Generative AI Market by Offering, Generative Model Type, Function, Application, End-use

List of Tables

The Generative AI Market was valued at USD 14.58 billion in 2023, expected to reach USD 19.21 billion in 2024, and is projected to grow at a CAGR of 33.24%, to USD 108.72 billion by 2030.

Generative AI is a transformative technology within the AI landscape, capable of creating data such as images, text, and algorithms, which is increasingly being integrated across various sectors. The necessity of generative AI arises from its ability to automate creative processes, leading to efficiency and innovation in fields such as content creation, design, and even pharmaceuticals. Its application spans diverse industries, including media, healthcare, and finance, where it aids in developing personalized content, drug discovery, and predictive analytics. The end-use scope is expansive, with enterprises utilizing generative AI for enhancing customer experiences, optimizing product designs, and streamlining operations. Market insights indicate that key growth factors include the rising demand for automated systems, advancements in AI technologies, and increasing investments in research and development by major tech companies. Additionally, the integration of generative AI with other advanced technologies like blockchain and IoT presents potential opportunities, enabling secure data sharing and real-time analytics. However, the market faces challenges such as data privacy concerns, ethical implications of AI-generated content, and high initial deployment costs, which can hinder widespread adoption. Limitations in the form of regulatory hurdles and the need for significant computational resources also pose challenges. Yet, the field of generative AI opens robust areas for innovation, particularly in refining algorithmic accuracy, improving energy efficiency of models, and expanding AI applications to untapped sectors like agriculture and energy management. Businesses are advised to focus on developing AI systems that prioritize ethical standards and transparency to gain consumer trust. The nature of the market is highly dynamic, characterized by rapid technological advancements and a competitive landscape, urging stakeholders to maintain agility and invest in strategic collaborations to leverage the full potential of generative AI for business growth and sustained innovation.

KEY MARKET STATISTICS
Base Year [2023]	USD 14.58 billion
Estimated Year [2024]	USD 19.21 billion
Forecast Year [2030]	USD 108.72 billion
CAGR (%)	33.24%

Market Dynamics: Unveiling Key Market Insights in the Rapidly Evolving Generative AI Market

The Generative AI Market is undergoing transformative changes driven by a dynamic interplay of supply and demand factors. Understanding these evolving market dynamics prepares business organizations to make informed investment decisions, refine strategic decisions, and seize new opportunities. By gaining a comprehensive view of these trends, business organizations can mitigate various risks across political, geographic, technical, social, and economic domains while also gaining a clearer understanding of consumer behavior and its impact on manufacturing costs and purchasing trends.

Market Drivers
- Focus on optimizing and modernizing workflow across businesses
- Applications of text-to-image conversion and text-to-video conversion
- Broadening use of generative AI in visual applications
Market Restraints
- Output accuracy concerns associated with generative AI
Market Opportunities
- Emergence of fully automated generative AI
- Favorable ecosystem for generative AI startups
Market Challenges
- Cybersecurity & data privacy risk

Porter's Five Forces: A Strategic Tool for Navigating the Generative AI Market

Porter's five forces framework is a critical tool for understanding the competitive landscape of the Generative AI Market. It offers business organizations with a clear methodology for evaluating their competitive positioning and exploring strategic opportunities. This framework helps businesses assess the power dynamics within the market and determine the profitability of new ventures. With these insights, business organizations can leverage their strengths, address weaknesses, and avoid potential challenges, ensuring a more resilient market positioning.

PESTLE Analysis: Navigating External Influences in the Generative AI Market

External macro-environmental factors play a pivotal role in shaping the performance dynamics of the Generative AI Market. Political, Economic, Social, Technological, Legal, and Environmental factors analysis provides the necessary information to navigate these influences. By examining PESTLE factors, businesses can better understand potential risks and opportunities. This analysis enables business organizations to anticipate changes in regulations, consumer preferences, and economic trends, ensuring they are prepared to make proactive, forward-thinking decisions.

Market Share Analysis: Understanding the Competitive Landscape in the Generative AI Market

A detailed market share analysis in the Generative AI Market provides a comprehensive assessment of vendors' performance. Companies can identify their competitive positioning by comparing key metrics, including revenue, customer base, and growth rates. This analysis highlights market concentration, fragmentation, and trends in consolidation, offering vendors the insights required to make strategic decisions that enhance their position in an increasingly competitive landscape.

FPNV Positioning Matrix: Evaluating Vendors' Performance in the Generative AI Market

The Forefront, Pathfinder, Niche, Vital (FPNV) Positioning Matrix is a critical tool for evaluating vendors within the Generative AI Market. This matrix enables business organizations to make well-informed decisions that align with their goals by assessing vendors based on their business strategy and product satisfaction. The four quadrants provide a clear and precise segmentation of vendors, helping users identify the right partners and solutions that best fit their strategic objectives.

Strategy Analysis & Recommendation: Charting a Path to Success in the Generative AI Market

A strategic analysis of the Generative AI Market is essential for businesses looking to strengthen their global market presence. By reviewing key resources, capabilities, and performance indicators, business organizations can identify growth opportunities and work toward improvement. This approach helps businesses navigate challenges in the competitive landscape and ensures they are well-positioned to capitalize on newer opportunities and drive long-term success.

Key Company Profiles

The report delves into recent significant developments in the Generative AI Market, highlighting leading vendors and their innovative profiles. These include Accenture PLC, AI21 Labs Ltd., Amazon Web Services, Inc., Anthropic PBC, AssemblyAI, Inc., Clarifai, Inc., Databricks, Inc., DeepL SE, Dialpad, Inc., Genie AI Ltd., Google LLC by Alphabet Inc., Infosys Limited, International Business Machines Corporation, Lighttricks, Markovate, Inc., Meta Platforms, Inc., Microsoft Corporation, Midjourney, Inc., Mostly AI Solutions MP GmbH, OpenAI OpCo, LLC, Paige AI, Inc., Persado, Inc., Revery AI Inc., and Theai, Inc..

Market Segmentation & Coverage

This research report categorizes the Generative AI Market to forecast the revenues and analyze trends in each of the following sub-markets:

Based on Offering, market is studied across Services and Software. The Services is further studied across Managed Services and Professional Services. The Professional Services is further studied across Support & Maintenance Services, System Integration & Implementation Services, and Training & Consulting Services.
Based on Generative Model Type, market is studied across Autoencoders, Convolutional Neural Networks, Deep Learning Models, Generative Adversarial Networks, Rule-based Models, Statistical Models, and Transformer-based Large Language Models. The Autoencoders is further studied across Denoising Autoencoders and Variational Autoencoders. The Deep Learning Models is further studied across Feedforward Neural Networks, Gated Recurrent Units, Long Short-Term Memory Neural Networks, and Recurrent Neural Networks. The Generative Adversarial Networks is further studied across Conditional GANs, Cycle GANs, and Style GANs. The Rule-based Models is further studied across Expert Systems, Knowledge-based Models, and Script-based Models. The Statistical Models is further studied across Conditional Random Fields, Gaussian Mixture Models, Hidden Markov Models, and Markov Models.
Based on Function, market is studied across Creative AI, Interactive AI, and Predictive Models.
Based on Application, market is studied across Application Development & API Integration, Customer Experience, Data Visualization, Digital Marketing, Fraud Detection/Risk Management, General Search & Insight Generation, Media Editing, Predictive Maintenance, Sales Intelligence, and Synthetic Data Training.
Based on End-use, market is studied across Banking, Financial Services & Insurance, Building & Construction, Energy & Utilities, Government & Defense, Healthcare & Life Sciences, IT & Telecommunication, Manufacturing, Media & Entertainment, Retail & eCommerce, and Transportation & Logistics.
Based on Region, market is studied across Americas, Asia-Pacific, and Europe, Middle East & Africa. The Americas is further studied across Argentina, Brazil, Canada, Mexico, and United States. The United States is further studied across California, Florida, Illinois, New York, Ohio, Pennsylvania, and Texas. The Asia-Pacific is further studied across Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Singapore, South Korea, Taiwan, Thailand, and Vietnam. The Europe, Middle East & Africa is further studied across Denmark, Egypt, Finland, France, Germany, Israel, Italy, Netherlands, Nigeria, Norway, Poland, Qatar, Russia, Saudi Arabia, South Africa, Spain, Sweden, Switzerland, Turkey, United Arab Emirates, and United Kingdom.

The report offers a comprehensive analysis of the market, covering key focus areas:

1. Market Penetration: A detailed review of the current market environment, including extensive data from top industry players, evaluating their market reach and overall influence.

2. Market Development: Identifies growth opportunities in emerging markets and assesses expansion potential in established sectors, providing a strategic roadmap for future growth.

3. Market Diversification: Analyzes recent product launches, untapped geographic regions, major industry advancements, and strategic investments reshaping the market.

4. Competitive Assessment & Intelligence: Provides a thorough analysis of the competitive landscape, examining market share, business strategies, product portfolios, certifications, regulatory approvals, patent trends, and technological advancements of key players.

5. Product Development & Innovation: Highlights cutting-edge technologies, R&D activities, and product innovations expected to drive future market growth.

The report also answers critical questions to aid stakeholders in making informed decisions:

1. What is the current market size, and what is the forecasted growth?

2. Which products, segments, and regions offer the best investment opportunities?

3. What are the key technology trends and regulatory influences shaping the market?

4. How do leading vendors rank in terms of market share and competitive positioning?

5. What revenue sources and strategic opportunities drive vendors' market entry or exit strategies?

Product Code: MRR-961BA04A2E24

1. Preface

1.1. Objectives of the Study
1.2. Market Segmentation & Coverage
1.3. Years Considered for the Study
1.4. Currency & Pricing
1.5. Language
1.6. Stakeholders

2. Research Methodology

2.1. Define: Research Objective
2.2. Determine: Research Design
2.3. Prepare: Research Instrument
2.4. Collect: Data Source
2.5. Analyze: Data Interpretation
2.6. Formulate: Data Verification
2.7. Publish: Research Report
2.8. Repeat: Report Update

3. Executive Summary

4. Market Overview

5. Market Insights

5.1. Market Dynamics
- 5.1.1. Drivers
  - 5.1.1.1. Focus on optimizing and modernizing workflow across businesses
  - 5.1.1.2. Applications of text-to-image conversion and text-to-video conversion
  - 5.1.1.3. Broadening use of generative AI in visual applications
- 5.1.2. Restraints
  - 5.1.2.1. Output accuracy concerns associated with generative AI
- 5.1.3. Opportunities
  - 5.1.3.1. Emergence of fully automated generative AI
  - 5.1.3.2. Favorable ecosystem for generative AI startups
- 5.1.4. Challenges
  - 5.1.4.1. Cybersecurity & data privacy risk
5.2. Market Segmentation Analysis
- 5.2.1. Offering: Rising usage of software associated with generative AI for the creation, customization, and deployment of AI models
- 5.2.2. End-use: Increasing use of generative AI in the government & defense for cybersecurity and simulation of scenarios for strategic planning
5.3. Porter's Five Forces Analysis
- 5.3.1. Threat of New Entrants
- 5.3.2. Threat of Substitutes
- 5.3.3. Bargaining Power of Customers
- 5.3.4. Bargaining Power of Suppliers
- 5.3.5. Industry Rivalry
5.4. PESTLE Analysis
- 5.4.1. Political
- 5.4.2. Economic
- 5.4.3. Social
- 5.4.4. Technological
- 5.4.5. Legal
- 5.4.6. Environmental

6. Generative AI Market, by Offering

6.1. Introduction
6.2. Services
- 6.2.1. Managed Services
- 6.2.2. Professional Services
  - 6.2.2.1. Support & Maintenance Services
  - 6.2.2.2. System Integration & Implementation Services
  - 6.2.2.3. Training & Consulting Services
6.3. Software

7. Generative AI Market, by Generative Model Type

7.1. Introduction
7.2. Autoencoders
- 7.2.1. Denoising Autoencoders
- 7.2.2. Variational Autoencoders
7.3. Convolutional Neural Networks
7.4. Deep Learning Models
- 7.4.1. Feedforward Neural Networks
- 7.4.2. Gated Recurrent Units
- 7.4.3. Long Short-Term Memory Neural Networks
- 7.4.4. Recurrent Neural Networks
7.5. Generative Adversarial Networks
- 7.5.1. Conditional GANs
- 7.5.2. Cycle GANs
- 7.5.3. Style GANs
7.6. Rule-based Models
- 7.6.1. Expert Systems
- 7.6.2. Knowledge-based Models
- 7.6.3. Script-based Models
7.7. Statistical Models
- 7.7.1. Conditional Random Fields
- 7.7.2. Gaussian Mixture Models
- 7.7.3. Hidden Markov Models
- 7.7.4. Markov Models
7.8. Transformer-based Large Language Models

8. Generative AI Market, by Function

8.1. Introduction
8.2. Creative AI
8.3. Interactive AI
8.4. Predictive Models

9. Generative AI Market, by Application

9.1. Introduction
9.2. Application Development & API Integration
9.3. Customer Experience
9.4. Data Visualization
9.5. Digital Marketing
9.6. Fraud Detection/Risk Management
9.7. General Search & Insight Generation
9.8. Media Editing
9.9. Predictive Maintenance
9.10. Sales Intelligence
9.11. Synthetic Data Training

10. Generative AI Market, by End-use

10.1. Introduction
10.2. Banking, Financial Services & Insurance
10.3. Building & Construction
10.4. Energy & Utilities
10.5. Government & Defense
10.6. Healthcare & Life Sciences
10.7. IT & Telecommunication
10.8. Manufacturing
10.9. Media & Entertainment
10.10. Retail & eCommerce
10.11. Transportation & Logistics

11. Americas Generative AI Market

11.1. Introduction
11.2. Argentina
11.3. Brazil
11.4. Canada
11.5. Mexico
11.6. United States

12. Asia-Pacific Generative AI Market

12.1. Introduction
12.2. Australia
12.3. China
12.4. India
12.5. Indonesia
12.6. Japan
12.7. Malaysia
12.8. Philippines
12.9. Singapore
12.10. South Korea
12.11. Taiwan
12.12. Thailand
12.13. Vietnam

13. Europe, Middle East & Africa Generative AI Market

13.1. Introduction
13.2. Denmark
13.3. Egypt
13.4. Finland
13.5. France
13.6. Germany
13.7. Israel
13.8. Italy
13.9. Netherlands
13.10. Nigeria
13.11. Norway
13.12. Poland
13.13. Qatar
13.14. Russia
13.15. Saudi Arabia
13.16. South Africa
13.17. Spain
13.18. Sweden
13.19. Switzerland
13.20. Turkey
13.21. United Arab Emirates
13.22. United Kingdom

14. Competitive Landscape

14.1. Market Share Analysis, 2023
14.2. FPNV Positioning Matrix, 2023
14.3. Competitive Scenario Analysis
- 14.3.1. Strategic Acquisition of Clipdrop by Jasper Amplifies Multimodal Marketing Capabilities for Enterprises
- 14.3.2. Visa Ventures into Generative Artificial Intelligence with a USD 100 Million Investment Fund
- 14.3.3. Infosys and Microsoft Embark on a Pioneering AI-Driven Collaboration
14.4. Strategy Analysis & Recommendation

Companies Mentioned

1. Accenture PLC
2. AI21 Labs Ltd.
3. Amazon Web Services, Inc.
4. Anthropic PBC
5. AssemblyAI, Inc.
6. Clarifai, Inc.
7. Databricks, Inc.
8. DeepL SE
9. Dialpad, Inc.
10. Genie AI Ltd.
11. Google LLC by Alphabet Inc.
12. Infosys Limited
13. International Business Machines Corporation
14. Lighttricks
15. Markovate, Inc.
16. Meta Platforms, Inc.
17. Microsoft Corporation
18. Midjourney, Inc.
19. Mostly AI Solutions MP GmbH
20. OpenAI OpCo, LLC
21. Paige AI, Inc.
22. Persado, Inc.
23. Revery AI Inc.
24. Theai, Inc.