The Immersive Virtual Reality was valued at USD 159.75?million in 2019?and is expected to reach USD 477.02?million by 2025, at a CAGR of 20% over the forecast period 2020?- 2025.?
- Implementation of immersive virtual reality is expected to be the future of education industry. Virtual reality helps to practice things in the same way things happen in the real world without any risk. VR has been instrumental in reducing the cost and risks associated with training and thus, it has led to the adoption of technology across different industries.
- For instance, in October 2018, Walmart collaborated with Oculus and they used 17,000 Oculus Go headsets in order to train its employees for different skills, ranging from customer service to compliance. They are also using to train their employees using the new Pickup-Tower-automated vending units using virtual environments before it was actually deployed in stores.
- Moreover, VR has also influenced the healthcare sector because it helped in creating a virtual environment for the surgeon. Real-time training involves expensive tools and equipment, or hazardous conditions. The adoption of such technology is expected to horizons for the healthcare industry as a whole which in return will boost the market.
- For instances in September 2019, Magic Leap partnered with Brainlab to develop a spatial computing ecosystem. This would help the surgeons and other clinicians visualize and access medical imaging data which allows for the development of more adaptive and personalized forms of digital therapeutic. Although solutions are investigational in nature and not yet commercially available.
- However, the cost associated with virtual reality devices is higher, which is restraining the market to grow during the forecasted period.
Scope of the Report
Immersive virtual reality involves the creation of simulated environments that imitate real objects or person to create an illusion. The creation of such an illusion helps people in understanding actual environments of an industry, arena, space, or situation. Immersive virtual reality has applications across a wide array of industries such as gaming and entertainment, defense, and healthcare which is projected to bring in key revenues into the global market. The VR market for software includes apps, platforms, and content providers in the VR space.
Key Market Trends
Head Mounted Displays is Expected to Have Significant Share
- According to Bank of America, standalone Head Mounted Displays (HMD) shipment across the globe is forecasted to be 14.5 million units in 2020, while in 2018 it was only 4 million units. Such an exponential increase in shipment of HMD is expected to augment the market during the forecast period.
- Further, the demand for virtual reality plays a vital role in enhancing the user’s gaming experience. Thus, the HMD market is driven because of the high demand for VR HMDs in applications such as PC games, consoles, and smartphones. The increasing compatible product/ software launches by the key vendors further drives the market.
- For instances, in June 2019, Magic Leap has announced an exclusive Dr. Grordbort’s Invaders gaming experience at AT&T flagship stores in Chicago and San Francisco. Such games help in continuing to provide more people the opportunity to experiences spatial computing. Hence, it has a positive outlook on the market.
- Moreover, the entertainment field is currently making the best possible use of immersive virtual reality’s HMD. With the increasing innovation and research and development, it has the full-on potential to survive in the entertainment field for many more upcoming years.
- For example, in June 2019, CNN has upgraded the CNN app on Magic Leap One, by introducing interactive mixed media spatial storytelling application. It offered an interactive experience such as users can understand the thickness of caves and can see the entire rescue process. Such innovating applications by the key vendors fuels the market.
North America Occupies Major Share
- North America occupies the major share due to presence of immersive virtual reality players and budding start-ups, which creates a huge opportunity for the market to grow.
- Moreover, the U.S. Army considers virtual reality training as an important path ahead to prepare warfighters. And they have constructed a massive virtual reality platform to help train infantry soldiers in realistic battlefields filled with millions of artificial intelligence agents.
- In October 2018, The U.S. Army partnered with Bohemia Interactive Simulations (BISim) to meet the requirements of the Army’s Synthetic Training Environment (STE) initiative. This enabled simulation systems to leverage a persistent virtual world for any imaginable training need, which included support for multi-domain operations incorporating cyber and space. Such initiatives create a positive impact on the market and thus, opens windows for other countries to invest in immersive virtual reality.
The immersive virtual reality market is moderately competitive in nature. Furthermore, research and development initiatives aimed at improving the quality, performance, and effectiveness of immersive virtual environments is projected to propel market demand in the years to come which in return will increase the competition among the key vendors. Some of the key vendors are EON Reality, Carl Zeiss AG, Archos, and Sony Corporation etc. Some recent developments are:
- September 2019 - Infosys Ltd today inaugurated its Technology and Innovation Center in Arizona. The center includes a series of living labs, showcasing new prototypes in virtual reality, augmented reality and robotic technologies, and serves as a space to foster co-creation, training, and collaboration. This would help Infosys to develop cross-functional solutions to pressing business challenges in areas such as machine learning, artificial intelligence, user experience and advanced digital technologies, such as big data and cloud.
- July 2019 - EON Reality partnered with DENSO International Asia Singapore to provide a series of innovative augmented and virtual reality training solutions for DENSO International Asia Singapore employees. DENSO operates in 200 locations with more than 170,000 technicians and employees worldwide, hence the implementation of AR/VR solutions would reduce the training cost.
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