The global extended reality market held a market value of USD 31.26 billion in 2021 and is estimated to reach USD 357.38 billion by the year 2030. The market is anticipated to register a CAGR of 31.80% during the forecast period.
The global extended reality industry has grown tremendously over the forecast period. The rise in demand for immersive entertainment, including augmented and virtual reality is gaining traction. Moreover, the increasing access and improvement in outcomes for patients drives the growth of the extended reality market in healthcare industries.
In addition to that, the rising technological advancements for brand and consumer engagement in different industries. For instance, in May 2019, Microsoft launched the second-gen HoloLens, the HoloLens 2. The complete set of the HoloLens 2 includes free trials of Unity Pro, Azure credits, and the Unity PiXYZ Plugin for CAD data. Thus, such measures drive the market growth.
On the other hand, the rise in privacy concerns is restraining the growth of the industry. Moreover, the legal and health concerns decrease the preference rates of the ER products.
Increasing demand for immersive entertainment and digital environments
The rising demand for digital technologies has given rise to immersive entertainment modes. The companies operating in the industry are focused on highlighting their extended reality products by using different strategies. For instance, in December 2021, Mawari, one of the leading XR streaming solution providers, announced that its 3DXR Content Streaming Platform for the Metaverse will debut on the AWS Marketplace, a managed and curated software catalogue from Amazon Web Services that permits customers to find, buy and immediately deploy third party software.
Continuous developments in technology offering lucrative opportunities
The rising developments by the operating players creates a high level of demand among customers. For instance, in July 2017, Atheer, Inc., the leading provider of enterprise class augmented reality solutions for industrial enterprises, acquired SpaceView. This acquisition will offer Atheer customers enhanced ways to visualize and place 3D virtual objects in the real world, creating richer mixed reality experiences. Atheer extended its growing portfolio of innovative AR and MR technologies and capabilities. SpaceView held several patents relating to the representation of 3D objects in 2D environments which complement Atheer's own patent portfolio. Therefore, such advancement complement market growth.
The global extended reality market is segmented into component, technology, application, and industry.
The hardware segment is estimated to hold more than 50% of the market share in 2022.
o Virtual Reality (VR)
o Augmented Reality (AR)
o Mixed Reality (MR)
The mixed reality segment is projected to hold the highest growth rate of 33.77% owing to the growing inclination of mixed reality and rising adoption rate in the developed as well as developing regions.
o Business Engagement
o Consumer Engagement
The business engagement segment is likely to hold an opportunity of more than USD 100 billion during 2022 to 2030. This segment is estimated to grow heavily owing to the high demand for extended reality software and services for business engagement purposes.
o Industrial & Manufacturing
o Media & Entertainment
The media and entertainment segment is estimated to cross the mark of USD 25 billion revenue by 2027.
Based on region, the global extended reality market has been segmented into Europe, North America, Asia-Pacific, South America, and the Middle East and Africa. The North American market for extended reality is expected to account for an opportunity of more than USD 130 billion during the forecast years 2022 to 2030. In addition to that, the Asia Pacific market for extended reality is likely to grow at the highest growth rate of 32.46%.
The European market for extended reality is growing at a steady rate owing to increasing inclination towards newer technology applications.
Key players operating in the global extended reality market include Dell Technologies Inc., Atheer, Inc., Blippar.com Ltd., EON Reality, Inc., Honeywell International, Inc., Google, Inc., HTC Corp., Manus Machinae B.V., Magic Leap, Inc., Microsoft Corp., Oculus VR LLC, Nokia Corp., Qualcomm Incorporated, Semcon, Samsung Electronics Co., Ltd., VirZOOM, Inc., Sony Interactive Entertainment LLC, Vuzix Corporation, among others.
The key four players in the market hold more than 70% of the market share. These market players are investing in product launches, collaborations, mergers & acquisitions, and expansions to create a competitive edge in the market. For instance, in July 2019, HTC VIVE announced a new business unit and strategy, VIVE Enterprise Solutions, to offer a full portfolio of extended reality (XR) solutions to enterprises and developers worldwide.
The global extended reality market report provides insights on the below pointers:
? Market Penetration: Provides comprehensive information on the market offered by the prominent players
? Market Development: The report offers detailed information about lucrative emerging markets and analyzes penetration across mature segments of the markets
? Market Diversification: Provides in-depth information about untapped geographies, recent developments, and investments
? Competitive Landscape Assessment: Mergers & acquisitions, certifications, product launches in the Global extended reality market have been provided in this research report. In addition, the report also emphasizes the SWOT analysis of the leading players.
? Product Development & Innovation: The report provides intelligent insights on future technologies, R&D activities, and breakthrough product developments
? Pricing Analysis: Pricing analysis of various metals and other components used in the manufacturing
? Manufacturing Cost Analysis: Cost-share of various components in extended reality products
The global extended reality market report answers questions such as:
? What is the market size and forecast of the global extended reality market?
? What are the inhibiting factors and impact of COVID-19 on the global extended reality market during the assessment period?
? Which are the products/segments/applications/areas to invest in over the assessment period in the global extended reality market?
? What is the competitive strategic window for opportunities in the global extended reality market?
? What are the technology trends and regulatory frameworks in the global extended reality market?
? What is the market share of the leading players in the global extended reality market?
? What modes and strategic moves are considered favorable for entering the global extended reality market?