Over the last few years, the VR market has seen significant advancements. VR gaming continues to increase in popularity between the Meta Quest, Pico 4 and PSVR2 headsets. According to a recent report by Precedence Research, the virtual reality market will be worth $113 billion by 2032.
The new report predicts that the virtual reality market will grow at a CAGR of 14% through 2032. The market’s expansion is being driven by the fact that better and less expensive virtual reality headsets are now available to the public. The head-mounted display sector of the VR market had a revenue share of more than 60.4% in 2022 and is likely to continue to dominate the market through 2030. Likewise, demand for VR headsets continues to rise as their use becomes more common in both business and recreational settings.
VR headsets and experiences spaces are increasingly finding their way into business settings and retail stores. In terms of application, the commercial sector had the highest revenue share in 2022 at 46%. However, the component of the virtual reality market with the highest revenue last year was the hardware sector, with more than 66%. VR capabilities are being integrated into more devices, and smartphones and tablets are predicted to support the market’s growth.
Live virtual entertainment
Another driving factor behind the market’s expected growth is live virtual entertainment. Metaverse platforms like Roblox and Fortnite have already hosted a plethora of live virtual concerts. Meanwhile, the demand for various forms of live virtual entertainment, such as sporting events, is growing.
Of course, Precedence Research also addresses the challenges the VR market faces. For instance, the industry still faces shipping delays due to supply chain issues during the pandemic. However, retailers are trying out alternative forms of shipping, like curbside pickup. Additionally, online stores are investing in shipping and logistics to optimize shipping. Those interested can view sample pages or purchase Precedence Research’s VR market report on the company website.