by The Virtual Reality in Gaming Market is estimated to be valued at US$ 15895.59 Mn in 2023 and is expected to exhibit a CAGR of 29% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Virtual reality gaming allows players to immerse themselves in the gaming experience through specialized VR headsets and controllers that track body movements. VR headsets display gaming environments and gameplay in 3D with 360-degree views, giving the feeling of actually being present in the virtual world. This highly realistic and immersive experience has boosted the popularity of VR gaming over traditional gaming methods.
Market key trends:
One of the major trends in the virtual reality gaming market is the increasing demand for higher immersive gaming experiences. Gamers are constantly looking for newer ways to get fully immersed and engaged in gameplay. Traditional gaming methods using screens and controllers provide limited scope for immersion. In contrast, VR headsets allow complete visual and interactive immersion by covering the field of vision and tracking body movements. This heightened sense of presence in virtual worlds through VR is attracting gamers and driving the adoption of VR gaming technology. Manufactures are hence focusing on advancing VR headsets and accessories to provide increasingly realistic and absorbing experiences. This growing demand for highly immersive gaming is expected to propel the growth of the virtual reality gaming market over the forecast period.
Porter’s Analysis:
- Threat of new entrants: The threat of new entrants is low as Virtual Reality in gaming market requires high capital investments in R&D and availability of latest VR technologies.
- Bargaining power of buyers: The bargaining power of buyers is moderate as there are several existing players providing VR gaming solutions giving buyers options to choose from.
- Bargaining power of suppliers: The bargaining power of suppliers is low as raw materials required for VR games are commonly available and there are several supplier options.
- Threat of new substitutes: The threat of substitutes is moderate as augmented reality and standard gaming can be considered as substitutes but VR provides highly immersive experience.
- Competitive rivalry: intensive among existing players.
SWOT Analysis:
- Strength: VR provides highly immersive gaming experience. Leading players have strong R&D capabilities and brand image.
- Weakness: High costs associated with VR hardware and content development. Motion sickness affects some gamers.
- Opportunity: Untapped emerging markets. Increased adoption of VR in eSports and multi-player gaming.
- Threats: Concerns over cyber security and privacy. Slow adoption in some regions due to high costs.
Key Takeaways:
The Global Virtual Reality in Gaming Market Size is expected to witness high growth, exhibiting CAGR of 29% over the forecast period, due to increasing investment in VR content development and advancement in VR technologies. The North American region dominates the VR in gaming market currently due to presence of key players and high usage of VR headsets in the region. Asia Pacific region is expected to grow at fastest pace due to increasing disposable income and growing young population interested in VR gaming. Key players operating in the virtual reality in gaming market are Electronic Arts Inc., Kaneva LLC, Nintendo Co. Ltd, Avatar Reality Inc., Sony Corporation, Oculus VR, Activision Publishing Inc., and Sega Corporation. Electronic Arts is one of the leading players focusing on development of VR games across genres for all major VR platforms to strengthen its portfolio.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile
