PUBLISHER: The Business Research Company | PRODUCT CODE: 1713501
PUBLISHER: The Business Research Company | PRODUCT CODE: 1713501
AI in higher education involves the use of artificial intelligence technologies to enhance and improve various aspects of the educational experience. The goal is to create a more efficient, personalized, and effective learning environment, thereby improving student outcomes and making the work of educators and administrators more impactful.
The main components of AI in higher education include solutions and services. Solutions are software and tools designed to enhance teaching and learning experiences and can be deployed either on the cloud or on-premise. These solutions utilize technologies such as machine learning (ML), natural language processing (NLP), and computer vision. Applications include learning platforms and virtual facilitators, intelligent tutoring systems, smart content, and fraud and risk management.
The AI in higher education market research report is one of a series of new reports from The Business Research Company that provides AI in higher education market statistics, including AI in higher education industry global market size, regional shares, competitors with a AI in higher education market share, detailed AI in higher education market segments, market trends and opportunities, and any further data you may need to thrive in the AI in higher education industry. This AI in higher education market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The artificial intelligence (AI) in higher education market size has grown exponentially in recent years. It will grow from $2.24 billion in 2024 to $3.03 billion in 2025 at a compound annual growth rate (CAGR) of 35.1%. The growth in the historic period can be attributed to increasing demand for personalized learning, rising enrollment rates necessitated scalable solutions, the growth of online education spurred AI integration, growing emphasis on customized learning paths using AI, and increasing demand for AI in higher education.
The artificial intelligence (AI) in higher education market size is expected to see exponential growth in the next few years. It will grow to $10 billion in 2029 at a compound annual growth rate (CAGR) of 34.8%. The growth in the forecast period can be attributed to the demand for hybrid learning models, increasing the need for AI integration, institutions seeking AI solutions for enhanced student engagement, online learning demand, and a focus on lifelong learning will drive AI adoption. Major trends in the forecast period include technological advancement, innovations in AI technologies, increased investment in EdTech, expansion of AI-driven research tools, and advancement of smart content.
The expansion of online education is anticipated to drive the growth of AI in the higher education market. Online education involves delivering educational content and experiences through digital platforms, allowing students to learn remotely via the internet. This mode of learning is gaining popularity due to its flexibility, convenience, and accessibility, enabling students to study from any location and at any time, thereby accommodating various schedules and needs. AI contributes to online education by personalizing learning experiences, automating administrative tasks, and offering intelligent support systems, which enhance engagement and effectiveness for both students and educators. For example, in January 2022, the World Economic Forum reported that Coursera saw a three-fold increase in new course registrations, reaching 71 million in 2020 and 92 million in 2021, due to the shift to remote work during the pandemic. Consequently, the growth of online education is fueling the advancement of AI in the higher education market.
Leading companies in the AI higher education market are developing advanced AI-powered tools to improve the educational experience. These tools aim to personalize learning, enhance engagement, automate administrative functions, and offer timely support, thus boosting overall educational effectiveness and efficiency. For instance, in July 2024, Pearson Plc, a UK-based learning company, introduced a generative AI-powered tool for instructors. This tool, integrated with Pearson's MyLab and Mastering platforms, helps educators create personalized assignments more efficiently and aims to improve teaching methods by streamlining assignment creation.
In November 2023, Research Solutions, Inc., a US-based cloud technology company, acquired Scite.ai for an undisclosed amount. This acquisition aims to enhance Research Solutions' offerings by integrating Scite's AI-powered search platform, which is designed to accelerate research for R&D-driven organizations. Scite.ai specializes in developing a research tool that utilizes artificial intelligence to assist researchers in analyzing scientific papers.
Major companies operating in the artificial intelligence (AI) in higher education market are Amazon.com Inc., Google LLC, Microsoft Corporation, Intel Corporation, International Business Machines Corporation, Oracle Corporation, Cognizant Technology Solutions India Private Limited, Adobe Inc., Pearson Plc, Century Communities Tech Limited, John Wiley and Sons Inc., 2U Inc., Coursera Inc., Instructure Holdings Inc., D2L Inc., Kaltura Inc., Jenzabar Inc., Carnegie Learning Inc., Brainly Inc., Quantum Adaptive Learning LLC, Knewton Inc., BridgeU Ltd., Fishtree Inc., Querium Corporation, Cognii Inc
North America was the largest region in the AI in higher education market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the artificial intelligence (AI) in higher education market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the artificial intelligence (AI) in higher education market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The AI in higher education market consists of revenues earned by entities by providing services such as automated grading and assessment, predictive analytics, content creation and curation and language translation. The market value includes the value of related goods sold by the service provider or included within the service offering. The AI in higher education market also includes sales of adaptive learning systems, virtual assistants, learning management systems and virtual reality (VR) and augmented reality (AR) educational tools. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Artificial Intelligence (AI) In Higher Education Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on artificial intelligence (ai) in higher education market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for artificial intelligence (ai) in higher education ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The artificial intelligence (ai) in higher education market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.