Status : Published Published On : Aug, 2021 Report Code : VRICT5010 Industry : ICT & Media Available Format : Page : 192
2022
2030

Global Augmented Reality and Virtual Reality Market – Analysis and Forecast (2022–2030)
Industry Insights by Component (Hardware and Software), by Device Type (AR Devices and VR Devices), by Application (AR Applications and VR Applications)

Industry Overview

The global augmented reality (AR) and virtual reality (VR) market is estimated to generate revenue of USD 28.2 billion in 2021 and is expected to reach USD 165.3 billion by 2030, witnessing a 50.6% CAGR during the forecast period. Increasing responsiveness about this technology among the consumers in both developed as well as developing an economy, rapid acceptance of AR and VR technology among various industry domains along with an amalgamation of AR and VR to develop the mixed reality that can be implemented for prospective applications, propelling the growth of the market.

Augmented Reality and Virtual Reality Market Highlights

VR enables the utilization of computer technology in order to develop a simulated environment. On the contrary, AR coats computer-generated developments over an existing reality that enhances the interaction ability of this system.

Market Segmentation

Insight by Component

Based on components, the global augmented reality and virtual reality market is divided into data hardware and software, wherein the hardware category accounted for the largest share in 2020. However, the software category is expected to witness faster growth during the forecast period owing to the increasing demand from the media and entertainment industry to meet the evolving needs of the consumers such as that simulation games that are based on AR technology.

Insight by Device Type

On the basis of device type, the global augmented reality and virtual reality market are categorized into AR devices and VR devices. Among the two categories, the AR devices category is expected to witness faster growth during the forecast period owing to the high demand for AR and VR technology from the healthcare and retail domain in a developed economy that enables doctors and nurses to identify vein locations in patients.

Insight by Application

Based on application, the global augmented reality and virtual reality market are categorized into AR applications and VR applications. AR application is further categorized into consumer, commercial, aerospace and defense, enterprise, healthcare, and others. Among these categories, the consumer application accounted for the largest share of the market. Further, VR application is also categorized into consumer, commercial, aerospace and defense, enterprise, healthcare, and others. Among these categories, the commercial application accounted for the largest share of the market.

 Augmented Reality and Virtual Reality Market Report Coverage

Report Metric

Details

Historical Period

2018–2021

Base Year Considered

2021

Forecast Period

2022 - 2030

Market Size in 2021

$28.2 Billion

Revenue Forecast in 2030

$165.3 Billion

Growth Rate

CAGR 50.6%

Segments Covered in the Report

By Component, By Device Type, By Application, By Region.

Report Scope

Market Trends, Drivers, and Restraints; Revenue Estimation and Forecast; Segmentation Analysis; Impact of COVID-19; Companies’ Strategic Developments; Market Share Analysis of Key Players; Company Profiling

Regions Covered in the Report

North America, Europe, Asia-Pacific, Middle East, and the Rest of the World

 

Industry Dynamics

Trends

Introduction of gaming consoles by major players such as Sony Corporation and Google, mobile applications, and the development of novice virtual and augmented reality-based devices are some of the major trends observed in the AR and VR market across the globe. Moreover, easy and versatile utilization of these devices along with a high degree of mobility and flexibility are the key factors that are pertaining to the growth of the AR and VR market across the globe.

Growth Drivers

The Global augmented reality and virtual reality market has been driven by several key factors, predominantly rapid growth in the adoption of tablet computers and smartphones, technological development, excessive concentration of major tech players in the AR and VR system along with extensive mobility and versatility. It has been observed that AR and VR systems are becoming accessible to consumers through various mediums such as platforms and devices. Furthermore, smartphones are extensively being utilized as input expedients for monitoring the VR situation, especially for virtual reality gaming applications.

Moreover, the increasing penetration of smartphones and tablet computers is extensively contributing to the growth of the augmented reality and virtual reality market across the globe. The tablet-based and mobile-based AR and VR technology is observing rapid application from the key players operating in education, interior designing, e-commerce, architecture, and furnishing. These factors are thereby attributing to the rapid growth of the AR and VR market globally.

Challenges

Key factors hindering the growth of the augmented reality and virtual reality market are the progression of user-friendly VR systems along with alarming health concerns due to the use of AR and VR technology. Certain health concerns that are observed from the use of this system include motion sickness, eyestrain, and nausea which are usually drastic for health for a longer lifespan due to the prolonged effect on the eyes. Moreover, due to these health impacts, the demand for AR and VR technology is impacting in a negative manner.

Industry Ecosystem

Globally industry players in the global AR and VR market are leveraging market growth through mergers and acquisitions, technological developments, and strategic developments. The rapid development of new products is thereby fueling the demand for AR and VR market globally. For instance, Samsung along with Oculus VR has recently developed virtual reality devices for extensive utilization of huge mass along with key smartphone players. These accomplishments are thereby exaggerating the growth of the AR and VR market across the globe. 

Geographic Overview

Asia-Pacific is observed to witness significant growth in the global augmented reality and virtual reality market during the forecast period. The growth of this market is attributed to increasing investment in defense and commercial domains in this region. The existence of a large number of display board industrialists along with technological enhancements is the key factor bolstering the growth of the AR and VR market. Furthermore, accentuating growth in the automotive and healthcare domain in a country such as Japan is expected to further drive the growth of the AR and VR market in the near future.

Competitive Insight

Market players in the global augmented reality and virtual reality industry are leveraging market growth through mergers and acquisitions, technological developments, and strategic developments. These players are also launching new products to cater to the demand of different organizations. For instance, Samsung along with Oculus VR has recently developed virtual reality devices for extensive utilization of huge mass along with key smartphone players.

Some of the key players operating in the global augmented reality and virtual reality market are Alphabet Inc., Oculus VR, LLC, Microsoft Corporation, Qualcomm Technologies Inc., Intel Corporation, Himax Technologies Inc., Samsung Electronics Co. Ltd., PTC Inc., and Sony Corporation.

The Augmented Reality and Virtual Reality Market report offers a comprehensive market segmentation analysis along with an estimation for the forecast period 2022–2030.

Segments Covered in the Report

  • By Component
    • Hardware
    • Software
  • By Device
    • AR Devices
      • Head-Mounted Displays
      • Head-Up Displays
    • VR Devices
      • Head-Mounted Displays
      • Gesture Tracking Devices
      • Projector & Display Wall Devices
  • By Application
    • AR Applications
      • Consumer
      • Commercial
      • Aerospace and Defense
      • Enterprise
      • Healthcare
      • Others
    • VR Application
      • Consumer
      • Commercial
      • Aerospace and Defense
      • Enterprise
      • Healthcare
      • Others

Region Covered in the Report

  • North America
    • U.S.
    • Canada
    • Mexico
  • Europe
    • Germany
    • U.K.
    • Spain
    • France
    • Rest of Europe
  • Asia-Pacific
    • China
    • India
    • Japan
    • South Korea
    • Rest of Asia-Pacific
  • Latin America
    • Brazil
    • Mexico
    • Argentina
    • Rest of Latin America
    • Middle East & Africa (MEA)
  • UAE
    • South Africa
    • Rest of MEA

 

Augmented Reality and Virtual Reality Market Size

Source: VynZ Research

Augmented Reality and Virtual Reality Market Analysis

Source: VynZ Research

Frequently Asked Questions

easy and versatile utilization of these devices along with a high degree of mobility and flexibility are the key factors that are pertaining towards the growth of AR and VR market across the globe
Asia-Pacific is observed to witness significant growth in the global augmented reality and virtual reality market during the forecast period.
The growth of this market is attributed towards increasing investment in defense and commercial domain in this region.
Global augmented reality and virtual reality market application is into consumer, commercial, aerospace and defense, enterprise, healthcare, and others.
Increasing penetration of smartphones and tablet computers is extensively contributing towards the growth of the augmented reality and virtual reality market across the globe.

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Research Methodology

  •  Desk Research / Pilot Interviews
  •  Build Market Size Model
  •  Research and Analysis
  •  Final Deliverabvle

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