The extended reality market size has grown exponentially in recent years. It will grow from $44.62 billion in 2023 to $57.64 billion in 2024 at a compound annual growth rate (CAGR) of 29.2%. The growth in the historical period can be attributed to enhanced device accessibility, widespread adoption of consumer electronics, increased utilization in gaming and entertainment, applications in military and defense, and integration with the Internet of Things (IoT).
The extended reality market size is expected to see exponential growth in the next few years. It will grow to $161.19 billion in 2028 at a compound annual growth rate (CAGR) of 29.3%. The forecasted growth in the upcoming period can be attributed to the integration with smart devices, the integration of extended reality (XR) in e-commerce and retail, the expansion of XR content libraries, the use of XR in healthcare simulation and training, its application in sports training, and its role in cultural heritage preservation. Major trends expected in the forecast period include advancements in hardware technologies, the integration of artificial intelligence (AI) for personalization, the use of blockchain for XR security, and the integration of augmented reality.
The anticipated growth in the extended reality (XR) market is expected to be propelled by increasing government initiatives. These initiatives represent various efforts by governments to support specific industries or areas within a country. Notably, the Dubai government has undertaken significant initiatives to advance extended reality, contributing to the country's digital transformation. An example of this is the metaverse strategy launched by the Dubai government in July 2022, aiming to position itself among the top 10 XR economies by creating a network of virtual spaces to enhance the quality of life for citizens through metaverse technologies. Thus, the rise in government initiatives for extended reality (XR) is a key driver for the XR market.
The extended reality market is poised for growth due to the increased penetration of XR in the retail sector. Retail, involving the direct sale of goods or services to consumers through various channels, benefits from immersive technologies such as virtual reality (VR) and augmented reality (AR). These technologies enhance customer experiences by facilitating interactive shopping and product visualization in the retail sector. For instance, recent data from the UK Parliament indicates a growth in retail sales in Great Britain, totaling $9.9 billion (£9.0) per week in October 2023, up from $9.2 billion (£8.4) in September 2023. Therefore, the increased adoption of extended reality in retail is a significant driver for the extended reality market.
The extended reality market is witnessing a prominent trend in product innovations, with major companies actively introducing new products to maintain their market positions. Notably, in June 2023, Apple Inc., a US-based technology giant, unveiled the Apple Vision Pro - an advanced spatial computer that seamlessly integrates digital content with the physical world. This device boasts an ultra-high-resolution display system controlled by the user's eyes, hands, and voice, offering an intuitive and natural input system. Running on Vision, a spatial operating system, the Apple Vision Pro facilitates multitasking and provides infinite screen real estate, revolutionizing personal computing with its immersive and interactive environment.
Major players in the extended reality market are concentrating on the development of cutting-edge devices, specifically extended reality headsets, to enhance the overall extended reality experience and boost their market revenues. The extended reality headset is a device that combines elements of augmented reality (AR), virtual reality (VR), and mixed reality (MR) to deliver immersive and interactive digital experiences. For instance, HTC, a Taiwan-based computer manufacturing company, launched the Vive XR Elite in January 2023 - an extended reality headset offering AR, VR, and Mixed Reality experiences. It features a 3,840x1,920 resolution, a 110-degree field of view, and a 90Hz refresh rate, powered by Qualcomm Snapdragon XR2 SoC. The headset includes four tracking cameras, a 16MP RGB camera, 128GB storage, and a removable 26.6Wh Battery Cradle, providing up to 2 hours of continuous power. It comes with two controllers offering up to 15 hours of battery life.
In May 2021, Snap Inc., a US-based camera and social media company, acquired WaveOptics for $500 million. This acquisition granted Snap Inc. exclusive access to WaveOptics' AR technology, enhancing its Spectacles augmented reality glasses and reinforcing its position as a leader in the social AR hardware space. WaveOptics, a UK-based company, specializes in designing and manufacturing diffractive waveguides for wearable Augmented Reality (AR) devices.
Major companies operating in the extended reality market report are Apple Inc., Google LLC, Samsung Electronics Co. Ltd., Microsoft Corporation, Meta Platforms Inc., Sony Corporation, Accenture PLC, Qualcomm Incorporated, NVIDIA Corporation, Adobe Inc., Seiko Epson Corporation, Dassault Systemes SE, PTC Inc., Unity Technologies Inc., SoftServe Inc., Tata Elxsi Ltd., Semcon AB, HTC Corporation, Northern Digital Inc., Varjo Technologies Oy, Talespin Reality Labs Inc., Ultraleap Ltd., Marxent Labs LLC, Vuzix Corporation, Avegant Corporation, Virtuix Inc., Worldviz LLC, Sixense Enterprises Inc., Daqri LLC, The Void LLC.
North America was the largest region in the extended reality market in 2023. Europe is expected to be the fastest-growing region in the forecast period. The regions covered in the extended reality market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the extended reality market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The fundamental components of extended reality include hardware, software, and services. Hardware components encompass the physical devices and equipment utilized in extended reality. These technologies encompass Augmented Reality (AR) technology, Virtual Reality (VR) technology, and Mixed Reality (MR) technology, catering to diverse end-users such as gaming, retail, healthcare, manufacturing, media and entertainment, education, aerospace and defense, among others.
The extended reality market research report is one of a series of new reports that provides Extended reality market statistics, including extended reality industry global market size, regional shares, competitors with an extended reality market share, detailed extended reality market segments, market trends, and opportunities, and any further data you may need to thrive in the extended reality industry. This extended reality market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The extended reality (XR) market consists of revenues earned by entities by providing consumer engagement, and business engagement. The market value includes the value of related goods sold by the service provider or included within the service offering. The extended reality (XR) market also includes sales of AR devices, VR devices, and MR devices. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
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The extended reality market size is expected to see exponential growth in the next few years. It will grow to $161.19 billion in 2028 at a compound annual growth rate (CAGR) of 29.3%. The forecasted growth in the upcoming period can be attributed to the integration with smart devices, the integration of extended reality (XR) in e-commerce and retail, the expansion of XR content libraries, the use of XR in healthcare simulation and training, its application in sports training, and its role in cultural heritage preservation. Major trends expected in the forecast period include advancements in hardware technologies, the integration of artificial intelligence (AI) for personalization, the use of blockchain for XR security, and the integration of augmented reality.
The anticipated growth in the extended reality (XR) market is expected to be propelled by increasing government initiatives. These initiatives represent various efforts by governments to support specific industries or areas within a country. Notably, the Dubai government has undertaken significant initiatives to advance extended reality, contributing to the country's digital transformation. An example of this is the metaverse strategy launched by the Dubai government in July 2022, aiming to position itself among the top 10 XR economies by creating a network of virtual spaces to enhance the quality of life for citizens through metaverse technologies. Thus, the rise in government initiatives for extended reality (XR) is a key driver for the XR market.
The extended reality market is poised for growth due to the increased penetration of XR in the retail sector. Retail, involving the direct sale of goods or services to consumers through various channels, benefits from immersive technologies such as virtual reality (VR) and augmented reality (AR). These technologies enhance customer experiences by facilitating interactive shopping and product visualization in the retail sector. For instance, recent data from the UK Parliament indicates a growth in retail sales in Great Britain, totaling $9.9 billion (£9.0) per week in October 2023, up from $9.2 billion (£8.4) in September 2023. Therefore, the increased adoption of extended reality in retail is a significant driver for the extended reality market.
The extended reality market is witnessing a prominent trend in product innovations, with major companies actively introducing new products to maintain their market positions. Notably, in June 2023, Apple Inc., a US-based technology giant, unveiled the Apple Vision Pro - an advanced spatial computer that seamlessly integrates digital content with the physical world. This device boasts an ultra-high-resolution display system controlled by the user's eyes, hands, and voice, offering an intuitive and natural input system. Running on Vision, a spatial operating system, the Apple Vision Pro facilitates multitasking and provides infinite screen real estate, revolutionizing personal computing with its immersive and interactive environment.
Major players in the extended reality market are concentrating on the development of cutting-edge devices, specifically extended reality headsets, to enhance the overall extended reality experience and boost their market revenues. The extended reality headset is a device that combines elements of augmented reality (AR), virtual reality (VR), and mixed reality (MR) to deliver immersive and interactive digital experiences. For instance, HTC, a Taiwan-based computer manufacturing company, launched the Vive XR Elite in January 2023 - an extended reality headset offering AR, VR, and Mixed Reality experiences. It features a 3,840x1,920 resolution, a 110-degree field of view, and a 90Hz refresh rate, powered by Qualcomm Snapdragon XR2 SoC. The headset includes four tracking cameras, a 16MP RGB camera, 128GB storage, and a removable 26.6Wh Battery Cradle, providing up to 2 hours of continuous power. It comes with two controllers offering up to 15 hours of battery life.
In May 2021, Snap Inc., a US-based camera and social media company, acquired WaveOptics for $500 million. This acquisition granted Snap Inc. exclusive access to WaveOptics' AR technology, enhancing its Spectacles augmented reality glasses and reinforcing its position as a leader in the social AR hardware space. WaveOptics, a UK-based company, specializes in designing and manufacturing diffractive waveguides for wearable Augmented Reality (AR) devices.
Major companies operating in the extended reality market report are Apple Inc., Google LLC, Samsung Electronics Co. Ltd., Microsoft Corporation, Meta Platforms Inc., Sony Corporation, Accenture PLC, Qualcomm Incorporated, NVIDIA Corporation, Adobe Inc., Seiko Epson Corporation, Dassault Systemes SE, PTC Inc., Unity Technologies Inc., SoftServe Inc., Tata Elxsi Ltd., Semcon AB, HTC Corporation, Northern Digital Inc., Varjo Technologies Oy, Talespin Reality Labs Inc., Ultraleap Ltd., Marxent Labs LLC, Vuzix Corporation, Avegant Corporation, Virtuix Inc., Worldviz LLC, Sixense Enterprises Inc., Daqri LLC, The Void LLC.
North America was the largest region in the extended reality market in 2023. Europe is expected to be the fastest-growing region in the forecast period. The regions covered in the extended reality market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the extended reality market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The fundamental components of extended reality include hardware, software, and services. Hardware components encompass the physical devices and equipment utilized in extended reality. These technologies encompass Augmented Reality (AR) technology, Virtual Reality (VR) technology, and Mixed Reality (MR) technology, catering to diverse end-users such as gaming, retail, healthcare, manufacturing, media and entertainment, education, aerospace and defense, among others.
The extended reality market research report is one of a series of new reports that provides Extended reality market statistics, including extended reality industry global market size, regional shares, competitors with an extended reality market share, detailed extended reality market segments, market trends, and opportunities, and any further data you may need to thrive in the extended reality industry. This extended reality market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The extended reality (XR) market consists of revenues earned by entities by providing consumer engagement, and business engagement. The market value includes the value of related goods sold by the service provider or included within the service offering. The extended reality (XR) market also includes sales of AR devices, VR devices, and MR devices. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
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Table of Contents
1. Executive Summary2. Extended Reality Market Characteristics3. Extended Reality Market Trends and Strategies32. Global Extended Reality Market Competitive Benchmarking33. Global Extended Reality Market Competitive Dashboard34. Key Mergers and Acquisitions in the Extended Reality Market
4. Extended Reality Market - Macro Economic Scenario
5. Global Extended Reality Market Size and Growth
6. Extended Reality Market Segmentation
7. Extended Reality Market Regional and Country Analysis
8. Asia-Pacific Extended Reality Market
9. China Extended Reality Market
10. India Extended Reality Market
11. Japan Extended Reality Market
12. Australia Extended Reality Market
13. Indonesia Extended Reality Market
14. South Korea Extended Reality Market
15. Western Europe Extended Reality Market
16. UK Extended Reality Market
17. Germany Extended Reality Market
18. France Extended Reality Market
19. Italy Extended Reality Market
20. Spain Extended Reality Market
21. Eastern Europe Extended Reality Market
22. Russia Extended Reality Market
23. North America Extended Reality Market
24. USA Extended Reality Market
25. Canada Extended Reality Market
26. South America Extended Reality Market
27. Brazil Extended Reality Market
28. Middle East Extended Reality Market
29. Africa Extended Reality Market
30. Extended Reality Market Competitive Landscape and Company Profiles
31. Extended Reality Market Other Major and Innovative Companies
35. Extended Reality Market Future Outlook and Potential Analysis
36. Appendix
Executive Summary
Extended Reality Global Market Report 2024 provides strategists, marketers and senior management with the critical information they need to assess the market.This report focuses on extended reality market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Reasons to Purchase
- Gain a truly global perspective with the most comprehensive report available on this market covering 50+ geographies.
- Understand how the market has been affected by the coronavirus and how it is responding as the impact of the virus abates.
- Assess the Russia-Ukraine war’s impact on agriculture, energy and mineral commodity supply and its direct and indirect impact on the market.
- Measure the impact of high global inflation on market growth.
- Create regional and country strategies on the basis of local data and analysis.
- Identify growth segments for investment.
- Outperform competitors using forecast data and the drivers and trends shaping the market.
- Understand customers based on the latest market shares.
- Benchmark performance against key competitors.
- Suitable for supporting your internal and external presentations with reliable high quality data and analysis.
- Report will be updated with the latest data and delivered to you along with an Excel data sheet for easy data extraction and analysis.
- All data from the report will also be delivered in an excel dashboard format.
Where is the largest and fastest growing market for extended reality? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? This report answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.
- The market characteristics section of the report defines and explains the market.
- The market size section gives the market size ($b) covering both the historic growth of the market, and forecasting its development.
- The forecasts are made after considering the major factors currently impacting the market. These include:
- The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.
- The impact of higher inflation in many countries and the resulting spike in interest rates.
- The continued but declining impact of COVID-19 on supply chains and consumption patterns.
- Market segmentations break down the market into sub markets.
- The regional and country breakdowns section gives an analysis of the market in each geography and the size of the market by geography and compares their historic and forecast growth. It covers the growth trajectory of COVID-19 for all regions, key developed countries and major emerging markets.
- The competitive landscape chapter gives a description of the competitive nature of the market, market shares, and a description of the leading companies. Key financial deals which have shaped the market in recent years are identified.
- The trends and strategies section analyses the shape of the market as it emerges from the crisis and suggests how companies can grow as the market recovers.
Report Scope
Markets Covered:1) By Component: Hardware; Software; Services
2) By Technologies: Augmented Reality (AR) Technology; Virtual Reality (VR) Technology; Mixed Reality (MR) Technology
3) By End-user: Gaming; Retail; Healthcare; Manufacturing; Media and Entertainment; Education; Aerospace and Defense; Other End-users
Key Companies Mentioned: Apple Inc.; Google LLC; Samsung Electronics Co. Ltd.; Microsoft Corporation; Meta Platforms Inc.
Countries: Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Russia; South Korea; UK; USA; Canada; Italy; Spain
Regions: Asia-Pacific; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
Time Series: Five years historic and ten years forecast
Data: Ratios of market size and growth to related markets, GDP proportions, expenditure per capita
Data Segmentation: Country and regional historic and forecast data, market share of competitors, market segments
Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes
Delivery Format: PDF, Word and Excel Data Dashboard
Companies Mentioned
- Apple Inc.
- Google LLC
- Samsung Electronics Co. Ltd.
- Microsoft Corporation
- Meta Platforms Inc.
- Sony Corporation
- Accenture plc
- Qualcomm Incorporated
- NVIDIA Corporation
- Adobe Inc.
- Seiko Epson Corporation
- Dassault Systemes SE
- PTC Inc.
- Unity Technologies Inc
- SoftServe Inc.
- Tata Elxsi Ltd.
- Semcon AB
- HTC Corporation
- Northern Digital Inc.
- Varjo Technologies Oy
- Talespin Reality Labs Inc.
- Ultraleap Ltd
- Marxent Labs LLC
- Vuzix Corporation
- Avegant Corporation
- Virtuix Inc.
- Worldviz LLC
- Sixense Enterprises Inc.
- Daqri LLC
- The Void LLC
Methodology
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Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 175 |
| Published | February 2024 |
| Forecast Period | 2024 - 2028 |
| Estimated Market Value ( USD | $ 57.64 Billion |
| Forecasted Market Value ( USD | $ 161.19 Billion |
| Compound Annual Growth Rate | 29.3% |
| Regions Covered | Global |
| No. of Companies Mentioned | 30 |
