South America Generative AI in Media and Entertainment Market Research Report: By Offerings (Solution, Services), By Technology (Natural Language Program, Digital Twin, Natural Language Generation, Large Language Models, Others), By Application (Gaming, Film and Television, Advertising and Marketing, Music and Sound Production, Automatic Dubbing and Subtitling, Chatbots and Virtual Assistants, Others) andBy Regional (Brazil, Mexico, Argentina, Rest of South America) - Forecast to 2035

South America Generative AI in Media and Entertainment Market Overview

As per MRFR analysis, the South America Generative AI in Media and Entertainment Market Size was estimated at 13.7 (USD Billion) in 2023. The South America Generative AI in Media and Entertainment Market Industry is expected to grow from 19.62(USD Billion) in 2024 to 1,028.19 (USD Billion) by 2035. The South America Generative AI in Media and Entertainment Market CAGR (growth rate) is expected to be around 43.319% during the forecast period (2025 - 2035).

Key South America Generative AI in Media and Entertainment Market Trends Highlighted

The South America Generative AI in Media and Entertainment Market is experiencing significant shifts driven by technological advancements and changing consumer behaviors. One of the key market drivers is the increasing demand for personalized content, as consumers seek tailored experiences in media consumption. This demand is pushing companies to leverage generative AI to create customized content, enhancing viewer engagement. Moreover, the rise of digital platforms across the region facilitates broader access to AI tools, enabling creators and companies to innovate at a faster pace

. Opportunities abound in South America for the development of local content that resonates with diverse cultural landscapes.Countries like Brazil and Argentina are rich in cultural narratives that can be enhanced through AI, leading to new forms of storytelling that reflect regional identities while appealing to global audiences. Local businesses can harness generative AI to produce unique films, music, and interactive media, thereby attracting both local and international viewers.

Recent trends indicate a surge in collaborations between technology firms and entertainment companies to explore the potential of generative AI in creative processes. As digital transformation accelerates, stakeholders are beginning to invest in AI-driven solutions to streamline production workflows and reduce costs.Additionally, initiatives from various South American governments to invest in technology infrastructure support the growth of the generative AI marketplace in this region. As these trends continue to evolve, the future of media and entertainment in South America looks promising, driven by innovation and creativity enhanced by generative AI.

Fig 1: South America Generative AI in Media and Entertainment Market Overview

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

South America Generative AI in Media and Entertainment Market Drivers

Rise in Digital Content Consumption

The South America Generative AI in Media and Entertainment Market Industry is expanding rapidly due to a rise in digital content consumption. The International Telecommunication Union reported that the number of internet users in South America increased from 37% to 65% between 2010 and 2021. Major streaming services, such as Netflix and Amazon Prime Video, have seized on this trend by investing extensively in local content development. In recent years, Netflix has declared intentions to invest more than USD 1 billion in the development of original productions in South America, demonstrating the growing demand for personalized digital content. This increased consumption drives the demand for generative AI solutions that improve content production and viewer engagement.

Government Initiatives Supporting AI Technologies

The South American governments are increasingly focusing on Artificial Intelligence (AI) to boost the regional economy, which is a crucial driver for the South America Generative AI in Media and Entertainment Market Industry. For instance, in Brazil, the government has implemented the 'AI Strategy for Brazil', aiming to promote and integrate AI technologies across various sectors, including media and entertainment. This strategy includes significant funding for Research and Development (R&D) initiatives, which are expected to increase investment in generative AI solutions that can transform the industry.With a projected investment of USD 6 billion in AI technologies, supportive policies are creating an enriching environment for generative AI advancements.

Increased Demand for Personalized Content

There is a significant demand for personalized content tailored to individual preferences in the South America Generative AI in Media and Entertainment Market Industry. A recent survey conducted by the Brazilian Advertising Association revealed that 78% of consumers prefer content that is customized to their interests, indicating a clear market trend. Companies like Globo Play have actively adopted generative AI tools to provide personalized viewing experiences for their audience.This shift towards personalization is a driving force behind the adoption of generative AI technologies, as organizations seek to leverage data analytics and machine learning algorithms to deliver bespoke entertainment experiences.

South America Generative AI in Media and Entertainment Market Segment Insights

Generative AI in Media and Entertainment Market Offerings Insights

The South America Generative AI in Media and Entertainment Market is characterized by its diverse range of offerings, which significantly drive innovation and engagement in the region. The overarching offerings segment encompasses critical components like solutions and services. Solutions play a vital role by providing the technological backbone necessary for automating content creation and enhancing user experiences. These solutions streamline operations and facilitate personalized media consumption, which is particularly important in a region transitioning to a more digital economy. On the other hand, services have emerged as a cornerstone for businesses looking to harness generative AI capabilities. These services, which include consulting and implementation, support organizations in adopting AI-driven strategies tailored to the local market's unique cultural and consumer needs.

The realm of services is noteworthy as it not only empowers companies with the tools and expertise to utilize generative AI effectively but also fosters a collaborative environment where tech companies can work closely with media and entertainment businesses. This synergy is essential for developing localized content that resonates deeply with audiences throughout South America. As the demand for real-time content personalization grows, the offerings segment is positioned to adapt and evolve, delivering enhanced engagement strategies to meet market expectations. The integration of generative AI into media production processes further underscores the significance of these offerings, enabling the creation of high-quality content at a fraction of traditional costs, thereby democratizing content creation across diverse demographics and economic backgrounds in the region. Moreover, growth drivers, such as the increasing internet penetration rates and the proliferation of mobile devices, add substantial momentum to the adoption of generative AI solutions in South America.

Countries like Brazil and Argentina are quickly moving towards a digital-first approach, making it essential for media and entertainment firms to leverage offerings that can elevate their competitive edge. However, businesses face challenges, including a shortage of skilled AI professionals and hesitance regarding adopting new technologies, which could slow down the market's evolution. But despite these hurdles, the opportunities presented by the continual advancement in AI technology create a dynamic landscape for growth within the offerings segment. As the South America Generative AI in Media and Entertainment Market matures, both solutions and services are expected to undergo transformation, innovating ways to engage audiences and maintain relevance in an ever-competitive market. Emphasizing local culture and narratives through a tailored approach is also predicted to play a crucial role in how these offerings evolve, ensuring they meet the unique demands of the South American populace. Overall, the offerings segment is integral to the realization of generative AI potential, driving the South America Generative AI in Media and Entertainment Market towards remarkable growth and enhanced consumer experiences.

Fig 2: South America Generative AI in Media and Entertainment Market Insights

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Generative AI in Media and Entertainment Market Technology Insights

The Technology segment of the South America Generative AI in Media and Entertainment Market showcases a diverse array of innovative solutions that are driving substantial growth in the industry. Various technologies, such as Natural Language Generation and Large Language Models, are transforming how content is created and consumed, offering significant efficiency in content generation and user interaction. Natural Language Programs are enhancing communication between media platforms and their audiences, providing tailored experiences that resonate with users.Meanwhile, Digital Twin technologies enable media companies to create virtual replicas of physical processes, optimizing production workflows and enabling immersive storytelling experiences. Other technologies in this market are also crucial, as they contribute to a rich ecosystem that supports the development of smarter media applications. The overarching trends in the market indicate a shift towards personalization, efficiency, and enhanced creative capabilities, which is leading to increased adoption of these technologies across South America.As the region invests in digital transformation, the synergy between these technological advancements and the creative media landscape will likely continue to shape the future of entertainment in South America. Such developments create ample opportunities for collaboration, innovation, and expansion within the industry.

Generative AI in Media and Entertainment Market Application Insights

The South America Generative AI in Media and Entertainment Market is experiencing notable advancement across various applications, significantly contributing to the industry's evolution. In the realm of Gaming, generative AI empowers developers to create immersive experiences, enhancing interactivity and storylines. The Film and Television sector utilizes this technology for scriptwriting, editing, and visual effects, streamlining production processes while enhancing creativity. Within Advertising and Marketing, brands leverage generative AI to tailor campaigns and generate personalized content, thereby improving engagement and effectiveness.Music and Sound Production are also evolving as AI-driven tools assist artists in composing and mixing tracks, allowing new forms of musical expression. Automatic Dubbing and Subtitling stand out by making content accessible to wider audiences, transcending language barriers effortlessly. Chatbots and Virtual Assistants utilize AI to enhance user interaction and satisfaction across platforms, improving customer support while providing real-time assistance. The demand for these applications, driven by evolving consumer expectations and technological advancements, is propelling the overall growth of the South America Generative AI in Media and Entertainment Market, creating significant opportunities and addressing challenges within the industry.

South America Generative AI in Media and Entertainment Market Key Players and Competitive Insights

The South America Generative AI in Media and Entertainment Market has emerged as a vibrant sector driven by technological advancements and an evolving digital landscape. This market is characterized by a diverse array of players vying for dominance within the realms of content creation, personalization, and user engagement. As interest in generative AI technology continues to grow within the region, businesses are increasingly leveraging it to enhance their offerings and reach broader audiences. With the integration of artificial intelligence into media and entertainment, companies are exploring innovative solutions to streamline production processes, improve customer experiences, and drive revenue growth.

The competitive dynamics in this market reflect a mix of established tech giants and agile local startups, each bringing unique capabilities and strategies to the table.Meta has established a formidable presence in the South America Generative AI in Media and Entertainment Market by capitalizing on its substantial technological resources and vast user base. The company's strengths lie in its advanced AI research capabilities, allowing for the development of sophisticated algorithms that enhance content personalization and engagement strategies. By utilizing generative AI, Meta can offer tools that facilitate creative processes, enabling creators, advertisers, and media companies to automate content generation and optimize their campaigns more effectively. Furthermore, Meta's strong regional partnerships and commitment to local market needs have empowered it to tailor its solutions specifically for South American audiences, further entrenching its position within the media and entertainment industry.Aiva Technologies has carved out a significant niche in the South America Generative AI in Media and Entertainment Market, specializing in AI-driven music composition and sound design.

The company is known for its innovative algorithms that compose unique musical pieces tailored to various media formats, enhancing the creative capabilities of filmmakers, game developers, and marketers. Aiva Technologies has also built a solid reputation for its user-friendly platforms that make it accessible for creators across different skill levels. The firm's strategic partnerships and collaborations with content creators and entertainment studios in the region have bolstered its market presence, while recent mergers and acquisitions have enabled Aiva Technologies to expand its technological capabilities and diversify its product offerings. By focusing on the specific needs of the South American market, Aiva Technologies continues to solidify its competitive edge and drive growth within the generative AI landscape.

Key Companies in the South America Generative AI in Media and Entertainment Market Include

• Meta


• Aiva Technologies


• Adobe


• Google


• DeepMind


• NVIDIA


• Microsoft


• Amazon


• Cortexica


• OpenAI


• Baidu


• Runway


• Alibaba


• DID


• IBM

South America Generative AI in Media and Entertainment Market Industry Developments

Recent developments in the South America Generative AI in Media and Entertainment Market indicate a growing interest and investment in AI technologies by major companies such as Meta, Google, and Microsoft, focused on enhancing content creation and user experience. In September 2023, Meta announced partnerships with local content creators to boost AI-driven personalized content distribution across South America. Additionally, Aiva Technologies and Adobe have been collaborating with Brazilian artists to integrate AI in music and art, promoting cultural resonance while exploring new artistic expressions. Moreover, NVIDIA's recent investment in a tech startup in Argentina aims to expand GPU capabilities for generative AI applications in film and gaming. A notable merger occurred in August 2023, when OpenAI's technology was integrated into IBM's cloud services, which will benefit South American enterprises seeking advanced AI solutions. Over the past couple of years, there has been significant market growth due to increasing demand for digital content, with projections indicating a valuation increase driven by innovations in AI-enabled storytelling and production processes. This surge is primarily fueled by a vibrant startup ecosystem across South America, fostering a climate of innovation and creativity in media and entertainment.

South America Generative AI in Media and Entertainment Market Segmentation Insights

Generative AI in Media and Entertainment Market Offerings Outlook

• Solution


• Services

Generative AI in Media and Entertainment Market Technology Outlook

• Natural Language Program


• Digital Twin


• Natural Language Generation


• Large Language Models


• Others

Generative AI in Media and Entertainment Market Application Outlook

• Gaming


• Film and Television


• Advertising and Marketing


• Music and Sound Production


• Automatic Dubbing and Subtitling


• Chatbots and Virtual Assistants


• Others

Generative AI in Media and Entertainment Market Regional Outlook

• Brazil


• Mexico


• Argentina


• Rest of South America

Report Attribute/Metric	Details
Market Size 2023	13.7(USD Billion)
Market Size 2024	19.62(USD Billion)
Market Size 2035	1028.19(USD Billion)
Compound Annual Growth Rate (CAGR)	43.319% (2025 - 2035)
Report Coverage	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
Base Year	2024
Market Forecast Period	2025 - 2035
Historical Data	2019 - 2024
Market Forecast Units	USD Billion
Key Companies Profiled	Meta, Aiva Technologies, Adobe, Google, DeepMind, NVIDIA, Microsoft, Amazon, Cortexica, OpenAI, Baidu, Runway, Alibaba, DID, IBM
Segments Covered	Offerings, Technology, Application, Regional
Key Market Opportunities	Content creation automation, Personalized user experiences, Enhanced visual effects production, Cost-effective content generation, Real-time audience engagement analytics
Key Market Dynamics	Growing content creation demand, Increasing investment in technology, Rising consumer engagement trends, Rapid adoption of AI solutions, Enhanced storytelling capabilities