AI Video Analytics Market Report Scope & Overview:

AI Video Analytics Market was valued at USD 8.30 billion in 2025 and is expected to reach USD 64.48 billion by 2035, growing at a CAGR of 22.85% from 2026-2035.

The AI Video Analytics Market is growing due to increasing demand for intelligent surveillance, real-time threat detection, and automated monitoring across public and private sectors. Rising adoption in smart cities, transportation, retail, and industrial applications, combined with integration of AI, IoT, and cloud platforms, enhances operational efficiency, safety, and decision-making, driving rapid global market expansion.

For instance, NVIDIA’s Metropolis platform processes over 10,000 video streams daily for retail loss prevention, achieving 95% accuracy in anomaly detection via edge AI, while AWS Rekognition serves more than 50,000 customers in transportation, analyzing billions of frames for vehicle counting and license plate recognition.

AI Video Analytics Market Size and Forecast

• AI Video Analytics Market Size in 2025: USD 8.30 Billion

• AI Video Analytics Market Size by 2035: USD 64.48 Billion

• CAGR: 22.85% from 2026 to 2035

• Base Year: 2025

• Forecast Period: 2026–2035

• Historical Data: 2022–2024

AI Video Analytics Market Trends

• Rising demand for real-time surveillance, security, and operational monitoring is driving the AI video analytics market.

• Growing adoption across retail, transportation, BFSI, and smart city applications is boosting market growth.

• Expansion of cloud-based and edge AI solutions is enhancing scalability, speed, and processing efficiency.

• Increasing focus on facial recognition, object detection, and behavioral analytics is shaping adoption trends.

• Advancements in deep learning, computer vision, and video management systems are improving accuracy and insights.

• Rising concerns about public safety, crime prevention, and operational optimization are fueling market demand.

• Collaborations between AI solution providers, enterprises, and government agencies are accelerating innovation and global deployment.

U.S. AI Video Analytics Market was valued at USD 2.23 billion in 2025 and is expected to reach USD 16.79 billion by 2035, growing at a CAGR of 22.39% from 2026-2035.

The U.S. AI Video Analytics Market is growing due to widespread adoption of smart surveillance, advanced security solutions, AI-powered analytics, and government initiatives supporting public safety, traffic monitoring, and infrastructure efficiency across commercial, industrial, and urban sectors.

For example, the U.S. DHS SMART Grant program has funded over USD 1 billion in AI surveillance across more than 100 cities, combining video analytics with IoT sensors to enable predictive policing and enhance public safety initiatives.

AI Video Analytics Market Growth Drivers:

• Increasing demand for intelligent surveillance and security solutions across public and private sectors is accelerating AI video analytics adoption worldwide

The growing need for real-time monitoring, threat detection, and crime prevention drives the adoption of AI video analytics in government, transportation, and corporate sectors. Advanced machine learning algorithms allow automated object detection, facial recognition, and behavioral analysis, improving security efficiency. Increasing urbanization, smart city initiatives, and large-scale events create a requirement for continuous surveillance. Additionally, integration with IoT devices, cloud infrastructure, and video management systems enhances monitoring capabilities. Organizations deploy AI-driven analytics to reduce human dependency, improve response time, and strengthen safety measures across commercial, industrial, and public environments globally.

For example, Microsoft Azure Video Indexer serves over 10,000 retail stores with 85% theft prediction accuracy through behavioral analysis, while Google Cloud Vision API optimizes traffic flow by 25% for more than 200 smart municipalities using real-time people counting.

AI Video Analytics Market Restraints:

• Data privacy concerns and regulatory compliance requirements hinder large-scale implementation of AI video analytics

AI video analytics relies on capturing, storing, and analyzing large volumes of personal and sensitive visual data. Concerns around surveillance, misuse of data, and unauthorized access create resistance among organizations and consumers. Strict regulations, such as GDPR and local privacy laws, require compliance with storage, usage, and sharing policies. Non-compliance risks significant penalties and reputational damage. Ensuring secure transmission, anonymization, and ethical AI usage increases operational complexity. These legal and privacy concerns limit adoption in sectors like healthcare, BFSI, and government projects, slowing market expansion despite technological advantages and security needs.

AI Video Analytics Market Opportunities:

• Integration of AI video analytics with smart city initiatives presents significant potential for urban surveillance and public safety enhancement

Rapid urbanization is driving the development of smart cities equipped with IoT, sensors, and connected infrastructure. AI video analytics can be integrated into traffic monitoring, crowd management, and public space surveillance to enhance safety and efficiency. Governments are investing in city-wide surveillance systems capable of real-time threat detection and emergency response. The adoption of cloud platforms, edge computing, and AI-enabled video management systems creates scalable solutions for municipalities. This convergence of technology and urban planning opens vast opportunities for vendors and solution providers to deploy AI video analytics for sustainable and safer cities.

For instance, Singapore’s Smart Nation platform deploys AI-IoT cameras across 80% of public housing, providing automated alerts and reducing incident response times by 40% through behavioral analysis, showcasing the transformative impact of AI-integrated smart city solutions.

AI Video Analytics Market Segment Highlights

• By Application, Security and Surveillance dominated with 35% share in 2025; Traffic and Transportation Management fastest growing (CAGR).

• By Analytics Type, Video Content Analytics dominated with 31% share in 2025; Crowd and Behavior Detection fastest growing (CAGR).

• By End-User, Government & Public Safety dominated with 29% share in 2025; Retail & E-commerce fastest growing (CAGR).

• By Component, Software dominated with 51% share in 2025; Services fastest growing (CAGR).

• By Deployment Mode, Cloud dominated with 59% share in 2025; Cloud fastest growing (CAGR).

AI Video Analytics Market Segment Analysis

By Application, Security and Surveillance dominates the Market, Traffic and Transportation Management is expected to grow fastest

Security and Surveillance segment dominated the AI Video Analytics Market in 2025 due to high demand for real-time monitoring, threat detection, and automated incident response in public and private sectors. Integration with IoT devices, cloud platforms, and advanced analytics enables efficient crime prevention, enhancing safety in urban areas, corporate buildings, and critical infrastructure worldwide.

Traffic and Transportation Management segment is expected to grow at the fastest CAGR from 2026–2035 as governments deploy AI-driven traffic monitoring, congestion management, and smart signaling systems. AI analytics improves road safety, monitors public transport, optimizes traffic flow, and supports urban mobility planning, driving adoption in smart cities and transportation infrastructure projects globally.

By Analytics Type, Video Content Analytics dominates the Market, Crowd and Behavior Detection is expected to grow fastest

Video Content Analytics segment dominated the AI Video Analytics Market in 2025 due to its ability to extract actionable insights from video data. Retail, transportation, and security sectors utilize it to monitor activities, detect anomalies, and optimize operations efficiently. High adoption of automated surveillance platforms and analytics tools drives consistent market demand worldwide.

Crowd and Behavior Detection segment is expected to grow at the fastest CAGR from 2026–2035 as public spaces, events, and transport hubs require AI to monitor crowd density and detect unusual behavior. Investments in smart city projects, automated threat detection, and urban safety initiatives accelerate the deployment of these solutions globally across commercial and government infrastructures.

By End-User, Government & Public Safety dominates the AI Video Analytics Market, Retail & E-commerce is expected to grow fastest

Government & Public Safety segment dominated the AI Video Analytics Market in 2025 as agencies extensively use AI for crime prevention, surveillance, traffic monitoring, and emergency response. Centralized control centers, sensor integration, and predictive policing tools enhance efficiency and public safety, driving high adoption across regions while supporting law enforcement and disaster management initiatives worldwide.

Retail & E-commerce segment is expected to grow at the fastest CAGR from 2026–2035 as AI video analytics helps track customer behavior, optimize store layouts, prevent theft, and improve engagement. AI-driven insights enable data-backed decisions, enhance operational efficiency, and improve both in-store and online shopping experiences, boosting adoption in retail and e-commerce sectors.

By Component, Software dominates the AI Video Analytics Market, Services are expected to grow fastest

Software segment dominated the AI Video Analytics Market in 2025 due to high demand for advanced analytics platforms, machine learning algorithms, and real-time video processing solutions. Industries such as security, retail, transportation, and energy rely on AI software for monitoring, object detection, predictive insights, and reporting, making it the primary revenue contributor globally.

Services segment is expected to grow at the fastest CAGR from 2026–2035 as organizations increasingly require consulting, integration, training, and maintenance for AI video analytics. Rising system complexity, evolving regulations, and demand for tailored AI solutions drive adoption of professional services across security, industrial, and commercial sectors worldwide, supporting long-term deployments.

By Deployment Mode, Cloud dominates the AI Video Analytics Market and is expected to grow fastest.

Cloud segment dominated the AI Video Analytics Market in 2025 due to its ability to provide scalable, flexible, and cost-effective infrastructure for video storage, processing, and analytics. Organizations prefer cloud platforms for centralized management, remote monitoring, and seamless integration with AI and IoT devices. The segment is expected to grow at the fastest CAGR from 2026–2035 as increasing adoption of AI-driven analytics, smart city initiatives, and real-time surveillance solutions drives demand for cloud-based, scalable, and easily deployable video analytics services globally.

AI Video Analytics Market Regional Analysis

North America AI Video Analytics Market Insights

North America dominated the AI Video Analytics Market with the highest revenue share of about 38% in 2025 due to the presence of advanced digital infrastructure, early adoption of AI technologies, and significant investments in smart surveillance and security solutions. Strong government support, robust public safety initiatives, and high adoption across retail, transportation, and industrial sectors further accelerate market growth, making North America the largest revenue contributor in the global AI Video Analytics Market during 2025.

Asia Pacific AI Video Analytics Market Insights

Asia Pacific is expected to grow at the fastest CAGR of about 24.20% from 2026–2035 as countries invest heavily in smart city projects, urban surveillance, and AI-driven traffic management systems. Rising demand for public safety, industrial automation, and retail analytics, coupled with growing infrastructure development and technology adoption in emerging economies, drives rapid market expansion. Increasing awareness, supportive policies, and collaborations between technology providers and governments accelerate AI Video Analytics deployment across the region.

Europe AI Video Analytics Market Insights

Europe AI Video Analytics Market in 2025 is driven by increasing investments in smart city projects, public safety initiatives, and advanced surveillance infrastructure. Strong adoption across transportation, retail, and industrial sectors, combined with regulatory support for AI integration, enhances operational efficiency and security. Countries are focusing on AI-enabled monitoring, traffic management, and automated analytics solutions, fueling steady market growth and making Europe a key contributor to the global AI Video Analytics Market.

Middle East & Africa and Latin America AI Video Analytics Market Insights

Middle East & Africa and Latin America AI Video Analytics Market are witnessing steady growth due to rising security concerns, smart city initiatives, and infrastructure development. Governments and enterprises are increasingly adopting AI-driven surveillance, traffic management, and industrial monitoring solutions. Investments in public safety, retail analytics, and transportation systems, along with growing awareness of AI benefits, drive market expansion. These regions offer significant opportunities for technology providers and solution integrators in AI video analytics.

AI Video Analytics Market Competitive Landscape:

Cisco Systems

Cisco Systems is a global leader in networking, collaboration, and cybersecurity technologies. Its Webex platform integrates AI-driven features such as real-time translation, noise suppression, video quality enhancements, and contact center automation. Cisco leverages agentic AI and workflow automation to improve enterprise communication, video conferencing, and customer engagement. The company’s solutions connect cloud, AI, and collaboration tools, enabling organizations to streamline operations, enhance remote work experiences, and scale intelligent, secure video communication worldwide.

• Cisco unveiled AI-powered Webex Contact Center with Webex AI Quality Management and Salesforce, AWS, Epic integrations to improve video quality and analytics.

• Cisco expanded Webex AI portfolio with Webex AI Agent and collaboration automation features, enhancing real-time video and enterprise communication workflows.

• Cisco launched Webex AI Agent, AI Agent Studio, and updates to Webex Contact Center, driving AI-driven video and voice automation for enhanced customer experiences.

• Cisco introduced AI enhancements for Webex, including real-time translation, noise reduction, and video quality improvements, leveraging machine learning to improve collaboration experiences.

Genetec

Genetec is a leading provider of unified security, video surveillance, and analytics software. Its cloud-native Security Center SaaS platform integrates AI-powered automation for intelligent video investigation, enabling faster evidence retrieval and contextual activity analysis across live and recorded feeds. Genetec focuses on improving operational efficiency, situational awareness, and security intelligence for enterprises and public safety organizations worldwide, while scaling adoption of cloud-native video surveillance solutions and advanced analytics.

• Genetec launched AI-driven intelligent investigation features in Security Center SaaS, enabling faster video evidence location and contextual activity analysis.

• Genetec announced continued market leadership in video surveillance software, driven by strong adoption of cloud-native Security Center SaaS.

Axis Communications

Axis Communications is a global leader in network video surveillance and security solutions, offering IP cameras, analytics software, and intelligent video systems. Axis integrates AI and data analytics to improve video security, operational insights, and monitoring efficiency for enterprises and public safety sectors. The company emphasizes research and innovation in AI trends, enabling predictive security, intelligent monitoring, and scalable cloud-enabled video surveillance solutions globally.

• Axis released global research on AI in video surveillance, highlighting adoption trends, partner insights, and AI’s role in future video security.

IBM Corporation

IBM provides AI, cloud, and enterprise analytics solutions across multiple industries, including video analytics, security, and sports technology. IBM’s AI platforms analyze large-scale video data for operational insights, customer engagement, and motion analytics. By integrating AI into video workflows, IBM enables organizations to optimize security monitoring, enhance business processes, and extend AI applications beyond traditional surveillance, including innovative sports performance analysis and other enterprise video intelligence solutions.

• IBM partnered with Agassi Sports Entertainment to launch an AI-powered video analytics platform, analyzing athletic movement and extending AI video applications beyond security.

AI Video Analytics Market Key Players

Some of the AI Video Analytics Market Companies are:

• IBM Corporation

• Honeywell International Inc.

• Cisco Systems, Inc.

• Axis Communications AB

• Avigilon Corp. (Motorola Solutions)

• Hangzhou Hikvision Digital Technology Co. Ltd.

• Dahua Technology Co. Ltd.

• Genetec Inc.

• BriefCam Ltd.

• IndigoVision

• AxxonSoft

• Verint Systems Inc.

• Intel Corporation

• Hanwha Techwin

• VIVOTEK

• Verkada

• i2v System

• Bosch Security Systems

• NICE Systems

• ObjectVideo Labs, LLC