Immersive technology has come a long way, with virtual reality(VR) and augmented reality(AR) evolving in leaps and bounds. Traditionally, this tech was predominantly used in applications around gaming and entertainment. However, this notion has shifted, with virtual reality stats showing increased usage spanning many other industries.
There’s an overarching wave of positive sentiment across the VR/AR industry due to better internet, cheaper hardware, and content availability.
To comprehensively understand the VR trends and stats, we’ve compiled a list of the most standout virtual reality statistics today.
10 Key Virtual Reality Facts and Statistics
The VR market is estimated to be worth $21.70 billion in 2022
AR/VR headset sales numbers declined by 20.9% in 2022
The hot and most promising investment region for VR and immersive technology in North America at 62%
Healthcare leads in market opportunity(CAGR) by 22.7% from 2021 to 2028
The VR market for hardware accounted for 65.0% of total VR revenue in 2022
The VR/AR technology is expected to create 23 million jobs in the US by 2030
VR/AR will create 400,000 jobs in the UK and Germany by 2030
VR game revenue shot up to $9.13 billion in 2022
The size of the VR market in gaming is expected to reach $92.3 billion by 2027
35% of users in the 16 to 34 age bracket own a VR headset in the US and the UK
Virtual Reality Market Statistics
AR/VR headset sales numbers declined by 20.9% in 2022.
The sudden decline and lower VR sales were attributed to a challenging macroeconomic environment, a lack of mass market adoption, and a general lack of vendors. Only 8.8 million units were sold, compared to 11.2 million in 2021.
(IDC)
84.6% of the AR/VR headset market share was held by Meta’s Quest 2 in the first three quarters of 2022.
Its next closest competitor was ByteDance's Pico, with 7.4% share over the same period. The Pico overcame the DPVR, which had 1.8% of the market, and then HTC, with 1.1%.
(IDC 2)
Sony halves PSVR 2 sale projections for the 2022/2023 financial year.
VR headset sales for the Sony Playstation VR came at 6.6 million devices shipped in the previous financial year. However, the company not only projected, at first, significantly lower numbers compared to previous years, but also halved later on. In fact, it expects to ship a total of only 1.5 million units.
The VR headset numbers for Meta are at 1.138 units sold in Q4 of 2022.
Of this number, roughly 1.113 million are just the Quest 2, as it represents 92.7% of all VR headset revenue for Meta. The Quest Pro, however, has sold an estimated 25,080 units.
(ARInsider)
AR/VR headset shipments are expected to grow by 14% in 2022.
Inexpensive headsets and moving beyond the core industry that utilizes VR/QR headsets will propel this growth. Broader adoption by the commercial sector, as well as Sony’s PSVR2, and Apple's involvement with the market segment will lead to the recovery of high VR sales volumes.
(IDC)
AR/VR headset shipments are set for a CAGR of 32.6% between 2023 – 2027.
Global headset shipments are forecast to surpass 50 million units by 2027. Industry players expect a 32.6% compounded annual growth rate (CAGR)
(IDC)
Due to the AR/VR industry growth, the technology is set to contribute $122.6 billion to the US economy in 2024.
The figures are expected to rise to a staggering $537 billion by 2030. Jobs are also expected to soar from 250,000 in 2021 to 2.3 million in 2023.
(Statista)
Consumer applications account for 54.7% of the total VR market.
Sales from new products such as HMD and GTD coupled with new product launches driving the VR market. For instance, HMD devices are expected to have a CAGR of 38.6% between 2020 to 2025.
(Markets and Markets)
VR User Statistics
52% of immersive technology industry players believe the industry will see increased spending by the end of 2023.
This is a significant decrease when looking at 2021 data. Namely, an overwhelming majority, 83%, of industry leaders believed investments would only increase in 2023.
(Perkins Coie)
53% of VR consumers say user experience is a key barrier to mass adoption.
Other challenges affecting the mass adoption of VR include content offering at 29% . Both metrics have decreased by roughly 3%, which shows a growing improvement in the overall perception of both factors among experts.
(Perkins Coie)
35% of users in the 16 to 34 age bracket own a VR headset in the US and the UK.
A survey to check the demographics of those who own VR headsets found that young males were likelier to own a headset. The ownership levels drop to 26% for the 35-44 age group while it’s only 12% for the 45-54 age group.
The survey also checked the distribution by gender. 30% of the male respondents had used a VR headset previously at least once, compared to only 16% of women.
(GlobalWebIndex)
88% of industry leaders believe the development of NextGen experiences will drive the adoption of VR/AR hardware.
In fact, they believe that XR (catch-all term for VR and AR tech) is “the gateway” for NextGen tech.
(Perkins Coie)
An estimated 120.5 million people use AR/VR tech in 2023.
The consumer report released in 2023 detailed that VR was doing well despite several hurdles, including hardware hitches. However, experts are relatively optimistic, especially with AR adoption (through the technology's further development).
(Statista)
The VR market size was estimated at $21.70 billion in 2022.
Based on primary research, the market size is expected to hit $248.16 billion in 2030. The virtual reality market size is predicted to grow at a CAGR of 35.6% between 2022 and 2030. Prominent players such as Sony, Google, and Apple are expected to drive this growth.
(Vantage Market Research)
The size of the VR market is projected to hit $114.5 billion by 2027.
Increasing usage in healthcare, partnerships with telecoms, retail, e-commerce, training, and education are some factors fuelling the industry's growth. Currently, the market is controlled by established global players such as Google, Sony, Lenovo, and Samsung.
(Markets and Markets)
Research shows that 89% of industry players believe that fashion and retail represent great opportunities for VR.
During and post-pandemic, there was a notable shift in consumer shopping behavior. Fashion and retail players used VR/AR for virtual merchandise try-ons and virtual product customization.
73% of the respondents believed virtual try-on would significantly impact the industry. 63% of the respondents saw product customization as critical, while 42% said virtual interactive campaigns were impactful.
(Markets and Markets)
Consumer and enterprise VR revenue is expected to top $19.76 billion in 2024.
Consumer and enterprise hardware were the biggest drivers of the growth, with the software component chipping in significantly. Revenue is predicted to exceed $28 billion by 2026.
(Statista)
China was the lead in VR/AR spending in 2022.
Data shows that China leads in AR/VR popularity and expenditure, with projections showing a total of $5.8 billion was spent in the country. The US is the second-largest spender at $5.1 billion. The two countries were expected to account for 58% of the total VR/AR spending globally.
(Statista)
China is expected to account for 36% of the $72.4 billion projected to be spent on VR technology by 2024.
The US and Western Europe are also boasting significant numbers, with CAGRs projected to hit 75.1% and 72.8%, respectively, by 2024.
(IDC)
VR/AR spending is expected to balloon to 72.4 billion in 2024.
VR technology is increasing in popularity, with about 70 million people expected to use the tech by 2023.
(IDC)
In 2018, 78% of Americans were familiar with VR.
Research also shows that 18% of Americans consider themselves subject experts on matters of VR, having followed the technology for years. Generation Z and millennials lead this group. However, 53% say they’ve never heard about VR.
(Forbes)
The AR/VR market is forecast to reach $20.9 billion by 2025.
With businesses using VR/AR for wider spheres, many European countries continue to realize the use of this technology. The VR technology is set to boost the German economy by close to $29.8 billion and the UK the economy by $20.1 billion.
(Markets and Markets)
Besides Video Games, workforce dev and training, as well as healthcare, have seen the most advancement since the pandemic, thanks to XR.
In fact, 27% of respondents believe gaming has changed significantly thanks to XR, 21% believe a huge change was seen in workforce dev and training, and 19% believe healthcare has changed the most.
(Perkins Coie)
Four hundred thousand jobs are likely to be created in Germany and the UK through VR by 2030.
Data shows that 10K and 15K jobs were created in Germany and the UK, respectively, in 2019.
(Statista)
Virtual Reality Future Predictions
The global VR sales market size is set to grow to $16.67 trilion in 2022.
The VR sales projection will eclipse $200 billion by 2029 with a CAGR of 45.2%.
(Fortune Business Insights)
VR Industry Growth
The AR/VR market size was estimated at $213 million in 2017.
The market is set to register a CAGR of 175% going from 2018 to 2025.
(Valuates)
82% of companies who’ve incorporated VR into their processes report the benefits exceeded expectations.
The benefits of implementing VR/AR in business operations met and surpassed the expectation of most companies. There was a marked improvement in productivity and efficiency, especially when the tech was rolled out on a large scale.
(Capgemini)
China boasts the highest level of VR implementation in multiple industries.
Through concerted efforts in policy implementation by the government and consistent uptake by the private sector, the adoption of VR in the manufacturing sector has witnessed staggering numbers.
In fact, it is used in healthcare, fashion, the makeup industry, and entertainment in general.
(MarketingToChina)
80% of consumers report a positive impact from branded VR experiences.
Marketers using VR for their brands report more impact compared to traditional marketing methods. Consumers report feeling more intimate with the brands, as well as excited by diverse content offerings.
(Touchstone Research)
Three-quarters of the Forbes top brands have invested in VR.
The massive potential in using VR has been clear to many companies, although hardware and software issues have impeded the absorption of the tech. But with further advancements, more and more adoption has been seen, especially by the tech giants like Meta, Google, Nvidia, and Shopify.
(Hypergrid Business; Make Use Of)
97% of industry players in education agree that VR will contribute to a significant advancement in education through 2026.
Most of the sub-sectors in education would see better engagement and interaction, especially during the pandemic. 59% of the respondents alluded that research is needed to integrate VR/AR into education properly.
(Perkins Coie)
2022 data shows that 37% of industry players in the education sector say post-graduate programs would benefit from using VR.
And according to data from 202, 64% of the respondents believe AR/VR would significantly contribute to colleges and universities. The University of Maryland and Michigan have made significant efforts to utilize immersive technology.
(Perkins Coie)
VR Gaming Statistics
VR game revenue shot up to $9.13 billion in 2022.
With further developments in technology, as well as with widespread adoption by the gaming industry the industry segment will only grow. Its growth is championed by North America, with the largest region, but also by the Asia Pacific region, showing the fastest growth.
(Vantage Market Research)
The VR gaming statistics show that revenue hit $6.26 billion in 2020.
The VR gaming segment is set to experience explosive growth moving forward. A study indicates that the market is projected to grow to $53 billion by 2028
(Fortune Business Insights)
The size of the VR market in gaming is expected to reach $92.3 billion by 2027.
The market is estimated to grow 30.2% through 2027, with millennials being the key drivers of VR adoption.
(Grand Review Research)
Statistics show that the most prominent use cases of VR are virtual gaming and video.
About $20.8 billion is expected to be spent on VR gaming and video globally by 2023.
(Statista)
10% of gamers in Poland used VR devices in 2020.
A further 41% of gamers were set to use mobile VR in the country.
(Statista)
VR Usage Statistics
The number of VR users in the US is projected to reach 65.9 million users by the end of 2023.
There’s a considerable year-on-year increase in the number of VR users in the country. There was a 123% increase in VR users between 2017 and 2020.
(Forbes)
A survey in 2019 showed that 9 out of 10 respondents believed that VR would soon be as ubiquitous as smartphones.
39% of the respondents held strong optimism about the industry's future. A further 47% say they agree with this notion. Better content and availability of devices played a significant factor in influencing the response. About 7% believe that poor user experience and content quality still dampen the pace of adoption.
(Perkins Coie)
The VR market for hardware accounted for 65.0% of total VR revenue in 2022.
The revenue is expected to grow by a CAGR of 15% between 2022 and 2030. This growth will be buoyed by the growing demand for smartphones which will complement VR hardware devices. Increasing usage in theme parks, amusement parks, and commercial applications will also contribute to this growth.
(Grand View Research)
The VR software segment is expected to witness substantial growth from 2021 to 2028.
The growth will be influenced by an increasing trend to integrate external applications into VR headsets.
(Grand View Research)
Healthcare leads in market opportunity(CAGR) by 22.7% from 2021 to 2028 based on VR market segmentation.
Commercial and enterprise applications also have a significant market opportunity between 2021 and 2028 at 19.5% and 18.9% CAGR, respectively.
(Grand View Research)
A survey indicated that Gesture-Tracking Device (GTD) will lead in CAGR by 20.6% between 2021 to 2028.
Head-Mounted Displays (HMDs) and projectors & Display Wall (PDW) also have significant market opportunities by device type. HMDs have an expected CAGR of 18.4%, while PDW has a CAGR OF 11.6% through 2028.
(Grand View Research)
About 23 million jobs will be using virtual reality and augmented reality by 2030.
The research reports that tech can also contribute billions to the economy. The impact of this tech will be felt in larger economies such as the US, UK, Germany, and China.
(PwC)
Virtual Reality Adoption Statistics
Bulky hardware and technical glitches are the biggest obstacles to VR adoption, according to 54% of respondents.
Consumer and business reluctance to adopt VR/AR, content offering, regulations, and legal risks are other factors hindering mass adoption of this tech. Cost to consumers is another obstacle, with 11% of respondents claiming it to be a significant impediment to VR/AR adoption.
(Perkins Coie)
Consumer awareness became a big issue for 2022 respondents.
In fact, 29% of respondents believed this is an issue in 2022. Conversely, 6% of users in 2021 felt the same. This is surprising, and one likely explanation is that there are simply more products on the market.
(Perkins Coie)
The hot and most promising investment region for VR and immersive technology in North America at 62%
Stakeholders also believe that North America, at 57%, is likely to witness the fastest growth in immersive technology. Europe is also considered an investment hotspot, coming second at 21%, with Asia Pacific third at 13%. Virtual reality data shows that China's massive middle class will lead in adopting VR technology.
(Perkins Coie)
Research among VR startups shows that consumer and data privacy was the biggest legal concern.
Product liability is second, while difficulty in licensing, and health issues are also some more of the legal hurdles startups face.
In fact, in 2022, 21% of respondents believed that legal risks and government regulation are major obstacles for XR adoption.
(Perkins Coie)
In 2020, 69% of respondents in a survey indicated that they get VR and immersive technology news from industry association publications and websites.
64% of the respondents suggested that social media was also a primary means of getting VR/AR news. Other options include industry thought leaders' websites at 44% and print media at 22%.
(Perkins Coie)
48% of VR content developers favor creating video games.
Social content development ranked second among content creators at 31%, followed by advertising at 26%. Livestream, film, and entertainment made the top five at 25% and 24%, respectively.
(Perkins Coie)
A recent study shows that VR forms the biggest area of focus at 41% compared to other immersive technologies.
Augmented reality at 28% came in a distant second. Other firms' primary focus was mixed reality at 26%, while only a small percentage(6%) concentrated on all forms of immersive technology.
(Perkins Coie)
FAQ
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Conclusion
All the different VR stats show that VR and its use cases are on an upward trajectory. VR has found a footing across various domains, including consumer, enterprise, and industrial apps.
The future for VR looks rosy with double digits CAGR across different aspects. The number of VR users will increase as the tech gears towards mass adoption. VR headsets' availability, better content, and enterprise applications are expected to aid in this adoption.
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