Global Virtual Reality Content Market 2016-2020

Overview of the global virtual reality (VR) content market

Technavio’s market research analyst predicts the global virtual reality content market to grow tremendously during the forecast period, posting an impressive CAGR of almost 128%. The growth of the VR content market is directly proportional to the growth of the gaming market. The gaming market is the highest adopter of VR content. VR offers a simulated environment through its hardware and software, which provides users a virtual experience while gaming. The majority of the revenue in the global VR content market is generated through the sales of hardware devices, live viewing formats, and spectator content. The number of gamers who prefer VR over traditional gaming devices has increased, thanks to the growing benefits for VR headsets equipped with sensors, which offer synchronized sound and sight. The introduction of smartphone-integrated VR headsets is the latest trend in this market. Samsung and HTC are the leading manufacturers of such technologically advanced, portable, and stand-alone devices. Also, the declining costs of VR components such as sensors, cameras, and displays are propelling vendors to develop cost-effective products, thereby leading to the growth of the VR content market in the coming years.

In terms of geography, APAC is expected to witness the highest growth rate during the forecast period, owing to the increased adoption of VR in countries like China and Japan. Much of the region’s growth can be attributed to the large number of local and global players who are increasingly developing software and hardware for VR. For instance, Baofeng Mojing is collaborating with Indie VR developers to create and distribute over 26 VR games. Moreover, the launch of the first VR theme park in China by 2018 will be a major driving force behind the virtual reality market growth in the region over the predicted period.

Competitive landscape and key vendors