Enterprise-Grade VR Headsets: A Key Trend Driving the AR & VR Hardware Market Growth in 2025

The Business Research Company's Enterprise-Grade VR Headsets: A Key Trend Driving the AR & VR Hardware Market Growth in 2025

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Are you aware of the steep growth curve in the augmented reality AR and virtual reality VR hardware market size in recent years? Expect this momentum to continue, accelerating from $62.52 billion in 2024 to reach lofty heights of $84.12 billion in 2025. This impressive compound annual growth rate CAGR of 34.5% rides on the back of increasing adoption of the internet of things IOT, growing use of smartphones, the emphasis on product visualization, and a booming demand for electronic devices and smart devices.

Foreseeing the future, the AR and VR hardware market size is set to experience yet another leap in growth. The market projection for 2029 stands at an astounding $272.85 billion, with a CAGR of 34.2%. The drivers underpinning this growth forecast include immersive gaming's growing popularity, rise of 5G technology, the growth of 3D visualization, cloud computing emergence, and escalating demand for data analytics. The forecast period witnesses major trends like cloud computing augmented by artificial intelligence, integration with smart homes and the internet of things, advances in 3D scanning technology, next-gen gaming technology, and gaming peripheral innovations.

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One cannot overlook the rising tide of cloud gaming that is forecasted to be the growth engine for the AR and VR hardware market. Cloud gaming eliminates the need for powerful hardware, giving players the luxury of streaming video games from remote servers. It rides on the benefits of faster internet, reduced hardware costs, and the convenience of instant, cross-device access through gaming subscription services. AR and VR hardware enhance this gaming experience by providing interactive, real-time graphics, and responsive gameplay. According to a report by Uswitch Limited, a UK-based comparison and switching service, the number of online gamers in the UK is set to grow by 6.64%, scaling up from 10.84 million in 2023 to 11.56 million by 2027. Another snippet from the Interactive Games and Entertainment Association, based in Australia, shows that 67% of Australians 17 million played video games in 2021, which skyrocketed to 81% 21 million in 2023. These numbers underscore the fact that the growth of cloud gaming is driving the AR and VR hardware market.
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On the helm, navigating the AR and VR hardware market growth are major companies like Apple Inc., Samsung Electronics Co. Ltd., Microsoft Corporation, Sony Interactive Entertainment LLC, Lenovo Group Limited, NVIDIA Corporation, Goertek Inc., NXP Semiconductors N.V., Valve Corporation, Acer Incorporated, High Tech Computer Corporation, Bose Corporation, Robert Bosch GmbH, Magic Leap Inc., TCL Technology Group Corporation, Pimax Technology Co. Ltd., Varjo Technologies Oy, Vuzix Corporation, Deepoon VR, and AjnaLens Private Limited.

Innovation is being harnessed by these industry leaders, with a keen eye on developing enterprise-grade virtual reality headsets, that promise to amplify immersive experiences across a variety of sectors. As an example, Deepoon DPVR, a China-based technology company, launched the DPVR P2 in September 2023, an enterprise-grade VR headset tailored for the education, business, and healthcare sectors. The headset stands out with its high-resolution display, and wide field-of-view optics; all the while providing seamless integration with various enterprise systems through its robust wireless and tethered capabilities.

Segregating the market, we have:

1 By Hardware Type:
- Cameras
- Controllers
- Display Monitors
- Headphones
- Processors
- Sensors
- Other Hardware Types
2 By Application:
- Handheld Devices
- Head Mounted Display
- Head Up Display
3 By Industry Vertical:
- Aerospace And Defense
- Automotive
- Education And Training
- Gaming And Entertainment
- Healthcare
- Other Industry Verticals

Taking a detailed look at the regional distribution, North America held the largest share of the AR and VR hardware market in 2024. Asia-Pacific, however, is slated to be the fastest-growing region in the forecasted period.

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Oliver Guirdham
The Business Research Company
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