AR Market Forecast to Grow Exponentially in Near Future

The global augmented reality (AR) market is valued at USD $1.54 billion in 2020 and is anticipated to grow with a CAGR of 55% during the forecast period from 2020 to 2028, according to a new report from Quince Market Insights. Major factors that are contributing to the growth of the market include increasing demand for AR devices from various industry verticals including health care and media and entertainment, among others. Also, increasing investments for the development of AR technology by the major players are promoting the growth of the AR market.

Key players in the market are investing heavily in the development of the AR technology. Google, as one example, in January 2019 launched new add-ons in its search engine that deploy Google Lens and Augmented reality. This enables it to superimpose content and information into the real world. 

AR applications require AR devices, due to which the hardware segment is expected to dominate the market during the forecast period. Companies such as Google, Magic Leap and Daqri LLC are focusing more on the development of AR devices. However, the health issues associated with the continuous use of AR devices are expected to restrain the market growth during the forecast period.

Global AR Market by Component

In terms of component, the hardware segment is holding a major share in the global augmented reality market in 2020 and is anticipated to remain the largest during the forecast period. Among hardware, the displays and projectors have dominated the market since many major players including Visteon, Magic Leap and others already have their AR displays. Additionally, the rising demand for AR devices in the health care sector is expected to drive the growth of displays and projectors in the global AR market.

Global AR Market by Type

In terms of type, the head-up display segment of the AR market is expected to grow at the highest CAGR during the forecast period. These displays are currently in the introductory phase and have a high potential in the automotive sector. Automotive companies such as BMW is set to launch the AR HUDs in its upcoming premium models, which is expected to be launched in later 2020. The current BMW 7 series models have traditional HUDs.

Global AR Market by Technology

In terms of technology, the near eye-based technology segment of the global AR market has captured the largest market share in 2020, as major AR devices such as head-mounted displays use the near eye-based technology. It has witnessed significant adoption in last year.

Global AR Market by Application

In terms of application, the media and entertainment segment of the AR market has captured the largest market share in 2020 due to the higher adoption of head-mounted AR devices across the media and entertainment applications.

Global Augmented Reality Market by Region

In terms of region, the Asia Pacific region has dominated the global AR market in the year 2019 and 2020. The major contributing factor is the higher adoption of AR devices among e-commerce players of the Asia-Pacific region. Countries such as China, Japan and India have witnessed higher adoption of these devices. Increasing adoption of AR devices in the commercial sector in China is expected to boost the market of AR devices across the Asia-Pacific region.

Some Major Findings

• Global AR market trend & forecasts analysis along with a country-specific market analysis for up to 25 countries
• In-depth global AR market analysis by component, type, technology, application and regions with an analysis of trend-based insights and factors
• Profiles of the major market players operating in the global augmented reality market, which include Qualcomm Technologies, Microsoft, Blipper, Infinity Augmented Reality, Google, DAQRI, Samsung Electronics, Catchoom Technologies, Magic Leap, Sony, PTC, Wikitude, Zugara, Osterhout Design Group, METAIO’s SDK, Facebook and Total Immersion, among others.
• Competitive benchmarking, product offering details and growth strategies adopted by the leading market players, along with their major investments in the last 5 years.
• Key impact factor analysis across regions that includes COVID-19 impact analysis, along with drivers, restrains, opportunities and challenges that are prevailing in the global augmented reality market.
• Impact analysis of COVID-19 on the augmented reality market.

Browse key industry insights spread across 150 pages with 102 market data tables and 68 figures & charts from the report, “Augmented Reality Market, By Component (Hardware [Display & Projectors, Cameras, Semiconductor Component, Sensors, Position/Room Tracker, Others] and Software), By Type (Head Mounted Display, Head Up Display, and Handheld Device), By Technology (Monitor Based Technology and Near Eye Based Technology), By Application (Consumer, Aerospace & Defense, Healthcare, Enterprise, Commercial, Automotive, Energy, and Others), By Region (North America, Europe, Asia Pacific, Middle East & Africa, and South America) - Market Size & Forecasting (2016-2028)” in-depth analysis along with the table of contents (ToC).

For more details on the report, click here.

Sources: Press materials received from the company and additional information gleaned from the company’s website.