The realm of book illustration is a landscape of diverse creativity, teeming with illustrative prowess and rich storytelling. It is a sector that has witnessed a flurry of transformations over time, primarily influenced by technological advancements and changing consumer demands. This industry report aims to offer a comprehensive discernment into the current state of the book illustrators industry—tracing its history, highlighting the key players, discussing pivotal technological transformations, and examining emerging trends.

Historically, the role of an illustrator was primarily confined to penning a visual representation of the narrative. However, with the advent of various art movements, this role evolved beyond mere visual storytelling to an essential component in creating immersive narratives. Illustrations became a pivot around which the story revolved, amplifying the reader's engagement with the text. This metamorphosis was particularly prominent during the Romanticism and Realism movements, where illustrators like Gustave Doré and Honore Daumier began to interrogate narratives, adding a layer of visual commentary and nuanced interpretation.

Today, the industry is a dynamic space, teeming with a plethora of players, each bringing their unique style and approach to the table. Renowned illustrators like Quentin Blake, known for his eccentric and whimsical style in Roald Dahl's books, or Maurice Sendak, famous for the childlike wonder he brought to "Where the Wild Things Are," have significantly shaped the industry. Their innovations have influenced generations of future illustrators and redefined the genre.

From a technological standpoint, the industry has experienced a dramatic shift. Where once illustrations were painstakingly hand-drawn, the digital age has revolutionized this process. Software suites like Adobe Illustrator and CorelDRAW have made it possible to generate intricate, detailed, and vibrant illustrations at a fraction of the time it would take traditionally. However, this digital transformation is not without its tradeoffs. While these tools increase efficiency and precision, some critics argue that they can dilute the inherent human touch and personality that comes with hand-drawn illustrations.

The book illustration industry is also undergoing changes on the economic front. Multiple revenue models have emerged, from traditional royalties to fee-based contracts and self-publishing avenues. Additionally, the surge in self-published books, and the rise of independent publishing houses, have expanded opportunities for illustrators. It is important to note that while this trend has opened the illustration market to new entrants, it has also increased competition and diluted average income levels.

In terms of emerging trends, the industry is witnessing a surge in the incorporation of interactive illustrations. Augmented Reality (AR) and Virtual Reality (VR) technologies are being leveraged to create immersive and engaging reading experiences. This trend, although still in nascent stages, is speculated to revolutionize the book illustration industry by offering a new dimension to visual storytelling.

To sum up, the book illustration industry today is a tapestry of opportunities, challenges, and transformations. The evolving role of illustrators, technological advancements, the rise of digital tools, and experimentation with interactivity are reshaping the industry's landscape. The key to thriving in this dynamic environment lies in embracing these changes, staying abreast of emerging trends, and continuously reinventing one's artistic approach.