Artificial Intelligence (AI) in Games Market to Grow by USD 27.47 Billion from 2025 to 2029, Driven by AR and VR Game Adoption, Report on AI Impact on Market Trends - Technavio

NEW YORK, Feb. 14, 2025 /PRNewswire/ -- Report on how AI is redefining market landscape - The artificial intelligence (AI) in games market and it is set to grow by USD 27.47 billion from 2025 to 2029. However, the growth momentum will progressing at a CAGR of 42.3% during the forecast period, according to Technavio. The artificial intelligence (AI) in games market is fragmented, and the vendors are seeking strong partnerships with automotive, industrial, and commercial companies to compete in the market. Capcom Co. Ltd., Charisma Entertainment Ltd., COGNOSPHERE PTE. LTD., Electronic Arts Inc., Gameloft SE, Google LLC, Konami Group Corp., Latitude, Microsoft Corp., NetEase Inc., Nintendo Co., Ltd., NVIDIA Corp., PrometheanAI Inc., Side Effects Software Inc., Sony Group Corp., Take Two Interactive Software Inc., Tencent Holdings Ltd., Theai Inc., Ubisoft Entertainment SA, and Unity Technologies Inc. Are some of the major market participants -. To know about the vendor offerings - Request a sample report

Artificial Intelligence (AI) In Games Market 2025-2029: Scope

Technavio presents a detailed picture of the market by the way of study, synthesis, and summation of data from multiple sources. The artificial intelligence (ai) in games market report covers the following areas:

    --  Artificial Intelligence (AI) In Games Market Size
    --  Artificial Intelligence (AI) In Games Market Trends
    --  Artificial Intelligence (AI) In Games Market Industry Analysis
    --  Porter's Five Forces Analysis
    --  Customer Landscape

The artificial intelligence (ai) in games market is fragmented, and the degree of fragmentation will accelerate. The growing adoption of ar and vr games will offer immense growth opportunities. However, the Network latency in between games will hamper the market growth

Artificial Intelligence (AI) In Games Market 2025-2029: Drivers & Challenges

Artificial Intelligence (AI) is revolutionizing the gaming industry, particularly in the realm of Augmented Reality (AR) and Virtual Reality (VR). AI-generated content enhances these experiences by creating dynamic game settings based on player inputs and producing realistic 3D representations of gaming characters and environments. This innovation allows for more engaging and interactive gaming experiences, making AR and VR games increasingly popular among developers and users alike. By integrating AI technology into gaming, developers can offer more personalized and captivating experiences, setting a new standard for the industry.

The global AI market in games faces a significant challenge due to network latency. This delay between a player's action and the game server's response can negatively impact gameplay experiences, particularly in online multiplayer games. Latency is influenced by factors such as internet connection quality, player-server distance, network infrastructure, number of users, and server load. Reducing network latency is crucial for providing optimal gaming experiences and ensuring player satisfaction. Companies in this market must invest in improving network infrastructure and optimizing server performance to minimize latency and enhance the overall gaming experience.

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Segment Overview

This artificial intelligence (ai) in games market report extensively covers market segmentation by

    --  Type
        --  AI Enabled Platforms
        --  AI Enabled Games
    --  Technology
        --  Machine Learning
        --  Natural Language Processing
        --  Computer Vision
        --  Robotics
    --  Geography
        --  North America
        --  APAC
        --  Europe
        --  South America
        --  Middle East And Africa
    --  Game
        --  Action
        --  Adventure
        --  CasualRacing
        --  Simulation
        --  Sports
        --  Strategy
    --  AI Type
        --  Machine Learning
        --  Deep Learning
        --  Natural Language Processing
        --  Computer Vision

1.1 AI enabled platforms- Artificial Intelligence (AI) platforms are essential collections of tools that facilitate the creation, testing, implementation, and maintenance of deep learning and Machine Learning (ML) models in the gaming industry. AI technology enables machines to execute tasks beyond human capabilities, such as data analysis, prediction, and action-making, more efficiently and accurately. Developers utilize AI platforms to create advanced games, build environments, characters, and plots more rapidly. Additionally, AI's ability to analyze player behavior and data offers valuable insights into player preferences, leading to customized and engaging experiences. Leading companies like Microsoft and Google are at the forefront of this change, offering AI-driven platforms and tools that are revolutionizing game production. Furthermore, AI is enhancing game realism through AI-powered graphics and ray tracing, resulting in lifelike scenes. Real-time interactions between human gamers and AI-powered virtual characters are also made possible by these platforms. The increasing adoption of AI platforms in the gaming industry will drive the growth of this segment and market during the forecast period.

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Artificial Intelligence (AI) In Games Market 2025-2029: Key Highlights

    --  CAGR of the market during the forecast period 2025-2029
    --  Detailed information on factors that will assist artificial intelligence
        (ai) in games market growth during the next five years
    --  Estimation of the artificial intelligence (ai) in games market size and
        its contribution to the parent market
    --  Predictions on upcoming trends and changes in consumer behavior
    --  The growth of the artificial intelligence (ai) in games market across
        North America, APAC, Europe, South America, and Middle East and Africa
    --  Analysis of the market's competitive landscape and detailed information
        on vendors
    --  Comprehensive details of factors that will challenge the growth of
        artificial intelligence (ai) in games market vendors

     
              Artificial Intelligence (AI) In Games Market Scope



     Report Coverage                                               
     Details



     Base year                                                                                                                                                                                          2024



     Historic period                                               
     2017-2021



     Forecast period                                               
     2025-2029



     Growth momentum & CAGR                                                                                                                                                    Accelerate at a CAGR of 42.3%



     Market growth 2025-2029                                       
     USD 27474 million



     Market structure                                              
     Fragmented



     YoY growth 2022-2023 (%)                                                                                                                                                                          32.9



     Regional analysis                                             
     North America, APAC, Europe, South America, and Middle East and Africa


      Performing market contribution                                                                                                                                                     North America at 40%



     Key countries                                                 
     US, China, Canada, Japan, South Korea, UK, Germany, Brazil, France, and Italy



     Competitive landscape                                         
     Leading Vendors, Market Positioning of Vendors, Competitive Strategies, and Industry Risks



     Key companies profiled                                          Capcom Co. Ltd., Charisma Entertainment Ltd., COGNOSPHERE PTE. LTD., Electronic Arts Inc., Gameloft SE, Google LLC, Konami Group Corp.,
                                                                       Latitude, Microsoft Corp., NetEase Inc., Nintendo Co., Ltd., NVIDIA Corp., PrometheanAI Inc., Side Effects Software Inc., Sony Group
                                                                       Corp., Take Two Interactive Software Inc., Tencent Holdings Ltd., Theai Inc., Ubisoft Entertainment SA, and Unity Technologies Inc.



     Market dynamics                                                 Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID 19 impact and
                                                                       recovery analysis and future consumer dynamics, Market condition analysis for forecast period



     Customization purview                                         
     If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.



     Customization purview                                         
     If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

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Technavio is a leading global technology research and advisory company. Their research and analysis focuses on emerging market trends and provides actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions. With over 500 specialized analysts, Technavio's report library consists of more than 17,000 reports and counting, covering 800 technologies, spanning across 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio's comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios.

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