Natural Language Processing Market to Reach $133.8 Billion by 2035

Natural language processing market is projected to reach $133.8 billion by 2035, increasing from $24.5 billion in 2025 and expanding at a CAGR of 18.5% from 2026 to 2035. Increasing enterprise adoption of artificial intelligence is expanding demand for NLP technologies used in text analysis, language generation, speech recognition, information retrieval, and document processing. According to Eurostat, 20.0% of EU enterprises with 10 or more employees used AI technologies in 2025, compared with 13.5% in 2024. This increase reflects the expanding use of AI-enabled business applications and creates a broader environment for commercial NLP software, language-processing APIs, and integrated enterprise platforms. These technologies enable organizations to incorporate language understanding and generation into existing workflows without necessarily developing their own complete NLP infrastructure.

Browse the full report description of “Natural Language Processing Market Size, Share & Trends Analysis Report, By Offering (Software and Services), By Software (NLP Platforms, NLP APIs, Language Model Platforms, NLP Development Tools, and Integrated NLP Solutions), By Services (Professional Services and Managed Services), By Application (Customer Experience & Support, Marketing & Brand Intelligence, Knowledge Management & Information Discovery, Compliance & Regulatory Intelligence, Legal & Risk Intelligence, Research & Information Intelligence, Workforce Productivity & Automation, Document Process Automation, Translation & Localization, and Other Applications), By Vertical (BFSI, Retail & E-commerce, Healthcare & Life Sciences, Software & Technology, Media & Entertainment, Telecommunications, Government & Defense, Manufacturing, Logistics & Transportation, Education & EdTech, and Other Verticals), Forecast Period (2026-2035)” at https://www.omrglobal.com/industry-reports/natural-language-processing-market

The language model platforms segment is expected to register strong growth as organizations increasingly use commercially available models for natural language generation, conversational applications, summarization, information retrieval, coding, and workflow automation. Eurostat data show that the share of EU enterprises using AI to analyse written language increased from 6.9% in 2024 to 11.8% in 2025, while the use of AI to generate written or spoken language rose from 5.4% to 8.8%. These increases indicate wider enterprise use of technologies associated with text analysis and language generation. Language model platforms can support these activities through model access, customization, evaluation, and deployment tools, allowing businesses to apply language-processing capabilities across customer service, document management, internal knowledge systems, and other enterprise applications. The segment’s commercial development will depend on model performance, integration requirements, operating costs, and the ability to meet organizational security and governance standards.

NLP APIs Segment to Witness Strong Growth

The NLP APIs segment is expected to witness strong growth as enterprises integrate language-processing capabilities into existing software and business workflows through application programming interfaces. APIs allow developers to incorporate functions such as text classification, entity extraction, sentiment analysis, translation, summarization, and speech recognition without building every underlying model or processing component independently. This delivery model can reduce development complexity and enable businesses to scale individual language functions across customer-service applications, document workflows, digital platforms, and enterprise information systems. Demand is likely to be influenced by API accuracy, supported languages, response speed, integration flexibility, pricing structures, and data-handling requirements.

Adoption among larger organizations illustrates the growing use of language-related AI functions in complex business environments. In 2025, 35.0% of large EU enterprises used AI to analyse written language, while 31.7% used AI to generate written or spoken language or programming code. In addition, 26.1% used speech-recognition technologies to convert spoken language into machine-readable formats, according to Eurostat. These applications can be integrated into existing systems through commercially available APIs, enabling organizations to automate language-intensive tasks and connect text or speech processing with wider business applications. As enterprises expand their use of these capabilities, NLP API providers will need to demonstrate reliable performance, secure data processing, scalable infrastructure, and compatibility with enterprise software environments.

Recent Developments

• In August 2025, OpenAI launched GPT-5 through its API platform, introducing improved reasoning, instruction following, tool calling, long-context retrieval, and agentic capabilities. Available in multiple model sizes, GPT-5 expanded OpenAI's commercial language model platform and NLP API offerings for enterprise and developer applications.

• In March 2025, Alphabet Inc. (Google DeepMind) introduced Gemini 2.5, a thinking AI model designed for advanced reasoning, contextual understanding, coding, and complex language-based tasks. Gemini 2.5 Pro was made available through Google AI Studio and the Gemini app, expanding Google's commercial language model platform capabilities for NLP applications.

Market Coverage

• The market size available for 2025-2035
• Base year- 2025
• Forecast period- 2026-2035
• Segment Covered-
• By Offering
• By Software
• By Services
• By Application
• By Vertical
• Regions Covered-
• North America
• Europe
• Asia-Pacific
• Rest of the World
• Competitive Landscape –com, Inc.; Alphabet Inc. (Google); Microsoft Corporation; OpenAI; IBM Corporation, among others.

Key questions addressed by the report.

• What is the market growth rate?
• Which segment and region dominate the market in the base year?
• Which segment and region will project the fastest growth in the market?
• Who leads the market?
• How are players addressing challenges to sustain growth?
• Where is the investment opportunity?

Natural Language Processing Market Report Segment

By Offering

• Software
• Services

By Software

• NLP Platforms
• NLP APIs
• Language Model Platforms
• NLP Development Tools
• Integrated NLP Solutions

By Services

• Professional Services
• Managed Services

By Application

• Customer Experience & Support
• Marketing & Brand Intelligence
• Knowledge Management & Information Discovery
• Compliance & Regulatory Intelligence
• Legal & Risk Intelligence
• Research & Information Intelligence
• Workforce Productivity & Automation
• Document Process Automation
• Translation & Localization
• Other Applications

By Vertical

• BFSI
• Retail & E-commerce
• Healthcare & Life Sciences
• Software & Technology
• Media & Entertainment
• Telecommunications
• Government & Defense
• Manufacturing
• Logistics & Transportation
• Education & EdTech
• Other Verticals

Natural Language Processing Market Report Segment by Region

North America

• United States
• Canada

Europe

• UK
• Germany
• Italy
• Spain
• France
• Russia
• Rest of Europe

Asia-Pacific

• China
• India
• Japan
• South Korea
• Australia and New Zealand
• ASEAN Economies
• Rest of Asia-Pacific

Rest of the World

• Latin America
• Middle East & Africa

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