Skip to main content

Virtual Reality Platforms Gain Many New Use Cases

After an initial market launch that lacked available media, virtual reality (VR) platforms are now ready to thrive from the introduction of compelling new content. According to the latest market study by ABI Research, total VR device shipments will reach 110 million units by 2021.

While mobile device-reliant VR shipments -- such as Samsung Gear VR and Google Daydream -- dwarf other VR device types, standalone devices will experience a 405 percent CAGR through 2021, compared to a 42 percent CAGR for mobile VR.

Market Development for Virtual Reality Apps

New and emerging device vendors -- such as Royole and Pico -- already entered the global arena, with many other Chinese manufacturers poised to expand their presence in this nascent market. Besides, independent software developers are poised to create new apps.

"Mobile VR built a solid foundation for the overall market over the past few years, but standalone VR devices will eventually drive it," said Eric Abbruzzese, senior analyst at ABI Research.

Low cost and high accessibility will likely drive VR adoption with mobile devices and associated VR accessories. However, a trend toward standalone devices is gaining momentum, and will continue over the next five years until mobile and standalone VR devices reach shipment parity.

With an influx of standalone VR devices, a greater range of use cases will be explored, broadening the gaming-focused VR market of today. Furthermore, ABI Research anticipates a total market size of $64 billion by 2021.

Non-gaming software and content, VR advertising, and VR-related video revenue will together hold a significant portion of the market. VR applications in retail and marketing will therefore see a 124 percent CAGR through 2021.

Video, education, and tourism are expected to all see significant growth, and while not forecast to be as large as the VR gaming market, it will be a notable addition to this evolving marketplace.

Outlook for New VR Use Cases

According to the ABI assessment, the three primary VR device types -- mobile, standalone, and tethered -- are entering the market with unique value propositions, target audiences, and use case support.

However, ABI analysts believe that there is the less understood market of mixed reality (MR) on the horizon. MR incorporates elements of augmented reality to VR devices, as evident in Intel’s Alloy reference design.

Associated machine vision technology like RealSense or Google Tango opens a compelling AR/VR hybrid opportunity on the mobile platform. Taking the best of both AR and VR will open up the enterprise market, and enable entirely new use cases and associated applications.

Popular posts from this blog

Think Global, Pay Local: The eCommerce Paradox

The world of eCommerce payments has evolved. As we look toward the latter half of this decade, we're witnessing a transformation in how digital commerce operates, with a clear shift toward localized payment solutions within a global marketplace. The numbers tell a compelling story. According to Juniper Research's latest analysis, global eCommerce transactions are set to reach $11.4 trillion by 2029, marking a 63 percent increase from $7 trillion in 2024. This growth isn't just about volume – it's about fundamental changes in how people pay for goods and services online. Perhaps most striking is the projected dominance of Alternative Payment Methods (APMs), which are expected to account for 69 percent of global transactions by 2029, with 360 billion transactions processed through these channels. eCommerce Payments Market Development What makes this shift particularly interesting is how it reflects the democratization of digital commerce. Traditional card-based systems ar...