In a groundbreaking revelation, a new report from AltIndex.com predicts that the Generative AI (genAI) industry is poised to explode into a $100 billion juggernaut by 2026, showcasing a remarkable 65% growth in the next two years.
The report highlights the pivotal role played by OpenAI’s ChatGPT in transforming the global AI landscape. Notably, ChatGPT became the fastest-growing app in history, amassing 100 million users within a mere two months. This success catapulted artificial intelligence into the forefront of technological advancements, making it one of the most significant stories of 2023.
While ChatGPT stands out as a prominent example of generative artificial intelligence, the report acknowledges the widespread impact of other AI tools like Character.ai, DeepL, Quillbot, Midjourney, and Capcut. These tools collectively garnered billions of visits, underscoring the immense potential of the generative AI market.
Between 2020 and 2023, the generative AI market witnessed an explosive growth trajectory, surging from $5.7 billion to an astonishing $44.9 billion, marking a staggering 690% increase. The market’s annual growth rates consistently doubled over the past three years, fluctuating between an impressive 93% and 106%.
Although Statista predicts a slight slowdown in the annual growth rate in 2024, the market’s overall value is expected to surge by a substantial 48.4%, reaching $66.6 billion. The double-digit growth trend is projected to persist, with the generative AI industry hitting a monumental $100 billion value by 2026, signifying a colossal 65% increase in just two years. Further projections indicate that by 2030, this figure will more than double, surpassing $207 billion.
In terms of global comparison, the United States is anticipated to maintain its position as the world’s largest genAI market, projected to reach a value of $37.3 billion in 2026, marking a 60% increase from the current year. Following closely, the Chinese market is poised for even more substantial growth, with its valuation expected to surge by 72% to reach $14.7 billion in the next two years. The German generative AI market is forecasted to follow suit with a 60% two-year increase, reaching a valuation of $4.5 billion by 2026, according to the report.
