U.S. virtual reality revenues to reach $38 billion in 2026Wednesday, November 2nd, 2016
Greenlight Insights Forecasts U.S. Virtual Reality Revenues to Reach $38 Billion in 2026
- New ‘Virtual Reality Industry Report’ includes 10-year forecast and offers the most comprehensive long-range view of the global VR/AR industry
SAN FRANCISCO — The global virtual reality industry will experience very modest growth during the next two years, according to a new 10-year forecast by Greenlight Insights, the global leader in virtual and augmented reality market intelligence. In its Virtual Reality Industry Report: Fall 2016 edition, released today in partnership with Road to VR, Greenlight states total U.S. VR revenues will be in an “inflexion zone” for the next five years, and then reach $38 billion in annual revenues in 2026.
“The Playstation VR launch and Microsoft’s entry are important events, but we’ve identified a number of pivotal changes that we expect will alter the trajectory of the entire VR industry,” said Clifton Dawson, CEO of Greenlight Insights. “A clear shift from tethered to standalone HMDS, a timeline for 5G across several global markets, and the viability of VR for non-entertainment will fuel the market beyond 2020.”
Greenlight forecasts VR hardware (head-mounted displays, VR cameras, and other hardware) will account for approximately 61% of total VR industry revenues in 2026. Revenues for the 360-degree spherical camera (or VR camera) segment will build to nearly $4.6 billion by 2026, according to Greenlight’s estimates.
Greenlight Insights’ 10-year forecast has been developed by a global team of analysts who are focused on the VR industry every day. Their detailed understanding of model drivers and the impact of China and other emerging markets outside the U.S. combine to create an actionable framework that can be used to drive strategic decisions for the long term. Greenlight Insights’ forecasts include nine top-level and 26 sub-categories, including:
- HMDs (multiple sub-categories)
- VR Cameras (multiple sub-categories)
- Other Hardware
- Consumer-oriented content by categories
- Enterprise-oriented content by vertical use
- Commercial Production
- Tools & software
- Place-Based VR Experiences
“Many observers have made predictions about the VR industry that are highly optimistic,” said Stephen Marshall, Senior Vice President, Greenlight Insights. “In this rapidly developing industry, the most useful forecast is one that reflects the very different VR, AR, and MR modalities, as well as distinctive use cases and market drivers. This is the approach Greenlight has taken with this new forecast.”
The Industry Report also features proprietary insights from Greenlight’s VR Industry Monitor (VRIM), the largest continuous study of industry executives across the global VR community.