The global AI in education market is expected to reach $57,2-billion by 2033 – a CAGR of 25,9% from 2026 to 2033 – according to a new report by Grand View Research.
Digitalisation and technological advancement are innovating industrial sectors such as healthcare, manufacturing, education, and banking and finance.
The education sector is no exception when it comes to the impact of AI integration on growth. Rapid implementation of innovative technologies such as AI in education is developing the teaching and learning experience.
The Covid-19 pandemic severely impacted industries across the world. However, the market for AI in education witnessed a significant rise in the demand for innovative AI-based education solutions during the pandemic.
Advancements such as chatbots and virtual facilitators make it reliable for the industry to provide solutions and services to students, teachers, and tutors.
In July 2021, Intel, for example, collaborated with the Central Board of Secondary Education (CBSE) in India to launch an AI-based learning platform named AI Students Community (AISC). The collaboration is to integrate students from both non-CBSE and CBSE schools to learn from Intel’s AI-certified experts.
Highlights from the latest report include:
- The market is experiencing strong growth in AI-driven workforce reskilling and lifelong learning platforms as organisations increasingly prioritise continuous education and digital skill development.
- The rising adoption of generative AI-powered personalised learning platforms is transforming the global education ecosystem by enabling adaptive, data-driven, and student-centric learning experiences.
- The industry has moderate concentration with major technology companies, cloud service providers, edtech platforms, and AI solution vendors competing in personalised learning, intelligent tutoring systems, learning analytics, and digital classroom management applications.
- The solutions segment dominated the market in 2025, accounting for over 70% of the global revenue share due to the increasing deployment of AI-powered educational technologies across schools, universities, and enterprise learning environments.
- The services segment is projected to experience substantial growth during the forecast period, primarily due to increasing demand for AI consulting, deployment, integration, training, and managed services within educational institutions and corporate learning environments.
- The cloud segment accounted for the largest share of market revenue in 2025, primarily due to increased demand for scalable, cost-efficient, and accessible AI-powered learning solutions in educational institutions and corporate training environments.
- The machine learning segment accounted for the largest revenue share in 2025, primarily due to the widespread adoption of personalised learning platforms, predictive analytics, intelligent assessment systems, and adaptive learning technologies by educational institutions.
- The North American AI in education market dominated with a revenue share of over 37,5% in 2025. This leadership is primarily attributed to substantial investments in digital learning infrastructure, widespread adoption of AI-powered learning platforms, and the increasing integration of generative AI technologies within educational institutions.