Virtual Reality in Gaming Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | 32.75 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Virtual Reality in Gaming Market Analysis
Virtual reality (VR) in the gaming market is expected to witness a CAGR of 32.75% over the forecast period. VR technology has gained widespread recognition and adoption over the past few years. Recent technological advancements in this field have revealed new enterprises. Numerous players are emerging in this market, hoping to navigate it toward mainstream adoption in the gaming market space. According to NewGenApps, by 2025, the worldwide user base of AR and VR games is expected to increase to 216 million users.
VR gaming involves a 3D environment that enables the user on a computing device, with the help of a mouse, touch screen, and other components, to feel the physical presence in the game settings. The various accessories associated with VR technology, such as virtual reality headsets, wrap-around display screens, virtual reality rooms equipped with wearable computers, and sensory components, enable gamers to interact, view and move around the objects in the game setting. According to a worldwide survey of technology company executives, startup founders, investors, and consultants, 59% of respondents believe gaming will dominate the investment in VR technology development.
Moreover, VR gaming provides interaction and communication to gamers in the game environment, attracting more children's and gamers, thus driving the market's growth. According to 3Dinsider, more than 64% of active VR users believe that gaming has the highest potential to benefit from advances in VR technology.
The market is creating various jobs related to VR gaming, such as game designers, producers, programmers, artists, business, sales, and marketing roles.
VR headset is gaining traction across the market due to their specific application for games, such as HTC Vive and PlayStation VR. Also, in November last year, Sony Interactive Entertainment announced that PlayStation VR2, a new virtual reality (VR) system for the PlayStation 5 platform, would be released.
With the outbreak of COVID-19, the market for VR gaming witnessed a significant increase in adoption as most countries enforced lockdowns, and people were spending their time on VR gaming during the lockdown.
Many VR gaming providers, such as HTC Viveport, provide games with multiple features. For instance, Viveport Infinity's annual subscription had a 75% off, taking it down from USD 107.88 per year to USD 27.
In October last year, Meta confirmed the launch of a new VR headset. This product would have new capabilities enabled by eye tracking and face tracking, like the capacity to make 'eye contact in virtual reality.'
Virtual Reality in Gaming Market Trends
This section covers the major market trends shaping the VR in Gaming Market according to our research experts:
Premium Mobile Platform Contributing to the Growth of Market
- Mobile virtual reality (VR) gaming is the most affordable experience for consumers who want to explore VR gaming without spending a substantial amount of money. Also, the portability and massive install base of smartphone users across the world are leading to its widespread adoption. According to Plink, there are about 2.2 billion mobile gamers worldwide.
- With the increasing number of mobile gamers, the mobile VR gaming market is expected to gain significant traction as players offer various accessories, such as a head-mounted display, for a smooth VR gaming experience for mobile-based gamers.
- The most widely known VR headsets for mobile phones are Samsung Gear and Google Daydream. The lower price compared to console and PC headsets and mobile headsets are often bundled with premium phones are vital factors driving the market.
- Moreover, 5G technologies are also driving the mobile-based VR gaming market. For instance, in February last year, HTC announced Viverse, a metaverse environment that includes its 5G products, Vive VR devices, associated efforts, and partners such as ENGAGE and VRChat.
- While VR for mobile gaming currently provides a less immersive experience than console and PC-based VR, its adoption is expected to increase during the forecast period due to a range of technological advancements in the mobile VR environment. Also, with the growth of smartphones, there is massive potential for the VR gaming market during the forecast period.
Asia-Pacific Region to Witness Significant Growth
- Asia-Pacific is expected to hold a significant share owing to the presence of large and several emerging economies, such as India and China, along with the rising acceptance of virtual reality devices in the region. This is, in turn, expected to encourage industry players to invest in VR gaming in the region.
- Due to the rising adoption of VR technology in the country, China is expected to account for a prominent share of the region. Also, the Chinese market for VR is expected to increase due to increased government policy support and the rolling out of technologies, such as 5G, in the country. According to the industry regulator, China's virtual reality (VR) market is forecast to expand significantly.
- Also, many regional players are building new games with more realistic in-game features that drive the market.
- Virtuleap launched the Enhance VR brain training app in China in partnership with the HTC Viveport China team. Enhance VR offers a daily workout of mini-games designed to assess and train different cognitive skills such as memory, problem-solving, flexibility, speed, motor skills, spatial orientation, and spatial audio awareness.
Virtual Reality in Gaming Industry Overview
Virtual reality in gaming is a consolidated market, owing to the presence of many large players. The market is consolidated with the key players adopting strategies, such as product innovation, to stay ahead of the competition. Some of the players in the market are Oculus VR (Facebook Technologies LLC), HTC Vive, Nintendo Co Limited, and Microsoft Corporation.
In January 2022, Nintendo announced that the company would release its Switch OLED model in mainland China. The Switch OLED launched internationally in 2021, and now the company plans to launch it in China.
Virtual Reality in Gaming Market Leaders
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Oculus VR (Facebook Technologies LLC)
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HTC Vive
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Nintendo Co Limited
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Microsoft Corporation
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Valve Corporation
*Disclaimer: Major Players sorted in no particular order
Virtual Reality in Gaming Market News
- Nov 2022: Meta launched the XTADIUM app on Meta Quest, bringing the customers closer to their favorite sports in 180-degree VR.
- Oct 2022: Microsoft announced that the company partnered with Meta to deliver an immersive experience in VR. With this collaboration, both companies will bring Microsoft's productive tools to VR headsets, and Meta will get a partner in its grand metaverse plan.
Virtual Reality in Gaming Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Deliverables
1.2 Study Assumptions
1.3 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.2.1 Increasing Availability of Compelling and Theme-based Games in the VR Format
4.2.2 Millennial and High-income Groups to Drive Adoption in the Near and Medium-term
4.2.3 Premium Mobile Platform Contributing to the Growth of Market
4.3 Market Restraints
4.3.1 Threshold Related to Visual and Auditory Aspects | High Demand for Mobile AR Gaming
4.4 Porter's Five Forces Analysis
4.4.1 Threat of New Entrants
4.4.2 Bargaining Power of Buyers/Consumers
4.4.3 Bargaining Power of Suppliers
4.4.4 Threat of Substitute Products
4.4.5 Intensity of Competitive Rivalry
4.5 Impact of COVID-19 on the VR Gaming industry
4.6 Analysis on the Popular Themes in VR Gaming and Top Publishers (Arcade, Adventure, Horror, etc.)
4.7 Comparative Study of AR and VR-based Gaming
5. MARKET SEGMENTATION
5.1 By VR Type
5.1.1 PC
5.1.2 Stand-alone
5.1.3 Console
5.1.4 Cartridges
5.1.5 Premium Mobile
5.2 By VR in Gaming
5.2.1 Hardware
5.2.2 Software
5.3 Geography
5.3.1 North America
5.3.2 Europe
5.3.3 Asia-Pacific
5.3.4 Rest of The World
6. COMPETITIVE LANDSCAPE
6.1 Company Profiles
6.1.1 Oculus VR (Facebook Technologies LLC)
6.1.2 HTC Vive
6.1.3 Valve Corporation
6.1.4 Intel Corporation
6.1.5 Virtuix Omni
6.1.6 Nintendo Co. Limited
6.1.7 Microsoft Corporation
6.1.8 Samsung Corporation
6.1.9 Google LLC
6.1.10 *List not exhaustive
- *List Not Exhaustive
7. INVESTMENT ANALYSIS
8. FUTURE OF THE MARKET
Virtual Reality in Gaming Industry Segmentation
The study analyzes the demand for VR in the gaming industry based on historical trends and current scenarios. As VR is expected to find traction among gaming enthusiasts, the study analyzes the key growth influencers and the demand from other forms of extended reality-based technologies (AR and MR). The key segments covered in the study include hardware type and geography.
Virtual Reality in the Gaming Market is segmented by Virtual Reality Type (PC, Stand-alone, Console, and Premium Mobile), Virtual Reality in Gaming (Hardware and Software), and Geography. The market sizes and forecasts are provided in terms of value (USD million) for all the above segments.
| By VR Type | |
| PC | |
| Stand-alone | |
| Console | |
| Cartridges | |
| Premium Mobile |
| By VR in Gaming | |
| Hardware | |
| Software |
| Geography | |
| North America | |
| Europe | |
| Asia-Pacific | |
| Rest of The World |
Virtual Reality in Gaming Market Research FAQs
What is the current VR in Gaming Market size?
The VR in Gaming Market is projected to register a CAGR of 32.75% during the forecast period (2024-2029)
Who are the key players in VR in Gaming Market?
Oculus VR (Facebook Technologies LLC), HTC Vive, Nintendo Co Limited, Microsoft Corporation and Valve Corporation are the major companies operating in the VR in Gaming Market.
Which is the fastest growing region in VR in Gaming Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in VR in Gaming Market?
In 2024, the North America accounts for the largest market share in VR in Gaming Market.
What years does this VR in Gaming Market cover?
The report covers the VR in Gaming Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the VR in Gaming Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
What are the challenges of developing VR games compared to traditional games?
The challenges of developing VR games compared to traditional games are a) Potential for motion sickness b) User interface design for VR c) Ensuring a comfortable gameplay experience
VR in Gaming Industry Report
The Global VR Gaming Market is experiencing significant growth, driven by technological advancements and an increasing demand for immersive gaming experiences. The integration of cloud technology in VR gaming is revolutionizing the industry, enabling quick access to user profiles and alterations in gaming libraries through features like live streaming and unlimited storage. This evolution is making VR gaming more accessible by reducing the need for costly hardware, thereby broadening its market appeal.
The VR game market size is expanding, with the development of VR peripherals such as headsets, bodysuits, and gloves, all supported by compatible computers and gaming consoles. Market segments, particularly headsets, are experiencing rapid growth due to increased investments from hardware manufacturers in VR-compatible devices. The VR gaming industry is segmented into various platforms including MMOs, smartphones, casual web games, and consoles, with the smartphone segment poised for substantial growth due to the rising availability of VR-enabled smartphones and the popularity of mobile gaming.
Regionally, the Asia-Pacific market leads in market share, driven by a growing gaming audience in countries like India, South Korea, and China. The market size and market share are crucial metrics in understanding the industry's landscape. The global market is witnessing a steady growth rate, with industry analysis indicating positive trends. Industry reports and market data highlight the market growth and market value, providing an in-depth market overview and market forecast.
Industry research and industry outlook suggest that the market segmentation and market predictions are aligned with the current industry trends. Market leaders are emerging, and the market review indicates a promising future for the VR gaming industry. The report example and report pdf provide comprehensive industry information, including industry sales, industry size, and industry statistics, essential for research companies and stakeholders looking to capitalize on this burgeoning market.
