According to a new market report published by Credence Research, Inc. “Augmented Reality (AR) (By End-use Application (Consumer (Gaming, and Entertainment), Commercial, Healthcare, Defense and Aerospace, and Others), By Display Type (Head Mounted Display, Handheld Display, Head-Up Display, and Spatial Display)) Market – Growth, Share, Opportunities, Competitive Analysis, and Forecast 2016 – 2023” the augmented reality market is expected to exceed US$ 95.0 Bn by 2023, witnessing a double digit compound annual growth rate during the forecast period 2016-2023.
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The Augmented Reality (AR) technology, which deals with the superimposition of computer generated data and real images has been around since 1970s. After all years of buildup regarding the potential of the technology, it is finally on the brink of becoming main-stream. The mounting penetration of mobile devices such as smartphones and tablets coupled with the advancements in their computational capabilities has offered a perfect medium for consumers to experience augmented reality in the years to come.
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Like virtual reality, the global market for augmented reality is highly competitive and fragmented across different application domains. The technology developers are required to understand distinct requirements of each application domains separately. The leading top 4 players in the global augmented reality market account for less than 45 percent of the global market revenue. Some of the leading players identified in the global augmented reality market include Qualcomm, Inc. (the U.S.), Google, Inc. (the U.S.), Microsoft Corporation (the U.S.), Blippar.com Ltd (the U.K.), Wikitude GmbH (Austria), Daqri LLC (the U.S.), Sony Corporation (Japan), Samsung Electronics, Co. Ltd. (South Korea), Magic Leap, Inc. (the U.S.), and Infinity Augmented Reality Inc. (the U.S.) among others. The global augmented reality market is also characterized by the presence of large number of niche players accounting for small market share individually. The competitive rivalry among current market players is comparatively high and is expected to remain high throughout the forecast period 2016 – 2023.
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- Growing adoption of augmented reality-based wearable displays (ex – head mounted displays) in consumer and defense applications
- Declining profit margin in hardware business
- Emergence of AR app store
- Focus on tapping enterprise users
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