The Worldwide Head-mounted Display Industry is Expected to Reach $36.5 Billion by 2026 at a CAGR of 46% from 2021 – ResearchAndMarkets.com | Financial Buzz

The Worldwide Head-mounted Display Industry is Expected to Reach $36.5 Billion by 2026 at a CAGR of 46% from 2021 – ResearchAndMarkets.com

The “Head-mounted Display Market with COVID-19 Impact Analysis by Type, Technology (AR, VR), Application (Consumer, Commercial, Enterprise & Industry, Aerospace & Defense), Product Type, Component, Connectivity, and Geography – Global Forecast to 2026” report has been added to ResearchAndMarkets.com’s offering.

The head-mounted display market is expected to grow from USD 5.5 billion in 2021 to USD 36.5 billion by 2026, at a CAGR of 46.0%.

A surge in investments by major players in development of HMDs, increased adoption of AR and VR technologies due to COVID-19, availability of low-cost HMDs, and technological advancements and growing digitalization – are the key factors driving the head-mounted display market.

However, lack of standardization for HMD design, health concerns related to low resolution and lack of movement, display latency and energy consumption affect the overall performance of VR devices may create hurdles for the market.

The recent COVID-19 pandemic is expected to impact the global head-mounted display market. Due to COVID-19, the manufacturing units of major players are highly hampered due to worldwide lockdown and limited availability of labor and raw material. A number of scheduled product launches and related developments have been postponed due to the pandemic. However, the impact of COVID-19 is expected to reduce during the forecast period.

Market for discrete HMDs is expected to grow at the fastest CAGR during the forecast period

Increasing use of eyewear in various applications, such as industry and enterprise, healthcare, and research and design, is expected to boost the market for HMDs. Discrete HMD, also known as tethered HMD, is a VR HMD that creates an immersive VR experience. Discrete HMDs require powerful PCs to operate games and software. These are cheaper than slide-on HMDs and expensive than integrated HMDs. The extensive use of discrete HMDs in gaming and entertainment has been the biggest driver for their growth. The trend is expected to grow over the next 5 years. The COVID-19 crisis increased the growth rate of these HMDs, as people were stuck at home, and HMDs were of great help for in-house entertainment.

Virtual reality technology held the largest share of head-mounted display market in 2020

An increasing number of new entrants offering HMDs at a low cost is one of the major reasons behind the widespread adoption of VR HMDs, particularly in the consumer application. Tech giants entering the market with their innovative headsets or HMDs has offered impressive opportunities for the market. The major reason for the growth of the VR HMD market growth is the use of HMDs for gaming. The availability of low-cost VR HMDs has also helped increase the shipments of the VR segment.

Enterprise and industry application to lead the market during the forecast period

The HMD market has witnessed strong growth due to the crucial role of technological advancements in the enterprise and industry application segment. The increasing use of AR headsets in training, logistics and warehouse, manufacturing, assembling, education, and many other applications boosts the market for AR HMDs. For example, AR headsets are being used in logistics to provide quick access to information anytime and anywhere. Such headsets can reduce the amount of time required to train new employees. The flexibility obtained by AR HMDs makes them a preferred choice for the enterprise and industry segment.

APAC is expected to register the highest CAGR in the market during the forecast period

Among all regions, APAC is expected to register the highest growth in the head-mounted display market during the forecast period. HMDs have been extensively adopted in APAC in recent years. Continuous developments in the consumer application would encourage the region to invest and adopt AR and VR HMDs. This is a major driving factor for the market’s growth in this region. APAC is home to many leading companies such as HTC Corporation (Taiwan), Sony Corporation (Japan), Lenovo Group Ltd. (China), Acer Inc. (Taiwan), Xiaomi, Inc. (China), LG Electronics Inc. (South Korea).

Market Dynamics

Drivers

  • Surge in Investments by Major Players in Development of HMDs
  • Increased Adoption of Ar and Vr Technologies due to COVID-19
  • Availability of Low-Cost HMDs
  • Technological Advancements and Growing Digitalization

Restraints

  • Lack of Standardization for Hmd Design
  • Display Latency and Energy Consumption Affect Overall Performance of Vr Devices
  • Health Concerns Related to Low Resolution and Lack of Movement
  • Trade Restrictions Between Us and China

Opportunities

  • Growing Use of HMDs for Video Games
  • Increasing Patents Portfolio
  • Surging Demand for Lightweight HMDs and Portable Devices

Challenges

  • Low Awareness About HMDs
  • Adverse Impact of Lockdowns due to COVID-19 on Commercial Trade

Companies Mentioned

  • BAE Systems
  • Beyeonics Surgical Ltd.
  • Dynabook Americas
  • Everysight
  • Google
  • HTC
  • Lenovo
  • Lynx
  • Magic Leap, Inc.
  • Merge Labs
  • Meta Company
  • Microsoft
  • Nimo Planet
  • Oculus Vr (Facebook)
  • Optinvent
  • Panasonic Corporation
  • Realwear
  • Samsung Electronics
  • Seiko Epson
  • Solos
  • Sony
  • Thales
  • Ultraleap
  • Vuzix
  • Xiaomi Corporation

For more information about this report visit https://www.researchandmarkets.com/r/mralfa

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