NEW YORK, Oct. 13, 2020 /PRNewswire/ -- One of the major reasons behind the huge 42.9% CAGR that is set to be witnessed in the global augmented reality (AR) and virtual reality (VR) market between 2020 and 2030 is the increase in the sales of tablets and smartphones. As a result, the industry revenue would grow from $37.0 billion in 2019 to more than $1,274.4 billion in 2030! Between 2019 and 2020, the number of smartphone users on this planet is expected to increase by 9.3%, to 3.5 billion, according to the research report published by P&S Intelligence.
This is vastly benefitting the AR and VR market, as smartphones and tablets are fast becoming a preferred hardware interface for deploying AR/VR products. To leverage the versatility of smartphones and tablets as AR/VR interfaces, several companies in the market are providing software development kits (SDKs) for the creation of AR/VR smartphone apps. Moreover, smartphone- and tablet-based AR/VR solutions are being provided for architecture, designing, furnishing, education, and e-commerce purposes.
During the COVID-19 pandemic, the AR and VR market is being impacted negatively, because the lockdown implemented in various nations has resulted in a stoppage in the manufacturing and supply of devices. In addition, as a large number of people are working on reduced salaries or not working at all due to job cuts, they are not procuring non-essential goods, such as AR/VR consoles.
The consumer classification, under the application segment, held the largest share in the AR and VR market in the past, and the situation will remain unchanged in the years to come. As individuals become aware of the utility of the AR and VR technologies in their everyday life, they are rapidly procuring related devices. With the increasing disposable income, a rising number of consumers are spending on AR/VR-driven gaming solutions, as they now want a more immersive experience.
North America is the most productive AR and VR market, primarily driven by the huge investments in the field, which, as per Digi-Capital's AR/VR Analytics Platform, valued $4.1 billion in 2019. Moreover, as per PricewaterhouseCoopers (PwC), as many as one-third of the total manufacturers in the U.S. have either deployed AR/VR or are planning to do so in the near future.
During the next 10 years, Asia-Pacific (APAC) will be the fastest-growing region in the AR and VR market. The adoption of these two technologies is rising rapidly in Japan, China, South Korea, and India. In addition, APAC is home to a large number of companies that manufacture AR/VR display panels, which results in their easy availability in regional nations. The demand for AR/VR in the region is also being driven by their increasing utility in the healthcare and automotive industries and surging spending on the defense and commercial sectors.
Partnerships are allowing companies in the AR and VR market to augment their revenue, as these moves are aimed at:
Allowing users to work remotely and achieve desired manufacturing efficiency
Developing displays based on ultrasonic fingerprint sensors
Driving innovations in the associated fields of 5G, internet of things (IoT), and extended reality (XR)
Procuring hardware for the deployment of their AR/VR software
Making music services available on their AR headsets
The most important players in the global AR and VR market are EON Reality Inc., Alphabet Inc., PTC Inc., Magic Leap Inc., Qualcomm Incorporated, Wikitude GmbH, DAQRI LLC, HTC Corporation, Vuzix Corporation, Seiko Epson Corporation, Himax Technologies Inc., Facebook Technologies LLC, Microsoft Corporation, Samsung Electronics Co. Ltd., and Sony Corporation.
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Extended Reality Market
In 2019, North America was the major revenue contributor to the extended reality market. The growing deployment of AR and VR solutions, presence of major market players, and high adoption of immersive technologies for training purposes in various industries, including oil & gas, mining, and construction, are the major reasons for the region's dominance. In the near future, the Asia-Pacific (APAC) region is expected to witness lucrative growth, owing to the rising internet penetration and increasing adoption of XR solutions in various industries in developing economies, including India, China, and Indonesia.
Simultaneous Localization and Mapping Technology Market
Geographically, the SLAM technology market in APAC is expected to witness lucrative growth during the forecast period. Economic development, expansion of manufacturing facilities primarily in China and India, growing IT spending, and rising adoption of drones by the automotive and manufacturing industries are the key factors fueling the market growth in the region.
P&S Intelligence is a provider of market research and consulting services catering to the market information needs of burgeoning industries across the world. Providing the plinth of market intelligence, P&S as an enterprising research and consulting company, believes in providing thorough landscape analyses on the ever-changing market scenario, to empower companies to make informed decisions and base their business strategies with astuteness.