AR/VR Market and It's Participants
The global spending on AR/VR technology is forecasted to reach $72.8B by 2024. Discover the latest trends and forecasts of the AR/VR market.
The augmented and virtual reality market is rapidly growing due to the increased adoption of virtual and augmented reality technologies as more businesses are turning to remote work. IDC estimates global AR/VR technology spending will increase from $12B in 2020 to $72.8B by 2024. TrendForce noted that nearly 5.5 million AR/VR units were sold last year, predicting that in 2 years the sales will grow to 26 million units per year, with 53% accounted for gaming content. The implementation of VR technologies in the entertainment industry went much beyond video games. It is becoming a new normal to watch a movie “together” while staying apart just by using VR headsets and a corresponding app.
The Diverse Potential of AR & VR Applications
By 2025, the market of AR and VR software in the public sector is estimated to reach $16.1B, and in the consumer sector - $18.9B. Compared to this year, the size of the world market will increase by more than 800%, from $35B up to $296.9B. Not surprisingly, the game content has a leading position with an estimated value of $11.6B, and it accounts for about 34% of the total AR/VR market. Other industries that possess significant shares of the AR/VR market are healthcare - $5.1B or 15%, engineering - $4.76B or 14%, real estate - $2.6B or 7%, retail - $1.6 or 5%, and military - $1.4B or 4%.
Shipments of AR/VR Devices by Category
Regardless of the actual numbers, the future of AR/VR is very promising, with everybody, from developers to end users, expressing great optimism about the AR/VR future. 2020 and 2021 were the years when people finally accepted virtual technology, but in 2022 virtual technology truly exploded.
Despite mainstream adoption of VR and AR technology, the technology is still in its infancy. Although billions of people own smartphones, holding the device or viewing the experience through a five-inch screen is limiting. On the other hand, the immersive experience of AR/VR is restricted since there are relatively few headsets, and prices can be restrictive when considering a large-scale rollout across a business or organization. However, these challenges create new opportunities for companies.