Artificial Intelligence (AI) In Teaching Global Market Report 2025

The artificial intelligence (AI) in teaching market size has grown exponentially in recent years. It will grow from $1.35 billion in 2024 to $1.71 billion in 2025 at a compound annual growth rate (CAGR) of 27%. The growth during the historic period can be attributed to the increasing demand for personalized learning, the ongoing digitization of education, supportive government initiatives, the surge in e-learning adoption due to the pandemic, and rising investments in educational technology.

The artificial intelligence (AI) in teaching market size is expected to see exponential growth in the next few years. It will grow to $4.42 billion in 2029 at a compound annual growth rate (CAGR) of 26.8%. The projected growth in the forecast period can be attributed to the expansion of cloud-based artificial intelligence, increased investments in edtech, growing use of learning analytics, the continued rise of online and remote learning, and improved access to quality education. Key trends expected during this period include the development of adaptive learning platforms, the integration of virtual and augmented reality, the rise of intelligent tutoring systems, advancements in natural language processing, and the use of predictive analytics.

The rising adoption of personalized learning is set to drive the growth of the artificial intelligence (AI) in education market. Personalized learning is an educational strategy that tailors instruction, content, pace, and learning environments to meet the unique needs, preferences, and abilities of each student. This often involves leveraging technology and data to deliver customized learning experiences. The growing popularity of personalized learning is attributed to its ability to cater to the individual needs, strengths, and learning styles of students. By providing tailored educational experiences, personalized learning enhances student engagement and improves learning outcomes. AI plays a significant role in personalized learning by analyzing student data and adapting lessons in real-time, offering customized content and feedback to ensure optimal learning progress. For example, in January 2024, the Department of Education, a U.S.-based government agency, reported that approximately 42% of primary and secondary teachers used generative artificial intelligence in November 2023, up from just 17% in April. This trend indicates that the increasing use of personalized learning is driving the growth of AI in education.

Key players in the AI in education market are focusing on developing innovative products such as generative AI tools to enhance personalized learning, provide real-time feedback, and adapt content to meet student needs. Generative AI refers to AI systems that create educational materials, including quizzes, explanations, and lessons tailored to individual learning requirements. For instance, in December 2023, Carnegie Learning, a U.S.-based provider of K-12 education technology, curriculum, and professional learning solutions, introduced LiveHint AI - the first generative AI math tutor designed to think such as a student. Unlike traditional tools that simply provide answers, LiveHint AI anticipates common mistakes and offers personalized, step-by-step feedback to deepen understanding. Powered by a large language model trained on 25 years of proprietary data and aligned with the ACT-R cognitive architecture, LiveHint AI mimics how students learn math.

In July 2024, Schoolnet India Limited, an Indian education technology company, acquired Genius Teacher for an undisclosed amount. This acquisition aims to strengthen Schoolnet's personalized and adaptive learning solutions by integrating Genius Teacher’s AI-powered platform, which uses gamification and real-time student engagement tools. This strategic move is expected to boost Schoolnet's position in the EdTech sector by expanding its content capabilities and providing students with a more immersive learning experience across India. Genius Teacher is a leading Indian EdTech company specializing in AI-driven, interest-based learning solutions tailored to K-12 students.

Major players in the artificial intelligence (ai) in teaching market are Google LLC, Microsoft Corporation, IBM Corporation, Alibaba Cloud Pvt Ltd, OpenAI Inc, Coursera Inc., Discovery Education Inc., Udacity Inc., Jenzabar Inc., Carnegie Learning Inc., DreamBox Learning Inc., Fishtree Inc., Anthology Inc., Riiid Inc., Third Space Learning, Blackboard Inc., Knewton Academy, Squirrel AI Learning, Cerego LLC, Querium Corporation, Cognii Inc., Fishtree Inc.

North America was the largest region in the artificial intelligence (AI) in teaching market in 2024. The regions covered in artificial Intelligence (AI) in teaching report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.

The countries covered in the artificial Intelligence (AI) in teaching market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Artificial intelligence (AI) in teaching refers to the application of AI technologies to improve and support the educational experience. These systems and tools analyze student data, adapt learning materials, deliver personalized feedback, and automate administrative tasks for educators. This enables the creation of tailored learning experiences, facilitates real-time progress tracking, and helps identify areas where students may need additional support. AI in teaching also assists educators by easing their workload and offering valuable insights into classroom dynamics.

The primary components of the AI in teaching market include services, hardware, and software. Services encompass consulting, integration, and maintenance solutions designed to help educational institutions successfully implement AI technologies. AI is deployed through both on-premises and cloud-based models and utilizes technologies such as computer vision, machine learning, and natural language processing (NLP). It is applied across various educational settings, including corporate training, K-12 education, and higher education.

The artificial intelligence (AI) in teaching market research report is one of a series of new reports that provides artificial intelligence (AI) in teaching market statistics, including artificial intelligence (AI) in teaching industry global market size, regional shares, competitors with an artificial intelligence (AI) in teaching market share, detailed artificial intelligence (AI) in teaching market segments, market trends and opportunities, and any further data you may need to thrive in the artificial intelligence (AI) in teaching industry. The artificial intelligence (AI) in teaching 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 teaching market consists of revenues earned by entities providing services such as personalized learning paths, automated grading and assessment, intelligent tutoring systems (its), virtual teaching assistants, content creation and curation, language translation and support, predictive analytics, and administrative task automation. The market value includes the value of related goods sold by the service provider or included within the service offering. The artificial Intelligence (AI) in teaching market includes sales of products such as assessment and grading tools, intelligent tutoring systems (ITS), AI-based content creation tools, and facial recognition systems. 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 and 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.

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