Metaverse, Apple Vision Pro, Meta Quest 3, and many more—virtual reality has been around for a while, but it's become a hot topic nowadays. We have big tech giants to thank for introducing the concept to the general public over the past few years.
The virtual reality market is one of the fastest-growing sectors, holding immense potential. It’s certainly exciting to observe the development over the following years. This article offers a closer look at what you can expect and what opportunities it provides.
Trend: Rapid Market Growth Estimates
The VR market will grow exponentially in the next five years. At the time of writing this article (Q4 of 2024), projections estimate it will skyrocket from $22.81 billion to $131.93 billion by 2029. That’s a whopping 42,05% CAGR in the next few years.
Trend: Broader Uses for Virtual Reality
Gaming
Gaming has been among the most noticeable industries in adopting VR technology, and for a good reason. Immersive VR games or experiences offer entirely new forms of entertainment, and more affordable headsets hitting the market have opened up the scene to a wider consumer base.
This pushes the gaming industry to reach new audiences and create experiences that make them stand out from the competition. Advancements in motion tracking cameras and haptic feedback are already setting the stage. Games that make full use of the VR features, will certainly dominate the market.
Socializing and Working in Virtual Spaces
Did you know the term Metaverse has been around since the 90’s? However, the term became more known after Facebook’s announcement to rebrand and develop three-dimensional virtual reality. The metaverse can be defined as a shared virtual space formed by the merging of enhanced physical and digital realities. In simpler terms, you can think of the metaverse as the next evolution of the internet.
What does the emergence and development of Metaverse mean for companies? Most likely it leads to fully or partially virtual work spaces and collaborative environments, and full training modules. Use cases range from virtual meetings to creating digital twins of employees and customers. Additionally, there are applications for training employees to safely handle hazards through interactive simulations.
Marketing and Sales: Virtual Product Demos
Virtual reality could be a real game-changer for B2B marketing and sales. VR offers a variety of practical ways to engage prospects with product demos and virtual factory tours. Those who embrace the technology, have the opportunity to be different from their competitors and to establish a tech-savvy brand identity.
Opportunity: Creating Tools and Platforms
Projections show that, by 2025, the global user base for VR and AR games will rise to 216 million, meaning there is a huge demand for new tools and platforms. Now is the perfect time to develop virtual platforms and hardware—especially head-mounted displays (HMDs)—with the market expected to grow from $11.5 billion to $370 billion by 2034.
Opportunity: Developing New Virtual Reality Applications
The possibilities of VR go way beyond gaming and entertainment into other fields such as healthcare, education, and training. For example, medical professionals can use virtual reality for surgical training, while educators can immerse students in an interactive learning environment. Companies that develop high-quality VR content will not only meet current demand but also carve out a niche in this growing market.
Opportunity: Investing in Virtual Reality
The fact is that the market is predicted to grow, therefore opening several investment possibilities for progressive companies and individuals: from collaborating with tech developers to the acquisition of VR startups. Companies that invest in VR now might just put themselves at the forefront of one of the fastest-growing industries.
However, this is merely our observation based on current market trends and should not be taken as financial advice; we encourage consulting with financial experts and conducting thorough research before making investment decisions.
Final Thoughts: The Future is VR
It’s undeniable that Virtual Reality will play a major part in our lives, inside and outside of the offices. The VR market is set to transform how businesses interact with clients, employees, and products.
Virtual Reality market trends and opportunities majorly affect the gaming industry as well as hardware and software development. Meanwhile, the applications will range from entertainment to employee training. For businesses, this means leveraging the creation of VR content, and investing in new technologies while developing immersive experiences. Now is the perfect time to realize the potential VR holds and invest in it.
Sources: Mordor Intelligence, Gartner