The Global Virtual Reality in Gaming Market size is expected to reach $95.7 billion by 2030, rising at a market growth of 21.8% CAGR during the forecast period.
Gaming consoles like PlayStation, Xbox, and Nintendo enjoy widespread popularity and penetration in Canada. These consoles serve as key platforms for gamers to access various gaming content. The widespread use of gaming consoles provides a ready and accessible platform for introducing VR experiences. Therefore, the North America region would generate a revenue of $31 billion by 2030. This has contributed to the region's widespread adoption of VR hardware and experiences. Major players in the VR industry, including hardware manufacturers and content developers, often have a significant presence in North America.
The major strategies followed by the market participants are Partnerships, Collaborations & Agreements as the key developmental strategy to keep pace with the changing demands of end users. For instance, In November, 2023, Meta platforms Inc. has announced a partnership with Tencent Holding Ltd., a Chinese technology company. Under the terms of the deal, Tencent will produce and distribute the upcoming VR headset exclusively in China. By partnering with Tencent, Meta will not only benefit from Tencent’s strong presence in the country, but will also receive a significant portion of the revenue generated by the headset’s sales. In June, 2023, Electronic Arts Inc., came into partnership with Nike Virtual Studios, a division of Nike, Inc. Nike's new partnership with EA SPORTS will aim to create new immersive experiences and unlock entirely new levels of customization within the EA SPORTS ecosystem.
Based on the Analysis presented in the KBV Cardinal matrix; Microsoft Corporation is the forerunner in the Market. In February, 2023, Microsoft Corporation came into 10-year partnership agreement with Nvidia Corporation, a technology company. Under this partnership, the company will enable Xbox PC games to be played on the more than 25 million-strong NVIDIA® GeForce NOWTM cloud gaming service in more than 100 countries, also enabling its users to stream Xbox PC titles from GeForce NOW to PCs, macOS, Chromebooks, smartphones, and other devices. and Companies such as Qualcomm, Inc., Samsung Electronics Co., Ltd., Meta Platforms, Inc. are some of the key innovators in Market.
The immersive nature of VR gaming enhances player engagement significantly. Gamers are more deeply involved in the virtual worlds, leading to longer and more fulfilling gaming sessions. Increased engagement is a key factor in retaining and attracting gamers. The desire for extended and captivating gaming experiences contributes to adopting VR technology. VR technology enables developers to create richer and more interactive stories, attracting a diverse audience. These aspects will lead to increased demand for virtual reality in gaming.
The gaming industry has witnessed a significant increase in its user base, encompassing a diverse demographic spanning various age groups and backgrounds. The accessibility of gaming platforms, including consoles, PCs, and mobile devices, has contributed to the widespread participation in gaming activities. These aspects will pose lucrative growth prospects for the market.
Premium VR headsets with advanced features, high-resolution displays, and immersive capabilities often come with a substantial price tag. This includes devices from leading manufacturers such as Oculus, HTC, and Sony. The high cost of VR headsets makes them a luxury item rather than a mainstream gaming accessory. Potential users, especially those with budget constraints, may hesitate to invest in VR technology due to the perceived high upfront cost. These aspects can limit the growth of the market.
On the basis of connecting device, the market is divided into gaming console, PC/desktop, and smartphone. The gaming console segment recorded the maximum revenue share in the market in 2022. Many gaming console manufacturers, such as Sony, with its PlayStation VR, have integrated VR capabilities into their systems. This integration allows console users to experience virtual reality without needing separate and dedicated VR hardware. The ease of access has contributed to the growth of VR within the console gaming ecosystem. As a result, there will be increased demand in the segment.
Based on components, the market is bifurcated into hardware and software. In 2022, the software segment garnered a significant revenue share in the market. The continuous development of diverse VR game genres, including action, adventure, simulation, and multiplayer experiences, has significantly contributed to the growth of the software segment. Developers are creating content that caters to a wide range of gaming preferences, attracting a broader audience to VR gaming. Therefore, the segment will expand rapidly in the coming years.
Based on user, the market is bifurcated into commercial space and individual. In 2022, the individual segment witnessed the maximum revenue share in the market. The availability of rich and diverse VR gaming content is crucial in attracting and retaining individual users. Engaging and innovative games designed specifically for VR enhance the unique gaming experience. Social and multiplayer VR gaming experiences can enhance the appeal for individual users. Connecting with friends in virtual spaces or engaging in multiplayer games provides added value, making VR gaming more attractive to individuals seeking social and personal experiences. These factors will boost the demand in the segment.
| Report Attribute | Details |
|---|---|
| Market size value in 2022 | USD 20 Billion |
| Market size forecast in 2030 | USD 95.7 Billion |
| Base Year | 2022 |
| Historical Period | 2019 to 2021 |
| Forecast Period | 2023 to 2030 |
| Revenue Growth Rate | CAGR of 21.8% from 2023 to 2030 |
| Number of Pages | 237 |
| Number of Table | 333 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Competitive Landscape, Porter’s 5 Forces Analysis, Company Profiling, Companies Strategic Developments, SWOT Analysis, Winning Imperatives |
| Segments covered | Component, Connecting Device, User, Region |
| Country scope |
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| Companies Included | Sony Corporation, Microsoft Corporation, Nintendo Co., Ltd., Electronic Arts, Inc., Meta Platforms, Inc. (Meta), Samsung Electronics Co., Ltd. (Samsung Group), Ultraleap Limited (Leap Motion, Inc.), HTC Corporation, Qualcomm Incorporated (Qualcomm Technologies, Inc.), Linden Research, Inc. |
| Growth Drivers |
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| Restraints |
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By region, the market is segmented into North America, Europe, Asia Pacific, and LAMEA. In 2022, the Asia Pacific segment acquired a considerable revenue share in the market. The Asia Pacific region is home to a massive and enthusiastic gaming population. Countries such as China, Japan, South Korea, and India have vibrant gaming cultures deeply ingrained in their societies. This cultural affinity for gaming has translated into a receptive audience for VR gaming experiences. The region has a substantial youth population with a strong affinity for technology and gaming. The appeal of immersive and interactive VR gaming experiences resonates particularly well with the younger demographics. Therefore, these factors will pose lucrative growth prospects for the segment.
Free Valuable Insights: Global Virtual Reality In Gaming Market size to reach USD 95.7 Billion by 2030
The market research report covers the analysis of key stakeholders of the market. Key companies profiled in the report include Sony Corporation, Microsoft Corporation, Nintendo Co., Ltd., Electronic Arts, Inc., Meta Platforms, Inc. (Meta), Samsung Electronics Co., Ltd. (Samsung Group), Ultraleap Limited (Leap Motion, Inc.), HTC Corporation, Qualcomm Incorporated (Qualcomm Technologies, Inc.), Linden Research, Inc.
By Connecting Device
By Component
By User
By Geography
This Market size is expected to reach $95.7 billion by 2030.
Immersive gaming experience with virtual reality are driving the Market in coming years, however, High cost of virtual reality hardware restraints the growth of the Market.
Sony Corporation, Microsoft Corporation, Nintendo Co., Ltd., Electronic Arts, Inc., Meta Platforms, Inc. (Meta), Samsung Electronics Co., Ltd. (Samsung Group), Ultraleap Limited (Leap Motion, Inc.), HTC Corporation, Qualcomm Incorporated (Qualcomm Technologies, Inc.), Linden Research, Inc.
The expected CAGR of this Market is 21.8% from 2023 to 2030.
The Hardware segment is leading the Market, By Component in 2022 thereby, achieving a market value of $61.2 billion by 2030.
The North America region dominated the Market, By Region in 2022 thereby, achieving a market value of $31 billion by 2030, growing at a CAGR of 20.9 % during the forecast period.
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