28 1 / 2016

Augmented Reality Market is Ready to Ramp Up

image

This week Goldman Sachs released exciting projections for the augmented and virtual reality market. The firm predicts an $80 billion market by 2025, with entertainment uses leading the way, with huge contributions from a variety of industries. Much attention has been paid to video game platforms as potential uses for AR and VR technology, but Goldman estimates that retail and real estate alone could drive $4.6 billion in sales in the next 10 years. The Goldman report anticipates that adoption of AR and VR technology will initially be slow, with the price of head-mounted-devices (HMD) such as Facebook’s Oculus Rift and models from Samsung, HTC and others being a limitation for many would-be adopters. The expectation is that prices will drop similarly to any new technology, at a rate of 5-10% per year.

image

Another report this week, from Beecham Research, predicts enterprise applications for AR and VR are going to drive adoption among engineers, physicians and numerous other professions. Beechman cites battery life, miniaturization and overall improvement in user experience as the factors that will drive both innovation and adoption in the AR and VR market. Market reports on AR and VR are beginning to emphasize the broad applications of the technologies - beyond entertainment, which for so long as been the go-to example for these emerging platforms. While the report focused mainly on the future, AR is already helping many organizations achieve business goals today. Read more about how visualization is the next big sales tool.