Report Indicates AR Could Approach $85 billion in Revenue by 2022
Report by Digi-Capital forecasts continued growth in AR commerce.
There has been much attention given to augmented reality (AR) within the past year, something that accelerated with the release of Apple’s ARKit. A new report from Digi-Capital indicates that AR markets will continue to see high growth over the new few years.
The report compares the projected growth of AR in various sectors with that of virtual reality (VR). In particular, the report estimates that the total installed userbase for VR will be roughly 60 million, while AR is expected to approach 3.5 billion installed users. Digi-Capital argue that this is a result of AR being relatively ubiquitous in comparison to VR.
Mobile AR is expected to dominate the AR sector for the foreseeable future, according to the report, with tools and services such as ARKit/ARCore-powered apps seeing considerable growth, and increased uptake of features such as Facebook Camera Effects or Snap Lens Studio. Though Digi-Capital anticipates that AR smartglasses such as the ones produced by Magic Leap, Meta or Vuzix will form the long-term future of AR and VR development.
Research conducted by Digi-Captial shows that mobile VR is slowing down as smartphone companies devote more attention towards AR, seeing a fall-off in long-term installed userbase. Conversely, the report forecasts an acceleration in growth for high-end standalone VR devices such as the recently released HTC Vive Focus or Oculus Santa Cruz.
As the report indicates, the majority of currently available AR mobile apps are ports or adaptations of apps or videogames from other platforms reworked into AR or with added AR features. Digi-Capital predict that AR’s advantages will allow it to become a large revenue driver, pointing to apps such as Houzz, which has used AR to drive increased sales, expecting that large commercial entities such as Amazon, Alibaba or eBay will also soon be leveraging AR.
Digi-Capital maintains its prediction that Apple will soon be launching its own AR smartglasses device, adding fuel to a rumour that has been circulating for quite some time. VRFocus will continue to bring you the latest news from within the VR and AR industry.