fbpx

Digi-Capital AR/VR Report 2016 Highlights $700m Investment

2015 was a rollercoaster year for virtual and augmented reality (VR/AR). From the announcement of the HTC Vive at the beginning to the first consumer launch of the Samsung Gear VR head-mounted display (HMD) in November. Then there was all the apps, videogames, 360-degree videos and more released by developers and production studios to compliment what hardware there was available. All this takes investment and now tech advisor Digi-Capital has released its new Augmented/Virtual Reality Report 2016 highlighting the industry captured nearly $700 million USD of investments in AR/VR in 2015.

Digi-Capital-ARVR-Sector-Investments

The report shows that the industry has seen 6 straight quarters of growth, with $686 million USD in investments in 2015. As Tim Merel Founder/CEO of Eyetouch Reality and Digi-Capital states: “The cash has been flowing into sectors where investors see both short and long term opportunities, including AR/VR video, games, solutions / services and both AR and VR head mounted displays.”

Merel goes on to say: “What is surprising is that AR/VR investments between 2011 and 2015 have returned 128% of all the money invested already (although a huge chunk of that was Facebook/Oculus). We’re seeing a high level of deal flow in the market, so there could be some chunky acquisitions this year as major players try to leapfrog the competition.”

Digi-Capital-ARVR-Sector-M-A

And this year could be even bigger as HMDs from the likes of Oculus VR, HTC/Valve and Sony Computer Entertainment (SCE) due to hit the shelves over the course of 2016. Many are predicting massive growth with expectations up to $120 Billion USD by 2020, investors are going to be keeping a close eye on this developing market.

VRFocus will continue to follow all the latest VR and AR news and trends, reporting back with the latest updates.