3D Animation Market Size, Share & Trends Analysis Report By Technique, By Components, By Deployment, By End-use, And Segment Forecasts, 2022 - 2030

Report Overview

The global 3D animation market size was valued at USD 18.39 billion in 2021 and is anticipated to expand at a compound annual growth rate (CAGR) of 12.1% from 2022 to 2030. There has been a rise in the adaptation of visual effects technology in movies and films. The viewers want realistic-looking images and films and want to experience new technologies that provide them with realistic images. Besides movies, there is also a rapid rise in demand for 3D mobile applications and games. Viewers' experience in gaming has led to this rise in demand for 3D technology. The advancement of 3D stereoscopic gaming with the help of 3D animation technology is a driving force of this industry as well.

Emerging 4D and 5D technologies have become a driving force, due to which 3D animation technology is gaining value and recognition in all fields. Another constraint that cannot be ignored is the increase in the usage of 3D mapping tech for navigation and geospatial analysis. A vast market opportunity lies in medical procedures. Printing technology represents an excellent opportunity to help pharmaceutical companies develop precise medicines, allowing faster production of medical plants, and changing the way doctors and surgeons design procedures. The only threat that has to follow would be the threat of piracy.

The flexible and fast motion trend using all three-dimensional space within the frame has resurfaced and is ready for sports lessons. While the Olympics were held in Japan, many manga styles also have come with powerful movements and clever changes to 3D animation. The 2D vector graphic is popular too, varying between short and straightforward characters, adding color - but with a lot of expression either in the way the character moves towards their characters or other characters or facial expressions.

As the world moves forward with the idea of the future, more and more people are clinging to the VR concept and the ability to interact with the feeling of the 3D world, which is very different in their daily lives. The reality as it will become one of the top video animation trends in 2021. A recent rise in demand of consumers for films to look more realistic and appealing has made the public embrace technology in the form of 3D Animation, and even though it is hard to create a movie like that, demand for better animation and technology has constantly been driving it to higher potential market growth in the last decade. The animation makes films look more realistic and authentic, even though it is all computer-generated.

In the wake of the COVID-19 pandemic, few governments worldwide set a time limit for returning home and imposing stricter rules on foreign affairs to curb the spread of the virus. The closure led to a dramatic increase in the demand for high-quality entertainment at home, prompting media and entertainment companies to improve the content of their videos. The use of simulation technology allows media companies to provide viewers with advanced viewing information to purchase, read, and work while engaging in leisure activities. In addition, the increase in adaptation of 3D modeling technologies for different types of applications such as Computer-Aided Design (CAD), marketing, 3D printing, scientific and production, medical thinking, video games, and animation is expected to further the market growth. Various 3D technological advancements in the market are driving the market, and this is why the primary driver for the growth of the global animation market is technological advancements in the television and communication industry.

Technique Insights

The 3D modeling segment accounted for the largest revenue share of over 30.6% in 2021 and this dominance is anticipated to continue throughout the forecast period. 3D Modeling is the procedure of creating objects in 3D software. These objects are created based on previously designed or real-world visions and are used as 3D natural elements made. Animation is about movement, and expressing this movement will require a crippling of objects. The 3D modeling process creates a fully animated digital object, making it an essential function for animation and special effects. With extra dimensions, 3D models can change viewers' views of what they are watching in seconds; also help designers and end-users see space requirements, and improve drawing efficiency and accuracy.

The virtual effects segment is projected to grow at the fastest CAGR of 13.8% from 2022 to 2030. The visual effect is a process in which images are created or manipulated outside the context of live shooting in film and video production. Integration of live-action video with other live images or CGI features to create realistic images with VFX. Special effects are abbreviated as SPFX, SFX, F / X, or FX easily with deceptive or visual tricks used in theater, video game, drama, film, and television industries to mimic events imagined in the form of a story or the visual world. During the rendering process, already done with a 3D model, rendering, animation, blurring, text message, VFX, and lighting are integrated and rendered with 2D (framed) still images.

Component Insights

The software segment accounted for the largest revenue share of 52.7% in 2021 and this dominance is anticipated to continue throughout the forecast period. This growth may be due to the software's ability to create visuals that appear realistic and tangible, as well as your essential need for 3D animated movies and games. The section includes Software Development Kits (SDKs), integrated software solutions, and plug-ins. The widespread distribution of animated software in the gaming industry is expected to boost the category's growth. In addition, the deployment of simulation technology software by many companies in the marketing and advertising industry to gain a competitive advantage is expected to further the need for software in the forecast period.

The hardware segment accounts for a significant revenue share of 30.6% in 2021. 3D animation combines the creation and editing of complex 2D and 3D images, putting many modern computers under pressure. Therefore, there is a need to equip particular hardware to further 3D animation. Furthermore, the increased penetration of technology into the education and training industry is projected to boost the services segment. The segment includes support and care, development and integration, consultation, certification, and product training services. The growing demand for professional game developers, animators, 3D models, and graphic designers is expected to further the segment's growth.

Deployment Insights

The on-premise segment accounted for the largest revenue share of 61.7% in 2021. Location storage depends on the company's data management or infrastructure, which provides greater data security and savings. Because of these benefits, many large businesses are using existing solutions. The combination of AI and 3D animation has made the simulation process easier. The widespread acceptance of VFX in the entertainment industry is expected to further market growth. The program is preferred to display scenes that can be shot in real places by movie makers, game developers, and animators.

The on-demand segment is expected to record the highest CAGR of 14.4% for the forecast period. This growth may be due to cartoon producers' rapid adoption of cloud technology. Improved cloud delivery features allow the server to process delivery automatically once the user has uploaded their creation. In addition, processes are completed in a short time in the most complex solutions, freeing up storage space. Many companies use cloud delivery technology as they are popular with end-users because of their services and time-saving benefits. However, the required delivery process faces challenges such as data transfer delays, security, and access to software, which technology providers are constantly investing in to overcome.

End-use Insights

The media and entertainment segment adjudged for the largest revenue share of 35.0% in 2021 and is expected to maintain its dominance over the forecast period. The reason for significant growth is that most of today's films use 3D and CGI technology. Hollywood is now using 3D technology to create various costumes, props, and objects to make their movies more realistic. 3D modeling in construction provides a realistic view of a completed project by combining all the pieces. Rapid advances in simulation technology allow potential customers to experience a realistic experience and extensive viewing experience.

The healthcare segment is anticipated for a significant CAGR of 13.0% from 2022 to 2030. The healthcare industry uses a wide range of sophisticated equipment and equipment in patient care, such as scanners, respirators, ventilators, blood purifiers, etc. Marketing all such tools become much easier with the 3D animation of machines. The 3D animation works in almost impossible cases to explain in manuals. Soldiers can use 3D animation to train themselves in a variety of situations. It can be used by the military to enhance training, reskill soldiers, and defend our country. Soldiers can also use it for military purposes, and the government can also use it to train soldiers and train new students. Animation has many benefits, but 3D animation is better used for protection.

The manufacturing segment is expected to record the highest CAGR of 13.2% for the forecast period. Industrial animation is the animation catering to an industrial machine or product and its specific method or range of motion. Its purpose is to define the operation of a product/equipment/ industrial components. The manufacturing industry and process industry all the processes such as oil and gas, chemicals, chemicals, packaging, and some others - use 3D animation to present and record equipment and methods. They explain concepts, simplifying the maintenance procedures and training of its operators. 3D animation and explanatory videos work better at showing all the chemical elements than the hard-to-understand manuals. When looking at 3D animation process images, the concepts are easy to understand. With 3D walkthrough animation as an example, it is possible to look at what is happening inside the plant or how the process works - fluid flows in rows.

Regional Insights

The North America region accounted for the largest revenue share of 37.5% in 2021. Despite the significant success of 3D animation in the form of anime in the country of Japan, the emergence of animation technology is far more potent than in the North America region. This could be attributed to the existence of a few key customers in the United States, such as Fox Studio, Disney, and Nickelodeon, as well as the widespread use of 3D animation technology and increasing R&D expenditure by regional industry leaders. At the same time, the formation of significant animation studios in the west and growing 3D animated game development promises substantial growth for the North America region. Moreover, the deployment of 3D animation in the healthcare industry to support medical students and practitioners in getting medical training is propelling the market growth.

The Asia Pacific region is expected to record the highest CAGR of 13.3% for the forecast period. The region witnessing the fastest growth would be because the market receives increased investments from Japan, China, and South Korea, which remains a promising technology for the future. Europe is expected to see a dramatic increase in the use of simulation technology. This growth could be due to the growing demand for technology in the sports and entertainment sectors. The continued development of technology and the increasing popularity of cartoon content and graphics, especially in Germany, are driving the regional market.

Key Companies & Market Share Insights

The 3d animation market includes a highly competitive environment and many international and regional players. Due to the need to design biomedical devices such as ventilators, respirators, accessories, scanners, and tubes during the COVID-19, the market saw an upsurge in demand. In March 2020, Fusion Animation, an animated video maker of pharmaceutical actions in the Pharma and Healthcare industry, unveiled a 3D model of the COVID-19 virus for scientists to study possible treatments to combat the pandemic. Key stakeholders who want to expand their companies’ presence to establish themselves in a highly competitive business environment entered into relationships with other technology providers. For instance, in March 2022, a deep technology startup Kinetix, partnered with the pioneer of 3D Animation, Adobe, making 3D Animation Aided by Artificial Intelligence (AI) easily accessible to creators.

Leading companies are also investing heavily in R&D activities to introduce new technologies and develop simulating solutions with distinctive features to gain a foothold over their competitors. Incorporating an artificial object and artificial intelligence into 3D simulation defines a new paradigm of technological growth. Industry participants engage in mergers and acquisitions to improve their offered solutions. The market can be described as a fragmented market characterized by multiple global and regional competitors. To strengthen their foothold and thrive in an increasingly competitive business environment, prominent market players pursue mergers & acquisitions and strategic partnerships. Market players are also working toward developing UCaaS-based solutions to automate their processes. Some of the major players in the global 3D animation market include:

• Autodesk, Inc.

• Corel Corporation

• Adobe Systems Incorporated

• NVIDIA Corporation

• Side Effects Software Inc.

• Maxon Computer

Recent Developments

• In October 2022, Adobe Systems Inc. launched latest innovations in its Substance 3D tools that have been designed to empower brands and creators with solution to create 3D content.

• In September 2022, NVIDIA Corporation revealed the latest NVIDIA RTX 6000 workstation GPU to deliver graphics, and create immersive and compelling content in the 3D animation field.

3D Animation Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global 3D animation market based on technique, component, deployment, end-use, and region:

• Technique Outlook (Revenue, USD Million, 2018 - 2030)

  • 3D Modeling

  • Motion Graphics

  • 3D Rendering

  • Visual Effects

• Component Outlook (Revenue, USD Million, 2018 - 2030)

  • Hardware

  • Software

  • Services

• Deployment Size Outlook (Revenue, USD Million, 2018 - 2030)

  • On-Premise

  • On-Demand

• End-use Outlook (Revenue, USD Million, 2018 - 2030)

  • Media & Entertainment

  • Architecture & Construction

  • Education & Academics

  • Manufacturing

  • Healthcare & Life Sciences

  • Government & Defence

  • Others

• Regional Outlook (Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • U.K.

    • Germany

  • Asia Pacific

    • Australia

    • China

    • Japan

    • India

  • Latin America

    • Brazil

    • Mexico

  • Middle East & Africa