A new report published by Market Insights Reports shows that large US-based tech companies are still leading the way with regards to trends and development within the augmented reality (AR) sector. The report also forecasts potential areas of significance for AR for the next five years.
The report, titled ‘Global Augmented Reality Market Outlook 2024: Global Opportunity and Demand Analysis, Market Forecast, 2018-2024’ was created to show market sizing, growth as well as top market players and growth areas.
The report notes that much of the interest in AR development is due to the popularity of smartphones, and the rising penetration of smartphone technology into new markets. Applications such as Pokemon Go have had a significant impact on its profile, raising awareness of the technology among the general public and business alike.
It is indicated that many industries are beginning to use AR technology for product demonstration purposes, as well as to enhance customer service and training, such as in the military where it can assist in providing real-world experience. Businesses are leaning towards the AR technology as it requires no additional hardware, unlike virtual reality (VR).
The global VR and AR market accounted for $5.2 billion (USD) in 2016, of which AR had a 40% share and accounted for $2.1 billion in that year. The report forecasts that the AR market will expand at a CAGR of 60.9% to reach an estimated value of $94.6 billion by 2024.
North American holds the current highest revenue share in the global AR market, with over $1.3 billion in revenue generated, followed by Europe with an 18% revenue share. UK is the dominant force in the Europe region, with a 5% market share. Asia Pacific is expected to be the fast-growing region over the forecast period due to rapidly expanding economies in the region.