The AV industry is undergoing a seismic shift. According to AVIXA’s Industry Outlook and Trends Analysis (IOTA), professional AV revenues will jump from $332 billion in 2025 to $402 billion by 2030 — even as legacy hardware sales slow. The growth engine? Four powerful trends: AV-over-IP, software and cloud solutions, artificial intelligence (AI), and extended/augmented reality (XR/AR).
Let’s break down why these are booming and what they mean for your organization.
Goodbye Boxes. Hello Experiences.
AVIXA’s report highlights that AV-over-IP now powers about 38% of signal routing and switching — up from ~20% just five to ten years ago — and will soar past 60% within five years (AVIXA). Businesses are no longer buying boxes; they’re buying flexibility, performance, and remote manageability.
This marks a fundamental change: AV is becoming about experiences, not equipment.
Trend #1: AV-over-IP — The New Backbone
Think of AV-over-IP as “HDMI over the network.” Instead of hard-wired matrix switchers, audio and video travel over standard Ethernet.
Why it matters:
- Scalability: Add endpoints without ripping up walls
- Remote Management: Diagnose and update systems anywhere
- Future-Proofing: Adapt to new formats and bandwidth needs
- Real-World Results: Meeting rooms can go from seven-minute setups to under 20 seconds
This is the trend to watch — and the one driving the biggest gains right now.
Trend #2: Software & Cloud — AV Without Borders
More AV functions — routing, control, and even signal processing — are moving to software and cloud platforms. Organizations benefit from:
- Centralized Management: Control dozens of locations from one dashboard
- Instant Updates: New features roll out without truck rolls
- Flexible Costs: Subscription and “as a service” models
- Data Insights: Analytics on usage, performance, and ROI
The result is AV systems that are easier to deploy, manage, and scale.
Trend #3: AI — Smarter, Faster, More Personalized
Artificial intelligence is quietly transforming how AV works behind the scenes. Research shows AI in media and entertainment is growing at over 26% CAGR (Grand View Research).
What is it doing now:
- Auto-Calibration & Optimization: Better sound, sharper visuals
- Predictive Maintenance: Spot issues before they disrupt
- Smart Rooms: Voice control and context-aware automation
- Content Personalization: Dynamic signage, immersive presentations
AI is removing friction from AV and making every experience smarter.
Trend #4: XR/AR — Immersion Goes Mainstream
Extended and augmented reality are no longer futuristic — they’re happening now in retail, training, and events. Examples include:
- Interactive AR displays in stores
- Immersive simulations for employee training
- Hybrid events blend physical and virtual spaces
With hardware costs falling and software ecosystems maturing, XR/AR is becoming a practical way to wow customers and train teams.
The Experience Economy Is Here
From post-pandemic recovery to experience-driven markets, organizations everywhere are rethinking how they use AV. The conversation has shifted from “What gear should we buy?” to “What kind of experience can we create for our customers, employees, and guests?”
That shift matters because AV technology is no longer just an operational expense — it’s a growth driver. Creating memorable experiences increases engagement, productivity, and brand impact. It turns meeting rooms into collaboration hubs, retail floors into immersive showrooms, and events into unforgettable destinations.
Crossing the Tipping Point
Change can feel daunting, but the most significant advantage goes to those who adopt it early. Once technology reaches a tipping point — as AV-over-IP, cloud-based AV, AI, and XR/AR are currently doing — adoption accelerates, and latecomers are left scrambling.
By exploring these trends now, organizations can:
- Build more flexible, future-proof systems
- Gain operational efficiencies and reduce downtime
- Offer richer experiences to customers and staff
- Position themselves ahead of competitors when the market shifts
The message is clear: waiting costs more than acting.
How NCS Fits In
While this article focuses on industry trends, NCS works behind the scenes to help organizations implement them. Our teams design and deploy systems leveraging AV-over-IP, cloud and software solutions, AI, and XR/AR — turning the latest technology into measurable results.
If you’re ready to explore what these trends can do for your organization, let’s talk.
Sources: AVIXA 2025 Industry Outlook and Trends Analysis (IOTA); AVIXA Xchange; Grand View Research; IMARC Group.
FAQs
What is AV-over-IP and why is it important?
AV-over-IP is the transmission of audio and video over standard Ethernet networks, rather than relying on fixed hardware switchers. It matters because it is scalable, remotely manageable, and future-proof, allowing organizations to easily add endpoints, manage systems from anywhere, and adapt to new formats and bandwidth needs.
How are cloud and software changing AV?
Cloud and software are changing AV by moving routing, control, and updates into digital platforms. This enables centralized management across multiple locations, provides instant updates without requiring truck rolls, offers flexible subscription pricing, and offers access to data insights that enhance ROI and efficiency.
What role does AI play in AV systems?
AI plays a role in AV by making systems smarter, faster, and more reliable. It enables auto-calibration of sound and visuals, predictive maintenance to prevent downtime, voice-enabled smart rooms, and personalized content, such as adaptive signage.
How are XR and AR being used in real-world AV?
XR and AR are being used in AV to create immersive and interactive experiences. Real-world applications include AR displays in retail, immersive simulations for training, and hybrid events that blend physical and virtual spaces. With hardware costs dropping, XR/AR is becoming a mainstream business tool.
