AI video analytics Market To witness Huge Expansion By 2030

AI video analytics Market Summary

The global AI video analytics market size was valued at USD 12,630.2 million in 2024 and is projected to reach USD 71,302.0 million by 2033, growing at a CAGR of 21.4% from 2025 to 2033. This strong growth trajectory highlights the increasing adoption of AI-powered video analytics solutions across multiple industries. The industry is driven by its ability to deliver data-driven insights that enhance operational planning and decision-making across sectors by analyzing patterns such as traffic flow, customer behavior, and peak usage times. These insights enable organizations to improve efficiency, reduce costs, and optimize resource allocation.

Organizations can replace assumptions with objective data, allowing more accurate and evidence-based strategies. This capability supports urban planning by improving traffic management and infrastructure development, retail layout optimization through better understanding of customer movement and engagement, and public transportation efficiency by identifying congestion points and peak demand periods. Security remains a primary driver for AI video analytics adoption, as the technology enables automated, real-time monitoring that significantly reduces dependence on human observation. Advanced features such as facial recognition, object tracking, and license plate reading assist in detecting unauthorized activities, preventing crime, and managing access control with higher precision. In addition, video analytics accelerates forensic investigations by quickly searching through recorded footage based on specific criteria, thereby improving response times and situational awareness. Scalability and integration capabilities enable organizations to extend security coverage across multiple sites and operational environments effectively.

Key Market Trends & Insights

• North America dominated the global AI video analytics market with the largest revenue share of 33.9% in 2024. The region’s leadership is supported by early adoption of AI technologies, high investments in smart infrastructure, and strong demand from sectors such as retail, transportation, and public safety.
• The AI video analytics market in the U.S. led the North America market and held the largest revenue share in 2024. This dominance is driven by widespread deployment of AI-enabled surveillance systems, advanced research capabilities, and supportive government initiatives focused on security and smart city development.
• By component, software led the market and held the largest revenue share of 43.8% in 2024. The prominence of software solutions is attributed to continuous innovation in AI algorithms, ease of deployment, and compatibility with existing video management systems.
• By analytics type, the gesture/action recognition segment held the dominant position in the market and accounted for the leading revenue share of 27.0% in 2024. This segment benefits from increasing use cases in retail analytics, workplace safety, healthcare monitoring, and smart surveillance applications.
• By end use, the retail and e-commerce segment is expected to grow at the fastest CAGR of 24.2% from 2025 to 2033. The rapid growth is driven by the need for personalized customer experiences, loss prevention, and data-driven merchandising strategies.

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Market Size & Forecast

• 2024 Market Size: USD 12,630.2 Million
• 2033 Projected Market Size: USD 71,302.0 Million
• CAGR (2025-2033): 21.4%
• North America: Largest Market in 2024

Key Companies & Market Share Insights

Key players operating in the AI video analytics market are undertaking various initiatives to strengthen their presence and increase the reach of their products and services. Strategies such as expansion activities and partnerships are key in propelling the market growth.

Key Players

• AllGoVision Technologies Pvt. Ltd
• Axis Communications AB.
• Bosch Sicherheitssysteme GmbH
• Clarifai, Inc.
• Gorilla Technology Group
• Honeywell International Inc.
• IntelliVision
• Motorola Solutions, Inc.
• PureTech Systems
• Videonetics Technology Pvt. Ltd.

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Conclusion

The AI video analytics market is poised for significant expansion as organizations increasingly rely on intelligent video insights to enhance security, operational efficiency, and strategic planning. Strong growth is supported by advancements in AI technologies, rising demand for real-time monitoring, and expanding applications across retail, transportation, and urban infrastructure. North America, led by the U.S., continues to play a key role due to technological maturity and high investment levels. With software solutions, gesture and action recognition, and retail adoption driving momentum, the market is expected to deliver scalable, data-centric solutions that transform decision-making and security practices through 2033.