United States Augmented Reality Virtual Reality Market Research Report Information By Enterprise (Small Enterprises, Medium Enterprises And Large Enterprises), By Technology (Augmented Reality Technology And Virtual Reality Technology), By Offering (Hardware And Software), By Device Type (Augmented Reality Devices And Virtual Reality Devices), By Application (Augmented Reality Application, Virtual Reality Application, Indoor Farms And Others)– United States Market Forecast Till 2032

United States Augmented Reality Virtual Reality Market Overview

United States Augmented Reality Virtual Reality Market Size was valued at USD 13.8 Billion in 2022. The Augmented Reality Virtual Reality Market industry is projected to grow from USD 16.6 Billion in 2023 to USD 75.5 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 20.80% during the forecast period (2024 - 2032). Rising demand for augmented reality in retail and e-commerce, advanced technologies and increased digitization are the main market drivers anticipated to propel the Augmented Reality Virtual Reality Market in the United States.

Figure 1: United States Augmented Reality Virtual Reality Market Size, 2023-2032 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

United States Augmented Reality Virtual Reality Market Trends

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  Increased capital infusion promotes market growth

  
  

Market CAGR for Augmented Reality Virtual reality in the United States is being driven by increased cash inflow. The United States Augmented Reality (AR) and Virtual Reality (VR) markets are seeing a significant increase in investment activity, with funds streaming into the sector at a rapid pace. This phenomenon can be explained by a number of variables that are increasing investor confidence in the potential of AR technology and its various uses. One of the key drivers of increased investment in the AR sector in the United States is a growing realization of AR's revolutionary influence across multiple industries. From entertainment and gaming to healthcare and education, augmented reality is changing the way people interact with digital information and their environment.  Investors in the United States are well aware of AR's potential to improve user experiences, streamline business procedures, and generate new revenue sources. This confidence creates a strong desire to invest in AR-focused enterprises and startups. Advances in AR hardware and software are critical to attracting investment. As AR technology in the United States advances in sophistication, reliability, and accessibility, its applications grow more diverse and intriguing. Investors believe AR has the potential to become a fundamental part of daily life, ranging from consumer gadgets such as smartphones and smart glasses to industrial technologies that streamline workflows and increase productivity.

Additionally, the continual pursuit of innovation and the development of fresh AR applications help attract investors to the United States. Entrepreneurs and researchers are constantly pushing the frontiers of AR, discovering new methods to connect the digital and physical worlds. This pipeline of creative ideas excites investors, who want to back initiatives that will disrupt established sectors and alter the future of technology. As the AR market evolves in the United States, investors are positioning themselves to benefit from its future growth. The wide number of businesses that potentially benefit from AR, along with the technology's developing capabilities, creates an appealing investment environment in the United States. The growing investment in the AR sector not only promotes the development of new technology but also highlights the industry's broader impact on economies, cultures, and how people interact with information and their surroundings. Furthermore, technology advancement and digitalization are driving the use of cutting-edge technologies in industries such as manufacturing, healthcare, and retail. Organizations and businesses have been able to reduce manufacturing costs and save time as a result of technological advancements in order to gain a competitive advantage. For instance, 3G and 4G have reduced operating costs for small businesses, allowing them to reach their target consumers. The increased use of mobile phones in the United States has spurred the need for digitization. Thus, driving the United States Augmented Reality Virtual Reality market revenue.

United States Augmented Reality Virtual Reality Market Segment Insights

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  Augmented Reality Virtual Reality Enterprise Insights

  
  

The United States Augmented Reality Virtual Reality Market segmentation, based on Enterprise, includes Small Enterprises, Medium Enterprises, and large enterprises. The small enterprise segment is expected to develop the fastest because of the advantages of Augmented Reality and Virtual Reality technologies, such as speedier repairs, increased customer satisfaction, and lower field staff training expenses.

Figure 2: United States Augmented Reality Virtual Reality Market, By Enterprise, 2023 & 2032 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Augmented Reality Virtual Reality Technology Insights

The United States Augmented Reality Virtual Reality Market segmentation, based on Technology, includes Augmented Reality Technology and Virtual Reality Technology.  Virtual reality technology category has become dominant due to its ability to create immersive and engaging experiences. Its applications range from gaming to entertainment, education, training, and even healthcare. The demand for VR headsets, devices, and content has consistently increased, promoting the segment's growth.

Augmented Reality Virtual Reality Offering Insights

The United States Augmented Reality Virtual Reality Market segmentation, based on Offering, includes Hardware and Software. In 2023, the hardware sector had the most revenue share with 59.8%, and it is expected to continue to dominate the market over the forecast period. The hardware sector dominates the market due to the growing use of AR devices in a variety of sectors and industrial verticals, including education, healthcare, construction, and retail.

Augmented Reality Virtual Reality Device Type Insights

Device segments the United States Augmented Reality Virtual Reality Market into Augmented Reality Devices and Virtual Reality Devices.  Augmented reality devices dominated the AR market in 2023 and are expected to increase at the quickest CAGR during the forecast period. These devices are designed to overlay digital features over real-world views with minimal involvement, creating exciting and immersive experiences. Their market domination indicates a high demand for this technology, which fuels its growth and appeal among customers. Augmented Reality Devices help shape the future of the Augmented Reality Virtual Reality market by offering unique and engaging solutions for a wide range of industries and applications.

Augmented Reality Virtual Reality Application Insights

Augmented Reality Application, Virtual Reality Application, Indoor Farms and Others make up the United States Augmented Reality Virtual Reality Market application segmentation.  The augmented reality application represents the largest share of the Augmented Reality Virtual Reality Market. This category includes a wide range of software and technologies that overlay digital information in the real world. These apps can be used in a range of situations, including gaming and entertainment, medicine, education, and business. Archaeology, architecture, business, and education are a few examples of application areas. Some of the first mentioned uses include augmented reality, used to help surgery by giving virtual overlays to guide medical practitioners, and AR content for astronomy and welding.

Augmented Reality Virtual Reality Country Insights

The AR/VR market is rapidly increasing and is likely to do so in the next years. Augmented Reality mixes digital information with the physical world to improve our perception and interaction with it. Virtual Reality, on the other hand, provides a fully immersive digital experience. Similarly, the US government is making major efforts to increase the adoption of immersive technology in order to boost the region's augmented reality market share. For instance, in 2019, the US Defense Advanced Research Projects Agency committed to joining IMT Atlantique. It hired the firm to develop smart contactless lenses for the US military.

United States Augmented Reality Virtual Reality Key Market Players & Competitive Insights

Leading market players are investing heavily in research and development in order to expand their Type lines, which will help the Augmented Reality Virtual Reality Market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new Type launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the Augmented Reality Virtual Reality industry must offer cost-effective items.

Major players in the Augmented Reality Virtual Reality Market are attempting to increase market demand by investing in research and development operations, including Google (US), Microsoft (US), Sony Group Corporation (Japan), META (US), SAMSUNG (South Korea), HTC Corporation (Taiwan), Apple Inc. (US), PTC Inc. (US), Seiko Epson Corporation (Japan), Lenovo (China), Wikitude, a Qualcomm company (Austria), EON Reality (US), MAXST Co., Ltd. (South Korea), Magic Leap, Inc. (US), Blippar Group Limited(UK), Atheer, Inc (US), Vuzix (US), CyberGlove Systems Inc. (US), Leap Motions (Ultraleap) (US), Penumbra, Inc. (US).

Key Companies in the Augmented Reality Virtual Reality Market include

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  Google (US)

  
  


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  Microsoft (US)

  
  


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  Sony Group Corporation (Japan)

  
  


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  META (US)

  
  


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  SAMSUNG (South Korea)

  
  


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  HT Corporation (Taiwan)

  
  


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  Apple Inc. (US)

  
  


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  PTC Inc. (US)

  
  


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  Seiko Epson Corporation (Japan)

  
  


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  Lenovo (China)

  
  


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  Wikitude, a Qualcomm company (Austria)

  
  


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  EON Reality (US)

  
  


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  AXST Co., Ltd. (South Korea)

  
  


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  Magic Leap, Inc. (US

  
  


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  Blippar Group Limited(UK)

  
  


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  Atheer, Inc (US)

  
  


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  Vuzix (US)

  
  


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  CyberGlove Systems Inc. US)

  
  


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  Leap Motions (Ultraleap) (US)

  
  


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  Penumbra, Inc. (US)

  
  

United States Augmented Reality Virtual Reality Industry Developments

In January 2022, HTC introduced a wrist tracker for the Vive Focus 3. This wearable device aids in tracking by emitting infrared LEDs, which are detected optically by the device's camera sensors. Tracker movements and trajectories may be monitored using high-frequency IMU data and a sophisticated kinetic model, even when the tracker is obscured from view by the camera.

In December 2021, Google announced and added a brand-new addition to its collection of augmented reality (AR) devices: AR smart glasses. These glasses provide users with access to more information, animation, videos, and more lifelike experiences by superimposing digital or computer-generated content over their actual surroundings.

United States Augmented Reality Virtual Reality Market Segmentation

Augmented Reality Virtual Reality Enterprise Outlook

• Small Enterprises


• Medium Enterprises


• Large Enterprises

Augmented Reality Virtual Reality Technology Outlook

• Augmented Reality Technology


• Virtual Reality Technology

Augmented Reality Virtual Reality Offering Outlook

• Hardware


• Software

Augmented Reality Virtual Reality Device Type Outlook

• Augmented Reality Devices


• Virtual Reality Devices

Augmented Reality Virtual Reality Application Outlook

• Augmented Reality Application


• Virtual Reality Application


• Indoor Farms


• Others