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Global Virtual Reality in Gaming Market 2016-2020

Global Virtual Reality in Gaming Market 2016-2020

About VR in Gaming

PC gaming can provide an immersive gaming experience to the users, with the integration of VR technology. Many vendors are integrating VR technology in their headsets. For instance, Oculus VR developed a headset in 2016 called the Oculus Rift. It is used for PC gaming like Elite Dangerous, in which virtual hands through the virtual controllers react while controlling certain movements. However, there are some VR hardware limitations with respect to using VR for PC gaming purposes. Due to high bandwidth requirements, the wireless technologies are not considered as a feasible option.

Technavio’s analysts forecast the global VR in gaming market to grow at a CAGR of 84.4% during the period 2016-2020.

Covered in this report

The report covers the present scenario and the growth prospects of the global VR in gaming market for 2016-2020. To calculate the market size, the report considers the revenue generated from the shipments of VR devices for gaming.

The market is divided into the following segments based on geography:

  • Americas
  • APAC
  • EMEA
Technavio's report, Global VR in Gaming Market 2016-2020, has been prepared based on an in-depth market analysis with inputs from industry experts. The report covers the market landscape and its growth prospects over the coming years. The report also includes a discussion of the key vendors operating in this market.

Key vendors
  • Fove
  • Google
  • HTC
  • Oculus VR
  • Razer
  • Samsung
  • Sony
  • Zeiss International
Market driver
  • Rapid increase in awareness of VR technology
  • For a full, detailed list, view our report
Market challenge
  • Limitations of hardware and software
  • For a full, detailed list, view our report
Market trend
  • Introduction of depth-sensing camera for VR headsets
  • For a full, detailed list, view our report
Key questions answered in this report
  • What will the market size be in 2020 and what will the growth rate be?
  • What are the key market trends?
  • What is driving this market?
  • What are the challenges to market growth?
  • Who are the key vendors in this market space?
  • What are the market opportunities and threats faced by the key vendors?
  • What are the strengths and weaknesses of the key vendors?


Press Release

Technavio Announces the Publication of its Research Report – Global VR in Gaming Market 2016-2020

Technavio recognizes the following companies as the key players in the global VR in gaming market: Fove, Google, HTC, Oculus VR, Razer, Samsung, Sony, and Zeiss International

Commenting on the report, an analyst from Technavio’s team said: “Growing need for ubiquitous display, which is lightweight and provides full color and high resolution, has led to the development of VRD. Especially, the demand for displays for virtual environments and augmented vision to create convincing virtual environments are the major factors fueling the development of VRD. AR demands displays, which can superimpose computer graphics image on the real world, including a bright, high contrast image, and color that is appropriate. For instance, for a surgeon, an augmented vision display can help with anatomic navigation information, as the procedure should be unobtrusive. Also, it should be able to produce bright images that are visible under the operating theater lights, and the surgeon's vision should match the color images. It can also be helpful for people with partial loss of vision.”

According to the report, the increased adoption of VR technology will lead to a decline in the cost of VR components. Vendors such as Google, Microsoft, Sony, and Samsung Electronics can produce components by themselves or buy several components at a low cost. The commercialization of these products will lead to a decline in their ASP. The declining price of VR components such as sensors, cameras, and displays is encouraging vendors to develop cost-effective products. For instance, in 2014, Google introduced Google Cardboard at a price of $20. With the introduction of cost-effective products, the competition in the market is expected to become more intense. It will lead to a decline in prices of high-end VR headsets such as Oculus Rift. We expect the ASP of VR headsets to fall by $200 over the next 4-5 years.

Further, the report states that one of the major challenges with VR is the motion sickness experienced by a large number of users. A user can experience motion sickness while gaming, where the user's eyes and ears lose their sensitivity. As the eye muscles keep track of the game, the ears fail to detect any motion, which leads to disorientation. Major game publishers have expressed concerns about motion sickness, and developers are yet to find probable solutions to this problem. There have been reports about the innovation of Virtual Nose that can be inserted in the center of the display to avoid problems related to motion sickness. In addition, users tend to get emotional with the type of content viewed. For instance, in 2015, UNICEF created an 8-minute 360-degree movie named Clouds over Sidra, which is based on Syrian refugee crisis. The movie led to emotional outbreaks. Thus, VR content can cause people to experience emotional outbreaks and motion sickness, which can pose a challenge for the market.



Companies Mentioned

Fove, Google, HTC, Oculus VR, Razer, Samsung, Sony, Zeiss International.

  • Executive summary
    • Highlights
  • Scope of the report
    • Market overview
      • Table Key regions
    • Top-vendor offerings
      • Table Product offerings
  • Market research methodology
    • Research methodology
    • Economic indicators
  • Introduction
    • Key market highlights
    • VR
      • Table Components of VR device
      • Table Popular HMDs for gaming segment
      • Table Value chain analysis
      • Table VR timeline
  • Global gaming market
    • Global gaming market by application 2015-2020
      • Table Global gaming market segmentation by application 2015
      • Table Global gaming market segmentation by application 2020
    • TV consoles
    • MMOs
    • Smartphones
      • Table Percentage of smartphone gamers making in-app purchases for different reasons in 2015
    • Casual web games
    • Boxed PC
    • Tablet
      • Table Percentage of tablet gamers making in-app purchases for different reasons in 2015
    • Handheld gaming consoles
  • Global VR headset market
    • Table Global VR headset market 2015-2020 ($ billions)
    • Table Global VR market by industry 2015 (% revenue share)
  • Market landscape
    • Market size and forecast
      • Table Global VR in gaming market 2015-2020 ($ billions)
      • Table Global VR in gaming market 2015-2020 (millions of units)
    • Five forces analysis
      • Table Five forces analysis
  • Market segmentation by components
    • Market segmentation by components
      • Table Global VR in gaming market by components 2015 (% share)
      • Table Global VR in gaming market by components 2020 (% share)
    • Hardware segment
    • Software segment
  • Market segmentation by compatibility
    • Table Global VR in gaming market by compatibility 2015-2020 (% revenue share)
    • Table Global VR in gaming market by compatibility 2015-2020 ($ billions)
    • Global VR in gaming market by PCs
      • Table Global VR in gaming market by PCs 2015-2020 ($ billions)
    • Global VR in gaming market by gaming consoles
      • Table Global VR in gaming market by gaming consoles 2015-2020 ($ billions)
    • Global VR in gaming market by mobile devices
      • Table Global VR in gaming market by mobile devices 2015-2020 ($ billions)
  • Geographical segmentation
    • Global VR in gaming market by geography
      • Table Global VR in gaming market by geography 2015-2020 (% share)
      • Table Global VR in gaming market by geography 2015-2020 ($ billions)
    • VR in gaming market in Americas
      • Table VR in gaming market in Americas 2015-2020 ($ billions)
    • VR in gaming market in EMEA
      • Table VR in gaming market in EMEA 2015-2020 ($ billions)
    • VR in gaming market in APAC
      • Table VR in gaming market in APAC 2015-2020 ($ billions)
  • Market drivers
    • Rapid increase in awareness of VR technology
    • Growth in mobile gaming
    • Decline in ASP of VR components
      • Table ASP of VR used in gaming 2015-2020 ($)
    • Increase in funding
      • Table YoY growth of funding on VR
      • Table Founding members of VRVCA
  • Impact of drivers
    • Table Impact of drivers
  • Market challenges
    • Health-related issues
    • Insufficient VR content
    • Limitations of hardware and software
  • Impact of drivers and challenges
    • Table Impact of drivers and challenges
  • Market trends
    • Introduction of VRD
      • Table Comparison of pixel-based display and VRD
    • Growing popularity of 360-degree videos
    • Introduction of depth-sensing camera for VR headsets
  • Vendor landscape
    • Competitive scenario
    • Vendor landscape
  • Appendix
    • List of abbreviations
  • Explore Technavio

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