Dublin, Aug. 21, 2025 (GLOBE NEWSWIRE) -- The "Generative AI Market - Technologies, Models, Applications and Industry Sectors" has been added to ResearchAndMarkets.com's offering.
The global Generative AI market is rapidly transforming from a research novelty into a crucial component of enterprise digital strategies. Currently valued at approximately US$18.5 billion in 2024, the market is expected to exceed US$445 billion by 2034, with a robust CAGR of 37.4%. Growth is primarily fueled by increasing enterprise demand across sectors such as finance, healthcare, media, and retail. Factors like maturing foundation models, democratization of APIs, fine-tuning tools, and significant investments from both cloud hyperscalers and startups are accelerating adoption.
Key advancements in hardware and software are driving this market expansion. Innovations in GPU clusters, AI accelerators, and cloud infrastructure are reducing training times and enhancing performance. Breakthroughs in model compression techniques such as quantization are enabling real-time inference on mobile devices. The emergence of open-weight models like LLaMA and Mixtral allows enterprises to develop proprietary solutions while maintaining data privacy and compliance, fostering broader access and innovation across industries.
Regional Market Analysis
In 2024, North America leads with a 40.2% share of global Generative AI revenue, fueled by investments from Microsoft, Amazon, and Google. Europe ranks second with US$4.7 billion, supported by EU regulatory frameworks and public-private partnerships. The Asia-Pacific region is the fastest-growing, projected to reach US$197 billion by 2034, driven by strong government support, especially in China, and enterprise demand in Japan, India, and South Korea. South America also shows robust growth with a 40.5% CAGR, due to adoption in digital banking, telecom, and education sectors.
Component Analysis
In 2024, software dominates, constituting 62.4% of the market, reflecting investment in foundational model APIs and developer platforms. OpenAI, Anthropic, and Cohere are leading vendors. However, services are projected to grow faster, expanding at a CAGR of 41.1% by 2034, driven by demand for consulting, integration, and compliance services. This trend highlights a shift towards services-led models as organizations scale generative AI implementations.
Technology Analysis
Transformers are the largest technology segment, comprising 43.8% of the market, largely due to their integration in LLMs and APIs. GANs follow with a significant market presence in media and digital content. Diffusion Networks are projected to experience the fastest growth at a CAGR of 41%, driven by applications in design and marketing automation.
Model Analysis
Large Language Models account for 41.2% of the market, with widespread use in content generation and automation. Multi-modal models are the fastest-growing, expanding at a CAGR of 41.1% to reach US$119.2 billion by 2034, driven by demand for AI systems that integrate multiple modalities like text, image, and audio.
Application and Industry Sector Analysis
In 2024, Natural Language Processing is the largest application segment, driven by use in finance and healthcare. Computer Vision is the fastest-growing segment, projected to grow at a CAGR of 42.9%. Media & Entertainment is the largest industry sector, but BFSI is the fastest-growing, with a CAGR of 43.7%, due to its integration in banking and finance operations.
Market Report Scope and Key Metrics
This report analyzes the global Generative AI market by Component, Technology, Model, Application, and Industry Sector from 2024 to 2034, and includes profiles of major companies and industry developments.
- Base Year: 2024
- Forecast Period: 2024-2034
- Units: Value market in US$
- Companies Mentioned: 40+
- Adobe
- Amazon Web Services, Inc.
- Anthropic
- Atos SE
- Baidu Inc.
- Capgemini SE
- Databricks
- DeepMind Technologies Limited
- De-Identification Ltd
- D-ID
- Fujitsu Limited
- Genie AI Ltd.
- Google LLC
- Graphcore Ltd.
- Hugging Face Inc.
- IBM
- Infosys Ltd.
- Jasper
- Microsoft Corporation
- Midjourney
- Mistral AI
- MOSTLY AI Inc.
- NTT Data Corporation
- NVIDIA
- OpenAI
- Oracle
- Rephrase.ai
- SAP SE
- Scale AI
- SenseTime Group Ltd.
- Stability AI
- Synthesia
- Tata Consultancy Services (TCS) Ltd.
- Tencent Holdings Ltd.
- TietoEVRY Corporation
- Together AI
- xAI
Geographic Regions Covered:
- North America
- Europe
- Asia-Pacific
- South America
- Middle East & Africa
Report Segmentation:
- Component: Software, Services
- Technology: Transformers, GANs, Diffusion Networks
- Models: Large Language, Multi-modal
- Applications: NLP, Computer Vision
- Industry: Media & Entertainment, BFSI
For more information about this report visit https://www.researchandmarkets.com/r/lf7s9z
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