The augmented reality market size is estimated to rise from $69.8 billion in 2024 to $2,795 billion by 2035, growing at a CAGR of 39.86% from 2024 to 2035.

Industrial Augmented Reality Market size was valued at around USD 80.37 billion in 2024 and is projected to reach USD 631 billion by 2030 along with a CAGR of around 41%.

Augmented Reality Market size was valued at USD 42.85 Billion in 2023 and is poised to grow from USD 57.2 Billion in 2024 to USD 577.19 Billion by 2032, growing at a CAGR of 33.5% during the forecast period (2025-2032).

Get Acess to Augmented Reality and Mixed Reality Market - Analysis and Forecast (2018-2025) from BIS Research Focuses on Region, key player, Total revenue, challenges, and growth opportunities.

[230+ Pages Report] The global augmented reality market size is expected to grow from USD 33 billion in 2022 to USD 597.54 billion by 2030, at a CAGR of 40.6% from 2023-2030

Global Augmented Reality Market market size valued at $43.98 Billion in 2023, set to reach $879.86 Billion by 2032 a CAGR of 39.5% from 2024 to 2032.

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Augmented Reality Gaming Market Size 2024-2028

The augmented reality gaming market size is forecast to increase by USD 69.04 billion at a CAGR of 47.7% between 2023 and 2028.

The market is experiencing significant growth, driven by increasing investments in AR technology and the rising adoption of AR games. These trends are propelling the market forward, as more consumers seek enriching gaming experiences. However, the high cost associated with AR gaming applications may hinder market growth for some consumers. 
The integration of audio and visual content further enhances the emotional and mental engagement of players. Despite this challenge, the future of AR gaming looks promising, with advancements in technology and decreasing costs expected to make AR gaming more accessible to a wider audience. Overall, the AR gaming market is poised for continued expansion, offering exciting opportunities for businesses and consumers alike. As AR and virtual reality (VR) continue to evolve, the gaming market is expected to grow, offering new opportunities for developers and investors alike.

What will be the Size of the Augmented Reality Gaming Market During the Forecast Period?

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The market is experiencing significant growth due to the increasing affordability and availability of AR technologies. AR games offer an enriching experience by overlaying virtual content onto the existing environment, creating a more interactive and engaging gaming experience. This real-time, synchronous interaction between the virtual world and the physical environment is a key trend driving the market's growth. AR gaming is not limited to specific devices, with applications available on tablets, laptops, portable gaming systems, mobile phones, and wearable devices. AR technologies, including headsets with stereoscopic images and head movements for presence and immersion, are advancing rapidly, making AR gaming more accessible and appealing to a wider audience.
Furthermore, the AR gaming market is also social in nature, allowing players to connect and compete with others in a virtual environment. The integration of AR and VR technologies is blurring the lines between the physical and virtual worlds, creating a more enriching and interactive gaming experience for users.

How is this Augmented Reality Gaming Industry segmented and which is the largest segment?

The AR gaming industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.

Type

  Mobile devices
  HMDs
  Smart glasses


Component

  Hardware
  Software


Geography

  North America

    Canada
    US


  Europe

    UK


  APAC

    China
    Japan


  Middle East and Africa



  South America

By Type Insights

The mobile devices segment is estimated to witness significant growth during the forecast period.

The mobile segment led the global AR gaming market in 2023, with its dominance expected to continue due to the convenience and portability of mobile devices for gaming. AR gaming companies invest heavily in AR technology, providing games for tablets, laptops, and portable gaming systems. The increasing affordability and accessibility of AR games on these devices are significant market growth drivers. AR and VR technologies, including headsets, stereoscopic images, head movements, and presence and immersion, are transforming the gaming industry. AR games offer an enriching experience, incorporating audio, visual content, and real-time interaction with virtual worlds and existing environments. The entertainment industry benefits from interactive gameplay, enhanced learning techniques, and social, emotional, mental, and physical engagement.

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The mobile devices segment was valued at USD 2.19 billion in 2018 and showed a gradual increase during the forecast period.

Regional Analysis

North America is estimated to contribute 40% to the growth of the global market during the forecast period.

Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

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The AR gaming market in North America experienced significant growth in 2023, driven by the integration of advanced technologies like the Internet of Things and augmented reality (AR), mixed reality (MR), and virtual reality (VR). AR, in particular, has gained prominence due to its enriching capabilities. Notable players, such as Qualcomm, have established a strong presence In the US and are investing heavily in AR technology. In March 2022, Qualcomm Incorporated announce

The Augmented Reality In Retail Market size was valued at USD 6.68 Billion in 2024 and is projected to reach USD 93.07 Billion by 2031, growing at a CAGR of 43% from 2024 to 2031.

The augmented reality (AR) in retail market is driven by several key factors, including the growing demand for enhanced customer experiences, which allows consumers to virtually try on products or visualize items in real environments before purchase. The increasing adoption of smartphones and AR-compatible devices enables wider access to AR technologies, while e-commerce growth accelerates the need for immersive shopping solutions. Additionally, advancements in AR technology, such as improved software development kits (SDKs) and more affordable hardware, further support the market. Retailers also use AR to reduce product returns by offering more accurate visualizations, improving operational efficiency.

Augmented Reality Market Size, Share, Forecast, & Trends Analysis by Offering (Smart Glasses, Headsets), Type, Application (Training & Learning, Gaming, Promotion & Advertising), End User (Retail & E-commerce, Media & Entertainment, Healthcare, Travel & Tourism), and Geography — Global Forecast to 2032

Augmented Reality (AR) and Mixed Reality (MR) Market is expected to grow at a CAGR of 43.8% during the forecast period 2024-2031

Global Augmented and Virtual Reality in Healthcare market size at $ 3.5 Bn in 2021 and $ 11.2 Bn by 2030 at CAGR 28.12% from 2022 to 2030.

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The augmented reality (ar) market analysis report provides a comprehensive analysis of the market with information such as the potential to grow by $ 76.99 bn during 2020-2024, and the market’s growth momentum will decelerate at a CAGR of 32%.

With a detailed analysis of the vendors, this report helps established and new market players to have a keen understanding of their competitors and plan their strategies accordingly. To gain more insights on vendor strategies request a sample of the report.

Augmented Reality And Virtual Reality In Aerospace Market size was valued at USD 740.22 Million in 2023 and is projected to reach USD 33918.44 Million by 2031, growing at a CAGR of 61.30% during the forecast period 2024-2031.

Global Augmented Reality And Virtual Reality In Aerospace Market Drivers

The market drivers for the Augmented Reality And Virtual Reality In Aerospace Market can be influenced by various factors. These may include:

Improved Training and Simulation Capabilities: Pilots, maintenance technicians, and ground crew can all benefit from immersive training and simulation experiences provided by AR and VR technology. Enhancing training efficacy and safety, virtual training environments enable students to practice intricate processes, run flight operations simulations, and troubleshoot equipment in a safe and realistic way.

Efficiency in Aircraft Design and Production: AR and VR technologies help the aerospace industry’s collaborative design reviews, prototyping, and production processes. By visualizing aircraft designs, evaluating ergonomics, and streamlining assembly procedures using virtual reality settings, engineers and designers may increase productivity, cut costs, and shorten the time it takes to launch new aircraft models and components.

MRO (maintenance, repair, and overhaul) operations: are aided by AR and VR systems, which give technicians instant access to digital data, schematics, and maintenance instructions superimposed on actual aircraft parts. Heads-up displays (HUDs) and smart glasses with augmented reality (AR) capabilities enable technicians to carry out inspections, identify issues, and carry out repairs more quickly, decreasing downtime and increasing aircraft availability.

Aerospace workers operating in dispersed or remote places: can now receive remote assistance and support thanks to augmented reality technologies. In order to improve troubleshooting productivity and lessen the need for onsite support personnel, maintenance technicians can employ AR-equipped devices to receive live video feeds, overlay annotations, and receive step-by-step help from specialists stationed elsewhere.

Improved Passenger Experience: Virtual reality (VR) technology is being employed in the aerospace sector to provide immersive in-flight entertainment, virtual cabin tours, and interactive experiences for passengers. In order to increase passenger pleasure and loyalty, airlines are investigating VR applications to provide tailored entertainment options, virtual reality in-flight experiences, and virtual tours of destinations.

Safety and Situational Awareness: By superimposing vital flight data, navigational data, terrain maps, and obstacle alerts onto pilots’ and aircrew members’ fields of vision in the cockpit, augmented reality (AR) technology improves situational awareness and safety for participants. Head-up displays (HUDs) with augmented reality (AR) capabilities give pilots access to real-time information without forcing them to take their eyes off the road, enhancing both operational effectiveness and safety.

Government Initiatives and Investments: To improve military training, mission planning, and situational awareness, government agencies and defense organizations throughout the world are investing in AR and VR technologies for aerospace applications. Government contracts and financing are being used by aerospace and defense vendors and contractors to create cutting-edge AR and VR solutions for these industries.

AR and VR Headsets Market Report is Segmented by Product Type (Standalone Headsets, Tethered Headsets, Smartphone-Enabled Headsets), Component (Hardware, Software), Distribution Channel (Online, Offline), Industry Vertical (Gaming and Entertainment, Healthcare, Education and Training, Retail and E-Commerce, Manufacturing and Industrial, Other Industry Verticals), and Geography (North America, Europe, Asia Pacific, Latin America, Middle East and Africa). The Market Sizes and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.

AP/AR Automation Market size was valued at USD 1.11 Billion in 2024 and is projected to reach USD 3.69 Billion by 2031, growing at a CAGR of 11.2% from 2024 to 2031.

Global AP/AR Automation Market Drivers

Intelligent data processing, predictive analytics, and anomaly detection are made possible by the combination of artificial intelligence (AI) and machine learning (ML) in AP/AR automation software. These technologies strengthen decision-making processes, decrease errors, and increase accuracy.

Automating repetitive operations like data entry, invoice processing, and payment reconciliation is known as robotic process automation, or RPA. This lowers the possibility of human error and saves a substantial amount of time.

Cost Reduction: Automation lowers labour expenses related to AP/AR procedures by reducing the requirement for manual intervention. For companies trying to increase profitability and streamline processes, this is especially important.

Time Savings: Processing invoices, approval processes, and payment cycles are accelerated by automating AP/AR tasks. Quicker processing speeds lead to better cash flow management and better financial health overall.

The Augmented Reality (AR) market is experiencing explosive growth, projected to reach a staggering $81.64 billion by 2025, expanding at a remarkable Compound Annual Growth Rate (CAGR) of 46.1%. This surge is fueled by several key drivers. The increasing adoption of smartphones with advanced processing capabilities and camera technologies provides a readily available platform for AR applications. Furthermore, the rising demand for immersive experiences across various sectors, including gaming, retail, healthcare, and education, is propelling market expansion. Advancements in AR hardware, such as lighter and more powerful headsets and glasses, are improving user experience and driving wider acceptance. The development of sophisticated software platforms and SDKs is further facilitating the creation of innovative and engaging AR applications. However, factors like high initial investment costs for AR hardware and the need for robust infrastructure to support AR applications can be considered restraints. The market is segmented by component (hardware and software) and end-user (enterprise, retail, healthcare, media and entertainment, and others). North America, particularly the US, currently holds a significant market share, driven by early adoption and technological innovation, followed by the APAC region with China and Japan as key contributors. Europe, with Germany and the UK leading the way, also showcases significant growth potential. The competitive landscape is dynamic, with major players like Alphabet, Microsoft, and Meta alongside specialized AR companies vying for market dominance. Competitive strategies focus on innovative product development, strategic partnerships, and aggressive expansion into new markets. Looking ahead to 2033, the AR market is poised for continued expansion, driven by technological advancements and increasing consumer adoption. The development of 5G networks will enable seamless AR experiences with low latency, further fueling growth. The integration of AR with other technologies like artificial intelligence (AI) and the Internet of Things (IoT) will unlock new possibilities and applications, leading to the creation of more immersive and interactive experiences. While challenges remain, including ensuring data privacy and addressing ethical considerations, the overall outlook for the AR market remains overwhelmingly positive. The diverse application of AR across industries ensures its continued relevance and market penetration, promising substantial growth for both established tech giants and emerging AR specialists throughout the forecast period (2025-2033).

The global mobile augmented reality market was valued at US$ 4.2 billion in 2023. Demand for mobile augmented reality is projected to rise at an astounding CAGR of 22.1%, with its market valuation reaching US$ 31.5 billion by 2033.

How The Market Progressed Till June 2022?

Mobile Augmented Reality Industry Report Scope

Global Augmented and Virtual Reality Market size was USD 12.82 Billion in 2023 and is expected to rise to USD 96.92 Billion by 2032 at a CAGR of 25.2%.

The worldwide market size for augmented reality is forecast to increase drastically in the next few years. Over the period from 2017 to 2025, the augmented reality market size is estimated to increase by over 195 billion U.S. dollars, increasing from roughly 3.5 billion in 2017 to over 198 billion U.S. dollars in 2025.

Augmented reality vs virtual reality

Augmented reality (AR) is a technology that blends digital components with the physical environment in such a way that they enhance each other but are easily told apart. AR makes use of sensory devices to modify a user’s environment to make it more meaningful through the ability to interact with it. One example of AR technology is the popular mobile game Pokémon Go. Virtual reality (VR) technology, on the other hand, creates a computer-generated simulation or recreation of a physical environment. VR immerses the user by making them feel like they are experiencing the simulation firsthand through the stimulation of their vision and/or hearing. Examples of VR technology include Facebook’s Oculus Rift and Sony’s PlayStation Virtual Reality.

AR use becoming more popular?

Consumer downloads of mobile augmented reality applications have been increasing worldwide since 2016. Total consumer downloads of augmented reality applications worldwide in 2022 are predicted at over 5.5 billion, a drastic increase from the 2016 downloads which were slightly over a billion.