video from any written copy using artificial intelligence software. Also, it allows users to produce videos from any written document, and due to this, this AI video generator is more prevalent among individuals. Further, AI video generators save time by editing the video itself, which is the main factor for the high demand for AI video generator tools in the market.
Artificial Intelligence (AI) Video Generator markets are rapidly growing as AI technologies revolutionize content creation. AI video generation tools help creators produce high-quality videos with minimal human intervention - thanks to innovations in machine learning algorithms, neural networks, and natural language processing enabling faster and more efficient video production.
Recent advancements in AI video generation have resulted in the emergence of platforms that use text or scripts to automatically produce videos, making these tools especially popular within marketing, advertising and e-learning industries where demand for engaging video content continues to soar. Furthermore, companies seek ways to reduce production costs while streamlining production - thus making AI video tools indispensable tools.
Social media and digital platforms have contributed significantly to the rising demand for AI-generated video content, driving demand for AI video tools that produce such videos while meeting high production standards and engaging their audiences efficiently. Marketers, influencers and businesses all seek cost-effective methods of creating eye-catching videos for their target audiences - AI video tools offer one such solution while maintaining production standards and increasing engagement levels simultaneously.
Opportunities in AI video generation are growing quickly as more industries adopt this technology. Entertainment and gaming sectors have taken notice, exploring its potential to create immersive experiences through AI's ability to mimic human speech and behavior - offering even greater promise for AI-generated videos across multiple applications.
AI video generation platforms have experienced exponential growth since their introduction, producing over 5 million videos using platforms such as Synthesia and Runway. By 2025, it is projected that AI videos will account for 35% of digital video creation worldwide; as of 2023 there were nearly 2000 active AI video content creation tools supporting industries like marketing, gaming and education.
The US Artificial Intelligence (AI) Video Generator Market
The US Artificial Intelligence (AI) Video Generator Market is projected to reach USD 178.3 million in 2024 at a compound annual growth rate of 19.3% over its forecast period.
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In the U.S., growth opportunities for the AI video generator market like the growing demand for personalized video content across industries like marketing, e-commerce, and education. The fast adoption of AI technologies, along with advancements in
5G, enhances video creation capabilities, making AI video generators more accessible and important for businesses aiming to engage audiences effectively.
Further, the AI video generator market is driven by the high demand for personalized and engaging video content across many sectors, along with advancements in AI and 5G technologies. However, high initial costs and data privacy concerns pose significant restraints, potentially limiting adoption and growth for smaller businesses and industries with strict data protection regulations.
Key Takeaways
- Market Growth: The Artificial Intelligence (AI) Video Generator Market size is expected to grow by 2,984.3 million, at a CAGR of 20.6% during the forecasted period of 2025 to 2033.
- By Offering: The Software segment is expected to lead in 2024 with a major & is anticipated to dominate throughout the forecasted period.
- By Enterprise Size: The Large enterprise segment is expected to be leading the market in 2024
- By End Use: Media & Entertainment segment is expected to get the largest revenue share in 2024 in the Artificial Intelligence (AI) Video Generator Market.
- Regional Insight: Asia Pacific is expected to hold a 33.1% share of revenue in the Global Artificial Intelligence (AI) Video Generator Market in 2024.
- Use Cases: Some of the use cases of Artificial Intelligence (AI) Video Generator include e-commerce product demos, marketing & advertising, and more.
Use Cases
- Marketing and Advertising: AI video generators develop engaging, personalized ads & promotional content, allowing brands to produce high-quality videos at scale, improving customer engagement.
- Education and Training: These tools are used to develop interactive video lessons and tutorials, making complex subjects more accessible & engaging for students and trainees.
- E-commerce Product Demos: AI video generators can rapidly produce product demonstration videos, helping online retailers showcase their offerings more effectively and boost sales.
- Internal Communications: Businesses use AI video generators to create consistent, professional video content for internal communications, like training materials, updates, and corporate messages.
Market Dynamic
Driving Factors
Rising Demand for Video ContentThe growing popularity of video content across social media, marketing, and online platforms drives the need for AI video generators, as businesses look for efficient ways to produce high-quality videos at scale.
Advancements in AI and 5G TechnologyQuick advancements in AI algorithms and the rollout of 5G networks improve the capabilities and accessibility of AI video generators, enabling faster, more efficient video production, and driving market growth.
Restraints
High Initial Costs
The implementation of AI video generator tools can include higher upfront costs for businesses, including software,
hardware, and training, which may impact smaller enterprises from adopting these technologies.
Data Privacy Concerns
The use of AI video generators often includes handling large amounts of user data and raising concerns about
data privacy and security, which could limit adoption in industries with stringent data protection regulations.
Opportunities
Expansion into Emerging MarketsAs digital transformation accelerates in emerging markets, there is major potential for growth in AI video generator adoption, mainly in regions with large internet penetration and 5G deployment.
Customization and Personalization
AI video generators allow businesses to create highly personalized content for marketing, education, and entertainment, better engaging their audiences and differentiating their offerings.
Trends
Integration with Marketing Automation
Recent developments have seen AI video generators being integrated with marketing automation platforms, allowing for smooth and personalized video content creation based on user data, and enhancing customer engagement and campaign effectiveness.
Advances in Text-to-Video Technology
Innovations in text-to-video AI technology, such as those seen in platforms like Make-a-Video, are enhancing the accuracy and quality of video generation from written content, broadening the application of AI video generators across various industries.
Research Scope and Analysis
By Offering
The AI video generator market is divided into two main segments, software and services. In 2024, the software segment is expected to lead the market, holding the largest share of revenue, as it offers companies distinctive opportunities to stand out in the market, providing them with a strategic advantage.
Businesses in this segment are aiming to deliver fast and better AI video generation tools, along with advanced technical features that address a wide range of challenges. A focus on high-quality, innovative solutions is driving significant growth in this part of the market.
Further, the services segment is expected to grow at the fastest rate during the forecast period, driven by a large emphasis on improving the quality of services provided to AI video generator users. Services play a major role in connecting companies with their customers, helping to build stronger relationships and drive business growth. By providing better support and user experiences, companies can better meet the needs of their clients, contributing to the rapid expansion of this segment.
By Source
The market for AI video generators is divided into segments based on source, including text-to-video, PowerPoint-to-video, and spreadsheet-to-video, where the text-to-video segment is expected to dominate the market throughout the forecast period, as it allows users to easily convert written content, like scripts, articles, and blogs, into videos.
In addition, the growth in application of this technology across many industries is driving its demand. Like, development like Make-a-Video have enhanced text-to-image technology, paving the way for effective text-to-video generation.
Further, the PowerPoint-to-video segment is expected to grow at the fastest rate due to the higher popularity of video-based presentations across organizations of all sizes. Businesses often use PowerPoint for their presentations, and AI video generators provide a valuable solution by transforming these presentations into dynamic videos, thus saving time and resources.
Since PowerPoint presentations already contain visuals and a structured layout, AI can efficiently transform them into videos, making them more appealing compared to text or spreadsheet-to-video conversions.
By Enterprise Size
The AI video generator market is categorized by organization size into large enterprises and small & medium enterprises (SMEs). Among these, the large enterprises are expected to dominate the market in 2024, holding the largest share of revenue, as these companies use AI video generators to develop customized training materials, product demonstrations, and internal communication videos, which helps them to maintain consistent messaging, reduce costs, and speed up the content creation process on a large scale.
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In addition, by integrating AI video generators with marketing automation platforms, large enterprises can automate the creation of videos based on user data, which further improves personalized customer experiences. Further, SMEs are anticipated to grow at the fastest rate during the forecast period, as in the small and medium-sized businesses there are limited budgets, AI video generators provide a powerful tool for creating professional-quality videos.
SMEs can use these tools to produce content for social media, explain products, or showcase customer testimonials. The user-friendly nature and speed of AI video generators allow them to quickly generate content, enabling them to stay competitive in the fast-transforming online marketing landscape, which makes AI video generators especially valuable for smaller businesses looking to enhance their digital presence.
By Application
Video generation is anticipated to play a key role in boosting the AI Video Generator Market in 2024, by allowing the creation of personalized, high-quality videos quickly and efficiently, which helps businesses across industries like marketing, entertainment, and e-commerce to produce customized video content that grabs attention and enhances audience engagement.
By automating video creation, AI tools minimize costs, save time, and simplify production processes. As the need for more engaging, video-based content grows, AI video generators are becoming important for delivering visually appealing and impactful videos at scale.
AI-powered video editing is also predicted to be driving growth in the AI Video Generator Market by simplifying the video production process. It allows quick, automated editing, assisting businesses to create polished, and professional content without requiring advanced skills, which saves time, reduces costs, and makes video creation accessible to more users. As the need for engaging video content rises, AI video editing tools are becoming important for producing high-quality, customized videos efficiently, supporting industries like marketing, entertainment, and e-commerce.
By End Use
The AI video generator market is segmented by end-users, including media & entertainment, retail & e-commerce, educational institutions, IT & telecommunication, healthcare, retail, and others. In 2024, the media & entertainment segment is set to lead the market, holding the largest revenue share, and is expected to maintain its dominance throughout the forecast period. The high demand in the media & entertainment industry is driven by the growing focus on video-based content for advertising and brand promotion. Companies like Facebook and Apple are using AI-powered video tools, like those provided by Adobe, to develop engaging and visually appealing advertisements for their products, which showcases the large importance of AI video generators in crafting impactful marketing campaigns.
Further, educational institutions are also expected to see a major rise in the use of AI video generators. Schools and universities are largely adopting these tools to improve K-12 education by creating interactive and engaging video content for students.
Also, in the healthcare sector, AI video generators are being used to simplify complex medical terminologies into easily understandable video formats and to build
virtual health assistant videos. In addition, the IT & telecommunication industry is also largely adopting AI video generators for employee training purposes, highlighting the broad applicability of these tools across various industries.
The Artificial Intelligence (AI) Video Generator Market Report is segmented on the basis of the following:
By Offering
- Software
- By Type
- Generative Adversarial Networks (GANs)
- Conditional GANs
- Style GANs
- Cycle GANs
- Transformer Models
- Convolutional Neural Networks
- Variational Autoencoders
- Others
- Professional Services
- Traning & Consulting Services
- System Integration & Implementation Services
- Support & Maintenance Services
- Managed Services
By Source
- Text to Video
- PowerPoint to Video
- Spreadsheet to Video
By Enterprise Size
By Application
- Video Generation
- Video Prediction
- Video Editing & Enhancement
- Video Compression & Transmission
- Creative Storytelling
- Video Annotation
- Video Synthesis & Content Creation
- Others
By End Use
- Media & Entertainment
- Retail & E-commerce
- Educational Institutes
- IT & Telecommunication
- Healthcare
- Real Estate
- Others
Regional Analysis
The Asia Pacific region will lead the global AI video generator market, holding the largest market share at
33.1% in 2024, which is largely driven by the widespread adoption of AI tools in countries like China and Singapore. China is mainly at the lead, with over 1 billion internet users in 2024 generating vast amounts of digital data, which drives the demand for AI video generators.
In addition, the rollout of 5G services in emerging economies like Japan, India, and Singapore is further boosting the market. The presence of key industry players also contributes to the market’s strong growth in this region. Furthermore, the increasing use of AI in educational institutions and IT companies across the Asia Pacific is propelling market development.
Further, North America is expected to experience the fastest growth during the forecast period, which is driven by rapid technological advancements and the growing adoption of AI tools in the US. The rising consumer demand for video content in North America is pushing businesses to produce more, while advances in AI technology enable high-quality video generation with easy-to-use interfaces.
The popularity of short-form video platforms and the affordability of AI tools make these technologies accessible to businesses of all sizes, further driving market expansion in the region.
By Region
North America
Europe
- Germany
- The U.K.
- France
- Italy
- Russia
- Spain
- Benelux
- Nordic
- Rest of Europe
Asia-Pacific
- China
- Japan
- South Korea
- India
- ANZ
- ASEAN
- Rest of Asia-Pacific
Latin America
- Brazil
- Mexico
- Argentina
- Colombia
- Rest of Latin America
Middle East & Africa
- Saudi Arabia
- UAE
- South Africa
- Israel
- Egypt
- Rest of MEA
Competitive Landscape
The AI video generator market features a diverse range of companies offering innovative solutions to meet the growing demand for video content. Key players are aiming on enhancing their technology with advanced AI algorithms, better user interfaces, and integration with other digital tools.
Competition is driven by the demand for high-quality, efficient video production and customization capabilities. Companies are also differentiating themselves through unique features, like automated content generation and smooth integration with marketing and educational platforms, to capture a larger market share.
Some of the prominent players in the global Artificial Intelligence (AI) Video Generator are
- IBM
- Microsoft
- Google
- Synthesia
- Design AI
- Meta Platforms
- Muse.AI
- InVideo
- OpenAI
- FlexClip
- Other Key Players
Recent Developments
- In May 2024, Google unveiled a text-to-video artificial intelligence model called Veo, which allows the creation of computer-generated footage based only on written prompts. The model is a clear rival to OpenAI’s Sora, which performs similar functions and is planned to be released to the public by the end of 2024.
- In April 2024, Adobe introduced that Adobe Premiere Pro will reimagine video creation and production workflows, providing new creative possibilities that every pro editor needs to keep up with the high-speed pace of video production. New generative AI tools coming to Premiere Pro will allow users to streamline editing all videos, like adding or removing objects in a scene or extending an existing clip.
- In February 2024, OpenAI launched its new text-to-video generator, called Sora, which instantly makes short videos based on written commands, called prompts. Also, its high-quality videos are displayed by OpenAI. At the same time, the video can lead to fears about the possible ethical & societal effects.
- In January 2024, Google Research announced that it has developed a next-generation AI-based text-to-video generator called Lumiere, which is the technology behind the new generator as a "groundbreaking Space-Time U-Net architecture and is designed to generate animated video in a single model pass.
Report Details
| Report Characteristics |
| Market Size (2024) |
USD 706.6 Mn |
| Forecast Value (2033) |
USD 3,821.8 Mn |
| CAGR (2024-2033) |
20.6% |
| Historical Data |
2018 – 2023 |
| The US Market Size (2024) |
USD 178.3 Mn |
| Forecast Data |
2025 – 2033 |
| Base Year |
2023 |
| Estimate Year |
2024 |
| Report Coverage |
Market Revenue Estimation, Market Dynamics, Competitive Landscape, Growth Factors and etc. |
| Segments Covered |
By Offering (Software and Services), By Source (Text to Video, PowerPoint to Video, and Spreadsheet to Video), By Enterprise Size (Large Enterprises and SMEs), By Application (Video Generation, Video Prediction, Video Editing & Enhancement, Video Compression & Transmission, Creative Storytelling, Video Annotation, Video Synthesis & Content Creation, and Others), By End Use (Media & Entertainment, Retail & E-commerce, Educational Institutes, IT & Telecommunication, Healthcare, Real Estate, and Others) |
| Regional Coverage |
North America – The US and Canada; Europe – Germany, The UK, France, Russia, Spain, Italy, Benelux, Nordic, & Rest of Europe; Asia- Pacific– China, Japan, South Korea, India, ANZ, ASEAN, Rest of APAC; Latin America – Brazil, Mexico, Argentina, Colombia, Rest of Latin America; Middle East & Africa – Saudi Arabia, UAE, South Africa, Turkey, Egypt, Israel, & Rest of MEA
|
| Prominent Players |
IBM, Microsoft, Google, Synthesia, Design AI, Meta Platforms, Muse.AI, InVideo, OpenAI, FlexClip, and Other Key Players |
| Purchase Options |
We have three licenses to opt for: Single User License (Limited to 1 user), Multi-User License (Up to 5 Users) and Corporate Use License (Unlimited User) along with free report customization equivalent to 0 analyst working days, 3 analysts working days and 5 analysts working days respectively. |