The major factors leading to the growth of the AI in education market is the rising requirement for AI-supported personalized education solutions. Personalized solutions provide better understanding of students as well as their educational background, academic goals, and interests. This further aids in the creation of a customized educational experience for learners. Students are able to design their courses as per their needs and obtain feedback about their progress during the course.

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According to a P&S Intelligence report, the global artificial intelligence (AI) in education market is predicted to generate a revenue of $25.7 billion by 2030, increasing from $1.1 billion in 2019, and is projected to witness a 32.9% CAGR during the forecast period (2020–2030). The major reasons for the growth of the market are increasing requirement for personalized education on the basis of AI and rising demand for automating administrative tasks.

As the focus on e-learning and digitization in growing, conversational learning is becoming an important aspect of education systems around the globe. Under this concept, content is presented in a two-way conversation. The teaching process is made more interesting, customized, and interactive for students. Chatbots also offer relevant content, thereby resulting in successful completion of the course.

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When application is taken into consideration, the AI in education market is categorized into intelligent tutoring systems, content delivery systems, virtual facilitators, and learning platforms. Among all these, the learning platforms category dominated the market in 2019, which can be owing to the rising preference for distance and online education courses by students and working professionals, growing focus on integrating next-generation technologies in the education sector, and emerging trend of self-learning through online platforms.