The virtual reality hardware market segment holds the largest market share during the forecast period

The global virtual reality hardware market is estimated to grow from US$2.9 billion in 2018 to US$22.9 billion in 2023 at a CAGR of 41.7% during the forecast period. Virtual reality, which aims at producing an immersive multimedia environment and creating a sensory experience for users, is one of the fastest-growing emerging technologies today. Since the technology has been able to offer more novel functionalities in recent years, the market has grown exponentially.

Virtual reality is the usage of computer technology, primarily to create a simulated environment. Unlike the traditional user interface, VR places the user inside an experience, which means instead of viewing a monitor screen in front of them, users are immersed and can interact with the 3D world. With the simulation of as many senses as possible, such as vision, touch, hearing, even smell, technology has transformed across the world.

There is a wide array of applications for virtual reality systems, but the majority of commercial activities currently focus on video games. An important device that allows users to immerse themselves in the gaming environment is the head-mounted display – wraparound hardware that does not allow light or images from the outside to interfere with the virtual images.

The hardware segment holds the largest market share during the forecast period. This growth is attributed to the rapid adoption of smartphones, tablets and other digitally advanced electronic gadgets. Output devices, input devices, and consoles are all part of the hardware segment. OEMs may expect new growth possibilities as the use of VR headsets grows in entertainment and theme parks, commercial applications and other locations.