Virtual reality (VR) has become ‘new reality’ in delivering immersive consumer experiences in diverse sectors. In gaming, startups as well big shot brands are exploring VR-driven experiences. Evident of this trend is large-scale adoption of VR systems—software and hardware—in the gaming industry to blur the boundary between virtual world and the real world.
The virtual reality in gaming market has been seen some significant splurge by technology companies over the past six years. New set of contents that support VR-enabled gaming experience has been expanding the horizon for consumers. The environment for users and consumers is becoming increasingly versatile for uncovering new ‘realities’ in this fantasy the virtual reality in gaming market.
Over the past decade, new VR games have sprung up to shape the contours of the virtual reality in gaming market. Millions of headsets that have thronged the market has extended and enhanced that reality to new heights.
Startups Also Keen on Extracting New Value through New Apps and Hardware
Analysts at Transparency Market Research keeping an eye on the revenue potential of the virtual reality in gaming market had projected the valuation to climb at CAGR of 39.2% during 2013 – 2019. Companies such as Samsung, HTC, and Google have poured dizzying dollars to support the hardware and software.
Not just behemoths but startups also have jumped onto the bandwagon to extract new values in the virtual reality in gaming market. Recent examples are VIZN Gaming and Amebous Labs. A substantial part of investment is being committed on VR headsets. Several startups are finding ways to translate consumer experience for popular games to new heights by leveraging the potential of VR apps and hardware.
Price Elasticity of Market a Telling Concern
A majority of the virtual reality in gaming market revenues has come from the software segment. In the next few years, this will continue to attract sizable investments by new entrants and established players, foresee market analysts. Potential consumers are seeing continuous addition of value in gaming studio and gaming arcade. A part of this trend is spurred by investors seeing price elasticity in the virtual reality in gaming market.
A few factors continue to concern them. The high cost has dampened the efforts of technology companies to reap the benefits. In recent years, investments by big shots have somewhat plateaued, feels experts. The quality of content is being considered as the main dampener—they haven’t been able to meet the true experience of gaming, where gamers can’t manipulate the characters at will. Consumers becoming one with the character may distract many. Another telling concern is the impact that violence in virtual reality gaming can make on real life.
High Cost Key Barrier for Gamers
The high cost of VR headsets is another prominent dampener for prospective consumers in the virtual reality in gaming market. Despite manufacturers committing massive dollars to headset, discomfort is using them has continued to trouble consumers. Another emerging concern voiced by users is that VR totally cuts them from the real environment. For example, they may be unable to read their Facebook posts while using VR gaming. Such distancing from the real world has concerned players.
Lowering Barrier to Entry to Spur Competition and Prospects
One way to reinvigorate growth of the virtual reality in gaming market is lower the barrier to entry. This is likely to breathe new life in both established market of North America and fast emerging market of Asia Pacific. This will spur an environment of competition reinforcing the launch of new array of VR headsets, apps, and motion-based sensor technology. Biosensors and VR reality languages may be the next big thing forward for players in these regional markets. More importantly, this will instill some affordability for VR products, thereby expanding potential in the virtual reality in gaming market.
Onkar is a journalist and has 6 years of experience as a Contributing Editor with a number of on-line publishers. He covers latest industry updates on a variable domain. He is technology Enthusiast by passion and loves to write.