Artificial Intelligence (AI) in Media and Entertainment Market Report 2023: Featuring Amazon Web Services, GrayMeta, IBM, Microsoft & More

DUBLIN, June 13, 2023 /PRNewswire/ -- The "Artificial Intelligence (AI) in Media and Entertainment Market - Forecasts from 2023 to 2028" report has been added to ResearchAndMarkets.com's offering.

AI in media and entertainment market is expected to grow at a CAGR of 31.89% from a market valuation of US$17.927 billion in 2021 to reach US$124.483 billion by 2028.

AI in the media and entertainment market is the implementation of AI technology and software products across various sub-divisions of the media and entertainment industry including gaming, video production, content production, and other similar sectors. The evolution and diversification of the media and entertainment industry stimulate the adoption of AI applications and software for various processes such as the personalization of media content for customers, the generation of subtitles, and the creation of unique editing tools and filters. Since the incorporation of AI in the media and entertainment market is at its initial stage, it can be anticipated that this market will significantly expand over the forecast period.

Market Drivers

Burgeoning content generated by the media and entertainment industries

The significant rise in the quantity of content produced across the international media and entertainment industry generates various opportunities for the application of AI-powered tools in the media and entertainment industry. The emergence of influencers and content creators on video streaming and social media applications such as Tiktok, Instagram, Facebook, and Youtube has prominently doubled the amount of content generated in the media and entertainment industry.

For instance, a study by Wallaroo Media showed that more than 83% of people using Tiktok have posted their video content on the site. Due to this, companies and brands across the world choose to market their products by publicizing their content on online platforms. This creates an opportunity for employing AI tools in sorting and categorizing the content generated online.

AI-enabled software is applied to enhance and diversify the content created online. For instance, Snapchat and Vogue have recently collaborated to launch a unique augmented reality feature that lets Snapchat users record a video or image of a person in a particular outfit. Hence, the acceleration of content creation encourages the employment of AI software across various platforms involved in the media and entertainment industry.

Advancements in the gaming and animation sector

The rapid advancements in the gaming, animation, and visual effects fields have been fueled by the improvement in resolution and graphic quality has resulted in the growth of gaming and other animation sectors across the world. According to a gaming report generated by Lumikai State of India, the number of game downloads on mobile increased from 10 billion in 2021 to 15 billion in 2022. In addition to this, the India Brand Equity Foundation estimated that in India, approximately every gamer spends 8.5 hours a week on mobile gaming applications.

Apart from this, the animation and cartoon segment is expanding over their increasing coverage across various platforms such as Netflix, Youtube, and other video streaming platforms. The rise in the consumption of gaming and animated products encourages the utilization of AI-powered tools in these sectors to generate more realistic features and actions of the animated character by enhancing the synchronization of lip movements with voice-overs, accurate facial expressions, and detailed body movements. Therefore, the increase in content generated and the advancements of the sub-fields in the media and entertainment industry will propel the expansion of AI in the media and entertainment industry over the forecast period.

The ethical risks associated with certain AI applications in the media and entertainment industry can slow down the expansion of AI in the media and entertainment market.

The application of AI in content personalization processes for customers requires access to their streaming history and cookie history across other platforms to aid in the better analysis of the customer's preferences and behavior. Even though prior permission is acquired before proceeding to use such personal details of the customer, there is a risk of improper utilization of such confidential information through hacking activities. Due to this, customers hesitate to grant access permissions to such platforms which results in the generation of inaccurate personalized playlists and watchlists for the customers.

Market Developments:

In March 2023, Metagame Industries, an AI and other tech-empowered gaming company announced its collaboration with Mysten Labs Company to launch a new online action video game, Abyss World with role-playing features.

In February 2023, Krikey.ai and Stability AI, two companies dedicated to the manufacture of AI-powered services and applications formed a partnership deal to permit their users to create animated avatar videos through text descriptions which can be downloaded and posted on social media, video editing software, or 3D video games.

In January 2023, a new gaming development company called Scenario was launched which employs AI software to produce specific art style effects and assets which can be used by independent game artists and developers.

Asia Pacific region holds high potential in the AI in media and entertainment market and is expected to witness healthy growth during the forecasted period.

The countries in the Asia Pacific region are experiencing significant growth in their media and entertainment industries, driven by video and music streaming activities. For instance, Netflix reported that its revenues from the Asia Pacific region increased by 9% from 2021 to reach $ 3.57 billion in 2022.

In addition to mainstream platforms such as Youtube, Netflix, and Amazon Prime Video, the emergence of regional and national-level OTT platforms in various Asian countries has contributed to the growth of the media and entertainment industries of these respective countries. For instance, in India, the launch of region-specific OTT websites such as Hotstar Disney+, Voot, Aha, and Zee5 is growing the consumption of media and entertainment content in India.

In addition to this, the South Korean Film Council Annual Report established that the revenue generated by OTT movie platforms in South Korea reached US$58.1 million in 2019 and local OTT platforms including Wavve and Tving are two major key players in South Korean online media streaming websites.

The increase in the media and entertainment industry creates market opportunities for the wider application of AI in the media and entertainment industry to meet customer demands and boost customer satisfaction and experience. Therefore, the rapid expansion of the media and entertainment industry in the Asia Pacific region will eventually result in the growth of AI in the media and entertainment market in Asia Pacific countries.

Market Segmentation:
By Application

• Gaming
• Video Production
• Plagiarism Detection
• Personalization
• Production Management
• Others

By Geography

• North America
• USA
• Canada
• Mexico
• South America
• Brazil
• Argentina
• Others
• Europe
• United Kingdom
• Germany
• France
• Italy
• Spain
• Others
• Middle East and Africa
• Saudi Arabia
• UAE
• Others
• Asia Pacific
• China
• Japan
• India
• South Korea
• Australia
• Singapore
• Indonesia
• Others

Key Topics Covered:

1. INTRODUCTION

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET DYNAMICS

5. AI IN MEDIA AND ENTERTAINMENT MARKET BY APPLICATION

6. AI IN MEDIA AND ENTERTAINMENT MARKET BY GEOGRAPHY

7. COMPETITIVE ENVIRONMENT AND ANALYSIS

8. COMPANY PROFILES

• Amazon Web Services Inc.
• Gravity Media
• GrayMeta
• IBM Corporation
• Microsoft Corporation
• Production Resource Group LLC
• Synthesia Ltd.
• Valossa Labs Ltd.
• PlaySight Interactive
• Move.ai

For more information about this report visit https://www.researchandmarkets.com/r/64idf8

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