Virtual Reality Content Creation Market - Global Industry Size, Share, Trends, Opportunities, and Forecast 2018-2028F Segmented By Content Type, By Component, By End-use Sector, By Region, Competition

Virtual Reality Content Creation market is expected to grow during the forecast period, and the growth can be attributed to the rapid expansion in the media and entertainment sector, along with the rising demand for 360-degree and other innovative marketing approaches to offer exquisite customer experience. In line with this, the fuelling need for effective head-mounted display (HMD) systems, such as augmented reality (AR) and VR, and the growing consumer awareness regarding their multiple benefits are another growth-inducing factor.

Virtual reality (VR) is a technology that repeats the real-time environment into virtual three-dimensional environment. VR devices compel VR content to display simulating visions. VR content is computer-generated replica or simulation that implies three-dimensional environment or image, which can cooperate using special electronic equipment known as VR devices. The VR content is developed with the help of a software in two different ways. First, the content is generated by taking a 360-degree immersive video with the relief of special 360 camera and with high-definition resolution. Second, the content is produced by making a 3-dimensional (3D) animation with the aid of advanced and interactive applications. The VR content quality is vital established on the following parameters such as Field of View (FOV), Frame Rate, and Latency. Extensive range of VR headsets or products have risen into the development of multiple immersive 3D content creation methods.

Global Virtual Reality Content Creation Market: Trends & Drivers

Market Overview
Forecast Period	2024-2028
Market Size 2022	USD 3.19 Billion
Market Size 2028	USD 17.85 Billion
CAGR 2023-2028	33.88%
Fastest Growing Segment	Healthcare
Largest Market	North America

Growth In Demand for Head-Mounted Display (HMDs) in Gaming and Entertainment Sector:

Video gaming is one of the most common leisure activities nowadays, hence XBOX and other gaming consoles have undergone several developments. Playing video games has recently gained popularity as a leisure activity all around the world, and an increasing number of people are gravitating more and more towards indoor video games. Immersive gaming is expected to gain mainstream appeal among the individuals that are dwelling on enhanced interactive virtual devices for an enthralled experience. Furthermore, virtual reality has revolutionized the gaming industry, as an individual can experience and interact in a three-dimensional environment during a game. This has grown the need for games whose content is based on virtual reality, at a significant rate.

Leading market members are focusing on generating superior goods. Such as, in 2018, Oculus provided 300000 PSVR (PlayStation VR) headsets, pursued by HTC with 230000, and Sony with 463000, establishing a considerable level of business implementation of VR (Virtual Reality) technology. The industry for establishing virtual reality significant has since increased substantially as a result of this. The total number of games released by significant publishers in September 2019 was about 90, with Rift, Vive, Index, and Windows VR titles indicating the list, pursued by Go, and Gear VR (Virtual Reality) games.

Availability of Affordable Virtual Reality Devices:

Virtual reality (VR) headsets, likewise, recognized as head mount displays, are contemplated as a development in advanced electronics in terms of technology. Currently, on-going trend of probable social influence of virtual reality technology has escalated substantially over the past era. Foremost companies operating in the virtual reality solutions and services are determined for high customer base, which in turn, decline the cost of VR (virtual reality) headsets manufacturing, owing to Research & Development activities for virtual devices with miniature design. Moreover, increase in the number of product launches by prominent players in the market with recent appearance of low-cost virtual reality technologies such as HTC Vive, Oculus Rift, and the Sony PlayStation VR, fuel the demand for virtual reality content. As virtual reality is gaining high traction from the recent years and with increase in number of small-scale enterprises that are stepping into virtual reality market, the need for differentiative product portfolio is rising significantly. As a result, industry leaders are creating consumer-grade virtual reality headsets. The global virtual content production market is, thus, predicted to benefit from substantial revenue growth potential throughout the forecast period.

Rise In Virtual Reality Marketing:

Businesses across the globe are increasingly personalizing their communications to impress audiences and are employing heightened interactivities as consumers are looking for engaging, interactive, and personal experiences in the form of technological aspect. This has led to a significant demand for virtual reality content as players are adopting virtual reality devices. For instance, Walmart recently made the decision to purchase 17,000 VR headsets so that a million of its employees could get specialised training, improving the in-store and online consumers' overall experience. Thus, virtual reality marketing is one of the major drivers anticipated to fuel the market for virtual reality content production throughout the projected period.

The idea of telepresence is closely related to computer emulated reality experience. Virtual reality content is enabling business owners to position their brand image effectively to the consumers and is offering an immersive experience to users, which in turn allows them to connect with an end-use product in an innovative way. Hence, virtual reality marketing has curved into one of the most powerful marketing tools available with integrated content strategies. This is among some of the major factors that propel the growth of the global virtual reality content creation market.

Moreover, small businesses that have not stepped in the tech and gaming industries have already begun the experiment of virtual reality technology, which means SMEs are primarily trying to understand the costs against the benefits of the investment. In addition, according to Lumus, an Israeli-based virtualization company, small business owners can attract new customers and compete better if they invest more. For instance, USD 17.8 billion have been invested by various enterprises in AR and VR in 2021, which is expected to create huge business opportunities for large as well as small & medium enterprises in the upcoming years.

High Demand For 3-Dimensional Content Among Various Industries:

Due to 360-degree interactive environments that permit human-like avatars, it is projected that the demand for virtual reality content will significantly affect how customers enjoy entertainment, work, make purchases, and participate in social activities. This factor is expected to fuel market expansion on a global basis in the future years.

With the advent of 3D and 4D (dimensional) technologies, there is an increase in trend of its integration with industries such as healthcare and manufacturing, along with its dominant presence in gaming and entertainment industry. From the past few years, the rise in number of 3D movie releases has increased; thereby, boosting the demand for 3D TVs. This growth is attributing to rise in the demand for 3D content creation, which in turn, is expected to support growth of the market in terms of revenue and market share.

Furthermore, with the advancement in content technology creation, the virtual reality content applications, and opportunities in the 3D/4D technology market is expected to boost in sectors such as healthcare, industrial, consumer, entertainment, defence, and education. For example, with the help of VR surgical simulator that are responsive manipulators and 3-D camera system, with in-built sensory input, researchers can study human abdomen anatomy from a new perspective. This can further help practice surgical procedures with a scalpel and clamps. Hence, 3D content plays a crucial role in providing the virtual reality display devices with high-quality content, which in turn, is expected to boost the market growth.

Global Virtual Reality Content Creation Market: Restraints

Lack of Awareness Regarding the Advantages of Using Virtual Reality Devices:

Rise in the adoption of virtual reality devices due to its low-cost benefits has fuelled the growth of the market at a significant rate. However, in emerging countries, due to the lack of awareness regarding the advantages of using virtual reality devices, the demand for virtual reality devices is not in a momentum. Thus, the global market is expected to get hampered due to its need for advance electronics in the manufacturing of virtual reality devices.

Moreover, consumers' perspective to view virtual reality headsets as a luxury niche product is reducing the demand for these devices among individuals across the globe. Primarily, virtual reality content creators are struggling to create an exclusive game that would garner mainstream adoption and widespread appreciation among gamers as games released with high definition are widely being adopted by other smart devices such as smart phones and video gaming consoles, due to its capability of multi-user gaming advantage.

Furthermore, the major social networking players such as Facebook's Oculus is struggling to bring virtual reality to the majority of consumers in market due to slow and steady traction as limited use-cases such as in healthcare. This, in turn, has raised concerns associated with virtual reality content quality and its ability to engage consumers for longer periods. Thus, the aforementioned factors are expected to hinder the market growth.

Virtual Reality Content Piracy:

The potential disruption due to piracy of virtual reality (VR) content is estimated to be significant. Due to the rise of video piracy, unlicensed online streaming accounts for approximately 81% of film or movie and television theft in the entertainment industry. From cloning and hacking smart cards such as contactless smart, content theft has evolved to revealing the chipset of target devices, sharing access rights messages and video files via peer-to-peer (P2P) networks and File Transfer Protocol (FTP) sites.

Increase in video content streaming over broadband IP networks, which has moved from niche to mainstream market, has led to concerns associated with piracy. This, in turn, is expected to hinder the growth of the market. Complication associated with content piracy is that viewers can be easily deceived into purchasing and accessing videos from streaming sites that are often replicated from professional web designers, thus appear to be legitimate. This is expected to impede the expansion of the global virtual reality content creation market.

Market Segments

Global Virtual Reality Content Creation market is segmented into Content Type, Component, End-use Sector, and Region. Based on Content Type, the market is segmented into videos, 360-degree photos, and games. Based on Component, the market is segmented into software and services. Based on End-use Sector, the market is segmented into real estate, travel and hospitality, media and entertainment, healthcare, retail, gaming, automotive, and others. Based on region, the market is segmented into North America, Asia-Pacific, Europe, South America, and Middle East & Africa.

Market Players

Major market players in the global virtual reality content creation market are Subvrsive, Panedia Pty Ltd, 360 Labs, Inc., Blippar Group Limited, Matterport, Inc., Koncept VR LLC, VIAR (Viar360), Pixvana Inc., Scapic, WeMakeVR

Report Scope:

In this report, Global virtual reality content creation market has been segmented into following categories, in addition to the industry trends which have also been detailed below:

Virtual Reality Content Creation Market, By Content Type:

• Videos
• 360 Degree Photos
• Games

Virtual Reality Content Creation Market, By Component:

• Software
• Services

Virtual Reality Content Creation Market, By End-use Sector:

• Real Estate
• Travel and Hospitality
• Media and Entertainment
• Healthcare
• Retail
• Gaming
• Automotive
• Others

Virtual Reality Content Creation Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• Germany
• United Kingdom
• Italy
• Spain
• Asia pacific
• China
• India
• Japan
• South Korea
• Australia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE
• South America
• Brazil
• Argentina
• Colombia

Competitive Landscape

• Company Profiles: Detailed analysis of the major companies present in the global virtual reality content creation market.

Available Customizations:

• Global Virtual Reality Content Creation Market with the given market data, Tech Sci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional market players (up to five).