The Russian AI Market Is Growing by 30 Percent Annually
According to newly published data, Russia’s artificial intelligence market is expanding at a pace that mirrors global growth. Together with other indicators, this suggests that the country’s AI ecosystem is beginning to operate effectively.
Market Strengthening
Tatyana Matveeva, Head of the Presidential Directorate for the Development of Information and Communication Technologies and Communications Infrastructure, stated that Russia’s AI market is growing by roughly 30 percent annually and has already reached the equivalent of several billion dollars. According to her comments cited by the TACC news agency, the global AI market is projected to hit $243 billion in 2025, also growing at about 30 percent per year.
This pace of expansion indicates that AI technologies are becoming a major driver of Russia’s digital transformation, mirroring global trends. The growth also reflects efforts in import substitution, the development of domestic digital competencies, and movement toward technological independence—areas strengthened by the work of the Presidential Directorate.
The AI sector is emerging as a catalyst for economic growth and increased competitiveness. The fact that Russia is not lagging behind global growth rates sends a strong signal to the international community that the country’s AI sector is on solid footing. Russians can expect more AI‑enabled services—smart public services, automation tools, digital assistants—while government agencies benefit from deeper digitalization across industries. Federal authorities continue to support the sector, and early results are already visible.
AI Everywhere
If growth continues and technologies remain competitive, Russia will have opportunities to expand the export of AI software, platforms, and services. Analysts at Smart Ranking estimate that Russia’s AI market could reach as much as $21.1 billion by the end of this year. Such rapid growth means AI technologies have become an integral part of daily life, laying the groundwork for large‑scale adoption in government, manufacturing, healthcare, and education.
As the market advances, regional digitalization programs are also accelerating. Many regions already house competence centers and grant initiatives that support IT projects, forming an essential foundation for future expansion. In other words, the infrastructure and ecosystem are beginning to function cohesively.
Domestic Demand
Digitalization and the development of AI technologies are among Russia’s top national priorities. Between 2020 and 2022, the national ‘Digital Economy’ program—including the federal ‘Artificial Intelligence’ initiative—laid the groundwork for AI infrastructure and workforce development.
Since 2022, import substitution and localization have gained importance. The withdrawal of foreign vendors stimulated the growth of domestic AI platforms and software, fueling internal demand. Between 2023 and 2024, Russian companies significantly expanded AI adoption across business and government sectors, alongside rapid progress in robotics and digital platforms—key preconditions for a mature market.
Another crucial factor is Russia’s work on the ethical framework for AI deployment. The nation created the Alliance for Artificial Intelligence, whose most significant contribution to date is the AI Ethics White Paper. Its core questions outline how AI should develop in the near future. These issues have been raised repeatedly at global IT forums, including the Global Digital Forum and RIF‑2025.
Future Export Potential
An annual growth rate of 30 percent is sustainable for a mature tech sector. At this pace, Russia’s AI market will double roughly every 2.5 to 3 years, securing its place as a key component of the digital economy. Given the scale of government involvement—including at the highest levels—these projections appear realistic.
Within the next two to three years, the Russian AI market is expected to reach or exceed the equivalent of $22 billion, with the share of domestic solutions continuing to grow. Challenges remain: workforce development, creation of globally competitive products, data protection, AI ethics, and scalable deployment.
Despite the increase in the number of IT specialists—approximately 1 million as of 2024—the shortage of experienced professionals capable of leading major AI projects persists. Konstantin Romanov, Director of AI and Digital Products at VimpelCom, noted a deficit of qualified specialists, especially in machine learning and data science, alongside rising competition between major and regional employers.
The broader ecosystem, comprising more than 900 organizations, is well‑developed, though uneven distribution of competencies and leadership remains a concern. Still, the sector’s strong management and current positive trajectory suggest that Russian AI solutions may soon expand more actively into markets across the CIS and the Middle East—regions aligned with Russia’s technological infrastructure and regulatory environment.
