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The mobile augmented reality (AR) market size is forecast to increase by USD 211.97 billion at a CAGR of 45.7% between 2023 and 2028. The market is experiencing significant growth due to increasing dependence on mobile applications and the proliferation of AR apps for various activities. The emergence of depth-sensing cameras in mobile technologies is a major trend driving the market, enabling advanced AR experiences. However, constraints in the hardware capabilities used in mobile AR, such as limited processing power and battery life, pose challenges. Mobile projection devices, virtual reality, and computer-generated data are key technology areas shaping the market. Health interventions, self-efficacy, and education are sectors benefiting from AR, with applications ranging from visualization techniques using multimedia formats to GPS data integration. The use of AR in the healthcare industry, for instance, can lead to improved patient outcomes and enhanced training experiences.
Furthermore, in the educational system, AR can provide enriching learning experiences, making digital content more engaging and interactive. Overall, the Mobile AR market holds immense potential, with continuous advancements in technology and the increasing adoption of AR applications across industries.
The market is experiencing significant growth due to the enriching user experiences it offers. The advancements in mobile device capabilities have made AR technology accessible to a wider audience. AR finds extensive applications in gaming and entertainment, where users can interact with virtual objects in the real world. Social media platforms are also integrating AR features to enhance user engagement. However, technical limitations and hardware requirements pose challenges to the market growth. Skilled designers and developers are in high demand for AR content creation, requiring expertise in UI/UX design and interactive application development. Sensors such as GPS, compass, 3D cameras, and mobile devices like smartphones, tablets, and mobile projection devices are essential hardware for AR applications.
Moreover, security concerns are another challenge, as sensitive data transmission and privacy issues need to be addressed. AR is also being explored in health interventions, mobile technologies, virtual reality, teleconferencing, and AR smart glasses, expanding its potential applications.
The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD billion" for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.
The marketing and advertisement segment is estimated to witness significant growth during the forecast period. Mobile Augmented Reality (AR) is revolutionizing various industries, particularly marketing and education, by providing innovative ways to engage consumers and create interactive experiences. AR allows for the delivery of enriching and personalized content through mobile devices and wearable devices, untapped AR potential in the educational sector for AR content creation. Mobile AR applications enable users to interact with virtual objects and content in real-world environments, making marketing campaigns more engaging and effective. This technology offers significant benefits for remote assistance teleconferencing and e-commerce, enabling businesses to provide personalized and targeted services to consumers. Furthermore, WebAR technology allows for AR experiences to be accessed directly through web browsers, expanding the reach of this technology.
Furthermore, marketers and advertisers can leverage AR to gather user data and behavior insights, enabling them to deliver more relevant and targeted content. The mobile AR market is expected to grow significantly in the coming years, driven by increasing demand from industries such as retail and e-commerce, as well as advancements in mobile device manufacturing and AR technology.
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The marketing and advertisement segment accounted for USD 6.03 billion in 2018 and showed a gradual increase during the forecast period.
APAC is estimated to contribute 35% to the growth of the global market during the forecast period. Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.
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The market in North America is a significant and advanced sector globally, driven by the region's sophisticated technological infrastructure and continuous innovations in mobile devices, processors, graphics, and network connectivity. These advancements enable high-quality AR experiences on smartphones and tablets, fueling user adoption. With a large and tech-savvy mobile user base characterized by high smartphone penetration and a culture of adopting new technology, North America presents an untapped potential for AR content creation and delivery platforms. Mobile AR applications have gained popularity in various sectors, including education, remote assistance teleconferencing, e-commerce, and retail, offering enhanced user experiences and business process values.
Furthermore, the integration of AR technology into mobile devices has created a fertile ground for the development of innovative applications, particularly in the areas of WebAR and wearable AR devices.
Our researchers analyzed the data with 2023 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.
Increasing dependence on apps and the proliferation of AR apps for numerous activities is the key driver of the market. Advancements in mobile device technologies, including faster processors, enhanced graphics capabilities, and superior camera quality, have expanded the capabilities of smartphones and tablets in handling Augmented Reality (AR) applications effectively. The growing popularity of mobile devices, coupled with the availability of affordable options, has significantly increased the potential user base for AR apps. High-speed internet and the expansion of 4G and 5G networks have facilitated real-time data processing, enabling seamless AR experiences that demand constant data exchange. AR technology offers enriching user experiences by merging the physical and digital worlds, making interactions more engaging and interactive. AR gaming and entertainment applications have gained popularity, while social media platforms are integrating AR features to enhance user experiences.
However, technical limitations, hardware requirements, security concerns, and limited consumer awareness pose challenges to the AR app development industry. Despite these hurdles, innovative AR applications in healthcare and other sectors continue to emerge, showcasing the vast potential of this technology.
Emergence of depth-sensing cameras is the upcoming trend in the market. Depth-sensing cameras, also referred to as 3D cameras, are transforming the market by enabling more enriching and realistic experiences. These cameras have the unique ability to perceive the distance of objects in the environment, allowing for the creation of AR applications that seamlessly blend virtual content with the real world. The quest for more engaging and lifelike AR experiences is driving both consumers and businesses to adopt this technology. Technological advancements in camera sensors and processing capabilities have made depth-sensing cameras increasingly feasible and cost-effective for mobile devices. As smartphone hardware continues to improve, manufacturers can integrate these capabilities without significantly increasing the device's cost.
In addition, AR gaming, entertainment applications, social media platforms, and innovative healthcare solutions are just a few industries that stand to benefit from the integration of depth-sensing cameras into mobile devices. However, there are technical limitations, hardware requirements, and security concerns associated with AR technology that must be addressed. Limited consumer awareness and the need for AR app development also pose challenges to the market's growth. Despite these hurdles, the potential for depth-sensing cameras to revolutionize AR experiences on mobile devices is significant.
Constraints in hardware capabilities used in mobile AR is a key challenge affecting the market growth. The market offers enriching user experiences by overlaying digital content onto the real world in real time using AR technology. However, mobile device capabilities significantly impact the quality of AR experiences. Older or low-end devices may struggle with complex AR applications, leading to reduced performance and lower user satisfaction. AR gaming, entertainment applications, and social media platforms require substantial processing power, memory, and storage resources. Technical limitations, such as hardware requirements, security concerns, and limited consumer awareness, can restrict the development and adoption of innovative AR applications. AR app development faces challenges in creating rich and complex content due to memory and storage constraints on some devices.
Running AR applications can be power-intensive, leading to faster battery drain and limiting the duration of AR experiences. These factors may be concerns for users, particularly in outdoor settings where battery life is crucial.
The market forecasting report includes the adoption lifecycle of the market, covering from the innovator's stage to the laggard's stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth analysis strategies.
Customer Landscape
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
Alphabet Inc. - The company is involved in the mobile augmented reality market through Google LLC and its ARCore solution.
The market research and growth report includes detailed analyses of the competitive landscape of the market and information about key companies, including:
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
The market is experiencing significant growth due to the enriching user experiences it offers. The advancements in mobile device capabilities have made AR technology accessible to a wider audience. AR gaming and entertainment applications, social media platforms, and technical limitations are driving the demand for AR. However, hardware requirements and security concerns are some of the challenges hindering the market's growth. AR app development is witnessing innovative applications in various sectors such as healthcare, educational, and delivery platforms. Mobile AR has potential in e-commerce, retail, travel, and tourism industries. Large technology companies are investing in AR design, consumer engagement, and interactive application development.
Furthermore, sensors like GPS, compass, and visualization techniques are essential components of AR. AR applications have the potential to revolutionize industries such as remote assistance teleconferencing, telemedicine, and military applications. The untapped AR potential is vast, with opportunities in wearable AR devices, mobile AR apps, and virtual reality. The market is expected to grow with the collaboration and partnership of mobile device manufacturers and the development of cost-effective solutions. The future of AR lies in the integration of 3D cameras, processors, and the delivery of accurate diagnoses and health interventions through mobile technologies.
Market Scope |
|
Report Coverage |
Details |
Page number |
175 |
Base year |
2023 |
Historic period |
2018-2022 |
Forecast period |
2024-2028 |
Growth momentum & CAGR |
Accelerate at a CAGR of 45.7% |
Market growth 2024-2028 |
USD 211.97 billion |
Market structure |
Fragmented |
YoY growth 2023-2024(%) |
32.62 |
Regional analysis |
North America, APAC, Europe, South America, and Middle East and Africa |
Performing market contribution |
APAC at 35% |
Key countries |
US, China, Japan, Germany, and UK |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
Alphabet Inc., Apple Inc., Augmented Pixels Inc., Blippar Ltd., Independiente Communication Ltd., Inglobe Technologies Srl, Lenovo Group Ltd., Magic Leap Inc., mCloud Technologies Corp., Niantic Inc., Plural Technology Pvt. Ltd., PTC Inc., QuestUpon, Robert Bosch GmbH, Seabery Augmented Technology SL group, Seiko Epson Corp., VividWorks Oy, weAR Srl, Wikitude GmbH, and Zugara Inc. |
Market dynamics |
Parent market analysis, market growth inducers and obstacles, market forecast, fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, market condition analysis for the forecast period |
Customization purview |
If our market report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
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1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Application
7 Market Segmentation by End-user
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Opportunity/Restraints
11 Competitive Landscape
12 Competitive Analysis
13 Appendix
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