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Market Analysis
The global digital human (AI) avatars market will touch USD 67.54 billion at a 31.9% CAGR by 2032, as per the latest Market Research Future report.
Drivers
Increasing Adoption in BFSI to Boost Market Growth
The increasing adoption of digital human avatars in the BFSI sector will boost market growth over the forecast period. The BFSI sector primarily uses digital human avatars in the customer relationship management service. They aid BFSI institutions in solving customer issues in real time, providing seamless, personalized, and efficient customer service. These are used for promotion and advertising of their services too. The digitization and automation of BFSI sector is pushing the adoption of such avatars in this sector.
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List of Key Players Covered in the Digital Human (AI Avatars) Market Report:
Key players profiled in the global digital human (AI avatars) market report include,
Opportunities
Incorporation of Virtual Reality and Augmented Reality to offer Robust Opportunities
The incorporation of advanced technologies such as VR and AR will offer robust opportunities for the digital human (AI avatars) market in the forecast period. The scenario has allowed marketers to provide more personalized experiences via developing highly interactive and realistic avatars. The constant technological developments are favoring market growth.
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Restraints and Challenges
High Capital Investments to act as Market Restraints
The high capital investments, rising ethical concerns, lack of comprehensive regulations, and the incompatibility with present hardware systems may act as market restraints over the forecast period.
Market Segmentation
The global digital human (AI avatars) market is bifurcated based on industry vertical, application, technology and product type.
By product type, interactive digital human avatar will lead the market over the forecast period.
By technology, AI will domineer the market over the forecast period.
By application, virtual agents will spearhead the market over the forecast period.
By industry vertical, entertainment will spur the market over the forecast period.
COVID-19 Analysis
During the COVID-19 epidemic, distance learning and remote work grew exponentially. This significantly contributed towards the creation of effective, engaging, and interactive learning environments and virtual work thus contributing to the growth of human digital avatars. The gaming industry likewise also had favorable growth during the epidemic that further led to the creation of the digital human avatar.
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Regional Analysis
North America to Command Digital Human (AI Avatars) Market
North America will command the market in the forecast period. Various factors such as increased activity by top market players like product expansions and new releases, rising popularity of VR and AR that allows users in interacting with the digital environment in an immersive and realistic manner, preference for customized digital avatars, the region being a hub to key technology companies & research institutions, strong gaming & entertainment industry and the high level of internet penetration & digital infrastructure are adding to the growth of the market in the region.
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