Head Mounted Display Industry - Regional Synopsis
North America Market Analysis
The North America head mounted display market is poised for a share of 33% by 2037, driven by a large online gaming audience. Also, government initiatives play a crucial role in this growth. The Canadian Radio-television and Telecommunications Commission awarded over USD 730 million to improve high-speed Internet and cellphone services for over 270 communities. As of December 2023, Rural Digital Opportunity Fund-led carriers catered to more than 840,000 with 100/20 Mbps broadband services, says the U.S. Federal Communications Commission. These investments are driving market penetration across an array of end users.
The U.S. head mounted display market is propelled by technological advancements and substantial government investments. The National Telecommunications and Information Administration has rendered USD 43 billion under the Broadband Equity, Access, and Deployment (BEAD) Program, allowing accessibility of head mounted displays in underserved areas. The table below shows projected growth, evolving technology adoption, and shifts in market dynamics through 2037.
Estimated U.S. Head-Mounted Display Industry Forecast (2030-2037)
|
Category |
2030 |
2035 |
2037 |
|---|---|---|---|
|
Market Size (USD) |
$13.5 Billion |
$24.0 Billion |
$31.5 Billion |
|
Consumer vs. Enterprise Share |
51% / 49% |
50% / 50% |
36% / 64% |
|
Top Application Segments |
Healthcare and Training rise |
Enterprise use dominates |
Multi-sector adoption |
|
AR vs. VR Share |
AR: 52% / VR: 48% |
AR: 65% / VR: 35% |
AR: 66% / VR: 34% |
|
Leading Brands |
Apple, Meta, Microsoft |
Apple, Google, Meta |
Apple, Meta, Samsung |
|
Device Types |
Standalone (61%), Tethered (29%), Viewer (10%) |
Standalone (76%), Tethered (21%), Viewer (3%) |
Standalone (81%), Others 19%) |
|
Military & Defense Share |
~15% |
~21% |
~23% |
APAC Market Forecast
The Asia Pacific head mounted display market is projected to exhibit a CAGR of 26% during the forecast period. The market is driven by the flourishing customer electronics in China, Japan, and South Korea, with China prioritizing domestic manufacturing under Made in China 2025, contributing to a 30% regional share in 2024. Moreover, Japan’s Ministry of Economy, Trade and Industry supports AR/VR for industrial applications and in 2024 allocated USD 550 million. The table below discusses market size, monetary aid by public organizations, and overall penetration.
|
Country |
HMD Market Size (2037, USD Bn) |
Gov. Spending (2024, USD Mn) |
Adoption (% of Firms, 2023) |
|---|---|---|---|
|
Japan |
151 |
505 (METI) |
24% |
|
China |
252 |
1,300 (MIIT) |
30% |
|
India |
105 |
310 (MeitY) |
22% |
|
Malaysia |
31 |
140 (MDEC) |
16% |
|
South Korea |
121 |
430 (MSIT) |
31% |
|
Australia |
54 |
160 (DTA) |
19% |
|
Indonesia |
22.3 |
45 (Kominfo) |
11% |
|
Taiwan |
81 |
210 (IDB) |
23% |
|
Thailand |
28 |
81 (DEPA) |
13% |
|
Singapore |
44 |
123 (IMDA) |
21% |
|
Philippines |
12 |
42 (DICT) |
9% |
|
Vietnam |
11 |
64 (MIC) |
10% |
|
New Zealand |
9 |
33 (MBIE) |
8% |
India is anticipated to exhibit the highest CAGR of 40% in the APAC during the forecast timeline. This is ascribed to a prevailing young consumer base and rapid digitalization, a young consumer base, along with supportive government initiatives. For instance, the Ministry of Electronics and Information Technology's (MeitY) Production Linked Incentive (PLI) scheme increased funding by about 27% between 2015 and 2023 for domestic electronics production. During this period, Meity's head mounted display investments reached USD 305 million, underscoring the country's stride to position itself as a key contender in the global economy.
