India Augmented Reality and Virtual Reality Market, Competition, Forecast & Opportunities, 2029

The India augmented reality (AR) and virtual reality (VR) market is anticipated to grow at a steady pace in the forecast period, 2025-2029. According to IBEF research, India AR & VR market is expected to advance at a robust CAGR by 2029. The availability of various VR devices, growing adoption of head-mounted displays (HMDs) in different industries sectors, and advancement of technologies in India are factors driving the augmented reality (AR) and virtual reality (VR) market growth, during the forecast period.

Augmented reality (AR) enhances customers surroundings by adding digital elements or technologies to the real world, such as by using a smartphone camera. The best examples of augmented reality technology are the popular mobile app Pokémon Go, which allows players to find and capture real-world Pokémon characters. The essential value of AR is the way in which the components of the digital world combine with the human observation of the real world.

Additionally, VR creates an immersive virtual environment. This can be done with something as simple as a plastic stand to put the phone on, but nowadays most people prefer head-mounted displays. Virtual reality is a big technological advancement in the education & healthcare sector, military/defense training, or business, such as virtual meetings or video calls. Moreover, virtual reality has revolutionized the gaming and entertainment industry by allowing users to immerse themselves in highly simulated environments.

Increasing Government Interest in the Market & Adoption of AR/VR in the Healthcare Sector

High government funding across the APAC region to advance the region's overall travel and tourism infrastructure, especially in developing countries, such as India, is expected to influence the augmented reality and virtual reality market growth. In addition, governments across the nation support automation for the development and growth of industry producing with new technologies such as AR & VR. Industrial and commercial applications are also becoming more and more dependent on AR & VR technology for on-site advertising and digitization.

Due to the increasing transformation among the travel & tourism, healthcare, education, retail, and gaming sectors, the nation’s investments in AR/VR solutions are growing. Further, the nation has the presence of several AR/VR solution developers, which supports the market growth.

In the healthcare industry, there are different applications of VR and AR in medicine or healthcare as VR has been in the industry for years. One of the most important applications in healthcare VR can include a snowy world. This technique helps the patient to deal with pain recovery methods, wound healing, entertaining patients with VR technology and makes them experience different environments to keep them comfortable during treatment. For people with crowd, height, and water phobias, VR is used to strengthen willpower and reduce these phobias. It is also used in various therapies to treat body pain as mentioned in one of the doctor’s neuroscience journals, which included a study on the use of VR in healthcare. Patients are introduced to gaming, which consists of completing tasks in VR as a member who encourages patients to get well soon. Sensors collect neural inputs for further diagnosis. These are the reasons which is responsible for the expansion of India augmented reality (AR) and virtual reality (VR) market.

Adoption of AR/VR in the Learning Process

Moreover, adoption of technology helps to make the learning process interactive and aids students in understanding concepts better through visual presentations. The site of learning analytics has expanded dramatically in recent decades, especially in higher education. When students participate in games events, they learn faster. Game features help create a fun and productive learning experience for learners. Additionally, with the introduction of VR and AR, now there are many platforms for education, and they are experiencing big changes in learning methods. VR offers constructed reality and AR offers a better image. So, the integration of gaming technologies into educational technologies using VR can lead to better academic results and higher demand for virtual reality and augmented reality platforms. For example, in India, Byju's is one of the edtech startups offering AR services. This is why the demand of AR/VR in the Indian market is growing with a high market CAGR.

Acceptance of AR/VR in the Gaming Industry

AR/VR technology has revolutionized the gaming industry across the nation. Presently, approximately 80% of the revenue is contributed by the gaming industry. Due to VR technology, video games have become an emerging trend and exciting enough to engage many people from all walks of life. However, the most important development was mainstreaming competitive gaming that led to the rise of VR technologies. India is predicted to have the largest demand for VR games, due to the growing number of single-use games revenues and technological improvements in the gaming and entertainment industry. In addition, the development of VR halls is encouraged by the emergence of Free Roam VR in India (Zero Latency India), which allows users to be transported to the virtual world without wires and walk freely in the warehouse. The nation’s online players play in a social environment (using motion-capture technology and proximity sensors) in these arcades. Hence, the growing acceptance of AR and VR gaming technologies are supporting the growth of the augmented reality and virtual reality market in India.

Security & Privacy Issues are Restraining the Market Growth

Security and privacy concerns have increased by developers of AR programming and AR apps and tools. Several AR applications do not have establishments to protect the identity and privacy of the company’s customer or user, since there are no policies that define what is allowed and what is not allowed for working in an AR Platform. Augmented Reality technology can be unsafe as it is possible to gain unauthorized access to users' personal information. For an illusion, clothing retailers may exploit the try-before-you-buy principle. Instead of clothes, a hacker can cover an image of user. Thus, such user privacy concerns hinder the implementation of AR and VR in retail and other sectors.

Market Segmentation

India augmented reality and virtual reality market is segmented product type, organization size, offering, application, end user, and region. Based on product type, the market is segmented into head mounted display, handheld device applications, smart glass, and head up display. Based on organization size, the market can be divided into small & medium sized enterprises and large enterprises. Based on offering, the market can be segmented into hardware and software. Based on application, the market is divided into enterprise and consumer. Based on end user, the market is divided into consumer electronics, automotive, healthcare, manufacturing, defense, and others. Based on region, the market is divided into West India, North India, South India and East India.

Market Players

The key players profiled in the report include, Merxius Software Private Limited, Sony India Pvt. Ltd., Imaginate Software Labs Pvt Ltd, Samsung India Electronics Pvt. Ltd., Tata Elxsi Limited, SmartVizx Private Limited, Northern MindTech LLP, Microsoft Corporation (I) Pvt. Ltd., Google India Pvt. Ltd., OnePlus Technology Co., Ltd, Simulanis Solutions Private Limited, and Immertive Pvt. Ltd.

Report Scope:

In this report, the India augmented reality and virtual reality market has been segmented into following categories, in addition to the industry trends which have also been detailed below:

India Augmented Reality and Virtual Reality Market, By Product Type:

• Head Mounted Display
• Handheld Device Applications
• Smart Glass
• Head Up Display

India Augmented Reality and Virtual Reality Market, By Organization Size:

• Small & Medium sized Enterprises
• Large Enterprises

India Augmented Reality and Virtual Reality Market, By offering:

• Hardware
• Software

India Augmented Reality and Virtual Reality Market, By Application:

• Enterprise
• Consumer

India Augmented Reality and Virtual Reality Market, By End User:

• Consumer Electronics
• Automotive
• Healthcare
• Manufacturing
• Defense
• Others

India Augmented Reality and Virtual Reality Market, By Region:

• West India
• North India
• South India
• East India

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the India augmented reality and virtual reality market.

Available Customizations:

India augmented reality and virtual reality market report with the given market data, the publisher offers customizations according to a company's specific needs.


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