Neat, if true. (It may well not be true.) Worldwide spending on AR and VR is forecast to achieve a five-year compound annual growth rate (CAGR) of 71.6% over the 2017-2022 forecast period, according to IDC. Spending on AR/VR items is predicted to reach $27 billion in 2018, a 92% increase year over year.
“Commercial interest in both augmented and virtual reality continues to accelerate as new hardware ships, improved software appears, and more use cases evolve,” said Tom Mainelli, vice president of Devices and AR/VR at IDC. “A recent IDC survey of U.S. IT decision markers showed a huge percentage of companies testing both technologies and we expect that appetite will only grow as major industry players roll out the next generation of AR and VR experiences throughout the rest of 2018.”
According to the release, the consumer industry maintains its position as the largest area of spending for AR/VR products and services over the forecast period, reaching $53 billion by 2022, followed by spending in the retail, discrete manufacturing, and transportation industries, representing $56 billion collectively by 2022. VR gaming continues to be the dominant AR/VR use case in 2018 with spend expected to reach $7 billion.
Retail represents the use case with the largest CAGR of 119.3%, followed by lab and field and film and television entertainment. New use cases for 2018 include public infrastructure maintenance, as well as 360 degree educational videos.