A new update to the Worldwide Semiannual Augmented and Virtual Reality Spending Guide from the International Data Corporation (IDC) forecasts worldwide revenues for the augmented reality and virtual reality (AR/VR) market to reach $13.9 billion in 2017, an increase of 130.5% over the $6.1 billion spent in 2016.
The industry use cases that will attract the largest investments in 2017 are retail showcasing ($461 million), product development ($267 million), and industrial maintenance ($249 million).
Discrete manufacturing and retail are expected to be the only two industries spending more than $1.0 billion on AR/VR solutions this year. Driven by a five-year CAGR of 238.7%, retail will move ahead of discrete manufacturing to become the top industry for AR/VR spending in 2020. Similarly, process manufacturing will move into to the number three position in 2020, overtaking personal and consumer services.