Augmented and Virtual Reality Market

Global Augmented and Virtual Reality Market Size (2024-2032):

The Global Augmented and Virtual Reality Market was worth US$ 379.61 billion in 2023 and is anticipated to reach US$ 31,348 billion by 2032 from US$ 620 billion in 2024. It is predicted to register a CAGR of 63.3% during the forecast period 2024-2032.

MARKET SCENARIO

Augmented reality is a technology that uses the existing user environment and overlays digital or virtual information or content to deliver an immersive digital experience in a real-time environment. Virtual reality is a computer-generated 3D environment, which completely immerses end users in an artificial world without seeing the real world. Augmented reality applications are developed in special 3D programs, which allow developers to integrate contextual or digital content with the real world in real time. Virtual reality provides a realistic user experience of the artificial world in an interactive simulated environment.

Augmented reality integrates digital information with the user's environment in real-time and uses the existing environment to overlay new information on top of it. AR integrates the reality with the virtual world with the help of software platforms or software-defined kits. This technology is partially immersive, which means that the user can experience the real world and the augmented world at the same time. Using smartphones and tablets, the user can move around in any environment and thus combine the real world with the augmented world.

Augmented reality and virtual reality are immersive technologies that visualize a virtual environment through the use of a device or on a surface / platform. Virtual reality software is used to create an artificial environment and is presented to the user in a way that makes them believe and experience like a real environment. Virtual reality is experienced primarily through vision and audio.

MARKET GROWTH AND TRENDS

Semi and fully immersive technology to play an important role in the growth of the global augmented reality and virtual reality market

Most companies focus on developing immersive video games for users. Virtual reality headsets allow users to interact with the virtual world. The growing demand for semi-immersive and fully immersive virtual reality devices is the result of improvements in computer systems and electronic networks. Furthermore, innovations such as fully immersive HMDs with VR technology that provide a high-resolution 360 ° field of view to the user are expected to drive growth in this market.

Software to play an important role in the growth of the augmented reality and virtual reality market

The AR and VR software market has seen strong growth in recent years and is supposed to dominate the worldwide market in the next five years due to the trend of VR content creation and AR games. Mass consumption is believed to contribute to the widespread adoption of AR and VR. Delays in the launch of new AR and VR hardware and declining AR and VR hardware sales negatively affected revenue growth in the AR and VR software market.

MARKET DRIVERS

The increasing penetration of smartphones and mobile games and the rising adoption of virtual and augmented reality solutions in education are supposed to drive market growth.

MARKET RESTRAINTS

The lack of efficient user experience design and low growth in underdeveloped economies are estimated to hamper market growth during the outlook period. Instead, increasing investment in the market should be a augmented and virtual reality market opportunity.

REPORT COVERAGE

SEGMENTAL ANALYSIS

Global Augmented and Virtual Reality Market Analysis By Organization Size

• Large Enterprises
• Small & Medium-Sized Enterprises

Global Augmented and Virtual Reality Market Analysis By Application

• Consumer
• Enterprise

Global Augmented and Virtual Reality Market Analysis By Industry Vertical

• Gaming
• Entertainment & Media
• Aerospace & Defense
• Healthcare
• Education
• Manufacturing
• Retail

REGIONAL ANALYSIS

North America and Europe are the major contributors to this industry, while Asia Pacific and LAMEA are anticipated to offer promising growth opportunities in the future.

MARKET KEY PLAYERS

The major players operating in the global augmented and virtual reality market analysis include Google Inc., Sony, Magic Leap, Inc., HTC, Microsoft Corporation, Osterhout Design Group, Facebook, DAQRI, Samsung Electronics Co., Ltd., and Wikitude.

RECENT HAPPENINGS IN THE MARKET

• In March 2021, Epson America, Inc., a unit of Japan’s Seiko Epson Corporation, made a deal with 3D HoloGroup (USA), a AR software architecture and systems integration specialist, to focus on the sales of The Epson AR glasses.
• In June 2019, PTC acquired TWNKLS (Netherlands), a provider of practical AR solutions for Industry 4.0, to accelerate the development of enterprise AR applications.
• In May 2019, Microsoft released second-generation HoloLens, HoloLens 2. The complete HoloLens 2 suite includes Unity Pro free trials, Azure credits, and the Unity PiXYZ plug-in for CAD data. The company also announced Unreal Engine 4 support for HoloLens 2, which will provide customers with a more realistic experience.