Press Release

Extended Reality Market to be dominated by North America region through 2027

Rise in investments in advanced hardware offerings and ongoing advancements in 5G infrastructure are driving the growth of global extended reality market in the forecast period, 2023-2027.

According to TechSci Research report, Extended Reality Market - Global Industry Size, Share, Trends, Opportunity and Forecast, 2017-2027, the global extended reality market is anticipated to witness a growth of robust CAGR in the forecast period, 2023-2027. An increase in disposable income of consumers enables them to invest in an all-round entertainment experience which is expected to boost the global extended reality market.

However, the lack of connected infrastructure and high hardware costs may restrain the market growth in the forecast period.

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The global extended reality market is segmented based on component, type, delivery model, end user, application, company, and regional distribution.

Based on the delivery model, the market is divided into consumer-based and business-based. The business-based delivery model is expected to account for the largest market share in the next five years to improve sales and provide new methods for customer engagement.

Based on the component, the market is divided into hardware and software and services. The hardware segment is further segmented into sensors, cameras, transducers, and speakers, while software and services are further divided into professional services and managed services. Hardware is expected to hold the largest market share in the forecast period owing to its high cost and the mandatory need for hardware to experience the immersive environment set up by extended reality technology. 

Based on the end user, the market is divided into healthcare, media and entertainment, manufacturing and industrial, retail and e-commerce, transportation, and others. The Healthcare sector is expected to witness significant growth opportunities in the forecast period. Growing awareness about the benefits of a healthy mind fuels meditation and de-stress activities. Incorporating virtual reality technology in the meditation process to make it more immersive for users improves the outcome for people. The use of serene background setting such as the top of mountains and beaches by the market players to garner people's attention is expected to influence the market demand. Similarly, augmented reality can be used to overlay information and digital information onto the patients, which helps to visualize the problems more effectively. Extended reality can also be used in the healthcare industry to soothe the patients in a relaxing simulated environment to calm down before or during the treatment and surgery, thereby improving patients' overall experience in hospital settings.

On the basis of regional analysis, the North American region is expected to dominate the global extended reality market in the forecast period. North America is an early adopter of novel technologies. Key market players such as Qualcomm Technologies Inc., Softserve, SphereGen, and Northern Digital Inc. further supplement the proliferation of extended reality technology in the region. High technology exposure and the proliferation of smart devices significantly boost the market growth. Extended reality technology for training and education programs such as Foreign Service Institute at the State Department in the United States introduced virtual reality technology as an experimental learning tool for different purposes.

Major market players operating in the global extended reality market are:

·         Qualcomm Technologies Inc.

·         Accenture PLC

·         Northern Digital Inc.

·         Softserve Inc.

·         SphereGen Technologies

·         Gofind Inc.

·         Dassault Systems SolidWorks Corporation

·         Agile Lens

·         Tata Exlsi

·         Medtronic Inc.

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“The retail and e-commerce industry are expected to play a significant role in fueling the global extended reality market in the forecast period, 2023-2027. Incorporation of extended reality technology to provide a 360° view of products for retail consumers to explore and make informed purchasing decisions. Major companies are investing in adopting extended reality technology to increase brand awareness among consumers. The use of mobile-based AR applications to provide a tailored shopping experiences to consumers and enhance the aesthetic appeal of products is expected to propel the global extended reality market growth till 2027” said Mr. Karan Chechi, Research Director with TechSci Research, a research based global management consulting firm.

Extended Reality Market - Global Industry Size, Share, Trends, Opportunity and Forecast, 2017-2027

Segmented By Component (Hardware [Sensors, Cameras, Transducers and Speakers], Software and Services [Professional Services Managed Services]), By Type (Mobile XR and PC-tethered XR), By Delivery Model (Consumer-Based and Business-Based), By End User (Healthcare, Media and Entertainment, Manufacturing and Industrial, Retail and E-Commerce, Transportation and Others), By Application (Virtual Reality, Augmented Reality, Mixed Reality), and By Region”, has evaluated the future growth potential of global extended reality market and provides statistics & information on market size, structure, and future market growth. The report intends to provide cutting-edge market intelligence and help decision makers take sound investment decisions. Besides, the report also identifies and analyzes the emerging trends along with essential drivers, challenges, and opportunities in global extended reality market.

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