Augmented Reality Industry Overview
The global augmented reality market size is anticipated to reach USD 597.54 billion by 2030, expanding at a CAGR of 40.9% from 2022 to 2030, according to the latest report by Grand View Research, Inc. The growth of the market can be attributed to the growing adoption of augmented reality (AR) technology in various end-use industries and industry verticals, including automotive, healthcare, and education, among others. The immersive experience AR technology can potentially offer, and subsequently, the growing real-life use cases of AR technology are expected to contribute to the growth of the market in the forecast period.
AR technology has been evolving continuously and getting more accessible and reliable in line with the advances in technology. As such, apart from automotive, healthcare, and education; AR technology is also finding applications in other industries and industry verticals, such as construction. The development of website-based AR is typically allowing users to experience AR online without having to download any application.
Augmented Reality Market Segmentation
Grand View Research has segmented the global augmented reality market based on component, display, application, and region:
Based on the Component Insights, the market is segmented into Hardware and Software.
- The hardware segment accounted for the largest revenue share of 59.8% in 2021 and is expected to continue dominating the market in the forecast period. The growing adoption of AR devices across various industries and industry verticals, such as education, healthcare, construction, and retail, is allowing the hardware segment to dominate the market.
- The software segment is expected to value at the highest CAGR of 41.8% in the forecast period. AR technology is penetrating daily life as a result of the outbreak of the pandemic.
Based on Display Insights, the market is segmented into Head-Mounted Display & Smart Glass, Head-Up Display and Handheld Devices.
- The head-mounted display & smart glass segment accounted for the highest revenue share of 70.7% in 2021.
- The handheld devices segment is anticipated to value at the highest CAGR of 42.4% from 2022 to 2030. The growth of the segment can be attributed to the rising penetration of handheld devices in retail and e-commerce applications.
- The head-up display segment is poised for significant growth in the forecast period. Continued innovations in driver assistance systems are expected to drive the growth of the segment.
Based on Application Insights, the market is segmented into Aerospace & Defense, Automotive, Education, E-commerce & Retail, Gaming & Entertainment, Healthcare, Industrial & Manufacturing and Others.
- The industrial & manufacturing segment accounted for the largest revenue share of 24.3% in 2021 and is expected to continue dominating the market in the forecast period.
- The automotive segment is predicted to grow at a CAGR of 43.3% over the forecast period. Automotive companies are aggressively integrating AR technology in their respective vehicles to enhance customer experience and ensure unique distinctions between their competitors.
Augmented Reality Regional Outlook
- North America
- Europe
- Asia Pacific
- Latin America
- Middle East & Africa (MEA)
Key Companies Profile
The augmented reality market can be described as a relatively untapped market, where several opportunities remain unexplored. Vendors are investing aggressively in research and development (R&D) to develop innovative AR solutions for day-to-day applications as well as for enterprises to simplify their workflows and enhance their processes. Market players are striking strategic alliances and partnerships and engaging in mergers and acquisitions as part of their efforts to advance technology development amid the intensifying competition.
Some prominent players in the global Augmented Reality market include
- Microsoft
- Google LLC
- Apple, Inc.
- Sony Corporation
- Blippar Limited
- Infinity Augmented Reality Limited
- Niantic, Inc.
- Zappar Limited.
- Magic Leap, Incorporated
- Wikitude GmbH
Order a free sample PDF of the Augmented Reality Market Intelligence Study, published by Grand View Research.
