Impact Analysis of Covid-19
The complete version of the Report will include the impact of the COVID-19, and anticipated change on the future outlook of the industry, by taking into the account the political, economic, social, and technological parameters.
Market Insight- Global Mixed Reality Market
Mixed reality (MR) is the combination of real and virtual worlds, in order to provide innovative atmosphere and visualizations where digital and physical objects interact in the real world. Mixed reality does not take place in either a physical or virtual world, however, it is a hybrid of reality and virtual reality. It encompasses both augmented reality and augmented virtuality through immersive technology. Mixed reality finds applications in a variety of sectors including automotive & aerospace, entertainment, healthcare, e-commerce & reality. North America holds a dominant position in the global mixed reality market with high adoption of mixed reality in healthcare, automotive, and entertainment sectors. There is a slow adoption of mixed reality technology in Asia Pacific.
The global mixed reality market was valued for US$ 217.50 Mn in 2019 is expected to exhibit a CAGR of 40.9% during the forecast period
Market Dynamics- Drivers
- Rising adoption of mixed reality in healthcare and medical sectors is expected to drive growth of the global mixed reality market during the forecast period.
Video game companies are increasingly adopting MR technology, in order to create games that are realistic and offer to enhance experience. A plethora of PCs and mobile games available in the market use augmented reality though many gamers are expected to opt for more interactive and entertaining playing games with support devices. Mixed reality has revolutionized the gaming industry and has also given a platform to be a part of virtual world with a realistic experience without actually being present at any specific location or open field. Moreover, augmented reality technology could offer immersive experience for movie reviewers of the future, 3-D film characters could appear in front of viewers, or at their side, as the story unfolds; the viewer could interact with the movie characters. For instance, Magic Leap, an augmented reality company, offers technology that shines on the retina of the user and allows interaction between the fictional characters and the real world. Furthermore, MR is used in healthcare organizations to formulate their existing processes more accurately and effectively. Thus, these factors are expected to support growth of the market during the forecast period.
- Instructive user experience in e-commerce shopping and retail is expected to propel the global mixed reality market growth over the forecast period
Rising expectations from users to experience and feel goods in reality, leading to development of MR devices. These devices create a strong illusion of real-life shopping and retail experience. Majority of retailers are using this technology to provide their customers with an interactive experience, which is taking shopping to new edge. For instance, if a consumer needs a pair of shoes urgently, he or she can use the MR device to point to the nearby shoe stores and browse the stock before heading over in person. This helps consumers save time and retailers match up with the right customers. There are numerous barcode apps available that let customers scan codes and read more about the product. Moreover, incorporation of mixed reality augments online shopping experience. For instance, car manufacturers can create a virtual manual, enable owners to visualize 3D information about everything from the functions of the buttons on the dash to the location of the coolant reservoir. The retail sector using mixed and augmented reality for the marketing of products is a new concept, although the industry is expected to witness the significant growth of successful campaigns in the future.
North America region dominated the global mixed reality market in 2019, accounting for 45.6% share in terms of value, followed by Asia-Pacific and Europe, respectively
Source: Coherent Market Insights
Market Dynamics- Restraints
- Financial constraints and privacy issues are expected to hamper the global mixed reality market growth over the forecast period
MR technology is a cutting-edge technology, which is why it requires significant investments in infrastructure and R&D to develop advanced MR devices. Currently, organizations are facing financial issues due to high costs associated with implantation of MR technology. However, this cost varies according to different companies and industries and can be measured differently. Most companies in the MR market face uncertainty issues while assessing the financial outcomes of MR projects that could increase risk. Moreover, privacy concern is another factor hindering adoption of MR technology. MR complicates intellectual property law by gathering and potentially transforming copyrighted or trademarked material that appears in the real world. For instance, recording copyrighted material expected constitutes copying, for purposes of copyright violation.
- Technical issues regarding MR are expected to restrain growth of the global mixed reality market growth during the forecast period
There are some technical issues arising with mixed reality despite being highly advanced. Limited battery life and image latency issues are major technical difficulties faced by end users, which in turn, is expected to hamper the global mixed reality market growth during the forecast period.
- Rising demand from automotive sector can present major growth opportunities
Mixed reality is expected to witness massive demand from automotive industry thereby driving the overall market growth. Numerous automotive companies across the globe have started implementing AR in their advertising campaigns. For instance, in April 2016, BMW Group (Germany) introduced a mixed reality system into vehicle development, which has been developed with the help of components from the computer games industry. This system bids significant advantages over the VR systems that have existed to date, thereby making virtual reality on developer workstations obsolete.
- Increasing government investments in the field of MR can pose excellent growth opportunities
Governments of various countries are focused on investing in mixed reality technology after acknowledging its several benefits. For instance, in April 2018, the U.K. Government invested US$ 35 million (€ 33 million), as a part of its industrial development strategy, in AR, VR, and MR. Such significant investments in the U.K. is expected to create major opportunities for market players in the near future.
Source: Coherent Market Insights
- North America Trends
Rising adoption of MR in automobile design safety technologies
In North America, automotive as well as aerospace and defense segments offer huge opportunities for the MR industry to grow. VR technologies are being actively used in automotive response, owing to rising number of models and equipment variants in the vehicle design and development process. For instance, automobile companies could use the spatial MR to put across virtual data on actual vehicle design models that allow the analyses of components. As a result of this, the time and cost required for the product development would be saved. For instance, Volvo Car Corporation has started deploying Microsoft’s HoloLens technology in car designing to generate 3D models enabling augmented designing and cost & time efficiency thereby optimizing processes overall.
- Europe Trends
Rising adoption of mixed reality in interior designing and architecture sector
Europe mixed reality market is witnessing emerging trends of using MR in architecture and interior designing sectors. The trend is expected to continue and boost the market growth in the near future. Mixed reality is used in architecture in which layering of computer simulation models over the physical arrangement of present surroundings and using that information to improve process efficiency. This technology can dramatically enhance the standard supply chain. Moreover, MR technology can repair product or reverse logistics processes in a simpler way. It also could help entry-level tech to instantly identify problems and incorrect circuits with a given product. For instance, in 2013, IKEA furniture retailer company introduced an augmented reality catalog app for customers to test and view different products in real-time.
In global mixed reality market, by component segment, software sub-segment dominated the global mixed reality market in 2019, accounting for 89.5% share in terms of value, followed by hardware.
Source: Coherent Market Insights
Key players operating in the global mixed reality market are Microsoft Corporation, Osterhout Design Group, Facebook Inc., Meta Company, Samsung Electronics Co, Ltd., Magic Leap, Inc., HTC Corporation, Canon Inc., Seiko Epson Corporation, Daqri LLC, and Recon Instruments, Inc.
- Major companies in the market are focused on research and development activities, in order to strengthen its position in the market. For instance, in March 2019, Microsoft Corporation received a patent for its next-gen mixed reality headset from the U.S. Patent Office.
- Key players in the market are involved in product launches, in order to expand product portfolio. For instance, in January 2017, Osterhout Design Group introduced its Snapdragon 835-based mixed reality glasses at Consumer Electronics Show (CES) 2017.