Natural Language Generation Software Unlocking Growth Potential: Analysis and Forecasts 2025-2033

Key Insights

The global Natural Language Generation (NLG) Software market is valued at USD 16 billion in 2025 and is projected to reach USD 370.96 billion by 2033, exhibiting a CAGR of 49.0% during the forecast period. The significant growth is attributed to the increasing adoption of NLG software by organizations to automate content creation tasks, improve content quality, and enhance customer engagement. Additionally, factors such as the rise of artificial intelligence (AI), machine learning (ML), and big data analytics, coupled with the growing need for personalized content, are driving the market growth.

North America is expected to dominate the market throughout the forecast period due to the early adoption of advanced technologies and the presence of key players in the region. However, Asia-Pacific is projected to witness the highest growth rate owing to the increasing digital transformation initiatives and the growing adoption of cloud-based NLG services in the region. The major players in the market include Arria NLG, Amazon Web Services, International Business Machines Corporation, Narrative Science, Automated Insights, and Narrativa. These companies are focusing on strategic partnerships, product innovations, and acquisitions to strengthen their market position.

Natural Language Generation Software Trends

The global natural language generation (NLG) software market is expected to grow at a significant rate in the coming years due to the increasing adoption of AI and machine learning technologies. NLG software is used to automatically generate human-readable text from structured data, making it a valuable tool for businesses that need to communicate complex information quickly and efficiently.

Market analysts at Allied Market Research forecast the NLG software market to be valued at $8.8 billion by 2031, growing at a compound annual growth rate (CAGR) of 14% between 2022 and 2031. The market growth is driven by increasing demand for automated content creation tools, the rise of big data, and the need for more effective communication methods in various industries.

Driving Forces: What's Propelling the Natural Language Generation Software

• Increasing Adoption of AI and Machine Learning: NLG software is powered by AI and machine learning algorithms that enable it to analyze structured data, identify patterns, and generate human-readable text. As the adoption of AI and machine learning technologies grow, so does the demand for NLG software.

• Growing Demand for Automated Content Creation: Businesses are increasingly looking for ways to automate content creation to improve efficiency and reduce costs. NLG software can help businesses automate the creation of reports, articles, product descriptions, and other types of content.

• Rise of Big Data: The growing volume of data available to businesses presents challenges in terms of data analysis and interpretation. NLG software can help businesses convert complex data into easy-to-understand text, making it easier to identify insights and make informed decisions.

• Need for Effective Communication Methods: In today's fast-paced business environment, organizations need effective communication methods to reach their target audiences. NLG software can help businesses create clear and concise content that resonates with their customers and stakeholders.

Challenges and Restraints in Natural Language Generation Software

Despite its potential, the NLG software market faces a few challenges and restraints.

• Data Quality Issues: The quality of the output generated by NLG software depends on the quality of the input data. If the input data is inaccurate or incomplete, the NLG software may generate inaccurate or misleading text.

• High Implementation Costs: Implementing NLG software can be expensive, particularly for businesses that need to integrate it with existing systems and processes.

• Need for Domain Expertise: NLG software requires domain expertise to generate text that is accurate and relevant to the target audience. Businesses may need to hire specialized staff or invest in training to ensure the effective use of NLG software.

Key Region or Country & Segment to Dominate the Market

• North America: The North American region is expected to dominate the NLG software market due to the high adoption of AI and machine learning technologies, the presence of a large number of tech companies, and the strong demand for automated content creation tools.

• Cloud-Based NLG Software: The cloud-based segment is expected to dominate the NLG software market due to its scalability, cost-effectiveness, and ease of use.

• BFSI Sector: The BFSI sector is expected to dominate the NLG software market due to the need for automating the generation of financial reports, risk assessments, and customer communications.

Growth Catalysts in Natural Language Generation Software Industry

• Advancements in AI and Machine Learning: The ongoing advancements in AI and machine learning are expected to further enhance the capabilities of NLG software, making it more accurate, efficient, and versatile.

• Growing Adoption in New Industries: NLG software is finding applications in a wider range of industries beyond its traditional use cases, such as in healthcare, manufacturing, and retail.

• Increased Focus on Customer Experience: Businesses are increasingly focused on improving the customer experience, and NLG software can help them create personalized and engaging content that meets the needs of their customers.

Leading Players in the Natural Language Generation Software

• Arria NLG
• Amazon Web Services (AWS)
• International Business Machines Corporation (IBM)
• Narrative Science
• Automated Insights
• Narrativa
• Yseop
• Retresco GmbH
• Artificial Solutions
• Phrasee
• AX Semantics
• CoGenTex
• Phrasetech
• Conversica
• Wordsmith
• Google Cloud

Significant Developments in Natural Language Generation Software Sector

• In 2022, AWS launched Amazon Comprehend, a natural language processing (NLP) service that includes NLG capabilities.
• In 2023, IBM announced the acquisition of Databand.ai, a data observability platform that can be integrated with NLG software to improve data quality and accuracy.

Comprehensive Coverage Natural Language Generation Software Report

This report provides an in-depth analysis of the global NLG software market, covering key trends, drivers, challenges, restraints, key region and segment analysis, growth catalysts, leading players, and significant developments in the sector. It also includes forecasts for the market size and growth rate for the period 2022-2031.

Natural Language Generation Software Segmentation

• 1. Type
  • 1.1. On premise Natural Language Generation Software
  • 1.2. Cloud-based Natural Language Generation Software
  • 1.3. Hybrid Natural Language Generation Software
• 2. Application
  • 2.1. BFSI
  • 2.2. Retail
  • 2.3. E Commerce
  • 2.4. Defense
  • 2.5. Health Care
  • 2.6. Manufacturing
  • 2.7. Telecom and IT
  • 2.8. Media and Entertainment
  • 2.9. Energy and Utilities
  • 2.10. Others

Natural Language Generation Software Segmentation By Geography

• 1. North America
  • 1.1. United States
  • 1.2. Canada
  • 1.3. Mexico
• 2. South America
  • 2.1. Brazil
  • 2.2. Argentina
  • 2.3. Rest of South America
• 3. Europe
  • 3.1. United Kingdom
  • 3.2. Germany
  • 3.3. France
  • 3.4. Italy
  • 3.5. Spain
  • 3.6. Russia
  • 3.7. Benelux
  • 3.8. Nordics
  • 3.9. Rest of Europe
• 4. Middle East & Africa
  • 4.1. Turkey
  • 4.2. Israel
  • 4.3. GCC
  • 4.4. North Africa
  • 4.5. South Africa
  • 4.6. Rest of Middle East & Africa
• 5. Asia Pacific
  • 5.1. China
  • 5.2. India
  • 5.3. Japan
  • 5.4. South Korea
  • 5.5. ASEAN
  • 5.6. Oceania
  • 5.7. Rest of Asia Pacific