AI in Education Market Surges to $5.82 billion by 2030 - Dominated by Microsoft (US), IBM (US), Google (US)

Delray Beach, FL, Aug. 13, 2025 (GLOBE NEWSWIRE) -- According to MarketsandMarkets™, the global AI in Education Market size is anticipated to grow at a CAGR of 17.5% during the forecast period, from USD 2.21 billion in 2024 to USD 5.82 billion by 2030.

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AI in Education Market Dynamics

Drivers

Increase in demand for personalized learning experiences
Rise in adoption of e-learning platforms and digital education tools

Restraints

Reluctance among institutions to replace traditional teaching/ learning methods

Opportunities

Enhanced customization of curriculum to individual student needs
Rise in demand for AI-powered assessment systems and real-time feedback

List of Top Companies in AI in Education Market

Microsoft (US)
IBM (US)
Google (US)
Alibaba Cloud (China)
AWS (US)
Adobe (US)
Pearson (UK)
Baidu (China)
OpenAI (US)
Duolingo (US) and many more…

These players not only have a comprehensive and diverse product portfolio but also a strong geographic presence in the AI in education market. They can focus on developing innovative financial technologies and offerings due to the emergence of new end-user areas within the financial sector. These companies offer various product types and operate globally. They rely on their R&D capabilities and diversified service portfolios to increase market share. These organizations focus on product launches, collaborations, acquisitions, contracts, and partnerships to strengthen their footprint through product innovations and extend their business reach in the finance domain.

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Increasing reliance on data-driven insights to enhance academic outcomes and providing real-time feedback, ultimately fostering a more efficient and effective educational environment for students and educators, which is a major factor driving the growth of global AI in education market. Moreover, rising prevalence of mobile and smart devices, facilitating ubiquitous learning. This technology allows for personalized learning experiences, real-time feedback, and adaptive learning paths, enhancing student engagement and accommodating diverse learning styles.

AI in education tools offer a variety of advanced features designed to transform the learning experience. These tools leverage sophisticated algorithms to personalize educational content, automate administrative tasks, and provide real-time insights into student performance. Capabilities like adaptive learning platforms, intelligent tutoring systems, and AI-driven content creation empower educators to deliver tailored instruction and support. Furthermore, tools for automating grading, tracking progress, and providing predictive analytics help educators and institutions make informed decisions. By enhancing engagement, optimizing resource allocation, and fostering more effective learning environments, AI in education tools play a pivotal role in addressing the diverse needs of modern learners. According to leading vendors, AI in education refers to the deployment of underlying technologies such as discriminative machine learning, deep learning, NLP and generative AI to enhance the efficiency and efficacy of pedagogy and learning experience. It involves implementation of AI-based software across educational institutions to bolster and streamline administrative and operational processes and systems. From an academic perspective, this involves incorporation of AI-based platforms that can help tailor personalized learning modules and experiences to assist educational instructors to gauge, track and efficiently improve learning outcomes.

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Adaptive learning platforms represent a significant advancement in the integration of AI in education. By enhancing engagement, improving assessment methods, and incorporating advanced technologies, these platforms dynamically adjust content in real-time based on student performance. Advanced technologies, such as generative and conversational AI, also play a significant role in enhancing adaptive learning platforms. Generative AI can create customized learning materials tailored to each student’s pace and learning style, further personalizing their educational journey. Conversational AI tools, such as chatbots, provide instant feedback and assistance, allowing students to receive immediate support when they encounter challenges, enhancing their learning experience.

In application, the institutional segment leads the AI in education market to identify trends and predict enrollment patterns, making it easier for institutions to tailor their strategies effectively. AI enhances operational efficiency by automating routine tasks, allowing educators to focus on teaching and student engagement. Additionally, data-driven insights from AI support strategic decision-making in resource allocation and financial planning, fostering improved educational outcomes and institutional sustainability.

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