the huge potentials of the augmented reality market

Every industrial revolution is introduced by inventions applied to the productive process, now it’s AR’s era. Technology giants such as Google and Microsoft are flooding every corner of the planet with this new technology. In a few years span it will be as diffuse as smartphones. Companies and investments involved are increasingly growing in number. Consumers are more and more attracted and the price is dropping as if we were talking about bread. By now, Augmented Reality’s market is ready to take off!  


The most growth-affected sector will be the Hardware’s production one. Specifically, head-mounted displays are taking the prize, them being those “helmets” or “visors” used by Playstation and Xbox’s enthusiasts at the moment but that will have a lot of other uses in a near future. –Indeed, thanks to the development of “MIxed Reality” (a mixture of AR and VR) these visors will be launched profusely to the point of taking up the 65% of AR’s market’s incomes, thus bringing the growth rate of hardware sales to 95% per year in the 2014-2024 decade. –To really grasp the idea try to imagine that for each sold visor now, 650 will be sold in ten years. Even your motorcycle helmet will be transformed in a augmented reality one! Not one will be spared!

Data (in billions) of the Hardware market with AR applications (Source : Goldman Sachs Global Investments research). Another important aspect to take into account is the fact that consumers are drawn towards wearable objects. The Apple Watch is the most striking example. Within the manufacture field, but also in other industries, there will be remarkable expenditures for this kind of products. This will happen with the set goal of improving employees’ efficiency to create adaptability to the logics of the 4.0 Industry!


Digi-capital makes the prediction that, by 2020, Augmented Reality’s market will exceed the Virtual Reality one, having a market share of 80%, for a total of 120 billion dollars. –This represents a turning point in the business of digital media, in fact since their birth virtual reality has always prevailed. It will be accompanied by the augmented one ever more, mainly in videogames. A lot of developers have already created versions of “Call of Duty”, “Minecraft” and other important titles with the implementation of AR. –Thanks to this and to the awareness of the underestimation of the AR/VR market’s possibilities, it will reach a general public of about 500 million users with huge incomes of more than 40 billion dollars.

GARTNER hype cycle

Gartner is a management consulting multinational society specialized in the information technology field. One of their teams has developed a “hype cycle” to identify the maturity of an innovation regarding the expectations of the public opinion. –Currently, augmented reality has gone beyond the high hopes (in the period of an exaggerated euphory) and it’s facing a time of disillusion (where the public’s emotion is relatively negative following the disappointment of the operators). Subsequently, the path is only uphilling! In the “pending clarifications” phase, traders realize the real potential of AR. Finally, there is the “productivity plateau” where mass production will start. –Augmented Reality’s market is highly affected by the public sentiment. In 2025 already the loop will be closed and the applicability to the various sectors of the augmented reality will pop up like crazy. Give it a few years and AR will become our quotidianity.


Many think that the most technologically developed nation is the USA. Not for long, though. Americans have ⅗ of the total AR/VR business, but this will soon change. –China’s acquisition of the majority share is foreseen starting from 2019 with a potential increase of 540 thousand new units, this not taking into consideration users who will go from a 730 millions to a total of 2,5 billions. –The heart of this occurrence will be detected in the whole area of Pacific Asia which presents a annual growth rate of, about, 70%, thanks to the continuous investments in startups located in favoured economic areas (e. g. Dubai), but also technology giants (“Xiaomi” or “Alibaba”) and, of course, this is a Chinese government’s merit. In conclusion, if you are traders, you should update your clients’ experience. If you are bloggers, lighten up the mood of your followers. If entrepreneurs, don’t let Industry 4.0’s logics leave you behind…you should invest in augmented reality and ride the technological wave of enthusiasm!


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