Customer awareness boosts augmented Reality market growth

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The augmented reality (AR) market is poised for quick growth powered by enterprise uptake, latest data from ABI Research showed.

The market research firm forecasts augmented reality in enterprise applications will hit an inflection point in 2018, with smart glass shipments growing to 28 million in 2021 with a 227 percent CAGR.

A steadily increasing interest in how AR can benefit businesses, along with a progressively stronger understanding of available use cases and applications pertinent to customers are boosting growth.

“2016 was a year of discovery for AR, with the industry focusing on initial ROI metrics,” says Eric Abbruzzese, Senior Analyst at ABI Research.

“Pilot phases will continue into 2017, with early adopters moving to more substantial deployments. New AR customers will be excited by positive performance indicators across the market, with the promise of increased workforce efficiency and error reduction.”

ABI Research forecasts total market revenues—across devices, platforms, and licensing—to reach $96 billion in 2021.

Also Read: How AR improves customer experience

The energy, manufacturing, and logistics verticals look set to account for the largest market shares, but the healthcare and media & entertainment markets will be fastest growing, with 323 percent and 400 percent CAGRs respectively.

Abbruzzese continued that 2018 will be the year all verticals experience a significant jump in AR adoption rates.

This is due to a congruence of three factors: significant time in market for pilot phases and small deployments to provide success indicators, greater breadth and depth of use case support through platforms, and an overall more mature market in terms of deployments, integrations, and usage.