(MENAFN- GlobeNewsWire - Nasdaq) The AI in Education market is set to grow rapidly, driven by AI-powered adaptive learning, intelligent content, and personalized education systems transforming classrooms and corporate training.

Austin, Oct. 09, 2025 (GLOBE NEWSWIRE) -- The AI in Education Market size was valued at USD 4.26 billion in 2024 and is expected to reach USD 32.76 billion by 2032 and grow at a CAGR of 29.07% over 2025-2032.

Globally, teaching and learning are changing due to the quick adoption of artificial intelligence (AI)-based learning solutions, virtual facilitators, intelligent material, and tailored educational systems, further augmenting the market growth. These innovations improve efficiency, accessibility, and engagement.

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The U.S. AI in Education Market size was USD 3.16 billion in 2024 and is expected to reach USD 24.20 billion by 2032, growing at a CAGR of 29% during 2025–2032.

AI education offers customized feedback, adaptive content, real-time performance monitoring, and personalized learning. By examining individual learning habits, artificial intelligence (AI) can help instructors identify gaps, improve engagement, and make sure every student is learning as much as possible. This can help kids do better academically, decrease the number of students quitting school, and boost student satisfaction. With the increasing usage of AI-powered assessment tools and analytics, learning solutions in methodology are guaranteed to grow linearly, making customized education accessible and scalable through K–12 schools, higher education, and international online learning platforms globally.

Key Players:

• Google
• Microsoft
• Duolingo
• BYJU'S
• Pearson
• Khan Academy
• Coursera
• Squirrel AI
• Carnegie Learning
• Cognii
• Nuance Communications
• Blippar
• Century Tech
• Querium
• HowNow
• KidSense
• Practically
• Docebo
• MagicSchool AI
• IONI

AI in Education Market Report Scope:

Report Attributes	Details
Market Size in 2024	USD 4.26 Billion
Market Size by 2032	USD 32.76 Billion
CAGR	CAGR of 29.07% From 2025 to 2032
Base Year	2024
Forecast Period	2025-2032
Historical Data	2021-2023
Report Scope & Coverage	Market Size, Segments Analysis, Competitive Landscape, Regional Analysis, DROC & SWOT Analysis, Forecast Outlook
Key Segments	. By Component (Solutions and Services) . By Application (Learning Platform & Virtual Facilitators, Intelligent Tutoring System , Smart Content, Fraud & Risk Management and Others) . By Technology (Natural Language Processing and Machine Learning) . By End-User (K-12 Education, Higher Education and Corporate Training & Learning)
Customization Scope	Available upon request
Pricing	Available upon request

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Segmentation Analysis:

By Component, Solutions Segment Led the Market in 2024

In 2024, Solutions segment accounted to 65.20% of the AI in Education Market share due to the comprehensive learning platforms that provide adaptive content, analytics tools, and automated assessments. The services segment is anticipated to register the highest CAGR of 29.22% during 2025–2032. This growth is driven by growing demand for AI consulting, integration, training and maintenance support.

By Application, Learning Platform & Virtual Facilitators Segment Dominated the Market in 2024

The Learning Platform & Virtual Facilitators segment led the market in 2024 and garnered a 44.23% share of revenue. The growth is propelling as provide facilities for interactive, adaptive, personalized learning experiences, ensuring effective engagement and analyzing student performance. Smart Content segment is predicted to grow at the highest CAGR of 31.26% during the forecast period of 2025-2032 owing to the rising demand for AI-powered content creation, smart learning materials, and personalized resources globally.

By Technology, Market is Led by Machine Learning Segment in 2024

In 2024, the Machine Learning segment accounted for the largest revenue share at 59.80% as it facilitates adaptive, predictive analytics, and performance tracking as it customizes students learning paths and boosts curriculum delivery to visual learning experience. The Natural Language Processing segment is anticipated to be the fastest growing with a CAGR of 28.81% during 2025–2032 due to widespread implementation of personalized learning, assessment, and knowledge management applications that leverage NLP becoming the fastest-growing AI technology in education.

By End-User, K-12 Education Segment was the Dominating Segment in 2024

K-12 Education segment dominated the AI in Education Market with a 40.60% revenue share in 2024 as early adoption strategies are being improved by schools using Squirrel AI to encourage long-term familiarity. Corporate Training & Learning segment is expected to expand at the fastest CAGR of 29.50% during 2025-2032 due to the rapid expansion of demand for new skills, debriefs, and consistent career development.

North America Held the Dominant Market Share of 38% in 2024; Asia Pacific is Projected to Grow with the Fastest CAGR of 31.33% During 202 5 -2032

In 2024, North America led the AI in Education Market, holding a revenue share of 38.00%. This dominance is fueled by extensive adoption of advanced educational technology solutions, a well-established IT infrastructure, and strong investments in AI-driven learning platforms. Asia Pacific is expected to witness the fastest growth with a CAGR of 31.33% during 2025–2032. The growth is primarily driven by rapid digitalization, support from government towards smart digital education and rising investment in the edtech space.

Recent Developments:

• In August 2024, Khan Academy's AI-powered teaching assistant, Khanmigo, continues to provide personalized tutoring and support to students across various subjects and grade levels.
• In January 2024, Squirrel AI launched its flagship technology, the Large Adaptive Model (LAM), transforming personalized learning by integrating adaptive intelligence and multimodal agents.

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Exclusive Sections of the Report (The USPs):

• GENERATIVE AI ADOPTION IN K–12 EDUCATION – helps you understand adoption rates by school type, regional trends, and key players implementing AI solutions for enhanced learning.
• STUDENT USAGE TRENDS – helps you track AI usage by age group, learning platforms, and frequency/purpose of tool usage to uncover engagement patterns and platform effectiveness.
• IMPACT ON LEARNING OUTCOMES – helps you evaluate improvements in academic performance, retention, engagement, and case studies demonstrating AI-enhanced learning benefits.
• AI TOOL FUNCTIONALITY INSIGHTS – helps you analyze applications such as grading & assessment automation, personalized learning, predictive analytics, and virtual tutoring for optimized educational delivery.
• FUNDING & INVESTMENT METRICS – helps you assess global investment trends, public vs private funding distribution, and key strategic partnerships driving AI adoption in education.
• MARKET COMPETITION & STRATEGIC POSITIONING – helps you gauge the competitive landscape, highlighting leading players, growth projections, product offerings, and emerging opportunities in AI-enabled education.

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