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TECH SUPPLIER Jul 2018 - Market Forecast - Doc # JPE42929618

Japan Augmented Reality and Virtual Reality Forecast, 2018−2022

By: Akira SugawaraSenior Market Analyst, PC, Mobile & Client Solution, IDC Japan

Abstract

This IDC study is a translation of the Japanese document IDC #JPJ42927618. It provides the results of the quantitative and qualitative analyses of the Japan augment reality/virtual reality (AR/VR) market based on information gathered until April 2018, as well as on the IDC survey report titled Worldwide Semiannual Augmented and Virtual Reality Spending Guide 2017H2 conducted in April 2018. The current Japan AR/VR market is driven by the VR segment, which primarily focuses on the consumer market. However, the spending on consumer content is more skewed toward flat-fee services such as unlimited listening and viewing, and there are not cases in which premium is added to content pricing just because of VR. Therefore, the key to future growth lies in the business utilization of VR in new areas. Although the expansion of AR utilization in business areas is still anticipated, the high price may be an impeding factor. "Cost will be an issue in both AR and VR not only now but also in the future. In order to fundamentally overcome this problem, these technologies should not be considered as a replacement to the conventional business but should be deemed as technologies paving the way for innovation to establish competitive advantage for transformation and indispensable for innovation including collaboration with other business areas," says Akira Sugawara, senior market analyst, PC, Mobile, and Client Solutions, IDC Japan.


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