Consumer AI Market is Expected to Reach 674.49 Billion by 2030

The growing investment in artificial intelligence (AI) technology, Integration of AI in consumer electronics, and active participation of major players in the AI industry drives the growth of the consumer AI market.

According to the Next Move Strategy Consulting, the Consumer AI Market size was valued USD 92.24 billion in 2024, and it is projected to reach USD 674.49 billion by 2030, with a CAGR of 28.3% from 2025-2030.

The expansion of activities carried out by prominent market participants such as Amazon and OpenAI is driving the expansion of the market through the development of increasingly advanced AI powered solutions that enhance user experience and ease everyday tasks. With the expansion in advanced technologies such as natural language processing and predictive analytics, applications and solutions that keep driving the expansion and evolution of the market.

Moreover, the active participation of prominent players such as Amazon and OpenAI in developing AI tools further propels the consumer AI market demand by creating sophisticated AI-powered solutions that increase user experience and simplify day-to-day activities. For example, in January 2025, OpenAI launched the o3 mini to enhance the effectiveness and usability of AI for STEM applications. As more companies invest in advanced technologies such as natural language processing and predictive analytics to create more intelligent assistants, it is expected to further drive the market's growth and evolution.

Also, artificial intelligence application in consumer electronics is accelerating consumer AI market growth as firms integrate sophisticated automation into daily devices. For instance, Samsung launched Vision AI in January 2025 to enhance picture quality and create intelligent companions. These innovations show how AI is changing consumer lives and interactions with technology. 

However, data privacy concerns is the major factor restraining the growth of the consumer AI market. The lack of transparency of AI decision making processes is a major concern is leading to numerous regulatory policies, restraining the optimum utilization of AI. As AI becomes a major part in our daily lives, there is a pressing need for greater accountability in how AI systems make decisions and interact with humans.

On the contrary, integration of artificial intelligence powered voice assistants offers future growth prospects to the market due to uptake across a huge number of consumer devices ranging from smart phones and smart speakers to home automation systems and wearables. For example, in February 2025 Amazon announced to launch generative AI powered version of its Alexa voice assistant to provide a more advanced and intuitive user experience. This technology enhances convenience and opens up new possibilities for AI to become deeply ingrained in everyday life, fueling additional market growth. As AI integrates with more number of devices and technologies, it is anticipated that to create ample growth opportunities for the expansion of the market in the coming years.

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The consumer AI market comprises various industry key players such as IBM Corporation, Alphabet Inc, Meta Platforms Inc, Amazon.com, inc., Open AI, Microsoft Corporation, Nvidia Corporation, Mistral AI, Midjourney, Oracle Inc, Abeja, LeapMind, JIITAK Inc., Newwave Solutions JSC, Preferred Networks Inc., Cutout Pro, KAPWING, Lexica, HotPot, PIXAI, and others. 

For instance, in January 2025, Google launched Gemini 2.0 flash thinking experimental an AI reasoning model. Through this launch, the company aims to enhance the capabilities of AI in handling complex and multimodal tasks, such as real-time decision-making and information integration from various sources.

Moreover, in December 2024, Amazon introduced Amazon Nova, a next-generation foundation model. The foundation models are aimed to enhance the effectiveness and precision of AI model building for AI-driven applications.

Also, in October 2024, Meta launched generative AI video tools, offering new capabilities for its social media platforms. The launch is expected to enable produce high quality and engaging video content with unprecedented ease and speed.

Key Insights from the Consumer AI Market Report:

• The information related to key drivers, restraints, and opportunities and their impact on the consumer AI market is provided in the report.

• The value chain analysis in the market study provides a clear picture of the roles of each stakeholder.

• The report provides an analysis of the consumer AI market share and competitive landscape of key players in the industry.