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Future Market Insights has recently published a report on “Augmented Reality and Virtual Reality Market – Global Industry Analysis & Forecast, 2017-2025”. The global augmented reality and virtual reality market was valued at US$ 5,176 Million in 2016 and is expected to register a CAGR of 42.2% between 2017 and 2025. Technology companies, especially, gaming companies are focusing on increasing investments and are driving the growth of the global Augmented Reality and Virtual Reality market.

Global Augmented Reality and Virtual Reality Market: Overview, Analysis, & Forecast

The global augmented reality and virtual reality market is segmented by device type, technology, end user, application and component. The component segment has been further categorized into hardware, software and services. The hardware segment has been categorized into these sub-segments: display, processor, sensors, user interface ICs, power management ICs and others. The Sensors sub-segment is anticipated to register a CAGR of 50% during the forecast period.

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On the basis of technology, the global augmented reality and virtual reality market has been segmented into augmented reality and virtual reality. The virtual reality segment registered highest market share and was valued at US$ 3,498 Million in 2016 globally. Further, the adoption rate of AR & VR in gaming is increasing rapidly and is responsible for the growth of the segment in the overall market. However, the virtual reality segment is expected to register a stable CAGR of 40.5% during the forecast period.

On the basis of devices, the global augmented reality and virtual reality segmented into head mounted display, handheld devices, head-up display, smartglasses and others. The head mounted display segment accounted for a CAGR of 44% during the forecast period. Head mounted display segment also accounted for highest market share in 2016 and was valued at US$ 4,156 Million in 2016 in the overall devices segment.

On the basis of end-user, the global augmented reality and virtual reality market is segmented into consumer and commercial. The commercial segment accounted for a CAGR of 46% during the forecast period. In 2016, the consumer segment accounted for the highest market share and represented a valuation of US$ 3,099 Million.

On the basis of application, the global augmented reality and virtual reality market is segmented into gaming, media & entertainment, real estate, retail, education, engineering, healthcare and others. The gaming segment accounted for a CAGR of 45% during the forecast period. Gaming segment held the largest market share in 2016 and was valued at US$ 1,997 Million in 2016.

The report also covers trends driving each segment and offers analysis and insights regarding the potential of Augmented Reality and Virtual Reality market in regions including North America, Latin America, Europe, Asia Pacific, and Middle East and Africa. Among these regions, North America accounted for the largest market share in 2016 owing to the increasing adoption of AR & VR in gaming in countries, such as the U.S. and Canada.

Countries, such as GCC, China and Japan, in Asia Pacific region offer greater potential, which will drive the growth of the global augmented reality and virtual reality market in the region. MEA and Asia pacific region is expected to register healthy CAGR during the forecast period.

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Key competitors in the Augmented Reality and Virtual Reality market are