Paradigm Shift in Art Market: AI and Affordable Art Drive Record 2025 Transactions

Artprice by Artmarket has released its 31st Contemporary Art Market Annual Report, offering a comprehensive analysis of the global art market ahead of major fairs such as Frieze London and Art Basel Paris. The report highlights a record number of auction transactions in 2024–2025, signaling a significant paradigm shift driven by the rise of AI-generated art and a surge in affordable art sales. The findings underscore a fragmented market landscape, with the top-tier segment experiencing a decline while the lower-priced segment thrives.

The report notes that over 47,000 contemporary artists worldwide saw their works auctioned between July 2024 and June 2025, with one in five artists being new to the auction market. This influx reflects a diversification of the market, as younger, under-40 artists gain prominence. The affordable art segment-works priced under $5,000-has grown substantially, fueled by online sales and a new generation of collectors. Thierry Ehrmann, CEO of Artmarket.com, emphasized that "affordable artworks are experiencing a tsunami of interest," with collectors increasingly embracing cryptocurrencies for transactions. Since 2024, Bitcoin and Ethereum spot ETFs have enabled seamless crypto-based sales, with Artprice's databases now offering price metrics in both traditional currencies and cryptocurrencies.

AI's influence on the art market is a central theme of the report. Generative AI tools have democratized art creation, enabling billions of potential creators to contribute to the market. The report cites the sale of Ai-Da Robot's A.I. God. Portrait of Alan Turing for $1.1 million at Sotheby's in 2024 as a landmark moment, illustrating the growing acceptance of AI art. Artprice's proprietary AI tools, including Intuitive ArtMarket and Blind Spot, are being leveraged to analyze this evolving landscape. The company's AI integration extends to its 43-million-euro-valued manuscript and auction catalog collection, which is being tokenized for use in future reports.

Geographically, the U.S., China, and the UK dominate global art auction turnover, accounting for over 75% of the market. However, Paris has emerged as the most dynamic capital in terms of transaction volumes, outpacing London and New York. The report also highlights the decline in high-value sales, with six-figure results in Hong Kong and New York falling sharply. Meanwhile, female artists and new regional scenes, such as Japan beyond Takashi Murakami and Yoshitomo Nara, are breaking through traditional hierarchies.

Artprice's strategic expansion includes the launch of Artprice News, a daily press agency collaborating with Cision PR Newswire to provide real-time market updates in 122 countries and 11 languages. This initiative complements its annual reports with AI-driven insights and partnerships, such as with Perplexity AI, to process vast datasets. The report also underscores the importance of digital art, with high-resolution screens and AI prompts enabling artists to bypass traditional technical barriers.

The 2025 Contemporary Art Market Report is available for free download in English and French, offering detailed rankings, market dynamics, and forecasts. It serves as a critical resource for professionals, collectors, and students navigating a market in transition. As Ehrmann concludes, the art market is "changing course" toward inclusivity and fluidity, driven by technological innovation and shifting collector priorities.

Source: [1] PR Newswire (https://www.morningstar.com/news/pr-newswire/20251007ln92028/artprice-news-ahead-of-frieze-london-and-art-basel-paris-artprice-by-artmarket-releases-its-2025-contemporary-art-market-report-annual-record-number-of-auction-transactions-substantial-market-paradigm-shift-ai-influences)