The global AR and VR in training market size reached US$ 1,677.9 Billion in 2018. Demand for AR and VR in training recorded a y-o-y growth of 40.3% in 2022.
The global market reached US$ 9,087.2 Billion in 2023. From 2023 to 2033, AR and VR in training globally are projected to exhibit a 41.8% CAGR and a total market size of US$ 2,98,682.1 Billion by the end of 2033.
Virtual reality (VR) offers immersive and realistic simulations, whereas augmented reality applies digital information to the actual world. Both have the potential to provide engaging, interactive, and customized learning experiences that can boost performance, retention, and motivation.
AR and VR solutions are set to improve feedback and evaluation by tracking and measuring learners' actions, reactions, and outcomes. Furthermore, they can help promote cooperation and communication by allowing learners to interact with peers, mentors, or experts in virtual or augmented worlds.
Employee training programs use AR and VR to create life-like simulations of work environments. This is especially helpful in acclimating new hires to their jobs and duties throughout the onboarding process.
AR and VR are used in several industries, including manufacturing, healthcare, and aviation, for skill training and simulation. In a risk-free virtual environment, professionals can practice using AR and VR, handling a variety of scenarios, and performing complex processes.
Applications for AR and VR that provide hands-on instruction are beneficial for technical disciplines. This includes experts sharpening specific abilities, engineers designing in virtual space, and mechanics learning to repair complex machinery.
| Attributes | Key Insights |
|---|---|
| AR and VR in Training Market Size in 2022 | US$ 6,463.3 Billion |
| Estimated AR and VR in Training Market Value (2023E) | US$ 9,087.2 Billion |
| Projected AR and VR in Training Market Revenue (2033F) | US$ 2,98,682.1 Billion |
| Value-based CAGR (2023 to 2033) | 41.8% |
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From 2018 to 2022, the AR and VR in training market experienced a CAGR of 40.1%, reaching a market size of US$ 9,087.2 Billion in 2023. AR and VR in training witnessed robust growth during the historic period as this period saw an increase in the use of the advances in technology, research, and practice. This improved the AR and VR functionalities that have enabled learners to connect with experts in virtual or augmented spaces, creating more collaborative experiences and allowing the AR and VR in training market to expand along with it.
The aerospace and military sectors were among the first to use AR and VR for training purposes. Pilot training and maintenance duties were conducted using simulations, showcasing the immersive capabilities of these technologies.
The healthcare sector started utilizing AR and VR for medical simulations and training. For example, surgeons could hone their abilities and lower the danger involved in actual surgeries by practicing intricate procedures in virtual surroundings.
The AR and VR in training market is estimated to showcase a high demand for substantial growth and innovation. AR and VR are expected to transform the training landscape across several industries as technology advances. AR and VR technologies' immersive and interactive nature provides unique opportunities for realistic simulations and hands-on learning experiences.
Looking ahead, the global AR and VR in training market is expected to rise at a CAGR of 41.8% from 2023 to 2033. The market size is expected to reach US$ 2,98,682.1 Billion during the forecast period.
The table presents the expected CAGR for AR and VR in training market over several semi-annual periods spanning from 2022 to 2033. In the first half (H1) of the decade from 2022 to 2032, the field is predicted to surge at a CAGR of 40.2%, followed by a slightly higher growth rate of 40.3% in the second half (H2) of the same decade. Moving into the subsequent period, from H1 2023 to H2 2033, the CAGR is projected to increase slightly to 41.6% in the first half and remain relatively moderate at 41.7% in the second half.
| Particular | Value CAGR |
|---|---|
| H1 | 40.2% (2022 to 2032) |
| H2 | 40.3% (2022 to 2032) |
| H1 | 41.6% (2023 to 2033) |
| H2 | 41.7% (2023 to 2033) |
The below table shows the estimated growth rates of the top five countries. India, China, and Japan are set to record higher CAGRs of 48.2%, 45.6%, and 43.5%, respectively, through 2033.
| Countries | Value CAGR |
|---|---|
| China | 45.6% |
| Japan | 43.5% |
| United States | 38.4% |
| India | 48.2% |
| Germany | 40.7% |
By 2033, the AR and VR in training market in the United States is expected to surge at a CAGR of 38.4% In the United States, augmented reality (AR) and virtual reality (VR) are used to train employees, particularly in manufacturing, healthcare, and aviation. In a secure and regulated setting, employees can learn practical skills through simulations and virtual scenarios.
Several start-ups and businesses specializing in AR and VR development have emerged in the United States. These organizations are actively fostering the expansion of the AR and VR markets, especially in entertainment and gaming sector.
Japan has always been at the forefront of developing gaming hardware and software, and it is acknowledged as a global leader in AR and VR technologies. In Japan, the primary usage of AR and VR is for entertainment and gaming purposes.
The industry will expand due to Japan's deployment of fifth-generation (5G) wireless technology, robust government support, and a more comprehensive range of AR and VR applications. Japan’s AR and VR in training market is estimated to rise at a CAGR of 43.5% over the forecast period.
In Germany, AR and VR's strengths span all aspects of the industry, from creating, developing, and producing immersive content to software and hardware creation. AR and VR technologies are used across industries, such as smart cities, engineering, film and TV, gaming, and health tech in Germany. Germany is estimated surge at a CAGR of 40.7% in the AR and VR training market by 2033.
India-based companies have adopted advanced technologies, such as artificial intelligence (AI), big data, AR and VR, to improve efficiency and productivity in businesses. The technology is also in greater demand in the automotive, oil and gas, logistics, and healthcare sectors. There is potential for integrating technologies such as AI with AR and VR in mobile application development software.
Adopting 5G technology is strengthening the mobile network and increase data speed, accelerating the adoption of AR and VR. In India, smartphone penetration further improved AR/VR-based technology accessibility. Due to the points mentioned above, India is estimated to expand at a CAGR of 48.2%.
The promotion of AR and VR technologies has garnered the attention of the Chinese government. Several programs and policies have been introduced to encourage the development and uptake of these technologies across several industries, including education and training.
China is progressively using AR and VR in its training and education programs. Virtual classrooms, realistic training simulations, and interactive educational materials are being created to improve professional and student learning.
The below section shows the software segment dominating by component type. It is forecast to thrive at a 43.1% CAGR between 2023 and 2033. Based on organization size, the small and mid-sized organizations segment is anticipated to hold a dominant share through 2033. It is set to exhibit a CAGR of 43.6% during the forecast period.
New software development kits (SDKs) and APIs make it easier for developers to create AR and VR applications. Developing new AR and VR engines and middleware provides developers with powerful tools for creating realistic and immersive experiences in software.
The critical software trend is the development of new AR and VR multiplayer and social experiences. These experiences will enable users to connect and interact with each other in virtual worlds.
It will likely be a significant driver of AR and VR adoption in the forecast years. As software continues improving, AR and VR are expected to become more affordable, accessible, and user-friendly. This will lead to more people and firms adopting AR and VR.
| By Component Type | Value CAGR |
|---|---|
| AR/VR Devices | 41.4% |
| Software | 43.1% |
| Services | 39.8% |
AR and VR is influencing the development and advancement of the aerospace sector worldwide. Aerospace engineers have benefited from AR and VR in platform and system design, training for pilots and astronauts, engineering assistance, military exploration, and intelligence gathering.
Technology drivers such as virtual reality and augmented reality are in high demand. AR has gained traction in the defense industry due to its ability to superimpose computer-generated content, such as text, photographs, and videos. VR, on the other hand, makes it easier to teach and train other important aspects to flight crews and aerospace engineers.
| By Application | Value CAGR |
|---|---|
| Healthcare and Medical Training | 41.6% |
| Aerospace and Defense Training | 44.8% |
| Industrial Training | 40.2% |
| Educational Training | 43.2% |
| Retail Training | 38.7% |
| Corporate/Enterprise Training | 37.4% |
| Others | 35.8% |
Small and mid-sized organizations with a younger workforce will most likely utilize AR/VR in their upcoming and ongoing errands. Younger respondents generally demonstrated more interest in AR and VR technology. It has propelled them into becoming more technologically advanced and diverse.
There is a growing need for AR, VR, and mixed reality (MR), including other hybrid, immersive experiences. Industries increasingly recognize the importance of AR and VR technologies, which can provide organizations with opportunities for greater efficiency, accuracy, and productivity for their workforces. This allows small and mid-sized organizations to expand at a CAGR of 43.6% over the forecast period.
| Organization Size | Value CAGR |
|---|---|
| Small and Mid-sized Organizations | 43.6% |
| Large Organizations | 40.7% |
Key players are focusing on the improvement of the customer experience during payments. They also consider the different needs and requirements of the end-users and develop solutions tailored to their needs.
Businesses in the AR and VR training industry put much effort into developing new features, functions, and integrations with cutting-edge technology like analytics and artificial intelligence. These businesses spend in research and development to deliver innovative solutions that meet the changing needs of their clientele.
To increase their customer base, integrate platforms, and broaden their market reach, AR and VR training businesses are creating strategic alliances with start-ups, technology suppliers, and industry experts. These collaborations promote growth and innovation by ensuring industry compliance and confidence.
Companies are strengthening their market position and obtaining a competitive advantage through mergers and acquisitions in the quickly changing business IT solutions sector.
Key Developments in the AR and VR in Training Market
| Attribute | Details |
|---|---|
| Estimated Market Size (2023) | US$ 9,087.2 Billion |
| Projected Market Size (2033) | US$ 2,98,682.1 Billion |
| Anticipated Growth Rate (2023 to 2033) | 41.8% |
| Historical Data | 2018 to 2022 |
| Forecast Period | 2023 to 2033 |
| Quantitative Units | Value (US$ Billion) and Volume (KT) |
| Report Coverage | Revenue Forecast, Volume Forecast, Company Ranking, Competitive Landscape, Growth Factors, Trends, and Pricing Analysis |
| Market Segments Covered | Organization size, Component, Application, Region |
| Regions Covered | North America; Latin America; Europe; East Asia; South Asia Pacific; Middle East and Africa |
| Key Companies | Microsoft; Upskill Inc.; Seiko Epson Corporation; Eon reality; Atheer, Inc.; Sixense enterprise; VR vision Inc.; 8ninths, Inc.; Datamatics; Fusion VR |
| Key Countries Covered | Germany, France, United Kingdom, Italy, Spain, Russia, Rest of Europe, United States, Canada, Mexico, China, India, Japan, South Korea, Australia, Rest of Asia Pacific, Brazil, South Africa, GCC Countries, Kingdom of Saudi Arabia |
In 2023, the market value is estimated to be US$ 9,087.2 billion.
The market is estimated to surge at a 41.8% CAGR through 2033.
The market is expected to reach US$ 2,98,682.1 billion in 2033.
Software AR and VR in training would rise at a CAGR of 43.1% over the forecast period.
South Asia and Pacific is estimated to expand at a CAGR of 46.2% by 2033.
1. Executive Summary
1.1. Global Market Outlook
1.2. Demand Side Trends
1.3. Supply Side Trends
1.4. Analysis and Recommendations
2. Market Overview
2.1. Market Coverage / Taxonomy
2.2. Market Definition / Scope / Limitations
3. Pricing Analysis
3.1. Pricing Analysis By AR/VR Products
3.2. Global Average Pricing Analysis Benchmark
3.3. Regional Pricing Analysis
4. Global Market Demand (in Value or Size in US$ billion) Analysis 2018 to 2022 and Forecast, 2023 to 2033
4.1. Historical Market Value (US$ billion) Analysis, 2018 to 2022
4.2. Current and Future Market Value (US$ billion) Projections, 2023 to 2033
4.2.1. Y-o-Y Growth Trend Analysis
4.2.2. Absolute $ Opportunity Analysis
5. Global Market Demand (in Shipments in ‘000 Units) Analysis 2018 to 2022 and Forecast, 2023 to 2033
5.1. Historical Market Shipments (Units) Analysis, 2018 to 2022
5.2. Current and Future Market Shipments (Units) Projections, 2023 to 2033
5.3. Y-o-Y Growth Trend Analysis
6. Market Background
6.1. Macro-Economic Factors
6.2. Forecast Factors - Relevance and Impact
6.3. Value Chain
6.4. COVID-19 Crisis – Impact Assessment
6.4.1. Current Statistics
6.4.2. Short-Mid-Long Term Outlook
6.4.3. Likely Rebound
6.5. Market Dynamics
6.5.1. Drivers
6.5.2. Restraints
6.5.3. Opportunity Analysis
7. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Component
7.1. Introduction / Key Findings
7.2. Historical Market Size (US$ billion) Analysis By Component, 2018 to 2022
7.3. Current and Future Market Size (US$ billion) Analysis and Forecast By Component Size, 2023 to 2033
7.3.1. AR/VR Devices
7.3.1.1. Head-mounted Displays (HMD)
7.3.1.2. Smart Glasses
7.3.1.3. Heads-up Display (HUD)
7.3.2. Software
7.3.2.1. AR/VR Software/Tools
7.3.2.2. AR/VR SDKs
7.3.3. Services
7.3.3.1. AR/VR Design and Development
7.3.3.2. AR/VR Consulting
7.3.3.3. Integration and Deployment
7.3.3.4. Support Services
7.4. Market Attractiveness Analysis By Component
8. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Application
8.1. Introduction / Key Findings
8.2. Historical Market Size (US$ billion) Analysis By Application, 2018 to 2022
8.3. Current and Future Market Size (US$ billion) Analysis and Forecast By Application, 2023 to 2033
8.3.1. Healthcare and Medical Training
8.3.2. Aerospace and Defence Training
8.3.3. Industrial Training
8.3.4. Educational Training
8.3.5. Retail Training
8.3.6. Corporate/Enterprise Training
8.3.7. Others
8.4. Market Attractiveness Analysis By Application
9. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Organization Size
9.1. Introduction / Key Findings
9.2. Historical Market Size (US$ billion) Analysis By Organization Size, 2018 to 2022
9.3. Current and Future Market Size (US$ billion) Analysis and Forecast By Organization Size, 2023 to 2033
9.3.1. Small and Mid-sized Organizations
9.3.2. Large Organizations
10. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Region
10.1. Introduction
10.2. Historical Market Size (US$ billion) Analysis By Region, 2018 to 2022
10.3. Current and Future Market Size (US$ billion) Analysis and Forecast By Region, 2023 to 2033
10.3.1. North America
10.3.2. Latin America
10.3.3. East Asia
10.3.4. South Asia and Pacific
10.3.5. Western Europe
10.3.6. Eastern Europe
10.3.7. Middle East and Africa
10.4. Market Attractiveness Analysis By Region
11. North America Market Analysis 2018 to 2022 and Forecast 2023 to 2033
11.1. Introduction
11.2. Historical Market Size (US$ billion) Trend Analysis By Market Taxonomy, 2018 to 2022
11.3. Current and Future Market Size (US$ billion) Forecast By Market Taxonomy, 2023 to 2033
11.3.1. By Country
11.3.1.1. United States
11.3.1.2. Canada
11.3.1.3. Mexico
11.3.2. By Component
11.3.3. By Application
11.3.4. By Organization Size
11.4. Market Attractiveness Analysis
11.4.1. By Country
11.4.2. By Component
11.4.3. By Application
11.4.4. By Organization Size
11.5. Market Trends
12. Latin America Market Analysis 2018 to 2022 and Forecast 2023 to 2033
12.1. Introduction
12.2. Historical Market Size (US$ billion) Trend Analysis By Market Taxonomy, 2018 to 2022
12.3. Current and Future Market Size (US$ billion) Forecast By Market Taxonomy, 2023 to 2033
12.3.1. By Country
12.3.1.1. Brazil
12.3.1.2. Chile
12.3.1.3. Rest of Latin America
12.3.2. By Component
12.3.3. By Application
12.3.4. By Organization Size
12.4. Market Attractiveness Analysis
12.4.1. By Country
12.4.2. By Component
12.4.3. By Application
12.4.4. By Organization Size
12.5. Market Trends
13. East Asia Market Analysis 2018 to 2022 and Forecast 2023 to 2033
13.1. Introduction
13.2. Historical Market Size (US$ billion) Trend Analysis By Market Taxonomy, 2018 to 2022
13.3. Current and Future Market Size (US$ billion) Forecast By Market Taxonomy, 2023 to 2033
13.3.1. By Country
13.3.1.1. China
13.3.1.2. Japan
13.3.1.3. South Korea
13.3.2. By Component
13.3.3. By Application
13.3.4. By Organization Size
13.4. Market Attractiveness Analysis
13.4.1. By Country
13.4.2. By Component
13.4.3. By Application
13.4.4. By Organization Size
13.5. Market Trends
14. South Asia and Pacific Market Analysis 2018 to 2022 and Forecast 2023 to 2033
14.1. Introduction
14.2. Historical Market Size (US$ billion) Trend Analysis By Market Taxonomy, 2018 to 2022
14.3. Current and Future Market Size (US$ billion) Forecast By Market Taxonomy, 2023 to 2033
14.3.1. By Country
14.3.1.1. India
14.3.1.2. Association of Southeast Asian Nations
14.3.1.3. Australia and New Zealand
14.3.1.4. Rest of South Asia Pacific
14.3.2. By Component
14.3.3. By Application
14.3.4. By Organization Size
14.4. Market Attractiveness Analysis
14.4.1. By Country
14.4.2. By Component
14.4.3. By Application
14.4.4. By Organization Size
14.5. Market Trends
15. Western Europe Market Analysis 2018 to 2022 and Forecast 2023 to 2033
15.1. Introduction
15.2. Historical Market Size (US$ billion) Trend Analysis By Market Taxonomy, 2018 to 2022
15.3. Current and Future Market Size (US$ billion) Forecast By Market Taxonomy, 2023 to 2033
15.3.1. By Country
15.3.1.1. Germany
15.3.1.2. Italy
15.3.1.3. France
15.3.1.4. United Kingdom
15.3.1.5. Spain
15.3.1.6. BENELUX
15.3.1.7. Nordics
15.3.1.8. Rest of Western Europe
15.3.2. By Component
15.3.3. By Application
15.3.4. By Organization Size
15.4. Market Attractiveness Analysis
15.4.1. By Country
15.4.2. By Component
15.4.3. By Application
15.4.4. By Organization Size
15.5. Market Trends
16. Eastern Europe Market Analysis 2018 to 2022 and Forecast 2023 to 2033
16.1. Introduction
16.2. Historical Market Size (US$ billion) Trend Analysis By Market Taxonomy, 2018 to 2022
16.3. Current and Future Market Size (US$ billion) Forecast By Market Taxonomy, 2023 to 2033
16.3.1. By Country
16.3.1.1. Poland
16.3.1.2. Hungary
16.3.1.3. Romania
16.3.1.4. Balkan & Baltics
16.3.1.5. Rest of Eastern Europe
16.3.2. By Component
16.3.3. By Application
16.3.4. By Organization Size
16.4. Market Attractiveness Analysis
16.4.1. By Country
16.4.2. By Component
16.4.3. By Application
16.4.4. By Organization Size
16.5. Market Trends
17. Middle East and Africa Market Analysis 2018 to 2022 and Forecast 2023 to 2033
17.1. Introduction
17.2. Historical Market Size (US$ billion) Trend Analysis By Market Taxonomy, 2018 to 2022
17.3. Current and Future Market Size (US$ billion) Forecast By Market Taxonomy, 2023 to 2033
17.3.1. By Country
17.3.1.1. GCC Countries
17.3.1.2. Turkiye
17.3.1.3. Northern Europe
17.3.1.4. South Africa
17.3.1.5. Rest of Middle East and Africa
17.3.1.6. By Component
17.3.1.7. By Application
17.3.1.8. By Organization Size
17.4. Market Attractiveness Analysis
17.4.1.1. By Country
17.4.1.2. By Component
17.4.1.3. By Application
17.4.1.4. By Organization Size
17.5. Market Trends
18. Emerging Countries Market Analysis
18.1. United States Market Analysis
18.1.1.1. By Component
18.1.1.2. By Application
18.1.1.3. By Organization Size
18.2. Canada Market Analysis
18.2.1.1. By Component
18.2.1.2. By Application
18.2.1.3. By Organization Size
18.3. Mexico Market Analysis
18.3.1.1. By Component
18.3.1.2. By Application
18.3.1.3. By Organization Size
18.4. Brazil Market Analysis
18.4.1.1. By Component
18.4.1.2. By Application
18.4.1.3. By Organization Size
18.5. Germany Market Analysis
18.5.1.1. By Component
18.5.1.2. By Application
18.5.1.3. By Organization Size
18.6. Italy Market Analysis
18.6.1.1. By Component
18.6.1.2. By Application
18.6.1.3. By Organization Size
18.7. France Market Analysis
18.7.1.1. By Component
18.7.1.2. By Application
18.7.1.3. By Organization Size
18.8. United Kingdom Market Analysis
18.8.1.1. By Component
18.8.1.2. By Application
18.8.1.3. By Organization Size
18.9. Spain Market Analysis
18.9.1.1. By Component
18.9.1.2. By Application
18.9.1.3. By Organization Size
18.10. Russia Market Analysis
18.10.1.1. By Component
18.10.1.2. By Application
18.10.1.3. By Organization Size
18.11. China Market Analysis
18.11.1.1. By Component
18.11.1.2. By Application
18.11.1.3. By Organization Size
18.12. Japan Market Analysis
18.12.1.1. By Component
18.12.1.2. By Application
18.12.1.3. By Organization Size
18.13. South Korea Market Analysis
18.13.1.1. By Component
18.13.1.2. By Application
18.13.1.3. By Organization Size
18.14. India Market Analysis
18.14.1.1. By Component
18.14.1.2. By Application
18.14.1.3. By Organization Size
18.15. Australia and New Zealand Market Analysis
18.15.1.1. By Component
18.15.1.2. By Application
18.15.1.3. By Organization Size
18.16. GCC Country Market Analysis
18.16.1.1. By Component
18.16.1.2. By Application
18.16.1.3. By Organization Size
18.17. Turkiye Market Analysis
18.17.1.1. By Component
18.17.1.2. By Application
18.17.1.3. By Organization Size
18.18. South Africa Market Analysis
18.18.1.1. By Component
18.18.1.2. By Application
18.18.1.3. By Organization Size
19. Market Structure Analysis
19.1. Market Analysis By Tier of Companies
19.2. Market Share Analysis of Top Players
19.3. Market Presence Analysis
20. Competition Analysis
20.1. Competition Dashboard
20.2. Competition Benchmarking
20.3. Competition Deep Dive
20.3.1. PTC, Inc.
20.3.1.1. Business Overview
20.3.1.2. Product Portfolio
20.3.1.3. Profitability By Market Segments (Business Segments/Region)
20.3.1.4. Sales Footprint
20.3.1.5. Key Strategy & Developments
20.3.2. Google
20.3.3. HTC Corporation
20.3.4. Lenovo Group Ltd
20.3.5. Holo-Light GmbH
20.3.6. Strivr Lanbs, Inc.
20.3.7. Microsost
20.3.8. Upskill Inc.
20.3.9. Seiko Epson Corporation
20.3.10. EON Reality
20.3.11. Atheer, Inc.
20.3.12. Sixense Enterprises Inc.
20.3.13. VR Vision Inc.
20.3.14. 8ninths, Inc.
20.3.15. Datamatics
20.3.16. Fusion VR
21. Assumptions and Acronyms Used
22. Research Methodology
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AR and VR in Training Market
