AR on cusp of becoming ‘everyday technology’, analysts claim
Apple has upgraded its fun to use Clips app with Augmented Reality (AR).
The insights and predictions for the health (or not) of the chimerical AR/VR/MR industry are sneaking out the shadows. I thought a recent set of predictions from CCS Insights might almost certainly be of note.
Let the games begin (in 2023)
Noting the next 12-months will likely be significant to the nascent industry, the analysts forecast 14 million sales of AR/VR devices this year, predicting this to reach 88 million by 2026.
What’s going to kick this off?
Apple’s new glasses – that’s how I read it.
“A raft of new smart glasses launching in 2023 will kick-start the consumer augmented reality segment, and standalone virtual reality headsets will continue to sell well,” they say. Investment in content will also draw dividends, they think.
“Although the long-term outlook remains rosy, we now predict adoption in 2022 to be lower than previously forecast”, states James Manning Smith, Senior Analyst at CCS Insight, “Although many people are rethinking their budgets, the appetite for new technologies will remain strong, with immersive tech benefiting from this, albeit still at a very modest level”.
But AR beats VR in growth curve
VR headsets will retain the bulk of demand for immersive technology in 2022, accounting for 93% of device shipments, but this will climb fast once Sonly introduces PlayStation VR2, they said.
But it will be AR devices that see the big boom over the next few years. “The arrival of new smart glasses in late 2022 and throughout 2023 puts AR devices on the cusp of becoming an everyday technology”, said Manning Smith, “Although the size of the market will be modest in the next few years, early adopters will pave the way for wider uptake and use”.
Device shipments are expected to climb 300% in 2023.
The enterprise business opportunity
The analysts also looked at how the pandemic pushed businesses to work with immersive devices. They claim sales of VR and AR headsets to enterprises will reach 2.6 million in 2022, a 30% annual rise.
“The changing nature of work during the pandemic led to businesses testing the deployment of immersive technology for a range of new applications. Despite the return of some pre-pandemic working trends, immersive technology in the workplace is here to stay”, they analysts said.
That’s of particular consequence as hybrid and remote working takes hold and we seek out how to spread the most advanced skills more thinly using technologies of this kind.
Apple is coming
Apple analyst Ming-Chi Kuo of TF International Securities now predicts Apple will introduce its take on a mixed reality headset in January 2023. He calls it “the most complicated product Apple has ever designed” and expects the device will offer both VR and AR features when it ships.
The device is expected to use a high performance, low power Apple silicon M2 chip, and will doubtless be supported by a huge selection of content, apps and services.
Apple CEO, Tim Cook, recently said “I could not be more excited about the opportunities in the space. Sort of stay tuned, and you will see what we have to offer.”
The cat is, quite clearly, preparing to leap from its seat.
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