There’s nothing like a good report to make us feel safe knowing that virtual reality (VR) and augmented reality (AR) will take off in the spectacular way we hope and secretly know it will – and has. In a report from International Data Corp (IDC), there is nothing but great news to come.
In a report by CFO, it is said that the market will grow from $5.2 billion in 2016 to more than $162 billion in 2020, meaning a total annual growth rate of 181.3%. It is also pointed out that Pokémon GO has raked in more than $250 million in revenue since its release, and will surpass $1 billion by the end of the year.
“For many years augmented and virtual reality were the stuff of science fiction,” Chris Chute, vice president of Customer Insights and Analysis at IDC, said in a press release. “Now with powerful smartphones powering inexpensive VR headsets, the consumer market is primed for new paid and user generated content-driven experiences.”
“The rise of new, less expensive hardware will put virtual and augmented reality technology within the grasp of a growing numbers of companies and individuals,” said Tom Mainelli, IDC’s vice president for Devices & AR/VR.
“Because AR/VR technology is still in the early stages of adoption, every region [of the world] is expected to see annual growth of more than 100% throughout the forecast period,” IDC said.
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UPDATE: The headline for this article initially suggested the market would only be worth $1.6 Billion (USD). VRFocus apolgises for this error.