Less than two years after ChatGPT’s release, which brought the AI industry into the global spotlight, generative AI has emerged as one of the fastest-growing segments in the field. With millions of tech-savvy users worldwide adopting it as an everyday tool, the industry is set for significant growth.
According to Stocklytics.com, generative AI is projected to account for over 40% of the total AI market by 2030, doubling its current share.
Generative AI Industry Set for Tenfold Growth by 2030
Generative AI remains a hot topic in the tech world. Following its breakout year in 2023, interest has surged, as evidenced by Google search trends hitting peak interest levels. This rising interest, coupled with a growing global user base, has driven substantial venture capital investment into the market. Major tech players like Microsoft, Google, OpenAI, Baidu, and Tencent are heavily investing in generative AI research and development, driving further market expansion.
The generative AI market has grown by 554% over the past four years, reaching a value of $36 billion in 2024, representing nearly 20% of the total AI industry. According to Statista Market Forecast, this industry is expected to grow tenfold by 2030, with its market size soaring to $356 billion. This growth will nearly double generative AI’s share of the AI market to over 40%.
The number of users of generative AI tools will also rise dramatically. While ChatGPT remains the most popular example, other tools like Character.ai, DeepL, Quillbot, Midjourney, and Capcut are contributing to the industry’s growth. Statista projects that nearly 315 million people will use AI tools in 2024, up by 60 million from the previous year, with generative AI playing a major role. By 2030, the user base is expected to reach around 730 million.
China Leading the Charge in Generative AI Growth
While the United States will remain the largest market for generative AI by 2030, China is set to outpace it in terms of growth. The US market is expected to grow by 891% over the next six years, with its value increasing from $11.3 billion in 2024 to $115 billion in 2030. However, China’s market is projected to grow by 903%, reaching a value of $31.1 billion by the decade’s end.
China’s rapid growth can be attributed to strong government support, vast data resources, significant investments from tech giants, a skilled workforce, and a tech-savvy population. These factors, along with fierce competition and swift AI integration across industries, are driving this expansion. Other key markets, such as the UK, Germany, and Japan, will also see substantial growth, with market valuations increasing by around 900% by 2030. All five major markets are expected to surpass the global generative AI industry growth rate of 888% during this period.
