Audio and Video Editing Software Market Research Report and Outlook by 2028

The market for audio and video editing software is anticipated to expand from US$ 3,223.12 million in 2022 to US$ 4,562.65 million by 2028, reflecting a compound annual growth rate (CAGR) of 6.0% during this period.

The advancement of virtual reality (VR) technology is influencing various sectors, particularly in video content creation for applications such as marketing, animation, and immersive 360-degree videos. This surge in VR applications is significantly increasing the demand for audio and video editing software. As computer technology evolves and societal demands shift, VR technology has made impressive progress, which could enhance the global video production and creation landscape. Additionally, the rising popularity of animated films and VR content consumption is expected to shape the trajectory of the audio and video editing software market.

Moreover, the swift adoption of cutting-edge video recording technologies, such as augmented reality (AR), VR, mixed reality, and 360-degree cameras, is set to revolutionize traditional video recording techniques and improve video editing functionalities in the future. Consequently, the integration of AR/VR and other advanced video editing tools is likely to broaden the business opportunities for video editing software applications within these technologies, creating new avenues for market players during the forecast period.

In North America, the United States stands out as a crucial market for audio and video editing software providers. According to a report from an international trade association, the US boasts the largest media and entertainment sector globally, valued at approximately US$660 billion in 2021. Companies in the media and entertainment industry leverage this software to develop and deliver a variety of digital services and products across multiple platforms, including films, television shows, advertisements, broadcast content, music, and audio recordings. In 2021, the US saw the release of over 400 domestic films, which significantly boosted the demand for audio and video editing software.

Canada also has a vibrant animation and visual effects sector, producing numerous animated films, commercials, and television series annually. The country is home to the largest animation studio in the world, 9 Story Media Group, located in Toronto, and the fourth largest visual effects hub in Montreal. Furthermore, Canada offers attractive tax incentives and financial support for animators and filmmakers, with a plethora of high-quality film and animation studios and thousands of companies utilizing audio and video editing software. Additionally, Canada hosts many leading game design studios, creative agencies, and design firms, making it a lucrative market for audio and video editing software vendors due to its thriving animation industry.

The US also leads the global music industry, often regarded as the heart of media and entertainment, with its music sector experiencing consistent growth. A report by Matching Engine indicated that in 2020, the recorded music industry revenue in the US reached US$8 billion, marking an impressive year-over-year growth of 7.5%.

In March 2019, US artists dominated Spotify's Global Top 50 playlist, with 70% of the songs attributed to them. This robust music industry presents significant business opportunities for audio and video editing software vendors, as music artists increasingly utilize these tools to produce and distribute various music genres. Furthermore, with the resurgence of live concerts and music festivals, the demand for audio and video editing software is expected to thrive throughout the forecast period.

The audio and video editing software market is categorized based on components, deployment methods, end users, and geographical regions. In terms of components, the market is divided into software and services, with the software segment further classified into audio editing software and video editing software. Regarding deployment, the market is segmented into on-premise and cloud-based solutions. The end-user classification includes personal and commercial segments.

Geographically, the audio and video editing software market is segmented into North America (including the US, Canada, and Mexico), Europe (comprising Germany, the UK, France, Italy, Russia, and the Rest of Europe), Asia Pacific (including Australia, Japan, South Korea, India, China, and the Rest of APAC), the Middle East and Africa (MEA) (covering Saudi Arabia, the UAE, South Africa, and the Rest of MEA), and South America (SAM) (including Brazil, Argentina, and the Rest of SAM).

The market size for audio and video editing software has been assessed through a combination of primary and secondary research methodologies. The research process commenced with extensive secondary research, utilizing both internal and external sources to gather qualitative and quantitative data related to the audio and video editing software market, along with an overview and forecast for all market segments. Additionally, numerous primary interviews were conducted with various industry stakeholders, including experts such as VPs, business development managers, market intelligence managers, national sales managers, external consultants, valuation experts, research analysts, and key opinion leaders with specialized knowledge in the audio and video editing software sector. These interviews aimed to validate the data and provide deeper analytical insights.