The global Augmented Reality Market size is projected to reach USD 3664.5 Million by 2026, from USD 849 Million in 2019, at a CAGR of 27.6% during 2020-2026. The increasing demand for AR devices and applications in medical, increase in demand for AR in retail and e-commerce, and rising investment in the major drivers for the market.
Key drivers of the augmented reality market include the increasing use of AR devices in the medical industry. The increasing penetration of smartphones and the booming gaming industry will fuel the growth of the augmented reality market during the forecast period. The adoption of AR in the retail and eCommerce industry will boost augmented reality growth in the coming years. The need for remote assistance in the automobile industry will push the market forward in the upcoming years.
The augmented reality and virtual reality market will be impacted positively through growing use in the medical sector. Leveraging AR solutions can help in various ways. Surgeons are using healthcare simulations to plan and prepare for surgeries. High-end 3D visualization can improve patient care tremendously. It allows predictive maintenance of medical equipment and overcoming stress disorders or phobias. Remote training will become fast with the blending of the physical and virtual landscape. The ease of connectivity and sharing of contextual data will be smooth and the entire human anatomy can be replicated in a virtual environment for extensive research and training. This reduces the costs related to staff training and deployment. Moreover, policyholders can get their doubts resolved through real-time guidance on filling out claims, billing management, and insurance payments without having the need to contact any third-party agents. These factors will boost the growth of the Augmented Reality market during the forecast period.
Gaming and entertainment sector
Artificial reality or extended reality has immense possibilities in the gaming space. The integration of gaming visuals with a real-world environment along with audio mixing enhances the user’s gaming experience. With the rapid proliferation of smartphones, tablets, and portable gaming systems developers are deploying AR capabilities in games to boost their interactivity. It expands the gaming field taking advantage of the diversity in the real-world environment to keep the games interesting. A pre-created environment takes hints from the user’s surroundings making it possible for the digital avatars to climb from coffee tables to sofas from virtual bridges. There is a continuous demand for a new immersive scenery as once players fully explore one scene they move on to the next one for more challenges. This in turn will surge the growth of the augmented reality market in the forthcoming years.
Retailers have become competitive. Augmented reality has revolutionized the shopping industry. Consumers no longer need to try clothes in fitting rooms as they can now wear clothes in virtual fitting rooms. AR apps can simulate how they look in different styles, designs, and colors without the need for visiting a store. Moreover using facial recognition technology and AR fashion and beauty industry players are enabling users to try their products via a smooth user interface. In the case of furniture shopping, AR recreates the actual room space of customers. They can virtually check out how a particular piece of furniture will fit in their entire room design. Using real-life parameters and artificial intelligence closer to the life building structure is recreated accurately. Consumers can engage in virtual storytelling experiences with brands that ultimately boost loyalty, sales, and personal branding. These factors will drive the demand for the augmented reality market during the forecast period.
Augmented Reality Market Size and Scope
The use of AR technology in the gaming industry will increase the growth of the AR market size during the forecast period. AR implementation in gaming applications will enable users to search the physical environment and enhance the experience through the incorporation of visual & audio content.
In the healthcare sector, AR can be used to provide a simulated view of a patient, where a surgeon can see the state of the patient's body parts. This may help the surgeon undertake minimally invasive surgery. The use of AR modeling and 3D visualization is expected to be of great assistance to the healthcare industry. Using AR, the healthcare industry can improve medical students' learning experience, train doctors, manage the pharmacy, and provide care and support for patients after leaving the hospital. This integration of AR in the medical industry is expected to increase the AR market size during the forecast period.
AR provides the retail industry with a wide range of technology solutions that improve the connection between retailers and customers. Emerging trends in the retail segment, such as pop-up stores, are expected to fuel the growth of the AR market size.
Increasing smartphone penetration in developing economies is also expected to boost the growth of the AR market size during the forecast period.
Based on type, the head-up display will grow the highest in the augmented reality market share due to increasing adoption in the automobile and gaming industry. AR-based mobile games and ADAS systems are becoming mainstream.
Based on application, the healthcare industry is expected to dominate in the augmented reality market share due to growing utilization in medical training, surgery visualization, etc.
Based on region, the Asia-Pacific segment will witness considerable growth in the augmented reality market share due to the expansion of several end-user industry verticals and dominance like China due to the presence of low-cost hardware manufacturers.
The global Augmented Reality market is split into two segments, type, and application. The product type briefs on the various types of products available in the market. The report also provides data for each product type by revenue for the forecast time period. It covers the price of each type of product. The other segment on the report, application, explains the various uses of the product and end-users. In the report, the researchers have also provided revenue according to the consumption of the product.
The report lists the major players in the regions and their respective market share on the basis of global revenue. It also explains their strategic moves in the past few years, investments in product innovation, and changes in leadership to stay ahead in the competition. This will give the reader an edge over others as a well-informed decision can be made looking at the holistic picture of the market.
Ans. The global augmented reality market size is projected to reach USD 3664.5 Million by 2026, from USD 849 Million in 2019.
Ans. The global augmented reality market is expected to grow at a compound annual growth rate of 27.6% during 2020-2026.
Ans. Some key players operating in the augmented reality market are Google, PTC, Microsoft, Wikitude, DAQRI, Zugara, Blippar, Magic Leap, Osterhout, Others
Ans. Increasing smartphone penetration in developing economies is also expected to boost the growth of the augmented reality market size during the forecast period.
Ans. Head-up Displays are expected to grow at the highest CAGR in the AR market during the forecast period.